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Fiscal Cliff Could Change Maryland's Growing Revenue

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Maryland comptroller Peter Franchot released updated revenue estimates for the state yesterday, projecting the state will bring in an additional $161 million for the next two fiscal years.

Franchot says that means the state's economy is growing, but very modestly. He adds it could all be undone, if Congress goes over the fiscal cliff at the end of the year.

Franchot also says employment is showing noticeable improvement in the state, but wage growth is exceedingly poor, with Maryland's private sector weekly earnings ranked 46th in the nation.

Also yesterday, a panel of state lawmakers recommended cutting the state's ongoing projected budget deficit of $382 million by more than half in the next fiscal year. Maryland is required to have a balanced budget each fiscal year. However, projected spending for future years has exceeded revenues in recent years.

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