Any Session of the Maryland General Assembly is a challenge and 2023 was no exception. The challenging work began right after the end of the 2022 session. That is when the 2022 General Election campaign season began for Governor, Attorney General and the General Assembly. In addition to supporting key legislators, ACEC/MD focused on the race for Attorney General (AG) and held meetings with the leading candidates before the Primary election, and after the Primary election. At each of these meeting our concerns regarding Duty to Defend legislation were discussed in detail.
After the General election, members of the Executive and Legislative Committees spoke with AG Elect Anthony Brown about the Duty to Defend legislation and how the past opposition that the Office of the Attorney General (OAG) had prevented Duty to Defend from receiving a vote in the Judiciary Committee. He assured us he would give the matter careful and sincere consideration.
When SB 56 and HB 256 (Courts – Prohibited Indemnity and Defense Liability Agreements) were introduced, the OAG submitted ambiguous letters of opposition that included a willingness to negotiate. With the assistance of the AG, a meeting for that purpose was held in early February at which time it was established that none of the departments, including the Maryland Department of Transportation (MDOT) were opposing the bill and the only issue raised in the OAG letter (indemnity) was amended out of the legislation. After the meeting, the AG announced that since no department was opposed to the legislation, the OAG would not oppose SB 56 or HB 256.
This lifted the last impediment to the bill. It passed the Senate Judicial Proceedings Committee and the full Senate by unanimous vote on March 17th. The Senate Bill was sent to the House Judiciary Committee where it would have been eligible for a vote. That hope was dashed on March 17th when MDOT sent a letter dated March 17th to the Chairs of the Senate Judicial Proceedings and House Judiciary Committees, in contradiction to an earlier written assurance that the Department was not opposing the bill.
What happened? The matter is still under investigation.
ACEC/MD along with the House and Senate Sponsors, Delegate Jon Cardin and Senator Chris West, plan to meet with MDOT Secretary, Paul Wiedefeld, regarding the circumstances and reasons surrounding the letter of opposition. In addition, Delegate Cardin has spoken with AG Anthony Brown regarding a concern that the OAG may have intervened to influence MDOT to alter its position on this legislation after the Senate voted to support the amended legislation. AG Brown defended the OAG; however, he was aware that MDOT was not opposed to the legislation prior to the Senate vote in February. AG Brown has offered to provide instructions to all OAG attorneys not to influence any department’s position on the legislation.
TRANSPORTATION – OPPOSED
HB 94 Vehicle Laws – Reduction of Speed Limits by Local Authorities
DISPOSITION: Withdrawn by the sponsor
HB 94 would have amended Transportation Law Section 21–803 to permit local jurisdiction to reduce the minimum speed limit to 15 Miles Per Hour (MPH) everywhere in the state, without the requirement for an engineering evaluation to determine if the reduction would comply with established standards for traffic safety.
The sponsors must have thought that Section 21–803.16 currently required an engineering and traffic evaluation for a reduction in the speed limit; however, that section only requires “an engineering and traffic investigation when “a local authority determines that any maximum speed limit specified in the subtitle is greater or less than reasonable or safe under existing conditions on any part of a highway in its jurisdiction…”
ACEC/MD would not object to HB 94 with the following amendment if the bill were amended to require an engineering and traffic investigation for a change in a maximum “OR MINIMUM” speed limit.
TRANSPORTATION – MONITOR
SB 16 / HB 70 Safe Access for All (SAFE) Roads Act of 2023
DISPOSITION: HB 70 PASSED
HB 70 requires the Maryland Department of Transportation (MDOT) to implement all possible incremental and near-term safety improvements as soon as practicable when a new approved pedestrian or bicycle safety construction or improvement project is projected to take more than 12 months to complete. Because MDOT’s capital program is fully subscribed, MDOT may be required to redirect funding from other projects beginning as early as FY 2023 to implement the incremental and near-term safety improvements; however, any such impact is anticipated to be minimal due to the limited scope of projects to which the requirement applies. The bill takes effect June 1, 2023.
SB 19 / HB 9 Equity in Transportation Sector – Guidelines and Analyses
DISPOSITION: Both SB 19 & HB 9 PASSED
This legislation will have extensive effect requiring the Maryland Department of Transportation (MDOT) beginning July 1, 2024, in collaboration with the Maryland Transit Administration (MTA), to conduct two transit equity analyses, perform a cost-benefit analysis, consult with members and leaders of affected communities, and take specified actions based on the results of these activities before announcing (1) any service change that would constitute a major service change under specified federal guidelines or (2) any reduction or cancellation of a capital expansion project in the construction program of the Consolidated Transportation Program (CTP) that exceeds transit equity thresholds developed by MTA pursuant to bill. The bill also expands existing transportation plans, reports, and committees to include transportation equity issues. the bill. The bill also expands existing transportation plans, reports, and committees to include transportation equity issues.
The following provisions related to MTA service changes, the reduction or cancellation of a capital expansion project in the CTP, and required analyses and reports, take effect July 1, 2024. Before announcing any service change that would constitute a major service change under the Federal Transit Administration’s (FTA’s) Title VI Requirements and Guidelines for FTA Recipients, and before announcing any reduction or cancellation of a capital expansion project in the construction program of the CTP that exceeds the thresholds developed by MTA, MDOT, in collaboration with MTA, must: conduct a transit equity analysis in accordance with the federal Americans with Disabilities Act Amendments Act and the federal Rehabilitation Act of 1973 as amended to determine whether the change will create a disparate impact on persons with disabilities; conduct a transit equity analysis in accordance with FTA guidelines and, if applicable, the guidelines developed by MTA, to determine whether the change or reduction/cancellation will create a disparate impact or disproportionate burden; perform a cost-benefit analysis, including an analysis of impacts on economic development, employment, education, health, and environmental justice; and consult with members and leaders of affected communities, including through community outreach, to racial minority communities, low-income communities, disabled riders, limited English proficiency riders, transit-reliant riders, and senior riders. Major Service Change: For a major service change, if a transit equity analysis reveals disparate impact or disproportionate burden, MTA must develop alternatives that would meet the goals of the proposed service change and conduct a transit equity analysis of those alternatives. If a disparate impact can be avoided through use of one of the alternatives analyzed, MTA must proceed with that alternative as the primary proposed service change. If there is no alternative that would avoid a disparate impact or disproportionate burden, MTA (1) may not implement the proposed service change unless a substantial justification exists that necessitates the change and (2) must implement the alternative that causes the least disparate impact or disproportionate burden.
