O’Malley-Brown 2012 Legislative Summary

Jobs - Education - Sustainability - Quality of LIfe - Dignity

Jobs and Maryland's Innovation Economy

FY2013 Capital Budget

Over these past 12 months, the people of our State have created 47,000 new jobs – our best year of new job creation since 2005.  Maryland’s businesses created jobs twice as fast as our neighbors in Virginia.  As a State we have now recovered nearly 80% of the jobs we lost in the Bush recession – almost twice as many as the nation as a whole.  Creating jobs continues to be our top priority; our capital budget will create, support and leverage approximately 50,000 jobs.

governor greets workersBackground: During the 2011 special session, the O’Malley – Brown Administration, joined by Senate President Miller and Speaker Busch announced legislative briefings on Maryland’s Transportation Infrastructure Needs and Economic Development and Job Creation.  The Governor also hosted a symposium on Job Creation in December. The clear message from economists and business leaders alike was that the most effective and immediate way to create jobs is through infrastructure investments. 

^ page top

Regulatory Reform

Reduces regulatory burden on businesses.  Following an Executive Order issued by Governor O'Malley last year, our state agencies conducted a comprehensive review of all regulations to identify those that could be revised, repealed or streamlined to enable economic and job growth.  Thanks to the help of Maryland's business community and our dedicated citizens, more than 130 regulations were identified for reform. 

Background: On October 17, 2011, Governor O’Malley issued an Executive Order calling for a 60-day review of current state regulations with the intent of changing and/or eliminating regulations in order to spark faster job creation.

^ page top

!nnovate Maryland Initiative

Establishes a groundbreaking partnership between Maryland and its leading academic research institutions to get the most promising technologies out of the laboratories and into the marketplace, creating new jobs and opportunities in our state.  In March, Maryland raised $84 million for Maryland's innovation economy through !nnovate Maryland - the nation’s first ever online tax credit auction to raise funds for venture capital initiatives.  ! nnovate Maryland is our state’s largest venture capital initiative to date.

governor tours plantBackground: Maryland is home to the best public schools in the nation, a highly-educated workforce, and world-renowned research facilities. However, while we rank #1 in research and development per capita, we are only 37th in commercialization of that research. This gap between our massive future potential and the level of our entrepreneurial activity must be addressed. Last year, we passed InvestMaryland to help close that gap by investing venture capital dollars in innovative Maryland-based businesses. In order to further close the gap between the research dollars flowing into the State and our ability to commercialize the research into new jobs, opportunity, and economic growth, we need to unite our talent with our entrepreneurs across disciplines and universities.  Maryland has all the tools to be the premier place to go to school, conduct high-end research, spin that knowledge into the marketplace, and successfully build a company.  This initiative will help create the research and technology jobs that the New Economy demands.

^ page top

Education and the Skills to Succeed

governor meets studentsFY2013 School Construction Funding

Capital funding for Maryland's #1 in the nation public schools, provides our children with the skills to succeed and ensures that our schools remain competitive with significant investments: $373 million in school construction dollars to build, renovate and "green" Maryland's schools, bringing the six-year total to $2 billion and supporting an estimated 11,000 jobs for our families.

 

^ page top

Maintenance of Effort

Supports legislative efforts to protect funding for our children's education by reforming Maintenance of Effort. Requires counties receiving state education funding to maintain their levels of per-pupil funding every year unless they obtain a waiver and slowly raises requirements for counties with lower-than-average effort to ensure that all of our children have access to a quality education regardless of location. Creates an incentive for efficiency by allowing counties to reduce funding by the amount they can reduce recurring costs and provides additional flexibility in generating local revenue.

^ page top

A Sustainable Future for Maryland

Sustainable Growth and Preservation Act of 2012

Allows for sustainable growth by assisting local communities in moving septic growth away from areas where it will contribute to wasteful land development practices and pollution.  Creates four tiers for inclusion in local comprehensive plans to guide growth on central sewer and septic systems. Ensures that the land use and pollution impact of future Marylanders is minimized, giving us the greatest chance of success in restoring the Chesapeake Bay and protecting our rural landscape.

Background: At the conclusion of the 2011 regular session the Governor created the Task Force on Sustainable Growth and Wastewater Disposal following a vigorous debate on HB1107 and the issue of the use of septic systems. Last year’s legislation would have prohibited, with specified exceptions, the State or a local authority from recording or approving a residential major subdivision on septic and required best available technologies (BAT) for all septics. The Governor’s legislation was crafted with the recognition that outdated wastewater technologies—septic systems—are one of the few nitrogen pollutant sources in Maryland that continues to increase and which often supports wasteful land development practices outside of our sewered areas. If left unchecked, such practices could undermine Maryland’s Bay restoration, smart growth, and sustainability efforts. Maryland’s population continues to grow and is expected to increase by 1 million people by 2035. Implementing protective measures now will ensure that the land use and pollution impact of future Marylanders is minimized, giving us the greatest chance of success in restoring the Chesapeake Bay and protecting our rural landscape.

