On August 26, Governor O’Malley proposed $454 million in budget cuts, including a $5 million (10%) reduction to the Sellinger Program, which provides aid to independent higher education in Maryland.

The Governor also reduced state appropriations to community colleges by $10.5 million (5%) and cut the public universities by $31 million.  In addition, Maryland’s public universities must participate in the state’s furlough program.

Additional budget cuts include the abolishment of 364 state employee positions; a $21 million reduction to the Medicaid program; a 20.1 million reduction to local health departments; a $20.6 million reduction to local police, and a $159.5 million reduction in aid to local governments (highway user funds).

At a July Board of Public Works meeting, the Governor cut $282 million from the FY 2010 state budget. The combined reductions for July and August total $736 million, and as a result, the state general fund budget in FY 2010 is lower than it was in FY 2007.