The Maryland Wire

The Maryland Wire

Wes Moore’s 3% Budget Squeeze

The 3% Squeeze: Wes Moore’s 24-Agency Cut List and the Clients Annapolis Will Make Pay

J.  Barry O'Connell's avatar
J. Barry O'Connell
Sep 23, 2026
∙ Paid

The 3% Squeeze: Wes Moore’s 24-Agency Cut List and the Clients Annapolis Will Make Pay

The House Appropriations Committee and Senate Budget and Taxation Committee are about to referee a fiscal 2028 squeeze in which the old “no new taxes or fees” guardrail no longer protects anybody; cuts, cost shifts, fee increases and raids on dedicated funds are now the working menu.

By J. Barry O’Connell • September 22, 2026

Twenty-four Cabinet-level agencies have been told to model reductions of up to 10%. Every executive-branch agency and Maryland’s public universities were told to prepare fiscal 2028 requests with roughly 3% reductions. Bryan Sears of Maryland Matters broke the story. The instruction is not a final cut list. It is something more useful to anyone paid to read Annapolis: an x-ray of where Gov. Wes Moore expects the pain to land.

The old refuge was the pledge. Gov. Wes Moore and Senate President Bill Ferguson set a “high bar” for tax increases, and Gov. Wes Moore delivered a fiscal 2027 budget without new taxes or fees. But a $2.8 billion-plus hole does not disappear because nobody calls the fix a tax. It reappears as a provider-rate freeze, a university reduction, a county cost shift, a licensing assessment or a raid on a dedicated fund.

IF YOU ARE…

  • A regulated utility: assume every surcharge, fund and rate case can become part of the affordability argument.

  • A Medicaid provider: a federal cut can become a state reimbursement fight before January.

  • A university or college: your “protected” formula may be another institution’s cut target.

The most politically revealing name on the 10% list is [WITHHELD AGENCY NAME]—and its inclusion tells us which constituency Gov. Wes Moore is willing to make angry.

=== PAYWALL CUTOFF HERE ===

User's avatar

Continue reading this post for free, courtesy of J. Barry O'Connell.

Or purchase a paid subscription.
© 2026 J. Barry O'Connell · Privacy ∙ Terms ∙ Collection notice
Start your SubstackGet the app
Substack is the home for great culture