WES MOORE, Governor Ch. 679
– 1 –
Chapter 679
(House Bill 458)
AN ACT concerning
Public School Construction – Grant Programs, Approvals, and Administration –
Alterations
FOR the purpose of repealing the School Safety Grant Program and the Aging Schools
Program as of a certain date; altering provisions relating to school construction
approvals by the State Superintendent of Schools; altering provisions related to a
public–private partnership agreement in Prince George’s County; establishing the
Interagency Commission on School Construction as an independent unit of State
government; providing a removal process for members of the Interagency
Commission on School Construction; repealing the requirement for the Board of
Public Works to approve grants awarded under the Capital Grant Program for Local
School Systems With Significant Enrollment Growth or Relocatable Classrooms;
removing a requirement for a life cycles cost analysis for the Interagency
Commission; requiring a county board of education to submit a certain evaluation
under certain circumstances; requiring the Department of General Services to
develop life cycle cost analysis standards in coordination with the Interagency
Commission on School Construction and the State Department of Education; altering
payments in the Prince George’s County Public–Private Partnership Fund; altering
payments into the Supplemental Public School Construction Financing Fund;
authorizing the Governor to process a certain budget amendment; and generally
relating to public school construction grant programs, approvals, and
administration.
BY repealing
Article – Education
Section 5–317 and 5–324
Annotated Code of Maryland
(2022 Replacement Volume)
BY repealing and reenacting, with amendments,
Article – Education
Section 2–303(f), 4–115(b), (c)(1)(i), (2), and (3), 4–126.1, 4–126.2, 5–302(b) and (f),
5–313(c), 5–325, and 5–327(d)
Annotated Code of Maryland
(2022 Replacement Volume)
BY repealing and reenacting, without amendments,
Article – Education
Section 4–115(a) and 5–302(a) and (c) through (e)
Annotated Code of Maryland
(2022 Replacement Volume) Ch. 679 2023 LAWS OF MARYLAND
– 2 –
BY repealing and reenacting, with amendments,
Article – Economic Development
Section 10–649(f) and (g) and 10–658
Annotated Code of Maryland
(2018 Replacement Volume and 2022 Supplement)
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
That Section(s) 5–317 and 5–324 of Article – Education of the Annotated Code of Maryland
be repealed.
SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read
as follows:
Article – Education
2–303.
(f) (1) Subject to the bylaws, rules, and regulations of the State Board, and
except as provided in paragraph (5) of this subsection, the State Superintendent, OR THE
STATE SUPERINTENDENT ’S DESIGNEE, shall approve or disapprove each:
(i) Proposal for the purchase or sale of any ground, school site, or
building;
(ii) Plan or specification for the remodeling of a school building if the
remodeling costs more than [$350,000] $500,000 $1,000,000;
(iii) Plan or specification for the construction of a new school building;
and
(iv) Change order that costs more than [$25,000] $50,000 for the
remodeling, restoration, or construction of a school building.
(2) If the State Superintendent, OR THE STATE SUPERINTENDENT ’S
DESIGNEE, disapproves any plan, specification, proposal, or change order, [he] THE
STATE SUPERINTENDENT , OR THE STATE SUPERINTENDENT ’S DESIGNEE, shall state
in writing the reasons for [his] THE disapproval.
(3) If the construction is to be done by a county board, the board may not
begin until the plans and specifications are approved in writing by the State
Superintendent, OR THE STATE SUPERINTENDENT ’S DESIGNEE.
WES MOORE, Governor Ch. 679
– 3 –
(4) If the construction is to be done by contract, the contract is invalid
without the written approval of the State Superintendent , OR THE STATE
SUPERINTENDENT ’S DESIGNEE.
(5) For the purchase of any ground or school site under paragraph (1) of
this subsection, the county board shall submit the purchase to the State Superintendent,
OR THE STATE SUPERINTENDENT ’S DESIGNEE, for approval or disapproval not more
than 3 years before the project is submitted to the Interagency Commission on School
Construction for local planning approval.
