Moving Through Crossover Season
With crossover behind us in the Maryland General Assembly, lawmakers are entering one of the busiest stretches of the session. Budget negotiations are front and center, while a number of proposals impacting employers—from labor mandates to energy costs—continue to move through committee and floor debate. The Chamber remains actively engaged, monitoring legislation and advocating for policies that support a strong and competitive business climate in Anne Arundel County and across the state.
Below is a snapshot of key legislation currently moving and what it may mean for the business community.
Budget & Taxes
The state’s operating budget remains the top priority as lawmakers work to finalize spending and revenue decisions.
- The state budget bill (SB 282) and the Budget Reconciliation and Financing Act (SB 284) have crossed over to the House and are expected to move through final floor debate and voting this week. These bills will set the tone for state spending priorities and potential future tax considerations.
- HB 1142, introduced by the Maryland Association of Counties, would require a comprehensive evaluation of revenue structures for county and municipal governments. Recommendations are due by December 1 and could shape future discussions around local taxation authority.
No movement has occurred on the following tax-related proposals that remain of interest to the business community:
- HB 78 and HB 90/SB 224, which would allow local governments to impose special property taxes on land, land improvements, and commercial and industrial property.
- HB 880, which would decouple certain depreciation and business interest expense provisions from the Internal Revenue Code—potentially increasing tax burdens on Maryland businesses.
Labor & Workforce
Labor-related legislation continues to be one of the most active areas this session, with several proposals carrying significant cost implications for employers.
No movement on:
- SB 804 – Heat Stress Standards: Would establish new workplace heat stress requirements, potentially adding compliance and operational costs for employers, particularly in outdoor and industrial sectors.
- SB 886/HB 1229 – Tipped Wage Elimination & $25 Minimum Wage: This proposal would eliminate the tipped wage credit and increase the minimum wage to $25 per hour, indexed to inflation. The measure represents one of the most substantial wage policy proposals introduced this session.
- HB 1479 – Minimum Wage Increase: Would increase the minimum wage to $18 per hour, also tied to inflation
One To Watch & Oppose:
- SB 417 – Maryland Worker Freedom Act: Prohibiting employers and their agents, representatives, and designees from taking certain actions against an employee or applicant for employment because the employee or applicant takes certain actions regarding employer-sponsored meetings during which the employer communicates the opinion of the employer regarding religious matters or political matters; authorizing an employee to file a certain complaint with the Commissioner of Labor and Industry; etc
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Health Care & Employee Benefits
- HB 1472/SB 779 – Professional Employer Organizations (PEO) Bill: This proposal would expand options for small businesses seeking access to group health coverage through professional employer organizations. Currently seeking small business voices to testify in support, highlighting the potential impact on affordability and coverage access.
Energy & Environment
Energy and environmental proposals remain a major focus this session, particularly as lawmakers weigh environmental goals alongside affordability and reliability concerns.
- HB 1268/SB 781 – CHERISH Act: A comprehensive environmental measure addressing waste reduction and sustainability practices.
- HB 1022/SB 686 – PFAS Restrictions: Would phase out certain products containing PFAS chemicals, requiring adjustments across multiple industries.
- HB 1532 – Utility RELIEF Act: A large-scale energy package designed to address utility affordability and system reliability. This legislation is widely expected to pass and could shape future energy costs for Maryland employers.
- Separately, the Supreme Court of the United States recently blocked certain climate-related lawsuits against major oil companies, a decision that may influence broader legal and regulatory strategies nationwide.
Looking Ahead
With several major proposals still under active consideration, the coming weeks will be critical as committees finalize amendments and work towards final passage deadlines. The Chamber will continue advocating for balanced policies that support economic growth, workforce stability, and long-term business competitiveness.
Members are encouraged to stay engaged, particularly as opportunities arise to provide testimony and share real-world perspectives on how proposed legislation may affect operations, workforce planning, and investment decisions.
