[{"_1":2,"_100":-5,"_101":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6338963,"mediaKeyId","2266455-0827faadf4a3d8a8b25a81951bac3705","parentId",2266455,"title","SDAT budget faces contingency from BRFAA; CRIS IT costs and tax credits draw scrutiny","audioSeconds",1278,"startMs",1681000,"endMs",2959000,"viewUrl","/Search/View?dp=1&key=2266455-0827faadf4a3d8a8b25a81951bac3705&start=1681&end=2959","thumbnailUrl","https://assets.pipeline.soar.com/2266455-0827faadf4a3d8a8b25a81951bac3705/thumbnail_1681000.jpg","articleUrl","/articles/6338963/Maryland/SDAT-budget-faces-contingency-from-BRFAA-CRIS-IT-costs-and-tax-credits-draw-scrutiny","mediaUrl","https://secure.pipeline.soar.com/6338963-c1996ad41569758b4da5210e995e1612/orig.mp4?Expires=1771197321&Signature=XWnwNQdY77b62ytHhaSO9fvr~~1IJ3WtwAhFxoiXEpdiSjetg3eYbFxHbJJdUvqY2rE5mr5s2WpJ0FIa2XBRUHhqIwyr0nan2ctYhswiHK1jYXkbNDO6s3YZdqme~17PLtQQGNOm-N2PkR-U4nXjCK8lS-ujBClKPvuZRQQVDWGvrbb8~Bcy5GOkq6jZDV0GiRO1PxvlhsFPm-x2cRFq0u3FpfbWIpDxvLD~lphcNg3Vop6Ta5H3pKEoyForO10w~dyayQR-SOEV3hGT5ogkYiCcErNv4g6Wd2KmBT6ntSOK8piPt1HRb41jSjB7CMQ32MS4cxBAZ-mnHHxgSzdHyA__&Key-Pair-Id=KUT5TJCACFTXG","author","MGA - B&T","date","2025-02-07T00:00:00Z","article","The Department of Legislative Services told the Health and Human Services Subcommittee on Feb. 7 that the State Department of Assessments and Taxation’s (SDAT) fiscal 2026 allowance contains contingent reductions tied to provisions in the Budget Reconciliation and Financing Act and that several program trends and an IT modernization project require committee oversight.

\"The fiscal 20 26 allowance decreases by $7,600,000 or 4.3% to $168,900,000 compared to fiscal 25,\" David Probert, a DLS analyst, told the subcommittee when he introduced SDAT’s analysis. Probert said the fiscal 2026 budget includes a $28.1 million contingent reduction driven principally by a BRFAA provision that would change the local-state cost-share for certain SDAT costs from a 50/50 split to a 90/10 split. That provision would swap approximately $20.9 million in general funds for special funds; DLS calculated the correct contingent adjustment should be $21,231,952 and SDAT agreed to that correction.

Probert also summarized changes to SDAT’s tax credit and assessment programs: the homeowners’ tax credit account for roughly two-thirds of tax credit spending in the allowance ($56 million), enterprise zone tax credits account for about $20.8 million after contingent reductions, and the renter’s tax credit experienced a spike in fiscal 2024 before leveling. DLS recommended SDAT explain recent fluctuations in homeowners’ and renters’ tax-credit utilization and to provide additional reports related to SDAT’s cloud revenue integrated system (CRIS) IT modernization project.

SDAT Director Dan Phillips said the agency has undergone a leadership transition and has completed a move to new headquarters in Baltimore City. Phillips described customer-facing changes, including reopening an in-person counter for tax credit and business services and implementing an online appointment system. He said the CRIS migration to a cloud platform will allow the department to move away from legacy mainframe systems and will improve customer experience and flexibility.

Phillips acknowledged DLS’s finding that CRIS costs have risen and said increases largely stem from added end-user functionality and legislatively mandated scope changes, including modifications related to the homeowner protection program. DLS listed total fiscal 2026 project funding for CRIS at $37.7 million and said costs have increased substantially in recent years.

DLS highlighted workforce concerns for SDAT’s real property valuation program and noted an improvement in vacancies after July 2024 following salary increases for assessors. SDAT reported 30 total vacant positions as of Dec. 31, 2024, with only four vacant more than one year; SDAT said salary enhancements implemented July 1 improved recruitment and retention.

On questions about heirs and misclassified properties, Deputy Director Bob Yeager said SDAT has worked with advocates and has introduced legislation to allow heirs to access relief programs such as the homeowners’ tax credit and the homeowner protection program. Yeager described new outreach materials and guides SDAT plans to provide advocates and property owners to explain how classification and owner-occupancy status are determined and how to correct errors.

DLS recommended the remaining $25,000 in previously withheld general funds be released after SDAT submitted required reports and suggested committee narrative requesting additional updates on CRIS. The subcommittee raised no formal objections during the presentation.

