Maryland 2023 Regular Session

Maryland House Bill HB1226 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2
3	3	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4	[Brackets] indicate matter deleted from existing law.
5	5	hb1226
6	6
7	7	HOUSE BILL 1226
8	8	C8 3lr2646
9	9
10	10	By: Delegate Healey
11	11	Introduced and read first time: February 10, 2023
12	12	Assigned to: Appropriations
13	13
14	14	A BILL ENTITLED
15	15
16	16	AN ACT concerning 1
17	17
18	18	Economic Development – Nonprofit Sustainability Fund – Establishment 2
19	19
20	20	FOR the purpose of establishing the Nonprofit Sustainability Fund in the Department of 3
21	21	Commerce to provide general operating support to nonprofit organizations in the 4
22	22	State; establishing the Nonprofit Sustainability Fund Evaluation Committee to 5
23	23	evaluate applications from certain nonprofit organizations in the State for grants 6
24	24	from the Fund; establishing criteria for eligibility for a certain grant from the Fund; 7
25	25	and generally relating to the Department of Commerce and the Nonprofit 8
26	26	Sustainability Fund. 9
27	27
28	28	BY repealing and reenacting, without amendments, 10
29	29	Article – Economic Development 11
30	30	Section 1–101(a), (c), and (e) 12
31	31	Annotated Code of Maryland 13
32	32	(2018 Replacement Volume and 2022 Supplement) 14
33	33
34	34	BY repealing and reenacting, with amendments, 15
35	35	Article – Economic Development 16
36	36	Section 5–102 17
37	37	Annotated Code of Maryland 18
38	38	(2018 Replacement Volume and 2022 Supplement) 19
39	39
40	40	BY adding to 20
41	41	Article – Economic Development 21
42	42	Section 5–2301 through 5–2308 to be under the new subtitle “Subtitle 23. Nonprofit 22
43	43	Sustainability Fund” 23
44	44	Annotated Code of Maryland 24
45	45	(2018 Replacement Volume and 2022 Supplement) 25
46	46
47	47	BY repealing and reenacting, without amendments, 26
48	48	Article – State Finance and Procurement 27 2 HOUSE BILL 1226
49	49
50	50
51	51	Section 6–226(a)(2)(i) 1
52	52	Annotated Code of Maryland 2
53	53	(2021 Replacement Volume and 2022 Supplement) 3
54	54
55	55	BY repealing and reenacting, with amendments, 4
56	56	Article – State Finance and Procurement 5
57	57	Section 6–226(a)(2)(ii)170. and 171. 6
58	58	Annotated Code of Maryland 7
59	59	(2021 Replacement Volume and 2022 Supplement) 8
60	60
61	61	BY adding to 9
62	62	Article – State Finance and Procurement 10
63	63	Section 6–226(a)(2)(ii)172. 11
64	64	Annotated Code of Maryland 12
65	65	(2021 Replacement Volume and 2022 Supplement) 13
66	66
67	67	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARY LAND, 14
68	68	That the Laws of Maryland read as follows: 15
69	69
70	70	Article – Economic Development 16
71	71
72	72	1–101. 17
