Subcommittee presses Maryland Department of the Environment on greenhouse‑gas accounting, lead data and stalled permits

The House Appropriations Committee’s Transportation and the Environment Subcommittee on Feb. 26 reviewed the Maryland Department of the Environment’s (MDE) fiscal 2027 operating request and probed agency performance on greenhouse‑gas accounting, lead surveillance and permit backlogs.

Legislative analysts from the Department of Legislative Services (DLS) told the panel that MDE’s FY27 operating allowance increases to about $269.7 million and spotlighted several issues: the agency’s air quality managing‑for‑results exhibits show continued difficulty meeting the ozone 8‑hour standard, the agency recalibrated older data to reflect a tighter annual PM2.5 standard, 2024 childhood blood‑lead surveillance data were not posted as expected, and two timeliness measures (PIA responses within 30 days and permit processing time) are no longer being reported. DLS asked MDE to explain large changes in permit issuance metrics and why the two measures are absent from current reporting.

“Point here is to look at that 0% line,” DLS analyst Andrew Gray said while walking members through trend charts and flagged that the ozone standard remains the only air quality standard not consistently met.

Secretary Serena McElwain said the governor’s FY27 request is roughly $270 million and highlighted recent operational improvements: permit turnaround reduced by roughly 25% since 2022, original wastewater permit backlog largely cleared, and a 94% resolution of preexisting wastewater permitting backlogs. McElwain also announced a finalized $341 million settlement and a 50‑year water quality certification tied to the Conowingo Dam that the agency expects will be followed by final FERC licensing actions in coming months.

On childhood lead surveillance, lawmakers pressed whether the delayed surveillance report would address an Office of Legislative Audits finding that MDE lacked a sufficient process to ensure property owners held required inspection certificates. Rick Kessler, director of the Land and Materials Administration, said the surveillance report is a separate public‑health surveillance product; he explained that a three‑month CDC program interruption and incompatible internal databases delayed the data. Kessler said MDE is funding reconciliation work and expects database integration within about six months.

Several members, including Delegate Spiegel, pressed MDE on how the state currently tracks greenhouse‑gas reductions relative to dollars spent and whether MDE can “tag” spending so the legislature can compare emissions reductions per dollar across programs. McElwain acknowledged the need for better metrics and deferred to Chris (Chris Hogan/Hoagland), MDE’s air‑program director, who said the reporting framework is “relatively new” and improving: the agency is building more proactive tracking but cannot promise per‑program tons‑reduced metrics in next year’s report and will build the capability over time.

Committee members also raised a DLS‑flagged $11.1 million double‑budgeting in wastewater O&M; DLS recommended deleting the duplicative amount to ‘true up’ the allowance. DLS additionally asked MDE to explain a proposed $7 million increase in climate pollution reduction grants and to provide updated revenue and closing balance information for special funds that have shown large increases in estimated balances.

On permits, the concentrated‑animal‑feeding operations (CAFO) general permit has been overdue. MDE officials said the permit process had lapsed within the agency and required internal correction, additional coordination with the Department of Agriculture, public engagement and likely federal EPA review of any revised permit. Rick Kessler told the committee he directed program staff to finalize decision‑making documents and expected agency decisions to reach the secretary and then be submitted for federal review by early summer.

Members asked for a revised exhibit reconciling revenue projections with MDE and DLS data; Chia Cook, MDE’s business operations director, said staff identified the discrepancy and would provide corrected exhibit material within the committee’s normal follow‑up timeframe.

The subcommittee also heard public testimony and moved on to other agency budgets. The hearing paused near its close for a committee vote on House Bill 437, a separate measure concerning the climate impacts of major highway expansions.