Last night the Maryland General Assembly adjourned Sine Die.
Today, Governor O’Malley joined Lt. Governor Brown, Senate President Miller, and House Speaker Busch to sign more than 150 pieces of legislation into law.
GOVERNOR O’MALLEY SIGNS LEGISLATION MOVING MARYLAND FORWARD
O’Malley closes legislative session focused on jobs; Signs Legislation to crack down on waste, fraud and abuse in public health plans, improve quality of care, and authorize nurse practitioners to serve as primary care providers
Governor Martin O’Malley today joined Senate President Thomas V. Mike Miller Jr., House Speaker Michael E. Busch, and Lieutenant Governor Anthony G. Brown, to sign 170 pieces of legislation that continue moving Maryland forward despite difficult economic times.
During the bill signing, Governor O’Malley highlighted budget and legislative proposals focused on creating and saving jobs, and improving the conditions under which Maryland businesses can create and save jobs. Just weeks ago, Governor O’Malley signed emergency legislation to strategically cut taxes for small businesses in Maryland that hire unemployed Marylanders. The Job Creation and Recovery Tax credit provides a $5,000 tax credit to Maryland businesses for each unemployed Marylander it hires.
Governor O’Malley also signed legislation in late March to help small businesses by modernizing the state’s unemployment insurance trust fund, stabilizing the fund that has been strained by higher-than-normal unemployment rates due to the national recession.
“Our focus this session was, is, and continues to be on creating jobs, protecting jobs, empowering small business, and defending homeownership for Maryland’s families,” said Governor O’Malley. “In times of great adversity, the people of Maryland have always chosen to make progress. And this year, we’ve chosen a fiscally responsible path for progress that puts our hardworking families first and moves our State forward.”
At today’s event Governor O’Malley added his signature to legislation that cracks down on waste, fraud and abuse in our public health programs such as Medicaid. Also signed today is legislation establishing the framework for a patient centered medical home program to improve quality of care in Maryland, and a bill authorizing nurse practitioners to provide primary care for patients in Maryland.
Under the Maryland False Health Claims Act, the State will now be able to recover damages and penalties from individuals who defraud the State by filing false claims against State health plans and programs, including Medicaid. This legislation is expected to recover millions of dollars by cracking down on waste, fraud and abuse in these public health programs.
“We have done a great deal this year in Maryland and across the nation to expand health coverage, lower costs and improve the quality of care. I commend the Maryland General Assembly for their partnership during this legislative session to pass a bill allowing the state to fight fraud, waste and abuse and recover millions of dollars of taxpayer money and another improving the quality of care for our neighbors,” Lt. Governor Brown, who led the Administration’s efforts to pass the Maryland False Health Claims Act and the Patient Centered Medical Home Program, said. “Because of Governor O’Malley’s vision and the leadership of Speaker Busch and President Miller, we are in a better position than most states to implement national health reform and create the jobs that will come with it.”
In addition, Governor O’Malley signed legislation creating a framework to establish a patient centered medical home program, a model of primary care in which a team of health professionals, guided by a personal physician, provides continuous, comprehensive, and coordinated care in a culturally and linguistically sensitive manner. Governor O’Malley also signed into law legislation authorizing the 3,400 nurse practitioners in Maryland to be primary care providers in Maryland, joining 28 other states with similar provisions to improve primary care for our families, seniors and children.
During the 2010 legislative session, the General Assembly passed several of Governor O’Malley’s initiatives to protect middle class families during these difficult economic times, including further reforms in Maryland’s foreclosure process; helping middle class families facing the threat of foreclosure keep their homes.
The General Assembly also passed a series of initiatives to protect Maryland’s children from child sexual predators, including legislation championed by Governor O’Malley to require lifetime supervision for child sex offenders. In addition, the Maryland General Assembly approved legislation to increase the mandatory minimum sentence for first-time child sex offenders from 5 to 15 years. Governor O’Malley will sign these new reforms into law on May 4.
“Our top priorities this session were to manage the state’s finances responsibly and to create and protect jobs. We passed a balanced budget that protects critical state investments, and we passed several initiatives to help grow Maryland’s economy,” said Senate President Thomas V. Mike Miller, Jr. “I want to thank the Governor and Lieutenant Governor for bringing people together to pass the False Health Claims Act, which gives the State a valuable tool to crack down on fraud and save taxpayers money.”
“Balancing the budget, public safety and job creation were our top priorities this session and we have taken significant steps to ensure that Maryland is among the first states to rebound after this recession,” said Speaker Michael E. Busch. “I commend the Governor, the Maryland House of Delegates and the Maryland Senate for their hard work on behalf of Maryland businesses and families this session.”
In the past four years, the O’Malley-Brown Administration has invested record funding for Maryland schools, resulting in Education Week Magazine ranking Maryland public schools #1 in the nation for two straight years. For the first time in Maryland’s history, school construction funding exceeded $1 billion over a three-year period. The General Assembly passed the Governor’s Education Reform Act of 2010 to further reform Maryland schools as State education leaders prepare to apply for federal “Race to the Top” funding. In addition to K-12 education, Maryland is the only state in the nation to freeze college tuition for in-state students four years in a row.
