By Brian Shane
Staff Writer
Control of more than $1 million in cannabis tax-funded community grants will shift from Worcester County’s elected officials to a local oversight board – a move that the County Commissioners voted to approve themselves.
In a 5-2 decision, the commissioners voted Oct. 21 to give their Local Management Board, or LMB, authorize to distribute funds. Commissioners Caryn Abbott and Eric Fiori opposed the change, both arguing the commissioners should have more influence over which of the 23 applicants would be deemed qualified to receive grant money.
“Many of us, as individual commissioners, have talked to our community members and that’s where these applications came from,” said Fiori (District 3, West Ocean City). “I requested some of these applications to come in and thought they were good applications. I just don’t know if I’m quite ready to hand it over yet.”
Abbott (District 1, Southern) asked whether small businesses could qualify for the grants. Legislative analyst Charlene Sharpe read from the state’s guidance, and noted the money is not intended for programs like after-school activities, truancy and absentee intervention, transportation improvements, and more – but not private enterprise.
“Well, I personally would like to be more involved with the decision making than turning it over to the LMB and losing any control or say,” Abbott replied.
Since cannabis sales were legalized in Maryland in 2023, Worcester County has received tax revenue from the state’s Community Reinvestment and Repair Fund, funded by a 12% tax on cannabis sales.
About 35% of that tax revenue by law is funneled into the state’s Community Reinvestment and Repair Fund. Worcester’s share of the fund is 1.219%, and has amounted to $1.17 million over two years: $635,001 in 2024 and $538,563 in 2025, according to county data.
When county staffers sought guidance on how to spend the money, word came down from the Office of Social Equity that the cash should benefit low-income communities and communities disproportionately impacted by drug enforcement.
The county opened its grant application process in June, receiving 23 applications. Nonprofits like We Heart Berlin, Diakonia, and Habitat for Humanity applied. Private businesses like Hardwire LLC, Pocomoke River Canoe Company, and Davis Strategic Development applied. All four municipalities in the county also applied for grants.
However, state policy changes narrowed the scope of eligibility: county officials are being told that cannabis funding should primarily benefit health-related causes instead of community groups. There are also new requirements to incorporate stakeholder input into the grant process and to host a public hearing, according to Sharpe.
Sharpe appeared before the commissioners on Oct. 21 asking for guidance: either make the grant program fit the new regulations or give the funding to the Local Management Board – an oversight committee for social services – as other jurisdictions have.
On a motion by Commissioner Chip Bertino, the commissioners opted for the latter.
County Administrator Weston Young explained the state’s “community-based initiatives” approach proved too broad, leading officials in Annapolis to tighten regulations on what they intended cannabis revenue to be used for.
Young said this policy change “pulled the rug out” from the grant program that county staff has already put together.
Grant management at the county level would be challenging, too, Young added. He said if every funding requests were granted, it would fall to the county’s budget office to manage and follow up with grantee agencies.
“We’ve struggled with some reimbursement-type grants with singular entities. If we add dozens, potentially, that’s lot of work on our end,” he said.
Each of Maryland’s 23 counties and Baltimore City each have their own Local Management Board, which aims to provide community-based services and coordinate community grants, with a priority given to children and at-risk families.
“They will be handling the money; they’re geared for these types of programs. But we would like to let them know the community-based initiatives we’ve received. For those who have submitted applications, we want to make sure they don’t go completely unheard. It’ll be for the LMB to decide how the funding gets spent,” Young said.
Notably, some confusion ensued when Commissioner Bertino, who made the motion, stepped out of the room during the vote. The remaining commissioners split the vote 3-3 before realizing Bertino’s absence. Bertino then resumed his seat, and the board took the vote again, yielding a 5-2 decision.