^ page top

Family Farm Preservation Act of 2012

Secures a sustainable future for Maryland’s family farms and protects and strengthens Maryland’s agricultural heritage and economy.  Increases the exemption for agricultural properties from the calculation of the estate value up to $5 million - the same level allowed for Federal taxes.  Reduces the current estate tax rate from 16% to 5% to protect Maryland’s farms valued over $5 million.  Protects our state funds through a mandate requiring recapture of the tax obligation if the farm is taken out of agricultural use within 10 years.

governor tours farmBackground: In the competition among states for jobs and opportunity, Maryland’s economic strength depends on our ability to strengthen, grow, and defend our family farms and family-owned businesses.  This bill is about securing a more sustainable future for Maryland farming which protects our heritage and strengthens our agriculture economy.

^ page top

Bay Restoration Fund

Provides funding for upgrades to wastewater treatment plants that dramatically reduce levels of nitrogen and phosphorus entering the Atlantic Coastal Bays, the Chesapeake Bay and its tributaries by doubling the Bay Restoration Fee. By allowing us to make green upgrades to wastewater treatment plants, we will continue to greatly reduce the pollution flowing into our Bay.  Twenty-five percent of the reduction in nitrogen pollution we’ve achieved together these past three years is a result of these wastewater plant upgrades.  That’s second only to the record number of cover crops planted by Maryland’s farmers, in terms of reducing nitrogen pollution.

Background: The main goal of the Bay Restoration Fund is to provide grants to owners of wastewater treatment plants (WWTPs) to reduce nutrient pollution to the Chesapeake Bay by upgrading the systems with enhanced nutrient removal technology.

^ page top

Improving Maryland's Quality of Life

Health Benefit Exchange Act of 2012

Establishes a one-stop, transparent marketplace where individuals and small businesses can compare rates, benefits and quality among private insurance plans to ensure all Marylanders have access to affordable healthcare.  Based on recommendations established through an open and collaborative stakeholder process, puts in place policies to guide the Exchange’s operations to ensure quality coverage, reduce costs, and assist consumers in choosing the best plan for their family.

Background: The Affordable Care Act requires each state, by January 1, 2014, to establish a health benefit exchange that makes available qualified health plans to qualified individuals and employers, and meets certain other requirements. Federal health care reform expands Medicaid, requires states to establish health insurance exchanges for individuals and small businesses, and provides subsidies for coverage. Maryland seeks to establish a highly effective, efficient, and accountable exchange to reduce the number of Marylanders without health insurance and to provide Marylanders with high-quality, affordable private health plans at competitive costs. Following last session’s legislation creating the framework for the exchange, the Board of the Maryland Health Benefit Exchange worked with a broad range of experts and stakeholders to develop a series of policy recommendations.  These experts included four advisory committees with stakeholders from the health insurance industry, health care providers and associations; community members, advocates, community-based organizations; academia; business owners; unions; local government officials; and consultants. In total, 66 Marylanders served on these committees.

^ page top

The Maryland Health Improvement and Disparities Reduction Act of 2012

Explores ways to reduce health disparities in Maryland through a $4 million pilot program for a series of geographically based ‘Health Enterprise Zones’ in underserved communities.  Community-based organizations and local health departments may apply for the program; if accepted, organizations will receive grant funds to increase their health services.  Incentives such as loan assistance repayment, tax credits, priority funding for electronic health records, and preference to enter the Maryland Patient Center Medical Home Program will be used to attract practitioners, working in conjunction with a local applicant, to the program.

Background: Maryland has numerous advantages for good health, including the 3rd highest median household income, 2nd highest number of primary care physicians per capita, and 10th lowest rate of smoking. We are also home to some of the nation’s best hospitals and academic medical centers. Despite these advantages, we still have significant health disparities in health care and health outcomes. These disparities include, among others, significant disparities between blacks and whites in Maryland hospital admission rates, disease rates, and deaths. For example, African Americans in Maryland have an infant mortality rate that is almost three times the rate for white Marylanders, have an incidence of new HIV infections at almost 12 times the rate of the white population, and are almost twice as likely to lack health insurance as whites; Maryland Hispanics are over four times more likely to not have health insurance when compared to whites; and American Indians in Maryland are three times more likely to experience end-stage kidney disease than whites. The Maryland Quality and Cost Council formed a workgroup to examine ways to reduce health disparities in the State and recommended taking action to reduce these disparities and improve the health of all Marylanders. One of the workgroup’s key recommendations centered around the creation of Health Enterprise Zones.

^ page top

Dignity and Equality for all Marylanders

Marriage Equality – The Civil Marriage Protection Act of 2012

Protects civil marriage rights and religious freedom equally; protects the dignity of every individual in Maryland by allowing same-sex couples to get a government-issued marriage license while including important provisions to ensure protection for religious institutions.   Ensures all of our children have the opportunity to live in a loving, caring, committed and stable home, protected equally under the law.

Background: Marylanders of all walks of life want their children to live in a loving, stable, committed home – protected under the law. As a free and diverse people of many faiths, we choose to be governed under the law by certain fundamental principles or beliefs, among them, the dignity of every individual, equal rights under the law, and free exercise of religion without government intervention. Other states have found a way to protect both these rights. So should Maryland.

^ page top

Legislative Redistricting

Restructures Maryland's legislative districts to accurately reflect the demographics and population trends of our state in the past decade.  Enhances minority voting rights, including creating the first single-member Hispanic district in Maryland's history.  Pays exceptional attention to respecting natural and political boundaries, protects communities, and results in districts that are compact and contiguous. 

^ page top