73	73
74	74	(a) In this division the following words have the meanings indicated. 18
75	75
76	76	(c) “Department” means the Department of Commerce. 19
77	77
78	78	(e) “Secretary” means the Secretary of Commerce. 20
79	79
80	80	5–102. 21
81	81
82	82	The Department shall administer the State’s economic development and financial 22
83	83	assistance programs and funds including: 23
84	84
85	85	(1) the BRAC Revitalization and Incentive Zone Program, under Subtitle 24
86	86	13 of this title; 25
87	87
88	88	(2) the Enterprise Fund, under Subtitle 6 of this title; 26
89	89
90	90	(3) the Enterprise Zones Program, under Subtitle 7 of this title; 27
91	91
92	92	(4) the Make Office Vacancies Extinct Program, under Subtitle 15 of this 28
93	93	title; 29
94	94
95	95	(5) the Maryland Economic Adjustment Fund, under Subtitle 2 of this title; 30
96	96	HOUSE BILL 1226 3
97	97
98	98
99	99	(6) the Maryland Economic Development Assistance Authority and Fund, 1
100	100	under Subtitle 3 of this title; 2
101	101
102	102	(7) the Maryland Industrial Development Financing Authority, under 3
103	103	Subtitle 4 of this title; 4
104	104
105	105	(8) the Maryland Small Business Development Financing Authority, under 5
106	106	Subtitle 5 of this title; 6
107	107
108	108	(9) THE NONPROFIT SUSTAINABILITY FUND UNDER SUBTITLE 23 OF 7
109	109	THIS TITLE; 8
110	110
111	111	(10) the Appalachian Regional Development Program, under Title 13, 9
112	112	Subtitle 1 of this article; 10
113	113
114	114	[(10)] (11) jointly with the Department of Housing and Community 11
115	115	Development, the Community Development Block Grant for Economic Development; 12
116	116
117	117	[(11)] (12) the Regional Institution Strategic Enterprise Zone Program 13
118	118	under Subtitle 14 of this title; and 14
119	119
120	120	[(12)] (13) any other programs or funds designated by statute, the 15
121	121	Governor, or the Secretary. 16
122	122
123	123	SUBTITLE 23. NONPROFIT SUSTAINABILITY FUND. 17
124	124
125	125	5–2301. 18
126	126
127	127	(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 19
128	128	INDICATED. 20
129	129
130	130	(B) “EVALUATION COMMITTEE” MEANS THE NONPROFIT SUSTAINABILITY 21
131	131	FUND EVALUATION COMMITTEE. 22
132	132
133	133	(C) “FUND” MEANS THE NONPROFIT SUSTAINABILITY FUND. 23
134	134
135	135	(D) “NONPROFIT ORGANIZATIO N” MEANS A N ORGANIZATION THAT IS 24
136	136	EXEMPT FROM TAXATION UNDER § 501(C)(3), (C)(4), OR (C)(6) OF THE INTERNAL 25
137	137	REVENUE CODE. 26
138	138
139	139	(E) “TOTAL REVENUE ” MEANS THE AMOUNT OF REVENUE THAT A 27
140	140	NONPROFIT ORGANIZATI ON MOST RECENTLY REPORTED TO THE INTERNAL 28
141	141	REVENUE SERVICE ON PART 1 OF THE FEDERAL FORM 990 OR FORM 990EZ. 29
142	142
143	143	5–2302. 30 4 HOUSE BILL 1226
144	144