4–115.
(a) In this subtitle, “county council” means, in Baltimore City, the Mayor and City
Council of Baltimore.
(b) With the approval of the State Superintendent, OR THE STATE
SUPERINTENDENT ’S DESIGNEE, each county board may:
(1) Buy or otherwise acquire land, school sites, or buildings; and
(2) Rent, repair, improve, and build school buildings or approve contracts
for doing so, if the plans conform to the bylaws, rules, and regulations of the State Board.
(c) (1) (i) Except as provided in this subsection, if, with the approval of the
State Superintendent, OR THE STATE SUPERINTENDENT ’S DESIGNEE, a county board
finds that any land, school site, or building no longer is needed for school purposes, it shall
inform the county commissioners or county council of the county board’s determination
under this subparagraph.
(2) In Harford County, if, with the approval of the State Superintendent,
OR THE STATE SUPERINTENDENT ’S DESIGNEE, the county board finds that any land,
school site, or building is no longer needed for school purposes, it shall be transferred by
the county board to Harford County, Maryland, and disposed of in accordance with this
section.
(3) With the approval of the State Superintendent, OR THE STATE
SUPERINTENDENT ’S DESIGNEE, the Cecil County Board may transfer, with or without
charge, any of its property to the board of trustees of a public community college.
4–126.1.
(a) In this section, “public–private partnership agreement” means an agreement
in which [a county government and] a county board of education [contract] CONTRACTS
with a private entity for the acquisition, design, construction, improvement, renovation,
expansion, equipping, or financing of a public school, and may include provisions for Ch. 679 2023 LAWS OF MARYLAND
– 4 –
operation and maintenance of a school, cooperative use of the school or an adjacent
property, and generation of revenue to offset the cost of construction or use of the school.
(b) Except as otherwise provided in this section, § 4–126 of this subtitle applies
to a public–private partnership agreement entered into in accordance with this section.
(c) (1) This section applies only if, on or before July 1, 2024, [the Prince
George’s County government and] the Prince George’s County Board [enter] ENTERS into
a public–private partnership agreement with a private entity to enhance the delivery of
public school construction in Prince George’s County.
(2) (i) Subject to subparagraph (ii) of this paragraph, before entering
into a public–private partnership agreement under paragraph (1) of this subsection, the
public–private partnership agreement shall be reviewed by the Maryland Stadium
Authority and approved by the Interagency Commission on School Construction.
(ii) The approval of the Interagency Commission on School
Construction may not be unreasonably withheld or delayed as specified in the
memorandum of understanding required under § 4–126 of this subtitle.
(d) (1) IN FISCAL YEARS 2024 AND 2025, THE MARYLAND STADIUM
AUTHORITY SHALL DE POSIT THE AMOUNT UND ER § 10–658 OF THE ECONOMIC
DEVELOPMENT ARTICLE FROM THE SUPPLEMENTAL PUBLIC SCHOOL
CONSTRUCTION FINANCING FUND INTO THE PRINCE GEORGE’S COUNTY
PUBLIC–PRIVATE PARTNERSHIP FUND ESTABLISHED UNDE R § 4–126.2 OF THIS
SUBTITLE.
(2) Subject to paragraph [(2)] (3) of this subsection, in fiscal year 2026 and
each fiscal year thereafter through not later than fiscal year 2055, if [the Prince George’s
County government,] the Prince George’s County Board[,] and the private entity remain
in the public–private partnership agreement described under subsection (c) of this section,
the Maryland Stadium Authority shall deposit the amount under § 10–658 of the Economic
Development Article from the Supplemental Public School Construction Financing Fund
established under § 10–658 of the Economic Development Article into the Prince George’s
County Public–Private Partnership Fund established under § 4–126.2 of this subtitle.
