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September 1, 2025

Talbot Spy

Nonpartisan Education-based News for Talbot County Community

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2 News Homepage

No Kings in Easton: Hundreds Peacefully Protest against President Donald Trump

June 15, 2025 by The Spy

Just like more than 1,000 other communities throughout the United States, Easton took part in the non-violent day of protest called “No Kings” on Saturday. This was a national demonstration of opposition to the Trump administration. Hundreds of town residents from the Mid-Shore took to the sidewalks with signs on Dover Street as cars made their way downtown to the annual Pride Day festival.

The Talbot County Democratic Central Committee and the Talbot County Democratic Forum hosted the event.

With thanks to the many Spies who submitted their photos and clips, we were able to assemble an overview of this great American tradition of free speech and a historic day for the Mid-Shore.

This video is approximately two minutes in length.

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

How Did the Mid-Shore Community Foundation Donate almost $4 Million for the new Regional Hospital?

June 13, 2025 by The Spy

The Spy is sure that more than a few Spy readers blinked their eyes the other day when they read the headline that the Mid-Shore Community Foundation (MSCF) had committed almost $4 million to support the building of the new UM Shore Regional Health hospital project. It was inevitable that the region’s largest community foundation would make a meaningful donation to this much-needed facility, but the Spy wanted to know how the MSCF could make such a significant commitment when historically their largest “stretch” grants were in the very low six figures.

Of course, we turned to Buck Duncan, president of MSCF, to answer that question, and it proved to be a lot more complicated than simply writing a check. The more one understands how Buck and his board assembled this commitment, the more one can appreciate the power and value of a community foundation, as well as the hundreds of its donors, who made such a meaningful gift possible.

And only Buck can make all of this such a good story to tell.

This video is approximately seven minutes in length. For more information about the Mid-Shore Community Foundation, please go here.

 

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

Talbot County Repeals DEI Language to Ensure Airport Work Continues

June 11, 2025 by The Spy

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.

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

Oh Never Mind: Homeland Security Removes Talbot and QAC from Sanctuary List

June 3, 2025 by Maryland Matters

The U.S. Department of Homeland Security over the weekend took down a public list of cities and jurisdictions that the Trump administration labeled as “sanctuary” cities, after a sharp rebuke from a group representing 3,000 sheriffs and local law enforcement.

On Saturday, National Sheriffs’ Association President Sheriff Kieran Donahue slammed the list as an “unnecessary erosion of unity and collaboration with law enforcement.”

“The completion and publication of this list has not only violated the core principles of trust, cooperation, and partnership with fellow law enforcement, but it also has the potential to strain the relationship between Sheriffs and the White House administration,” Donahue said.

DHS published the list Thursday and it was unavailable by Sunday. It’s unclear when it was removed, but Internet archives indicate that Saturday was the last time the list was still active.

In a statement, DHS did not answer questions as to why the list was removed.

“As we have previously stated, the list is being constantly reviewed and can be changed at any time and will be updated regularly,” according to a DHS spokesperson. “Designation of a sanctuary jurisdiction is based on the evaluation of numerous factors, including self-identification as a Sanctuary Jurisdiction, noncompliance with Federal law enforcement in enforcing immigration laws, restrictions on information sharing, and legal protections for illegal aliens.”

DHS Secretary Kristi Noem on Fox News Sunday did not acknowledge that the list was taken down, but said some localities had “pushed back.”

“They think because they don’t have one law or another on the books that they don’t qualify, but they do qualify,” Noem said. “They are giving sanctuary to criminals.”

Local law enforcement aids in immigration enforcement by holding immigrants in local jails until federal immigration officials can arrive.

The creation of the list stems from Donald Trump’s executive order in April that required DHS to produce a list of cities that do not cooperate with federal immigration officials in enforcement matters, in order to strip federal funding from those local governments.

Those jurisdictions are often dubbed “sanctuary cities,” but immigration enforcement still occurs in the city — there’s just no coordination between the local government and the federal government.

The jurisdictions are often a target for the Trump administration and Republicans, who support the President Donald Trump campaign promise of mass deportations of people without permanent legal status.

Congressional Republicans in March grilled mayors from Boston, Chicago and Denver, on their cities’ immigration policies during a six-hour hearing before the U.S. House Oversight and Government Reform Committee.

