Maryland’s unemployment insurance trust fund faces potential solvency issues that could worsen in the wake of massive federal employee layoffs or a recession, lawmakers were told Tuesday.

Labor Secretary Portia Wu told members of the Joint Committee on Unemployment Oversight that the state’s insurance trust fund of $2 billion currently meets federal solvency requirements. But she said that picture could change dramatically with new analysis reflecting economic downturns and unemployment levels that more closely reflect rates during those times.

“Claims levels are at historic lows right now because of the incredibly low unemployment rate,” Wu told the panel. “But again, as I was saying, we don’t anticipate that will continue.”

Wu’s comments included concerns about the potential for a massive displacement of federal workers under President Donald Trump (R). Some early state projections anticipate as many as 29,000 workers could lose their jobs as Trump culls federal agencies and employees.

The briefing came just hours before the U.S. Supreme Court lifted a lower court injunction that had been blocking Trump administration plans to slash federal payrolls.

Tuesday’s briefing was the first in what is expected to be a series of committee meetings leading to the 2026 legislative session.

Sen. Ben Kramer and Del. Lorig Charkoudian, Montgomery County Democrats who co-chair the panel, have sponsored identical bills to modernize the fund. This was the third year such legislation has been proposed. The meetings during the interim are a prelude to a fourth effort next year that could result in updated benefits and potentially changes — even increases — in assessments on employers.

“I think the whole purpose of our getting together and starting to meet now and have this conversation is so that we have a better handle on what’s happening,” Kramer said. “I mean, some of the slides are a little bit scary, and they’re getting my attention.”

Charkoudian worried that abrupt changes in the surcharges on employers that could hit at the same time as an economic downturn that displaces workers.

“So, we talk about how do we fix the roof when the sun’s shining?” Charkoudian asked.

Even if anticipated economic downturns do not occur, Wu said the growing number of workers who are becoming eligible for the maximum weekly benefit is stressing the system to the point where the fund could fall below federal guidelines sometime between 2026 and 2027.

Currently, employers in Maryland pay taxes into the account — $26 per employee with a taxable wage base of $8,500. The rate has remained unchanged since 1992. Unemployed workers can receive a maximum weekly benefit of $430, an amount that has not changed since 2010.

Over time, market changes, inflation and a rising minimum wage have increased wages to the point where workers whose jobs might have earned benefits on the low end of the fund’s scale are moving closer to the maximum benefit.

“What’s happening is everyone is moving towards the ceiling of benefits, but that same thing isn’t necessarily happening to revenue,” Wu said. “So that’s where you start seeing a gap and eventually solvency problems.”

Inflation has also outpaced benefits: A dollar of benefits in 2010 went 24% farther than in 2025, Wu said, while average rents have grown by 30% over roughly the same period.

Mike O’Halloran, state director of the National Federation of Independent Business, said other factors also play a role, and an increase in what businesses pay into the fund would be yet another state-imposed burden.

“Certainly, as legislators, you all are very well aware that some of the costs that businesses have taken,” he said. “Since 2015 … paid sick and safe leave, paid family and medical leave insurance, which has yet to come on board. So, I think when you’re talking about purchasing power, it’s also important to include some of those dynamics that employers are facing since they’re the ones that are funding the trust fund.”

Charkoudian said during the briefing that new rates of $35-$50 per employee might have to be considered. Analysis from Wu’s department — the agency took no public position on any changes — included scenarios that raised the wage base to $15,000 in addition to changes in surcharges.

“I think we all appreciate and value our business and businesses in the state and ensuring their viability,” Kramer said. “But we’re also weighing it against what we’re looking at that’s being forecast, the solvency of the fund.

“I think engaging in this scenario with this body, we’re beginning the conversation,” he said. “So when we do get into session, we have a better handle of where we might want to go and how we do want to address it, keeping in mind all the checks and balances that are important to all of us.”

The unemployment rate in Maryland stood at 3.2% in May. That is higher than the 1.9% in June 2023 but still below the state’s 30-year average of about 5%.

Wu said the unemployment rate is key.

One analysis by the department projects the fund will fall below federal solvency guidelines by 2027 if the state moves back to its average unemployment rate and no changes are made to benefits or taxes levied on employers that feed the fund, Wu said.

An economic downturn, massive number of displaced workers, or a Great Recession scenario would hasten the pace at which the system becomes insolvent.

“We’ve been fortunate that it’s [unemployment] been so low, but I don’t think we can realistically count on it staying below 4% the way it has been, and even if it were to increase to the historical averages, that can create pressure on a fund,” she said.

by Bryan P. Sears, Maryland Matters
July 9, 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 Moore administration plans to slash about $121 million from the state’s personnel budget through a combination of buyouts to state employees, a hiring freeze and elimination of at least 150 vacant positions, officials said Tuesday.

The measures were announced in a “Dear colleagues” letter from Gov. Wes Moore (D) to state employees that was sent at noon Tuesday.

“We are moving with care and intentionality to minimize impact on current employees and be transparent throughout the process,” Moore wrote in the letter.

