DHCD highlights housing shortfall, new finance vehicle and ‘Housing for Jobs’ proposal

Maryland Department of Housing and Community Development Secretary Jake Day told the Eastern Shore delegation on Feb. 14, 2025, that persistent housing undersupply is constraining Maryland’s economy and that the agency is pursuing several new and existing tools to increase production and investment.

Day said statewide estimates of the housing shortage range from roughly 96,000 to 150,000 units; using the lower bound, he emphasized the scale of the problem and the economic drag he said results from unmet housing demand. Day described the newly certified Maryland Community Investment Corporation (MCIC), established by last year’s Housing and Community Development Financing Act and recently certified as a community development entity by the U.S. Treasury, which allows Maryland‑focused use of New Markets Tax Credits.

Day also summarized the administration’s package of housing initiatives for the current session. He said last year’s historic housing package created new tools such as a statewide tenant opportunity‑to‑purchase right and the Housing Expansion Affordability Act to enable housing development on nonprofit, surplus and transit‑adjacent land. The proposed Housing for Jobs Act would identify jurisdictions with housing shortfalls (the department describes jurisdictions with more than 1.5 jobs per housing unit as having a gap) and require those jurisdictions to approve new housing that meets objective development regulations unless a limited set of reasons support denial.

Why it matters: Day framed increased housing production as essential to retaining and attracting workers, reducing cost burdens and restoring Maryland’s economic growth trajectory. He noted several grant and loan programs that benefit Eastern Shore communities: DHCD announced $9.5 million in revitalization awards to 49 Eastern Shore projects last cycle, with examples including a Henry Hotel preservation project in Ocean City and lead abatement in an Elkton drill hall. The department also reported a $2.1 million “Business Boost” microgrant round for small businesses on the Shore.

On homelessness, Day said the administration is reviewing shelter certification and standards and intends to work with local councils and shelter operators so that safety and quality standards are raised without unnecessarily closing providers. He said the department will coordinate with local stakeholders and the Eastern Shore council on homelessness as legislation advances.

Ending: Day asked local leaders to partner on removing regulatory obstacles and on place‑based investments to increase housing supply and economic activity on the Eastern Shore.