This page will provide you with links to Actions you should take to ensure your legislators know what you want and are interested in. 

Background

As of this morning, there are NINE income tax modification bills, including Governor Hogan's bill (which has changed this year). The House versions will be heard before the Revenue Subcommittee of the House's Ways and Means starting next week. That subcommittee has SIX members and we need to let them know that we want Income Tax Subtraction bills referred to the full Ways & Means and then taken to a VOTE before the full HOUSE. We are starting with our best bet at the moment, Mike Roger's bill (HB 461).

Course of Action

In the past, we have demonstrated our reach to the legislators and this may be our last chance for success. How can you help?

1. Determine your representatives by using this link: https://mgaleg.maryland.gov/mgawebsite/Members/District; click on Lookup and type in your address. RECORD THIS INFO....you'll use it again this session. Let Keith Reagan, Carl Kilhoffer and I know so we can better target emails in the future.
2.  Cut and paste the email template below into your email.
3. Insert the needed information in the [xx] and feel free to modify as needed.
4. Send a separate email to Delegate Leudtke and any of your representatives on the Sub Committee using the emails below. Give yourself bonus points if you send letters to all the delegates on the full committee.
5. Copy MDMOAACoC@gmail.com and MDMilCoalition@gmail.com so we can talk with authority when we total numbers and use as overwhelming evidence of our commitment when communicating with our representatives.

Ways & Means Revenue Subcommittee.

Full Committee

Letter Template

Dear Delegate Leudtke [or XXXX]:

As a former member of the [name of Uniformed Service], I write to urge your support as Chair of the Revenues Subcommittee, Maryland House Ways and Means Committee for HB 461, Income Tax Subtraction Modification -- Military and Public Safety Retirement Income sponsored by Delegate Mike Rogers (District 32).

For more than 23 years, the military-connected community has sought passage of legislation to attract and retain second-career service members to live, work and fully retire in our state.  An MGA-commissioned study by Towson University (2019) (https://commerce.maryland.gov/Documents/ResearchDocument/employment-in-maryland-defense-study-HB-1542-2019.pdf recommended fully exempting state tax on uniformed services' retired pay along with other initiatives to support Maryland's burgeoning defense industry and boost the state's economy. The Towson Report correctly notes that a majority of defense jobs require technical skills, leadership experience and security clearances that can't be sourced from our general population.

Moreover, recently retired Maryland Treasurer, Nancy Kopp, emphasized during her final meeting that the state faces an alarming and growing shortage of state employees due to retirement (https://www.marylandmatters.org/2021/12/16/in-final-meeting-treasurer-kopp-is-praised-for-quiet-strength-and-competence/).  Uniformed Services' retirees are ideal candidates to compete for many of these positions since they have a demonstrated track record of performance in large, complex organizations.  But today, these transitioning service women and men have lots of choices to live and work after they take off their uniforms.  Maryland needs to be more competitive with other states to secure its fair share of this precious resource.

Last year, North Carolina and Arizona joined 32 other states in fully exempting state tax on uniformed services' retired pay. In addition, Nebraska will be joining them in 2022, raising the total number of states fully exempting military retirement to 35.  In our region, New Jersey, Pennsylvania and West Virginia have no tax, $0, on such pay. Those three states account for the large numbers of workers who live outside the state and travel into Maryland for lucrative positions, paying no property tax or income tax.

HB 461 would raise the current $15K income tax 'subtraction' exemption to $20K.  It is a step in the right direction, joining other “subtraction” states such as Colorado ($24K), Georgia ($35K for 62-64 years old; $65K over 65), Idaho ($36K), Kentucky ($31K) and South Carolina ($17.5K under 65; $30K over 65). As you can see, many of these states are far less expensive to live in. No wonder many retirees choose to move away from Maryland.

I strongly recommend that your Revenues Subcommittee FAVORABLY report out HB 461 to the full Ways and Means Committee.  Other bills on this critical issue will be coming before your Subcommittee and I urge their careful consideration.

Thank you for all you do for your constituents in District [XX] and for your leadership [as Majority Leader in the Maryland General Assembly and Chair of the Revenues Subcommittee] in the House of Delegates.

Sincerely,

Rank, Name, Service, Status

Address

(District XX)

Note: The italicized text is for Delegate Leudtke only. If writing to Chairwoman Vanessa Atterbeary, thank her for her leadership as Chair of the Ways and Means Committee.

Please participate in this first of likely many Calls to Action during this session. We need to strike first and fast to establish our position during the early subcommittee and committee meetings.