Moore Chief of Staff Fagan Harris said in an interview with Maryland Matters that state officials have been trying for weeks to come up with a plan to get the savings from the state’s general fund, in accordance with the fiscal 2026 budget that the governor signed in May.

“It’s going to be all of these things that help us get to the number, ultimately,” Harris said.

As recently as two weeks ago, the administration was looking at layoffs of current workers as part of the budget-cutting mix, an administration official said at the time. But Harris said Tuesday that they were ultimately able to stop short of actual layoffs.

Even so, the measures will hamper Moore’s goal of growing the state workforce. When he took office in 2023, Moore pledged to rebuild state government, including by filling 5,000 positions left vacant by his predecessor, Gov. Larry Hogan (R). And Moore has recently pushed state agencies to hire former federal workers in search of new jobs amid the Trump administration’s cost-cutting measures.

As of the end of May, there were about 4,800 vacancies in all state agencies, a 9.3% vacancy rate, according to Raquel Coombs, a spokesperson for the Department of Budget and Management.

The administration’s plan excludes the University System of Maryland, which previously announced cuts. Also excluded from the hiring freeze are the state’s “24/7” facilities, such as prisons, hospitals and juvenile facilities, as well as sworn state troopers, Harris said. Administration officials said they’re still crafting the buy-out plan and choosing which vacant positions to eliminate, but those same positions are likely to be excluded.

As part of Tuesday’s announcement, the administration is also pushing state agencies to come up with “creative” cost-cutting solutions, Harris said. That includes “in-sourcing” contracted jobs and consolidating physical facilities, to the extent possible, he said.

Harris said that non-union employees, including those in the governor’s office, will not receive planned salary increases, such as merit raises and step increases. But they will receive a 1% cost-of-living increase in July.

Del. Ben Barnes (D- Anne Arundel and Prince George’s), chair of the House Appropriations Committee, said he was pleased to see the governor take a path that did not include cuts of current staff.

“I’m very happy to see that there will not be furloughs or layoffs, as they’re not warranted or necessary given our current fiscal picture,” Barnes said.

Sen. Guy Guzzone (D- Howard), chair of the Senate Budget and Taxation Committee, hailed the governor’s move as “very reasonable and logical.” It should achieve the $121 million in needed cuts, but Guzzone warned that further cuts at the federal level could force state officials back to the drawing board.

“We don’t know what else may come along — what other shoe might drop,” Guzzone said. “But I think it’s important to keep a level head and make reasonable decisions along the way. And I think this was a reasonable decision by the governor.”

Barnes said that, based on data from the Department of Legislative Services, he believes the $121 million in savings could be achieved solely by slashing vacant positions.

“Anything beyond that would be additional actions the governor was taking,” Barnes said.

Barnes said the state has reached a solid fiscal position, citing the state’s triple-A bond ratings this year from Fitch and Standard & Poor’s.

Critically, though, Maryland lost its treasured triple-A bond rating this year from Moody’s, the third major bond rating agency, which also downgraded half a dozen other state borrowing programs.

Republican legislative leaders criticized the Moore administration for not enacting the hiring freeze sooner, even as the state’s financial woes became clear.

“Back in February, I questioned the wisdom of expanding state government while facing a $2.8 billion deficit. I said then, and I repeat now: when you’re in a hole, you need to stop digging,” wrote Sen. J.B. Jennings (Baltimore and Harford) in a statement. “The decision to finally enact a hiring freeze and reduce vacant positions is the right one — but it should have happened months ago, before the situation became more urgent.”

Jennings and other Republicans called for the freeze as early as February, in response to Moore’s budget proposal. But Moore administration officials had balked at taking such a step.

“Let’s be honest: this is the Moore Administration quietly admitting that Senate Republicans were right,” said Senate Minority Whip Justin Ready (R-Frederick and Carroll)  in a statement.

Moore’s “Dear colleagues” letter said the hiring freeze will begin July 1. Harris said it is likely to last at least through the fiscal year.

The precise terms for voluntary separation agreements are likely to be released in the coming weeks, Harris said, adding that the administration does not yet have a goal for a number of buyouts.

“We want to drive as much adoption as we can, but there’s no specific target,” Harris said.

The administration is planning to bring a list of vacant positions to the Board of Public Works for elimination around September.

“We want to make it so that the public does not feel these changes,” Harris said. “We certainly are aware of a large universe of savings there, but we’re going to be really careful and intentional this summer, as we work through this to achieve as many savings as we can responsibly.”

by Christine Condon, Maryland Matters
June 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].

Gov. Wes Moore (D) called for a state of preparedness Monday amid a “hazardous heat wave” rolling across the country that threatens to raise the heat index in Maryland into the triple digits this week.

State officials are warning Marylanders to take the threat of the rising temperatures seriously.

“We ask that all Marylanders do their part to stay vigilant, stay hydrated, and stay in cool locations as much as possible,” Moore said in a statement Monday. “This State of Preparedness will ensure that Maryland is coordinated and poised to protect our people in anticipation of extreme heat and humidity.”

As of Monday evening, the National Weather Service reported that Maryland faces an extreme heat warning through Wednesday, with a heat index of up to 110 during the hottest parts of the day.