[(2)] (3) Paragraph [(1)] (2) of this subsection applies only if the
public–private partnership agreement described under subsection (c) of this section
includes:
(i) A minimum of [6] 8 schools that will be improved, constructed,
or renovated and operated and maintained under the public –private partnership
agreement, INCLUDING ONE SCHOOL F OR WHICH A STRUCTURA L ENGINEER HAS
IDENTIFIED TO THE COMMISSION THAT THE S CHOOL NEEDS A FULL R EPLACEMENT
BECAUSE OF FAULTY ST EEL; and WES MOORE, Governor Ch. 679
– 5 –
(ii) A commitment by the Prince George’s County government and
the Prince George’s County Board to provide the local share of the total [availability]
payment.
[(3)] (4) In fiscal year 2026 and each fiscal year thereafter through not
later than fiscal year 2055, if [the Prince George’s County government,] the Prince George’s
County Board[,] and the private entity remain in the public–private partnership
agreement described under subsection (c) of this section, the Prince George’s County
government and the Prince George’s County Board each shall deposit the [availability]
payment amount required under the public–private partnership agreement into the Prince
George’s County Public–Private Partnership Fund established under § 4–126.2 of this
subtitle.
(e) In fiscal year 2026 and each fiscal year thereafter through not later than fiscal
year 2055, if [the Prince George’s County government,] the Prince George’s County
Board[,] and the private entity remain in the public–private partnership agreement
described under subsection (c) of this section and the Prince George’s County government
and the Prince George’s County Board deposit the [availability] payment in the manner
described under subsection (d)(3) of this section, the Interagency Commission on School
Construction shall pay the [private entity] PRINCE GEORGE’S COUNTY BOARD from the
Prince George’s County Public–Private Partnership Fund established under § 4–126.2 of
this subtitle for the [availability] payment required under the public–private partnership
agreement.
(f) On January 15, 2025, and each January 15 thereafter, the Prince George’s
County government, the Prince George’s County Board, the Maryland Stadium Authority,
and the Interagency Commission on School Construction jointly shall report to the
Governor and, in accordance with § 2–1257 of the State Government Article, the fiscal
committees of the General Assembly on the progress of construction and renovations of
public school facilities under the public–private partnership agreement described under
subsection (c) of this section, including actions:
(1) Taken during the previous fiscal year; and
(2) Planned for the current fiscal year.
(g) (1) On or before July 1, 2029, the Interagency Commission on School
Construction shall complete a 5–year evaluation of the effectiveness of the public–private
partnership agreement described under subsection (c) of this section.
(2) On or before December 31, 2029, the Interagency Commission on School
Construction shall submit a report on the results of the evaluation required under
paragraph (1) of this subsection to the Governor and, in accordance with § 2–1257 of the
State Government Article, the fiscal committees of the General Assembly.
Ch. 679 2023 LAWS OF MARYLAND
– 6 –
4–126.2.
(a) In this section, “Fund” means the Prince George’s County Public–Private
Partnership Fund.
(b) There is a Prince George’s County Public–Private Partnership Fund.
(c) The purpose of the Fund is to provide funds to THE Prince George’s County
BOARD for [Prince George’s County] THE BOARD to pay a public or private entity for the
[availability] payment due under the Prince George’s County public–private partnership
agreement entered into in accordance with § 4–126.1 of this subtitle.
(d) The Interagency Commission on School Construction shall administer the
Fund as described in the four–party memorandum of understanding entered into under §
4–126(e)(3)(ii) of this subtitle.
(e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of
the State Finance and Procurement Article.
(2) The State Treasurer shall hold the Fund separately, and the
Comptroller shall account for the Fund.
(f) The Fund consists of:
(1) Money deposited into the Fund by Prince George’s County, the Prince
George’s County Board, and the Maryland Stadium Authority;
(2) Money deposited into the Fund by the State;
(3) Any investment earnings of the Fund; and
(4) Any other money from any other source accepted for the benefit of the
Fund.
