To stimulate the economy and generate jobs in Maryland, the Department of Commerce promotes biotechnology, attracts new businesses, encourages the expansion and retention of existing facilities, and provides financial assistance and training. Maryland's attributes are publicized by the Department, which markets local products at home and abroad to stimulate economic development, international trade, and tourism. The Department also invests in the arts and promotes film production in Maryland.
World Trade Center Baltimore, at Inner Harbor, 401 East Pratt St., Baltimore, Maryland, Sepember 2010. Photo by Diane F. Evartt.
Until November 2019, the Department's objectives were carried out by six divisions: Administration and Technology; Business and Industry Sector Development; International Investment and Trade; Marketing and Communications; Military Affairs; and Tourism, Film, and the Arts. After a 2019 reorganization, three divisions remain: Administration and Technology; Business and Industry Sector Development; and Marketing, Tourism, and the Arts.
As the chief executive officer of the Department, the Secretary of Commerce sets policy, promulgates rules and regulations, and determines the strategies necessary to fulfill the Department's mandate. Appointed by the Governor with Senate advice and consent, the Secretary is responsible for the budget of the Department, its boards, commissions, and offices. The Secretary is assisted by the Deputy Secretary who is appointed by the Secretary with the approval of the Governor.
The Secretary of Commerce serves on the Governor's Executive Council, the Governor's Subcabinet for International Affairs, the Smart Growth Subcabinet, and the Governor's Warrior to Worker Council. Moreover, the Secretary chairs the Commerce Subcabinet; the Maryland Military Installation Council; the Board of Directors, Maryland Public-Private Parnership Marketing Corporation; and the Advisory Council on the Impact of Regulations on Small Businesses; and co-chairs the Employment Advancement Right Now (EARN) Stakeholder Work Group and the Maryland Outdoor Recreation Economic Commission. The Secretary also serves on the Executive Board, Regional Additive Manufacturing Partnership of Maryland; the Board of Directors of the Maryland Agricultural and Resource-Based Industry Development Corporation; the Maryland Agricultural Education and Rural Development Assistance Board; the Animal Waste Technology Fund Advisory Committee; and the Bainbridge Development Corporation. The Secretary is a member of the Governor's Intergovernmental Commission for Agriculture; the Maryland Aviation Commission; the Critical Area Commission for the Chesapeake and Atlantic Coastal Bays; the Coast Smart Council; the Correctional Education Council; the Maryland Cybersecurity Council; the Interagency Disabilities Board; Maryland E-Nnovation Initiative Fund Authority; the Maryland Economic Development Assistance Authority; the Maryland Economic Development Commission; the Maryland Zero Emission Electric Vehicle Infrastructure Council; the Commission on Environmental Justice and Sustainable Communities; the Interagency Food Desert Advisory Committee; the Maryland Green Purchasing Committee; the Maryland Heritage Areas Authority; the State Highway Access Valuation Board; the Governor's Commission on Hispanic Affairs; the Maryland Industrial Development Financing Authority; the Maryland Life Sciences Advisory Board; the Maryland Manufacturing Advisory Board; the Council on Open Data; the Maryland Opportunity Zone Leadership Task Force; the P-20 Leadership Council of Maryland; the Maryland Port Commission; the Governor's Task Force on Renewable Energy Development and Siting; the Renewable Fuels Incentive Board; the Rural Maryland Council; the Interdepartmental Advisory Committee on Small, Minority, and Women Business Affairs; the Maryland Small Business Development Financing Authority; the State Center Executive Committee; the Maryland Sustainable Growth Commission; the Board of Directors of the Maryland Technology Development Corporation; the Tri-County Council for Southern Maryland; the Board of Regents, University System of Maryland; Governor's Workforce Development Board; and the Youth Apprenticeship Advisory Committee.
Reporting to the Secretary are Internal Audits, the Office of Policy, Research, and Government Affairs, and the Office of Equal Employment Opportunity and Fair Practices.
OFFICE OF POLICY, RESEARCH, & GOVERNMENT AFFAIRS
The Office of Policy, Research, and Government Affairs began as Economic Development Policy in 1995. At that time, the Assistant Secretary for Economic Development Policy served as the Governor's Ombudsman. In 1998, Economic Development Policy was renamed the Office of Economic Policy and Legislation, and in October 2003, it reorganized as the Division of Economic Policy, Research, and Legislative Affairs. In September 2008, the Division's legislative function transferred to the Office of Business Relations, and the Division reformed as the Office of Policy and Research. In March 2009, it reorganized as the Office of Policy, Planning, and Research, and in May 2009 as the Office of Policy and Government Affairs. In July 2011, the Office transferred to the Division of Marketing and Communications, and in July 2012 it was placed under the Chief Operating Officer. The Office was renamed the Office of Policy and Research and transferred to the Deputy Secretary in October 2015. It moved under the Office of Secretary and adopted its present name in 2019.