“Many Marylanders are at risk for heat-related illness during extreme heat like we are experiencing this week,” Maryland Health Secretary Meena Seshamani said in a written statement.

There’s already been one heat-related death in Maryland, which came before the current heat wave hit. The health department provides only a range of data on victims, but it appears that the first heat death of the year was a female from Montgomery County between the ages of 0-17, whose death occurred before last week’s heat-related illness surveillance report was filed last Wednesday.

In recent years, the first deaths of the season have typically been males in their 40s and 50s. Last year, a total 26 people died from heat-related illnesses, the highest death toll since 2018.

As a precaution, Moore’s state of prseparedness order directs the Department of Emergency Management to coordinate state agencies to prepare for potential impacts from hazards or threats, without calling for a state of emergency.

This is also the first year that new state heat safety standards will be in place on worksites, requiring longer and more frequent breaks when the heat index reaches above 90 and 100 degrees. Employers are also expected to provide ample shade and other methods of cooling down for employees working outside and in hot conditions.

State officials hope the new standards will help reduce death and emergency room visits due to heat-related illnesses.

There have already been 164 emergency room and urgent care visits due to heat-related illnesses, according to latest weekly report from the health department.

The department has urged Marylanders to check up on vulnerable family members and on neighbors who are more susceptible to severe heat illnesses.

“Marylanders are advised to never leave children in a car,” the department said last week. “Always check twice to ensure that a vehicle is empty. Even on a 70-degree day, within half an hour, the temperature inside the vehicle can climb to over 100 degrees.”

The department reminds Marylanders to drink plenty of fluids to help cope with the hot weather and urges folks to avoid alcohol, caffeine and overly sweetened beverages. Officials also encourage wearing sunscreen and staying in the shade when possible. Those in need of a cool location can contact their local health departments or call 211 to find the nearest cooling center.

“Remember to check on those who are particularly vulnerable to this weather — including young children, senior citizens, and people with chronic diseases,” Seshamani said. “Be sure that they have the resources they need to stay comfortable and safe, or help them locate one of the dozens of local cooling centers available.”

by Danielle J. Brown, Maryland Matters
June 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].

Gov. Wes Moore (D), in Annapolis Thursday, touts a $19 million donation from Exelon to help low- and middle-income ratepayers hit by steadily rising power bills. (Photo by Christine Condon/Maryland Matters)

The parent company of BGE, Pepco and Delmarva Power will distribute $19 million to help its low- and middle-income customers in Maryland pay their bills, as rates continue to rise, it announced Thursday.

Exelon’s one-time donation to its Customer Relief Fund will be split between local nonprofits to actually distribute to customers in need. It’s part of a larger $50 million Exelon donation spread out between the states the company serves.

During an event Thursday at the Salvation Army of Annapolis, Maryland Gov. Wes Moore (D) cheered the Exelon program and added that he hopes to take future steps regarding climbing energy costs.

“This is not a final step, but it’s an important continuation of the work that we are doing to provide relief to Marylanders who need it the most,” Moore said. “Maryland is ready to lead the country in what it means to put our people first.”

Consumer advocates welcomed the announcement, but put it in perspective.

“It’s welcome news that the Exelon Corp. is donating $19 million to direct relief for Maryland ratepayers. But let’s not forget that Exelon and its subsidiaries have been driving affordability problems in the first place through relentless rate hikes,” said Emily Scarr, a senior advisor for the nonprofit Maryland PIRG, which advocates for ratepayers.

She argued that Exelon’s rate hikes, outpacing inflation, have led to “massive profits and unaffordable home heating and cooling.”

In a news release announcing the program, Exelon President and CEO Calvin Butler blamed the high energy bills on “increased supply costs.”

“The Customer Relief Fund, in addition to our existing year-round programs supporting customers with energy assistance, once again demonstrates Exelon’s commitment to our communities,” Butler’s statement said. “We continue to work with federal, state and local officials to develop long-term solutions that ensure customers affordable, reliable and sustainable energy.”

The moves come as Maryland ratepayers brace for the latest blow to their monthly utility bills.

In the coming months, customers will feel the effects of a record-setting energy capacity auction at PJM Interconnection, which operates the electricity grid serving Maryland, Washington D.C. and a dozen other states.

As a result of the auction, in the year beginning June 1, utilities and retail suppliers of energy will pay $14.7 billion for electric capacity, a jump from the $2.2 billion the previous year — which will flow down to consumers.

Some are blaming PJM for botching the auction by failing to accurately evaluate the amount of power already available, driging up costs. They also say its policies have constrained supply at a time of increasing demand, by preventing renewable energy from coming online quickly.

Moore, standing beside BGE and Pepco officials during his remarks, zeroed in on PJM.

“It is unacceptable that inefficient and outdated processes at PJM are leading to bill increases — not just in Maryland, but across all 13 states and D.C.,” he said.

But ratepayer advocates argue that utility companies, including Exelon, have contributed to the energy affordability crisis as well, in part because of overzealous infrastructure spending.

