Maryland Comptroller Peter Franchot and state Sen. Ben Kramer became engaged in a war of words Tuesday, accusing each other of conflict of interest when it comes to the alcohol and tobacco industries.
At issue is a bill Kramer has introduced that would prohibit elected and appointed government officials who receive financial contributions of more than $100 from the alcohol, tobacco and motor fuel industries from having regulatory authority over the industries.
Among the individuals specified in Kramer’s proposal are the comptroller, employees in the comptroller’s office, members of a local licensing authority, mayors or other “officer elected or appointed to any office of trust.”
Franchot released a statement Tuesday claiming that Kramer’s bill demonstrates a “complete lack of understanding” that his office’s field enforcement division has in protecting consumers, by carrying out functions such as recovering lost revenue from illegal alcohol business, preventing tobacco smuggling and guarding against identity and tax fraud.
Kramer’s bill was introduced Monday at the request of the Task Force to Study State Alcohol Regulation, Enforcement, Safety, and Public Health — a 20-member committee made up of legislators, alcohol industry representatives and law enforcement officials among others. The bill is scheduled for a hearing Feb. 22.
Franchot, in an interview last month, said the task force voted 13-7 to strip him of his regulatory authority. He accused lawmakers of retaliating against him due to his positive working relationship with Republican Gov. Larry Hogan.
“It is a corrupt concept that has as its only basis the retaliation against me for my relationship with Hogan and my independence,” he said of the task force’s recommendation.
Franchot, a Democrat, said he thinks the effort against him is a reaction to his advocacy for the deregulation of the craft beer industry.
Franchot statement noted the senator’s ties to the liquor industry in Montgomery County, pointing out that he and his sister Rona Kramer, the state’s secretary of the Department of Aging, own a building that houses a county-run liquor store and receives $20,000 per month in lease payments from the Department of Liquor Control.
“Despite his obvious financial conflicts of interest, Senator Kramer has introduced this bill because of my efforts to reform Maryland’s archaic craft beer laws and level the playing field for small businesses throughout the state,” Franchot wrote.
In an interview Tuesday, Franchot said Kramer’s bill stem’s from the comptroller’s desire to rid Montgomery County of its liquor monopoly.
“He [Kramer] has an ancient grudge with me because I want to get rid of the DLC,” he said.
Kramer filed a disclaimer of possible conflict of interest with the legislature after he was first elected to the House of Delegates in 2006. The state senator said in an interview Tuesday that ties to the county liquor store property have no relevance when it comes to the state’s regulation of alcohol, because the bill has nothing to do with the county’s liquor monopoly.
“What is the relationship between that and this legislation other than a red herring to create some sort of impression? How does that relate to having DLC in a tenant space?” said Kramer, a Wheaton Democrat.
Kramer said Franchot’s statement was hypocritical, because the comptroller has taken contributions from the alcohol industry. Campaign finance records show that Franchot accepted $1,000 in 2017 from a political action committee that supports Maryland craft brewers.
“That’s a legitimate concern that manifested itself in the task force. Should we have an elected official who is responsible for regulation in an industry,” he said.
Kramer went on to accuse Franchot of “playing the victim.”
“He’s taking a page out of the [President] Donald Trump playbook to attack and demean anyone that doesn’t fall in line with him,” Kramer said.
Kramer, despite the harsh words, said he has known Franchot for many years and that the two have “gotten along fine,” but he is disappointed in the comptroller’s reaction to what he believes is a measure aimed to avoid conflicts of interest.
“That’s not an attack on the comptroller. It doesn’t matter if it’s Peter Franchot or Peter Rabbit. I am focused on the best interests of the residents of our state,” Kramer said.
Dan Schere can be reached at Daniel.schere@moco360.media