Maryland's secretary of Economic and Community Development said he will seek legislation that would allow the state to issue state guaranteed, tax exempt bonds to finance several projects at once.
As things now stand, the state may issue bonds for only one project at a time, said James O. Roberson. Because the cost of the paperwork involved can eat up the tax savings on small issues, that pattern has basically prevented small businesses from benefiting from that form of state-aided financing.
Roberson said he expects a bill to be introduced in the general assemblyy that will permit "umbrella financing" for a package of projects. Connecticut is the only state with a similar program, he said.
Roberson said department researchers estimate new enterprises and expansion by existing firms will amount to a record-setting $1.2 billion in 1980. Inn 1979 the figure ws $1.12 billion, compared with $263 million in 1978.
One of the state's bigger efforts to expand business in Maryland has yet to pay off for the state, however. State officials traveled to California last spring in an attempt to lure computer component firms to the East Coast. In fact, one such firm recently announced that it is moving east -- but to Fairfax County.
Roberson said he believes that other firms eventually will locate in Maryland.
Department of Economic and Community Development researchers estimate that the capital investment announced in 1980 ultimately will create approximately 15,000 jobs. Among the investments are modernization of the General Motors Broening Highway plant in Baltimore, which will cost $450 million, and a $100 million expansion of Westinghouse Corp.'s facility at Baltimore-Washington International airport.
"The remarkable thing is it's all happening in a time of crazy inflation, insane interest rates," Roberson said.