They point to the “distribution” charges on electric bills, which fund substations, poles, wires, trucks and other equipment for their local utility. Between 2010 and 2024, the distribution rates for Exelon utilities Delmarva Power and Pepco more than doubled, well outpacing the rate of inflation; by comparison, Potomac Edison rates increased with inflation, according to a June report from the Maryland Office of People’s Counsel.

Whatever the cause, prices keep rising, and customers keep falling farther behind: At BGE, for example, residential customers were recently  $171 million in arrears, compared to $97 million just last June.

At Thursday’s event in Annapolis, BGE CEO Tamla Olivier said that addressing the high energy burden in Maryland will require participation from a number of stakeholders.

“We’re not going to be able to solve this as a utility, the state alone or competitive markets alone. It will take all of us together to make sure we are serving the needs of our customers,” Olivier said.

United Way of Central Maryland will administer $15 million of Exelon’s Customer Relief Fund for BGE customers, and the Salvation Army will administer $2.5 million for Pepco customers. Delmarva Power customers will receive $1.5 million, distributed by the Harford Community Action Agency, Shore UP! and the Salvation Army.

Eligibility requirements and distribution methods will differ from utility to utility, said Exelon’s news release, which encouraged customers to visit their local utility’s website for more details. It said eligible customers “may see as much as several hundred dollars in relief.”

Franklyn Baker, president and CEO of the United Way of Central Maryland, said energy bills have been a frequent source of calls to its 211 hotline for assistance with food, health care, rent or mortgage, utility or other bills, and child care.

“We continue to see a rise in the number of calls to 211 related to energy assistance,” Baker said. “And especially as summer heat intensifies everyday costs rise, and the cost of utilities will be a burden that many in our community will not be able to carry, including some — listen to this — who have never applied for assistance before.”

Maryland electric customers can expect to pay anywhere from an extra $4 to $18 a month, according to the Office of People’s Counsel report. It said SMECO customers will see increases starting June 1, while Pepco and Delmarva Power customers will see bills go up in August and  Potomac Edison customers will get hit in their October bills.

The Exelon fund is not the only effort to shave costs for customers. The Maryland Public Service Commission recently ordered BGE to spread its costs increases over several months to blunt the impact.

And state lawmakers in the last legislative session tapped a renewable energy fund for $200 million, which will be used top give credit directly to ratepayers. The one-time payments are expected to average $80, split between a bill in the summer and another in the winter.

The rebate was part of a larger package of energy reforms, which also created a “fast-track” permit process at the PSC for new power generation and battery energy storage technology.

Moore, who who signed the bill in May, said that the newly announced $19 million “goes hand in hand” with the legislature’s rebate.

But in response to a question from a reporter, Moore said that lawmakers “didn’t go far enough” to incentivize new power generation, noting that a bill that his administration introduced, to boost nuclear power in the state, did not advance.

“We introduced legislation this year that would have allowed more nuclear into the state, that would have allowed nuclear to be seen as a clean energy source, which it is,” Moore said. “I’m proud of the work we did in partnership with the legislature, but I want to be crystal clear: It did not go far enough.”

by Christine Condon, Maryland Matters
June 13, 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].

If there were ever a textbook example of how federal politics can directly shape local outcomes, it was last night’s Talbot County Council meeting.

Armed with a directive from the Trump administration’s Secretary of Transportation, Council members were informed that federal funding for capital improvements like civilian airports—including Easton’s—would be contingent on the removal of DEI (Diversity, Equity, and Inclusion) policies from local government. The message was pretty straightforward: without eliminating DEI language from employee handbooks or discontinuing annual diversity reports, Talbot County could forfeit up to $48 million in federal grants earmarked for infrastructure improvements, specifically, runway modifications currently underway at the Easton Airport.

As shown in our highlight reel, pragmatism ultimately prevailed. The Council voted 4–1 to remove all DEI-related language and policies from the county’s public documents to preserve funding for the airport project in northeast Talbot County, whose goal is to comply with the Federal government’s FAA regulations.

Here is the full resolution:

Administrative resolution regarding the Diversity, Equity, and Inclusion statement adopted by the County Council of Talbot County, Maryland on September 22, 2020, and diversity training for employees of Talbot County, Maryland.

Whereas, on June 23, 2020, the County Council of Talbot County, Maryland adopted an administrative resolution requiring the County Manager to:

Provide an annual report describing diversity training initiatives for employees of Talbot County, Maryland in the prior fiscal year, and Identify new opportunities for diversity training in the following fiscal year.

And whereas, on July 14, 2020, the County Council adopted an administrative resolution requiring the development of a diversity statement for the County applicable to County government.

And whereas, in accordance with the July 14 administrative resolution, on September 22, 2020, the County Council adopted by motion a Diversity, Equity, and Inclusion (DEI) statement, the objective of which is stated therein as follows:

By adopting this Diversity, Equity, and Inclusion statement, the County strives to foster an environment that welcomes and accepts diversity within County government.

The County is committed to:

Maintaining an inclusive, productive, supportive, open, innovative, and equitable workplace environment in which every individual is valued for his or her unique characteristics.

Fostering respect, understanding, and acceptance of differences.

Enabling employees to reach their full potential, thus enhancing the relationships among ourselves and optimizing the quality of services to our residents and fellow employees.

