Governor Hogan’s Fiscal Year 2017 Budget Promotes Economic Development

Budget Takes Important Steps Forward Creating Environment Where Businesses Can Grow And Flourish

“Over the past 12 months, Maryland businesses had their best year in eight years, with some of our most important brands and employers - like Under Armour, McCormick, Northrup Grumman, FedEx, and Amazon - increasing their investment and growing jobs in our state. Let’s build on that progress, and continue to make Maryland a more competitive, and a more business-friendly state.” -Governor Larry Hogan, February 3, 2016

Expanding Opportunities For Maryland Businesses

The Fiscal Year 2017 Budget Includes $6.4 Million In General Funds For The Maryland Economic Development Assistance Authority And Fund. Funding for the Maryland Economic Development Assistance Authority and Fund will total nearly $20 million in Fiscal Year 2017. (Maryland Department Of Budget And Management)

To Contribute To The Development Of Small Businesses In Maryland, The Fiscal Year 2017 Budget Provides $6.3 Million For Business Assistance Through The Maryland Small Business Development Financing Authority. (Maryland Department Of Budget And Management)

The Fiscal Year 2017 Budget Will Provide An Historic, Record Investment Of $13.7 Million To Provide Financing Opportunities Through The Small, Minority, And Women-Owned Business Investment Account. In Fiscal Year 2017, the Small, Minority, and Women-owned Business Investment Account will receive record funding of $13.7 million, this is nearly a 30% increase from the amount of funding that the Small, Minority, and Women-owned Investment Account received in Fiscal Year 2016. (Maryland Department Of Budget And Management)

The Fiscal Year 2017 Budget Includes Tax Credits For Some Of Maryland’s Emerging Fields. The Fiscal Year 2017 budget includes $12 million for the biotechnology tax credit and $2 million for the cybersecurity tax credit. (Maryland Department Of Budget And Management)

The Fiscal Year 2017 Budget Increases Funding To The Five Regional Economic Development Offices And Planning Councils In The State. The Fiscal Year 2017 budget will increase funding to Maryland’s five regional economic development offices and planning councils in the state to $200,000, this is a $50,000 increase from the $150,000 that the regional planning councils received in Fiscal Year 2016. (Maryland Department Of Budget And Management)

The Fiscal Year 2017 Budget Will Make A $20 Million Investment In The Economic Development Opportunity Fund Toward Aerospace And Defense Research. (Maryland Department Of Budget And Management)
Jack Martin Jr., Spokesman For Northrup Grumman: "Northrop Grumman, As The State's Largest Manufacturing Employer, Could Benefit From The Appropriation...Overall, The Funds Would Help Stabilize Our Workforce In Maryland And Improve Business Prospects For Maryland And Companies Within Maryland." (Lorraine Mirabella, “Hogan Proposes Giving Northrup Grumman $20 Million To Secure Division Headquarters And Jobs,” The Baltimore Sun, 2/19/16)

Providing Opportunities For Job Seekers To Obtain The Skills And Training Needed To Meet The Demands Of The 21st Century Workforce

The Fiscal Year 2017 Budget Includes Over $50 Million Toward Workforce Development Programs, Ensuring That Job Seekers In Maryland Will Become Productive Assets For Their Future Employers. (Maryland Department Of Budget And Management)
More Than $27 Million Will Be Provided For Maryland's 12 Workforce Investment Areas. More than $27 million will go toward providing job seekers occupational skills, entrepreneurial training, and job search assistance. (Maryland Department Of Budget And Management)
$17.3 Million Will Be Provided To Job Centers Across The State To Aid In Providing Assistance To Job Seekers Through Referrals, Career Counseling, And Job Training. The Fiscal Year 2017 budget provides $17.3 million toward job centers across the state assisting job seekers, this is an increase of 2.4% from the $16.9 million that job centers received in Fiscal Year 2016. (Maryland Department Of Budget And Management)
More Than $4 Million Toward The Employment Advancement Right Now Program. (Maryland Department Of Budget And Management)
$2.2 Million For Adult Instructional Services And General Educational Development Testing. (Maryland Department Of Budget And Management)

Addressing Blight And Providing Economic Revitalization In Baltimore City

$75 Million In State Funds Will Be Allocated Toward Project C.O.R.E To Demolish Abandoned Buildings. “Under Project C.O.R.E, the state will commit $75 million over four years for the demolition of abandoned buildings in Baltimore City, paving the way for private sector investment. (Press Release, “Governor Larry Hogan Submits Second Supplemental Budget,” Office Of The Governor, 2/11/16)
$18 Million In Funds Were Included In The Fiscal Year 2017 Budget Toward Project C.O.R.E. (Maryland Department Of Budget And Management)

An Additional $600 Million Will Be Provided By The Maryland Department Of Housing And Community Development In Financing Opportunities To Encourage Redevelopment. “Under Project C.O.R.E., the elimination of blighted portions of the city will be further supported by more than $600 million in financing opportunities over the next four years from the Maryland Department of Housing and Community Development to encourage private sector developers to revitalize Baltimore’s neighborhoods through housing and commercial investments.” (Press Release, “Governor Larry Hogan Submits Second Supplemental Budget,” Office Of The Governor, 2/11/16)

Governor Hogan: “Together, We Will Transform These Neighborhoods From Centers For Crime And Drugs, To Places Our City, And Our Entire State, Can Be Proud Of. Working With The Private Sector To Invest In Projects Like Affordable Housing, Retail, And Other New Businesses Will Help Ensure That Baltimore Becomes A Better Place To Live, Work, And Retire.” (Press Release, “Governor Hogan, Mayor Rawlings-Blake Partner To Address Blight In Baltimore City, Announce State Project,” Office Of The Governor, 1/5/16)

M.J. “Jay” Brodie, Former Head Of The Baltimore Development Corporation Under Four Mayors: “I Don’t Recall There Was Ever An Infusion Of This Magnitude… This Is A Great Moment For The City. Take Advantage Of The Moment. This Is Unlikely To Happen Again.” (Luke Broadwater and Yvonne Wenger, “Gov. Hogan Announces $700M Plan To Target Urban Decay In Baltimore,” The Baltimore Sun, 1/5/16)