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O'Malley To Stump For Tax Increases
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"We simply have to have indexing," Porcari told lawmakers, describing the move as necessary "just to keep running in place."
O'Malley also indicated that he is interested in raising the titling tax on vehicles from 5 percent to 6 percent of purchase price. That tax, which also flows into the transportation fund, was last raised in 1978.
Aides suggested that of the two levies, the titling tax would be less politically damaging to raise than the gas tax. Recent polls have shown widespread opposition to a gas tax increase, particularly with continued high prices at the pump.
They said O'Malley has scheduled a series of events in coming days to flesh out various components of his plan for the public, starting this morning.
His plan to raise revenue from the legalization of slot-machine gambling remains one of the least detailed. Aides said O'Malley is crafting a plan that seeks to split the difference between bills that previously passed the Senate and one that cleared the House in 2005 by the minimum number of votes.
Busch has said repeatedly that a slots bill remains a hard sell in his chamber. "The governor's going to have to work with the speaker to get it passed," said Miller, a leading slots proponent.
There appears to be broader buy-in on other elements of O'Malley's plan, including: raising the sales tax from 5 percent to 6 percent; raising the cigarette tax from $1 a pack to $2; and rolling back state property taxes, which are now 11.2 cents per $100 in assessed value.
Miller said that he and Busch also agree that O'Malley should seek additional cuts in state aid to local governments. Education and other aid to localities now makes up about 40 percent of the state's general fund budget. O'Malley, the former mayor of Baltimore, has pledged to protect the interests of counties and municipalities.
"The governor's been very gentle in terms of the counties," Miller said. "Too gentle."
Yesterday's meeting at the mansion did not include any Republicans, who hold a small minority of seats in both chambers. Senate Minority Leader David R. Brinkley (R-Frederick) said he remains convinced that the budget can be balanced without raising taxes and that a special session is not needed.
"The purpose of the breakfast was to get everyone singing off the same song sheet," Brinkley said. "I'm not sure that happened."
