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Analysts and Maryland Energy Administration spar over $237.6 million FY‑26 allowance, cancelled grants and transfers from energy fund

2381950 · February 24, 2025
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Summary

The House Appropriations Committee’s Transportation and Environment Subcommittee heard a DLS presentation showing MEA’s fiscal 2026 allowance at $237.6 million (a projected 10.1% decline) and questioned why $26.6 million in previously appropriated grants were cancelled; MEA said it will provide more program‑level data and expects to award most funds transferred to it from a dedicated purpose account by May.

The House Appropriations Committee's Transportation and Environment Subcommittee heard a detailed Department of Legislative Services review and agency response on the Maryland Energy Administration's (MEA) fiscal 2026 operating budget and program activity.

Suvika Bujal, the DLS analyst assigned to MEA, told the subcommittee the fiscal 2026 allowance “decreases by 26,800,000.0 or 10.1% to a total of 237,600,000.0,” and highlighted line‑item data showing large planned spending for renewable and clean energy programs, and a number of unresolved budget reporting discrepancies. Bujal’s presentation referenced cancelled grants, transfers from the Strategic Energy Investment Fund (SIF) and elevated auction revenues from the regional greenhouse gas initiative (RGGI).

The DLS analysis flagged: a total of $26,600,000 in grant cancellations at fiscal 2024 closeout (including $20.5 million in special funds and $1.6 million in federal funds); a $90,000,000 transfer from SIF to a Dedicated Purpose Account (DPA) in fiscal 2025; and a budget amendment that transferred $53,700,000 from that DPA to MEA to fund community electric vehicle supply equipment, electric school buses and building electrification. DLS also noted that alternative compliance payment (ACP)…

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