Maryland ends fiscal year with $504 million surplus

Strong revenue combines with reductions in spending by state agencies

The state of Maryland ended the last fiscal year with a surplus of more than $500 million, Comptroller Peter Franchot announced.

Strong returns from the state’s capital gains tax returns helped revenues come in about $339 million — or about 2 percent — higher than expected, while state agencies spent less than their individual budgets to achieve the $504 million surplus, according to the comptroller’s office.

Franchot encouraged state lawmakers to save the surplus, not look for ways to spend it.

“The good news is we’ve managed to outperform our modest estimates, but that doesn’t mean the state’s economy is out of the woods yet,” Franchot said in a statement. “Consumers are still cautious about spending their discretionary dollars, and continued political volatility in Washington is likely to persist. I urge our state’s leaders to regard this year-end boost like an unexpected bonus to be saved for future use, not to be spent immediately.”

Gov. Larry Hogan said the $144 million saved at the state agency level was “more than estimated” and reflects “careful management of state agency budgets.”

“We are proud to be responsibly managing our state agencies, resulting in nearly $150 million in savings that will benefit all Marylanders,” Hogan said in a statement.

The governor noted revenues from taxes on personal income, corporate income and sales — as well as the lottery — all came in higher than projected.

“These strong revenue and budget results are great news for our taxpayers and provide further proof that we are continuing to make living in our state more affordable and changing Maryland’s economy for the better,” Hogan said. human trafficking and prostitution charges, Howard County prosecutors announced. Jabari A. Theodore, 27, pleaded guilty in Howard County Circuit Court on Wednesday to one count of human trafficking and one count of prostitution, both misdemeanors. The two counts each carry a maximum sentence of 10 years in prison. Arobbery investigation in February led police detectives to Theodore and an unnamed young woman, 18 of Columbia, according to prosecutors. The woman was recognized by detectives “as a known victim of human trafficking.” The woman said Theodore rented a room at a Laurel hotel, and forced her to perform sex acts for money and kept the profits, Colleen McGuinn, an assistant state’s attorney, said in court Wednesday. Circuit Court Judge William V. Tucker scheduled Theodore’s sentencing for Nov. 9.