Package Includes Incentives to Create Thousands of Jobs, STEM Education Funding, Workforce Development & Cyber Initiatives
Governor Larry Hogan today unveiled the 2017 Maryland Jobs Initiative, a comprehensive legislative package that will provide incentives for the creation of thousands of jobs and $5 million in strategic investments in education and workforce training to put even more Marylanders back to work.
As the centerpiece of this initiative, the governor announced the More Jobs for Marylanders Act, a proposal to create thousands of jobs and attract businesses by eliminating all state taxes for ten years for new manufacturing employers that create jobs in high unemployment areas. The legislation will also include tax incentives for current employers who expand their workforce in these areas, including Baltimore City, where the governor made this announcement at the Living Classrooms Foundation’s education and job-training facility in Baltimore’s Perkins Homes neighborhood.
“We are very excited about this Maryland Jobs Initiative which will help us create thousands of jobs, particularly in those areas of our state where we desperately need them the most,” said Governor Hogan. “There should be very broad bipartisan support for these common sense, job-creating proposals. We look forward to working closely together with our local partners and with our colleagues in the legislature to make this Maryland Jobs Initiative program a reality.”
The governor was joined by Lt. Governor Boyd Rutherford, Maryland Department of Labor Secretary Kelly Schulz, Commerce Secretary Mike Gill, Baltimore City Senator Nathaniel McFadden, Baltimore City Mayor Catherine Pugh, and Baltimore City Council President Jack Young for the announcement.
More Jobs for Marylanders Act: As the centerpiece of Governor Hogan’s Maryland Jobs Initiative, this proposed legislation will to create thousands of jobs where they are needed most by eliminating all state taxes for ten years for new manufacturing employers that create jobs in high unemployment areas. To encourage existing Maryland manufacturers to add more jobs in these targeted employment zones, the governor’s proposal provides a tax credit for any new jobs they create. It also enables these companies to accelerate the deductions of their capital assets to free up capital for investment in new technology needed to create the jobs of the future. Qualifying jurisdictions currently include Baltimore City and Allegany, Dorchester, Somerset, and Worcester counties.
P-TECH Expansion: Governor Hogan announced additional investments to open six new Pathways in Technology Early College (P-TECH) high schools throughout the state, as well as funding to support students currently enrolled at existing P-TECH schools. P-TECH, co-developed by IBM, is an innovative, nationally recognized education model that blends high school, college, and work experience into one innovative program where graduates obtain a two-year associate degree in a STEM career field at no additional cost. P-TECH Dunbar and P-TECH Carver, both located in Baltimore City, opened for the 2016-17 school year.
“We thank the governor for his strong leadership,” said Stanley S. Litow, president of the IBM Foundation and vice president of IBM’s Corporate Citizenship & Corporate Affairs. “The new economy requires us to equip our nation’s students with skills to succeed in college and new collar jobs, regardless of income or zip code. Governor Hogan, together with state and city leaders, is providing Maryland students with opportunities, critical to their future and economic success.”
Maryland Partnership for Workforce Quality: The governor announced a $1 million investment for this program to encourage businesses to invest in employee training, ultimately making Maryland more competitive by ensuring that the state’s workforce has access to the most up-to-date skills needed in an ever-changing job landscape.
Cyber Jobs Training Grants: The Hogan administration will make a $3 million investment to provide funding for cyber job training grants, modeled after Maryland’s nationally recognized Employment Advancement Right Now (EARN) workforce training program. More than 1,700 unemployed or underemployed workers have received training through the EARN program, and this cyber-specific EARN grant will address skills gaps in growing industries like security engineering and software development to provide the qualified workforce needed to continue growing Maryland’s vibrant cyber industry.
“Maryland’s workforce is one of our strongest assets and a key reason why we are able to attract some of the best cyber and technology companies in the world, but it is critical that we expand and grow our skilled workforce to meet the demands of 21st century jobs,” said Secretary Schulz. “The governor’s initiatives will allow us to close the skills gap and get more Marylanders working in these exciting industries.”
Cybersecurity Investment Incentive Program: This proposal improves an existing program by making tax credits accessible to investors in cybersecurity startups. Modeled on Maryland’s successful biotechnology tax credit, this initiative will continue to grow Maryland’s cybersecurity community, support small businesses, and incentivize investment in innovation.
“Governor Hogan’s leadership has ushered in a new era of economic development achievement in Maryland, and the proposals the governor announced today will enable our state to attract even more new jobs and innovative businesses, and build the most skilled workforce in the country,” said Secretary Gill.