For Immediate Release From The Arc of the United States!
The MIDSEC and DDA Budget
There is a group called the Maryland Intellectual and Developmental Disabilities Sustainability and Equity Committee (MIDSEC), which is comprised of 22 members, including people with developmental disabilities, parents, providers, support brokers, and advocacy organization representatives. This group met weekly from October 7 to December 16, 2025 (a little more than 2 months) with the official meeting purpose (condensed for brevity) to “analyze trends and recommend service design innovations to improve efficiency, equity, sustainability and system improvements to help DDA connect Marylanders with IDD to services that empower them to live the lives they want in the communities they choose."
DDA put forth several ideas for discussion during these meetings, and the MIDSEC conducted exploratory vetting of dozens of ideas that were provided by individual committee members. Ideas were put forth to DDA without attribution to individual MIDSEC members during or between meetings. It is unclear whether all the ideas submitted were moved to the agendas.
From the beginning, MIDSEC members expressed the desire that any recommendation put forward should carefully consider the impact on people with disabilities. We were not involved in any decisions regarding the budget cost containment suggestions provided by DDA to the Administration.
During the meeting process, members of the group requested additional information to understand the magnitude of the concerns and budget difficulty we faced. We received information on the federal cost neutrality requirement, but were unaware of the magnitude of the challenge and budget difficulty we faced at that time, only that changes needed to be made to ensure a sustainable, equitable system of supports for Marylanders with IDD.
The work of the MIDSEC was temporarily paused for the start of the Maryland Legislative Session, but it is expected to resume in a few weeks.
Fast forward to the situation we now face:
A few weeks ago, Governor Moore unveiled the FY 2027 budget. This budget includes $155.5 million in General Fund sustainability proposals for DDA Community Services, also referred to as “cuts." This was previously reported as $150 million and updated about a week ago.
The proposals include:
• $62.3 million through a reduction of Reasonable and Customary Wages in Self-Directed Services to align with BLS standards, and the elimination of Wage Exceptions that will impact approximately 4,000 people who self-direct their services and many of their Direct Support employees.
• $27.1 million through a reduction of Dedicated Hours (1:1 and 2:1) in Provider Supported Services that will affect approximately 3,800 people and many of their Direct Support employees.
• $66.1 million through a reduction of person-centered plan budgets exceeding $500,000 that will affect approximately 1,600 people, 824 of whom have care and support expenditures at 500K or more.
Why we are here - again:
There has been steady growth in the DDA budget from the years FY22 to FY25, even as enrollment in the program has largely been unchanged. (Keep those years in mind for the rest of this explanation). The DDA Budget changed from $1.7 billion to $3.2 billion during this time. It is notable that, also during this time, a DDA rate study (in process since 2015) was finally completed during this time, and new service rates were starting to be implemented. This increase in the DDA budget coincides with the transition of providers and self-directed services to the new service rates available through a new billing and records system known as LTSS. (This system is used by most states because service billing and payment can be timely, and forecasting more precise than the legacy billing system Maryland had been using for DDA services.)
The migration to the new LTSS system and the new rates started with a pilot group of providers in July 2021 (FY22), and by September 2024 (first quarter of FY25), the migration was complete. As Providers and people in SDS were added to the LTSS system, they were transitioned to the new service rates, which is one reason for the growth from FY22 to FY25.
During these years, the minimum wage in Maryland also rose from $11.75 per hour (first quarter of FY22) to $15 per hour (third quarter of FY25), an increase of 27.7%. The DDA Community Service rate tables were adjusted to respond to these increases: these organizations and self-directed services are medicaid-funded, and cannot pass any of the costs associated with providing services on to the recipients.
Another factor for consideration is that people with developmental disabilities are aging, and with improved access and advances in healthcare, individuals are living longer. It goes without saying that people may require more support as they age. For example, people with Down syndrome in the early 2000s often would not live to the age of 50, and in 2025, we see people with Down syndrome living well into their 60s and longer. According to the National Down Syndrome Society, about 30% of people with Down syndrome who are in their 50’s and 50% of people with Down syndrome in their 60’s have Alzheimer’s dementia. Individuals who may have had minimal support needs in their 20s and 30s may now need additional support for their medical, behavioral, and other needs related to their aging.
There are additional cost drivers and possible solutions that, while explored, should be examined for consequences from all sides - and - there were cost containment measures and rate cuts implemented last fiscal year. We have requested updated projections that may show the financial impact of the implemented cost containments and cuts last year, some before and some after the October DDA Waiver Amendment effective date. Our internal dashboards show the impact from those cuts to be material. There have been measurable Dedicated Hour service reductions and losses over the past year, a cut to the funding for services provided in 5 counties in the Geographic Differential zone, and cuts to wage exception rates.
The bottom line:
Any changes to our system and funding must be completed thoughtfully and surgically, with an understanding of the system that was created over many years to provide people with IDD the support and flexibility in services to live, learn, and work in their communities, and with a lens on the complexities we face with requirements imposed by Medicaid, the Affordable Care Act, the 21st Century CURES Act, and more. DDA Services cost more today than they did in 2022, and all these factors are contributory.
Every person who receives services and supports from DDA, regardless of whether they choose to receive support from a provider, vendor, or a family member, will be impacted by proposed cuts, and we have a responsibility to preserve critical support services and develop thoughtful, long-term solutions that will not disrupt or dismantle all we have built in Maryland.
Check out the BILL TRACKER Today:
https://docs.google.com/spreadsheets/d/1Gj... .
TOP UPCOMNG BILLS: SB0073 - Election Law - Polling Place Procedures - Voting by Elderly Voters and Voters With Disabilities (Accessible and Expedited Voting Act of Maryland)
HB0426 - Petition for Guardianship of the Property of Alleged Disabled Person - Stay of Civil Actions and Proceedings
HB0311 - Public Schools - Individuals With Disabilities - Accessibility and Emergency Planning
Tune in Online: Developmental Disabilities Day at the Legislature on February 18th, 8:00 to 11:00 AM
Tickets to DD Day are sold out, but you can still participate on February 18th! From 8 to 11 AM, the event will be livestreamed on the Maryland Developmental Disabilities Coalition’s Facebook page:
https://www.facebook.com/MDDDCouncil for you to learn about key legislation affecting Marylanders with intellectual and developmental disabilities, their families, and professional supports.
Please note that due to code requirements and capacity of the space in Annapolis, The DD Coalition will not accept any onsite registration or allow anyone to enter without their verified registration in our system.
Please do not show up at The Graduate Hotel with the expectation that you will be permitted entrance if you do not have a verified ticket, but do please still plan to be in Annapolis to visit the General Assembly on this day or another day/days this session to share your stories. Many people are meeting friends and fellow advocates down at the Senate or House Buildings.
Visit our Facebook Page, Maryland Developmental Disabilities Coalition’s Facebook page:
https://www.facebook.com/MDDDCouncil, forHearing and Briefing schedule information.
VISIT The Arc of Maryland at
https://www.facebook.com/thearcus and use these handy hashtags here: #AgnesLevine, #LevineOliverPublisherInc., #(K-LOP), #mentalillnessrecoverysuccess, #BipolarDisorder, #MajorDepression, #Schizophrenia, #GunViolenceFree, #AnxietyDisorder, #Sobernation #BlackCatholics, #Section 504, #Section 503, #IEP, #Lupus, #JuvenileDiabetes, #Intellectual Disability, #AutismSpectrum, #CerebralPalsey, #Legislation,
Posted By: agnes levine
Wednesday, February 11th 2026 at 4:53PM
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