Before holding a public hearing on a proposed service change, MTA must publish on its website, for the routes or lines impacted by the service change, an evaluation of the demographics of the riders of the routes or lines and the service area. After completing the public hearings, MTA must publish the transportation equity analysis and cost-benefit analysis on its website and compile a report on the impacts of the proposed service change. The report must include the various analyses conducted, a community outreach report, any alternatives analyzed, and, if applicable, the final alternative selected with any substantial justification statements. The report must be made available to the public, as specified, and distributed to specified entities, including the members of the Board of Public Works (BPW), specified elected officials, community leaders, and legislative committees. Reduction or Cancellation of a Capital Expansion Project: For a reduction or cancellation of a capital expansion project, after completing the required transit equity analysis and cost-benefit analysis, MTA must compile a report on the impacts of the proposed reduction or cancellation that includes (1) the transit equity analysis; (2) the cost-benefit analysis; and (3) a community outreach report. The report must be made available to the public, as specified, and distributed to specified entities, including the members of BPW, specified elected officials, community leaders, and legislative committees. Expansion of Existing Plans, Reports, and Committees Effective October 1, 2023, the bill makes the following changes to existing transportation plans, reports, and committees:
MTA must develop transit equity analysis policies and guidelines, including thresholds for when a reduction or cancellation of a capital expansion project in the construction program of the CTP requires analysis. Beginning with the 2045 Metropolitan Transportation Plan (MTP), MDOT must consider ways to achieve equity in the transportation sector when developing the State transportation goals. The advisory committee that advises MDOT on the State transportation goals, benchmarks, and indicators is expanded to include a representative of (1) the Maryland State Conference of the NAACP and (2) a transportation labor organization, designated by the Maryland State and District of Columbia AFL-CIO. The responsibilities of the committee are expanded to include the consideration of the impact of transportation investment on racial equity and persons with disabilities, including service accessibility. Beginning with the 2024 Attainment Report on Transportation System Performance, the committee must recommend measurable transportation indicators that can be evaluated for racial, disability, ethnic, and low-income disparities based on available sources or information. MDOT must evaluate these indicators to identify any racial, disability, ethnic, or low-income disparities.
SB 24 / HB51 Department of Transportation – Grant Anticipation Revenue Vehicle Bonds and Grant Anticipation Notes (State and Federal Transportation Funding Act)
DISPOSITION: SB 24 PASSED
SB 24 expanded the authority of the Maryland Department of Transportation (MDOT) to issue additional bonds backed by future federal aid for specified projects and under specified conditions. MDOT may issue such bonds if the aggregate outstanding and unpaid principal amount of debt issued does not exceed $1.0 billion as of June 30 of any year. The bill makes other changes related to the issuance of such bonds. The bill also establishes the Maryland Commission on Transportation Revenue and Infrastructure Needs, staffed by MDOT and the Department of Legislative Services (DLS).
The bill modifies existing provisions relating to MDOT’s issuance of bonds backed by future federal aid (typically known as Grant Anticipation Revenue Vehicle (GARVEE)) bonds when backed by future federal highway aid and Grant Anticipation Notes when backed by future federal transit aid). Specifically, MDOT may issue bonds backed by future federal aid if the aggregate outstanding and unpaid principal amount of debt issued does not exceed $1.0 billion as of June 30 of any year. However, proceeds of these bonds may only be used for:
- designing and constructing the Baltimore Red Line.
- procuring zero-emission buses (in accordance with existing provisions relating to the conversion of the State transit bus fleet to zero-emission buses) and constructing related infrastructure, including bus maintenance facilities.
- developing and constructing the Southern Maryland Rapid Transit Corridor.
- designing and constructing improvements to the Maryland Route 2 and Route 4 corridor, including the Thomas Johnson Bridge.
- designing and constructing improvements to the Maryland Route 90 corridor; or
- designing and constructing improvements to the Interstate 81 corridor.
Existing statutory requirements relating to the issuance of debt backed by future federal aid – and transportation projects in general – generally apply to debt issued and projects funded under the bill, with the following exceptions: (1) the bill repeals the requirement that MDOT pledge TTF revenues as a secondary source of funds to pay the principal of and interest on the bonds issued should future federal aid be insufficient – and, as a result, the bill also repeals the requirement that the Capital Debt Affordability Committee (CDAC) include such debt within its review of State “tax-supported debt”; and (2) the bill specifies that the date of maturity on the bonds may not be later than 15 years after the date of bond issuance. Pursuant to existing statutory requirements, capital projects funded under the bill must be included in the Consolidated Transportation Program (CTP), or certain notification requirements must be met before those projects are funded. Also, prior to the issuance of bonds, MDOT must (1) provide notification to the Legislative Policy Committee 45 days prior to the issuance; (2) receive approval for the issuance by the Board of Public Works (BPW); and (3) receive approval from the Secretary of Transportation in an approving resolution that establishes the parameters of the bond sale.
The commission must review, evaluate, and make recommendations concerning:
- the current State funding sources and structure of TTF, including (1) revenue trends that demonstrate weaknesses in the stability of TTF and (2) trends in operating and capital expenditures and how existing resources have constrained programming.
- the methods that other states are employing to fund state transportation operating and capital programs; short- and long-term construction and maintenance funding needs for transit, highway, pedestrian, bicycle, heavy rail, shipping, air travel, and other transportation needs.
- options for public-private partnerships, including partnerships with local governments, to meet transportation funding needs.
- changes in transportation technology and trends that will impact transportation infrastructure needs and costs to the State.
- existing practices for prioritizing project funding and options to better prioritize needs, including local and legislative priorities.
- the structure of regional transportation authorities and the ability of these authorities to meet transportation needs in various regions of the State; and
- options for sustainable long-term revenue sources for transportation.
The commission must submit an interim report of its findings and recommendations to the Governor and the General Assembly by January 1, 2024. A final report is due by January 1, 2025.
SB 50 /HB 106 State Finance – Prohibited Appropriations – Magnetic Levitation Transportation System
DISPOSITION: Both Bills FAILED
This would have prohibited the State (or any unit or instrumentality of the State) from using any appropriation for a magnetic levitation (Maglev) transportation system located in the State. The bill does not apply to expenditures for the salaries of personnel assigned to review permits or other forms of approval for a Maglev transportation system.
SB 151 / HB 12 Equitable and Inclusive Transit-Oriented Development Enhancement Act
DISPOSITION: HB 12 PASSED
This bill establishes a $5.3 Million Transit-Oriented Development (TOD) Capital Grant and Revolving Loan Fund and its purpose, funding sources, and authorized uses. For each fiscal year, the Governor must include in the annual budget bill an appropriation sufficient to ensure a fund balance of at least $5.3 million at the start of the fiscal year. The bill also (1) expands the definition of “transit-oriented development”; (2) alters existing provisions and establishes new provisions relating to the designation of TODs; and (3) requires the Secretary of Transportation to annually submit a report to the General Assembly on efforts to increase TOD throughout the State.
SB 412 /HB 74 Transportation – Maryland Rail Authority – Establishment (Maryland Rail Investment Act of 2023)
DISPOSITION: Both Bills FAILED
establishes the Maryland Rail Authority (MRA) and its various rights, duties, responsibilities, obligations, powers, and authorities. MRA is authorized to finance projects through the issuance of bonds (which are not considered State debt) for specified railroad facilities projects in the State. The bill establishes the Rail Authority Fund (RAF) to pay debt-service for MRA; certain funds from the Transportation Authority Fund must be transferred to RAF. The bill requires the Maryland Transportation Authority (MDTA) to receive MRA’s consent before financing projects and issuing debt, as specified, and makes various other changes to MDTA’s operations.