Local officials were puzzled by the list.

One law enforcement association in North Dakota questioned why several counties — Billings, Golden Valley, Grant, Morton, Ramsey, Sioux, and Slope — were listed as sanctuary jurisdictions because those areas cooperate with federal immigration officials.

In a statement, the North Dakota Sheriff’s and Deputies Association said the “methodology and criteria used to compile this list is unknown,” and there has been no communication from DHS “on how to rectify this finding.”

“The elected Sheriffs of these counties take strong objection with language in this release characterizing them as ‘deliberately and shamefully obstructing the enforcement of federal immigration laws endangering American communities,’” according to NDSDA.

“The North Dakota Sheriff’s and Deputies Association is working to gather more information regarding the lack of transparency and reasoning as to why the Department of Homeland Security did not fact check prior to incorrectly naming these North Dakota counties.”

Local advocacy groups also noted the problems with the DHS list.

“I assume they’ve removed (the list) because they were bombarded with complaints about inaccuracy and how and why these various jurisdictions got on the list,” Steven Brown, executive director for the American Civil Liberties Union of Rhode Island, said in an interview Monday.

According to the Internet Archive website Wayback Machine, the states, as well as the District of Columbia, that were on the list included Alaska, California, Colorado, Connecticut, Delaware, Georgia, Hawaii, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oregon, Pennsylvania, Rhode Island, Tennessee, Vermont, Virginia, Washington state and Wisconsin.

By Ariana Figueroa Christopher Shea and Amy Dalrymple contributed to this story. 

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

Talbot County Named a “Sanctuary Jurisdiction” by Trump Administration

May 30, 2025 by The Spy

Talbot County has unexpectedly been named one of several Maryland jurisdictions designated as a “sanctuary” by the Trump administration—a move that could put federal funding at risk and place the county in the middle of a national immigration debate.

The announcement came Thursday as part of a broader effort by the Trump administration to pressure local governments into supporting federal immigration enforcement. The list includes Baltimore County, Montgomery County, Queen Anne’s County, and the cities of Annapolis, Rockville, and Takoma Park, among others.

The designation follows an executive order directing Homeland Security Secretary Kristi Noem to identify localities that, in the administration’s view, do not fully cooperate with U.S. Immigration and Customs Enforcement (ICE). The purpose is to cut off federal funds to jurisdictions that limit their involvement in immigration enforcement.

Talbot County’s inclusion raises questions. The county has not adopted any formal policy that restricts cooperation with ICE, and immigration issues have rarely been a topic of discussion in local government or public debate. Still, the Trump administration appears to be interpreting “non-cooperation” broadly.

The designation carries potential consequences. Talbot, like many rural counties, relies on federal grants for programs ranging from public safety and infrastructure to housing and health services. Even the threat of losing those funds could complicate budget planning and long-term community investments.

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

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County Council Highlights: FY2026 Budget Approved

May 29, 2025 by The Spy

The Talbot County Council has approved the Fiscal Year 2026 budget this week, totaling approximately $161 million, with a focus on education and public safety.

A significant portion of the budget—43%—is allocated to Talbot County Public Schools, including a $55.1 million appropriation and an additional $260,500 for capital projects.

Councilman Pete Lesher introduced an amendment aimed at reducing capital outlays by over $1 million, reallocating funds to support teacher salaries and critical educational positions. Despite his advocacy, the amendment failed by a 2-3 vote (yes: Lesher and Haythe, no: Callahan, Mielke, Stepp), reflecting differing opinions on budget priorities within the council.

The approved budget, with a second amendment proposed by President Callahan, includes a 2.5% cost-of-living adjustment and a performance-based step increase for county employees, while maintaining current staffing levels.

Investments in public safety also remained a priority, with 24% of the operating budget dedicated to this sector. The budget also incorporates a one-cent property tax increase dedicated to public safety, as authorized by Talbot County voters in 2020 and 2024.

Here are some key highlights from the Council’s discussion on the budget.

This video is approximately five minutes in length.