And whereas, following the adoption of the June 23 administrative resolution, the County Manager has provided annual reports to the County Council regarding diversity training.

And whereas, on March 26, 2024, the County Council adopted an administrative resolution adopting the 2024 employee handbook for Talbot County, Maryland.

The employee handbook contains provisions setting forth the County’s commitments to:

Equal Employment Opportunity (EEO)
Americans with Disabilities Act (ADA)
Zero tolerance for harassment of any kind whatsoever, including:
Workplace harassment
Sexual harassment
Bullying
Intimidation
Threats and violence

And whereas, in accordance with the foregoing policies and applicable law—including but not limited to the Equal Protection Clause of the U.S. Constitution—the County is a merit-based employer.

Employees and prospective employees enjoy equal opportunity in all employment decisions, without regard to:

Race
Creed
Sex
National origin
Disability
Or other protected characteristics

And the County does not discriminate based on such protected characteristics.

And whereas it is the intent and desire of the County Council and County Administration that every County employee and prospective employee enjoys a welcoming workplace where all individuals are treated with dignity and respect.

And whereas, the County relies heavily on financial assistance from the federal government in various projects—including, but not limited to, the pending airfield modernization program for the Easton Airport. The County would not be able to fund such projects without such assistance.

And whereas, on April 24, 2025, the U.S. Secretary of Transportation sent a letter to all recipients of U.S. Department of Transportation (DOT) funding, including the County, stating in pertinent part:

Any policy, program, or activity that is premised on a prohibited classification—including discriminatory policies or practices designed to achieve Diversity, Equity, and Inclusion (DEI) goals—presumptively violates federal law.

Recipients of DOT financial assistance must ensure that personnel practices, including hiring, promotions, and terminations within their organizations, are merit-based and do not discriminate based on prohibited categories.

And whereas the County Council does not wish to jeopardize the County’s ability to receive critical federal funding, including DOT funding for the program.

And whereas, the employee handbook sets forth the intent and desire of the County Council and County Administration that every County employee and prospective employee enjoys a welcoming workplace where all individuals are treated with dignity and respect, consistent with:

Applicable laws and regulations
The County’s commitments to EEO, ADA, and zero tolerance for harassment

And whereas, notwithstanding the June 23 administrative resolution, the County Administration provides training to all employees regarding compliance with equitable laws and regulations, consistent with EEO, ADA, and zero tolerance for harassment.

And whereas, in consideration of the foregoing, the County Council deems it appropriate to adopt this administrative resolution such that:

The June 23 administrative resolution
The July 14 administrative resolution
And the DEI statement
Are of no further force and effect.

Now therefore, be it resolved by the County Council of Talbot County:

The foregoing recitals are not merely prefatory, but are a substantive part of this administrative resolution.

Effective immediately, the June 23 administrative resolution, the July 14 administrative resolution, and the DEI statement are of no further force and effect.

Effective immediately, the County Manager shall no longer be required to provide an annual report to the County Council detailing diversity training initiatives for County employees. However, the County Manager shall continue to inform the County Council regarding training afforded to employees in compliance with all applicable laws and regulations.

Nothing in this administrative resolution shall be construed as a repudiation of the intent and desire of the County Council and County Administration that:

Every County employee and prospective employee enjoys a welcoming workplace where all individuals are treated with dignity and respect, without regard to race, creed, sex, national origin, disability, or other protected characteristics.

Nor shall it be construed as a prohibition or limitation on the County Administration’s authority to provide training to all County employees regarding compliance with applicable laws and regulations.

Be it further resolved that this administrative resolution shall take effect immediately upon adoption.

Introduced by the County Council of Talbot County, Maryland at a regular meeting on June 10, 2025, at which meeting copies were available to the public for inspection.

Adopted by the County Council of Talbot County, Maryland at a regular meeting on June 10, 2025, at which meeting copies were available to the public for inspection.

This video is approximately eight minutes in length.

 Maryland Department of Juvenile Services Secretary Vincent N. Schiraldi in a file photo from January 2024. (Photo by Bryan P. Sears/Maryland Matters)

Critics called the move long overdue but Schiraldi, 66, said in an interview Monday evening that he’s pleased with the work he and his team did under the leadership of Gov. Wes Moore (D).

“It was a real honor working with Gov. Moore,” he said. “I wish him luck as he continues to drive down crime and improve outcomes for young people. His efforts to abolish childhood poverty will reap benefits, not only for kids, but also they’ll improve crime rates even further than they already are.”

Moore announced Schiraldi’s replacement will be Besty Fox Tolentino, who will assume the acting secretary position Wednesday. She currently works as managing director of juvenile and young adult justice initiatives at The Roca Impact Institute, a nonprofit based in Chelsea, Massachusetts.

“We knew when we took office that the Department of Juveniles Services was one of the most troubled in all of State government. We need to continue to move fast and diligently in order to turn it around,” Moore said in a statement.

“I am pleased that Betsy Fox Tolentino has raised her hand to serve and will lead the department during the next critical phase of this work,” his statement said. “Her focus on safety for all communities is defined by executional excellence, accountability for justice-involved youth, support for the staff who serve them, and sturdy grounding in the law is exactly what we need at this moment.”

