Maryland’s lighthouse industries rely on a robust supply of energy to power laboratories, manufacturing facilities, and data centers. The Maryland Tech Council supports policies that enable the development and deployment of next-generation energy technology, supporting greater grid capacity and more new generation in the state. MTC believes that the goal of providing the electrons needed to support advanced industries can be achieved while also meeting our state’s ambitious climate targets. By tapping into all available avenues of supply, Maryland can keep energy affordable for residential consumers and businesses alike. To achieve this, the state should enact reforms that improve access to interconnection and align state permitting timelines with the realities of private investment. A predictable and transparent energy policy framework will signal that Maryland is open for business to companies that require energy-intensive operations.

Maryland needs to set itself apart from its regional competitors as a world-class environment to establish and grow a business. The state’s budget challenges are a direct result of declining private-sector growth and employment, especially in the technology and life sciences industries. Maryland’s “tech tax” on vital services has dramatically increased the cost of research, production, and basic operations for firms across the state, contributing to the current stagnation. The Maryland Tech Council supports repealing the “tech tax” to put Maryland on a competitive footing in the race to attract cutting-edge industries, along with the jobs and revenue they provide for the state. MTC will also strongly oppose any new proposals that seek to expand the existing tax or regulatory burden on the life sciences and technology sectors, as we cannot afford to further harm Maryland’s standing as a viable home for innovation.

The Maryland Tech Council opposes the implementation of Upper Payment Limits (UPLs) on pharmaceuticals, as they have not been shown to lower out-of-pocket costs for patients. Price controls threaten the private investment needed to develop new cures while failing to address the root causes of high drug prices. Additionally, a recent federal court decision has called into question the legal authority for UPLs initiated by a Prescription Drug Affordability Board. MTC urges policymakers to reject UPLs and instead focus on regulating Pharmacy Benefit Managers (PBMs) to ensure that negotiated rebates are passed directly to patients. Maryland should seek solutions that promote value-based care and preserve the incentives that have made our state a national leader in life sciences. MTC stands ready to work with policymakers and patient advocates on approaches that reduce costs at the pharmacy counter without undermining access to current or future treatment.

Artificial intelligence has begun to radically change the ways that businesses, governments, and everyday people interact with the digital world. Many of the recent breakthroughs behind new life-saving drugs and groundbreaking technologies became possible with the assistance of cutting-edge AI tools. AI has immense potential to improve efficiency and support the work of Marylanders in both the private and public sectors. Maryland can capture that potential by regulating the harmful uses of AI rather than the technology itself. The Maryland Tech Council supports a risk-based approach that targets demonstrated harms in high-stakes applications and builds on existing consumer protection and civil rights law rather than layering a parallel regime on top of it. Broad developer mandates and duplicative impact assessments fall hardest on the startups that make up most of Maryland’s AI ecosystem. The state should align any new requirements with established frameworks and lead by example through thoughtful adoption of AI tools across state agencies.

Investment in the institutions and startups that represent the emerging homegrown innovation economy is critical, now more than ever. As leaders are faced with difficult budget decisions, sustained targeted investments through Maryland’s existing funding ecosystem will deliver substantial returns for the state in the long term, both in revenue and job creation. Critical lifelines, such as the Build Our Future grant, the Talent Innovation Fund, and other grant programs aimed at improving Maryland’s workforce and start-up climate, should remain intact. Maryland should also continue to support fundamental research in life sciences and technology at our state’s universities, as well as specialized workforce development programs across our education system. Continuing these programs will help ensure that Maryland remains on the cutting edge of new developments in technology and life sciences.

As the capability of computing continues to advance, technology and life sciences firms are increasingly reliant on physical computing infrastructure to support their operations. Enabling responsible data center development in the state will act as a foundation for additional growth in Maryland’s innovation economy. Data center investment will drive gains in both tax revenue and employment, just as it has in neighboring states. To maintain Maryland’s climate of innovation, MTC opposes wholesale moratoria or bans on development in favor of measures that allow well-planned projects with demonstrated economic benefits to locate in the state. By establishing expectations for data center development rather than closing the door altogether, Maryland can set a gold standard for how to attract smart investment that complement growth in the many industries that rely on data centers.