Days after vetoing an energy-focused bill backed by General Assembly leadership, Gov. Wes Moore (D) signed two others into law Tuesday.

The larger of the two bills, called the Next Generation Energy Act, aims to increase in-state power generation and battery energy storage, while curtailing costs for consumers by limiting how utilities can spend ratepayer dollars.

The second bill, the Renewable Energy Certainty Act, creates uniform siting standards for commercial solar farms in Maryland, in some cases overruling local jurisdictions that had sought to restrict the farms with zoning rules.

Senate President Bill Ferguson (D-Baltimore City) said the bills make up “the most substantive energy affordability package that Maryland has seen in several decades.” But the new measures come less than two weeks before an expected June rate hike hits.

Prices for Baltimore Gas and Electric customers are estimated to jump $16 per month, and customers of other utilities could see similar increases, according to a report from the Maryland Office of People’s Counsel, which represents ratepayers in the state.

The People’s Counsel in April asked the Federal Energy Regulatory Commission to intervene, an appeal echoed in a letter Tuesday signed by 87 Maryland legislators. Their letter argued that the energy auction last year that sparked this summer’s rate hike was flawed.

Ferguson, for whom energy policy was a focus this past session, said that sky-high energy bills over the winter months were a “wake-up call” that spurred the legislature to action.

“We know that older coal plants and oil plants are being retired based on private action, and we have not built up enough alternative energy to fill it fast enough. And so the General Assembly had to act this year,” Ferguson said.

He sponsored the Next Generation Energy Act, which was focused on power generation but became the vehicle for a number of energy proposals, on everything from trash incineration to natural gas infrastructure spending.

The law also pulls about $200 million from a state fund that collects payments from electricity suppliers who cannot meet the state’s renewable energy mandates and redirects the money to refunds for ratepayers. The rebate will average about $80 per household, split between two payments: one this summer and the second in the winter months.

Legislators push back against June rate hike

Some officials, including Maryland People’s Counsel David Lapp, blame multi-state electric grid operator PJM Interconnection for the coming rate hikes. They say that when PJM held a capacity auction last year, it did not include the power expected to be generated by two fossil fuel powered plants it was requiring to stay open, driving prices at auction higher.

Not only will ratepayers pay the high auction prices for power, they will also pay a premium to keep the two Talen Energy plants — Brandon Shores and H.A. Wagner — operating. PJM has already pledged to change its auction policies to prevent a similar situation in the future.

In the meantime, Lapp in April petitioned FERC to reject the cost increases for ratepayers.  On Tuesday, the 87  legislators joined the chorus, urging FERC to reject the costs as “unjust and unreasonable.” The Maryland Public Service Commission also backed Lapp, filing its own comments with FERC on Tuesday.

“Without Commission action, customers still will be stuck paying ‘twice’ as a result of last summer’s auction,” the lawmakers’ letter said. “The Commission must act expeditiously to acknowledge and remedy the problems.”

Lawmakers also called on FERC to “protect Maryland customers from having to pay for windfall profits — far above the costs of service — to Talen to keep its Baltimore-area plants online.” Their letter said the two plants could keep running at a cost of $97 million, but consumers will be charged $180 million.

Ballot referendum campaign is a question mark

Last week, a group calling itself the Maryland Environment Labor and Industry Coalition filed as a ballot issue committee with the state, indicating it intended to challenge the Next Generation bill via referendum. But a representative for the group said that was looking unlikely after Tuesday’s signing ceremony.

“I would bet that they will not go forward with the referendum, and instead work closely with the governor and legislature to promote responsible environmental and labor-friendly laws,” said Doug Gansler, the state’s Maryland attorney general.

He said the group is still reviewing its options. But with no public outreach campaign, and just 11 days to collect the first 20,000 petition signatures from verified Maryland voters, he said the challenge may just be too great.

The group, which has Montgomery County ties, seemed poised to focus on part of the Next Generation Act that would end a “renewable energy” subsidy for trash incinerators that produce power. The state’s two such incinerators are in Baltimore City and Montgomery County.

The solar energy bill signed Tuesday by Moore has also garnered criticism, particularly from Republican legislators representing the rural Eastern Shore, who argued that the policy would make it easier for solar companies to gobble up productive farmland.

But it was perhaps the least controversial bill of the package that found itself the target of a Moore veto Friday: A bill creating a “Strategic Energy Planning Office,” funded by an existing process that also fuels the Public Service Commission and Office of People’s Counsel.

Moore’s veto, citing the cost of establishing the office, surprised sponsor Sen. Katie Fry Hester (D-Howard and Montgomery).