SB 484 / HB 94 Vehicle Laws – Reduction of Speed Limits by Local Authorities
DISPOSITION: Both Bills FAILED
would have authorized local authorities (statewide) to decrease the maximum speed limit to no less than 15 miles per hour (MPH) on a highway (regardless of whether in or outside an urban district) but only after performing an engineering and traffic investigation. This authorization replaces two existing provisions that allow a local authority, under the same circumstances, to decrease the speed limit in an urban district to an unspecified level and to decrease the speed limit outside an urban district to no less than 25 MPH. The bill retains the exception for specified highways in Calvert County but otherwise makes additional conforming changes. Additionally, a locality is prohibited from implementing a new speed monitoring (i.e., speed camera) system to enforce speed limits on any portion of a highway for which the speed limit has been decreased to less than 25 MPH pursuant to this authorization.
SB 876 / HB 794 Baltimore Regional Transit Commission – Establishment PASSED
DISPOSITION: HB 794 PASSED
This bill establishes the Baltimore Regional Transit Commission. The commission must be staffed by the Baltimore Metropolitan Council (BMC), and the Maryland Transit Administration (MTA) must allocate funds for the operational expenses incurred by the commission, including funding for one senior planner and two junior planner staffing positions. By December 1 each year, the commission must report its findings and recommendations on the Baltimore region transit systems to MTA, the Governor, and the General Assembly.
SB 963 Transportation – Study on Speed Limits – Interstate 495 and Connected Highways
DISPOSITION: FAILED
SB 963 would have required the Maryland Department of Transportation (MDOT) to conduct a study on the implications of speed limit changes on highways in the State that connect to I-495. In conducting the study, MDOT would have been required to consult with local officials and stakeholders that have expertise and familiarity with traffic safety issues faced by drivers who use highways in the State that connect to I-495. MDOT would have to report its findings and recommendations to the Governor and the General Assembly by December 31, 2023.
HB 198 Wastewater Treatment Plants – Water Quality Testing and Sewage Overflow and Pipeline Breakage Notification (Environmental Accountability Act of 2023)
DISPOSITION FAILED
If HB 198 had been enacted, an independent third party would have been selected by MDE and it would be required to have all State and federal certifications that MDE deemed necessary. The independent third party must (1) verify laboratory results for all water quality tests conducted at an affected WWTP and (2) implement procedures and protocols at the WWTP to test for and prevent the discharge of midge larvae. Each laboratory report would be required to be posted on the WWTP’s website as soon as practicable. In addition to existing notification requirements, the owner or operator of a WWTP would be required to immediately post a notification of any sewage overflow on the WWTP’s website and notify local news media about the overflow and potential health risks as soon as practicable. Further, on notification of a break in a sewage pipeline, the owner or operator of a WWTP would be required to, as soon as practicable, notify local news media and each State legislator representing the area in which a discharge will occur of the break in the sewage pipeline and potential health risks.
HB 1052 Transportation – Consolidated Transportation Program – Scoring
DISPOSITION FAILED
HB 1052 would have expanded the State transportation goals and measures that must be used by the Maryland Department of Transportation (MDOT) for its project-based scoring system when it evaluates major transportation projects for inclusion in the draft and final Consolidated Transportation Program (CTP). The bill also established the Workgroup on the Maryland Open Transportation Investment Decision Act that would evaluate an updated scoring system. MDOT would have been required to staff the workgroup, and, by September 1, 2025, the workgroup would have been required to report its findings and recommendations to the General Assembly.
HB 1201 Public-Private Partnerships
DISPOSITION FAILED
HB 1201 would have established the Public-Private Partnership Oversight Review Board to provide specified oversight of proposed public-private partnerships (P3s). It would have altered the review and approval process for P3s valued at more than $500 million and for unsolicited proposals for P3 agreements and would have expanded the requirements for all P3 agreements. Finally, the bill specified that P3 agreements for roads or bridges would not include a noncompete clause that would inhibit any transit or road maintenance projects (instead of only State-funded transit projects).
ENVIRONMENT – OPPOSED
HB 942 Wetlands and Waterways Program – Authorizations for Stream Restoration Projects
DISPOSITION FAILED
HB 942 would have required the Maryland Department of the Environment (MDE) to revise project eligibility criteria, standards for review, and requirements for applicants for wetlands and waterways authorizations for stream restoration projects associated with achieving local Municipal Separate Storm Sewer System (MS4) permit targets, Chesapeake Bay Total Maximum Daily Load (TMDL) goals, mitigation goals, or other restoration goals, by October 1, 2024. Before MDE would have been able to issue a wetlands and waterways authorization for a stream restoration project associated with achieving those targets and goals, MDE would be required to provide public notice of the application for the authorization and hold a public information meeting on the application. MDE would also be required to (1) incentivize the use of alternatives to stream restorations that are less destructive to the environment; (2) require stream restoration projects to meet certain requirements; and (3) monitor and evaluate approved projects.
ENVIRONMENT – MONITOR
SB 250 / HB 147 Environment – Climate Crisis Plan – Requirement (Both Bills)
DISPOSITION Both Bills FAILED
to require each county to prepare a climate crisis plan and submit it to the Maryland Department of the Environment (MDE) for review by June 1, 2024. The bill establishes the minimum required contents of the plan as well as requirements each county must follow in preparing its plan. MDE must provide feedback to each county by November 1, 2024, and each county must address the feedback and finalize its plan by January 1, 2025. Each county would have been required to post its final plan online and review and update its plan at least once every three years.
SB 417 / HB 602 Environment – State Wetlands – Shoreline Restoration
Both Bills FAILED
This bill would have amended standards and requirements related to shoreline restoration projects and projects on a person’s property to protect the shoreline against erosion. Among other things, the bill changes the standard by which a person is eligible for a waiver from the requirements to use nonstructural shoreline stabilization methods for shoreline erosion projects. The bill also would have established the Coastal Resilience and Living Shoreline Restoration Account within the existing Tidal Wetlands Compensation Fund to provide grants for the replacement of structural shoreline stabilization measures with nonstructural shoreline stabilization measures, as specified.
SB 470 / HB 631 Natural Resources – Land Conservation – Establishment of Goals and Programs (Maryland the Beautiful Act)
DISPOSITION: PASSED
SB 470 / HB 631 established (1) land conservation goals for the State; (2) a 40 x 40 Land Conservation Implementation Grant Program; and (3) a Local Land Trust Revolving Loan Program (along with an authorization for allocation of specified fiscal 2023 transfer tax revenues to the program). The bill also authorizes specified annual stewardship grants.
