[{"_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",6658953,"mediaKeyId","2474312-6ea0d582809ede5e39f104991e29bb4b","parentId",2474312,"title","Labor secretary seeks resources as UI backlog, audits and a proposed delay to paid family leave draw scrutiny","audioSeconds",335,"startMs",5444000,"endMs",5779000,"viewUrl","/Search/View?dp=1&key=2474312-6ea0d582809ede5e39f104991e29bb4b&start=5444&end=5779","thumbnailUrl","https://assets.pipeline.soar.com/2474312-6ea0d582809ede5e39f104991e29bb4b/thumbnail_5444000.jpg","articleUrl","/articles/6658953/Maryland/Labor-secretary-seeks-resources-as-UI-backlog-audits-and-a-proposed-delay-to-paid-family-leave-draw-scrutiny","mediaUrl","https://secure.pipeline.soar.com/6658953-eef78afe0c8dd1c7debf30df88b040d4/orig.mp4?Expires=1771077299&Signature=UtSuG8WPzMrJvQhuhJ46GnIj1p0d1hAndA1s6wk9Xz~NpEMo5GcccNqKT975AoOj7IkKvmxHW0ZrgMta78WoUI6XkyIzhtAoOgGdZ94tuVGU7yG54l9TizxJg41qryaZXqcd~PY1nE1ECbHLYgndZgmhO28lRkQseRrPzAgIJtI3FdgYnzgYpz4doOYy0-zLjDTmhcQgCjn6Ct0g6PujwKM8KOEKBaX2TPk8coj2SNN9Xdj-Kb6gr73VCg-QX~COkmJ~nQnb6Dvktpf9tU8KXTcTnfdtWkmWbN~ZWBHPLcDV7mizuIoRX8KJxfxWCFLlTM-h~tGnCaXk40PP-lOYCg__&Key-Pair-Id=KUT5TJCACFTXG","author","Maryland General Assembly - Appropriations","date","2025-03-03T19:51:19.767Z","article","Maryland Department of Labor leaders told the Education and Economic Development Subcommittee in Annapolis that the department needs additional staff and funding to address a backlog of unemployment insurance claims, unresolved audit findings, and to implement workforce investments — while advocates and labor unions urged the committee not to delay the state’s Family and Medical Leave Insurance (FAMLI) program.

Scott Benson, the DLS analyst presenting the department overview, said the fiscal 2026 operating allowance increases by $102,900,000 (16.6%) to $722,300,000 and that the Office of Unemployment Insurance (OUI) allowance rises by $21,800,000 to $136,500,000, in part to add 125 regular positions to transition call center work in‑house as a contract with Accenture ends. Benson also flagged unresolved fiscal compliance issues from an Office of Legislative Audits (OLA) review, including $204,700,000 in federal fund accrual entries the department could not fully support, and a repeat audit finding that kept $100,000 of general funds restricted in fiscal 2024.

Benson summarized performance measures and the programmatic outlook: COVID‑era claim volumes peaked and continue to affect operations (calendar 2024 saw 1,200,000 claims), the federal timeliness standard is that 87% of claimants receive benefits within three weeks of filing, and appeals processing has lagged system targets though DLS reported some improvement in fiscal 2024.

The department’s fiscal 2026 allowance anticipates special funds for the family program if contributions begin as scheduled; DLS noted the department and the administration have proposed an 18‑month delay in implementation (Labor announced an 18‑month proposed delay on February 14, 2025) so that contributions would begin January 1, 2027 and benefits would begin January 1, 2028. Benson told the committee that if contributions do not begin in fiscal 2026, the family fund special funds included in the fiscal 2026 appropriation would be eliminated and Labor could require $34,000,000 in general funds to support planned operations.

Secretary Portia Wu told the committee: “Maryland is at a pivotal moment. Now more than ever our state needs to prioritize economic growth, diversification, and resilience.” Wu described four budget imperatives: growing Maryland’s skilled workforce in sectors such as cybersecurity and biotechnology; expanding apprenticeship and training programs; supporting individuals with barriers to work including people exiting the criminal justice system; and maintaining social safety nets such as unemployment insurance. Wu asked the committees to support a BRFAA provision establishing an administrative fee on taxable wages to fund UI administrative expenses and noted the proposal is designed to be revenue‑neutral for employers because employer payroll tax contributions to the trust fund would be adjusted correspondingly.