“I look forward to better understanding his rationale and will work with leadership in the Legislature to determine next steps,” Hester said in a statement to Maryland Matters Friday.

Next Generation bill gets praise amid controversy

In a statement Tuesday, Emily Scarr, a senior adviser at the consumer advocacy group Maryland PIRG, said the bill made “groundbreaking pro-consumer changes to utility regulation.”

“By prioritizing safety over gas system expansion and reining in wasteful spending by BGE and other Maryland utilities, this new law can save Marylanders hundreds of millions of dollars,” Scarr wrote.

Lapp agreed.

“Maximizing the legislation’s potential benefits will depend on lots of work at the Public Service Commission,” Lapp said. “We look forward to using the new tools to slow or prevent further rate increases.”

Environmental groups were more mixed in their responses to the Next Generation bill. Many were troubled by its potential to expedite a new natural gas power plant in Maryland, including by fast-tracking new facilities on the site of retired power plants. But amendments lessened the blow, and added environmental priorities — like beefing up energy storage and cutting funding for incineration.

The Mid-Atlantic Renewable Energy Coalition, now known as MAREC Action, an industry group representing utility-scale developers of wind and solar, as well as battery energy storage, applauded the bill’s power storage provisions in a statement Tuesday.

“With this legislation, our industry will invest in Maryland, deliver reliable energy resources needed to keep the lights on, and stabilize prices for Maryland ratepayers,” said Evan Vaughan, executive director of MAREC Action.

The bill calls for two procurement periods, beginning in 2026, when the Maryland Public Service Commission will seek to bring  800 megawatts of energy storage in each period to the state.

Currently, the multistate electric grid that includes Maryland only hosts 375 megawatts of storage, which MAREC said “pales in comparison” to other states such as California and Texas. If Maryland follows through with the procurements, it would be positioned as an “energy storage leader” within the 13-state PJM region, according to the industry group’s news release.

The purchases could work quickly to fill gaps in Maryland’s electric grid, by storing energy for use during peak times, Vaughan said.

“Governor Moore and legislative leaders acted quickly and decisively to ensure Maryland maximizes its energy storage resources,” Vaughan wrote. “These resources meet energy reliability needs more quickly than any other resource.”

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by Christine Condon, Maryland Matters
May 21, 2025

Maryland Matters is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Maryland Matters maintains editorial independence. Contact Editor Steve Crane for questions: [email protected].

As far as Ed Hale is concerned, it’s all over but the paperwork.

Hale, the current owner of the Baltimore Blast indoor soccer team and a longtime city banker and business owner, said he is committed to mounting a Democratic primary challenge in 2026 to Gov. Wes Moore (D), at the urging of friends who he said are worried about the future of the state.

It’s just talk for the moment, but Hale said Thursday that he is pulling together all the paperwork and disclosure forms that will be needed to make it official.

“I’m getting everything together … and that’s it, and I hope to file it on Monday or Tuesday after working through the weekend to get it all done,” said Hale, 78.

“When I’m done, you know, I will have some sort of press announcement,” he said.

The primary election is not until June 30, 2026, but Hale might need all that time to mount a challenge to Moore, a formidable candidate despite some recent bumps in the road.

While recent polls have shown Moore’s job approval slipped a bit, as state officials juggled new taxes and program cuts to close a $3 billion gap in next year’s budget, his ratings were still above 50% three years into his first term, with 52% of voters in a February poll saying they approved of the job he is doing. Among Democrats, who would be voting in the 2026 primary, 79% said they approve of Moore.

Moore is a prodigious fundraiser who reportedly has $4 million in the bank already. He will be 47 next summer to Hale’s 79. And the governor frequently makes appearances on national stages and is often talked about as a possible presidential contender in 2028 — speculation he rejected repeatedly during an appearance Thursday on “The View.”

Moore’s office declined to comment Thursday on the possibility of a primary challenge from Hale.

Even in a decidedly blue state like Maryland, the winner of the primary will have to face general election challengers, and the GOP already has one ticket in the race. Republican John Myrick filed for governor in February, the earliest possible date to do so, and he announced his running mate on Wednesday, former Washington County Del. Brenda Thiam.

More daunting would be a race against former Gov. Larry Hogan (R), whose popularity numbers rivaled Moore’s through his two terms in office and who is repeatedly mentioned as a possible 2026 candidate for his old job.

Hale said his decision to run came after discussions with many friends, who were lamenting the direction of the state, particularly its fiscal situation and business climate.