145	145
146	146
147	147	THE GENERAL ASSEMBLY OF MARYLAND FINDS THAT : 1
148	148
149	149	(1) NONPROFIT ORGANIZATIO NS ARE ENGINES OF EC ONOMIC 2
150	150	OPPORTUNITY IN THE STATE; 3
151	151
152	152	(2) NONPROFIT ORGANIZATIO NS PROVIDE SERVICES AND BENEFITS 4
153	153	TO COMMUNITIES , FAMILIES, AND INDIVIDUAL S IN THE STATE THAT ARE IN THE 5
154	154	PUBLIC INTEREST ; 6
155	155
156	156	(3) NONPROFIT ORGANIZATIO NS ARE OFTEN ABLE TO PROVIDE 7
157	157	BENEFITS AND SERVICE S TO COMMUNITIES , FAMILIES, AND INDIVIDUALS WITH 8
158	158	GREATER EFFICIENCY , EFFECTIVENESS , AND FLEXIBILITY THAN GOVERNMENT AL 9
159	159	AGENCIES AND PROGRAMS ; 10
160	160
161	161	(4) SMALL AND MID –SIZED NONPROFIT ORGA NIZATIONS ARE MORE 11
162	162	LIKELY TO: 12
163	163
164	164	(I) BE LED BY MEMBERS OF HI STORICALLY DISADVANT AGED 13
165	165	MINORITIES; AND 14
166	166
167	167	(II) SERVE COMMUNITIES AN D POPULATIONS THAT H AVE BEEN 15
168	168	HISTORICALLY DISADVA NTAGED; 16
169	169
170	170	(5) SMALL AND MID –SIZED NONPROFIT ORGA NIZATIONS REQUIRE 17
171	171	ADEQUATE GENERAL OPE RATING SUPPORT TO BE ABLE TO PROVIDE BENEFITS AND 18
172	172	SERVICES TO COMMUNITIES , FAMILIES, AND INDIVIDUALS IN A SUSTAINABLE 19
173	173	MANNER; AND 20
174	174
175	175	(6) IT IS IN THE STATE’S INTEREST TO PROVID E GENERAL OPERATING 21
176	176	SUPPORT TO SMALL AND MID–SIZED NONPROFIT ORGANIZATIONS TO PROMOTE THE 22
177	177	SUSTAINABILITY OF TH E NONPROFIT ORGANIZA TIONS. 23
178	178
179	179	5–2303. 24
180	180
181	181	(A) THERE IS A NONPROFIT SUSTAINABILITY FUND EVALUATION 25
182	182	COMMITTEE. 26
183	183
184	184	(B) THE EVALUATION COMMITTEE CONSISTS OF THE FOL LOWING 27
185	185	MEMBERS: 28
186	186
187	187	(1) THE SECRETARY, OR THE SECRETARY’S DESIGNEE; 29
188	188	HOUSE BILL 1226 5
189	189
190	190
191	191	(2) THE PRESIDENT AND CHIEF EXECUTIVE OFFICER OF MARYLAND 1
192	192	NONPROFITS, OR THE PRESIDENT AND CHIEF EXECUTIVE OFFICER’S DESIGNEE; 2
193	193	AND 3
194	194
195	195	(3) THE FOLLOWING MEMBER S, APPOINTED BY THE GOVERNOR: 4
196	196
197	197	(I) TWO MEMBERS WHO ARE EXPERIENCED NONPROFI T 5
198	198	ORGANIZATION MANAGERS OR CONSULTA NTS; 6
199	199
200	200	(II) TWO MEMBERS WHO ARE CURRENT OR PAST BOAR D 7
201	201	MEMBERS OF A NONPROF IT ORGANIZATION ; 8
202	202
203	203	(III) TWO MEMBERS WHO ARE CURRENT OR PAST EMPL OYEES OF 9
204	204	A NONPROFIT ORGANIZA TION; 10
205	205
206	206	(IV) THREE MEMBERS WHO AR E CURRENT OR PAST RE CIPIENTS 11
207	207	OR CUSTOMERS OF THE SERVICES OF A NONPROFIT ORGANIZATION ; AND 12
208	208
209	209	(V) TWO MEMBERS WHO ARE EXPERIENCED ECONOMIC 13
210	210	DEVELOPMENT PROFESSI ONALS. 14
211	211
212	212	(C) (1) THE TERM OF A MEMBER IS 4 YEARS. 15
213	213
214	214	(2) THE TERMS OF MEMBERS ARE STAGGERED AS REQ UIRED BY THE 16