SDAT said it will continue to provide requested data, pursue legislative and regulatory changes needed to implement mandated program changes, and work with partner agencies to improve data sharing and audit functions to detect improper tax credit payments.","mediaType","Video","parentTitle","HHS Committee Session, 2/7/2025 #1","oneSentenceSummary","The Department of Legislative Services told the Health and Human Services Subcommittee on Feb. 7 that SDAT’s fiscal 2026 allowance includes contingent cuts tied to BRFAA provisions and flagged rising costs and program changes in the CRIS IT modernization and tax credit programs.","taxTitle","Health and Human Services (HHS) Subcommittee, Budget and Taxation Committee, SENATE, SENATE, Committees, Legislative, Maryland","taxId",15733,"location","Maryland","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6338968,"Analysts urge clearer treatment of salaries in Maryland core public health formula; MDH agrees",825,391000,1216000,"/Search/View?dp=1&key=2266455-0827faadf4a3d8a8b25a81951bac3705&start=391&end=1216","https://assets.pipeline.soar.com/2266455-0827faadf4a3d8a8b25a81951bac3705/thumbnail_391000.jpg","/articles/6338968/Maryland/Analysts-urge-clearer-treatment-of-salaries-in-Maryland-core-public-health-formula-MDH-agrees","https://secure.pipeline.soar.com/6338968-3b614190ca9b5f1383a1c9d3d402f9a7/orig.mp4?Expires=1771197322&Signature=ejcjfHBhpyAHKaYgdMWGKy19SM4K64xE7oFVoWlyM5e-A7tGLvxeiifkHJYnYC1PKHH~EtFfCnT6xUf7ZS7KvrADCDT8YemhfLEohhB1-F~mM9oD6y9QkSjTQlN1rbK1j6ldYa7kEvzyaoPCE~V6uXKqdj9YxLpcmhEzcq6QduA8MLkmvzsWFaUruTTHPrvDbiVQ0I29i1tha0tPM5owTmzSeb45Nj0uktlx0Mb05eWrhUxufkvEWFHvgH5kD64VgeXX6J5GjI-TyI5HPEEHlnicYS9PsPtCrnXwekEdLSz-xMFtuyDdgUG8fZWBAr~V7Bb21bQUq5KRt8U4c7Uzhg__&Key-Pair-Id=KUT5TJCACFTXG","An analyst from the Department of Legislative Services told the Health and Human Services Subcommittee on Feb. 7 that Maryland’s statutory formula for core public health services is applied inconsistently and can inflate funding when salary adjustments are also included.

\"The state is required by statute to support local health departments with core public health services funding,\" Naomi Camaro, a budget analyst with the Department of Legislative Services, said during the subcommittee’s budget readout on the Maryland Department of Health’s Public Health Administration (PHA) budget. Camaro told the committee the fiscal 2026 allowance for PHA is $320,600,000 and that DLS has concerns about how formula growth and salary increases are both being applied to the annual appropriation.

The DLS analysis cited a $12 million reduction for core public health services authorized by the Board of Public Works in July 2024 and noted a one-time, $25 million ARPA enhancement in fiscal 2025. DLS said the fiscal 2026 allowance increases core public health services funding to $113.5 million — up $9.7 million from fiscal 2025 — and that part of that increase appears to cover salary adjustments for state employees assigned to local health departments. Camaro said DLS recommended cutting an unexplained increase and asked the department to provide a jurisdiction-by-jurisdiction breakdown of salary-related allocations.

Maryland Department of Health Deputy Secretary for Public Health Dr. Nilesh Kalyanaraman told the committee he agrees with DLS that the statutory growth formula should apply only to the core base funding and not to salary adjustments. \"We concur with the analysis about applying the growth formula only to the core base and not to the salaries,\" Kalyanaraman said, and described the core funding as a partnership between the state and local health departments that covers disease surveillance, outbreak response, health education and local administrative needs.

Kalyanaraman resisted a DLS recommendation that would reduce $2.3 million from the fiscal 2026 allowance, saying that figure represents the full annualization of fiscal 2025 salary supplements and that eliminating the funds would remove support local health departments expect for required salary enhancements. He also explained Maryland’s long-standing practice — since 1996 — of applying the local match requirement to the total legislative appropriation for each jurisdiction, which historically has included both the base core funding and salary adjustments. Kalyanaraman said MDH granted match relief to five counties in fiscal 2024 and two counties in fiscal 2025 when match increases were unusually large.

Camaro told the panel that DLS recommends adding budget bill language stating the General Assembly’s intent that, beginning in fiscal 2027, cost-of-living adjustments and other salary increases for state employees at local health departments be budgeted in a separate program from the core public health services grant funding. DLS also recommended restricting $250,000 in general funds pending a fiscal 2027 submission from the Department of Budget and Management that would separate COLAs from the formula funding and reducing general funds for core public health services by $2,000,000 to eliminate growth over the fiscal 2025 working appropriation level.