“I talked to [former Maryland Insurance Commissioner] Al Redmer and some other guys, and this is terrible, what’s happening in the state,” Hale said, describing their discussions. “‘Can’t you come up with anybody?’ We were goose hunting on my farm. And finally, people started calling me, why don’t you consider doing it?

“So I just thought about and thought about it, and just decided to do it,” Hale said.

He stresses his business background, noting that he built his businesses from the ground up, with no family money and no college education. Hale waxes poetic about the natural beauty of the state and its many cultural and economic advantages, but said he worries about its future.

He said he is most concerned about the state’s financial future.

“I hear about the budget, and I hear it’s going to get worse, not better,” Hale said. “I’m not here to criticize the problem. I’m just coming in trying to be part of the solution.”

Hale concedes that Moore would be a formidable opponent who will run a well-organized and well-funded race for reelection. But he said he is not worried by the prospect of raising the money and building the organization that will be needed to challenge a popular incumbent.

“I’ll give it the old East Baltimore Irish try,” he said.

 

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by Bryan P. Sears and Steve Crane, Maryland Matters
May 2, 2025

Maryland Matters is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Maryland Matters maintains editorial independence. Contact Editor Steve Crane for questions: [email protected].

Maryland property owners will not see an increase in the state share of the property tax rate next year, when the rate will hold steady at the same level it’s been since 2007.

The three-member Board of Public Works voted unanimously, and without debate, Wednesday to approve a recommendation to hold taxes on commercial and residential properties at 11.2 cents per $100 in assessed value. The property tax rate on utilities will remain at 28 cents per $100 of assessed value.

Taxpayers are still likely to see their tax bills go up, however, even as the tax rate remains flat. That’s because all 23 counties and Baltimore City reported increased assessments for seven consecutive years.

Still, Gov. Wes Moore (D), who chairs the board, lauded his administration’s efforts Wednesday to hold the line on property taxes for the third straight year.

“I want to highlight that, because when I first introduced this administration’s budget proposal back in January, we made one thing very, very clear … the state of Maryland will not balance this budget on the backs of the working and middle class,” Moore said.

“Everything we were going to do was to make sure that working- and middle-class families were not just protected inside of this moment, but also that we can give just a little bit of extra breathing room for families that were actually receiving a whole lot of additional pressure,” he said.

The recommendation to keep the property tax rates unchanged was made two weeks ago by the Commission on State Debt, which is chaired by Treasurer Dereck Davis, who is also a member of the Board of Public Works.

State property taxes are used to repay general obligation bond borrowing. Currently there is more than $10 billion in outstanding debt. State law calls for the rate to be set at an amount sufficient to repay the annual debt service.

The current rate does not cover that amount. The difference is made up with hundreds of millions in cash from the operating budget.

In fiscal 2026, the state will use $156 million in general funds to backfill the debt service not covered by property tax collections. That amount grows to about $400 million a year later. In fiscal 2030, the general fund will kick in an estimated $500 million for debt service.

The rate-setting vote comes in advance of meetings with three major bond rating agencies in coming weeks, as well as a scheduled June bond sale.

Maryland enjoys a triple-A bond rating, the highest, from all three major rating agencies — Fitch, Moody’s and Standard & Poor’s. The high rating means the state pays lower interest on money it borrows.

The state has held that coveted “triple, triple-A” rating for more than three decades. Maryland got its first triple-A rating from Standard & Poor’s in 1961. Moody’s followed 12 years later and Fitch gave Maryland its highest rating in 1993.

Maryland is one of 13 states with the highest rating of all three agencies.

But there are rumblings and concerns about a potential downgrade on the horizon.

A year ago, all three rating agencies reaffirmed the state’s creditworthiness. Moody’s, however, placed the state on a “negative outlook.”

In its report, the agency cited the “difficulties Maryland will face to achieve balanced financial operations in coming years without sacrificing service delivery goals or adding to the weight of the state government’s burden on individual and corporate taxpayers.”

That report was released six months before the election of President Donald Trump and eight months before his administration began making good on his promises to slash federal employment and funds.

Last month, Moody’s released a new report naming Maryland as the most at risk “from changing federal priorities and policies.”

Those back-to-back Moody’s reports and continuing uncertainty at the federal level, as well as how rating agencies will react to potentially billions in looming sex abuse settlements the state could be facing, are stirring concerns about a potential downgrade.

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by Bryan P. Sears, Maryland Matters
April 24, 2025

Maryland Matters is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Maryland Matters maintains editorial independence. Contact Editor Steve Crane for questions: [email protected].

