Hogan Calls Restrictions ‘Death Sentence,’ Adds MD Relief Money

MARYLAND — Maryland Gov. Larry Hogan committed more than $140 million to help businesses stay afloat during the coronavirus pandemic, treat residents with diabetes who are especially vulnerable to the virus, and provide rent assistance for those in need.

“Today, we are immediately taking additional state actions to help businesses struggling to hang on to avoid the prospect of more layoffs right before Christmas or being forced to go out of business in a matter of weeks," Hogan said Thursday.

The governor spelled out a series of measures aimed to keep Marylanders employed and in their homes, while questioning new crackdowns in some counties on indoor dining.

Said Hogan of additional restrictions: "It is a death sentence for a number of these small businesses."

The governor announced several orders and funds to help provide lifelines to businesses and residents, so they can "keep employees on their payrolls":

• An executive order will protect Maryland businesses from sudden or substantial increases in their unemployment taxes.
• The Maryland Department of Commerce will forgive $75 million in emergency loan debt, converting the $75 million into emergency loans it gave to small businesses into grants that do not need to be repaid.

"We are urging county governments to match" these funds, Hogan said.

"We have known since the early days of the pandemic that employers would ultimately confront increases in unemployment taxes," Christine Ross, president and CEO of the Maryland Chamber of Commerce, said in a statement Thursday. "The governor’s announcement today represents a tremendous step in mitigating the impact of increasing costs on Maryland’s businesses. We look forward to continuing to work together on solutions that blunt the economic impact of COVID-19 on our state’s job creators. "

Hogan said he had pleaded with federal leaders for emergency relief for struggling families and small businesses.

"While here in Maryland we continue to take constant actions to fight this virus from all directions, Congress continues to fail at the one simple thing we have asked them to do," Hogan said.

"We have to get something out to these people that need it," Hogan said. "It has to be right now, like this week," Hogan said, as to why the state was acting now.

The state was also providing grants and investments to support the health of Marylanders during the pandemic.

"We are experiencing a post-Thanksgiving surge," Hogan said Thursday, Dec. 10, two weeks after the holiday, as coronavirus cases and hospitalizations have climbed to record levels. "Today for the first time all 24 of our jurisdictions are in the red zone for case rates" for coronavirus, he said.

More than one out of every three Marylanders has diabetes, the "No. 1 co-morbidity for people getting serious illness from COVID-19," Hogan said.

He said $94 million would go toward new grants and investments to treat Marylanders with diabetes.

To help those struggling with housing, Hogan announced these measures:

• $25 million in low-income housing tax credit projects to approve and promote 2,000 units of high-quality affordable housing, which will create more jobs and represents the largest number of units financed by the state in a single year
• $12 million through the Rental Housing Works Program to spur projects and create jobs for construction workers and related industries

The Maryland Department of Housing and Community Development already offered $40 million in rental assistance, according to Kenneth Holt, the state's secretary of housing.

Hogan also announced $10 million in investments to support law enforcement, youths and victims, including a new way for crime victims to access virtual services during the pandemic. The funds will also support PPE funding and protective barriers for courthouses, rapid testing for Maryland State Police and expanded internet access for youths in Baltimore City.

"We're going to continue to take more actions as we see fit," Hogan said.

While he said he did not want to second-guess any leaders, he was skeptical of the decisions by Baltimore City and Anne Arundel and Prince George's counties to restrict indoor dining.

• Baltimore City will close indoor and outdoor dining, shutter theaters and reduce capacity limits at casinos and retailers effective at 5 p.m. Friday.
• Prince George's County Executive Angela Alsobrooks announced Thursday the county will be shutting down indoor dining at 5 p.m. Wednesday, while outdoor dining capacity will be limited and so will retail establishments and casinos.
• Anne Arundel County restaurants and bars must close all indoor and outdoor dining, effective Wednesday at 5 p.m. Other venues like skating rinks must close until Jan. 13.
• Montgomery County Executive Marc Elrich has proposed closing indoor dining and limiting capacities at large retailers, pending approval from the County Council.

Dining "is not the number-one source" of transmission of the virus, Hogan said, based on contact tracing data, which points to family gatherings.

"Next is working, going to work and working in an office environment," Hogan said, adding indoor dining was fifth on the list of locations the virus was transmitted.

He urged people to take personal responsibility for stopping the spread of the coronavirus by making choices like washing their hands and wearing face coverings when around people outside their household.

"Chanukah is the story of how a small group of people can make a powerful difference, and it is a celebration of the victory of hope over fear and light over darkness," the governor said. "It's a powerful message for all of us, especially this holiday."

See Also:

• MD's Initial Jobless Claims Rise; State Investigates Fraud Scheme
• MD Breaks Coronavirus Hospitalization Record 2 Days In A Row
• As Federal Coronavirus Aid Stalls, Hogan Helps Small Businesses