Baltimore Sun

Invest in Md.’s future

Taking our state’s strengths for granted will lead to failure and long-term regret

- By Mike Beland and Benjamin Orr Mike Beland (mike.beland@gmail.com) is chairman of the board of directors of the Maryland Center on Economic Policy, where Benjamin Orr (borr@mdeconomy.org) is the executive director.

With the General Assembly recently convening and statewide elections set for next year, Maryland is uniquely positioned to be a national leader in enacting common-sense policies that promote broad-based economic growth and expand opportunit­y for everyone. At the same time, our policymake­rs can position the state and all of its citizens for success in the realities of the 21st century’s global economy.

Our state’s history of economic success is built upon past investment­s in the pillars of a strong economy: a well-educated workforce, good-paying jobs and a transporta­tion network to move people and goods. These pillars, however, require maintenanc­e and continued investment — which is where we are falling short. We need bold leadership from our state’s leaders to not take our strengths for granted and keep our economy moving so everyone has a chance to succeed.

Investing in things like great schools, health care, modern infrastruc­ture and safe communitie­s helps our economy grow. As the experience of Kansas and several other states has demonstrat­ed, tired proposals for tax cuts primarily focused on those at the top of the income ladder do not work to stimulate broadbased growth, and they undermine the state’s ability to pay for the services that average people rely on every day. While the full details of Gov. Larry Hogan’s recent manufactur­ing tax-credit proposal are not yet available, experience in other states suggests such well-intentione­d approaches may be too costly and exacerbate budget shortfalls in the future. We urge a robust conversati­on in Annapolis this year that seeks to assess the long-term benefits in a level-headed way.

There are clear signs that the failure to invest in Maryland’s future is catching up with us. As Maryland dips in national education rankings, experts say we need to put more than $2 billion more into our education system to truly meet the needs of Maryland students. Ensuring that all Maryland students receive a top-notch education is important not only for those students but for all of us because it’s critical to maintainin­g a well-educated workforce and attracting businesses to the state.

Maryland’s child care assistance program, which helps thousands of parents who are working hard but struggling to make ends meet to afford care for their young children, is another example of declining state services. Despite having some of the strictest income eligibilit­y requiremen­ts in the country because the program is underfunde­d (it is only open to families of three with incomes below $29,990 per year, for example), there are nearly 4,000 eligible children on the waiting list. As the cost of child care has continued to increase — now outpacing the cost of a college degree at a state school — child care assistance has remained flat, and the waiting list has grown. This, too, undermines our economic success.

Maryland should also enact policies that model other economical­ly successful states, like California and New York, to make our state a better place to work. Gradually ramping up the state’s minimum wage to $15 per hour and indexing it to inflation would help more families afford the basics without government assistance and be a long-term cost-saving measure. Making sure everyone can take time off work when they are sick will reduce turnover, help more people keep the jobs they have and protect public health. This climate will attract the workers (and customers) that business needs. Expanding the Earned Income Tax Credit to include workers not raising children would allow people to keep more of what they earn — money they will spend at our local businesses.

The state is also now in a good position to invest in state-of-the-art school facilities; up-to-date water treatment plants; and better highways, railroads and ports. By stepping up these much-needed investment­s now, Maryland would create immediate job opportunit­ies while supporting long-term economic growth. Unfortunat­ely, despite Maryland’s top-notch credit rating, the governor has in recent years insisted on capping state borrowing at an arbitrary level that doesn’t take into account inflation or the state’s needs. Reversing Maryland’s declining investment in infrastruc­ture would promote economic recovery and would focus on an area of apparent bipartisan agreement following November’s national elections.

We believe that, as the wealthiest state in the nation, Maryland can do better. With some common-sense fixes, like cleaning up unnecessar­y tax breaks for large corporatio­ns and the wealthy, we would be in a better position to move Maryland forward and be a national example of progress. We urge our state policymake­rs to think big and invest in a thriving Maryland future.

 ?? AMY DAVIS/BALTIMORE SUN ?? Members of the Maryland House of Delegates participat­e in the opening day of the General Assembly last week.
AMY DAVIS/BALTIMORE SUN Members of the Maryland House of Delegates participat­e in the opening day of the General Assembly last week.

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