The bill establishes the intent of the General Assembly that (1) by 2030, 30% of lands in the State be conserved and (2) by 2040, 40% of lands in the State be conserved. To meet the specified conservation goals, the Smart Growth Subcabinet, in coordination with relevant stakeholders, must (1) coordinate the actions of State agencies, local governments, and nongovernmental partners; (2) by July 1, 2024, develop and publish a plan to meet the State’s conservation goals and update the plan as needed (but not less than every five years thereafter); and (3) by December 1, 2024, and each December 1 thereafter, report to specified committees of the General Assembly on the State’s progress toward meeting the conservation goals.
“Conserve” means to permanently protect land from development through purchase, donation, a perpetual conservation or an open space easement, or fee ownership to preserve the cultural, historical, ecological, or agricultural value of the land.
The conservation goals must be accomplished through multiple efforts, including:
- working with local communities, counties, municipalities, Native American communities, and private landowners to conserve natural places and resources.
- improving access to nature for all individuals in the State, including communities of color and economically disadvantaged communities.
- sequestering carbon and greenhouse gas emissions in lands and waters of the State.
- increasing public incentives for private landowners to voluntarily conserve and protect areas of demonstrated conservation value and areas that have a high capacity to sequester carbon and greenhouse gas emissions.
- focusing conservation work at a large landscape scale that is biologically and ecologically meaningful.
- preventing the extinction of native plant and animal species by recovering and restoring the species.
- stabilizing ecosystems and ecosystem services, restoring degraded ecosystems, and maintaining ecological functions; and
- increasing economic opportunities for farmers, ranchers, fishers, and foresters.
40 x 40 Land Conservation Implementation Grant Program
The Maryland Environmental Trust (MET) would have been required to administer a 40 x 40 Land Conservation Implementation Grant Program to support the implementation of the conservation goals established by the bill. Program grants would have been required to:
- be awarded each year on a competitive basis to a statewide nonprofit organization that focuses on supporting the permanent conservation of the lands of the State; and
- provide at least (1) $150,000 to the grant recipient for the purpose of providing tools and resources, organizational support, and capacity building to local land trusts and (2) $100,000 to the grant recipient for the purpose of providing statewide educational conferences and training for local land trusts on the topics of easement acquisition, conservation programs and tools, land management and stewardship, and other relevant subjects.
In fiscal 2025 and each fiscal year thereafter, the Governor may include in the annual budget bill an appropriation of $250,000 to MET for the purpose of providing the grants. Local Land Trust Revolving Loan Program. The purpose of the Local Land Trust Revolving Loan Program was to (1) support the efforts of local land trusts that work with State and local governmental entities and that have difficulty accessing money from existing Program Open Space (POS) preservation programs in a timely manner and (2) provide revolving loans to land trusts on a rolling basis to assist the land trusts to purchase property.
The program was to be administered by MET. A land trust that receives a program loan must repay the Local Land Trust Revolving Loan Fund, described below, (1) at a rate to be determined by MET, not to exceed one point below the prime interest rate and (2) after the property is placed under an easement or transferred to a State or local governmental entity. Local Land Trust Revolving Loan Fund
The Fund would have been required to be administered by MET to finance the revolving loan program. The fund would have consisted of money appropriated in the State budget to the fund, interest earnings, and any other money from any source accepted for the benefit of the fund. The bill would have also authorized the Governor to include an appropriation to the fund in the annual budget bill and, if actual transfer tax revenue collections in fiscal 2023 are greater than the revenue estimates used as the basis for the appropriations of transfer tax revenue required under existing law for fiscal 2025, the amount of the excess may be allocated to the fund. The provision authorizing the allocation of excess fiscal 2023 transfer tax revenue collections to the fund terminates on September 30, 2026. Land Preservation Rapid Response Advisory Committee
The bill establishes a Land Preservation Rapid Response Advisory Committee to (1) review and prioritize program loan applications for final approval by the MET Executive Committee and (2) make recommendations to the executive committee on which projects to fund and the funding to be allocated to each project. Stewardship Grants
The bill would have authorized the Governor, in fiscal 2025 and each fiscal year thereafter, to include in the annual budget bill an appropriation of $235,000 to MET to be used in the following amounts for the following purposes:
- $50,000 per year to provide land stewardship capacity-building grants of up to $10,000 to land trusts to support monitoring and stewardship scholarships, land monitoring and stewardship equipment, or organizational accreditation and certification training.
- $50,000 per year to provide land stewardship improvement grants of up to $10,000 to land trusts to support improved monitoring and stewardship of agricultural lands, forest lands, or lands facing a high degree of threat from invasive species or the effects of climate change; and
- $135,000 per year to provide citizen stewardship grants of up to $5,000 to nonprofit organizations, community organizations, schools, and municipalities to engage community members, especially children and young adults, in environmental education and stewardship.
The grant funding would have been supplemental to and not intended to take the place of funding that would otherwise be appropriated to MET for grants administered under the Keep Maryland Beautiful Program.
SB 471 / HB 607 Sediment Control Plans, Discharge Permits for Stormwater Associated with Construction Activity, and Notice and Comment Requirements
DISPOSITION: SB 471 PASSED
SB 471 requires the Maryland Department of the Environment (MDE) to review and update the specifications for sediment control plans by December 1, 2024, and every five years thereafter. When conducting the review and updates, MDE must meet specified requirements and consult with specified groups and stakeholders. By November 1, 2023, MDE must report to the General Assembly on its plans for reviewing and updating the specifications. The bill also establishes enhanced public comment requirements for construction activities located in certain sensitive areas, such as the Critical Area Buffer and floodplains identified by the Federal Emergency Management Agency (FEMA).
SB 477 / HB 830 Residential Construction – Electric Vehicle Charging
DISPOSITION: HB 830 PASSED
HB 830 requires the construction or significant renovation of housing units that include a garage, carport, or driveway for each residential unit to include one dedicated parking space with electric vehicle (EV) supply equipment that is fully installed (“EVSE-installed parking space”), one EV-ready parking space, or one EV-capable parking space, as each is defined by the bill. The bill includes related requirements for the construction of new housing units or multifamily residential buildings that do not have dedicated garages, carports, or driveways. The bill applies only prospectively and does not affect any new construction or significant renovation for which a complete commercial or residential service request is made to the local utility or a development application or building permit application is filed with a county or municipality before the bill’s effective date, December 1, 2023.
SB 526 / HB 723 Natural Resources – Forest Preservation and Retention
DISPOSITION: PASSED
This bill modifies State law relating to forest preservation and retention by (1) modifying the State’s policy to encourage the retention and sustainable management of forest lands; (2) making various changes under the Forest Conservation Act (FCA); and (3) requiring the Department of Natural Resources (DNR) to establish a workgroup to evaluate and recommend incentives for private landowners to conserve forest. The bill’s provisions predominantly take effect July 1, 2024, though certain provisions, identified below, take effect July 1, 2023.
