On November 19, the Special Session of the General Assembly concluded. The Governor had called this special session to address the budget deficit for fiscal year 2009.

I appreciate all the input that I received from constituents on taxes, slots and the budget. There were many viewpoints offered that covered the spectrum of opinion on these issues.

During the session, the General Assembly:

• Cut spending by $550 million. This is in addition to the $228 million in cuts approved by the General Assembly earlier this year.
• Changed the income tax, raising it by a maximum of 3/4 of one percent for higher earners, but also reducing it so that the vast majority of tax filers will pay less income tax, helping to offset the penny sales tax increase.
• Closed corporate tax loopholes. Raised corporate taxes, but to a level that is still lower than that of four surrounding states and the District of Columbia.
• Added computer services to be subject to sales taxes. This new sales tax will sunset after five years.
• Raised the tobacco tax from $1/pack of cigarettes to $2/pack.
• Approved a referendum for November 2008 in which the voters will decide whether to authorize slots at five locations in the State (locations in Baltimore City, Anne Arundel County, Worcester County, Cecil County and Allegany County).
• Invested in transportation/transit and Chesapeake Bay clean-up.
• Passed a law to make healthcare more affordable for small businesses and to provide coverage for 100,000 more uninsured Marylanders.

I did not support some aspects of this package. I voted against the sales tax increase and strongly opposed the tax on computer services. I favored additional budget cuts and more emphasis on efficiency in the state's budgeting and procurement process. I also would have preferred that these issues be addressed during the regular legislative session of 2008.

Nonetheless, the General Assembly broke the five-year stalemate on slots by putting the issue to referendum. The legislature protected our investment in K-12 education, helped keep college tuition affordable, and redressed the hole in our transportation trust fund created when previous administrations used the fund to balance the general fund. (Business groups had asked for more transportation funding than was approved.) The new health care law will extend help to as many as 37,000 small businesses to offset the cost of offering health insurance to their employees.

Thank you for all of the feedback you provided me during the special session. The next regular session will begin on January 9, 2008, and please let me know if I can be helpful on any issue. I am proud to be part of the District 11 legislative team that includes Senator Bobby Zirkin and Delegates Jon Cardin and Dan Morhaim.

Sincerely,

Delegate Dana Stein

410-841-3527