January 24, 2025

Dear Friend:

On Monday, Donald Trump took office, surrounded by billionaires collectively worth over $1.3 trillion— and accompanied by the wealthiest Cabinet in history. On Day One, he signed Executive Orders eliminating birthright citizenship, ending drug price negotiation, and withdrawing from both the World Health Organization and Paris Climate Agreement.

As always (but especially in these fiscally challenging times), the budget is our top legislative priority. Governor Moore’s $67.3 billion proposal (SB319, SB320, and SB321) addresses a projected $3 billion deficit while giving a tax cut to nearly two-thirds of Marylanders. It’s important to note that his ideas serve as a starting point. The General Assembly aims to resolve the shortfall without significantly compromising essential services.

Contrary to what some believe, public education funding under the 10-year Blueprint plan is not the primary driver of the deficit projections. While education expenditures are expected to increase by $551 million next year, a deficit won’t likely emerge until the following year. The Administration has proposed measures to improve the Blueprint’s long-term stability and address the teacher shortage; these changes highlight the growing challenges of meeting the program’s ambitious goals under current budget pressures. Another area of concern for many Marylanders is the possibility of a 70% cut to behavioral health services. Again, all of these line items are far from final and will be debated over the coming months.

After more than 15 months of brutal conflict, Israel and Hamas may have reached an agreement on a multi-phase ceasefire. Hostages Doron Steinbrecher, Emily Damari, and Romi Gonen have FINALLY been reunited with their families. I mourn the lives lost in the war and pray that all of the hostages will be released. #BringThemHomeNow

Yesterday, I had a hearing on SB127, regarding the Reimbursement of Indirect Costs for nonprofit organizations. It would allow for a modest increase in overhead costs to mimic that which has been established at the federal level by the Office of Management and Budget. Aligning these will make the State’s grant process more effective in supporting our vital network of nonprofit providers. Thanks to Maryland Nonprofits and many nonprofit organizations around the State for their support on this common sense legislation.

Last night, Del. Julie Palakovich Carr, Del. Joe Vogel, Del. Ryan Spiegel, and I hosted a virtual Town Hall meeting for our District 17 constituents. We discussed a wide range of topics, including our legislative priorities, the budget, abortion rights, transportation, and tactics to protect Marylanders from the Trump Administration. If you missed it, you can watch the recording on my YouTube Channel!

All the best,

Cheryl

Cheryl C. Kagan

State Senator, District 17

(Gaithersburg & Rockville)

Vice Chair, Education, Energy, & the Environment Committee

www.CherylKagan.org

NOTE: My Annapolis phone number is now 410/841-3134.