(g) (1) Except as provided in paragraph (2) of this subsection, the Fund may
be used only to provide funding to Prince George’s County for alternative financing methods
under § 4–126 of this subtitle in Prince George’s County.
(2) If THE Prince George’s County BOARD receives State funding for an
availability payment under § 4–126.1 of this subtitle, the funding received under § 4–126.1
of this subtitle may be used only to pay [an availability] A payment to a private entity
under the public–private partnership agreement entered into and approved in accordance
with § 4–126.1 of this subtitle.
WES MOORE, Governor Ch. 679
– 7 –
(h) Any appropriation to the Fund shall be used to supplement, but not supplant,
money appropriated to Prince George’s County for public school construction under the
Public School Construction Program established in Title 5, Subtitle 3 of this article.
(i) (1) The State Treasurer shall invest the money of the Fund in the same
manner as other State money may be invested.
(2) Any interest earnings of the Fund shall be credited to the Fund.
(j) If a memorandum of understanding is entered into under § 4–126 of this
subtitle and State funding is provided for [an availability] A payment, the Prince George’s
County Board and Prince George’s County shall deposit into the Fund the amounts
required under the memorandum of understanding.
5–302.
(a) There is an Interagency Commission on School Construction.
(b) The Interagency Commission is an independent [commission that functions
within the Department] UNIT OF STATE GOVERNMENT .
(c) The purpose of the Interagency Commission is to develop and approve policies,
procedures, guidelines, and regulations on State school construction allocations to local
jurisdictions in an independent and merit–based manner.
(d) The Interagency Commission consists of the following members:
(1) The State Superintendent of Schools, or the Superintendent’s designee;
(2) The Secretary of Planning, or the Secretary’s designee;
(3) The Secretary of General Services, or the Secretary’s designee;
(4) Two members of the public appointed by the Governor;
(5) Two members of the public appointed by the President of the Senate;
and
(6) Two members of the public appointed by the Speaker of the House.
(e) The Governor, President of the Senate, and Speaker of the House jointly shall
select the Chair of the Interagency Commission.
(f) (1) An appointed member of the Interagency Commission may not be:
Ch. 679 2023 LAWS OF MARYLAND
– 8 –
[(1)] (I) An individual who is a regulated lobbyist as described in §
5–702(a)(1), (2), (3), or (4) of the General Provisions Article;
[(2)] (II) A federal, State, or local elected official;
[(3)] (III) An employee of State or county government or a county board of
education; or
[(4)] (IV) An individual who has a business interest in, or contracts related
to, school construction in any jurisdiction in the State.
(2) AN APPOINTED MEMBER O F THE INTERAGENCY COMMISSION
MAY BE REMOVED FOR I NCOMPETENCE , MISCONDUCT, OR FAILURE TO PERFOR M
THE DUTIES OF THE PO SITION BY:
(I) THE GOVERNOR, IF APPOINTED BY THE GOVERNOR;
(II) THE PRESIDENT OF THE SENATE, IF APPOINTED BY THE
PRESIDENT OF THE SENATE; OR
(III) THE SPEAKER OF THE HOUSE, IF APPOINTED BY THE
SPEAKER OF THE HOUSE.
5–313.
(c) (1) The Program shall be implemented and administered by the
Interagency Commission on School Construction in accordance with this section.
(2) Grants awarded by the Interagency Commission under the Program[:
(i) Shall] SHALL be matched by local funds equal to the required
local cost–share established in accordance with § 5–303(d)(3) of this subtitle[; and
(ii) Shall be approved by the Board of Public Works].
5–325.
