Maryland - District 39
April 8, 2008
Dear Friends and Neighbors,
The 2008 Legislative Session has come to a close and I want to update you on some of the issues that I have been involved with during the past 90 days. I also want to thank you for your phone calls, letters and email. It’s your thoughts on legislative issues that guide my decisions during session.
The 2008 Session was my first full session as your State Senator. As a member of the Budget & Taxation Committee, it was also my first time working directly on the state’s budgeting process. By law, the Governor must submit a budget to the General Assembly by mid-January. The legislature can then cut, but not increase, funds from the budget. Our committee spent many hours in hearings, listening to testimony from State Agencies, county leaders and institutions of higher education explain their need for funding. Also, as a member of the Health, Education and Human Resources Subcommittee and the Capital Budget Sub-committee, I heard statements from over one hundred different groups. Although all of their testimony was compelling, the realities of our state’s and counties’ economies are such that we had to find places to cut the budget. After much deliberation, we cut over $400 million from Governor O’Malley’s budget. As a part of the Budget & Taxation Committee, I am very proud of the reductions passed while still funding those services that are so important to maintaining our quality of life in
Despite the record amount of budget cuts made during this session, I am happy to report that I have been able to secure some important Capital Budget funding for District 39 and
There were a number of high profile issues deliberated by the General Assembly during this 2008 Session. The following are just a few of the issues that District 39 residents have contacted me about:
The Tech Tax
The 6% tax on computer services has been an issue of much discussion since its adoption during the 2007 Special Session. At the beginning of the 2008 Session, it looked as though there would be no way to repeal this tax and still generate the funds needed. Listening to the concerns of several District 39 residents who do government contract work; I sponsored a bill that would remove the tax for those businesses doing subcontract work on government projects. As I am sure you have heard by now, that bill was not needed as the “Tech Tax” has been repealed. The compromise to remove this tax was one of the most difficult votes I have had to make. In order to repeal the tech tax, we had to impose an income tax increase for the next three years of .75% on those citizens making over $1 million, take money from the Transportation Fund and require $50 million more in state agency cuts. Again, this was a very difficult decision for me, knowing that any decision would have a negative impact on
Education
I sponsored a bill which passed both houses and will allow for a minimal tax credit for businesses that provide work-based learning programs. This bill will encourage private businesses to partner with schools in providing on the job training. Although the number of students entering higher education in the State has dramatically increased over the years, there are still a number of students for whom higher education is neither an option nor a choice. This workforce development bill will help employers integrate with the schools to provide training in a proper and safe way for students who want to pursue a career in the construction trades.
As Senate Chair of the Joint Committee on Children Youth and Families, I worked with Senate Leadership and the Governor’s Office to secure funding for the Maryland Infants and Toddlers Program. This important Division of Maryland State Department of Education works with the state’s most vulnerable group, young children, to ensure a healthy start in life and education.
While full funding under the Thornton Plan for
Environment
I co-sponsored several bills this year that will protect the environment and the
Corporate Taxes
During the Special Session of 2007, I sponsored legislation which created the Maryland Business Tax Reform Commission. This Commission will study the fiscal impact of a variety of different tax reporting systems and make recommendations to ensure that Maryland Corporations are paying their fair share of state taxes. During this Session, I worked with the Comptrollers Office, Legislative Services and Tax Specialists to pass legislation that will allow the Commission to receive more concise and usable data. This bill has already become a model for other states looking to reform their corporate tax structure.
There are many other issues that were important to the residents of District 39. To see what action was taken and how Legislators voted, you can go online to http://mlis.state.md.us. Once there, you can look up bills by number, subject or sponsor. Please fell free to contact my office at 301-858-3686 if you can’t find the information you are looking for on the website.
Thank you again for sharing your thoughts with me on the various legislative initiatives. I appreciate your input and your support. If I can be of assistance during the interim, or if you have any issues you would like addressed in the 2009 Legislative Session, please call me at 301-858-3686. As always, I am honored to serve as your Senator in the Maryland General Assembly.
Sincerely,
Senator Nancy J. King