Maryland lawmakers want governors to face stronger ethics laws
Senate Bill 723 and House Bill 932 would require the governor to either place their financial interests into a certified blind trust approved by the State Ethics Commission or divest from any interest the SEC determines may pose a conflict of interest with the governor's public duties.
A blind trust is an arrangement often used by politicians to give control of their private financial interests to an independent manager to avoid conflicts of interest.
'While we do have financial disclosure requirements here in Maryland that we all comply with, I would suggest that when it comes to the highest office in the state — the governor, who has unique power — that we need an even stronger framework so as to mitigate against conflicts of interest, reinforce accountability and transparency and protect the ethical integrity of that uniquely powerful office,' said Sen. Brian Feldman, a Montgomery County Democrat sponsoring the Senate bill.
While Feldman did not name any particular governor at Wednesday's bill hearing in the Senate Education, Energy and the Environment Committee, he referenced an October 2024 article from Time magazine that raised ethical concerns about former Gov. Larry Hogan, a Republican.
The report, which was published before the only televised debate between Hogan and now-U.S. Sen. Angela Alsobrooks, claimed the former governor had approved millions of dollars in affordable housing awards for six developers who were clients of his real estate brokerage firm.
Maryland Democrats, including Gov. Wes Moore, called for stronger state ethics laws the day after the story came out. At the time, Moore said there were 'a lot of answers that the old governor needs to provide' and said the state should look into the contracts Hogan approved while he was in office.
Hogan, meanwhile, called the story 'completely false' and 'some old false conspiracy theory.'
Moore finalized the creation of a blind trust several months after taking office. As of April 2023, his blind trust included more than $2.5 million in investments. Nearly half of Moore's holdings posed potential conflicts of interest, including more than $1.2 million in shares of a cannabis company that does business in Maryland.
Under the bill's provisions, the trustee of a governor's blind trust would generally be prohibited from informing the governor about the management or income of the trust while the governor is in office. However, they can provide enough needed information to file tax returns. The State Ethics Commission would post a governor's approved certified blind trust and related documents on its website.
Additionally, the measure would require any business entity seeking a state grant, award or contract to report any financial interest held by the governor or restricted individuals — a governor's spouse, parents, grandparents, siblings, children, grandchildren and in-laws — to the state's ethics commission. A report from a business entity would also be posted to the commission's website.
Joanne Antoine, executive director of Common Cause Maryland, referenced similar concerns as Feldman, saying that over the last few years, the public has been questioning the actions of former governors.
'Conflicts of interest are cancerous to our democracy,' she said. 'When our elected officials put their interests first, what they're sending is a message to the public that the state doesn't think their needs are a priority.'
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