SB 548 / HB 550 Maryland Energy Administration – Energy Programs – Modifications (Clean Transportation and Energy Act)
DISPOSITION: HB 550 PASSED
This Administration bill (1) modifies two transportation sector programs funded by the Strategic Energy Investment Fund (SEIF); (2) modifies the authorized uses of certain Alternative Compliance Payments (ACPs) deposited in SEIF; and (3) increases the dollar amount cap on the amount of certain SEIF revenues that may be allocated toward administrative expenses. The bill takes effect July 1, 2023.
Medium-Duty and Heavy-Duty Zero-Emission Vehicle Grant Program
The bill replaces requirements that the Governor, in each of fiscal 2024 through 2027, include, in the annual budget bill, appropriations from SEIF of (1) at least $1.0 million for grants under the Medium-Duty and Heavy-Duty (MHD) Zero-Emission Vehicle Grant Program for qualified medium-duty or heavy-duty zero-emission vehicles and (2) at least $750,000 for grants under the program for zero-emission heavy equipment property. The requirements are replaced with a single requirement that the Governor, in each of fiscal 2024 through 2027, include in the annual budget bill an appropriation from SEIF of at least $10.0 million for grants under the program for qualified newly manufactured medium-duty or heavy-duty zero-emission vehicles or zero-emission heavy equipment property. Under existing law and under the bill, the appropriations must be made irrespective of existing provisions specifying the allocation of SEIF revenues from the sale of the Regional Greenhouse Gas Initiative (RGGI) allowances among various uses. The bill modifies a limit on the amount of individual grants awarded under the program for qualified medium-duty or heavy-duty zero-emission vehicles and zero-emission heavy equipment property and eliminates the availability of grants for qualified medium- or heavy-duty zero-emission vehicle supply equipment under the program.
Under the bill, for each of fiscal 2024 through 2027, a person or unit of local government may apply to the Maryland Energy Administration (MEA) for a grant for up to 75% of the incremental cost (rather than the existing limit of 20% of the cost) of a qualified medium-duty or heavy-duty zero-emission vehicle or zero-emission heavy equipment property.
“Incremental cost” means the difference in price of (1) a conventional model vehicle and a zero-emission model that is attributable to the functional features of the vehicle or (2) conventional heavy equipment property and zero-emission heavy equipment property that is attributable to the functional features of the equipment.
The bill also modifies the definition of a “qualified medium-duty or heavy-duty zero-emission vehicle” so that it means a motor vehicle that is rated at more than 10,000 pounds gross vehicle weight (rather than 8,500 pounds unloaded gross weight) and powered by electricity that is stored in a battery or produced by a hydrogen fuel cell. The bill also establishes that the MHD Zero-Emission Vehicle Grant Program applies only to vehicles and equipment intended for commercial or industrial use. In addition, in issuing program grants, MEA must give preference to: qualified medium-duty or heavy-duty zero-emission vehicles that are (1) expected to be primarily domiciled and operated in the State and (2) to be owned or operated by an entity engaged in business activity that impacts public health, the environment, or infrastructure in an overburdened or underserved community; and zero-emission heavy equipment property that is expected to be used primarily at locations in the State. “Overburdened community” and “underserved community” have the meanings stated under existing provisions of the Environment Article of the Maryland Code that establish and govern the Commission on Environmental Justice and Sustainable Communities. “Overburdened community” means any census tract for which three or more of specified environmental health indicators are above the seventy-fifth percentile statewide. “Underserved community” means any census tract in which, according to the most recent U.S. Census Bureau Survey (1) at least 25% of the residents qualify as low-income; (2) at least 50% of the residents identify as nonwhite; or (3) at least 15% of the residents have limited English proficiency. Electric Vehicle Recharging Equipment Rebate Program The bill extends through fiscal 2026 the Electric Vehicle Recharging Equipment Rebate Program and raises the annual cap for the total amount of rebates that MEA may issue under the program from $1.8 million to $2.5 million. Additionally, the bill modifies limits on the amount of individual rebates so that MEA may issue a rebate to (1) an individual in an amount equal to the lesser of 50% (rather than 40%) of the costs of acquiring and installing qualified electric vehicle recharging equipment or $700 or (2) a business entity or unit of State or local government in an amount equal to the lesser of 50% (rather than 40%) of the costs of acquiring and installing qualified electric vehicle recharging equipment or $5,000 (rather than $4,000). The bill correspondingly eliminates an increased maximum rebate available to retail service stations that, under current law, is $1,000 higher than the maximum available to other business entities and units of State or local government. The bill authorizes MEA to alter the program, and adopt regulations, to offer additional benefits for the installation of qualified electric vehicle recharging equipment in multifamily housing, planned urban developments, and condominiums in (1) low- to moderate-income communities located in a census tract with an average median income at or below 80% of the State’s average median income or (2) overburdened or underserved communities. The bill makes an existing requirement – that a rebate issued under the program be limited to the acquisition of one recharging system per individual – subject to the authorization for MEA to alter the program.
SB 743 / HB 840 Climate, Labor, and Environmental Equity Act of 2023 (Both Bills) FAILED
DISPOSITION: Both Bills FAILED
This legislation would have required the Maryland Department of the Environment (MDE) to conduct a climate and environmental equity evaluation of a permit application if, after conducting an Environmental Justice (EJ) score review required under current law, MDE determines that issuing an approval for the permit may impact an underserved community or an overburdened community. The bill would have established provisions relating to such an evaluation and established additional requirements for MDE regarding public input. MDE would have been required to adopt regulations and charge a reasonable fee to cover implementation costs associated with the provisions described above. The bill would have also (1) altered existing provisions that require State agencies to review and report on their programs to identify and recommend actions to more fully integrate the consideration of Maryland’s greenhouse gas (GHG) reduction goal and the impacts of climate change and (2) establishes a new annual reporting requirement for the Maryland Department of Labor (MDL).
SB 781 / HB 793 Offshore Wind Energy – State Goals and Procurement (Promoting Offshore Wind Energy Resources Act)
DISPOSITION: SB 781 PASSED
SB 781 requires the Public Service Commission (PSC) to request that PJM Interconnection conduct an analysis of specified offshore wind transmission system expansion options. PSC must issue, or request that PJM issue, competitive solicitations for proposals for related projects. PSC must evaluate the proposals and must ask PJM to assist with the evaluation. PSC may then accept one or more proposals, subject to specified criteria. The Department of General Services (DGS) must issue a procurement and may enter into at least one long-term power purchase agreement (PPA) for up to 5.0 million megawatt-hours annually of offshore wind energy and associated renewable energy credits (RECs) from one or more qualified offshore wind projects. Round 1 and Round 2 offshore wind developers may apply to PSC for an exemption from the requirement to pass along certain federal benefits to ratepayers. Related findings, declarations, and intent of the General Assembly are specified.
The General Assembly finds and declares that:
- the State has a goal of reaching 8,500 megawatts of offshore wind energy capacity by 2031 and anticipates the issuance of sufficient wind energy leases in the central Atlantic region to satisfy that goal.
