EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *sb0551* SENATE BILL 551 F2, K3, C8 3lr0132 CF HB 546 By: The President (By Request – Administration) and Senators Augustine, Beidle, Benson, Carter, Elfreth, Ellis, Feldman, Gile, Jackson, King, Hester, Hettleman, Kagan, Klausmeier, Muse, Rosapepe, Sydnor, Waldstreicher, M. Washington, Watson, and Zucker Introduced and read first time: February 6, 2023 Assigned to: Education, Energy, and the Environment A BILL ENTITLED AN ACT concerning 1 Education – Service Year Option Program – Establishment 2 (Serving Every Region Through Vocational Exploration Act of 2023) 3 FOR the purpose of establishing the Service Year Option Program; requiring the 4 Department of Service and Civic Innovation to administer and provide staff for the 5 Program; requiring a Program participant to work at least a certain number of hours 6 per week and partner with an on–site mentor while working in a service placement; 7 requiring a participating employer to pay a Program participant a certain wage; 8 authorizing the Department to disburse a stipend of up to a certain amount to a 9 Program participant who completes a service placement; requiring a Program 10 participant to perform certain duties and participate in certain training and 11 activities as part of a service placement; establishing the Service Year Option 12 Program Fund as a special, nonlapsing fund; requiring interest earnings of the Fund 13 to be credited to the Fund; requiring the Department to procure the services of a 14 third–party entity to conduct an independent study and assessment of the Program 15 and submit a report to the Governor and the General Assembly on or before a certain 16 date; requiring the Department, on or before a certain date, to publish an online 17 dashboard of key performance indicators shown in the report; and generally relating 18 to the establishment of the Service Year Option Program. 19 BY adding to 20 Article – Education 21 Section 24–11A–01 through 24–11A–07 to be under the new subtitle “Subtitle 11A. 22 Service Year Option Program” 23 Annotated Code of Maryland 24 (2022 Replacement Volume) 25 BY repealing and reenacting, without amendments, 26 2 SENATE BILL 551 Article – State Finance and Procurement 1 Section 6–226(a)(2)(i) 2 Annotated Code of Maryland 3 (2021 Replacement Volume and 2022 Supplement) 4 BY repealing and reenacting, with amendments, 5 Article – State Finance and Procurement 6 Section 6–226(a)(2)(ii)170. and 171. 7 Annotated Code of Maryland 8 (2021 Replacement Volume and 2022 Supplement) 9 BY adding to 10 Article – State Finance and Procurement 11 Section 6–226(a)(2)(ii)172. 