(a) [The Interagency Commission or, if required under subsection (b) of this
section, the Maryland Stadium Authority shall evaluate the life cycle costs of public school
buildings over a 50–year period, including] A COUNTY BOARD , DURING THE DESIGN
DEVELOPMENT PHASE FO R THE CONSTRUCTION O R MAJOR RENOVATION OF A
PUBLIC SCHOOL BUILDI NG, SHALL COMPLETE AN EV ALUATION OF:
WES MOORE, Governor Ch. 679
– 9 –
(1) [An evaluation, based on a 50–year period, of the] THE cost and
efficiency, BASED ON A 50–YEAR PERIOD , of using AVAILABLE alternative energy
systems, including geothermal, solar, wind, and energy storage compared to a traditional
energy system;
(2) An energy consumption and systems replacement [analysis], based on
a 50–year period, of each major piece of equipment in any of the following systems serving
the public school building:
(i) The cooling system;
(ii) The heating system;
(iii) The hot water system;
(iv) The lighting system;
(v) The ventilation system; or
(vi) Any other major system that uses energy; and
(3) The impact of innovative building design and materials on energy
consumption, including white roofs and green roofs.
[(b) The Interagency Commission or the Maryland Stadium Authority, as
applicable, may contract with a third party to conduct the evaluation under subsection (a)
of this section.
(c) (1) The evaluation required under subsection (a) of this section shall be
conducted and submitted to the General Assembly in accordance with § 2–1257 of the State
Government Article on or before October 1, 2023.
(2) On or before October 1, 2020, and each October 1 through 2022, the
Interagency Commission or the Maryland Stadium Authority shall provide annual updates
on the progress of the evaluation to the General Assembly, in accordance with § 2–1257 of
the State Government Article.]
(B) IF THE COUNTY BOARD D ETERMINES THAT NO AL TERNATIVE ENERGY
SYSTEMS ARE APPROPRI ATE FOR A CONSTRUCTI ON OR MAJOR RENOVATI ON
PROJECT, THE COUNTY BOARD SHA LL SUBMIT A REPORT T O THE INTERAGENCY
COMMISSION THAT EXPLA INS WHY THE ALTERNAT IVE ENERGY SYSTEMS W ERE NOT
APPROPRIATE .
(C) ON OR BEFORE DECEMBER 31 EACH YEAR , THE INTERAGENCY
COMMISSION SHALL SUBM IT A REPORT TO THE GENERAL ASSEMBLY, IN Ch. 679 2023 LAWS OF MARYLAND
– 10 –
ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, ON THE
NUMBER OF PUBLIC SCH OOL CONSTRUCTION AND MAJOR RENOVATION PROJECTS
IN EACH JURISDICTION THAT USE ALTERNATIVE ENERGY SYSTEMS .
5–327.
(d) The Interagency Commission, in coordination with the Department AND THE
DEPARTMENT OF GENERAL SERVICES, shall develop life cycle cost analysis standards.
Article – Economic Development
10–649.
(f) (1) Except as provided in paragraph (2) of this subsection, the total debt
service for any bond issue, when added to all prior outstanding bond issues related to
improvements to public school facilities, may not exceed the total amount of the funds
provided under subsection (g) of this section.
(2) If THE Prince George’s County BOARD enters into a public–private
partnership agreement under § 4–126.1 of the Education Article, the total debt service for
all bond issues may not exceed $100,000,000.
(g) (1) In accordance with § 9–1A–30 of the State Government Article, the
Comptroller shall deposit a portion of the money in the Education Trust Fund into the
Supplemental Public School Construction Financing Fund for the program to be known as
the Built to Learn Program.
(2) The funds under paragraph (1) of this subsection shall be deposited in
the following amounts:
(i) in fiscal year 2022 – $30,000,000;
(ii) in fiscal year 2023 – $60,000,000; [and]
(iii) in fiscal year 2024 [and each fiscal year thereafter] –
$125,000,000; AND
(IV) IN FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER
– $127,000,000.
(3) The Comptroller shall deposit 50% of the funds under paragraph (2) of
this subsection on or before November 1 each year and the other 50% on or before May 1
each year.
