EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*sb0167*
SENATE BILL 167
B1, P1, Q7 3lr1086
SB 377/16 – B&T
By: Senators Elfreth, Beidle, Gile, Griffith, Guzzone, and Hettleman Hettleman,
Benson, Jackson, King, McCray, Rosapepe, and Zucker
Introduced and read first time: January 19, 2023
Assigned to: Budget and Taxation
Committee Report: Favorable with amendments
Senate action: Adopted with floor amendments
Read second time: February 22, 2023
CHAPTER ______
AN ACT concerning 1
Maryland State Arts Council – Funding 2
FOR the purpose of altering clarifying the calculation for certain funding for the Maryland 3
State Arts Council for certain fiscal years; repealing a certain requirement for 4
certain funds distributed to the Maryland State Arts Council to be included in the 5
Council’s prior fiscal year appropriation; and generally relating to the Maryland 6
State Arts Council and the State admissions and amusement tax. 7
BY repealing and reenacting, with amendments, 8
Article – State Finance and Procurement 9
Section 7–325 10
Annotated Code of Maryland 11
(2021 Replacement Volume and 2022 Supplement) 12
BY repealing and reenacting, without amendments, 13
Article – Tax – General 14
Section 2–202 15
Annotated Code of Maryland 16
(2022 Replacement Volume) 17
BY repealing 18
Chapter 145 of the Acts of the General Assembly of 2016, as amended by Chapter 23 19
of the Acts of the General Assembly of 2017 20
Section 2 21 2 SENATE BILL 167
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1
That the Laws of Maryland read as follows: 2
Article – State Finance and Procurement 3
7–325. 4
(a) (1) IN THIS SECTION , “COUNCIL” MEANS THE MARYLAND STATE 5
ARTS COUNCIL THE FOLLOWING WORDS HAVE THE MEANINGS IN DICATED. 6
(2) “COUNCIL” MEANS THE MARYLAND STATE ARTS COUNCIL. 7
(3) “GENERAL FUND GROWTH A DJUSTMENT ” MEANS THE 8
PERCENTAGE BY WHICH THE PROJECTED TOTAL GENERAL FUND REVENUES FOR 9
THE UPCOMING FISCAL YEAR EXCEED THE REVI SED ESTIMATE OF TOTA L GENERAL 10
FUND REVENUES FOR THE CURRENT FISCAL YEAR , AS CONTAINED IN TH E REPORT 11
OF ESTIMATED STATE REVENUES SUBMIT TED BY THE BOARD OF REVENUE 12
ESTIMATES TO THE GOVERNOR UNDER § 6–106(B) OF THIS ARTICLE. 13
(B) (1) [In each of fiscal years 2011 and 2012, the Governor shall include in the 14
annual budget bill submitted to the General Assembly a General Fund appropriation for 15
the Maryland State Arts Council of not less than $13,298,434. 16
(2) For] SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION , FOR FOR 17
fiscal [year 2013 and each fiscal year thereafter] YEARS 2013 THROUGH 2024, the 18
Governor shall include in the annual budget bill [submitted to the General Assembly] a 19
General Fund appropriation for the [Maryland State Arts] Council in an amount not less 20
than the amount of the General Fund appropriation for the Council [as approved in the 21
State budget as enacted by the General Assembly] for the [prior] IMMEDIATELY 22
PRECEDING fiscal year INCREASED BY THE GEN ERAL FUND GROWTH ADJ USTMENT[,]. 23
(2) SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION , FOR FOR 24
FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER , THE GOVERNOR SHALL 25
INCLUDE IN THE ANNUA L BUDGET BILL A GENERAL FUND APPROPRIATION FO R THE 26
COUNCIL IN AN AMOUNT NOT LESS THAN THE SUM OF RESULT OF THE FOLLOW ING 27
CALCULATION : 28
(I) ANY FUNDS DISTRIBUTE D TO THE COUNCIL IN THE 29
IMMEDIATELY PRECEDIN G FISCAL YEAR IN ACCORDANCE WITH § 2–202 OF THE TAX 30
– GENERAL ARTICLE; AND INCREASED BY THE GEN ERAL FUND GROWTH 31
ADJUSTMENT ; PLUS 32
SENATE BILL 167 3
(II) THE AMOUNT OF THE GENERAL FUND APPROPRIATION FO R 1
THE COUNCIL FOR THE IMMEDIATELY PRECEDIN G FISCAL YEAR INCREASED BY THE 2
GENERAL FUND GROWTH ADJUSTMENT ; MINUS 3
(III) THE AMOUNT OF FUNDS DISTRIBUTED TO THE COUNCIL IN 4
THE IMMEDIATELY PREC EDING FISCAL YEAR IN ACCORDANCE WITH § 2–202 OF THE 5
TAX – GENERAL ARTICLE. 6
(3) THE AMOUNTS CALCULATED UNDER PARAGRAPH S (1) AND (2) OF 7
THIS SUBSECTION SHALL BE increased by not less than the percentage by which the 8
projected total General Fund revenues for the upcoming fiscal year exceed the revised 9
estimate of total General Fund revenues for the current fiscal year, as contained in the 10
