Influential allies tout the importance of legislative advocacy at CPA Day 2024
Some of the profession’s most influential and recognizable legislative allies were on hand Jan. 18 as Maryland CPAs made their annual pilgrimage to Annapolis for the 2024 edition of CPA Day.
Scores of MACPA members braved the mid-winter cold and dodged construction projects at and near the iconic statehouse to visit their elected officials and discuss the profession’s 2024 legislative agenda. That agenda is highlighted by three key issues:
1. Opposing sales taxes on professional services, including those provided by CPAs
Proposing a sales tax on services to raise revenue would burden the citizens and businesses of Maryland unnecessarily with additional taxes and compliance complexity. It also would negatively impact economic growth and development. CPAs believe any proposal to implement sales taxes on professional services would be bad for small business in Maryland, and the MACPA will work to defeat such legislation if introduced.
2. Opposing efforts to replace Maryland’s contributory negligence standard with a comparative fault rule
Trial lawyers have previously introduced bills designed to replace Maryland’s current system of determining a defendant’s liability with a system that makes recovery against a defendant easier – even when the person bringing the lawsuit substantially contributed to his own injuries. At present, Maryland courts allow a person sued for negligence or wrongdoing to raise the “contributory negligence” defense — that is, the party sued may claim that the plaintiff contributed to his injury and thus should not be allowed to recover from the defendant. This long-standing rule in Maryland courts prevents a person from shifting his or her responsibility to others.
The contributory negligence standard should be maintained in Maryland because:
- it prevents a flood of suits by plaintiffs who have a disproportionate amount of fault;
- it keeps the lid on insurance premium growth rates;
- it fosters the exercise of due care by all persons; and
- it enhances the predictability of litigation, including its costs.
3. Support proper budget funding for the Maryland Comptroller’s Office
During the 2023 General Assembly session, the MACPA supported the Maryland Comptroller’s Office’ request for additional funding needed to carry out its extensive agenda. The Legislature agreed, and good things have happened during the past year thanks to the additional funds, but the need for expanded funding still exists, particularly when it comes to providing expanded services and paying the salaries needed to attract stellar talent.
The MACPA supports a properly funded budget that will allow the Comptroller’s Office to retain its current team as well as hire additional qualified personnel by offering competitive salary levels, and also allow for a more modern IT system for efficiency of the agency’s tax administration operations.
Comprehensive lists of position papers and the bills the MACPA is following this year are found throughout the legislative session at MACPA.org/advocacy.
Guests stress importance of advocacy
The highlight of CPA Day, though, was the debrief that followed the legislative visits. CPAs heard from a number of influential state officials who offered updates on key issues that impact the profession. Those officials included:
- State Comptroller Brooke Lierman, who offered extensive highlights from her recently released State of the Economy Report. The first-of-its-kind report found that while “Maryland has a high performing economy and tops the nation in several key economic categories,” the state’s economic growth has been largely stagnant since 2017. Lierman said opportunities for improvement exist in a number of areas, including recruitment of new workers and labor force participation, particularly among women.
- Brad Fallon, deputy legislative officer for Maryland Gov. Wes Moore. Fallon offered insights from Gov. Moore’s recently proposed $63.1 billion budget for the 12-month period beginning on July 1, and took questions from the CPAs in attendance on tax issues and ways to convince newly educated Maryland students to stay here and use their knowledge to help improve the state’s economy and business environment.
- Each of the three CPAs currently serving in Maryland’s General Assembly — Sens. Brian Feldman and Arthur Ellis, both Democrats, and Republican Del. William Wivell. Each praised the MACPA members for their legislative advocacy and stressed the importance of being active in Annapolis.
"Government is successful only if our citizenry remains actively involved in its proceedings," Del. Wivell said, pleading with CPAs to "continue to reach out to your elected officials regarding issues of importance to you and in which you have specialized knowledge."
Those in attendance took that message to heart.
“It’s so important for our profession to be here, to help protect the high standards and value that the CPA license represents,” said Mike Dernar, a Washington, D.C.-based MACPA member who attended his eighth CPA Day this year. “I worked really hard to get this license, and I want to make sure we’re advocating for the future of the profession and the value of the license.”
‘Virtual CPA Day’ coming on Feb. 22
The MACPA’s monthly town hall meeting for members in February will be a virtual CPA Day of sorts, featuring a mid-session legislative update, a closer look at recently introduced bills that could impact CPAs and those they serve, and insights from legislative volunteers.
The town hall meeting will begin at 8:30 a.m. and is worth one CPE credit. It is complimentary for MACPA members. For complete details and to register, visit bit.ly/VirtualCPADay.