- offshore wind can provide clean energy at the scale needed to help achieve the State’s economywide net-zero greenhouse gas (GHG) emissions reduction targets established in Chapter 38 of 2022 (the Climate Solutions Now Act); and
- it is in the public interest to upgrade and expand the transmission system to accommodate the buildout of at least 8,500 megawatts of offshore wind energy from qualified offshore wind projects serving the State by 2031.
To meet the goals of the State Renewable Energy Portfolio Standard (RPS) and the goal established under the bill of upgrading and expanding the transmission system to accommodate the buildout of at least 8,500 megawatts of offshore wind capacity, PSC, in consultation with the Maryland Energy Administration (MEA), must request that PJM Interconnection conduct an analysis of transmission system upgrade and expansion options that take into consideration both onshore and offshore infrastructure. PSC must consult with other states served by PJM to evaluate regional transmission cooperation that could help achieve the State’s renewable energy and offshore wind energy goals with greater efficiency.
PSC must also work with PJM to ensure that the requested analysis includes an analysis of certain solutions, including one that uses an open-access collector transmission system to allow for the interconnection of multiple qualified offshore wind projects at a single substation. PSC may also consult with owners of transmission facilities in the State to gather relevant technical information. PSC may enter into any necessary agreements with PJM for transmission planning to initiate the PJM analysis or assist with the solicitation of proposals for offshore wind transmission projects (as discussed further below). PSC must submit a status update on the analysis to the General Assembly by July 1, 2024 but is not required to submit a final update or analysis.
SB 880 / HB 843 Baltimore Regional Water Governance Task Force
DISPOSITION: HB 843 PASSED
This emergency bill establishes the Baltimore Regional Water Governance Task Force to review specified findings, assess alternative governance structures for the Baltimore region’s water and wastewater utility, analyze the fiscal implications and efficiencies of each alternative governance structure, and make a recommendation regarding the governance model best suited for water and wastewater systems in the Baltimore region and the legislation and funding necessary to establish the recommended model. The Mayor of Baltimore City and the Baltimore County Executive must jointly provide staff for the task force. The task force must report its findings and recommendations to the Mayor of Baltimore City, the Baltimore County Executive, the Governor, and the General Assembly by January 30, 2024. In developing its recommendations and report, the task force must consult with the Maryland Department of the Environment (MDE) and the Maryland Environmental Service (MES). The bill terminates June 30, 2024.
SB 876 / HB 794 Baltimore Regional Transit Commission – Establishment
DISPOSITION: HB 794 PASSED
Specifies various administrative responsibilities for the commission, including that it establishes operating policies and procedures, meet at least quarterly, accept public comments, include specified topics in the quarterly agenda at least once each year, and keep minutes of its meetings. The commission must also:
- provide input and engage in advocacy for the Baltimore region public transit systems maintained by MTA.
- request and review information from the Annual Attainment Report and MTA concerning the attainment of its goals, as specified, evaluate other performance measures, and issue related recommendations.
- review and comment on service change reports and major service change proposals on a quarterly basis.
- review and comment on MTA’s annual operating and capital budget request for the Baltimore region, including bus, light rail, metro, commuter bus, MARC service, and paratransit as part of the development of the draft and final Consolidated Transportation Program.
- review and approve any update to the Central Maryland Regional Transit Plan.
- review and comment on the Capital Needs Inventory Report; and
- review local transit plans and services in the Baltimore region to ensure coordination between the local transit services and MTA. In performing its duties, the commission must endeavor to ensure that MTA’s plans, budgets, decisions, policies, goals, priorities, operations, and services address the public transit needs of residents and businesses in the Baltimore region.
SB 936 / HB635 Water Pollution Control – Discharges from Construction Sites – Limits on Liability
DISPOSITION: Both Bills FAILED
This bill would have limited the liability for civil and administrative penalties for a person who holds an individual discharge permit for stormwater associated with construction activity or was covered under a general discharge permit for stormwater associated with construction activity. For such a person, the bill would also have decreased the maximum civil or administrative penalty that may be imposed for discharges from a construction site.
GENERAL BUSINESS – SUPPORT
SB 56 / HB 256 Courts – Prohibited Indemnity and Defense Liability Agreements
DISPOSITION: Both Bills FAILED
This legislation would have amended § 5-401 of Courts and Judicial Proceedings to render any clause in a contract that requires a design professional to pay the defense costs of another entity, unless they have been determined to be the proximate cause, void and unenforceable. See introduction for more details on this bill.
GENERAL BUSINESS – MONITOR
SB 19 / HB 9 Equity in Transportation Sector – Guidelines and Analyses
DISPOSITION: PASSED
(See SB 19 / HB 9 @ TRANSPORTATION – MONITOR)
SB 24 / HB51 Department of Transportation – Grant Anticipation Revenue Vehicle Bonds and Grant Anticipation Notes (State and Federal Transportation Funding Act)
DISPOSITION: SB 24 PASSED
(See SB 24 / HB51 @ TRANSPORTATION – MONITOR)
SB 38 Minority Business Enterprise Procurement Contract Financing
DISPOSITION: FAILED
SB 38 would have created the Minority Business Enterprise Procurement Contract Financing Program and Fund (MBEPCFF) in the Maryland Small Business Development Financing Authority (MSBDFA). Under this proposed legislation, 10% of any proceeds received by the State from sports and event wagering would accrue to the fund. The program would provide grants and loans for working capital to qualified minority business enterprises (MBEs) to facilitate their ability to enter and complete performance under State procurement contracts.
SB 58 /HB 209 Corporations and Associations – Revisions
DISPOSITION: HB 209 PASSED
The bill prohibits issuing a stock certificate, a certificate representing scrip, or an LLC membership certificate in bearer form. “Bearer form” means that the stock, scrip, or LLC membership certificate is not registered “on the books” of the corporation or LLC, and it is payable to the person who possesses (or “bears”) the certificate as proof of rightful ownership. Under the bill, for scrip issued without a certificate, on request by a scrip holder, the corporation must deliver to the scrip holder (without charge), a statement in writing or by electronic transmission of the information required to be on a stock certificate, as specified. Remote Participation at Stockholders’ Meetings: Under current law and if specified requirements are met, stockholders and proxy holders who are not physically present at a stockholders’ meeting may, by remote communication, be considered present in person and may vote at the stockholders’ meeting whether the meeting is held at a designated place or solely by remote communication. The bill clarifies that such a meeting may also be held partially by remote communication. Conversions of a Close Corporation Under current law, a consolidation, merger, share exchange, or transfer of assets of a close corporation must be made in accordance with the provisions of Title 3 of the Corporations and Associations Article; however, approval of a proposed consolidation or merger, a transfer of assets, or an acquisition of stock in a share exchange requires the affirmative vote of every stockholder of the corporation. The bill specifies that these provisions also apply to a conversion of a close corporation.
SB 109 / HB 383 Interagency Commission on School Construction – Systemic Renovation Projects – Eligibility
DISPOSITION: Both Bills FAILED
This legislation would have required the Interagency Commission on School Construction (IAC) to consider a systemic renovation project, in fiscal 2024 through 2026, as eligible for funding under the Built to Learn Act if the construction cost of the project is at least $100,000.