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

Easton Council Highlights: A Changing of the Guard

May 20, 2025 by The Spy

At last night’s Easton Town Council meeting, a significant transition in leadership took place as newly elected Council President Don Abbatiello, Ward 4 Councilmember Rev. Elmer Davis Jr., and Ward 2 Councilmember Robert Rankin were officially sworn into office. Outgoing President Frank Gunsallus offered gracious remarks reflecting on his tenure, followed by Mayor Megan Cook, who extended her congratulations to the incoming council leadership. The meeting concluded with comments from councilmembers and closing remarks by President Abbatiello.

This video is approximately 13 minutes in length.

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

Moore to Veto Reparations Bill

May 18, 2025 by Maryland Matters

Gov. Wes Moore (D) announced Friday that he will veto the Reparations Commission bill that called for a study of historic inequality endured by African descendants in Maryland.

The veto of a reparations measure by the only sitting Black governor in the nation was included a list of vetoed bills, many of which called for summer study of an issue, typically the most innocuous type of legislation. The list of 23 bills was released late Friday afternoon by the governor’s office.

In one of his veto letters, Moore said the study bills were vetoed for financial reasons: The state’s current budget requires a hard look at “bills that create expensive and labor intensive studies,” Moore wrote.

“While such bills can be a first step to addressing complex issues and allow the signaling of support for an issue, the practice has become so commonplace that it is now a significant fiscal and staff burden on state government,” the veto letter said.

Sponsors began getting the news of the coming vetoes of their bills Friday afternoon, and chatter was widespread before the official announcement. Reparations was the most high-profile bill to be shot down, but others learned of the demise of bills to study the effects of climate change and to look at the impact of data centers on the state, among other issues.

Moore’s list also includes a bill in the energy package backed by House and Senate leadership, which created a Strategic Energy Planning Office focused on the state’s energy needs.

Reaction was swift, and in some cases angry, from lawmakers, who were already discussing veto overrides.

“The governor is my friend. I think a lot of him, but I am very disappointed in him today,” said Sen. C. Anthony Muse (D-Prince George’s), who sponsored the Senate version of the reparations bill. “I’m very disappointed that something like this, that Black communities across the country have been asking for, it’s turned down in our state.”

List of vetoed bills

Gov. Wes Moore (D) announced Friday that he will veto 23 bills passed by the 2025 General Assembly — more than in the previous two years combined, when he vetoed 13 and four, respectively. This year’s vetoes included some high-profile proposals, including a bill to create reparations study commission and another to look at the impact of data centers.

  • SB980: Natural Resources – Maryland Heritage Areas Authority – Funding and Grants

  • HB56/SB177: Local Food Purchasing

  • HB0328: State Lottery – Instant Ticket Lottery Machines – Veterans’ and Fraternal Organizations

  • HB0482: Occupational Licensing and Certification – Criminal History – Predetermination Review Process

  • HB1116: Public Safety – State Clearinghouse for Missing Persons

  • SB655: AI Evidence Pilot

  • SB149/HB128: “RENEW Study” Climate Change Adaptation and Mitigation – Total Assessed Cost of Greenhouse Gas Emissions – Study and Reports

  • SB691/HB333: Healthcare Ecosystem Cyber Work Group

  • SB909/HB1037: Energy Resource Adequacy Planning Act

  • Operating Funds: Fund Study by Comptroller Required by SB149

  • Operating Funds: MSDE Three Positions to Assist LEAs with Cybersecurity

  • HB384/SB157: Disability Service Animal Program

  • SB121: Vehicle Laws – Noise Abatement Monitoring Systems Pilot Program – Inspection and Extension

  • SB168: Confined Aquatic Disposal Cells – Construction – Moratorium

  • SB0227: Workers’ Compensation – Payment From Uninsured Employers’ Fund – Revisions

  • HB193/SB219: Uninsured Employers’ Fund – Assessments and Special Monitor

  • SB0972: Anne Arundel County – Board of License Commissioners – Alterations

  • SB503/HB481: Washington County – Board of License Commissioners – Membership

  • HB1316: Primary and Secondary Education – Youth-Centric Technology and Social Media Resource Guide

  • SB116/HB270: Data Center Impact Study

  • SB0455: Security Guard Agencies – Special Police Officers – Application for Appointment

  • HB628: Highways – Sidewalks and Bicycle Pathways – Construction and Reconstruction

  • SB587: State Government – Maryland Reparations Commission

In his reparations veto letter, the governor wrote he appreciated the leadership of the Legislative Black Caucus, but added, “I strongly believe now is not the time for another study. Now is the time for continued action that delivers results for the people we serve.” He noted that Maryland has launched several commissions and study groups in the last 25 years, including the Maryland Lynching Truth and Reconciliation Commission and the Commission to Coordinate the Study, Commemoration and Impact of Slavery’s History and Legacy in Maryland.

