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Regional Economy Has a Split Personality

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Several factors contributed to the fast-rising utility bills in Maryland, said Brandon Farris, policy director at the Maryland Energy Administration.

The cost of transporting fuel to the Northeast has been rising with the price of gasoline, and other areas of the country have more ready access to cheaper nuclear and coal power, he said. He added that consumers are still feeling the impact of the deregulation of local power companies in Maryland and the removal of price caps.

Whatever the reasons, the soaring costs are causing deep anxiety for many low-income people. "We have to pay for rent and gas and electricity, and not only gas for the house but gas for the car," said Amanda Miller, a new mother and a Gaithersburg resident who has struggled to pay her electricity bills. "We have to sacrifice the necessities or sacrifice paying the bill."

Local aid workers say they have more and more people coming for help, shocked by the rising cost of utility bills.

"Especially with a vulnerable population, there isn't this magical pool of money to meet the difference from the rising utility costs. They have to pull it from their already limited budget," said Regina Mastromarino, director of the Upper Montgomery Assistance Network, a nonprofit group that seeks to help families in Germantown and Gaithersburg keep their lights on.

In addition to gasoline, other prices are rising in the area faster than the national average include airline fares, physician services and certain goods such as tobacco, according to the Bureau of Labor Statistics.

A recent government jobs report, however, portrays a more positive trend.

The job count in the Washington region was up 1 percent in April over the year before. That was higher than the 0.3 percent national increase. The data showed that professional and business services companies powered the job growth.

May data might show weakness, however, as recent high school and college graduates go searching for jobs. That's what emerged in a recent national report showing that the unemployment rate increased by half a percentage point.

Yet some Washington area companies are measuring the trend differently.

"It's probably going to be helpful to us. We'll have a more abundant pool of talent available, especially new college hires," said Disken, the Lockheed Martin executive. "Some of the commercial companies are cutting back and retracting offers."

Brian Keenan, executive vice president for human resources at the government services firm SAIC, which has a large presence in McLean, said that so long as the government continues to issue contracts, SAIC will sail.

"The market here is very robust," he said. "We're hiring 600 to 700 people every month. Right now our customers are still funded. They're still awarding new contracts. We have business."


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