SB 128 Economic Development – Emergency Relief Program – Established
DISPOSITION: FAILED (Withdrawn by Sponsor)
This bill would have established an Emergency Relief Program in the Department of Commerce to assist certain small businesses in the State to recover from economic hardships sustained from multiple emergencies.
SB 250 / HB 147 Environment – Climate Crisis Plan – Requirement
DISPOSITION: Both Bills FAILED
(See SB 250 / HB 147 @ ENVIRONMENT – MONITOR)
SB 412 /HB 74 Transportation – Maryland Rail Authority – Establishment (Maryland Rail Investment Act of 2023)
DISPOSITION: Both Bills FAILED
(See SB 412 /HB 74 @ TRANSPORTATION – MONITOR)
SB 425 / HB 674 Maryland Historic Trust – Historic Preservation Loan Fund – Qualified Cooperating Nonprofit Organizations – Transfers
DISPOSITION: PASSED
This bill alters the uses of the Historic Preservation Loan Fund (Loan Fund) of the Maryland Historical Trust (MHT) by authorizing the fund to be used to make a transfer to a qualified cooperating nonprofit organization, as specified. The bill takes effect July 1, 2023.
SB 510 / HB816 Procurement – Minority Business Enterprises and Veteran–Owned Small Business Enterprises – Participation Goal Scorecard
DISPOSITION: PASSED
This bill requires the Governor’s Office of Small, Minority, and Women Business Affairs (GOSBA) to develop a scorecard to evaluate State agencies on their performance toward meeting the State’s minority business enterprise (MBE) participation goal and the veteran-owned small business enterprise (VSBE) goal. The scorecard must include a grading scale developed by GOSBA as a weighted system that includes each agency’s contribution toward meeting each of the two participation goals. GOSBA must publish each agency’s grades on its website and, within 30 days, submit the information to the General Assembly.
SB 548 / HB 550 Maryland Energy Administration – Energy Programs – Modifications
DISPOSITION: HB 550 PASSED
(see SB 548 / HB 550 @ ENVIRONMENT – MONITOR)
SB 578 / HB 646 State Procurement – Minority Business Enterprises and Small Business Enterprises – Procurement Forecast, Employee Performance, and Outreach (Small Business Protection Act of Maryland)
DISPOSITION: FAILED
This bill would have not allowed procurement officers and other procurement-related employees to receive merit increases or promotions in any fiscal year in which their agency does not meet the State’s minority business enterprise (MBE) goal and does not show improvement over the prior year’s performance. If there was no improvement in meeting the goal over three consecutive fiscal years, the agency would be required to either terminate the employees’ employment or reassign them to a position that does not involve procurement. The bill would also require State agencies to publish, by May 1 each year, a forecast of anticipated procurements in the coming year and the anticipated MBE participation goal for each procurement. The Governor’s Office of Small, Minority, and Business Affairs (GOSBA) would be required to conduct specified outreach and develop a program to (1) identify and increase awareness of procurement opportunities for small businesses and (2) assist small businesses in participating in State procurement.
SB 660 / HB 707 Office of the Comptroller – Taxpayer Advocate Division (Both Bills)
DISPOSITION: PASSED
The Taxpayer Advocate will: • Assist taxpayers in resolving the most complex problems with the Comptroller’s Office, • Identify systemic problems experienced by taxpayers and produce regular reports explaining these problems and offering ideas for solutions, • Implement and oversee technology to survey taxpayers each year to ensure quality of service provided by the Comptroller’s Office, and • Represent taxpayers’ interests in planning meetings to formulate policies and procedures of the Comptroller’s Office.
SB 835 / HB719 Public Schools – Heating, Ventilation, and Air-Conditioning Systems and Carbon Dioxide Monitors – Monitoring and Reporting Requirements
DISPOSITION: FAILED
This bill would have required the Interagency Commission on School Construction (IAC) to complete a statewide heating, ventilation, and air-conditioning (HVAC) system assessment of all public-school facilities, as specified, by July 1, 2025. Following the assessment, IAC must develop uniform HVAC standards and incorporate them into existing facility sufficiency standards. Local school systems must develop and implement plans for corrective actions in response to the assessment. Local school systems would also require every public-school classroom to be equipped with a carbon dioxide monitor, as specified.
SB 908 State Procurement – Preferences – Historically, Underutilized Business Zone Businesses
DISPOSITION: FAILED
This bill would have required each State agency to structure its procurement procedures to try to achieve a goal of at least 10% of the total dollar value of its procurement contracts being made directly or indirectly with historically underutilized business zone (HUBzone) businesses. The bill also would have established penalties for persons who violate specified provisions.
SB 920 State Finance and Procurement – Retention Proceeds
DISPOSITION: FAILED
This bill would have required that undisputed retention proceeds on State construction contracts that are retained by a state agency, or a contractor be paid within 90 days after the substantial completion of a project, as defined by the applicable contract or subcontract.
SB 952 Historic Revitalization Tax Credit – Credit Amounts and Funding – Alterations
DISPOSITION: FAILED
This bill would have made various alterations to the Maryland Historic Revitalization Tax Credit Program. Specifically, the bill (1) increases existing mandated appropriations to the Historic Revitalization Tax Credit Reserve Fund and Small Commercial Project Trust Account by a total of $8 million annually in fiscal 2025 through 2031; (2) increases the value of existing enhanced credits for specified commercial rehabilitations; and (3) increases the maximum value of the tax credit for all eligible project types.
SB 151 / HB 12 Equitable and Inclusive Transit-Oriented Development Enhancement Act
DISPOSITION: HB 12 PASSED
(See SB 151 / HB 12 @ TRANSPORTATION – MONITOR)
HB 39 Corporate Income Tax Returns of Publicly Traded Corporations – Reporting Requirement
DISPOSITION: FAILED
Prior to amendment, the first reader version of this bill would have required all publicly traded companies to report their effective tax rates. The amended, third reader version of this bill, would have required the Comptroller to report all publicly traded companies that pay no Maryland corporate income tax.
HB 46 Corporate Income Tax – Combined Reporting
DISPOSITION: FAILED
This bill would have required affiliated corporations to compute Maryland taxable income using combined reporting and would have created a subtraction modification against the State income tax for certain deferred tax liabilities and assets.
HB 67 Sales and Use Tax – Alteration of Rate Due to Inflation
DISPOSITION: FAILED
This emergency bill would have altered the State sales and use tax rate for years in which a specified change to the Consumer Price Index (CPI) occurs.
HB 1166 Omnibus Procurement Reform Act (“OPRA”) of 2023
DISPOSITION: FAILED (Withdrawn by Sponsor)
This legislation would have made the purposes and policies of State procurement law apply to county procurements that include any State funds, and it would give the Maryland State Board of Contract Appeals (MSBCA) authority to hear and decide appeals related to those local procurements. It would have also made various changes to State procurement policies and procedures related to the cancellation of solicitations, the timelines for MSBCA rulings, disclosure of information regarding awarded contracts, and costs of contract claims and bid protests that may be awarded to successful appellants.