Progressive economic development policies for the State are developed, evaluated, and advocated by the Office. The Office advises the Secretary of Commerce on how changes in State and federal regulations effect Maryland's economy, and on the effectiveness of economic development policies and programs. To the Governor, the General Assembly, and the private technology sector, the Office serves as a liaison.
The Office oversees Policy and Government Affairs, and Research and Information Services, and is assisted by the Advisory Council on the Impact of Regulations on Small Businesses.
The Council reviews proposed regulations, and determines if a regulation has a significant impact on small businesses in Maryland.
Eight members constitute the Council. One is appointed by the Governor. The Senate President and House Speaker each appoint three members. The Secretary of Commerce serves ex officio.
RESEARCH & INFORMATION SERVICES
Research and Information Services provides ongoing economic data, analyses, and research to guide and support economic development initiatives. It conducts in-depth research on business and economic development issues for the Department and other State government agencies, and provides information for businesses seeking to locate or expand in Maryland. Moreover, it analyzes savings realized in enterprise zones; compares tax structures in states; and provides information about State, property and income taxes, and regulatory costs. In addition, it undertakes special research projects and compiles Maryland's Business Pulse, and Economic Pulse
A strategic plan for economic development in the State was completed by the Commission in December 1995. The plan, Strategic Directions for Increasing Maryland's Competitiveness, recommended to the Governor program and spending priorities to attract business to Maryland. A second report, Strategic Directions for Increasing Competitiveness of Maryland's Growth Industry Sectors, was submitted to the Governor in May 1997. Inactive since 2006, the Commission was revived in August 2009.
In October 2015, the Commission was reconstituted, both in its composition and the scope of its duties (Chapter 141, Acts of 2015). Its first responsibility was to create a strategic economic development plan to attract, retain, and grow business and jobs in Maryland. This plan, Best is the Standard, was submitted in February 2016. The Commission also advises the Secretary of Commerce on economic development policy in Maryland.
The Commission has up to twenty-three voting members. Twenty-one voting members are appointed by the Governor with Senate advice and consent to three-year terms; and the Senate President and the House Speaker each appoint one voting member, and each appoint one nonvoting member. Four ex officio nonvoting members also serve on the Commission. The Governor names the Chair (Code Economic Development Article, secs. 2.5-201 through 2.5-207.
The Minority Business Enterprise Program is administered by the Office to ensure that the Department complies with the federal Americans with Disabilities Act (P.L. 110-325). Guidance to managers and employees regarding equal employment opportunity and fair practices also is provided by the Office.
Since November 2019, the Deputy Secretary oversees the Division of Administration and Technology.
In 1987, the Division of Administration and Technology originated as the Division of Administration. It became the Division of Administration and Information Technology in July 1999, and was renamed the Office of Administrative Services in July 2000. In December 2003, it reorganized as the Office of Support Services, and in 2005 resumed its earlier name as Office of Administrative Services. With the addition of Information and Technology Management in July 2007, it reformed as the Division of Administration and Technology, as the Office of Administration and Technology in September 2008, and as the Division of Administration and Technology in October 2015. The Division was placed under the Deputy Secretary in November 2019.
The Division develops departmental budget proposals and projections, and advises Department agencies and senior program directors on fund accounts, personnel, and purchasing. Requests for proposals and contract awards are reviewed by the Division for compliance with State purchasing regulations. The Division also provides mailroom services, monitors the use of departmental motor vehicles, and maintains liaison with building management.
Under the Division are five units: Budget and Finance; Contracts and Procurement; General Services; Human Resources; and Information and Technology Management.
INFORMATION & TECHNOLOGY MANAGEMENT
Information and Technology Management provides systems development, data processing, and microcomputer support and services to the Department, and manages the Department's major information technology projects. Information technology policies and standards also are developed by Information and Technology Management.
RECORDS MANAGEMENT
The Division of Business and Industry Sector Development originated in 1959 when the Department of Economic Development was created to encourage businesses to locate in Maryland and to retain and expand existing enterprises (Chapter 185, Acts of 1959). These functions later devolved on the Division of Business Development. In 1995, the Division was renamed Division of Marketing and resumed its former name as the Division of Business Development in 1999. The Division reorganized in December 2003 into three regional components: Business Development-Baltimore Region; Business Development-Capital Region; and Business Development-Rural Region. In February 2007, Business Development-Rural Region was discontinued. In September 2008, Regional Development reformed as the Division of Economic Development, and in July 2009 as the Division of Business and Enterprise Development. In July 2015, it adopted its present name.
World Trade Center Baltimore, 401 East Pratt St., Baltimore, Maryland, July 2008. Photo by Diane F. Evartt.
The Division oversees seven offices: BioHealth and Life Sciences; Business Development and Business Services; Business Development - Business Retention; Finance Programs; International Investment and Trade; Military and Federal Affairs; and Strategic Industries and Entrepreneurship.
By making recommendations for State and federal policies, priorities, and legislation, the Board works to expedite the creation of private sector jobs through the commercialization of life sciences research. Moreover, the Board promotes life sciences research, development, commercialization, and manufacturing in Maryland.