The Maryland Food Bank in 2024. (File photo by Danielle J. Brown/Maryland Matters)

Jesse Albright, along with his brother and father, has been operating Albright Farms in Baltimore County for decades, producing beef, pork and, more recently, eggs.

But Albright is one of dozens of local farmers who may lose significant business opportunities due to a recent decision to end a federal program that helps food pantries buy locally grown produce for low-income households – which he says would “be a blow” to farmers and the community.

“I think it’s great that we can provide local product to our local community,” Albright said. “It would be a blow to anybody who’s been selling through the LFPA program.”

He’s talking about the U.S. Department of Agriculture’s Local Food Purchase Assistance Cooperative Agreement Program, shortened to LFPA, a Biden-era program that gives food banks extra funding to connect with local farmers and use their produce for meal assistance, as local products can be more expensive.

In March, the USDA announced that LFPA program would come to an end in November, withholding millions from Maryland food banks that could affect not only the quality of food provided in meal programs, but also have a financial toll on the dozens of farmers who are part of those agreements.

Meanwhile, more Maryland families are looking to meal assistance programs, according to Meg Kimmel, chief operating officer of the Maryland Food Bank.

“At a time when there is historic levels of need that are not dropping, we cannot have our food distribution totals go backwards,” Kimmel said Friday.

The Maryland Food Bank serves as a meal assistance hub for a majority of the state, connecting with local food banks and pantries to expand outreach for families needing extra help putting food on the table. The Maryland Food Bank has LFPA agreements with 44 local Maryland farmers, and receives about $4 million through LFPA every 18 months.

Without those additional dollars, the Maryland Food Bank will have to “try to spread our dollars more broadly,” which will likely mean fewer purchases from local growers.

Capitol Area Food Bank is Maryland’s other food assistance hub, serving Prince George’s and Montgomery counties. The Maryland Food Bank covers the rest of the counties and Baltimore.

There are 33 local Maryland growers and farmers that work through the LFPA program with the Capitol Area Food Bank, which receives over $5 million from LFPA.

In a written statement Friday, Capital Area Food Bank CEO Radha Muthiah, said that “in Maryland alone, the LFPA has so far enabled CAFB to purchase and distribute more than 3 million meals worth of fresh local food, including items that we typically haven’t been able to offer to our clients due to higher costs.”

“The program has also been beneficial for farmers, giving them more certainty that they have a market for the foods they’re producing,” Muthiah said in the statement.

Albright can attest to that. Albright Farms entered an LFPA agreement with the Maryland Food Bank during the COVID pandemic, providing eggs for the food bank.

He said that the partnership with food banks through the LFPA program can help small farms, such as his own, build up production because they’re “growing product with the intent that they’re going to sell it to the food bank.”

“They’re putting an extra field of cabbage or tomatoes or sweet corn — whatever that product might be. They’re putting in additional acres and additional crop specific for the food banks that they’re selling to,” he said. “It’s no different with us and the chickens … We started small and as they’ve asked for more, we’ve grown our product more.”

Kimmel calls the LFPA a “win-win” for the food bank, families, and the local economy.

“We were able to leverage federal dollars to do things that we haven’t been able to do. We haven’t been able to buy highly-nutritious local food and pay farmers and producers a fair wage for their work. It was prohibitively expensive for us in the past,” she said.

“It’s an economic stimulus program that has benefited our food system – there is nothing else that I have seen in the many years of being in this work that is remotely close to this,” Kimmel said.

If the LFPA program comes to an end on Nov. 30 as currently planned, Kimmel and the food bank will have to make hard decisions on how best to stretch their available funds. She said the first cost-saving action would be to invest in more fresh produce – which would be cheaper than protein, milk and eggs – but their goal is to sustain the number of pounds of food delivered to families. Asking for more donations would be a last resort for them.

Kimmel hopes the Trump administration will reconsider, and restore the program or create a new one that would achieve the same goals as the LFPA.

“It’s not just about buying food, it’s about investing and building in a stronger food system for our tiny little state, which I think is pretty magical,” she said.

Albright would also like to see the program continue, but he and his family are already talking about how to adapt if the LFPA agreements fall through.

“I think farmers have learned to be adaptive,” Albright said. “We try to plan – but I can’t plan for Mother Nature, so I think we’ve learned as a whole, farmers have to become adaptive to the ever-changing environment that we’re operating in.

“If we end up in a tight spot, we’ll have to figure it out,” he said.

