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Economic Growth and Affordability

Anne Arundel County has all the necessary ingredients to be an economic powerhouse in Maryland and the nation. The county boasts an enviable geographic location, a highly educated and capable workforce, and is at the heart of our nation’s cybersecurity efforts. From logistics to agriculture to maritime, there are many diverse sectors that can propel the county’s future, and the next county administration can improve on efforts to foster growth and expand our local economy.  

Our challenge

Despite many strengths and advantages, Maryland’s economy has been stagnant for the better part of a decade, and Anne Arundel County has followed apace. From 2016-2023, the Maryland economy grew just 1.6%, compared to 13.9% nationally. GDP growth was 2.2% over that period, but that trailed the national economic growth figure of 2.8%.

Anne Arundel County—the state’s fifth-largest jurisdiction by population—faces threats that, if unaddressed, will thwart long-term affordability and economic growth.

The Trump administration seems intent on gutting the civil service, one of the largest sources of employment for Marylanders, including Anne Arundel County residents. We need to ensure that these inevitable cuts do not keep too many of our residents out of work for too long.

President Trump’s tariffs will make everyday prices more expensive for county residents, along with the costs of building materials for prospective county businesses. If left unaddressed, this will exacerbate Maryland’s already high cost of doing business (ranked 4th most expensive in the country by CNBC), discouraging any further investment in our state. Jobs will also flee to states perceived as more business-friendly, such as Virginia, Pennsylvania, and Delaware.

Pete Smith’s commitment to economic growth and affordability

Pete has a strategy to unlock Anne Arundel County’s potential and will change the predominant regulatory and governmental attitude in Anne Arundel from a county of ‘no’ to a county of ‘yes.’

Pete will foster a regulatory and tax environment that encourages businesses and companies in high-growth sectors to invest and create jobs in our county, as well as support local and small businesses and recognize the diverse needs in different regions of Anne Arundel.

A Pete Smith administration will provide clarity and certainty in the permitting processes and will encourage the development of strategic industries.

Growing our local economy with a strategic focus is the best way to keep taxes low and generate the resources needed for both families and public-sector initiatives. 

Pete Smith’s Economic Development and Affordability Plan

Pete Smith’s plan for economic development and affordability is built around four pillars: Supporting communities, small businesses, and agriculture; Supporting Anne Arundel County Growth Sectors; Improved and targeted government operations and assistance; and Supporting affordability for families.

Pillar 1: Supporting communities, small businesses, and agriculture

With over 66,000 businesses in the county and a total economy valued at about $64.3 billion, small enterprises are central to employment and growth. Economic development policies that support local communities, small businesses, agriculture, and agribusiness are vital in Anne Arundel County.

Supporting these sectors helps maintain diversity in the economy, preserves open space, provides local food, strengthens resilience, and ensures that economic gains are more broadly shared across communities, especially those historically underserved.

Strategy: Recruitment of great teachers 

The Anne Arundel County administration must fully support the recruitment and retention of certified teachers. The finest certified educators will be attracted to safe schools, competitive salary scales, excellent health benefits, opportunities for advancement, and housing opportunities. 

Strategy: Investments in place-centered economic growth

Anne Arundel County can benefit from an Anne Arundel County Redevelopment Authority that could acquire and repurpose underutilized properties, attract private investment, and improve streetscapes and community facilities. The Anne Arundel Economic Development Corp. has begun exploring the creation of a redevelopment authority, and the next county administration should fully examine and then advance this effort.

Strategy: Maximizing underutilized properties

Anne Arundel County must catalog underutilized properties with high-impact redevelopment potential and compile a project pipeline that includes older shopping centers and commercial districts. The county must create detailed site profiles for targeted redevelopment areas, documenting infrastructure needs, site characteristics,
market and economic factors.

Strategy: Targeted support for small businesses, agriculture, and agribusiness

Through its Economic Development Corp., Anne Arundel should create an ombudsman program that will assist small businesses and agriculture-based businesses in navigating the regulatory environment and accessing resources. Additionally, the county could invest in a mentoring program to help cultivate, support, and grow small businesses. Tradepoint Atlantic's Empowerment Academy is a good example of a program that helps coach and mentor existing small businesses. A guide that can help businesses navigate complex regulatory gateways and permitting processes.

Anne Arundel County should also reexamine and refresh its financial assistance programs for small businesses, including the creation of a revolving loan fund.

Strategy: Using Anne Arundel County's purchasing power to assist small businesses

As a major employer and economic engine in its own right, Anne Arundel County must use its significant purchasing power to assist small, women-owned, and minority business enterprises. The next county administration must update its 2022 Disparity Study and reexamine the goals of the Procurement Access and Vendor Equity program to set new targets and improve inclusiveness.

Tactics:

  • - A Pete Smith administration will explore the savings opportunities and small-business opportunities of bulk-scale procurement among the six largest local jurisdictions in Maryland, which spend a combined $32 billion annually.