12 Annotated Code of Maryland 13 (2021 Replacement Volume and 2022 Supplement) 14 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 15 That the Laws of Maryland read as follows: 16 Article – Education 17 SUBTITLE 11A. SERVICE YEAR OPTION PROGRAM. 18 24–11A–01. 19 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 20 INDICATED. 21 (B) “DEPARTMENT ” MEANS THE DEPARTMENT OF SERVICE AND CIVIC 22 INNOVATION. 23 (C) “FUND” MEANS THE SERVICE YEAR OPTION PROGRAM FUND. 24 (D) “PARTICIPATING EMPLOYE R” MEANS A PUBLIC OR PR IVATE ENTITY 25 PARTICIPATING AS AN EMPLOYER UNDER THE PROGRAM. 26 (E) “PROGRAM” MEANS THE SERVICE YEAR OPTION PROGRAM. 27 (F) “PROGRAM PARTICIPANT ” MEANS AN INDIVIDUAL WHO : 28 (1) HAS RECEIVED A HIGH S CHOOL DIPLOMA , GED, OR COMPARABLE 29 PROOF OF EQUIVALENT EDUCATIONAL LEVEL WI THIN 2 YEARS BEFORE APPLYING 30 FOR A SERVICE PLACEMENT UNDER THE PROGRAM; OR 31 SENATE BILL 551 3 (2) QUALIFIES FOR A SERVICE PLACEM ENT UNDER ALTERNATIVE 1 CRITERIA ESTABLISHE D BY THE SECRETARY. 2 (G) “SECRETARY” MEANS THE SECRETARY OF SERVICE AND CIVIC 3 INNOVATION. 4 (H) “SERVICE PLACEMENT ” MEANS THE JOB ASSIGN MENT DESIGNATED TO 5 AN INDIVIDUAL PARTIC IPATING IN THE PROGRAM UNDER THIS SU BTITLE. 6 24–11A–02. 7 (A) THERE IS A SERVICE YEAR OPTION PROGRAM IN THE STATE. 8 (B) THE PURPOSE OF THE PROGRAM IS TO: 9 (1) PROVIDE SERVICE PLACE MENTS TO RECENT HIGH SCHOOL 10 GRADUATES AND OTHER INDIVIDUALS WITH SIM ILAR LEVELS OF EDUCA TION AS AN 11 ADDITIONAL OPTION TO PURSUING CAREE R AND TECHNICAL TRAI NING OR 12 POSTSECONDARY EDUCAT ION; 13 (2) EQUIP PROGRAM PARTICIPANTS WITH PROFESSIONAL 14 DEVELOPMENT , MENTORING , JOB TRAINING, AND OTHER SUPPORT WH ILE WORKING 15 IN HIGH–IMPACT SERVICE PLACE MENTS; 16 (3) HELP ADDRESS THE STATE’S GREATEST CHALLENGE S BY 17 CHANNELING THE NEXT GENERATION INTO PUBLIC IMPACT WORK ; AND 18 (4) STRENGTHEN A PIPELINE OF TALENT INTO STATE AND LOCAL 19 GOVERNMENTS TO FILL PRESENT AND FUTURE STAFFING NEEDS . 20 (C) THE DEPARTMENT SHALL : 21 (1) ADMINISTER THE PROGRAM; AND 22 (2) PROVIDE STAFF FOR THE PROGRAM AS PROVIDED I N THE STATE 23 BUDGET. 24 24–11A–03. 25 (A) THE DEPARTMENT SHALL : 26 (1) DESIGN THE PROGRAM; 27 4 SENATE BILL 551 (2) IDENTIFY AND WORK WIT H NONPROFIT ENTITIES WHO MAY 1 RECEIVE GRANTS TO SE RVE AS REGIONAL PROGRAM LEADERS ACROSS THE STATE; 2 (3) CREATE A STATEWIDE NETWORK FOR ALL PROGRAM 3 PARTICIPANTS ACROSS THE STATE; 4 (4) PROMOTE AND COMMUNICA TE PROGRAM OPPORTUNITIES TO 5 HIGH SCHOOLS , RELIGIOUS INSTITUTIO NS, COMMUNITY ORGANIZATI ONS, AND 6 POTENTIAL PARTICIPATING EMPLOY ERS ACROSS THE STATE; 7 (5) (I) DEVELOP AND MAINTAIN A CENTRAL APPLICATIO N 8 PROCESS; AND 9 (II) ASSIST APPLICANTS WITH THE APPLICATION PROCESS; 10 (6) BUILD AND MAINTAIN AN ACCURATE AND UP –TO–DATE ONLINE 11 PORTAL TO MANAGE OPE NINGS FOR SERVICE PLACEMENTS ; 12 (7) IDENTIFY PARTICIPATIN G EMPLOYERS WHO CAN PROVIDE A WIDE 13 ARRAY OF BENEFITS , INCLUDING MENTORING AND CAREER AND COLLEGE 14 COACHING; 15 (8) TO THE EXTENT PRACTIC ABLE, SELECT PROGRAM PARTICIPANTS 16 THAT REFLECT THE GEN DER, RACIAL, ETHNIC, AND GEOGRAPHIC DIVER SITY OF THE 17 STATE; AND 18 (9) EVALUATE THE OVERALL OPERATIONS OF THE PROGRAM IN 19 COLLABORATION WITH AN INDEPENDENT ENTITY . 