To attract private sector investment and job creation, the Board coordinates State and federal resources for life sciences, and develop strategies to support federal life sciences facilities located in Maryland. Further, the Board makes recommendations that address critical needs for life sciences, such as access to venture capital and capital construction funding.
The Board assists the Department in developing a comprehensive strategic plan for life sciences, encompassing biotechnology, biomedical devices and technologies, environmental sciences, food sciences, life systems technology, and pharmaceuticals. Also, it encourages coordination and collaboration among life sciences organizations, as well as higher education research institutions.
Of the Board's eighteen members, sixteen are appointed by the Governor, who also designates the chair. One member is chosen by the Maryland Technology Development Corporation. The Secretary of Commerce serves ex officio (Chapters 499, Acts of 2012; Code Economic Development Article, secs. 3-201 through 3-205).
Promoting Maryland as a site for new and existing business and industrial facilities, the Office works through two offices: Business Retention, Expansion, and Strategic Rural Development; and Recruitment and Business Location Services.
In 1987, the Office of Finance Programs began as Financing Programs under the Department of Economic and Employment Development. It reformed as the Division of Financing Programs in 1995 under the Department of Business and Economic Development. In September 2008, it restructured as the Finance Team under the Office of Economic Development. In July 2009, it assumed its present name under the Division of Business and Enterprise Development.
The Office of Finance Programs is responsible for Maryland Economic Development Assistance Authority, the Maryland Industrial Development Financing Authority, and the Maryland Small Business Development Financing Authority. The Office also directs and supervises certain State funds used as incentives or seed money for businesses in Maryland. These funds include the Economic Development Opportunities Program (Sunny Day) Fund; the Enterprise Fund (includes Challenge Investment Program); the Maryland Competitive Advantage Financing Fund; the Maryland Economic Adjustment Fund; and the Maryland Economic Development Assistance Fund. They enable the State to retain businesses and attract new ones; foster economic growth; create new jobs; support commercial and industrial redevelopment; and help small, minority and high technology businesses.
State Enterprise Zone Program. Overseen by Tax Programs, the State Enterprise Zone Program helps local governments promote economic development in their areas, or zones. To encourage businesses to locate, expand, or remain within the zone, local governments grant property tax credits. Tax credits also become incentives for businesses to create jobs. Certified new and existing businesses are eligible for local property tax credits equal to 80 percent of the additional tax assessed for improvements for five years; thereafter, smaller credits are given for an additional five years (Code Economic Development Article, secs. 5-701 through 5-709).
MARYLAND ECONOMIC ADJUSTMENT FUND
MARYLAND ECONOMIC DEVELOPMENT ASSISTANCE AUTHORITY
After Departmental review, the Authority evaluates requests for loans from the Maryland Economic Development Assistance Fund, determines which to approve, and sets the terms and conditions for loans. From the Fund, loans may be used only to finance costs incurred for acquisition or construction of a building or real estate; acquisition, construction, or installation of machinery, equipment, furnishings, fixtures, leasehold improvements, site improvements; or working capital. Loans are intended for projects with a strong potential for expanding or retaining employment in the State.
The Authority's financing is through loans and grants (including conditional loans and grants), and investments (only in conjunction with a loan or grant). These go to specific growth-industry sector businesses which locate or expand in a Priority Funding Area, or to a local jurisdiction on behalf of such a business. Priority Funding Areas include municipalities, land within the Washington, DC or Baltimore Beltways, areas already designated as enterprise zones, neighborhood revitalization areas, heritage areas, industrial land, or other areas where local government wants to encourage development and which meet other criteria.
The Authority consists of the nine members who also serve on the Maryland Industrial Development Financing Authority. Seven are appointed to three-year terms by the Governor, and two serve ex officio (Code Economic Development Article, secs. 5-305 through 5-307).
MARYLAND INDUSTRIAL DEVELOPMENT FINANCING AUTHORITY
The Authority insures conventional loans made by financial institutions. It also may insure a loan or other obligation, or pay or insure the payment of premiums or fees for insurance, guarantees, or other credit support from a third party. The Authority insures up to the lesser of either 80 percent (or 90 percent in the case of export financing) of the obligation, or $2.5 million.
To participate in programs of the Maryland Industrial Development Financing Authority, a company must qualify generally in each of three basic categories: legal eligibility, economic impact, and creditworthiness (Federal Internal Revenue Code, sec. 146). A company also must be in a Priority Funding Area.
The Maryland Industrial Development Financing Authority has nine members. Formerly seven were named to five-year terms by the Secretary with the Governor's approval. Since 2005, those seven members are appointed by the Governor (Chapter 360, Acts of 2005). The Secretary of Commerce, and either the State Treasurer or Comptroller of Maryland (as designated by the Governor) serve ex officio. The Authority's nine members also serve on the Maryland Economic Development Assistance Authority. The Authority appoints the Executive Director who serves as the Authority's Secretary (Code Economic Development Article, secs. 5-401 through 5-420).
