Maryland Department of Housing and Community Development Reports Significant Economic Impact and Housing Achievements in FY25

The Maryland Department of Housing and Community Development (DHCD) has released its Fiscal Year 2025 Agency Impact Report, highlighting a substantial economic contribution to the state and significant progress in key areas such as affordable housing production and digital connectivity. According to the report, the department’s initiatives generated $8.5 billion in economic impact, supported $1.9 billion in wages and salaries, and sustained the equivalent of 30,852 full-time jobs across Maryland. These figures underscore the department’s role in fostering economic growth and development throughout the state.

The report details advancements made across several DHCD divisions. The Community Development Administration played a crucial role in producing affordable housing, financing 3,997 new or substantially rehabilitated housing units through 36 projects. This represents the highest level of affordable housing development in nearly a decade, addressing a critical need for families, seniors, and individuals across various income levels. Furthermore, the Division of Neighborhood Revitalization’s programs positively impacted 576 communities, focusing on a range of initiatives from developing affordable housing and reducing vacant properties to revitalizing Main Streets and improving public spaces.

In its first year of operation, the new Division of Business Development provided substantial support to Maryland’s small business sector. Through programs like Neighborhood BusinessWorks and the Own Your Future initiative, the division invested $70.5 million, assisting 108 Maryland businesses. This investment reflects the department’s commitment to nurturing small businesses as a primary driver of the state’s economy. Connectivity was also a key focus, with the Office of Statewide Broadband completing 80 projects across Maryland, facilitated by $18 million in investments. These projects aim to bring essential internet infrastructure to unserved and underserved communities, bridging the digital divide.

The report emphasizes the leverage generated by DHCD’s investments, stating that every dollar of department funding attracted $15.7 in direct investment and resulted in $21.2 in total statewide economic impact. This multiplier effect signifies the efficiency and broad reach of the department’s strategic investments. Secretary Jake Day highlighted that these outcomes demonstrate the tangible benefits of prioritizing investments in people, places, and partnerships, leading to stronger neighborhoods, thriving businesses, and enhanced opportunities for all Marylanders.

In other related developments, the Maryland Digital Equity Coalition is set to integrate into the Office of Statewide Broadband. This strategic alignment is designed to ensure the Coalition’s efforts are more closely coordinated with Maryland’s broader objectives for broadband expansion and digital equity. The department also announced the publication of the Reinvest Baltimore Action Plan, which outlines clear objectives and strategies for addressing vacant properties in Baltimore and aims to track redevelopment progress over five years. Applications for the Baltimore Vacants Reinvestment Initiative for Fiscal Year 2027 were scheduled to open on February 18.

To support local businesses and community development, the Main Street Maryland Mentorship Program has been launched. This program will pair Main Street managers in the Aspiring tier with experienced mentors to provide guidance and skill development, helping communities work toward full Designation status within the Main Street Maryland framework.

The successful expansion of high-speed internet to Smith Island, a remote community in Maryland’s Chesapeake Bay, was also highlighted. Supported by a $2 million grant through the Office of Statewide Broadband, this project connected over 200 households and businesses, fostering community preservation and economic development, and is a step towards the state’s goal of universal high-speed internet access by 2030.

Additionally, the department has introduced a new intake form for the State Housing Ombudsman. This form is intended to streamline the process for developers and stakeholders to request support and communicate challenges related to housing projects. This initiative supports Governor Wes Moore’s Housing Starts Here executive order, which aims to reduce obstacles to housing production and improve coordination among stakeholders in the state. Two DHCD team members, Scott Gottbreht and Mira Morgan, have been selected to participate in Leadership Maryland’s 2026 professional development programs, recognizing their contributions and leadership potential within the department.

Article by Mel Anara, based upon information from the Maryland Department of Housing and Community Development

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