20 (B) THE DEPARTMENT SHALL SET TARGETS FOR PROGRAM 21 PARTICIPATION , INCLUDING: 22 (1) 200 PROGRAM PARTICIPANTS IN THE FIRST YEAR OF 23 IMPLEMENTATION ; AND 24 (2) 2000 PROGRAM PARTICIPANTS IN THE FOURTH YEAR OF 25 IMPLEMENTATION . 26 (C) THE DEPARTMENT SHALL DEVE LOP PROGRAM FOCUS AREAS T O 27 ADDRESS PRIORITY ISSUES, INCLUDING: 28 (1) CLIMATE; 29 SENATE BILL 551 5 (2) EDUCATION; AND 1 (3) HEALTH. 2 24–11A–04. 3 (A) (1) WHILE WORKING IN A SE RVICE PLACEMENT , A PROGRAM 4 PARTICIPANT SHALL: 5 (I) WORK AT LEAST 30 HOURS PER WEEK ; AND 6 (II) PARTNER WITH AN ON –SITE MENTOR WHO PROVIDES: 7 1. JOB TRAINING; 8 2. CAREER AND POSTSECOND ARY EDUCATION 9 COUNSELING ; 10 3. FINANCIAL LITERACY SK ILLS; AND 11 4. ANY OTHER SUPPORT NEE DED. 12 (2) A PARTICIPATING EMPLOY ER SHALL PAY A PROGRAM 13 PARTICIPANT $15 PER HOUR. 14 (B) SUBJECT TO SUBSECTION S (C) AND (D) OF THIS SECTION , THE 15 DEPARTMENT MAY DISBURSE A STIPEND OF UP TO $3,000 TO A PROGRAM 16 PARTICIPANT WHO COMP LETES A SERVICE PLACEMENT . 17 (C) A PROGRAM PARTICIPANT SHALL: 18 (1) PERFORM THE DUTIES OF THE SERVICE PLACEMEN T TO THE 19 SATISFACTION OF THE PARTICIPATING EMPLOY ER AND THE DEPARTMENT ; 20 (2) PARTICIPATE IN ALL TR AINING RELATED TO TH E SERVICE 21 PLACEMENT AND FUTURE CAREERS OR EDUCATION AL PATHWAYS ; AND 22 (3) PARTICIPATE IN PROGRAM–WIDE EVENTS TO : 23 (I) EXPAND THE PARTICIPANT’S PROFESSIONAL NETWORK ; 24 (II) MAKE CONNECTIONS WITH IN THE PROGRAM; AND 25 6 SENATE BILL 551 (III) TAKE ADVANTAGE OF STATE RESOURCES . 1 (D) AS NEEDED, THE DEPARTMENT MAY DISBURSE A PRORATED STIPEND 2 AMOUNT ON A CASE –BY–CASE BASIS. 3 24–11A–05. 4 (A) THERE IS A SERVICE YEAR OPTION PROGRAM FUND. 5 (B) THE PURPOSE OF THE FUND IS TO: 6 (1) PROVIDE STIPENDS TO PROGRAM PARTICIPANTS ; AND 7 (2) PAY THE COSTS TO A DMINISTER THE PROGRAM. 8 (C) THE DEPARTMENT SHALL ADMI NISTER THE FUND. 9 (D) THE FUND IS A CONTINUING , NONLAPSING FUND THAT IS NOT SUBJECT 10 TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 11 (E) (1) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY 12 AND SHALL INVEST THE MONEY IN THE FUND IN THE SAME MANN ER AS OTHER 13 STATE MONEY MAY BE IN VESTED. 