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by Danielle J. Brown, Maryland Matters
April 14, 2025

Maryland Matters is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Maryland Matters maintains editorial independence. Contact Editor Steve Crane for questions: [email protected].

Passing a budget took longer than usual this year. This time, however, it was ongoing federal budget cuts and a congressional debate over spending that dragged on and had fiscal leaders making corrections in real time.

The House and then the Senate on Monday ratified a conference committee agreement on a $67 billion overall spending plan for fiscal 2026 over the objections of Republican members, who could do little to stop the package.

The plan includes what supporters frame as budget cuts — holding vacant positions open and shifting costs to the counties plus other moves — and $1.6 billion in new taxes and fees, including two new high-income tax brackets and a new 3% sales tax on IT and data services.

“From the poor to the middle class, to the upper middle class,” Minority Leader Del Jason C. Buckel (R-Allegany) said. “I’m telling you that at the end of the day, this will be one of the worst votes that almost any of you will ever have taken – but we’re going to do it anyway.”

The House passed the budget 101-39, and the companion reconciliation bill, which contains the tax increases, 94-46.

The Senate followed the House, passing both bills by votes of 33-14 and 29-18, respectively.

All votes fell mostly, if not entirely, along party lines.

Senate Budget and Taxation Chair Guy Guzzone (D-Howard) said that the budget agreement “puts Maryland in a strong fiscal position in the face of the challenges ahead, protecting our shared values and priorities.”

But Senate Minority Whip Justin Ready (R-Frederick and Carroll) said there was a “difference of viewpoint” in how the state should handle taxpayer money.

“There’s a difference of viewpoint here … between the idea that people give us their money, and we’re supposed to try to be good stewards of it,” Ready said, “And then there’s this attitude of … where the money is really, the government’s, and we’re going to decide how much we’re going to let people keep and how much you’re going to have.”

The overall budget for fiscal 2026 is just over 1% larger than the current year’s. The general fund budget — the portion for which the state directly taxes Maryland residents — is about $400 million smaller.

Even so, the Democratic supermajority passed a spending plan that included $1.6 billion in taxes and fees.

In addition to two new higher income tax brackets, there is some small tax relief. Lawmakers said 92% of taxpayers will see a refund or at least no increase in their income taxes.

“We’ve got to make sure we are reforming the tax code and not on the backs of middle-class families,” Gov. Wes Moore (D) told reporters Monday afternoon. “I want middle-class families to get a tax cut. Period and full stop. Anything that was not going to adjust on that was not going to be acceptable.”

For those who see a tax break, it will run between $50 and $65 on average.

Moore’s plan, as proposed in January, included a plan that promised to cut or at least not increase taxes for 60% of Marylanders. The average tax break on that plan was about $173.

The governor has not said if the final plan passed by lawmakers provides the breathing room for which he hoped.

Democrats praised the budget for resolving a projected $3 billion structural budget deficit for fiscal 2026. The plan is also said to have reduced a similar sized fiscal 2027 structural deficit to a manageable $300 million.

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by Bryan P. Sears and Danielle J. Brown, Maryland Matters
April 7, 2025

Maryland Matters is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Maryland Matters maintains editorial independence. Contact Editor Steve Crane for questions: [email protected].

 Frederick County Sheriff Chuck Jenkins testifies against a bill that would force his agency to cancel an agreement with Immigration and Customs Enforcement allowing the local department to enforce federal immigration law. (Photo by William J. Ford/Maryland Matters)

Supporters of a bill that would force sheriff’s departments to cancel agreements with federal immigration officials said deputies could still enforce the law just as effectively — they would just not be doing so as an extension of federal authorities.

“There are counties that do not have these formal agreements that still cooperate with ICE [Immigration and Customs Enforcement], still honor judicial warrants, still honor detainers when they are presented to them,” Del. Nicole Williams (D-Prince George’s) said Thursday during testimony for her bill, House Bill 1222.

The bill would prohibit local law enforcement agencies from entering into so-called 287(g) agreements that allow ICE to delegate some federal enforcement authorities to local officers, including the authority to arrest and check a person’s immigration status through a federal database. The bill also requires those departments that have 287(g) agreements to cancel them by July 1.

Six counties — Carroll, Cecil, Frederick, Garrett, Harford and Washington — currently have 287(g) agreements with ICE. Frederick and Harford sheriffs turned up at Thursday’s Senate Judicial Proceedings Committee hearing to defend the program.

“Please allow the local counties to provide public safety as they see fit,” Harford County Sheriff Jeffrey Gahler said.