report of estimated State revenues submitted by the Board of Revenue Estimates to the 11
Governor under § 6–106(b) of this article. 12
[(b)] (C) The Legislative Auditor has the authority to conduct a review or audit 13
of any recipient of a grant from the [Maryland State Arts] Council. 14
Article – Tax – General 15
2–202. 16
(a) After making the distribution required under § 2–201 of this subtitle, within 17
20 days after the end of each quarter, the Comptroller shall distribute: 18
(1) except as provided in subsections (b) and (c) of this section, from the 19
revenue from the State admissions and amusement tax on electronic bingo and electronic 20
tip jars under § 4–102(e) of this article: 21
(i) for fiscal year 2021 and each fiscal year thereafter, the revenue 22
attributable to a tax rate of 20% to the Maryland E–Nnovation Initiative Fund under § 23
6–604 of the Economic Development Article; and 24
(ii) for fiscal year 2021 and each fiscal year thereafter, the revenue 25
attributable to a tax rate of 5% as follows: 26
1. to the Maryland State Arts Council, as provided in § 4–512 27
of the Economic Development Article, $1,000,000 in each fiscal year; 28
2. to the Town of Chesapeake Beach, $300,000 in each fiscal 29
year; 30
3. to the Michael Erin Busch Sports Fund established under 31
§ 10–612.2 of the Economic Development Article, $500,000 in each fiscal year; and 32
4 SENATE BILL 167
4. the remainder to the Special Fund for Preservation of 1
Cultural Arts in Maryland, as provided in § 4–801 of the Economic Development Article; 2
and 3
(2) the remaining admissions and amusement tax revenue: 4
(i) to the Maryland Stadium Authority, county, or municipal 5
corporation that is the source of the revenue; or 6
(ii) if the Maryland Stadium Authority and a lso a county or 7
municipal corporation tax a reduced charge or free admission: 8
1. 80% of that revenue to the Authority; and 9
2. 20% to the county or municipal corporation. 10
(b) (1) Subject to paragraph (2) of this subsection, from the revenue from the 11
State admissions and amusement tax on electronic bingo and electronic tip jars in Calvert 12
County under § 4–102(e) of this article, the Comptroller shall distribute from: 13
(i) the revenue attributable to a tax rate of 1.5%: 14
1. $50,000 to the Boys and Girls Club of the Town of North 15
Beach; and 16
2. the remainder to the Town of North Beach; 17
(ii) the revenue attributable to a tax rate of 2.5% to the Town of 18
Chesapeake Beach; and 19
(iii) the revenue attributable to a tax rate of 4% to the Calvert County 20
Youth Recreational Opportunities Fund under Title 5, Subtitle 19 of the Natural Resources 21
Article. 22
(2) Funds required to be distributed to the entities in paragraph (1) of this 23
subsection shall be provided through an appropriation in the annual State budget under 24
budget code A15O00.03 Payments to Civil Divisions of the State. 25
(c) From the revenue attributable to a tax rate of 5% to be distributed to the 26
Special Fund for Preservation of Cultural Arts in Maryland or the Maryland State Arts 27
Council under subsection (a)(1)(ii) of this section, the Comptroller shall distribute: 28
(1) for fiscal year 2019 and each fiscal year thereafter, $250,000 to the Arts 29
Council of Anne Arundel County; and 30
(2) for fiscal year 2020 and each fiscal year thereafter, $250,000 to the 31
Maryland Historical Society. 32 SENATE BILL 167 5
Chapter 145 of the Acts of 2016, as amended by Chapter 23 of the Acts of 2017 1
[SECTION 2. AND BE IT FURTHER ENACTED, That any funds distributed to the 2
Maryland State Arts Council in accordance with § 2–202 of the Tax – General Article as 3
enacted in this Act shall be included in the Maryland State Arts Council’s prior fiscal year 4
appropriation in addition to the amount of the General Fund appropriation for the prior 5
fiscal year and the sum shall be used for purposes of calculating the required appropriation 6
under § 7–325 of the State Finance and Procurement Article.] 7
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 8
1, 2023. 9
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
President of the Senate.
________________________________________________________________________________
Speaker of the House of Delegates.