The Baltimore Sun's Andy Green discusses "day 84 of the computer services tax death watch" in today's video edition of The Session, the Sun's blog on the General Assembly.

Click here to view the video.

• Baltimore Sun: Deal may end 'tech tax'
• Washington Post: O'Malley Discusses Deal to Kill Computer Services Tax

The News-Journal, a major daily paper in Wilmington, Delaware, examined the impact of Maryland's tech tax in a story in Sunday's edition entitled, "Md. sales tax could make Del. a refuge." The story begins:

"Maryland can be a nice place to live. But for some businesses, Delaware's looking better all the time.

"Lawmakers' efforts to impose a new sales tax on the computer services industry may have permanently tarnished Maryland's reputation among some small-business owners there, raising the possibility that they will simply pack up and relocate across the border."

Read the full story here.

An editorial in today's Wall Street Journal calls Maryland's tech tax "one of the most burdensome regimes in the nation on the growing industry."

The editorial goes to outline how the tech tax will harm the small businesses that drive Maryland's economy, "While larger companies may simply move their IT operations to other states, small businesses will lose money on tighter margins, or watch clients bring their IT services in-house."

Read the full editorial here.

Governor Martin O'Malley said today that he supports the repeal of the computer services sales tax.

According to an Associated Press report, O'Malley said, "I've never been a big fan of the computer tax, and the more we look at it and the more we look at the potential downsides of the computer tax, the more convinced I become that we should look for some alternative."

Read more:

• Baltimore Business Journal: O'Malley calls for repeal of tech tax
• The Washington Post: O'Malley Wants End to Md. Computer Services Tax
• Baltimore Sun: O'Malley says he supports repeal of tech tax

WJZ-TV Channel 13 in Baltimore ran a story on the Tech Tax over the weekend that featured John Eckenrode, President of CPSI.

"There is no doubt about that. If this thing spins the wrong way and we don't get the relief we want in this general session, we have to go. We have no choice," Eckenrode said.

You can view the complete segment online, here.

In a letter to the editor in today's Baltimore Business Journal (Feb. 22), Steve DelBianco, former director of the Virginia Economic Development Partnership, extends his thanks to the State of Maryland for passing the computer services sales tax.

"This proposed tax on computer services in Maryland makes it that much easier for Northern Virginia to compete with Maryland for any business that relies heavily on computer services, including financial services, health care and government contracting," he said.

DelBianco closes his letter by saying, "Let me extend my thanks to Maryland for giving a new advantage to the Old Dominion."

Read the full letter here.

As illustrated by reports in today's Baltimore Sun and last week's Baltimore Business Journal, competing states smell blood. Many Maryland IT companies have put expansion plans on hold. Some have already shifted expansion plans to other states. Many others have a list of unanswered questions about how the tax will be applied.

Barry Rascovar discusses the tech tax in his column, "Killing the golden goose," in today's Gazette of Politics and Business.

"If left unaddressed during the current legislative session, the damage done to this sector of the Maryland economy could be immense. The damage done to Maryland's business image will be long lasting."

To read the complete column, click here.

From today's Baltimore Sun editorial, "Paying For BRAC:"

"Meanwhile, if Maryland wants to offer a tax break to military contractors, the one on the top of the list should be to scrap the 6 percent computer services tax on businesses of all kinds. As it stands, the tax offers a significant incentive for firms serving Aberdeen Providing Ground (at least those with a substantial investment in computers) to locate in nearby Delaware or Pennsylvania."

Read the full editorial here.

Today's Daily Record provides a good status report on efforts to repeal the computer services sales tax. In a nutshell:

• Nearly a dozen bills have been introduced, including one co-sponsored by a majority of the House of Delegates.
• Success will likely hinge on whether or not lawmakers can agree on a measure to replace the $200 million that the new tax would reportedly generate.
• House Republicans unveiled a plan to offset the repeal with spending reductions. House Speaker Michael Busch (D-Dist. 30) said many of the proposed reductions are temporary and that an alternative to the computer services tax must provide a permanent solution to be acceptable.
• House Ways and Means Committee Chair, Del. Sheila Hixson (D-Dist. 20), said her committee would not hear any of the repeal proposals until after the Senate is finished with Gov. Martin O'Malley's budget bill.
• Sen. Robert J. Garagiola (D-Dist.15) will propose a plan to replace the computer services tax with two 3 to 4 cent increases in the gasoline tax. Legislative leaders have indicated a gas tax is not palatable to many lawmakers.

To read the full story, click here (pdf).

In the short term, we need to continue to work to ensure that lawmakers are hearing from impacted constituents. Help us spread the word.