Frederick County Sheriff Chuck Jenkins said his jurisdiction has been part of the 287(g) program since 2008 and “removed 1,795 criminals,” the majority of whom he described as “dangerous” and “violent.”

Del. Nicole Williams (D-Prince George’s) testifies on her bill to prohibit agreements between Immigration and Customs Enforcement and local police. (Photo by William J. Ford/Maryland Matters)Del. Nicole Williams (D-Prince George’s) testifies on her bill to prohibit agreements between Immigration and Customs Enforcement and local police. (Photo by William J. Ford/Maryland Matters)

 Gahler noted that since his department signed a 287(g) agreement in 2014, ICE has chosen not to initiate action in 35% of cases there. He also pointed to the popularity of the agreements, citing a January poll by Annapolis-based Gonzales Research & Media that found 76% of people surveyed said they would support requiring local governments to cooperate with federal efforts to enforce immigration laws.

But opponents of the agreements say 287(g) agreements “significantly undermined any trust in law enforcement” in immigrant communities.

“287(g) agreements literally turn local law enforcement into ICE agents,” said Nicholas Katz, general counsel for the nonprofit immigrant-rights organization CASA, based in Prince George’s County.

“In this moment, Black and brown families don’t know if it’s safe to go to work, if its safe to walk their kids to school, if it’s safe to go to the hospital,” Katz said.

Currently, jail staff in a jurisdiction can check for any immigration enforcement actions against inmates. If there is a detainer, local officials will notify the agency that’s under the U.S. Department of Homeland Security.

Under Williams’ bill, which passed the House 98-38 last week, if federal authorities identify an immigrant who’s been convicted and is being held in a local jail, the local officials would have to give ICE at least 48 hours notice before release of the inmate. They would have to turn the immigrant over when federal authorities arrived.

At Thursday’s hearing, Sen. Chris West (R-Baltimore County) said the sheriffs would continue to do their job protecting the public, but asked if not having the 287(g) program would decrease their public safety work. It would, Gahler said.

“If we lose the ability to have these agreements with ICE, we lose what comes along with it,” Gahler said. “Which is finding out whether these people are indeed in the country illegally, and recommendations from ICE in relation to national security.”

Sen. William C. Smith Jr. (D-Montgomery), chair of the committee, said he understood the perspectives from supporters and opponents of the bill. But he acknowledged “there is a distinct fear” under the administration of President Donald Trump (R), who has made an immigration crackdown a key element of his tenure. The 287(g) program began under former President Bill Clinton (D) in the 1990s.

“I guess our policy debate here is centered on the federal prerogatives and their implementation of deportation policy and the existence of 287(g) in Maryland,” Smith said.

“Is that creating such an atmosphere that people are not going to want to cooperate with law enforcement? Live life?” he asked. “Is that something that is beneficial to keeping the 287(g) program or getting rid of it?”

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by William J. Ford, Maryland Matters
March 28, 2025

Maryland Matters is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Maryland Matters maintains editorial independence. Contact Editor Steve Crane for questions: [email protected].

There were repeated references to “my friend” from here or “the gentle lady” from there, but the niceties were overpowered by the shouting and the finger-pointing Wednesday during a second day of debate on the fiscal 2026 budget.

The House ultimately approved the $67 billion budget for next year, after three hours of debate — which was on top of seven hours of testy debate Tuesday, when House Democrats beat back a series of Republican amendments.

While Wednesday’s debate was shorter, it was no less heated, with the highlight — or lowlight, perhaps — coming in a shouting match between two Democrats that eventually pulled in the Speaker.

“I know this is not popular, as a person in the majority party … I stand here because I feel like I don’t have a place in this place anymore — I don’t. And it’s for some of these reasons in this very budget,” said Del. Sheree Sample-Hughes (D-Dorchester and Wicomico).

“It doesn’t look like what the Eastern Shore is in need of,” she said in explaining her “no” vote on the budget, which includes more than $2 billion in cuts and $1 billion in tax increases.

When House Speaker Adrienne Jones (D-Baltimore County) tried to tell her the allotted two minutes of floor time was up, Sample-Hughes steamrolled over the Speaker.

“And you know what, I’m not even going to talk about the budget stuff anymore, and yes I know that’s what the purpose is – I get that,” Sample-Hughes said. “This institution is not for everybody … ”

 When Del. Stephanie Smith (D-Baltimore City), the House Parliamentarian, called a point of order to remind the delegate that her time was up, Sample-Hughes pushed right on through, leading Smith to shout over her. That didn’t stop Sample-Hughes, who was trying to press how the budget would affect her constituents.

