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MDOT briefs subcommittee on transit‑oriented development grants and capital program timing
Summary
Maryland Department of Transportation testified on a modest FY26 operating increase, the department’s transit‑oriented development revolving loan fund and notice of funding availability, and ongoing capital cash‑flow adjustments; MDOT also noted a forthcoming report on Purple Line impacts.
Maryland Department of Transportation Secretary Paul Wiedefeld and DLS analysts presented the department’s FY26 operating and capital package to the subcommittee and described a newly administered transit‑oriented development (TOD) grant program and several capital cash‑flow timing adjustments.
The department’s secretary described a small net operating increase after adjusting for a prior budget amendment and outlined the capital program’s cash‑flow differences between the working appropriation and the allowance. DLS noted the department’s six‑year capital program remained broadly similar to prior years, with system‑preservation funding above the spending‑affordability committee’s statutory baseline recommendation.
TOD revolving loan fund and first‑round awards
Under Chapter 512 of 2023 the state designated the subcabinet as the decision body for TOD project designations, at the secretary’s recommendation, and established a Transit‑Oriented Development Capital Grant Revolving Loan Fund that must hold at least $5,000,000 at the start of each fiscal year. MDOT said it released a Notice of Funding Availability on February 5 and will accept applications through April 8, with informational sessions on March 4. For the first round the agency anticipates approximately $4 million in awards by fiscal‑year end and will use the $5 million fund in subsequent years.
Purple Line reporting and capital timing
DLS had requested a report describing projects delayed or adjusted because of Purple Line cost changes; MDOT said the joint chairmen’s report response was delayed but has been submitted to committee staff. DLS also asked the department to explain capital timing shifts; MDOT said timing movements between the working appropriation and allowance are typical and often reflect project schedule changes rather than real cuts.
Personnel and cybersecurity request
MDOT’s office sought one operating position for cybersecurity in the Transportation Sector Office; DLS recommended against a new hire and suggested reclassifying a vacant position instead given statewide budget pressures; MDOT emphasized increasing malicious network events and argued cybersecurity capacity should be expanded across modes.
Ending
DLS recommended, and MDOT accepted in principle, annual reporting language to notify the committee of operating grant changes and capital program adjustments; the department asked to retain flexibility to allocate reductions across internal programs where the committee approves modest cuts.