MARYLAND SMALL BUSINESS DEVELOPMENT FINANCING AUTHORITY
Programs of the Maryland Small Business Development Financing Authority are unique. A major criterion for approval of Authority guarantees and loans is the economic impact resulting from the use of available funds. This impact is measured according to the projected number of jobs retained and created, and the projected amount of tax revenue generated from the use of these funds.
In 1992, the U.S. Congress allowed states to use public funds to establish specialized small business investment companies to serve disadvantaged business owners (P.L. 102-366). Two years later, the Maryland Small Business Development Financing Administration was authorized to organize itself into a private Maryland corporation that would be such a company (Chapter 691, Acts of 1994). Since 1994, funds under the Authority have been managed privately. The Department contracted with that privatized organization to administer programs for a period of three years and has had an option to renew the contract every two years.
The Authority has nine members. Seven are appointed to five-year terms by the Governor. The Secretary of Commerce and either the State Treasurer or Comptroller (as designated by the Governor) serve ex officio (Code Economic Development Article, secs. 5-501 through 5-514).
Under the Authority are four programs: Contract Financing; Equity Participation Investment; Long-Term Guaranty; and Surety Bonding.
Contract Financing Program. For eligible firms with government or public utility contracts, the Authority may guarantee a loan from a financial institution; it also may provide a direct loan for working capital and equipment. These guarantees or loans may be offered only to fulfill contracts on projects financed by federal, State or local government, or by a utility regulated by the Public Service Commission.
Equity Participation Investment Program. To encourage and assist the start up, development, and retention of Maryland-based franchises and technology businesses, owned and operated by persons socially or economically disadvantaged, this program was created in 1985. For all eligible firms, the Authority may invest up to 45 percent or $100,000 (whichever is less) of funds to start a franchise operation. The Authority also may invest up to 25 percent or $500,000 (whichever is less) of funds to acquire a profitable business. For these options, the Authority requires the initial investment to be recovered within seven years. The Authority also may invest up to $500,000 in technology-based businesses to be repaid in ten years.
Long-Term Guaranty Program. For all eligible firms, the Authority may guarantee and/or pay an interest rate subsidy on a long-term loan made by a financial institution. The loan may be used for working capital, acquisition and related installation of machinery and equipment, or needed improvements to real property owned by the applicant.
Surety Bonding Program. Since 1985, the Surety Bonding Program has helped eligible small businesses obtain bonds they need to fulfill contracts funded primarily by government agencies or public utilities. These may be bid, performance or payment bonds. The Program either guarantees a bond up to 90 percent or $5,000,000 (Code Economic Development Article, secs. 5-561 through 5-575).
In 1988, the Division of International Investment and Trade was begun by the Department as the Office of International Business Development. Reorganized as the Office of Developing Markets in 1992, and as International Trade Development in 1995, it became the Trade Development Program in 1997 and the Trade Development Group in 1999. In December 2001, it restructured as the Office of International Trade, and in 2003 became International Business. Formerly under the Division of Business Development, it joined Technology Strategy and Business Development in December 2003. As International Operations, it reported to the Deputy Secretary until July 2007, when it transferred to Business Development as the Office of International Trade and Investment. In May 2008, the Office moved back under the Deputy Secretary as the Division of International Trade and Investment, and in September 2008, was placed under the Secretary. In March 2009, it reformed as the Office of International Investment and Trade, and in July 2009 moved to the Division of Business and Enterprise Development, now the Division of Business and Industry Sector Development. In October 2015, the Office was restructured as the Division of International Investment and Trade, and in November 2019 as the Office of International Investment and Trade.
The Office of International Investment and Trade assists Maryland firms in exporting their products and services to international markets. It also helps these businesses effectively initiate or expand their overseas marketing (Code Economic Development Article, secs. 3-301 through 3-309).
To attract foreign businesses to Maryland, the Office maintains ties to trade representatives with offices in twelve countries: Brazil, Canada, China, France, India, Israel, Japan, Korea, Montenegro, South Africa, Sweden, and Taiwan.
The Center expedites contacts with government and nonprofit organizations that assist businesses wanting to enter Maryland markets or export from the State.
Certain functions of the Office of Military and Federal Affairs started as the Office of Technology Development in January 1989. That office reformed as the Technology Commercialization Program in 1993, as the Office of Federal Response and Technology Commercialization in 1995, and as the Office of Technology Support in March 1998. It became the Office of Military Affairs and Federal Facilities in 1999. Formerly under the Division of Regional Development, as Military Affairs, it moved to Technology Strategy and Business Development in December 2003. It then transferred to the Office of Secretary in March 2004. In September 2008, it became the Office of Federal and Military Affairs, and in March 2009 reformed as the Office of Military and Federal Affairs. In July 2009, it moved to the Division of Business and Enterprise Development, now the Division of Business and Industry Sector Development. In July 2012, the Office was renamed the Office of Military Affairs. It reformed as the Division of Military and Federal Affairs in October 2015, and as the Office of Military and Federal Affairs in November 2019.