“Parliamentarian, I hear you, but enough is enough,” Sample-Hughes said. “When I have an 80-year-old woman calling me saying she’s working with candles to light her house–”

As Jones brought the gavel down, Smith issued another warning. “The two minutes for the gentle lady,” she said, pausing for emphasis, “are over.”

“I can count,” Sample-Hughes shot back.

“Yes, but you must sit down,” Smith said. “You no longer have the floor.”

“I understand, the one last thing I will say,” Sample-Hughes continued, “and I was not trying to be controversial –”

“People are allotted two minutes to explain their – I can talk louder; do you want to do that?” Smith shouted, her frustration growing. “Sit down.”

“Let’s keep calm,” Jones jumped in. “You had your two minutes.”

Sample-Hughes yielded but not before saying, “Two minutes is up, but the passion for the people continues” — a line that drew a smattering of applause from House Republicans.

It was not the first flare-up of the day: Several delegates engaged in pointed remarks over the “core values” of Republicans and Democrats as they argued over what should be cut or preserved as the state works to close the $3 billion deficit for fiscal 2026.

“I’m disappointed that the minority party wants our citizens to go it alone based on their proposals on this budget. They want every man to fight for themselves,” said Del. Malcom P. Ruff (D-Baltimore City), citing a series of failed amendments Republicans proposed Tuesday.

Ruff said that despite $2.5 billion in spending cuts, he is proud that the proposed budget still funds programs in education and raises salaries for state workers.

“This is what our budget and our morals and our values are about  — stand 10 toes down,” he said, raising his voice to a level that Del. Jason Buckel (D-Allegany) later described as yelling.

“I appreciate my friend from Baltimore City, but I don’t appreciate being yelled at,” Buckel said. “If I did it too, you wouldn’t like it as much.”

But as Buckel’s comments went on, the volume of his comments also rose at times.

“We’re the only state in our damn region that has a multibillion-dollar budget deficit and needs to raise billions of dollars in taxes to do the same stuff that they do in Richmond,” he said raising his voice at the end.

“I don’t know if we know how things work here in Maryland,” he said. “They seem to know how they work in Virginia. They seem to know how they work in Pennsylvania, and Delaware and West Virginia. But we can’t seem to get it done here in Maryland.”

Despite the shouting and two hours of debate, the House voted 100-39 to approve House Bill 350, the main part of the budget , with Sample-Hughes joining Republicans to vote no.

About an hour later, the House voted 93-46 to approve the second prong of the budget in House Bill 352. In addition to Sample-Hughes, Democratic Dels. Brian Crosby of St. Mary’s County and Heather Bagnall of Anne Arundel County joined Republicans opposing the bill.

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by Danielle J. Brown, Maryland Matters
March 27, 2025

Maryland Matters is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Maryland Matters maintains editorial independence. Contact Editor Steve Crane for questions: [email protected].

Maryland’s Senate president warned of a “Maryland recession” Tuesday, after a top bond rating agency released a report highlighting the state’s unique vulnerability to federal budget and employment cuts coming from the Trump administration.

“We have to brace for a Maryland recession. That is the news that we are receiving,” Senate President Bill Ferguson (D-Baltimore) told reporters.

“This will be acutely felt by the state of Maryland, and we have to be honest about how hard this is going to be,” he said.

State officials have been bracing for a hit to the state’s finances since President Donald Trump took office and — under the guidance of billionaire Elon Musk and his U.S. DOGE Service — began slashing federal jobs and freezing government spending.

“There’s a great uncertainty in our economy right now created by the chaos created by this president, and Maryland is not going to be immune from that,” said House Appropriations Chair Del. Ben Barnes (D-Prince George’s and Anne Arundel).

“I’m not an economic forecaster so I’m not going to say that we’re going to hit a recession. What I am going to do is follow the data and right now the data is concerning to say the least,” he said.

The Moody’s Ratings report that Ferguson was referencing said Maryland ranks “at or near the top for risk from changing federal priorities and policies.”

“We are a highly vulnerable state,” Ferguson said. “It is clear there is an intentional effort to disrupt the federal government with massive cuts, and Maryland will have an outsized role in that, validated by Moody’s.”

The report, which was released Monday, highlights three factors — federal employment, existing budget deficits and concentrated federal grant funding — that place Maryland at more risk than any other state in the nation.

It’s the second report from the rating agency to raise concerns about the state. In May, the agency reaffirmed the state’s cherished AAA bond rating but moved the state’s creditworthiness outlook from stable to negative. It was the first time since 2011 that Moody’s had issued a negative outlook for Maryland.

