ANNAPOLIS, MD — Governor Wes Moore this morning released the Moore-Miller Administration’s proposed FY 2027 budget. Like the governor’s legislative agenda, the proposed budget continues to reflect the Moore-Miller Administration's core priorities: to protect our people; to lower costs for Marylanders; and to increase Maryland’s economic competitiveness.
“Through this budget proposal, our Administration is choosing to protect our people, focus on driving down costs for working families, and strengthen our state’s economic competitiveness—all without raising taxes or fees,” said Gov. Moore. “We will continue to work with our General Assembly partners to deliver a balanced budget that makes record investments in education, law enforcement, and energy programs. Marylanders are counting on us to deliver results, and this budget marks the next chapter in building a safer, more affordable, and more competitive Maryland.”
The Moore-Miller Administration’s $70.8 billion FY2027 proposed operating budget makes nearly $900 million in targeted cuts and other cost-saving measures. Focused on dealing with devastating cuts and draconian economic impacts from the Trump-Vance Administration—and on making critical programs more sustainable—the approach prioritizes funding for programs that align with measurable outcomes. Working in partnership with the Maryland General Assembly, advocates, and the community, the proposed budget continues to prioritize investment in Marylanders.
The proposed FY2027 budget includes no new taxes or fees; eliminates the projected $1.5 billion cash shortfall; meets all major Spending Affordability Committee requirements, including maintaining 8% in the Rainy Day Fund; and reduces government operating expenses by $154 million between FY 2026 and FY 2027.
Highlights in the governor’s proposed budget include:
Protecting Our People
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Expansion of Community-Based Programs to Serve Justice-Involved Youth: Invests $10.6 million for the Department of Juvenile Services, bringing total investments to $30 million, to expand results-driven programs like Safer, Stronger Together and the Thrive Academy.
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Support for Correctional Facilities Improvements: $30 million to help support maintenance and operations for aging Department of Corrections and Public Safety facilities statewide.
Lowering Costs for Marylanders
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Lowering the Cost of Energy: Historic $306 million in funding for renewable and clean energy programs in the Maryland Energy Administration. Drawn from the Strategic Energy Investment Fund, the proposed budget also includes funding to support lower utility bills, invest in clean energy infrastructure, and research on energy resiliency.
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Creating More Affordable Housing: The proposed budget includes $50 million for the Baltimore Vacant Reinvestment Initiative; $65 million for Rental Housing Works and $8 million for the Partnership Rental Housing program—which support the development of affordable rental housing—and $20 million for Homeownership Programs to increase opportunities for homeownership, largely through down payment assistance.
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Revitalizing Communities: $73.7 million in proposed FY27 to fund 252 projects through the six state revitalization programs administered by the Maryland Department of Housing and Community Development. Of the $73.7 million, $47.2 million are to projects in Just Communities across Maryland—identified through data and history where the state is intentionally directing investment to repair past harms, reduce disparities, and create equitable opportunities for residents. Projects include:
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$10 million to support 27 projects from the Strategic Demolition Fund, a statewide program aimed at catalyzing activities that accelerate economic development in existing Maryland communities;
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$8 million to support Community Legacy, which proposes to support more than 48 projects in designated Sustainable Communities throughout Maryland;
Increasing Maryland’s Economic Competitiveness
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Making Maryland the Capital of Quantum: Maryland has secured well over $500 million in quantum investments since launching the initiative and welcomed new companies like Microsoft’s Quantum Research Center to Maryland. The proposed budget includes:
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$22 million for University of Maryland Enterprise Corporation to expand the Quantum Start-Up Foundry and provide funds for Quantum Test-Beds, including the National Quantum Lab and $20 million for a Deep Tech Facility in the University of Maryland Discovery District;
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$12 million to support Capital of Quantum in Prince George's County to recruit faculty experts at the University of Maryland, and technical and evaluation experts at the Applied Research Laboratory for Intelligence and Security, known as ARLIS.
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Diversifying Maryland’s Economy: Continuing to look toward the future, the proposed budget supports turning away from reliance on “eds, feds, and meds” including more than $100 million in targeted and tested business tax cuts and strengthening Maryland’s capacity to drive private investment in the State through the DECADE Act of 2026. The proposed budget also includes:
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$13.5 million in total State funding through capital funds, the Maryland Department of Commerce, and MEDCO to support construction of Sphere in National Harbor, which will bring 2,500 jobs during the construction phase; 4,750 jobs once operational; and is expected to generate $1 billion in economic impact annually;
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$15.5 million for stem cell research institutions, driving breakthroughs in medical strategies for disease prevention, diagnosis, treatment and cures;
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$14.6 million in capital funding for AstraZeneca facility improvements and expansion in Frederick County and for construction of a new facility in Montgomery County—the first allocation of an 8-year, $116.6 million commitment;
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$16 million for the state’s Sunny Day Fund, enabling Maryland's strategic economic growth by attracting major businesses and creating jobs and investments.
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Historic Investment in K-12 Education: The administration’s $10.2 billion in proposed education spending reflects a $373.8 million increase over FY 2026, the investment represents a nearly 17% increase in overall K-12 funding since the start of the Moore-Miller Administration. Under the proposal, the governor’s budget provides:
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$228 million in K-12 aid above statutory formulas;
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$10.9 million to support evidence-based literacy and math coaches in public schools through the Academic Excellence Program;
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$480.5 million in state funding for school construction to modernize aging facilities and expand capacity;
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$19.4 million to sustain the administration’s work to reduce the state’s teacher vacancy rate;
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$572 million to support Community Schools—a 16% increase from FY 2026— to provide more than half of Maryland schools with wraparound student and family support services.
The comprehensive FY 2027 budget books will be available at noon today at dbm.maryland.gov.
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