LAWMAKERS SEE CUTS TO SCHOOLS

Republican and Democratic leaders said yesterday that a key education
initiative known as the Thornton Commission likely would be cut following
Gov. Robert L. Ehrlich Jr.'s veto of a $135 million corporate-tax bill. "I
don't think we are going to be able to sustain the Thornton funding," said
state Sen. J. Lowell Stoltzfus, Senate minority leader and Princess Anne
Republican. "If we fully implement Thornton, then you will see an increase
in spending of $1 billion and we can't afford to do that." State Sen. Ida
G. Ruben, president pro tempore of the Senate, agreed. "I don't know how we
can avoid cutting Thornton unless [Mr. Ehrlich] provides alternative
funding," said Mrs. Ruben, Montgomery Democrat. The Thornton Commission was
a 22-member panel that spent two years studying state funding for education.

In 2001, by a vote of 20-2, it recommend a $1.1 billion increase in school
aid over the next five years.

That would have boosted the state share of school costs from 41 percent to
49 percent.

Federal aid covers about 5 percent of school costs, and the rest comes from
local governments. The commission also recommended more money for school
transportation, kindergarten classes in every school district and
redistributing state aid so more money goes to schools in Baltimore city
and poorer counties. James C. "Chip" DiPaula, secretary of the Department
of Budget and Management, said cutting money from Thornton was one of many
options that lawmakers could evaluate.

He also said the budget situation became worse because of potential revenue
lost when Democratic lawmakers rejected Mr. Ehrlich's plan to put slot
machines in Maryland racetracks. "With their failure to pass slots, they
could have jeopardized Thornton," he said. He declined to discuss more
specifics about potential cuts, saying only that the governor had asked
agency heads to look for areas where cuts could be made and make
recommendations to him. The governor cannot amend or cut funding to the
Thornton Commission because it is a legislative initiative that can be
changed only by the state legislature. Mr. Ehrlich's veto of the
corporate-tax package was considered by many to be his biggest legislative
decision. Democrats said the state needed the $135 million.

Republicans argued state officials should rein in spending instead of
taxing their way out of budget problems. "I was not surprised he [vetoed]
it, but I had hoped he would show some real leadership and sign it," said
Delegate Adrienne A. Jones, speaker pro tempore. Delegate Carmen Amedori,
assistant minority leader, said Mr. Ehrlich had no choice because in his
efforts to be a centrist Republican he alienated some of the conservatives
who helped elect him. "I would like to see him reach out to the base a
little better, and by vetoing the tax bill, he is starting to do that,"
said Miss Amedori, Carroll Republican. Mr. Ehrlich had pledged to veto the
bill. Democratic lawmakers now must either accept the veto or try to
override it. The tax bill passed with 87 votes in the House, two votes more
than needed to override a veto. However, the Senate passed it with 28
votes, one short of an override. Democrats had no plans yesterday to call a
special veto session before the General Assembly reconvenes in January. "To
hold a special session would be costly," said Mrs. Jones, Baltimore city
Democrat.

Mr. Ehrlich took action on the remaining General Assembly bills yesterday.
He signed a bill that reduces the penalty for medical-marijuana use to a
maximum $100 fine with no jail time. Supporters of the legislation said
smoking marijuana can ease nausea and other symptoms associated with such
chronic illnesses as AIDS, cancer and multiple sclerosis. State Sen. Andrew
P. Harris, Senate minority whip, said he was disappointed that Mr. Ehrlich
signed the bill but understood his reasons. He also said the governor's
decision preserves his campaign pledge to govern from the middle. "This
issue is certainly not a conservative politician's bill," said Mr. Harris,
Baltimore County Republican and medical doctor. Mr. Ehrlich also signed key
legislation yesterday on health insurance, driver's licenses for illegal
aliens and charter schools. The health insurance legislation replaces
nearly half the board members from Blue Cross Blue Shield of Maryland and
allows the state to regulate their salaries and those of company
executives. The national Blue Cross Blue Shield has said it will take the
state to court over the issue. Mr. Ehrlich also approved legislation that
calls for a study on the ramifications of illegal aliens obtaining driver's
licenses. The charter school legislation was a cornerstone of Mr. Ehrlich's
campaign last fall and his legislative agenda this winter.

Though Democrats changed Mr. Ehrlich's plans so that only local school
boards could approve charter schools, he was pleased with the outcome. "My
charter school initiative gives parents the freedom to move their child out
of a failing school and into a creative learning environment where they can
reach their full potential," Mr. Ehrlich said in a prepared statement.