215	215	TERMS PROVIDED FOR M EMBERS OF THE EVALUATION COMMITTEE ON OCTOBER 1, 17
216	216	2023. 18
217	217
218	218	(3) AT THE END OF A TERM , A MEMBER CONTINUES T O SERVE UNTIL 19
219	219	A SUCCESSOR IS APPOI NTED AND QUALIFIES . 20
220	220
221	221	(4) A MEMBER WHO IS APPOIN TED AFTER A TERM HAS BEGUN SERVES 21
222	222	ONLY FOR THE REST OF THE TERM AND UNTIL A SUCCESSOR IS APPOINT ED AND 22
223	223	QUALIFIES. 23
224	224
225	225	(D) THE GOVERNOR SHALL APPOIN T A CHAIR OF THE EVALUATION 24
226	226	COMMITTEE FROM AMONG ITS MEMBERS. 25
227	227
228	228	(E) A MAJORITY O F MEMBERS OF THE EVALUATION COMMITTEE IS A 26
229	229	QUORUM. 27
230	230
231	231	(F) A MEMBER OF THE EVALUATION COMMITTEE: 28
232	232	6 HOUSE BILL 1226
233	233
234	234
235	235	(1) MAY NOT RECEIVE COMP ENSATION AS A MEMBER OF THE 1
236	236	EVALUATION COMMITTEE; BUT 2
237	237
238	238	(2) IS ENTITLED TO REIMB URSEMENT FOR EXPENSE S UNDER THE 3
239	239	STANDARD STATE TRAVEL REGULATIONS, AS PROVIDED IN THE STATE BUDGET . 4
240	240
241	241	(G) (1) THE EVALUATION COMMITTEE SHALL MEET AS NECESSARY TO 5
242	242	PERFORM ITS DUTIES , BUT AT LEAST TWO TIM ES EACH YEAR. 6
243	243
244	244	(2) A MEETING OF THE EVALUATION COMMITTEE MAY BE IN PERSON 7
245	245	OR VIRTUAL AT THE DISCRETION OF THE CHAIR. 8
246	246
247	247	(H) THE EVALUATION COMMITTEE SHALL : 9
248	248
249	249	(1) EVALUATE NONPROFIT O RGANIZATIONS THAT AP PLY FOR A 10
250	250	GRANT UNDER THIS SUB TITLE BASED ON THE C RITERIA LISTED IN §§ 5–2305 AND 11
251	251	5–2306 OF THIS SUBTITLE ; AND 12
252	252
253	253	(2) RECOMMEND TO THE DEPARTMENT WHICH APPL ICATIONS 13
254	254	SHOULD RECEIVE A GRA NT FROM THE FUND. 14
255	255
256	256	(I) THE GOVERNOR MAY REMOVE A N APPOINTED MEMBER F OR CAUSE. 15
257	257
258	258	5–2304. 16
259	259
260	260	(A) THERE IS A NONPROFIT SUSTAINABILITY FUND. 17
261	261
262	262	(B) THE PURPOSE OF THE FUND IS TO PROVIDE GE NERAL OPERATING 18
263	263	SUPPORT TO NONPROFIT ORGANIZ ATIONS IN THE STATE. 19
264	264
265	265	(C) THE DEPARTMENT SHALL ADMI NISTER THE FUND. 20
266	266
267	267	(D) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 21
268	268	SUBJECT TO REVERSION UNDER § 7–302 OF THE STATE FINANCE AND 22
269	269	PROCUREMENT ARTICLE. 23
270	270
271	271	(2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , 24
272	272	AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 25
273	273
274	274	(E) THE FUND CONSISTS OF : 26
275	275
276	276	(1) MONEY APPROPRIATED I N THE STATE BUDGET TO THE FUND; 27
277	277	HOUSE BILL 1226 7
278	278
279	279
280	280	(2) INTEREST EARNINGS FR OM THE FUND; AND 1
281	281
282	282	(3) ANY OTHER MONEY FROM ANY OTHER SOUR CE ACCEPTED FOR 2
283	283	THE BENEFIT OF THE FUND. 3
284	284
285	285	(F) (1) THE FUND MAY BE USED ONLY FOR: 4
286	286
