Md. House & Senate Differ On Income Tax Hike; Gov. To Mediate A Compromise

ANNAPOLIS, Md. (WJZ)– The Maryland House and Senate remain at odds over an income tax hike, and as political reporter Pat Warren reports, a conference committee assigned to iron out the differences is, so far, stuck.

No budging on the budget.

“We need to find common ground on cuts and revenues, and that’s eluding us at the present time,” Senate President Mike Miller said.

On the issue of cuts, the two chambers differ on how fast local jurisdictions should be forced to absorb a share of the cost of teacher pensions, which most likely won’t be resolved until agreement is reached on the income tax hike.

The Senate bill sets the income base at $3,000 and raises more than $475 million in taxes. The House version targets incomes of more than $100,000 and raises about $192 million.

“So right now, we’re bringing a mediator– the governor– in, to try to assist us with solving two plans that he really isn’t enamored of,” Miller said.

Governor Martin O’Malley wanted to eliminate select real estate and income tax deductions. But the House and Senate opted to raise the income tax instead.

“Now, we really only have only two versions– one’s the House and one’s the Senate– so they need to split the loaf, find some compromise, find some accommodation,” O’Malley said.

The General Assembly is back on Friday and then again most likely on Saturday. There’s speculation that if an agreement isn’t reached by Saturday, this session may have to be extended.

The 2012 session is scheduled to end Monday.

More from Pat Warren
  • Mike

    Is it possible to recall O’Malley???????? This needs to be looked into. That man has never thought of a tax he didn’t like.

    • queen

      @Mike, No. The state constitution does not allow recall of the governor. I would presume we would need a special referendum to change the charter say if a gov. were to commit a felony such as murder, rape etc but then we would be stuck with that lil brown stump Brown.

  • queen

    When will the legislators who go to Annapolis supposedly to represent us the citizenrt of Md going to do what we ask? Cut spending, cut spending. Not to fall in step with the lobbyists wishes & give the lazy welfare crowd something for nothing.
    Cut gov’t employees in 1/2 & make all sentate & house positions part time.

  • anti-liberal

    Shifting teacher pensions is smoke and mirrors, nothing more, and THAT is what they call CUTS?

    The taxpayers will be stuck with the expense, this clown act of DEMOCRATS has no control over spending increases, or rather no desire to curb spending when they have taxpayers they can simply force to pay more and more.

    What will O’Malley have to raise next year when he jumps spending again?

    Oh great and wise liberals, tell me again how great neverending democratic control is.


    Mabe if the Governor and House cut there pays it might be enough money for the state to run on and leave all of us marylanders alone Don’t you think they reasied enough taxes on us. They all need to cut there pay and live on the salary we living and use there own money to pay the budget i Bet if they do that then they migh think about spending marylanders money so foolishly .

  • State Roundup, April 6, 2012 | Maryland News & Things to Do Blog

    […] Pat Warren reports that Gov. Martin O’Malley has been brought in to try to mediate the differences between the two […]

  • S.

    I thought O’Malley said he wouldn’t raise taxes as long as he got the casino’s. Well, the casino’s have been built or are being built and are raising revenue. Cut the spending and the freebies to people.

  • Benton Heights

    We’re in big trouble if Marty Blagojevich mediates. I mean O’Malley. He’s as trustworthy as Sheila Dixon and Tommy Bromwell rolled into one.

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