MSBA’s 2025 Legal Summit recently featured an insightful legislative wrap-up panel, offering Maryland legislators insights on the past session. The panel, which former U.S. Attorney Erek Barron moderated, included Senators Will Smith, Jeff Waldstreicher, and Shelly Hettleman, and Delegates Luke Clippinger, Sandy Bartlett, Liz Embry, and John Carden.
Key Legislative Highlights and Challenges:
Budget Impact on Legislation: Senator Smith emphasized that the $3 billion budget shortfall significantly impacted all legislative work, leading to heightened scrutiny of any bill with a fiscal impact. This challenging climate meant balancing the protection of vulnerable populations, such as renters needing access to council, with the need to incentivize housing development due to a 6,000-unit shortage.
Judicial Security: Senator Smith sponsored a bill on judicial security, a high-priority issue at both the state and federal levels. He stressed the importance of securing courthouses as workplaces, noting the "terrible" state of security for judges and courthouse staff. Due to budget constraints, the bill passed as a "study bill". The goal is to collect comprehensive data to inform a "very thorough, perhaps expensive," but necessary judicial security policy in the next session.
Buddy's Law: Delegate Bartlett highlighted "Buddy's Law," a bill named after a pet that was shot and killed. This legislation raises the cap for tortious injury to a pet from $10,000 to $25,000, recognizing the significant veterinary costs that pet owners can incur. The bill passed this year and was met with appreciation from pet owners across the state.
Medical Debt Bill: Delegate Embry discussed a significant consumer protection bill related to medical debt. The bill, which passed this year, protects a person's primary residence from medical debt collection by addressing how money judgments are automatically converted into property liens in Maryland. This legislation was a collaborative effort with organizations like Economic Action Maryland, Legal Aid, and the Attorney General's office.
Access to Counsel in Eviction Proceedings: Senator Hettleman discussed the ongoing funding for access to counsel in eviction proceedings. Maryland became the second state in the nation to require representation for people facing eviction. This program, passed in 2021, addresses the imbalance where 90% of tenants in eviction court lack representation, while landlords typically have legal counsel. Research shows that representation helps people stay housed or achieve better outcomes, reducing negative effects on families and long-term costs. While the program had $14 million in funding set to expire in June 2027, the challenge in the current budget climate was securing permanent funding. The bill successfully extended the $14 million funding for another year, a difficult but essential victory. The program has been "extremely successful" in preventing homelessness for thousands.
Proposed Business Tax: Senator Hettleman also discussed the proposed business-to-business tax, which emerged late in the session to address the budget shortfall. The deficit worsened during the session due to cuts to the governor's budget, a mid-session "re-estimate" adding another $300 million shortfall, and the impact of a new federal administration on federal workers and agencies in Maryland. Recognizing Maryland's shift to a service economy, similar service taxes have been explored in other states. The proposed wholesale business-to-business tax generated extensive feedback from various industries during a joint House and Senate hearing. While legal services were not ultimately included, the importance of direct communication from organizations like MSBA to legislators was emphasized.
Federal Administration's Impact and Immigration Policy: Senator Smith also addressed the impact of the federal administration on the state's legislative agenda. He noted a shift away from using state detention facilities as "holding pens" for immigration purposes due to the state's values. A bill was introduced to prevent local jurisdictions from cooperating with ICE in field enforcement. The final bill, while not as strong as originally intended, defined "sensitive locations" within the state and requires the Attorney General to develop guidance to ensure access to essential services like medical care in facilities such as libraries and city buildings. This created a tension point between state values and potential federal incentives or penalties, such as the DHS's "sanctuary city" list. The aim is to balance being more inclusive with the practicalities of resource allocation and federal relationships. The ongoing policy aims to integrate individuals who contribute to Maryland's economy.