To support technology businesses, the Office of Military and Federal Affairs coordinates and leverages resources in the public, private and academic sectors. It also serves as liaison to federal government agencies located in Maryland. In addition, it provides financial support and training grants to companies affected by federal budget cuts and relocations.
The Office develops business relationships between U.S. military bases, federal laboratories, and private companies in Maryland to implement strategies for creating and retaining jobs, and redeveloping abandoned military sites. To minimize the adverse impact of closures of military bases or federal facilities, it helps businesses diversify to reduce their dependence on the federal government.
The Office oversees five units: Agribusiness and Energy; Cybersecurity and Aerospace; Education and Innovation; Manufacturing; and Professional Services. The Office is aided by the Maryland Manufacturing Advisory Board.
The Authority advises and consults with the Department of Commerce concerning the implementation and administration of the Maryland E-Nnovation Initiative Program. Through the Program, nonprofit institutions of higher education in Maryland may create research endowments in scientific and technical fields of study. Private donations to those endowments may be matched by State funds from the Maryland E-Nnovation Initiative Fund Authority.
MARYLAND MANUFACTURING ADVISORY BOARD
The Board advises the Secretary of Commerce on ways to encourage new and expanding manufacturing enterprises in Maryland. The Board also recommends ways to retrain and educate Maryland workers for manufacturing jobs, support research, and foster the growth and viability of manufacturing enterprises in the State.
Fourteen of the Board's seventeen members serve three-year terms. Those fourteen are appointed by the Secretary of Commerce with the Governor's approval; one member is appointed by the Senate President, and one by the House Speaker. The Secretary of Commerce serves ex officio and names the chair (Code Economic Development Article, secs. 3-101 through 3-109).
AGRIBUSINESS & ENERGY
OFFICE OF CYBERSECURITY & AEROSPACE
The Office of Cybersecurity and Aerospace supports the retention and expansion of businesses within the cybersecurity and aerospace sector through connecting such businesses to customers, investors, and potential partners, and working to ensure that workforce development programs meet their workforce needs. Further, the Office promotes business incubators and research and development at State universities, as well as encouraging technology transfer associated with federal facilities in Maryland.
The Division promotes Maryland's competitive business advantages through an aggressive outreach strategy, using social media, interactive web marketing, and traditional business research and information.
In 1966, the Maryland State Arts Council originated as the Governor's Council on the Arts in Maryland, established by Executive Order. It became the Maryland State Arts Council in 1967 (Chapter 644, Acts of 1967). Formerly under the Department of Economic and Community Development, the Council joined the Department of Economic and Employment Development in 1987 (Chapter 311, Acts of 1987), and transferred to the Department of Business and Economic Development in 1995 (Chapter 120, Acts of 1995).
The Council supports the performing, visual and creative arts, including dance, drama, music, architecture, painting, sculpture, graphics, crafts, photography, design, film, television and creative writing (Code Economic Development Article, sec. 4-502). Support takes the form of grants and special programs. The Council makes grants to individual artists, arts organizations, and county arts councils. To some 250 arts organizations, it also awards operating grants which support performances and exhibitions and the work of artists throughout the State. In addition, the Council conducts programs of its own: Community Arts Development Program, Artists in Education Program, Individual Artists Awards Program, Multicultural Outreach Program, Maryland Folklife Program and Maryland Traditions, and Organizational Development Assistance Program.
For program support, the Council annually receives a grant from the National Endowment for the Arts.
Seventeen members compose the Council. Thirteen are appointed to three-year terms by the Governor in consultation with the Secretary of Commerce. Two (one a senator) are appointed by the Senate President, and two (one a delegate) are appointed by the House Speaker (Code Economic Development Article, secs. 4-501 through 4-512).
The Office oversees Digital Content, and Digital Marketing.
DIGITAL MARKETING
This unit develops and operates an interactive marketing program that includes websites and social media.
The Office of Tourism and Film began in 1948 as the Department of Information under the Hall of Records Commission. The Department became an independent agency in 1949. It reorganized in 1959 as the Tourist Development and Publicity Division within the Department of Economic Development. When the Department of Economic and Community Development formed, the Division was renamed the Tourism Division in 1970, the Division of Tourist Development by 1973, and the Tourist Development Office by 1981. By 1989, the Office reorganized as part of the Division of Tourism and Promotion. In July 1996, the Division was renamed the Division of Tourism, Film, and the Arts (Chapter 321, Acts of 1996; Code Economic Development Article, secs. 4-102). In November 2019, it reorganized as the Office of Tourism and Film.
Under the Office are two units: the Maryland Film Office [Office of Film & Digital Media], and the Office of Tourism Development.
MARYLAND FILM OFFICE
The Maryland Film Office was created in 1980 as the Motion Picture and Television Development Office (Chapter 5, Acts of 1980). It joined the Department of Economic and Employment Development in 1987 (Chapter 311, Acts of 1987). After being placed under the Maryland State Arts Council in 1992, the Office reformed as a separate entity in 1994 and became part of the Department of Business and Economic Development in 1995. It was renamed the Maryland Film Office in 1997 (Chapter 49, Acts of 1997; Code Economic Development Article, secs. 4-301 through 4-305). Since 2010, it has been called the Office of Film and Digital Media.