But House Speaker Adrienne A. Jones (D-Baltimore County) said in a statement that as the first Black woman to serve as speaker, and “the niece of an original plaintiff who laid the foundation for Brown v. Board of Education,” she carries “a deep and personal understanding of how our past is not some distant chapter.”

“Reconciling the pain and injustice of the past is our moral obligation and essential to progress,” Jones wrote.

She said she was proud of the work done by the House this year, adding “the work is not done.”

“I remain committed to working alongside all our partners to continue righting historical inequities,” Jones wrote.

David Schuhlein, a spokesperson for Senate President Bill Ferguson (D-Baltimore City), said “the Senate will closely evaluate each veto from the Governor’s Office and have more details on possible action in the near future.”

Sen. Katie Fry Hester (D-Howard and Montgomery) sponsored the strategic energy office legislation, which passed the Senate on a 43-3 vote.

“I am surprised by the Governor’s veto, especially because we worked closely with the Public Service Commission on this legislation,” she said in a statement. “I look forward to better understanding his rationale and will work with leadership in the Legislature to determine next steps.”

Moore cited the bill’s fiscal note, which estimated the cost at $4.4 million to $5.3 million annually, for an office he said overlapped with other state agencies. “This cost would ultimately be passed along to Maryland ratepayers at a time when we are actively working to limit their burden, not add to it,” Moore wrote.

Hester also sponsored the RENEW Act, which would have commissioned a study from the comptroller’s office on the effects of greenhouse gas emissions in the state. It was a milder alternative to the original language, which would have called for a system to make businesses that extract fossil fuels pay fees to mitigate the effects of climate change.

“I think a study is a very reasonable next step, and the money was allocated in the budget,” Hester said. “This is very shortsighted, because this is a bill that will eventually save taxpayers money.”

The bill was to be funded mostly by $500,000 from the Strategic Energy Investment Fund, which is fueled by “alternative compliance payments” that utilities pay when they have not purchased enough renewable energy to comply with state mandates. That fund has ballooned in recent years with an influx of payments, including $318 million in fiscal 2024.

Climate advocates were angered by the move. Mike Tidwell, founder and director of the Chesapeake Climate Action Network, called the governor’s veto of the RENEW study “unforgivable.”

“I will make sure that voters in the state never forget what he’s done with this veto,” Tidwell said, adding that the governor’s office expressed no reservations about the bill as recently as mid-March.

The veto was “inconceivable,” given that Maryland has thousands of miles of shoreline vulnerable to climate change, and the $500,000 study could have paved the way toward collecting what Tidwell said could ultimately be billions of dollars in compensatory payments from fossil fuel companies.

“His math doesn’t add up. His political calculus is arguably even worse, because turning his back on Marylanders suffering from climate change today is an enormously politically damaging act,” Tidwell said.

Sen. Karen Lewis Young (D-Frederick) said she heard from the governor’s team Friday that her bill, studying the potential financial, environmental and energy effects of data centers in Maryland would be among the vetoes. In Frederick, development of an expansive Quantum Loophole campus has been underway for years, prompting Lewis Young’s interest in the subject.

“I’m really disappointed that, given what a big topic this is for the state — and in particular for my county — that we wouldn’t proceed with a study,” Lewis Young said.

Lewis Young said she was surprised to learn of the veto, especially given that the governor’s team did not express any reservations about the bill or its cost during the legislative session. The report was to cost about $502,000, with funds pulled from the Maryland Department of the Environment, the Maryland Energy Administration and the University System of Maryland, according to its fiscal note.

More economical still was the reparations bill: Versions that failed in previous years had price tags around $1 million, but the version on the governor’s desk this year was only expected to cost $54,500. The bill called for most of the work to be done by existing state employees or by researchers at Morgan State University, one of the state’s four historically black colleges and universities.

The bill’s supporters have pointed out repeatedly that the measure does not require any payments or support. It only calls for study of historic inequality suffered by African descendants, and recommendations for future action, if any.