287	287	(I) ISSUING GRANTS TO EL IGIBLE NONPROFIT ORG ANIZATIONS 5
288	288	IN ACCORDANCE WITH §§ 5–2305 AND 5–2306 OF THIS SUBTITLE ; 6
289	289
290	290	(II) REASONABLE ADMINISTR ATIVE EXPENSES INCUR RED BY 7
291	291	THE DEPARTMENT AND THE EVALUATION COMMITTEE; AND 8
292	292
293	293	(III) REASONABLE EXPENSES OF INTERMEDIARY 9
294	294	ORGANIZATIONS UNDER CONTRACT TO THE DEPARTMENT FOR PURPOS ES OF 10
295	295	MANAGING GRANTS UNDE R THIS SUBTITLE. 11
296	296
297	297	(2) FOR EACH FISCAL YEAR , NOT MORE THAN : 12
298	298
299	299	(I) 2% OF THE MONEY APPROPRIATED T O THE FUND MAY BE 13
300	300	USED FOR THE PURPOSE S LISTED IN PARAGRAP H (1)(II) OF THIS SUBSECTION ; AND 14
301	301
302	302	(II) 5% OF THE MONEY APPROPR IATED TO THE FUND MAY BE 15
303	303	USED FOR THE PURPOSE S LISTED IN PARAGRAP H (1)(III) OF THIS SUBSECTION . 16
304	304
305	305	(G) FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER , THE 17
306	306	GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIA TION OF 18
307	307	$100,000,000 TO THE FUND. 19
308	308
309	309	(H) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND 20
310	310	IN THE SAME MANNER A S OTHER STATE MONEY MA Y BE INVESTED. 21
311	311
312	312	(2) ANY INTEREST EARNINGS OF THE FUND SHALL BE CREDITE D TO 22
313	313	THE FUND. 23
314	314
315	315	(I) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN ACCORDANCE 24
316	316	WITH THE STATE BUDGET . 25
317	317
318	318	5–2305. 26
319	319
320	320	(A) A NONPROFIT ORGANIZATI ON IS ELIGIBLE FOR A GRANT UNDER THIS 27
321	321	SUBTITLE IF THE NONPROFIT ORG ANIZATION: 28
322	322	8 HOUSE BILL 1226
323	323
324	324
325	325	(1) IS IN GOOD STANDING WITH THE STATE DEPARTMENT OF 1
326	326	ASSESSMENTS AND TAXATION; 2
327	327
328	328	(2) IS PHYSICALLY LOCATE D IN THE STATE; AND 3
329	329
330	330	(3) HAD TOTAL REVENUE OF AT LEAST $50,000 BUT NOT MORE THAN 4
331	331	$10,000,000 IN THE THIRD CALENDA R YEAR BEFORE THE NO NPROFIT 5
332	332	ORGANIZATION APPLIES FOR A GRANT UNDER TH IS SUBTITLE. 6
333	333
334	334	(B) A NONPROFIT ORGANIZATI ON IS NOT ELIGIBLE F OR A GRANT UNDER 7
335	335	THIS SUBTITLE IF THE NONPROFIT ORGANI ZATION: 8
336	336
337	337	(1) OPERATES PRINCIPALLY AS: 9
338	338
339	339	(I) A HOSPITAL; 10
340	340
341	341	(II) A PRIMARY OR SECONDA RY SCHOOL; 11
342	342
343	343	(III) AN INSTITUTION OF HI GHER EDUCATION ; 12
344	344
345	345	(IV) A PLACE OF WORSHIP ; OR 13
346	346
347	347	(V) A CREDIT UNION; OR 14
348	348
349	349	(2) HAS RECEIVED MORE THAN FIVE GRANTS FROM THE FUND. 15
350	350
351	351	(C) A NONPROFIT ORGANIZATION MAY BE AWARDED ONE GRANT FR OM THE 16
352	352	FUND EACH YEAR , REGARDLESS OF THE NU MBER OF LOCATIO NS THE NONPROFIT 17
353	353	ORGANIZATION OPERATES. 18
354	354
355	355	(D) (1) THE EVALUATION COMMITTEE SHALL DETER MINE WHETHER A 19