For film and video production, the Office promotes Maryland's diverse locations. For feature films, and television programs and commercials, it works to provide facilities throughout the State. The Office helps with location scouting, permits, casting, film crew housing, catering, and equipment rental. It also prepares and distributes materials highlighting desirable film locations in the State. To bring more movie business to Maryland, the Office maintained a satellite office in Los Angeles from July 2000 to July 2007.
The Office has assisted in the production of many Maryland films.
OFFICE OF TOURISM DEVELOPMENT
Tourism is Maryland's fourth largest industry, and has an economic impact on Maryland by creating jobs, generating tax revenue, and increasing business income. In 2016, some 42 million visitors came to Maryland, four percent more than in 2015. These visitors spent an estimated $17.3 billion, and generated about 146,000 jobs and $2.35 billion in State and local tax revenue.
To increase tourism, the Office of Tourism Development showcases Maryland's unique recreational, historical and cultural attractions. The Office promotes Maryland as a travel destination for domestic and international tourists. It publicizes major events and advises travel agents, tour operators, writers, and the Maryland travel industry about attractions, services, and facilities. The Office's matching funds and cooperative marketing programs strengthen and support county and regional travel promotion councils as well.
Ten highway welcome centers are run by the Office. All welcome centers are open daily, 9:00 a.m. to 5:00 p.m. Four centers are on I-95, two on I-70, and one on Highway 15 near Emmitsburg. The Youghiogheny Overlook Welcome Center is located on I-68 near Friendsville, and the Bay Country Welcome Center is near Centreville on U.S. 301. Reopened in October 2015, the Sideling Hill Center serves as a gateway to Western Maryland.
Free publications describing Maryland tourist attractions, accommodations, historic sites, State parks, camping facilities, and recreational opportunities are updated annually. These publications include Destination Maryland (travel & outdoor guide), Maryland Calendar of Events, and an official Maryland State highway map. Further, the Office publishes two newsletters: This Month in Maryland (monthly) and MARYLAND Insights (bi-weekly). The Office also works with travel and outdoor writers to provide tours of Maryland, research and information, and promotional photographs, and answers e-mail, mail and phone inquiries.
The Office is aided by the Maryland Tourism Development Board.
The Board stimulates and promotes travel and tourism in Maryland. The Board works to protect, preserve, promote, and restore the natural, historical, scenic and cultural resources of Maryland; encourages the development of new tourism resources, products, businesses, and attractions in the State; and helps tourists travel through Maryland by ensuring the provision of signs, information aids, and other services. The Board evaluates the impact of taxes, fees, licenses, and regulations on the creation of jobs and income in the tourism industry.
Subject to the approval of the Secretary of Commerce and the Maryland Economic Development Commission, the Board formulates a five-year strategic plan, an annual marketing plan, and an annual operating budget. The Maryland Tourism Development Board Fund may be used by the Board to plan, advertise, and develop tourism and travel industries in the State.
Twenty-four members compose the Board. Fourteen are appointed to three-year terms by the Governor: three of whom are directors or executive officers of a destination marketing organization officially recognized by the Office of Tourism Development, and eleven who are chosen with advice of the Secretary of Commerce and Senate advice and consent. Two senators are named by the Senate President and two delegates by the House Speaker. In addition, the Senate President and the House Speaker each appoint three members from the business community (Code Economic Development Article, secs. 4-201 through 4-214).
© Copyright Maryland State Archives
OFFICE OF SECRETARY
World Trade Center Baltimore, 9th floor, 401 East Pratt St., Baltimore, MD 21202
World Trade Center Baltimore, 9th floor, 401 East Pratt St., Baltimore, MD 21202
ADVISORY COUNCIL ON THE IMPACT OF REGULATIONS ON SMALL BUSINESSES
In October 2015, the Advisory Council on the Impact of Regulations on Small Businesses was created (Chapter 137, Acts of 2015).
Research and Information Services started in 1970 as the Division of Research, a unit within the Department of Economic and Community Development. When the Department of Economic and Employment Development superseded the Department of Economic and Community Development in 1987, the Division transferred to the Office of the Secretary as the Office of Research, which reformed in 1991 as the Marketing Research Group. The Group reorganized as the Office of Business and Economic Research within the Division of Marketing in 1995, and moved to the Office of Economic Policy and Legislation in 1998. It became Business and Economic Research in 1999, and in 2000 moved to the Office of Business Information Services. In October 2003, it transferred to the Division of Economic Policy, Research, and Legislative Affairs as Economic Research and Analysis. In 2004, it became Business and Economic Research, and in September 2008 moved to the Office of Policy and Research. It reformed as Economic Research under the Office of Policy, Planning, and Research in March 2009, and in May 2009 transferred to the Division of Marketing and Communications as Research and Business Resources. In June 2010, it adopted its present name. In October 2015, it was placed under the Office of Policy and Research.