FOR IMMEDIATE RELEASE
GOVERNOR O’MALLEY, COMPTROLLER FRANCHOT, SPEAKER BUSCH PROMOTE TAX CREDIT FOR WORKING FAMILIES
ANNAPOLIS, MD (February 18, 2010) – As Maryland’s working families file their state taxes this year, they are eligible for increased exemptions and may qualify for an expanded tax credit thanks to measures passed during the 2007 Special Legislative Session to expand the safety net for low- to moderate-income earners. Today, Governor Martin O’Malley, House Speaker Michael E. Busch, and Comptroller Peter Franchot joined Robin McKinney, Director of the Maryland CASH Campaign, to remind eligible taxpayers of the new tax policies for their 2008 tax filings. Under the new policies, tax filers may be eligible for an expanded state Earned Income Tax Credit (EIC) as well as an increased personal income tax exemption.
“The tax relief initiatives passed during the Special Session create a larger safety net for the working families of Maryland, particularly during these tough economic times,” said Governor O’Malley. “Even though our workers are producing more, wages have stagnated and costs have gone up. The Earned Income Tax Credit provides immediate tax relief to families who need it. Low- to moderate-income families filing taxes today are eligible for refundable money from the state Earned Income Tax Credit. That means $33 million back into the pockets of Maryland’s middle class at a time when they need it most.”
“The EITC is the most effective tax credit available to help lift people out of poverty,” said Comptroller Franchot. “Behind the numbers, there are parents and children receiving a better life in Maryland because of the Earned Income Tax Credit. But working families must apply for the credit in order to receive the benefit. I am grateful to work with Governor O’Mallye, Speaker Busch and partners such as the Maryland CASH Campaign to spread the word about the EITC and the free tax preparation services available for those in need.”
During the 2007 Special Legislative Session, the General Assembly adopted measures that increased the regular personal income tax exemption from $2,400 to $3,200 for individuals with gross income of up to $100,000 or $150,000 for joint filers in a move that created a more progressive tax structure for Maryland families and helped close a $1.7 billion inherited structural deficit. During the same session, the Governor fought to increase Maryland’s Earned Income Tax Credit to 25 percent of the federal credit and expanded to include workers without children, to help our hardworking families weather a tough economy.
“At a time when many Marylanders are struggling to make ends meet, the Earned Income Tax Credit is an important tool to help offset some of the burden for low-income families,” said Speaker Michael E. Busch. “This credit provides millions of dollars in federal and State tax relief for working families when they need it most.”
The EITC is a federal tax benefit for low- and moderate-income individuals who work full-time, part-time, or part of the year. Designed primarily to benefit families, workers who qualify for the EITC and file a federal tax return can receive some or all of their federal income tax refunded. Maryland’s state EITC can be used to reduce or eliminate state income tax liability. If the amount of the Maryland credit exceeds the worker’s state tax liability, then the taxpayer may be eligible to receive a portion of the Maryland EITC as a refund payment, known as the refundable earned income credit (REIC). Taxpayers may qualify for this benefit even if they do not otherwise have to file a state tax return.
For the 2008 tax year, 225,858 Maryland taxpayers had taxable income that qualified for the Maryland EITC in the amount of $65,058,138. Of these, 117,738 also qualified for the Maryland refundable EITC in the additional amount of $59,370,460. Traditionally, about 20 percent of people eligible for the EITC do not claim it.
The REIC was expanded during the Special Session in November 2007, increasing the REIC from 20 percent to 25 percent of the federal EITC, putting up to $33 million back in the pockets of Maryland’s middle class. Taxpayers will benefit from these changes when they file taxes on income earned in 2009.
EITC Eligibility:
Earned Income and adjusted gross income (AGI) must each be less than:
$43,279 ($48,279 married filing jointly) with three or more qualifying children
$40,295 ($45,295 married filing jointly) with two qualifying children
$35,463 ($40,463 married filing jointly) with one qualifying child
$13,440 ($18,440 married filing jointly) with no qualifying children
Tax Year 2009 maximum credit:
$5,657 with three or more qualifying children
$5,028 with two qualifying children
$3,043 with one qualifying child
$457 with no qualifying children
The American Recovery and Reinvestment Act provides a temporary increase in EITC and expands the credit for workers with three or more qualifying children. These changes are temporary and apply to 2009 and 2010 tax years.
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"Ask the Governor"
Do you have questions for Governor O’Malley? Tonight, Wednesday 12.16 at 7p.m., Governor O’Malley will be participating in a special hour-long “Ask the Governor” broadcast on Maryland Public Television where the discussion will focus exclusively on the state budget.
Senate President Thomas V. Mike Miller and House Speaker Michael Busch will join Governor O’Malley live via satellite from Annapolis to take viewer calls and emails on the state’s fiscal outlook. The broadcast will also feature taped interviews with Budget Secretary T. Eloise Foster, Montgomery County Executive Ike Leggett, and other local legislators.
You can email questions anytime to askthegovernor@mpt.org or call live at 1-800-926-0629.