Labor also described the Family and Medical Leave Insurance program timeline, its estimated cost and administrative needs, and the department’s public statement proposing a delay. Lisa Klingenmeier, deputy director of policy at Maryland Family Network and campaign manager for the Time to Care Coalition, testified in opposition to an additional 18‑month delay. “This program does not rely on any federal funding for it to be able to be realized,” Klingenmeier said, and she warned the delay would postpone benefits for an estimated 247,000 Marylanders who would otherwise be eligible under the state’s actuarial study.

Union witnesses at the hearing endorsed increases in in‑house staff and resources. Adam Stoddard, an investigator in Labor’s prevailing wage unit and AFSCME trustee, praised the administration’s decision to add regular positions to OUI and said, “And if you're like me, you believe in protecting workers and creating opportunities.” Christian Goble of AFSCME Maryland Council 3 urged investment in Maryland Occupational Safety and Health (MOSHA) and asked lawmakers to reject any pause in enforcement of Maryland’s heat stress standard.

DLS recommended six budget actions for Labor, including restricting $250,000 until a report on repeat audit findings is submitted; changing PDA (purse dedication account) special fund appropriations contingent on legislation; making $33,000,000 of a new Unemployment Insurance Administrative Expense Fund contingent on BRFAA enactment of the administrative fee; and contingent changes to the family program special fund pending enactment of legislation delaying implementation. The department generally concurred with measures that depend on enacted legislation but objected to proposed PDA reductions and raised concern that some audit recommendations cannot be implemented because of federal privacy or FERPA constraints.

Committee members recorded no votes on DLS recommendations during the hearing; legislators asked for additional information and documentation. The hearing concluded with public testimony urging continued implementation of the family program and additional resources for MOSHA and in‑house UI staffing.","mediaType","Video","parentTitle","EED Committee Session, 3/3/2025 #1","oneSentenceSummary","Maryland Department of Labor leaders told the Education and Economic Development Subcommittee in Annapolis that the department needs additional staff and funding to address a backlog of unemployment insurance claims, unresolved audit findings, and to implement workforce investments — while advocates and labor unions urged the committee not to delay the state’s Family and Medical Leave Insurance program.","taxTitle","Education and Economic Development Subcommittee, Appropriations Committee, HOUSE OF REPRESENTATIVES, Committees, Legislative, Maryland","taxId",78563,"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},6658958,"College Park highlights expansion of need‑based aid and research gains while outlining steps to address state funding cuts",474,2884000,3358000,"/Search/View?dp=1&key=2474312-6ea0d582809ede5e39f104991e29bb4b&start=2884&end=3358","https://assets.pipeline.soar.com/2474312-6ea0d582809ede5e39f104991e29bb4b/thumbnail_2884000.jpg","/articles/6658958/Maryland/College-Park-highlights-expansion-of-needbased-aid-and-research-gains-while-outlining-steps-to-address-state-funding-cuts","https://secure.pipeline.soar.com/6658958-9654dea2c5cf9d50e80a5b5663ec6361/orig.mp4?Expires=1771077299&Signature=I4ulSI8k3YXmXBQJm5GWgagMZa6~7um8Zub54HrDbmvAikXLWy62dsq7E81qEoRLPo3OOv~kbMy6qsouHgnOS9eO8jlSnBVdJYoGYb5y2lsv7F8iO-iTkJ5g-FI3GJlQdzsS~CSbJAvtwJrWCI0jWEimU~2-4QNc3d3Kw3zvEzJibHOwcjW-rbPu5zDKp~IxroxhU0j7xzDaGIah3Po~OEHQOpiabrBBiNU1VpaP5foGWxZPn5SC8jdKzVA84GmOEvoSG7kIi38lsQw80PjbWrjgx5YUYIMHdHMBqdPSg7msD7CGChnJPHBWYNSqS-Qvw8p016znec9fYZl2X2F~zw__&Key-Pair-Id=KUT5TJCACFTXG","University of Maryland, College Park President Pines told the Education and Economic Development Subcommittee in Annapolis that the flagship campus is prioritizing need‑based aid and managing expenses to address reduced state support while continuing research and innovation programs.

