As April 15 approaches, American taxpayers might wish to contemplate the $37.5 million in tax credits for the Northrop Grumman corporation approved by a Maryland Senate committee. The military-industrial giant’s annual revenues have been in the $25 billion range in recent years–most of it thanks to government contracts, of course–making it the fifth largest such business in the world. The giveaway comes on top of a $20 million loan to the company approved last week by the full General Assembly. Essentially open bribes to keep jobs in the state (even though there is no threat of their leaving), even Republican Governor Larry Hogan appears to be distancing himself publicly from the lucre. “These jobs aren’t going anywhere. This isn’t Northrop coming to us and saying, ‘We need this money in order to stay.’ That’s never been their comment to us,” said Richard Madelano, a Democrat who voted against the credits. “If you were to look in the dictionary under ‘corporate welfare,’ this is what would be pictured.” The tax credits would grab about $450,000 out of the state’s Higher Education Trust Fund. Rest in peace, Jack Northrop and Leroy Grumman.
Update 4/8: Passed by the full state Senate, “it smells like an expensive cologne.”
Update 4/12: Passed by the General Assembly, NG gets a tax break, but not the citizens of Maryland.
Update 8/29: Political football with a very expensive pigskin.
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Update 11/30: Done deal.