356	356	NONPROFIT ORGANIZATI ON MEETS THE ELIGIBILIT Y REQUIREMENTS OF THIS 20
357	357	SECTION. 21
358	358
359	359	(2) A DECISION MADE IN ACC ORDANCE WITH PARAGRAPH (1) OF THIS 22
360	360	SUBSECTION IS FINAL AND NOT SUB JECT TO APPEAL . 23
361	361
362	362	5–2306. 24
363	363
364	364	(A) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , A 25
365	365	NONPROFIT ORGANIZATI ON MAY USE GRANT FUNDS FOR ANY LEGAL PURPOS E. 26
366	366	HOUSE BILL 1226 9
367	367
368	368
369	369	(2) A NONPROFIT ORGANIZATI ON MAY NOT USE GRANT FUNDS FROM 1
370	370	THE FUND FOR SECTARIAN RELIGI OUS PURPOSES . 2
371	371
372	372	(B) (1) THE EVALUATION COMMITTEE SHALL CONSIDER EACH TIMELY 3
373	373	AND COMPLETE APPLICA TION. 4
374	374
375	375	(2) EACH APPLICATION SHALL BE DETERMINED TO BE : 5
376	376
377	377	(I) HIGH–PRIORITY; 6
378	378
379	379	(II) REGULAR–PRIORITY; OR 7
380	380
381	381	(III) NOT ELIGIBLE. 8
382	382
383	383	(C) THE EVALUATION COMMITTEE SHALL DESIG NATE THE FOLLOWING 9
384	384	TYPES OF NONPROFIT O RGANIZATIONS TO BE H IGH–PRIORITY: 10
385	385
386	386	(1) HUMAN SERVICES OR GANIZATIONS, INCLUDING: 11
387	387
388	388	(I) COMMUNITY HEALTH SER VICES, INCLUDING MEDICAL AN D 12
389	389	DENTAL SERVICES ; 13
390	390
391	391	(II) SERVICES FOR INDIVID UALS EXPERIENCING 14
392	392	HOMELESSNESS OR HOUS ING INSECURITY; 15
393	393
394	394	(III) FOOD INSECURITY AND FOOD ASSISTANCE ; 16
395	395
396	396	(IV) SERVICES FOR YOUTH OR FAMILIES IN CRISI S; 17
397	397
398	398	(V) SERVICES PROVIDING A DVOCACY, SAFETY, AND 18
399	399	PROTECTION FROM ABUS E; 19
400	400
401	401	(VI) BEHAVIORAL HEALTH AN D ADDICTION TREATMEN T 20
402	402	SERVICES; 21
403	403
404	404	(VII) INCOME ASSISTANCE , EMPLOYMENT SERVICES , OR JOB 22
405	405	TRAINING; 23
406	406
407	407	(VIII) SERVICES FOR INDIVIDUALS WITH PHY SICAL OR 24
408	408	INTELLECTUAL DISABIL ITIES; AND 25
409	409
410	410	(IX) SERVICES FOR AGING A DULTS; 26
411	411	10 HOUSE BILL 1226
412	412
413	413
414	414	(2) CULTURALLY SPECIFIC ORGANIZATIO NS SERVING HISTORICA LLY 1
415	415	UNDERSERVED AND UNDE RREPRESENTED COMMUNI TIES, INCLUDING 2
416	416	DISADVANTAGED RACIAL , ETHNIC, AND RELIGIOUS MINORITIES , IMMIGRANTS, AND 3
417	417	LESBIAN, GAY, BISEXUAL, TRANSGENDER, AND OTHER GENDER–NONCONFORMING 4
418	418	INDIVIDUALS; 5
419	419
420	420	(3) NONPROFIT ORGANIZATI ONS LOCATED OUTSIDE THE BALTIMORE 6
421	421	AND WASHINGTON METROPOLIT AN AREAS; AND 7
422	422
423	423	(4) NONPROFIT ORGANIZATI ONS WITH: 8
424	424
425	425	(I) TOTAL REVENUE OF $1,500,000 OR LESS; AND 9
426	426
427	427	(II) OPERATIONS PRINCIPAL LY LOCATED IN THE FO LLOWING 10
428	428	COUNTIES: 11
429	429
430	430	1. ALLEGANY; 12
431	431
432	432	2. GARRETT; 13
433	433
434	434	3. CAROLINE; 14
435	435
436	436	4. CECIL; 15
437	437
438	438	5. KENT; 16