Sarah Baker, a DLS analyst, opened the College Park presentation with enrollment and aid trends. Baker said first‑time applications peaked above 60,000 in 2024 and that fall 2024 enrollment grew 1.8% driven mainly by a 20% increase in transfer students. She noted institutional aid spending rose 63% and totaled $93,900,000 in fiscal 2024, driven in part by the launch of the Terrapin Commitment in spring 2023, a program designed to close the remaining gap between a student’s aid package and the cost of attendance for in‑state Pell‑eligible students.

President Pines said the Terrapin Commitment is the largest single‑year investment in need‑based aid in the university’s history and that the program raised the Pell share at College Park from 16% to 21%. Pines also highlighted institutional research rankings and partnerships, including the MPOWER collaboration with the University of Maryland Baltimore, and said the campus will take steps to address the current reduction in state support.

“To manage expenses, we plan to slow down our hiring and strategically manage positions. We will reduce non‑personnel expenses including but not limited to travel, the use of professional consultants, supplies and materials, and equipment purchases,” Pines said. He added the university will pursue revenue opportunities such as expanding professional master’s degree programs and entrepreneurial activities and that safety of students, faculty and staff would be prioritized in any reductions.

Baker’s analysis included program and budget details. DLS reported state funds for College Park increased 4.9% when excluding certain salary adjustments; the fiscal 2026 allowance included $1.4 million for equipment debt service related to a new building, $1.0 million to restore funding for a joint steering committee, and $750,000 mandated by statute for the University of Maryland Institute of Health Computing. DLS asked the institution to comment on how it will address a reduction in state support and reported that instruction expenditures decreased due to a one‑time $40,000,000 transfer to the plant fund in 2024.

Committee members thanked Pines for the presentation and pressed for additional questions; no formal committee action is recorded in the transcript from this item.

The university’s requested actions and DLS recommendations were presented as part of the system overview; DLS recommended consulting the USM systemwide overview for system‑level budget proposals. No final votes or legislative actions were recorded on the College Park item during this hearing.","University of Maryland, College Park officials told the Education and Economic Development Subcommittee that recent investments such as the Terrapin Commitment have increased need‑based aid and Pell enrollment, and that the campus will slow hiring and cut nonpersonnel expenses to absorb state funding reductions.",{"_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},6658962,"UMGC officials defend marketing spending and use of fund balance as auditors flag HIDA transparency issues",1076,1011000,2087000,"/Search/View?dp=1&key=2474312-6ea0d582809ede5e39f104991e29bb4b&start=1011&end=2087","https://assets.pipeline.soar.com/2474312-6ea0d582809ede5e39f104991e29bb4b/thumbnail_1011000.jpg","/articles/6658962/Maryland/UMGC-officials-defend-marketing-spending-and-use-of-fund-balance-as-auditors-flag-HIDA-transparency-issues","https://secure.pipeline.soar.com/6658962-55aae77bb7aeb885f5215e05c2914e71/orig.mp4?Expires=1771077299&Signature=MOUMdBxmzisl9SdekYVK-sOXB~RoKX2i7ns2pTi4suqWdTBUqPOO20BlcD2QLvsG1zit0IEBKYcrwuY4S~j-tAHK5elPfQ77aIMaoj9f7UOc6~4X3-hKqn4~4JtUlHWVEP7fh3ZIng3MycfC0Oudp3IdSCSDfJmzzJRIrH3v31lRPw0TYV9za6YIJMH4tT6~CGLmZeL2dh34qOnlhHkHZjuWkRJbU46TedSR1BnZ2Bda93js3p3SGqKs1~tiyX73nB7yG~UcqRVbYqsyr63AFkVYEt6pkfY2NuR45vSt1aD30iDACNuvqxqX0rEWkZs04OpIeuqKf9HmbqUmmKZqJg__&Key-Pair-Id=KUT5TJCACFTXG","University of Maryland Global Campus officials told the Education and Economic Development Subcommittee in Annapolis that the institution is investing fund balance and marketing dollars to grow enrollments and revenue even as state support tightens and an audit flagged governance problems at the university's affiliated HIDA entities.