  • -A Pete Smith administration will work to grow the pool of qualified and cleared employees eligible to work at or contract with NSA and other federal agencies. Additionally, the Smith administration will commit to growing Anne Arundel’s high-school work study pool from roughly 200 to 600 to create a ready workforce of cleared students.

Pillar 2: Supporting growth sectors

After a rigorous analysis, the Anne Arundel County Economic Development Corp. has identified key growth industries where the county holds a competitive advantage and are economic drivers. They are:

  1. Aerospace: With BWI Thurgood Marshall Airport and a strong presence of aerospace and defense contractors, such as Northrop Grumman, Anne Arundel is uniquely suited to growth in both the defense and broader transportation landscapes.

  2. Cybersecurity: With Fort Meade and a cluster of cybersecurity companies in the county, Anne Arundel is a hub for technical innovation and fostering a highly skilled workforce that can help protect our nation.

  3. Life Sciences: Multiple major health systems and major research institutions are nearby, making Anne Arundel an ideal place to welcome businesses in biotech, medical research, and healthcare innovation.

  4. Logistics/Transportation: Anne Arundel can uniquely leverage proximity to BWI, the Port of Baltimore, and other transportation networks.

  5. Technology: Given Anne Arundel’s proximity to federal agencies and a highly skilled workforce, technology is another sector with advantages to leverage.

Support from all county agencies, including the executive branch, should be strategically aligned to foster these growth areas.

Strategy: Land-use policy directed at economic growth areas

Targeted growth industries can be supported through sound land use policies that encourage investment by these industries into certain areas of the county. Incentive programs, such as a property tax credit program to spur new investment, should be embraced by the next county administration.

A Pete Smith administration will create a task force charged with maximizing job and revenue growth in the county’s regional-scale destinations and employment centers identified in Plan 204, including around Fort Meade, around BWI Thurgood Marshall Airport and in the Brooklyn Park/Curtis Bay area.

Anne Arundel must achieve its stated goal of promoting transit-supportive development and redevelopment near Fort Meade, National Business Parkway and Annapolis Junction; and also promote development and redevelopment in the vicinity of BWI Airport that is compatible with the airport and will not restrict its future growth potential.

Strategy: ImFinancial incentives for businesses in high-growth sectors

The next administration must evaluate financial incentive programs, including taxes, job-creation assistance, and loan availability, to encourage growth industries to add jobs in Anne Arundel County.

Pillar 3: Improved and targeted government operations and assistance

Anne Arundel County must instill a culture of service excellence in county government and move from a county of “no” to a county of “yes” when it comes to business-related transactions. Speed, efficiency, and predictability must be valued characteristics.

 

Strategy: Simplifying Permitting Processes

In 2024, only six new commercial building permits were issued in Anne Arundel, a sign that our permitting system has become too slow and cumbersome to meet the investment demands. The next county administration must streamline the permitting process where possible, ensuring that we do not sacrifice the quality of new facilities while cutting any unnecessary red tape that too often hinders new businesses and development.

Strategy: Business attraction programs

Anne Arundel County must strengthen its overall business attraction program through designated industry growth areas in the county, dedicated incubator spaces, and concierge services to help businesses navigate county government.

Strategy: Workforce development

The next county administration must ensure that the county’s Workforce Development Corporation and the public schools have the resources needed to prepare students and transitioning workers for the jobs that growth industries and small businesses need.

The county government, working in conjunction with Anne Arundel Community College, trade unions, and other employers, can create career-path opportunities focused on job growth in Anne Arundel County.

Tactic:

  • A Pete Smith administration will explore and prioritize the establishment of a trade-focused high school in Anne Arundel to prepare students for good-paying and high-demand careers.

 

Strategy: Workforce housing

Facilitating workforce housing in Anne Arundel County requires aligning zoning, incentives, and partnerships to meet the needs of teachers, first responders, nurses, and service workers. The county can update zoning to allow mixed-use, higher-density projects near transit and job centers, while streamlining permitting to reduce costs and delays. Leveraging public land for housing, paired with state and federal tax credits, can attract private investment. Inclusionary zoning and density bonuses encourage developers to build affordable units. Finally, collaborating with nonprofits and employers ensures housing solutions remain accessible, sustainable, and connected to community services

Pillar 4: Affordability for families

Affordability is a leading concern of Anne Arundel residents, and the next county administration must take appropriate steps within its reach to address the top household expenses, including housing, transportation, food, and healthcare expenses.

Strategies

  • Housing: Promote mixed-income and multi-family housing to increase supply; consider property tax credits for first-time buyers and seniors.

  • Transportation: Improve public transit routes and partner with employers on commuter benefit programs

  • Food: Strengthen food assistance programs and support urban agriculture and community gardens.

  • Healthcare: Expand community health clinics and mobile health units.

To maximize the help that Anne Arundel can provide, leveraging partnerships with state agencies and non-profits, and close coordination with state leaders is paramount.