439	439
440	440	6. ST. MARY’S; 17
441	441
442	442	7. SOMERSET; 18
443	443
444	444	8. TALBOT; 19
445	445
446	446	9. WICOMICO; 20
447	447
448	448	10. WASHINGTON; AND 21
449	449
450	450	11. WORCESTER. 22
451	451
452	452	(D) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , EACH 23
453	453	NONPROFIT ORGANIZATI ON WHOSE APPLICATION IS DETERMINED TO BE 24
454	454	HIGH–PRIORITY SHALL RECEI VE THE MAXIMUM GRANT BASED ON THE 25
455	455	CALCULATION IN SUBSECTION (F) OF THIS SECTION. 26
456	456	HOUSE BILL 1226 11
457	457
458	458
459	459	(2) IF THE TOTAL AMOUNT OF THE MAXIMUM GRANT S TO 1
460	460	HIGH–PRIORITY APPLICANTS EXCEEDS THE AVAILABL E FUNDING, THE GRANT 2
461	461	AMOUNTS SHALL BE RED UCED ON A PRO RATED BASIS. 3
462	462
463	463	(E) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , EACH 4
464	464	NONPROFIT ORGANIZATI ON WHO SE APPLICATION IS DETER MINED TO BE 5
465	465	REGULAR–PRIORITY SHALL RECEI VE THE MAXIMUM GRANT BASED ON THE 6
466	466	CALCULATION IN SUBSECTION (F) OF THIS SECTION. 7
467	467
468	468	(2) IF THE TOTAL AMOUNT OF THE MAXIMUM GRANT S TO 8
469	469	REGULAR–PRIORITY APPLICATION S EXCEEDS THE AVAILA BLE FUNDING , THE 9
470	470	GRANT AMOUNTS SHALL BE REDUCED ON A PRO RATED BASIS. 10
471	471
472	472	(F) THE MAXIMUM AMOUNT A NONPROFIT O RGANIZATION MAY RECE IVE 11
473	473	FROM A GRANT AWARDED UNDER THIS SUB TITLE IS CALCULATED IN THE 12
474	474	FOLLOWING MANNER : 13
475	475
476	476	(1) 10% OF THE NONPROFIT ORG ANIZATION’S TOTAL REVENUE , IF 14
477	477	THE NONPROFIT ORGANIZATION ’S TOTAL REVENUE IS AT LEAST $50,000 BUT NOT 15
478	478	GREATER THAN $500,000; 16
479	479
480	480	(2) THE GREATER OF $50,000 OR 5% OF THE NONPROFIT 17
481	481	ORGANIZATION ’S TOTAL REVENUE , IF THE NONPROFIT ORGANIZATI ON’S TOTAL 18
482	482	REVENUE IS MORE THAN $500,000 BUT NOT GREATER THAN $2,500,000; AND 19
483	483
484	484	(3) THE GREATER OF $125,000 OR 1.5% OF THE NONPROFIT 20
485	485	ORGANIZATION ’S TOTAL REVENUE , IF THE NONPROFIT ORGANIZATION ’S TOTAL 21
486	486	REVENUE IS MORE THAN $2,500,000 BUT NOT GREATER THAN $10,000,000. 22
487	487
488	488	(G) (1) THE DEPARTMENT MAY CONTRA CT WITH ONE OR MORE 23
489	489	INTERMEDIARY ORGANIZ ATIONS TO ASSIST IN ADMINISTERING GRANTS UNDER THIS 24
490	490	SUBTITLE, MARKETING AND OUTREA CH, TECHNICAL ASSISTANCE , AND FUND 25
491	491	NAVIGATION. 26
492	492
493	493	(2) THE EVALUATION COMMITTEE SHALL ADVIS E THE DEPARTMENT 27
494	494	IN THE SELECTION OF INTERMEDIARY ORGANIZ ATIONS. 28
495	495
496	496	(H) THE DEPARTMENT SHALL DISB URSE GRANT FUNDS TO A NONPROFIT 29
497	497	ORGANIZATION THAT IS AWARDED A GRANT UNDER THIS SUB TITLE WITHIN 37 DAYS 30
498	498	AFTER THE ANNOUNCEMENT OF THE AWARD AND THE IS SUANCE OF A GRANT 31
499	499	AGREEMENT . 32
500	500