14 (2) ANY INVESTMENT EARNIN GS OF THE FUND SHALL BE CREDITE D 15 TO THE FUND. 16 (F) THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 17 (G) THE DEPARTMENT : 18 (1) MAY ACCEPT ANY GIFT O R GRANT FROM ANY PER SON FOR THE 19 FUND; 20 (2) SHALL USE ANY GIFT OR GRANT THAT IT RECEIV ES FOR THE 21 PURPOSES LISTED UNDER SUBSECTION (B) OF THIS SECTION; AND 22 (3) SHALL DEPOSIT WITH THE STATE TREASURER ANY GIFT OR 23 GRANT THAT IT RECEIV ES FOR THE FUND. 24 (H) THE FUND CONSISTS OF : 25 (1) MONEY APPROPRIATED TO THE PROGRAM IN THE STATE 26 SENATE BILL 551 7 BUDGET; 1 (2) GIFTS OR GRANTS RECEI VED BY THE DEPARTMENT FOR THE 2 FUND; 3 (3) INVESTMENT EARNINGS O F THE FUND; AND 4 (4) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED FOR 5 THE BENEFIT OF THE FUND. 6 (I) ANY UNSPENT PORTION O F THE FUND MAY NOT BE TRANS FERRED OR 7 REVERT TO THE GENERAL FUND OF THE STATE BUT SHALL REMAI N IN THE FUND 8 TO BE USED FOR THE PURPO SES SPECIFIED IN THI S SUBTITLE. 9 (J) THE FUND IS SUBJECT TO AU DIT BY THE OFFICE OF LEGISLATIVE 10 AUDITS IN ACCORDANCE WITH § 2–1220 OF THE STATE GOVERNMENT ARTICLE. 11 24–11A–06. 12 (A) (1) THE DEPARTMENT SHALL PROC URE THE SERVICES OF A 13 THIRD–PARTY ENTITY TO COND UCT AN INDEPENDENT S TUDY AND ASSESSMENT OF 14 THE PROGRAM. 15 (2) THE STUDY SHALL EMPLOY: 16 (I) RANDOM ASSIGNMENT , IF FEASIBLE AND ETHI CAL; OR 17 (II) OTHER RESEARCH METHOD S THAT ALLOW FOR THE 18 STRONGEST POSSIBLE C AUSAL INFERENCES, IF RANDOM ASSIGNMENT IS NOT 19 FEASIBLE AND ETHICAL IN THIS INSTANCE. 20 (B) ON OR BEFORE JULY 1, 2028, THE THIRD–PARTY ENTITY SHALL S UBMIT 21 A REPORT ON ITS FIND INGS AND RECOMMENDAT IONS TO THE GOVERNOR AND , IN 22 ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE GENERAL 23 ASSEMBLY. 24 (C) ON OR BEFORE OCTOBER 1, 2028, THE DEPARTMENT SHALL PUBLISH 25 AN ONLINE DASHBOARD OF KEY PERFORMANCE I NDICATORS SHOWN IN T HE REPORT 26 REQUIRED UNDER SUBSE CTION (B) OF THIS SECTION. 27 24–11A–07. 28 THE DEPARTMENT SH ALL ADOPT REGULATION S NECESSARY TO CARRY OUT 29 8 SENATE BILL 551 THIS SUBTITLE, INCLUDING REGULATION S ON: 1 (1) THE APPLICATION PROCESS ; 2 (2) ELIGIBILITY REQUIREME NTS; 3 (3) PROGRAM REQUIREMENTS ; AND 4 (4) THE DISBURSEMENT OF STIP ENDS. 5 Article – State Finance and Procurement 6 6–226. 7 (a) (2) (i) Notwithstanding any other provision of law, and unless 8 inconsistent with a federal law, grant agreement, or other federal requirement or with the 9 terms of a gift or settlement agreement, net interest on all State money allocated by the 10 State Treasurer under this section to special funds or accounts, and otherwise entitled to 11 receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 12 Fund of the State. 13 (ii) The provisions of subparagraph (i) of this paragraph do not apply 14 to the following funds: 15 170. the Cannabis Public Health Fund; [and] 16 171. the Community Reinvestment and Repair Fund; AND 17 172. THE SERVICE YEAR OPTION PROGRAM FUND. 18 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 19 1, 2023. 20