Senator Zucker asked about a prior $25 million federal appropriation that DLS had noted; Kalyanaraman confirmed the funding had been distributed to counties and described the action as a fund swap that did not change county allocations. During follow-up questions, Kalyanaraman said MDH intends to publish regulations to cap annual local match increases to 10% plus the statutory growth formula and estimated the regulatory process would take approximately six to nine months.

Committee members pressed MDH to improve communication with affected counties while regulations are drafted. Chair MacRae asked the department to provide a timeline and additional outreach so local officials are not surprised by year-to-year changes during their budget cycles.

The subcommittee did not take any formal votes during the presentation. DLS’s recommendations were recorded in its analysis and remain actions for the committee to consider during budget deliberations and bill language discussions.

Looking ahead, MDH said it will provide the requested jurisdictional breakdowns of salary-related allocations and pursue regulatory changes to cap local match increases; the committee signaled it will follow up on the DLS recommendations and monitor MDH’s outreach to counties.","At a Feb. 7 Health and Human Services Subcommittee hearing, a Department of Legislative Services analyst recommended separating salary-related cost increases from the statutory core public health services formula. Maryland Department of Health officials concurred and said regulations to cap local match growth are planned within months.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6338958,"Appeals board budget up slightly; DLS seeks updated performance data",92,3658000,3750000,"/Search/View?dp=1&key=2266455-0827faadf4a3d8a8b25a81951bac3705&start=3658&end=3750","https://assets.pipeline.soar.com/2266455-0827faadf4a3d8a8b25a81951bac3705/thumbnail_3658000.jpg","/articles/6338958/Maryland/Appeals-board-budget-up-slightly-DLS-seeks-updated-performance-data","https://secure.pipeline.soar.com/6338958-d82b2b2faf85d0c5feb6a06088b26cf5/orig.mp4?Expires=1771197322&Signature=cuZrxzJ7T7I24N~Ck6ltTaSmgKG0FZxDLfla~CXjWbOfawfFFx9v3ImlQ4HMJfsfQFjRHqytUlmpKGgdavYiJVm~Fs5NZgtt1gDpgJ9gXnsdlvDAiDWPBaWdpd0AhjLP4jBRGOAy4-pydxeaqL4ILPct71lgU3MSETGU61eZK1FyJXGMhXtqkdnK~wjfHRMp133zNgGuVOQL7EEEOWDXnIThFRnyElBSVroTg12o3qRr5CXkLcHeqssKvixHFqccB04V1P8nKCQYGc4TVjghvHbBKUU~xXs2aSlSTUfAAUkdkhrWtZDuCQsOXLMuc-7i15zceHum7xduL9PXY2czow__&Key-Pair-Id=KUT5TJCACFTXG","The Property Tax Assessment Appeals Board’s fiscal 2026 allowance increases modestly and DLS asked the agency to submit updated performance data to the budget committees.

\"The board's fiscal 20 26 budget increases by about $47,000 or 3.7% to $1,300,000,\" David Probert, a Department of Legislative Services analyst, told the Health and Human Services Subcommittee on Feb. 7. Probert described the board as an independent agency with one local board in each county and Baltimore City (24 local boards total) supported by a central office and an executive director. Local boards have four to six members appointed by the governor to five-year terms.

DLS told the committee the board did not submit updated managing-for-results (MFR) data; the agency cited staff departures and an acting administrator appointment as reasons. DLS recommended committee narrative requesting that the board provide its fiscal 2026 MFR submission with actual calendar 2023 data and calendar 2024 and 2025 estimates by July 15, 2025.

Probert noted the board improved its appeals clearance rate following pandemic disruptions and reduced its backlog to pre-2020 levels. DLS also provided historical data on the percentage of board decisions appealed to the Maryland Tax Court and the reversal rate; the board’s reversal rate has generally been at or below 10% since 2018, according to DLS’s presentation.

The appeals board did not appear before the subcommittee at the hearing; DLS indicated the agency would be contacted offline to provide the missing material. The subcommittee did not take formal action during the presentation.","DLS told the HHS Subcommittee on Feb. 7 that the Property Tax Assessment Appeals Board’s fiscal 2026 allowance rises to about $1.3 million and that the agency failed to submit updated managing-for-results data. DLS recommended committee narrative requiring updated MFR submission by July 15, 2025.","actionData","errors"]

Article not found

SDAT budget faces contingency from BRFAA; CRIS IT costs and tax credits draw scrutiny

Analysts urge clearer treatment of salaries in Maryland core public health formula; MDH agrees

Appeals board budget up slightly; DLS seeks updated performance data