10–658. WES MOORE, Governor Ch. 679
– 11 –
(a) There is a Supplemental Public School Construction Financing Fund.
(b) (1) The Supplemental Public School Construction Financing Fund is a
continuing, nonlapsing fund that shall be available to implement this subtitle concerning
public school facilities.
(2) The Authority shall:
(i) use the Supplemental Public School Construction Financing
Fund as a revolving fund for carrying out this subtitle concerning public school facilities;
(ii) pay any and all expenses from the Supplemental Public School
Construction Financing Fund that are incurred by the Authority related to any public
school facilities; and
(iii) after all bonds have been issued, calculate the total amount
allocated from the Supplemental Public School Construction Financing Fund to each county
that received a percentage of bond proceeds under § 10–650(b)(1) of this subtitle.
(3) [(i) Subject to subparagraph (ii) of this paragraph, in] IN each fiscal
year for which the provisions of § 4–126.1(d) of the Education Article remain applicable,
the Authority shall deposit an amount equal to [$25,000,000] $27,000,000 EACH YEAR
from the Supplemental Public School Construction Financing Fund into the Prince George’s
County Public–Private Partnership Fund established under § 4–126.2 of the Education
Article.
[(ii) The total amount distributed from the Supplemental Public
School Construction Financing Fund to the Prince George’s County Public Private
Partnership Fund in accordance with subparagraph (i) of this paragraph may not exceed
the maximum total amount allocated to a county calculated in accordance with paragraph
(2)(iii) of this subsection.]
(c) To the extent considered appropriate by the Authority, the money on deposit
in the Supplemental Public School Construction Financing Fund shall be pledged to and
used to pay the following related to public school facilities:
(1) debt service on Authority bonds;
(2) debt service reserves under a trust agreement;
(3) all reasonable charges and expenses related to Authority borrowing;
and
Ch. 679 2023 LAWS OF MARYLAND
– 12 –
(4) all reasonable charges and expenses related to the Authority’s
administration of the Supplemental Public School Construction Financing Fund and
management of the Authority’s obligations.
(d) The Supplemental Public School Construction Financing Fund consists of:
(1) money deposited into the Supplemental Public School Construction
Financing Fund;
(2) to the extent that the proceeds are not under a trust agreement,
proceeds from the sale of bonds concerning public school facilities;
(3) revenues collected or received from any source under this subtitle
related to public school facility projects;
(4) any interest earnings of the Supplemental Public School Construction
Financing Fund; and
(5) any additional money made available from any public source for the
purposes established for the Supplemental Public School Construction Financing Fund.
(e) (1) The State Treasurer shall invest the money of the Supplemental Public
School Construction Financing Fund in the same manner as other State funds.
(2) Any investment earnings shall be credited to the Supplemental Public
School Construction Financing Fund.
(3) No part of the Supplemental Public School Construction Financing
Fund may revert or be credited to the General Fund or any special fund of the State.
(f) The money in the Supplemental Public School Construction Financing Fund
shall be used to supplement, and may not supplant, money appropriated to the Public
School Construction Program established under Title 5, Subtitle 3 of the Education Article.
SECTION 3. AND BE IT FURTHER ENACTED, That notwithstanding any other
provision of law, on or before June 30, 2024, the Governor may process a budget amendment
to transfer from the Supplemental Public School Construction Financing Fund under §
10–658 of the Economic Development Article to the Prince George’s County Public–Private
Partnership Fund under § 4–126.2 of the Education Article for $25,000,000.
SECTION 3. 4. AND BE IT FURTHER ENACTED, That Section 1 of this Act shall
take effect June 30, 2026.
SECTION 4. 5. AND BE IT FURTHER ENACTED, That, except as provided in
Section 3 4 of this Act, this Act shall take effect July 1, 2023.
WES MOORE, Governor Ch. 679
– 13 –
Approved by the Governor, May 16, 2023.