Over-reliance on federal employment

Senate Minority Leader Stephen S. Hershey Jr. (R-Upper Shore) said Ferguson’s comments obscure a more longstanding policy problem, saying “economists have been warning us for more than two decades that Maryland’s economy was too reliant on the federal government.”

“Instead of implementing a much-needed culture shift and adopting policies that would help Maryland’s economy grow independently, Maryland Democrats have doubled down on large spending programs and continue to rely on the federal government to balance our budget,” Hershey said. “Even now, when our financial situation is dire, Democrats are creating even more tax burdens for our private-sector business community.”

Maryland houses headquarters for the National Institutes of Health, the Food and Drug Administration, the Centers for Medicare and Medicaid Services, the National Oceanic and Atmospheric Administration and the National Security Agency, and oter agencies have facilities here.  are all within the state.

The number of federal jobs in the state grew from 143,000 in 2014 to 160,000 today, an increase of 13% that was faster than state and local government growth and the 10% rise in federal jobs in Virginia during the same period.

And the Moody’s report said that is in addition to the estimated 250,000 Maryland residents who work at federal jobs in Washington, D.C.

Federal job growth also grew the state’s per capita personal income. At 7.4%, Maryland’s share of personal income from federal employment is more than four times higher than the 50-state median

Moody’s projects that federal layoffs could be concentrated in Charles, Montgomery, Prince George’s and St. Mary’s counties. All are “adjacent to the capital district and also have a very large number of federal facilities.“Donald Trump is intent on testing our federal workforce and destroying our economy,” Barnes said. “He’s also intent on walking away from our communities that are most vulnerable and need us.”Last week, the state Board of Revenue Estimates projected more than 28,000 federal jobs could be lost in Maryland.

“Counties in the state generate the overwhelming majority of their operating revenue from property and income taxes,” the Moody’s report states. “Federal contraction will squeeze both revenue streams, potentially pressuring county budgets.”

Montgomery County Executive Marc Elrich in November said his county would begin to assess how cuts could affect county finances.

In some counties, federal wages count for as much as 20% of gross income.

There are also concerns about the federal government shrinking the amount of office space it needs. Such a reduction could have “a disproportionate impact on Maryland’s commercial real estate market,” according to the report.

Already bad budget outlook gets worse

The report also notes that Maryland was already “confronting a large and growing budget gap even before job cuts and other downsizing objectives emerged,” but decreased tax revenue caused by federal job cuts will worsen those fiscal challenges.

Gov. Wes Moore (D) and lawmakers started the 90-day session staring down a projected $3 billion deficit for fiscal 2026. The House Appropriations Committee is expected to finalize its version of that budget late this week, with a vote possible by the full House early next week.

Included in that package may be a controversial 2.5% sales tax on some business-to-business services. More than 400 businesses have signed up to oppose that proposal at a hearing Wednesday, but Ferguson said the tax is being considered “very seriously” as a way of protecting social safety-net programs that would be affected by Trump’s cuts.

“And look, as I’ve said over and over again, the last thing in the world we want to do right now is raise revenues,” Ferguson said. “But the alternative is consequential, and it means kicking kids off of Medicaid. It means shutting down long-term care facilities. It means reducing access to foster care.”

The Moody’s report Monday notes that the state’s fiscal situation was further complicated by the Board of Revenue Estimates write-down of projected revenues for the current and coming fiscal year.

“Decreased tax revenue will add to the state’s projected deficit, which may be exacerbated by other factors, including potential reductions in federal funds for Medicaid,” according to the report.

“When we look at all of our core priorities, the actions of the Trump administration are causing us to have to rethink everything from public safety to health care to education,” Ferguson told reporters. “And it is no surprise that it’s validated by this Moody’s report today that everything continues to have to be on the table, because it’s not just about filling the gap that exists.”

Federal grant cuts could also play a role

Finally, Moody’s notes that “less generous federal grant policies” could encourage nonprofit research organizations to “scale back,” specifically noting Johns Hopkins University.

Moody’s said scientific research, including that done at the university, is “an economic cornerstone of the state.” Research grants from the National Institutes for Health and National Science Foundation per 1,000 residents is second only to Massachusetts, according to the report. But new federal policies calling for capping some expenses “could force retrenchment by the scientific community in the state.”

Maryland could also take a hit in federal contracting, which accounts for 8.9% of personal income in the state, a larger share than all but Virginia at 16.5% and New Mexico at 10.6%. The 50-state median 1.8%, according to Moody’s.

By Bryan P. Sears