Before working at The Roca Institure, Fox Tolentino worked in juvenile services in Maryland as deputy secretary of community operations, a position created by the General Assembly in 2021.

“I am thankful for Secretary Schiraldi’s service to Maryland while leading an organization that shapes the lives of our young people who need support. I wish him well in his next endeavors,” Senate President Bill Ferguson (D-Baltimore City) said in a statement. “I also want to congratulate Betsy Tolentino on her nomination as secretary. Ms. Tolentino’s experience in successful operations at the Department of Juvenile Services will be important to the next phase of the work for the agency.”

‘Long overdue’

Senate Republicans believe Schiraldi’s departure is “long overdue,” saying in a written statement that under Schiraldi’s leadership, “a broken system became a public safety liability.”

“He presided over widespread failures: violent juveniles released with no real supervision, repeated contract mismanagement, dangerous missteps in ankle monitoring, and frontline staff left to fend for themselves,” Senate Minority Leader Stephen S. Hershey Jr. (R-Upper Shore) said in the statement.

Minority Whip Justin Ready (R-Frederick and Carroll) criticized Moore for not removing him sooner, saying that while the change in leadership is welcome, it “doesn’t erase the damage already done under Schiraldi—or the fact that the Governor stood by while this department fell deeper into crisis.”

The Senate Republicans that the department Schiraldi leaves behind “remains in disarray,” and that disfunction at the agency are “deeply embedded in a culture of mismanagement and denial.”

“Removing Schiraldi is just step one,” Hershey added. “We need a full overhaul of the department — new leadership, real operational experience, a commitment to public safety, and above all, accountability.”

The juvenile services department has been mired in controversies under Schiraldi. Most recently, the agency was the subject of a lengthy report from state auditors who said the department failed to consistently ensure that criminal background checks were completed for every contractor working at state juvenile detention centers and treatment facilities.

This oversight allowed a state contractor for the department to work directly with children through this year, despite a 2021 assault conviction, according to a May report from the Office of Legislative Audits.

Schiraldi’s department also came under fire over last year over inadequate communications involving the transfer of a student who was charged with serious criminal offenses.

Last year, the Maryland State Board of Education had to issue an emergency rule requiring that school leaders notify other schools of such cases, after a student in Howard County was arrested in connection with an October murder. Howard County education officials said that they were not notified that the student in question had also had been charged in another county and was under Department of Juvenile Services supervision before he enrolled in their county.

The General Assembly’s Joint Republican Caucus had called for Schiraldi’s removal following that incident.  Moore stood by Schiraldi then, saying that the secretary understood the vision of the administration when it came to accountability and opportunities for Maryland’s youth.

Schiraldi said when some lawmakers speak loudly against some criminal justice reform measures, “watch out.”

“I think when you hear some politicians thumping their chests and breathing fire … that’s when bad policy happens, and that’s when lots and lots and lots of young Black men get incarcerated,” he said. “That is the story of mass incarceration, and if we’re not careful, we will relive that history.”

Fishing and hiking

Schiraldi has highlighted several accomplishments during his tenure with the agency such as the creation of the Thrive Academy. The program that began in 2023 in Baltimore City and Baltimore County to provide community-based, gun-violence prevention programs for youth at the highest risk of being a victim or perpetrator of gun violence.

By July 1 of last year, it had expanded to 300 youths statewide.

In terms of staffing, Schiraldi told the Senate committee in January the job vacancy rate at the department decreased from 16% when he arrived to 11% during that time.

Schiraldi spent several decades in criminal justice and youth reform. He was director of the Department of Youth Rehabilitation Services in Washington, D.C.; a senior criminal justice adviser to former New York Mayor Bill De Blasio (D); a leader of the New York City Department of Corrections during which he tried to close the notorious Rikers Island jail complex and end solitary confinement; and senior researcher at the Columbia School of Social Work.

“Vinny Schiraldi brought decades of experience and innovative thinking to the task of running the Maryland Department of Juvenile Services,” Moore’s statement said. “He put immense energy and effort into his work and moved important new efforts forward – to include the award-winning Thrive Academy – and we thank him for his service.”

Schiraldi, who said his work extends 45 years, plans to relax this summer fishing and hiking with his wife in the Adirondack Mountains in upstate New York. He declined to say what his plans are in the fall, but he isn’t going to retire.

“Folks have been knocking on my door,” he said. “I got a lot of things that I’m considering, but I haven’t made any commitments to people yet, so I can’t announce it. I’ll be fighting mass incarceration again like I always have.”

by William J. Ford and Danielle J. Brown, Maryland Matters
June 9, 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 Gov. Wes Moore speaks at South Carolina Rep. Jim Clyburn’s World Famous Fish Fry, an annual gathering of South Carolina Democrats, on Friday, May 30, 2025. (Photo by Shaun Chornobroff/SC Daily Gazette)

COLUMBIA, S.C. — Minutes before 10 p.m. Friday, after Democratic speakers led the audience in jeers to Republicans’ efforts to slash jobs and health care, and encouraged people to get involved and vote, line dancing broke out.