“It’s not as though it was going to do something. It’s a study,” Muse said Friday evening. “When have we known a study to cause a veto? At the end of the study, nothing else has been done, except we studied it. I don’t understand it. I will not understand it.”

Advocates rallied in Annapolis a week ago, urging the governor to sign the bill, which had the backing of the Legislative Black Caucus. The caucus released a statement to express “deep disappointment” in the governor’s decision and to say the “legislature will have a final say” when lawmakers meet to consider veto overrides.

“At a time when the White House and Congress are actively targeting Black communities, dismantling diversity initiatives and using harmful coded language, Governor Moore had a chance to show the country and the world that here in Maryland we boldly and courageously recognize our painful history and the urgent need to address it,” the caucus said in a statement Friday evening.

“Instead, the State’s first Black governor chose to block this historic legislation that would have moved the state toward directly repairing the harm of enslavement,” the statement said.

But the veto had some defenders: Larry Gibson, who wrote a letter to the Baltimore Banner on the issue this week, agreed with Moore that another study is not what’s needed.

“We must use this opportunity to maximize this benefit with some degree of urgency. Kicking the can down the road with another study that produces a report … is just wasting a missed opportunity to get real progress done,” Gibson said Friday.

Gibson, who will retire this month after 50 years teaching at the University of Maryland Francis Carey School of Law, declined to offer specific suggestions, but he said advocacy groups that deal with topics such as housing, law enforcement and education are better situated to provide solutions that may or may not need legislative approval.

“They’ve got ideas and things that can be done by the administration without legislation. Push for and demand that they be done now,” he said.

The bill called for the creation of a commission that would assess specific federal, state and local policies from 1877 to 1965, the post-Reconstruction and Jim Crow eras that “led to economic disparities based on race, including housing, segregation and discrimination, redlining, restrictive covenants, and tax policies.”

The all-volunteer commission would also have examined how public and private institutions may have benefited from those policies, and would then recommend appropriate reparations, which could include statements of apology, monetary compensation, social service assistance, business incentives or child care costs.

The 24-member commission would have had to deliver a preliminary report of recommendations by Jan. 1, 2027, to explain any findings, and a final report by Nov. 1 of that year.

Maryland is one of just a handful of states that have passed legislation to study reparations, including California, Illinois, New York and Colorado.

By Christine Condon, William J. Ford and Bryan P. Sears

 

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

Maryland Loses Coveted AAA Bond Rating

May 15, 2025 by Maryland Matters

Maryland lost its treasured “triple triple-A” bond rating Wednesday, when a key bond-rating agency downgraded its assessment of the state’s creditworthiness to Aa1.

The move by Moody’s ends more than three decades in which Maryland held the highest bond rating from the three rating agencies: Moody’s, Standard & Poor’s and Fitch.

Moody’s had given Maryland an Aaa rating every year since 1973 — until Wednesday. The rating agency also downgraded half a dozen other state borrowing programs in its report.

In its reasoning for the downgrade, Moody’s said Maryland continues to have a “wealthy and diverse economy,” solid financial planning and that officials had recently addressed budget problems “through a combination of tax increases and restraints on expenditures.” But those were not enough to offset concerns about looming financial challenges, the report said.

“The downgrade was driven by economic and financial underperformance compared to Aaa-rated states, which is expected to continue given the state’s heightened vulnerability to shifting federal policies and employment, and its elevated fixed costs,” Moody’s wrote in its report.

Prior to Wednesday’s announcement, Maryland was one of 14 states to have the highest rating from the three major agencies — Fitch, Moody’s and Standard & Poors.

In a forceful response to the downgrade, the state’s top five Democrats — Gov. Wes Moore, Senate President Bill Ferguson (Baltimore City), House Speaker Adrienne Jones (Baltimore County), Comptroller Brook Lierman and Treasurer Dereck Davis — laid the blame on the White House doorstep of Republican President Donald Trump

“To put it bluntly, this is a Trump downgrade. Over the last one hundred days, the federal administration’s decisions have wreaked havoc on the entire region, including Maryland,” their joint statement said.

“Thousands of federal workers are losing their jobs. Actual and proposed cuts to everything from health care to education will continue to exact an incalculable toll on Maryland and states across the country,” the statement said.

