For nearly 60 years, Maryland’s municipal revenue structure has remained largely unchanged, forcing our cities and towns to rely on property taxes for approximately 50% of their general fund budgets. This over-dependence is no longer sustainable.
We have a critical opportunity to change this. HB 1142, MML's priority bill sponsored by Ways and Means Chair Jheanelle Wilkins, establishes a Task Force to Modernize County and Municipal Revenue Structures. This "blue-ribbon" commission will study alternative revenue sources - such as those used in other states - to ensure our communities can remain fiscally resilient without placing the entire burden on property owners.
We need your voice! It is vital that the House Ways and Means Committee hears directly from municipal leaders about the fiscal constraints you face every day.
Hearing Details:
- Committee: House Ways and Means
- Hearing Date: Tuesday, February 24, 2026
- Time: 1:00 p.m.
- Location: House Office Building, Room 130, Annapolis
- Testimony Deadline: 6:00 PM FRIDAY, FEBURARY 20, 2026
Talking Points You Might Consider For Your Testimony (personalization to your municipality is always appreciated, tell your story):
- The 60-Year Stagnation: Highlight that the current revenue tools available to you haven't been meaningfully updated since the mid-20th century.
- Property Tax Burden: Explain how the heavy reliance on property taxes limits your ability to fund essential services or provide tax relief to residents.
- Capturing the "Visitor Economy": Municipalities often serve as the state's economic and tourism hubs. Currently, visitors use municipal roads, police, and parks, but the tax revenue they generate (like sales tax) often bypasses the very town providing those services.
- Need for Local Flexibility: Emphasize that a study is a necessary, common-sense first step toward giving local governments the flexibility they need to thrive.
If you would like a more detailed template, please reach out to Justin Fiore, Director of Advocacy and Public Policy at [email protected].