That mix of politics and fun, mostly the latter, is what makes Rep. Jim Clyburn’s (D-S.C.) annual fish fry in the state’s capital city so popular, attendees said.

“We all came out, and everybody’s enjoying themselves,” said Shantell Zimmerman, 58, of Columbia.

“It brings out the community,” agreed Dionne Brown, 55, of Irmo, who’s been attending the event for six years. “Then we actually get to discuss our views and takeaways.”

Hundreds of people attended the event that started in 1992, the year voters first elected Clyburn to the 6th Congressional District, as a thank you to the voters who couldn’t afford the Democratic Party’s high-dollar fundraisers.

Over time, the “World Famous Annual Fish Fry” — which includes free food and drinks — has become a must-attend event for Democrats seeking local, statewide and national office.

This year was no different, even if Maryland Gov. Wes Moore and Minnesota Gov. Tim Walz — Kamala Harris’ 2024 running mate — said they’re not running for the 2028 nomination.

“I know I’m not running,” Moore told reporters Friday. “But the thing I’m also very clear about is that anyone who’s talking about 2028 is not taking 2025 very seriously.”

Moore and Walz, as well as Clyburn and former Democratic National Committee Chairman Jaime Harrison of Columbia, emphasized the importance of focusing on what’s happening now in Washington, D.C.

Proposed cuts to government safety nets like Medicaid and billionaire Elon Musk’s efforts to rapidly slash federal spending were among the topics the governors touched on Friday during speeches at the fish fry, as well as the state Democratic Party’s Blue Palmetto Fundraising Dinner the same night.

Minnesota Gov. Tim Walz speaks at the South Carolina Democratic Convention on Saturday, May 31, 2025. (Photo by Shaun Chornobroff/SC Daily Gazette)

“I taught school long enough to know it’s because they’re weak and they’re bullies, and when you stand up to them, they fade away,” said Walz, a former high school geography teacher.

While both declined suggestions that they’re running for president, there’s wide speculation otherwise. Their addresses at the events in South Carolina — which last year got promoted from holding the Democratic Party’s first-in-the-South to first-in-the-nation presidential primary — sounded a lot like campaign speeches.

Walz will also speak Saturday at the state Democratic Party’s annual convention.

Lucy Owens, an Anderson County delegate to the state convention, discounted the governors’ refusals, saying the 2028 presidential campaign has clearly begun.

“They’re all going to come through here. They’re the first ones,” she said of Moore and Walz.

In 2019, the fish fry drew more than 20 potential candidates hoping to appeal to South Carolina Democrats.

The following year, Joe Biden won the South Carolina Democratic primary, a victory that ended up vaulting him to the presidency. South Carolina’s primary was elevated for 2024 as Biden’s thank you to the state.

With Biden gone, the Democratic party in flux, and Harrison no longer leading the national party, South Carolina maintaining its first-in-the-nation status is in question.

Clyburn’s comments Friday suggest he knows it won’t. He doesn’t care if the state is first, just that it’s early, he said.

“The most important hitter on a team is the cleanup hitter. He comes in fourth place,” Clyburn told reporters at his event. “I’m not concerned about whether or not we’re first, second, third. Please, let us be at least four.”

That would take South Carolina back to having the first primary in the South.

In the aftermath of Trump’s landslide victory and the Republican Party gaining control of both chambers of Congress, the Democratic Party is in a reset. Walz and Moore, the first Black governor in Maryland’s history, are among the early faces of it.

Winning South Carolina, which changed the trajectory of Biden’s 2020 presidential run, will be crucial for Democratic hopefuls.

 Rep. Jim Clyburn (D-S.C.) speaks at his annual fish fry on Friday May 30, 2025. (Photo by Shaun Chornobroff/SC daily Gazette)

Owens, the Anderson County delegate, pointed to the stage where Walz and Moore spoke, saying every Democrat who wants to be president will eventually appear in that exact spot.

“They got to come through here. Not South Carolina. They got to go right there,” she said.

Both governors received raucous ovations from South Carolina Democrats, drawing cheers, standing ovations and even a few laughs as they took shots at the GOP.

Owens said “they’re both very great candidates,” and she’s “excited” to hear more from them over the coming years.

That was the general consensus from attendees who spoke with the SC Daily Gazette. But they were significantly more familiar with Walz because of his time on the campaign trail last year with Vice President Harris.

“I know less about Wes Moore than I do about Tim Walz, but I think he’s a good speaker,” said Laura Lowery, a 69-year-old from Fountain Inn. “I think he’s done a good job in his state as well.”

Moore has recently come under fire for vetoing a bill that would establish a commission to examine state and federal policies from 1877 to 1965 and come up with recommendations for reparations.

South Carolina Rep. John King, D-Rock Hill, had asked the state party to remove Moore as the keynote speaker at Friday’s Blue Palmetto Dinner because of the veto. Party leaders never responded to questions about that request.

But for at least some attendees, the veto perturbed them too. “I didn’t understand why he would do that,” said Tonya Winbush of Anderson.

But once Winbush, a 50-year-old Army veteran, heard Moore speak about his time in the Army, as well as his pardoning of 175,000 people with convictions for cannabis possession, her opinion changed.