Kelly Norton, a budget analyst who presented the Department of Legislative Services (DLS) review, told legislators that UMGC’s total undergraduate enrollment for fall 2024 reached 52,187 and that unrestricted E&G expenditures have exceeded revenues in five of the last seven fiscal years. Norton said the E&G deficit for fiscal 2025 is expected to be $17,500,000 and noted that, “as a nontraditional university, UMGC lacks” auxiliary revenue sources such as residential halls and food services that other campuses use to cover shortfalls.

The enrollment and revenue context is central to the university’s marketing strategy, Norton said. She reported that UMGC has spent approximately $326,000,000 of a Board of Public Works authorization for up to $500,000,000 in advertising from fiscal 2019 onward, and that UMGC contends the campaign has produced average annual enrollment gains of roughly 22,000 students. Norton asked UMGC leadership to explain how the university measures the student gains from the campaign and to submit a comprehensive report on the national marketing campaign, a recommendation DLS included in its operating budget actions.

UMGC President Fowler defended the strategy and the short‑term use of fund balance. Fowler said the university is a “tuition driven institution” and that more than 80% of its operating funds come from tuition tied to global operations. “To be clear, these are not meant to be long term operational practices. They are investments we are using to transform testing on the ground,” Fowler said, describing the fund‑balance investments as targeted steps to grow margins in out‑of‑state, corporate, and graduate markets while continuing Maryland‑focused programs such as the Maryland Completion Scholarship and the Golden ID program.

Officials also addressed institutional aid and student outcomes. Norton reported institutional aid rose from $13,000,000 in fiscal 2019 to $19,600,000 in fiscal 2024, with merit scholarships totaling $12,300,000 in fiscal 2024. Norton noted UMGC attributes a large share of institutional aid to merit funding tied to the Maryland Completion Scholarship, which subsidizes transfers from Maryland community colleges.

The meeting also covered concerns raised in an Office of Legislative Audits fiscal compliance review related to UMGC’s HIDA (higher education innovation and development affiliate) entities. Norton summarized OLA findings alleging lack of competitive procurements, insufficient monitoring of an IT project, concentrated interest revenue tied to UMGC (UMGC accounted for 92% of interest revenues from fiscal 2017 to 2022), and limited access to financial documents connected to the HIDA entities. She noted the USM Board of Regents created a HIDA task force and that the task force submitted recommendations on February 14, 2025, addressing transparency, fiscal oversight, removal of procurement exemptions, and clarifying what counts as a high‑impact economic development activity.

Fowler told the committee UMGC supports the Board of Regents’ recommendations and has been working with a third‑party vendor to define what services UMGC Ventures and Accelerate should provide. “We will provide the results of that analysis in the upcoming months, and we remain committed to ensuring that all our operations comply with state policies and regulations,” Fowler said. He added the Board of Regents would vote on revised HIDA policies in an upcoming meeting.

Committee members pressed university officials on metrics and return on the marketing investment, including a line of questioning from Delegate Talia Wallach and Delegate Beacham about how marketing dollars translate to net new Maryland students versus national enrollments. Fowler and UMGC staff cited lifetime student value calculations and competitive spending levels at peer institutions when describing the return on advertising.

DLS also noted other items for the record, including an exhibit showing $62,000,000 in sale proceeds from UMGC’s Largo properties designated for the operating fund balance.

The legislature asked UMGC to: (1) explain the sustainability of using fund balance for E&G shortfalls, (2) describe plans to address an expected decline in state funds for fiscal 2026, (3) detail the rationale for increasing contractual full‑time equivalents, and (4) submit the requested comprehensive report on the national marketing campaign. The DLS recommendation to “adopt narrative request and report on the national marketing campaign” was noted in the DLS analysis; no vote on that recommendation is recorded in the hearing transcript.","At an Education and Economic Development Subcommittee hearing in Annapolis, University of Maryland Global Campus leaders defended a multi‑year national marketing campaign and use of fund balance to cover operating deficits while the Office of Legislative Audits raised concerns about affiliate (HIDA) entities' procurement and transparency.","actionData","errors"]

Article not found

Labor secretary seeks resources as UI backlog, audits and a proposed delay to paid family leave draw scrutiny

College Park highlights expansion of need‑based aid and research gains while outlining steps to address state funding cuts

UMGC officials defend marketing spending and use of fund balance as auditors flag HIDA transparency issues