While the budget agreement leaves the tax plan essentially as it was on the last night of the session, some other provisions have been eliminated. Stripped from the plan are some of the so-called "ornaments" — extra goodies added in the final hours of the session to secure votes from large counties.

Baltimore will not see the $100 million increase in bonding authority for school construction — a change sought by city delegates in return for voting for expanded gambling.

Likewise, Montgomery County will lose $10 million toward local bus service that was added that night. The Prince George's County delegation will not achieve changes to a wealth formula that costs them millions of dollars in state aid each year. O'Malley said he plans to address that issue in his budget next year.

The agreement actually leaves the state budget with more of a surplus fund balance — $204 million — than the $155 million in the agreement left on the table at the end of the session. Foster said much of that is the result of about $80 million in unexpected prescription drug benefit refunds the state expects to receive under President Obama's Affordable Care Act. But she acknowledged that those gains could dry up if the Supreme Court strikes down the health law.

Under the accord, the state will account for more than half of the restored spending by shifting part of the costs of teacher pensions to the counties over a four-year phase-in period — another measure that was lost in the chaos of the session's final night. O'Malley said he prefers the term "pension sharing" to a shift.

Overall, the budget represents a 2.6 percent increase from the previous year. O'Malley pointed to the increase as the third-lowest growth rate in two decades. Republicans describe it as a $700 million spending increase and insist that no tax increase is necessary.

But localities that were facing the prospect of having to make severe budget cuts because of a loss of state aid welcomed the agreement.

Ryan O'Doherty, a spokesman for Mayor Stephanie Rawlings-Blake, hailed the result as "good news for Baltimore."

Prince George's County Executive Rushern Baker "commended" the governor for his leadership in hammering out a deal.

Montgomery County Executive Isiah Leggett said the budget deal would be good from a statewide perspective, even if his locality takes some hits. "It does not mean we are happy with this," he said.

Advocates for groups that would have felt the impact of the cuts also expressed relief.

Patrick J. Hogan, who heads government relations for the University System of Maryland, said eliminating the "Doomsday scenario" would be "very good for the students and USM in general."

The university system would have seen a roughly $50 million hit and estimated that tuition would rise between 10 percent and 12 percent. Under the new plan, the system will still have about $10 million less than it had anticipated. The tuition increase would likely be closer to 3 percent, Hogan said.

In addition to big programs with strong constituencies behind them, the agreement preserves one relatively small program dear to the hearts of many lawmakers. Legislative scholarships, a long-standing prerogative of senators and delegates, were among the cuts. Under the agreement, they will be restored to the budget.

The new agreement also raises the tax on small cigars and smokeless tobacco. The Maryland Citizens Health Initiative, an advocacy group, had sought the change to discourage young people from using them as an alternative to more heavily taxed cigarettes.

"This is going to be a great public health victory of the people of Maryland," said Vincent DeMarco, president of the health initiative. "Thousands fewer young people in Maryland will use these deadly products."




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