501	501	5–2307. 33 12 HOUSE BILL 1226
502	502
503	503
504	504
505	505	(A) (1) THE DEPARTMENT SHALL DISC LOSE TO THE EVALUATION 1
506	506	COMMITTEE ALL MATERIA L ACTIONS AND DECISI ONS THE DEPARTMENT MAKES 2
507	507	REGARDING THE ADMINI STRATION OF THE FUND. 3
508	508
509	509	(2) THE DEPARTMENT SHALL GIVE DUE CONSIDERATION TO THE 4
510	510	RECOMMENDATIONS OF T HE EVALUATION COMMITTEE. 5
511	511
512	512	(B) (1) THE DEPARTMENT SHALL PUBL ISH ON THE DEPARTMENT ’S 6
513	513	WEBSITE INSTRUCTIONS FOR APPLYING F OR GRANTS UNDER THIS SUBTITLE , 7
514	514	INCLUDING A CLEAR AN D REASONABLE DEADLIN E FOR THE SUBMISSION OF 8
515	515	APPLICATIONS. 9
516	516
517	517	(2) THE INFORMATION ON TH E WEBSITE SHALL BE U PDATED 10
518	518	ANNUALLY. 11
519	519
520	520	5–2308. 12
521	521
522	522	(A) THE DEPARTMENT MAY ADOPT REGULATION S TO CARRY OUT THIS 13
523	523	SUBTITLE. 14
524	524
525	525	(B) IN ESTABLISHING INSTR UCTIONS, PROCEDURES , FORMS, GRANT 15
526	526	AGREEMENTS , REPORTING REQUIREMEN TS, AND REGULATIONS , THE DEPARTMENT 16
527	527	AND THE EVALUATION COMMITTEE SHALL , CONSISTENT WITH ACCE PTABLE 17
528	528	FINANCIAL MANAGEMENT PRACTICES, ATTEMPT TO MINIMIZE THE 18
529	529	ADMINISTRA TIVE BURDEN TO NONPR OFIT ORGANIZATIONS . 19
530	530
531	531	Article – State Finance and Procurement 20
532	532
533	533	6–226. 21
534	534
535	535	(a) (2) (i) Notwithstanding any other provision of law, and unless 22
536	536	inconsistent with a federal law, grant agreement, or other federal requirement or with the 23
537	537	terms of a gift or settlement agreement, net interest on all State money allocated by the 24
538	538	State Treasurer under this section to special funds or accounts, and otherwise entitled to 25
539	539	receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 26
540	540	Fund of the State. 27
541	541
542	542	(ii) The provisions of subparagraph (i) of this paragraph do not apply 28
543	543	to the following funds: 29
544	544
545	545	170. the Cannabis Public Health Fund; [and] 30
546	546
547	547	171. the Community Reinvestment and Repair Fund; AND 31
548	548	HOUSE BILL 1226 13
549	549
550	550
551	551	172. THE NONPROFIT SUSTAINABILITY FUND. 1
552	552
553	553	SECTION 2. AND BE IT FURTHER ENACTED, That the terms of the initial 2
554	554	members of the Nonprofit Sustainability Fund Evaluation Committee appointed under § 3
555	555	5–2303(b)(3) of the Economic Development Article, as enacted by Section 1 of this Act, shall 4
556	556	expire as follows: 5
557	557
558	558	(1) two members in 2024; 6
559	559
560	560	(2) three members in 2025; 7
561	561
562	562	(3) three members in 2026; and 8
563	563
564	564	(4) three members in 2027. 9
565	565
566	566	SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 10
567	567	October 1, 2023. 11