In an already contentious budget year for the Maryland General Assembly, the Department of Legislative Services (DLS) has made an alarming recommendation to steeply cut funding for programs that improve water quality and protect the Chesapeake Bay. If adopted, DLS’s recommendations would cut environmental programming more than 42 percent, effectively halting progress for Bay restoration. These dollars go directly to farmers, watermen, homeowners, and restoration practitioners who are on the ground improving Maryland’s waterways.
This week, the House and Senate will consider how to address the state’s $3 billion deficit during hearings on the 2025 Budget Reconciliation and Financing Act (HB 352/SB 321). The Chesapeake Bay Foundation (CBF), its advocates, and partners urge legislators to support Governor Wes Moore’s proposed budget and resist additional funding cuts for critical programs that support Maryland’s water quality, health, jobs, and ways of life.
“Investments in clean water and air are investments in Marylanders,” said Allison Colden, CBF Maryland Executive Director. “These programs are not just good for the Bay but support jobs, improve people’s health, and make strong financial sense.”
The state agencies that help protect the Bay—Departments of the Environment (MDE), Natural Resources (DNR), and Agriculture (MDA) as well as the Maryland Energy Administration (MEA) have a combined proposed budget of $1.046 billion in FY 26 and are slated to collectively contribute well over $255.4 million to deficit reduction in the Governor’s budget plan through a combination of cuts, fund swaps, and other reductions.
Governor Moore’s preliminary budget already included reasonable one-time adjustments to Bay programs. However, DLS has recommended diverting an additional $180 million annually for the next four years from environmental programs including:
- Chesapeake and Atlantic Coastal Bays 2010 Trust Fund, which supports farmers installing practices that reduce pollution into local waterways;
- Program Open Space, which protects Maryland lands and forests and provides local governments with funds to improve recreational amenities.
- Clean Water Commerce program, which compensates businesses that reduce pollution and promote climate resiliency;
- Waterways Improvement Fund, which addresses shoreline erosion, abandoned vessels, and marine sewage pump out programs that protect Bay water quality.
“Protecting the Chesapeake Bay's health is of paramount importance,” said Johnny Shockley, founder of Blue Oyster Environmental oyster aquaculture company. “We have made significant progress, and it is crucial that we continue to safeguard our state's future by maintaining funding for vital programs such as the Clean Water Commerce.”
“Program Open Space isn’t a slush fund for budget shortfalls—it’s a commitment to Maryland’s communities, parks, and future,” said Kevin Kinnally, Legislative Director, Maryland Association of Counties (MACo). “Diverting these dedicated funds breaks that promise, undermines decades of conservation progress, and forces counties to fill the gap. This is not belt-tightening—it’s a raid on local investments that support economic growth, environmental resilience, and quality of life. Maryland must keep its commitment to communities and protect funding for open space preservation.”
Further cuts to these programs would significantly hinder the state’s ability to deliver on commitments to improve water quality and habitats, and would risk backsliding on natural resource investments that are the backbone of Maryland’s economy.
Maryland’s seafood industry contributes nearly $600 million to the state's economy annually. Every acre of oyster reef restored provides more than $40,000 annually in non-harvest benefit, and robust recreation, hunting and fishing opportunities result in nearly $20 billion in economic impacts annually. Additionally, fully funding farm pollution-reduction programs would inject $655 million annually into the region’s economy.
“Now, more than ever, Maryland cannot afford to abandon its leadership role in the restoration of the Chesapeake Bay. The Chesapeake and Atlantic Coastal Bays Trust Fund is a catalyst for environmental restoration and local economies across our state,” said Matt Johnston, Executive Director of Arundel Rivers Federation. “Grant dollars provided by this fund are sent right back into our communities by organizations like Arundel Rivers who use these grants to employ engineers, construction workers, truck drivers, landscape professionals, and so many other local laborers to deliver projects that reduce local pollution and create more resilient communities.”
“Over the past several years, ShoreRivers has been the grateful recipient of funding from a number of state programs, including the Clean Water Commerce Account, the Chesapeake and Atlantic Coastal Bays Trust Fund, and the Tree Solutions Now Act of 2021,” said Timothy Rosen, Director of Agriculture & Restoration at ShoreRivers. “But it hasn’t been our organization that has benefitted the most from that funding—the majority has been passed on to local Maryland businesses to install and maintain restoration projects on our Eastern Shore farm fields and in our local communities.”
“According to a recent report on the economic impact of conservation on the Delmarva peninsula [compiled by the Eastern Shore Land Conservancy and Delmarva Resource Conservation Network], investment in restoration and conservation directly gives back to Maryland by supporting almost 140 jobs over the lifetime of a single project, with every $1 million invested returning $1.8 million back to the state through local economic output. While we recognize the considerable task our legislators are facing this session, this crucial funding has created jobs and a restoration economy that helps us achieve clean water goals, keeps Marylanders employed, and supports a robust and vibrant rural economy,” added Rosen.
CBF urges members of the General Assembly to reject DLS’s recommendation and resist further environmental budget cuts that would result in long-term harm to Maryland’s waterways, economies, and people.
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