Last week, the Maryland Municipal League (MML) testified before the House Appropriations Committee in strong support of HB 559. This bill represents a critical turning point in our years-long advocacy to restore and protect Highway User Revenues (HUR) for Maryland’s cities and towns.

For years, municipal governments have operated under temporary "funding bridges" that increased our share of gas tax and vehicle fee revenues. However, under current law, those increases are set decrease after Fiscal Year 2027, from the 3.0% allocation of Highway User Revenues to 2.4%.

During testimony, staff reminded the Committee that municipal governments still have a $300 million deficit from prior HUR reductions and regularly have to supplement HUR eligible projects with property tax revenues. By passing this legislation, legislators can give municipal managers confidence to plan multi-year projects that keep our roads safe and economy moving.

What’s Next?

MML will continue to work with the bill sponsors and leadership to ensure that municipal infrastructure remains a top priority for the 2026 Session.

For more information relating to this legislation, please contact Justin Fiore, Director of Advocacy and Public Policy, [email protected].