WORKPLACE HEALTH – MONITOR
SB 8 / HB 121 Mental Health – Treatment Plans for Individuals in Facilities and Residence Grievance System
DISPOSITION: PASSED
This bill codifies existing regulatory requirements, including time periods for, and who must participate in, the development, review, and reassessment of a patient’s plan of treatment. The bill also establishes new requirements relating to a patient’s plan of treatment, including an opportunity to involve family members or other individuals and a process to request that a health care facility review and reassess the plan. The Maryland Department of Health (MDH) must adopt regulations to establish a process for appeals and reconsideration of reviews and reassessments for patients admitted at State facilities and, beginning in 2024, submit a specified report by January 1 each year.
SB 59 / HB 107 Maryland Health Benefit Exchange – Small Employers – Special Enrollment Period
and Marketing
DISPOSITION: FAILED
This bill would have required the Maryland Health Benefit Exchange (MHBE) to open a special enrollment period (SEP) in the individual market for individuals who become employed by a small employer that does not offer employer-sponsored health benefit plans (and their dependents). The bill would have also provided increases in the annual mandated appropriation for MHBE from $32.0 million to $37.0 million in fiscal 2025 through 2029. The additional $5.0 million annually would have been used for marketing and outreach to, and programs for, “small employers” (both small businesses and nonprofit employers) and their employees to facilitate enrollment in health insurance coverage.
SB 108 Health Insurance – Annual Behavioral Health Wellness Visits – Coverage and Reimbursement
DISPOSITION: FAILED
This bill would have required certain health insurers, nonprofit health service plans, and health maintenance organizations (collectively known as carriers) to provide coverage for an annual “behavioral health wellness visit.” Reimbursement for the visit must be provided on the same basis and at the same rate as an annual wellness visit for somatic health.
SB 555 / HB 549 Fair Wage Act of 2023
DISPOSITION: PASSED
This Administration bill accelerates the increase in the State minimum wage rate for all employers to $15.00 per hour beginning January 1, 2024. The bill was amended to eliminate a provision in the initial version of the bill that required indexing of the minimum wage to the Consumer Price Index (CPI). The bill also repeals specified provider rate increases in fiscal 2025 and 2026, but the fiscal 2024 budget as passed by the General Assembly includes $206.7 million for such purposes, contingent on legislation accelerating the implementation of the State minimum wage law. The bill takes effect July 1, 2023.
SB 670 / HB 724 Unemployment Insurance Modernization Act of 2023
DISPOSITION: FAILED
This bill would have expanded the overall size of the State’s unemployment insurance (UI) program by indexing employee benefits and taxable wages. Under the bill, employee benefits and employer taxable wages are based on average wages, which vary year-to-year. The bill would have also extended the employer earned rating period from three years to five years and establishes collateral requirements for “investment funds,” as defined, subject to specified enforcement mechanisms.
SB 828 / HB 988 Family and Medical Leave Insurance Program – Modifications
DISPOSITION: PASSED
In addition to various minor, technical, and conforming changes to the FAMLI Program and its administrative processes, the bill’s significant changes include:
- the program’s start dates for contributions and benefit payments are delayed by one year, to October 1, 2024, and January 1, 2026, respectively.
- the Secretary of Labor must set the initial total rate of contribution by October 1, 2023, which applies from October 1,2024, through June 30, 2026, and may not exceed 1.2% of an employee’s wages (as under current law, the rate applies to all wages up to and including the Social Security wage base).
- the employer/employee contribution split is set at 50%/50%, rather than being determined by the Secretary of Labor after study every two years; an individual is no longer required to exhaust all forms of employer-provided leave that is not required under law before receiving FAMLI benefits, although an employer can require that FAMLI benefits be coordinated with other benefits or leave, as specified;
- an individual and an employer may agree to use paid leave and FAMLI benefits to replace up to 100% of the individual’s average weekly wage during the FAMLI leave period.
- MDH is required to reimburse certain service providers for some or all of the employer share of FAMLI contributions on at least a quarterly basis, as detailed further below (previously this was similar intent language); and the Secretary of Labor must conduct a cost analysis every year, instead of every two years, to determine the appropriate total rate of contribution to the FAMLI Fund for the following 12-month period beginning July 1, and report the information as specified.
Other changes include increasing specificity in certain reports, explicitly defining wages for purposes of the program, altering the required process for sending checks for benefit payments to align with standard State practices and altering claim notification requirements.
HB 199 Procurement – Intergovernmental Cooperative Purchasing Agreements – Required Notice and Reporting
DISPOSITION: FAILED
Requiring certain health insurers, nonprofit health service plans, and health maintenance organizations to provide coverage and certain reimbursement for annual behavioral health wellness visits.
HB 832 Labor and Employment – Equal Pay for Equal Work – Wage Range Transparency
DISPOSITION: FAILED
This bill expands the applicability, requirements, and penalties of the State’s Equal Pay for Equal Work Law. Generally, an employer (or employment agency, if applicable) must disclose specified wage, benefit, and other compensation information (1) in public or internal job postings; (2) to applicants to which the job posting was not made available; and (3) to employees being promoted or transferred. The proactive disclosures have additional specified requirements and replace the existing requirement to disclose wage history to an applicant on request. The wage range must be set by the employer in good faith. Existing retaliation provisions are updated to incorporate employee promotions. Employers must keep records of compliance with the updated requirements. Existing enforcement provisions, including civil fines, are expanded, and enhanced. An affected employee or applicant may bring an action for injunctive relief and to recover the greater of actual damages or $10,000, plus attorney’s fees.
MECHANICAL & ELECTRICAL – MONITOR
SB 337 / HB 61 Utility Contractors – Employment and Licensure – Requirements and Application
DISPOSITION: FAILED
This bill would have expanded the applicability of specified wage and labor requirements for projects undertaken by an investor-owned electric company or gas and electric company to include any project that involves the construction, reconstruction, installation, demolition, restoration, or alteration of any electric infrastructure of the company, and any related traffic control activities. Under current law, such requirements apply only to a project funded by federal funds, and only to the portion of a project supported by the federal funds. The bill also would have altered project requirements to allow contractors to participate in federal apprenticeship programs and to require contractor compliance with local wage and hour laws.
SB 614 / HB 769 Public Safety – Fire Dampers, Smoke Dampers, Combination Fire Smoke Dampers, and
Smoke Control Systems
DISPOSITION: FAILED
This bill would have required each installed fire damper, smoke damper, combination fire smoke damper, or smoke control system (1) meet specified engineering practices and applicable standards and (2) be approved by the State Fire Marshal. Owners of buildings equipped with such dampers and systems would have been required to have the dampers inspected and tested, as specified, and must maintain inspection and testing reports. The State Fire Prevention Commission (SFPC) would have been required to adopt regulations governing the inspection and testing, as specified. The bill would also authorize the State Fire Marshal to enforce the bill’s provisions.