Government Wes Moore says Maryland should become less dependent on federal jobs in the midst of Trump’s push to cut

On February 8, 2025By Littum

Annapolis, Md. (AP) – Maryland Gov. Wes Moore, facing budget problems and President Donald Trump’s dramatic efforts to Downsize A federal workforce that is crucial to Maryland’s economy said the state must become less dependent on federal jobs and better develop other economic forces during a speech to state lawmakers on Wednesday.

Moore, a Democrat mentioned as a rising star in the party and a potential future presidential candidate, described both the state’s budget deficit of $ 3 billion and the new administration’s first acts as “two storms” that have done landscape.

“We are being tested by a historic fiscal challenge – just as we have not seen since the big recession – and if that wasn’t enough, we are now being tested by a new administration in Washington that draws uncertainty and confusion, and chaos,” Moore said.

The Republican President’s first weeks back in office has shaken strongly democratic Maryland by deciding a federal employment freezing and proposing a widespread buyout plan that encourages federal workers to stop. There were also confusing executive orders, including one that suddenly froze and then fears Federal subsidies as well as other broad changes in the federal government that send shock waves to a state that neighbors the nation’s capital.

“These ideological movements will have the clear impact on harming our middle class, which already feels the pinch of inflation,” Moore said. “And in a larger sense and heartbreaking, these actions mark a shift in a long -standing relationship and long -standing norms between Washington and Maryland – norms preserved by leaders of both political parties and all backgrounds.”

Moore, who was mentioned as a possible compensation for then-President Joe Biden last year, when he withdrew his re-election bid, said he still hopes to work with the new administration and Republican-led Congress to “elaborate on the partnership between Maryland and Washington , DC, it has given our people all over the country for generations and across political ideologies. “

“But if the political decisions in the last few weeks are any preview, I fear that our most charitable expectations will be met with harsh realities – that at a time when our nation needs clarity, we confront chaos,” said the governor .

“At a time when our nation needs vision, we confront Hysteria,” Moore added.

Maryland, Virginia and District of Columbia have approx. 20% of the country’s federal workers. Federal employees represent approx. 5.7% of Maryland’s total employment compared to 1.9% nationally, according to a 2024 report from Maryland Comptroller Brooke Lierman’s Office.

The federal government also supports an ecosystem of the private sector, contractors and subcontractors in Maryland. Federal Purchasing provided an investment of $ 42 billion in Maryland companies in 2022, which represented 10% of the state’s GDP, the report said.

The governor said he has identified “Three Lighthouse Industries in the Future”, which he wants to focus on in Maryland, including life science, information technology and aerospace and defense.

The governor said the state must close its budget gap in a way that grows the middle class, “supercharges and diversifies our finances” and “breaks our various dependence on Washington.”

Maryland Republicans said the state is underprestigation, but not for the reasons mentioned by the governor.

“Maryland families are struggling with their finances, energy costs, higher prices and more because of the expensive policies and transgressions adopted by a democratic supermary – not because of his predecessor or new leadership in Washington,” said State Secretary Steve Hershey, Maryland Senate’s minority leader.

Moore has proposed a budget for the next fiscal year that includes Higher income tax Prices for taxpayers earning $ 500,000 or more, as well as approx. $ 2 billion in spending reductions throughout the state government to tackle a $ 3 billion deficit. The proposal would create a new tax rate of 6.25% for people earning more than $ 500,000 and a 6.5% rate for taxpayers earning more than $ 1 million.

For income above $ 350,000, an additional 1% tax on profits is charged from the sale of shares and other assets. The governor says that 82% of Marylanders will either see a tax relief or no change. He also proposes a reduction to the state’s corporate tax rate.