“I think when you don’t know the whole story and you just listen to sound bites, which is what we do a lot, we’ll make brash judgments about people, when we are really fighting the same fight,” she said.

– This story first appeared in the South Carolina Daily Gazette, which is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. SC Daily Gazette maintains editorial independence. Contact Editor Seanna Adcox for questions: [email protected].

by Shaun Chornobroff, Maryland Matters
May 31, 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].

A second bond-rating agency has reaffirmed its highest credit rating for Maryland, helping offset a downgrade by a third agency just weeks before a scheduled $1.7 billion bond sale by the state.

The AAA rating from Standard & Poor’s follows a similar rating from Fitch two weeks ago. Standard & Poor’s — one of three firms that Maryland hires to rate its creditworthiness in advance of annual bond sales — issued its rating with a stable outlook for the state, but also with a warning.

“The stable outlook reflects our expectation that the state will make timely adjustments to achieve a structural balance and adequate cash reserves by proactively managing economic and budgetary risks that arise,” the report said.

The back-to-back AAA ratings from Fitch and Standard & Poor’s help take the sting out of Moody’s report, which downgraded the state from Aaa for the first time in more than 50 years, to Aa1. But state officials note that Moody’s has downgraded several other jurisdictions in the region recently — including the United States — and say the latest ratings prove that Maryland’s financial health is strong.

“The Fitch and S&P ratings reaffirmed what we have been saying all along about the state’s sound fiscal management and ability to adapt to an ever-changing federal bureaucracy,” state Treasurer Dereck Davis (D) said through a spokesperson Wednesday morning.

The report comes before a June 11 sale of nearly $1.7 billion in bonds. Money raised in the sale will be used by the state to pay for large infrastructure projects, including school construction.

At a press conference in Baltimore Wednesday, Senate President Bill Ferguson (D-Baltimore City) called the earlier Moody’s rating an “outlier” that reflected a “Trump-based downgrade.”

“It’s very clear because of what happened with the United States and the bonds of the United States now being downgraded – just, unfortunately, the same way that Maryland was with Moody’s,” Ferguson said. “I think that Fitch and S&P made clearly the right choice — that not only is it triple ‘A,’ but we are stable because we make hard choices when we need to in order to grow our economy.”

Ratings issued by the three agencies — Fitch, Moody’s, and Standard & Poor’s — determine what interest rate the state — and taxpayers — pay for borrowing money. The latest rating in many ways is similar to one issued by Fitch, including words of caution that Standard & Poor’s could downgrade the state under certain conditions.

“We could revise our outlook to negative or lower the rating within the two-year outlook period if the state significantly relies on nonrecurring measures to balance its budget, draws down reserves to a level that is unlikely to be meaningfully replenished, or increases debt and other liability metrics to a level that no longer aligns with the current rating,” the firm wrote in its report.

“We could also lower the rating if the state’s overall wealth and income, employment, and population levels materially trend in a persistently unfavorable direction due to significant weakness in the government sector,” it said.

Such cautions are common from bond rating agencies.

For decades, Maryland enjoyed AAA ratings from all three agencies: Standard & Poor’s gave Maryland its first AAA rating in 1961, followed by Moody’s in 1973 and Fitch in 1993. Those ratings continued every year until this spring, making Maryland one of a handful of states to boast the highest ratings of all three.

Political leaders in the state touted the triple AAA ratings as proof of strong fiscal management. Others said the ratings reflected another reality: a willingness among Maryland’s leaders — mostly Democrats — to raise taxes to pay its debts.

The ratings period this year was more tense. Few acted as if the state was guaranteed the highest ratings of all three, with Moody’s of the most concern.

The firm, in its 2024 report, had reaffirmed its Aaa rating for Maryland, but downgraded the state’s outlook from stable to negative. In March, Moody’s issued a report naming Maryland the state at highest risk for economic problems from Trump administration cuts to federal budgets and jobs.

When the state met with the three firms earlier this month, Moody’s was the only one to schedule an in-person visit. It was attended by the governor, the Senate president and House speaker, an unusual occurrence and an acknowledgement of the seriousness with which state officials were treating the situation.

State officials said in the days after the meeting that they believed they had addressed the budgetary concerns from the 2024 report.

But within days of that meeting — a quick turnaround that surprised many in state government — Moody’s had downgraded Maryland to Aa1 with a stable outlook. Moody’s appeared to put more weight on federal actions and the reliance of the state’s economy on federal employees, contractors and agencies.

Officials — all Democrats — including Davis, Ferguson, Gov. Wes Moore, Comptroller Brooke Lierman and House Speaker Adrienne Jones issued a joint statement decrying the rating downgrade.

Their statement blamed Republican President Donald Trump, who has focused the first months of his second term on the elimination of federal agencies and draconian budget and employee reductions.

A week ago, Davis, whose office oversees the issuing of bonds, said “to hell with Moody’s,” and implied that the state may no longer need three bond rating reviews. Moody’s — which is paid more than $200,000 annually for its review — was potentially on the chopping block.

By Bryan P. Sears