MARYLAND ECONOMIC DEVELOPMENT COMMISSION
The Maryland Economic Development Commission was formed first by the Governor and then by statute in 1995 (Executive Order 01.01.1995.04; Chapter 120, Acts of 1995). The Commission establishes economic development policy and, since October 2015, oversees the operations of the Department of Commerce, including its efforts to attract and retain businesses and jobs in Maryland (Chapter 141, Acts of 2015).
OFFICE OF EQUAL EMPLOYMENT OPPORTUNITY & FAIR PRACTICES
The Office of Equal Employment Opportunity and Fair Practices began as the Office of Fair Practices and Procurement, which formed in September 2003 from the merger of the Office of Equal Opportunity and the Contracts and Procurement Unit. It reorganized in 2004 as Fair Practices, in 2009 as Equal Employment Opportunity and Fair Practices, and in 2011 as Equal Opportunity and Fair Practices. In July 2012, it reformed as the Office of Fair Practices, and again in March 2016 under its present name.
DIVISION OF ADMINISTRATION & TECHNOLOGY
World Trade Center, 10th floor, 401 East Pratt St., Baltimore, MD 21202
Functions of Information and Technology Management first organized in 1987 as the Division of Administration and became the Division of Administration and Information Technology in July 1999. The Division reformed in July 2000 as two offices, one of which became the Office of Information Technology. In December 2003, the Office of Information Technology reorganized as the Office of Information and Technology Management, and moved under the Office of Support Services. In 2005, it reformed as a separate office under the Deputy Secretary. In July 2007, it moved to the Division of Administration and Technology.
Since October 1, 2017, the Department of Commerce has had a program for the continual, economical and efficient management of its records. The Department's Records Officer develops and oversees the program, and serves as liaison to the Records Management Division of the Department of General Services, and to the State Archives (Chapter 539, Acts of 2017; Code State Government Article, secs. 10-608 through 10-611).
DIVISION OF BUSINESS & INDUSTRY SECTOR DEVELOPMENT
World Trade Center Baltimore, 15th floor, 401 East Pratt St., Baltimore, MD 21202
By attracting new and expanding businesses, the Division of Business and Industry Sector Development helps create jobs and improve the State's economy. It assists domestic and international firms in finding attractive locations in Maryland, produces market data and economic studies, and promotes international trade opportunities to Maryland firms.
OFFICE OF BIOHEALTH & LIFE SCIENCES
The Office of BioHealth and Life Sciences formed within the Department of Commerce as the Office of BioHealth Technology in 2015. It reorganized under its present name in March 2016.
MARYLAND LIFE SCIENCES ADVISORY BOARD
In July 2007, the Maryland Life Sciences Advisory Board was authorized within the Department of Business and Economic Development (Chapter 304, Acts of 2007), which was renamed the Department of Commerce in October 2015 (Chapter 141, Acts of 2015).
OFFICE OF BUSINESS DEVELOPMENT & BUSINESS SERVICES
In July 2009, the Office of Business Development and Business Services originated as the Office of Business Development under the Division of Business and Enterprise Development, which reformed as the Division of Business and Industry Sector Development in July 2015. The Office reorganized under its present name in November 2019.
OFFICE OF BUSINESS DEVELOPMENT - BUSINESS RETENTION
OFFICE OF FINANCE PROGRAMS
World Trade Center Baltimore, 401 East Pratt St., Baltimore, MD 21202
TAX PROGRAMS
Tax Programs formed within the Division of Business Development as the Tax Incentive Group and transferred to the Division of Economic Policy, Research, and Legislative Affairs as Tax Credit Incentive Programs in October 2003. It moved to Financing Programs in December 2003. In May 2004, it moved back to the Division of Economic Policy, Research, and Legislative Affairs as Tax Incentives, and was placed under the Office of Policy and Research in September 2008. It was made part of the Maryland Venture Fund under the Finance Team in March 2009, and placed under the Office of Finance Programs in July 2009. The unit was renamed Tax Programs in July 2012 (Code Economic Development Article, secs. 6-101 through 6-407).
From the Maryland Economic Adjustment Fund, loans originally were made to companies in communities adversely affected by reductions in the budget of the U.S. Department of Defense. Beginning in July 2010, the Fund began to authorize loans to companies with fifty or fewer employees. These loans enable Maryland companies to modernize manufacturing operations, develop commercial applications for technology, or enter and compete in new economic markets (Code Economic Development Article, secs. 5-203 through 5-209).
Under Financing Programs (now Office of Finance Programs), the Maryland Economic Development Assistance Authority was authorized in 1999 (Chapter 301, Acts of 1999).
In 1965, the Maryland Industrial Development Financing Authority was created (Chapter 714, Acts of 1965). Through consolidation in 2000, the Maryland Industrial Development Fund replaced the Day Care Loan Facilities Loan Guarantee Fund, the Maryland Enterprise Incentive Deposit Fund, and its own Authorized Purpose Fund and Bond Insurance Fund (Chapter 305, Acts of 2000).
