Budget Shortfalls, Federal Cuts & Chaos Impact Passage of Water Legislation in Maryland and Virginia

Waterkeepers across the region work tirelessly in their local communities to ensure the right to clean water is protected. Each year, they work on legislation to further the goals of protecting drinking water and access to clean water, promoting government transparency, investing in climate resiliency, and strengthening environmental justice laws. In addition, especially in a fiscally challenging year, they advocate for adequate state funding for environmental agencies, programs, and infrastructure. 

MARYLAND

The Maryland Waterkeepers coalesced around some top priorities to champion during the 2025 General Assembly session. It was a tough budget year in Maryland with a $3 billion deficit, compounded by the federal budget and workforce cuts, making the budget a top priority for the conservation community, as well as the Waterkeepers. While there were cuts in key agencies and programs, support for water programs was not eliminated. However, it did impact passage of bills that had fiscal notes.

Coal Ash Cleanup and Accountability Act (SB245/HB902): Win! Introduced by Sen. Michael Jackson and Del. Mary Lehman, this bill is on its way to the Governor’s desk for his signature. Coal ash is a toxic byproduct of burning coal for power generation. There are over 70 coal ash disposal sites across Maryland, amounting to more than 50 million tons of coal ash waste, often located in communities of color and low-income neighborhoods. Passage of this bill codifies the federal EPA regulations setting effluent guidelines for coal ash in water and requiring cleanup of legacy sites. It also provides authority for Maryland to go beyond the federal regulations in monitoring, assessment and clean up, and to fund additional personnel for health assessment, water quality monitoring, and oversight for cleanup activities. 

Protecting Water, Food & Lands from Toxic PFAS (SB732/HB909): Revisit next year Biosolids is the sludge produced during the treatment of municipal, human, and industrial wastewater, and often used as fertilizer on farmlands. Unfortunately, biosolids contain toxic PFAS that runoff farm fields and filter into groundwater, contaminating drinking water sources, bioaccumulate in fish and wildlife, and are stored in milk, fruits and vegetables. Sen. Sara Love and Del. Dana Stein introduced SB732 & HB909 to establish a limit for PFAS in biosolids and require testing before it is spread on farm fields. Despite vigorous negotiations, large utilities and industry blocked the bill. Bill sponsors, MDE, advocates and other stakeholders are committed to meeting over the summer and will revisit the bill next session.

Maryland Beverage Container Recycling Refund and Litter Reduction Program (SB346/HB232): Almost passed; revisit next session Bottle trash, particularly plastic, is a pervasive blight in our waterways, posing a serious threat to the environment, aquatic life, and human health. Sen. Brooks and Del. Terrasa introduced SB346 & HB232 to establish a beverage container deposit program. This bill was assigned to two house committees; it passed out of Environment & Transportation, but wasn’t voted on in Economic Matters. It’s in a good position to move forward during the next session. In related good news, a bill on extended producer responsibility (EPR) on packaging did pass (SB901), and is set to work in conjunction with a future bottle deposit program.

Nearshore Farming & Finance (SB898/HB1175): Revisit next year Trees near tidal water are six times more effective at reducing delivery of nitrogen to the Bay than trees in upland areas. Sen. Sara Love and Del. Dana Stein introduced SB898 & HB1175 to increase nutrient application setbacks on agricultural land bordering tidal waters, prioritize conservation efforts within the riparian buffer, and offer farmers increased incentives for their ecosystem services rendered in these environmentally sensitive areas. In a tough budget year, this bill didn’t move forward.

Additional bills we tracked included a PFAS in pesticides bill that was hijacked by industry and ultimately stopped by its proponents; a bill requiring a study of data centers passed with some weakening amendments; and a bill that will allow the development of a transmission line through wildlands in Western Maryland passed with amendments to add back in the public meeting and notice requirements, approval by DNR, and remediation and spacing requirements that the original bill attempted to bypass by overwriting existing wildlands regulations.

VIRGINIA

It was a tough budget year in Virginia, also compounded by the federal budget and workforce cuts. Both chambers of the General Assembly have convened emergency committees on federal issues and their work will continue through the summer. Understanding that federal funds support many state positions, programs, and investments in climate resiliency infrastructure is critical. In this short-session year, a lot of policy moved forward – or not – through the budget process. Overall, the budget process was not good on environmental and water issues, including cutting the funding for a much needed water intake study. A few small pieces of good news are funds for harmful algal bloom monitoring in the Shenandoah River; $50 million for Richmond’s CSO (a small fraction that is needed); and establishing a long overdue wetlands policy working group.

Data center reform legislation was a high priority for the conservation community. One bit of good news was that proposed budget amendments to extend the data center tax credit until 2050 with no strings attached was defeated. However, despite a bi-partisan group of state legislators introducing around 30 bills to manage the accelerating and uncontrolled growth of data centers in Virginia, only two bills passed, and they were substantially watered down. Dominion Energy and the five largest and richest companies in the world have opposed data center reform and they have immense resources to support their position which has resulted in the state legislators kicking the can down the road another year. This will have devastating long-term impacts on our energy demand, water usage, and land development in Virginia.

We urge all of you concerned with our clean water future to remain engaged throughout the year. As we face unprecedented gutting of our bedrock federal environmental and public health protections, your voice and support has never been more crucial. Every email, phone call, meeting, and donation from people like you helps ensure that clean water and public health stay front and center in conversations about state legislation and budgets. Reach out to your local Waterkeepers today. Waterkeepers won’t back down and will continue to advocate for bold, long-term solutions.

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