But Maryland Republicans said warnings about the state’s financial problems came well before Trump, and said the downgrade should be a signal that the state cannot tax its way out of problems anymore.

“This is Moody’s saying that Maryland’s propensity to raise taxes is not enough any more,” Senate Minority Leader Stephen S. Hershey Jr. (R-Upper Shore) said Wednesday.

“People can move. They can work in other states,” he said. “They (Moody’s) are looking at the potential for economic growth in the state and it’s not enough.”

House Minority Leader Jason C. Buckel (R-Allegany) pushed back on the suggestion that it’s “a Trump downgrade.” He pointed to warnings from fiscal analysts in November and again in January of billions in structural budget gaps driven by higher spending on Medicaid, child care subsidies and, in later years, the Blueprint for Maryland’s Future education reforms.

Last year, Moody’s itself cited “escalating expenditures in education and healthcare, combined with elevated retirement benefit liabilities” when it reaffirmed the state’s Aaa bond rating, but downgraded the outlook from stable to negative. Wednesday’s downgrade “should come as no surprise to anyone” who follows the state budget, Buckel said.

“This was well before President Trump’s reelection and before any federal retrenchment. Foisting the blame anywhere but at the feet of the excessive spending championed by Maryland’s Democratic party is, at best, disingenuous,” Buckel said in a statement.

Decades without a downgrade

Besides Moody’s, which gave Maryland an Aaa rating in 1973, Standard & Poor’s first rated Maryland Aaa in 1961 and Fitch has given it that ranking since 1993.

Maryland maintained its Aaa rating from Moody’s through five recessions — including the Great Recession — the 2013 federal budget sequestration, and the COVID-19 pandemic. But Trump’s approach in his first 100 days, focused on slashing federal spending and employment and moving to wipe out entire programs or agencies, has rattled that confidence.

A triple-A rating means the state pays the lowest rates when it sells bonds to fund public projects. The downgrade means the state — and taxpayers — could  pay more in interest on the money the state borrows.

The next bond sale is scheduled for June 11.

It is not yet clear if the shift by one agency will increase the state’s interest rate or decrease or eliminate bond premiums — fees bond buyers pay the state in return for higher interest rates and a guarantee that the bonds will not be called for specific time periods. Premiums can be used to offset the higher rates the state pays, but that upfront cash has been used in the past for other purposes.

The downgrade is a blow to Democrats who for years have pointed to the state’s high credit ratings as a symbol of strong fiscal management. For others, it was seen as a sign the rating agencies were confident in a willingness among Maryland’s leaders — mostly Democrats — to raise taxes to pay its debts.

The rating downgrade was not wholly unexpected.

The warnings were there

When Moody’s last year reaffirmed the state’s AAA rating but lowered the state’s outlook from stable to negative, it cited concerns about looming structural deficits driven by programs like the Blueprint for Maryland’s Future.

The 2024 report noted the state’s high costs but relatively stable personal income tax base that was bolstered by federal employment and its proximity to the District of Columbia.

But Moody’s expressed concerns then about Maryland’s pension liabilities, and “above average debt burden.” The agency also worried about Maryland’s “vulnerability to swings in federal spending.”

Last year’s rating and negative outlook incorporated the “difficulties Maryland will face to achieve balanced financial operations in coming years without sacrificing service delivery goals or increasing the tax burden on individual and corporate taxpayers.”

Moody’s analysts warned then that a downgrade could come if there was further economic deterioration that resulted “in deficits, fund transfers and reserve draws.” Analysts also raised concerns about an “insufficient plan” to quickly replenish reserve funds or reach a structural budget balance.

Cuts to federal jobs or the federal government’s “role in the state’s economy” might also cause a downgrade, Moody’s wrote in its 2024 report.

Administration officials earlier this year expressed concern about a potential downgrade, but thought that solving the state’s immediate financial concerns — more than $3 billion in structural deficits in fiscal 2026, and a nearly equal amount the following year — would satisfy the rating agency and protect Maryland’s credit rating.

External pressures come to bear

But as lawmakers and administration officials were negotiating cuts, cost shifts and $1.6 billion in taxes and fees, Moody’s issued another warning report. The March report listed Maryland as the state at highest risk for economic problems as the Trump administration slashed agency budgets and jobs.