The Maryland Small Business Development Financing Authority began in 1978 (Chapter 879, Acts of 1978). Initially providing financial assistance to socially and economically disadvantaged persons who own small businesses within the State, the Authority's eligibility criteria was extended in 2001 to all small business owners who are unable to obtain adequate financing on reasonable terms through traditional financing methods.
OFFICE OF INTERNATIONAL INVESTMENT & TRADE
World Trade Center Baltimore, 7th floor, 401 East Pratt St., Baltimore, MD 21202
MARYLAND INTERNATIONAL BUSINESS CENTER
In March 2009, the Governor initiated the Maryland International Business Center within the Office of International Investment and Trade.
OFFICE OF MILITARY & FEDERAL AFFAIRS
World Trade Center, 15th floor, 401 East Pratt St., Baltimore, MD 21202
OFFICE OF STRATEGIC INDUSTRIES & ENTREPRENEURSHIP
Through reorganization in July 2012, the Office of Strategic Industries and Innovation was established under the Division of Business and Enterprise Development, now the Division of Business and Industry Sector Development. The Office reformed as the Office of Strategic Industries and Entrepreneurship in October 2015.
MARYLAND E-NNOVATION INITIATIVE FUND AUTHORITY
In July 2014, the Maryland E-Nnovation Initiative Fund Authority was established (Chapter 533, Acts of 2014).
The Maryland Manufacturing Advisory Board organized in 1994 as the Maryland Advisory Commission on Manufacturing Competitiveness (Chapter 482, Acts of 1994). Formerly under the Division of Regional Development, the Commission transferred to Business Development-Baltimore Region in December 2003, and to the Office of Business Development in July 2009. The Commission was placed under the Office of Strategic Industries and Innovation in July 2012, and was made part of the Office of Strategic Industries and Entrepreneurship in October 2015. In July 2017, the Commission restructured as the Maryland Manufacturing Advisory Board (Chapter 259, Acts of 2017).
Under the Office of Strategic Industries and Entrepreneurship, Agribusiness and Energy originally formed in October 2015 as Energy and Sustainability. It reorganized as Energy and Agribusiness in August 2016, and as Energy in December 2016. In March 2017, it adopted its present name.
Formerly directly under the Division of Business and Industry Sector Development, the Office of Cybersecurity and Aerospace transferred to the Office of Strategic Industries and Entrepreneurship in November 2019.
DIVISION OF MARKETING, TOURISM, & THE ARTS
World Trade Center Baltimore, 7th floor, 401 East Pratt St., Baltimore, MD 21202
In 1991, the Division of Marketing, Tourism, and the Arts began as the Division of Business Resources. It reformed as the Division of Regional Development in 1995, reorganized as Technology Strategy and Business Development in December 2003, and emerged as Business Development in 2005. In September 2008, it restructured as the Division of Marketing and Business Development, and in May 2009 as the Division of Marketing and Communications. It reformed as the Division of Marketing, Tourism, and the Arts in November 2019.
World Trade Center Baltimore, at Inner Harbor, 401 East Pratt St., Baltimore, Maryland, November 2009. Photo by Diane F. Evartt.
Under the Division are the Maryland State Arts Council and three offices: Marketing, Public Affairs, and Tourism and Film.
MARYLAND STATE ARTS COUNCIL
175 West Ostend St., Suite E, Baltimore, MD 21230
OFFICE OF MARKETING
To promote Maryland's primary industries, the Office of Marketing conducts advertising campaigns, coordinates promotional events, plans displays for trade shows and conferences, and produces brochures.
Digital Marketing began as Digital Engagement, and adopted its present name in 2015.
OFFICE OF PUBLIC AFFAIRS
The Office of Public Affairs is responsible for Business News.
OFFICE OF TOURISM & FILM
World Trade Center Baltimore, 14th floor, 401 East Pratt St., Baltimore, MD 21202
Hooper Strait Lighthouse at Chesapeake Bay Maritime Museum, St. Michaels (Talbot County), Maryland, August 2016. Photo by Diane F. Evartt.
Maryland as a destination for domestic and international travelers is promoted by the Office. The Office also supports the performing, visual and creative arts, and promotes Maryland as a location for film and television production.
[OFFICE OF FILM & DIGITAL MEDIA]
World Trade Center Baltimore, 401 East Pratt St., Baltimore, MD 21202
The Office of Tourism Development had formed as the Tourist Development Office by 1981 and reorganized within the Division of Tourism, Film, and the Arts under its present name in 1996 (Code Economic Development Article, sec. 4-201). It was placed under the Office of Tourism and Film in November 2019.
MARYLAND TOURISM DEVELOPMENT BOARD
In 1993, the Maryland Tourism Development Board was authorized. It was reconstituted in 2007 (Chapter 625, Acts of 1993; Chapter 152, Acts of 2007).
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e-mail: mdmanual@mdarchives.state.md.us