Subcommittee hears MDVA budget; Charlotte Hall staffing, occupancy and contract changes spotlighted

The Public Safety, Transportation and Environment Subcommittee on (date not specified) reviewed the Maryland Department of Veterans Affairs (MDVA) fiscal 2025 operating allowance, hearing a Department of Legislative Services (DLS) presentation that the MDVA budget increased by $8.2 million for FY25 and includes proposed deficiency appropriations totaling about $6.5 million.

DLS analyst Yashodera Rai summarized the agency's numbers, saying, "The graph on page 1 shows that the budget for MDVA has increased by $8,200,000 in fiscal 25." She said the fiscal 25 allowance totals $63,400,000 and that $49,700,000 is budgeted for Charlotte Hall Veterans Home operations — of which 95.5% is contractual services under the new management contract. Rai also described proposed special and federal fund uses, including gifts, Bailey's Fund transfers and equipment upgrades.

Why this matters: Charlotte Hall provides long-term care for veterans; the budget change reflects a new contract structure, incoming Medicare/Medicaid/private-pay revenue flows and onetime capital and equipment needs. Committee members said they view both operational and trust matters at Charlotte Hall as priorities for continuing oversight.

Committee focus and questions
Committee members pressed MDVA leaders on a high vacancy rate across the department and specific recruitment and retention issues for cemetery caretakers. Pete Pancer, MDVA chief of staff, said caretakers are the "backbone of the Veterans Cemetery program" and acknowledged they are among the agency's lowest-paid staff. He told the subcommittee the agency has raised pay substantially since 2015 ("caretakers today make 57% more than they did in 2015") and improved average caretaker tenure from about 1.9 years to roughly four years.

Pancer outlined steps the agency is taking: redesigning the caretaker classification to allow higher pay and clearer promotion paths; pursuing noncompetitive promotions within the classification; and converting some open positions to priority areas such as veteran benefits to reduce the agency's overall vacancy rate. He also said five vacancies could be filled immediately and that three vacancies were reserved for prerelease program participants by Board of Public Works action.

On admissions and geographic access to care
Secretary Tony Woods described recent operational steps at Charlotte Hall and plans to improve statewide access. He said the facility reopened admissions in late 2023 and came into the intake process with a waiting list (about 35 veterans in November), and that officials are gradually moving veterans into the facility. Woods noted geographic challenges for veterans living far from Charlotte Hall and emphasized a planned second home in Sykesville and a potential third option: a verbal agreement from the U.S. Department of Veterans Affairs to provide an additional 7.7 acres at Perry Point.

Oversight and recommended reporting
DLS recommended adoption of committee narrative requesting continued quarterly reports in collaboration with Charlotte Hall's contractor that track staffing, residency numbers, resident complaints and any CMS ratings or fines. The analyst also requested information on the high vacancy rate and on outreach and admissions strategies.

What's next
The subcommittee asked the agency to return with follow-up information, including progress on recruitment and retention, the status of the Operation Hire Maryland relaunch activities (Maryland Joins Forces/MSEP partnerships), and details about projected occupancy and outreach efforts. No formal votes were taken during this presentation; the committee signaled ongoing oversight through the requested reports.

Ending note
Officials framed the FY25 allowance as support for continuing improvements at Charlotte Hall and other MDVA services while acknowledging outstanding challenges on staffing, occupancy, and the financial transition tied to the new contractor and new revenue streams.