The budget finalized by lawmakers reduced general fund spending — the portion paid directly by Maryland taxpayers — by $400 million, despite overall growth of about 1% when all funding sources are included.

That included more than $1 billion in combined one-time general fund actions and another $800 million in transfers from various accounts to the general fund budget, in addition to tax and fee increases.

The spending plan also eased the burden on the state by shifting some costs, including teacher pensions and costs for property tax assessments, to local governments.

The result was the elimination of the projected structural deficits for fiscal 2026 and 2027.

But those deficits return the following year and grow to more than $3 billion by 2030, according to projections included in a presentation to the bond rating agencies. All of those deficits are related to expected education spending that is part of the Blueprint plan.

Officials told the rating agencies that 70% of the costs could be controlled by the state.

Soon after the 2025 session ended, Moody’s issued a report downgrading the credit rating of the District of Columbia from AAA to Aa1. The firm cited impacts from federal workforce reductions as well as weakening demand for commercial real estate.

“I think a lot of us looked at that report and thought you could replace DC with Maryland because Maryland is going through all the same challenges,” said David Turner, a Moore spokesperson.

Presenting a united front

Last week, the state hosted all three bond rating agencies as part of its annual reviews ahead of the state’s June bond sale. Only Moody’s came to Maryland for face-to-face meetings; Fitch and Standard & Poor’s representatives met with state officials virtually.

Typically, those meetings include the state treasurer, comptroller, budget secretary, the director of the Bureau of Revenue Estimates and legislative analysts. But Moore, Ferguson, Jones took the rare step of meeting in person with Moody’s last Tuesday. The three also made brief comments as part of a united front in hopes of retaining the highest credit rating.

The three did not attend meetings with the other two firms. A spokesman for the governor acknowledged the concerns about a bond rating hit from Moody’s.

As a part of the presentation to the agencies, officials highlighted actions taken this year on the budget as well as the creation of a committee to track the effects of federal cuts on Maryland.

Layoff notices spiked in February and March, but “normalized in April,” according to a copy of the presentation obtained by Maryland Matters. Monthly federal employment showed no declines; unemployment claims showed no increase.

But state officials also acknowledged the chance of a delayed effect, as pending federal lawsuits over Trump actions are resolved. Another potential effect could come from employees who took buyouts and may apply for unemployment in the fall.

Officials told all three bond-rating agencies that the state was seeing stronger than projected income tax withholding. While initial projections for fiscal 2025 called for 5.5% growth, income tax collections were up 9’% through March, the presentation said.

The joint Democratic statement said leaders met with Moody’s “to discuss our collective work protecting the full faith and credit of the State of Maryland.”

“Together, we turned a deficit into a surplus, gave the middle class tax relief while still raising critical revenue through strategic tax reforms, and reduced spending by over $2 billion – the largest amount that’s been cut in a Maryland state budget in 16 years.” their statement said. “Maryland’s creditworthiness has only been strengthened by our collective work on this budget.”

Fitch and Standard & Poors are expected to release their own ratings in advance of the June bond sale. Officials have not expressed a heightened concern for a downgrade from either of the remaining agencies.

By Bryan P. Sears

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

Spy Profile: A Chat with St. Michaels Community Center Director Amy Horne

May 9, 2025 by The Spy

Amy Horne, the newly appointed Executive Director of the St. Michaels Community Center, brings deep personal and professional ties to Talbot County. A native of the area, Horne says she feels grateful to be “back home” and inspired by the chance to lead an organization with such an expansive mission. In a recent interview with The Spy, she described how the Center offers programming for children, adults, and seniors, including a weekly senior lunch and an active adult speaker series.

She highlighted the Center’s robust food distribution program as one of its most essential services. “We’re the only non-age-specific facility in Talbot County that offers all three food programs: hot congregate meals, delivered meals, and a pantry,” she said. With growing food insecurity even in one of the wealthiest counties in the country, Horne said she’s working to expand pantry hours and explore long-term funding solutions.

Looking ahead, Horne envisions workforce development initiatives and more youth programming, including a middle school dance this June. She’s also planning a strategic needs assessment for the Bay Hundred area. “A community center doesn’t tell people what they need—we ask,” she said. The Center celebrates its 35th anniversary this August.

This video is approximately five minutes in length. For more information about the St. Michaels Community Center and make a donation please go here.

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage

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