EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0650*
SENATE BILL 650
E4 3lr1705
CF HB 789
By: Senators Elfreth, Bailey, Beidle, Hester, Gile, and Rosapepe
Introduced and read first time: February 6, 2023
Assigned to: Budget and Taxation and Education, Energy, and the Environment
A BILL ENTITLED
AN ACT concerning 1
Public Safety – State Disaster Recovery Fund 2
FOR the purpose of establishing the State Disaster Recovery Fund to provide disaster 3
related assistance under certain circumstances; requiring the Maryland Department 4
of Emergency Management to administer the Fund; and generally relating to the 5
State Disaster Recovery Fund. 6
BY adding to 7
Article – Public Safety 8
Section 14–110.5 9
Annotated Code of Maryland 10
(2022 Replacement Volume) 11
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 12
That the Laws of Maryland read as follows: 13
Article – Public Safety 14
14–110.5. 15
(A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANING S 16
INDICATED. 17
(2) “FUND” MEANS THE STATE DISASTER RECOVERY FUND. 18
(3) “LOCAL DISASTER DECLARATION” MEANS A FORMAL REQUEST 19
FOR STATE DISASTER RELIEF AND RECOVERY ASSISTA NCE MADE AS A RESULT OF 20
AN EMERGENCY BY THE SENIOR ELECTED OFFICIAL THR OUGH THE LOCAL 21
ORGANIZATION FOR EMERGENCY MANAGE MENT. 22
2 SENATE BILL 650
(B) THERE IS A STATE DISASTER RECOVERY FUND. 1
(C) THE PURPOSE OF THE FUND IS TO PROVIDE : 2
(1) DISASTER RECOVERY ASSISTANCE TO INDIVIDUALS AND FAMI LIES 3
WHEN A UNIT OF LOCAL GOVERNMENT HAS SUBMI TTED A REQUEST FOR A DISASTER 4
DECLARATION BUT A FEDERAL DISASTER DEC LARATION IS NOT RECE IVED; 5
(2) DISASTER RECOVERY ASSISTANCE TO UNITS OF LOCAL 6
GOVERNMENT OF THE STATE FOR THE REPAIR , RESTORATION , RECONSTRUCTION , 7
OR REPLACEMENT OF A PUBLIC FACILITY DAMA GED OR DESTROYED WHE N A 8
FEDERAL DISASTER DEC LARATION IS NOT RECE IVED; 9
(3) LOW–INTEREST OR NO–INTEREST LOANS TO BU SINESSES AND 10
NONPROFITS FOR DISASTER RECOVERY AS SISTANCE WHEN A FEDE RAL DISASTER 11
DECLARATION IS NOT R ECEIVED; 12
(4) DISASTER–RELATED ASSISTANCE FOR UNMET NEEDS OF 13
INDIVIDUALS AND FAMI LIES FOLLOWING A FED ERAL DISASTER DECLARATION; 14
(5) DISASTER–RELATED ASSISTANCE FOR UNMET NEEDS OF 15
INDIVIDUALS AND FAMI LIES WHO HAVE BEEN D ENIED FEDERAL ASSIST ANCE BUT 16
OTHERWISE MEET CRITE RIA ESTABLISHED FOR THE FUND; AND 17
(6) MATCHING FUNDS FOR ASSISTANCE TO INDIVIDUALS AND STATE 18
AND LOCAL GOVERNMENT AL UNITS AFTER A FEDERAL DISASTER DECLARATION. 19
(D) THE FUND: 20
(1) IS A SPECIAL, NONLAPSING FUND THAT IS NOT SUBJECT TO § 21
7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE; 22
(2) SHALL BE AVAILABLE IN PERPETUITY FOR THE P URPOSE OF 23
PROVIDING DISASTER R ECOVERY ASSISTANCE I N ACCORDANCE WITH THE 24
PROVISIONS OF THIS S ECTION; 25
(3) EXCEPT AS PROVIDED I N SUBSECTION (E) OF THIS SECTION, MAY 26
BE USED ONLY IF: 27
(I) THE GOVERNOR HAS DECLARED A STATE OF EMERGENCY; 28
OR 29
SENATE BILL 650 3
(II) A LOCAL ORGANIZATION FOR E MERGENCY MANAGEMENT 1
REQUESTS ASSISTANCE FROM THE FUND; 2
(4) IS NOT INTENDED TO DU PLICATE OR REPLACE F EDERAL 3
DISASTER ASSISTANCE ; AND 4
(5) MAY NOT BE USED FOR A NY OTHER PURPOSE OTH ER THAN THOSE 5
DESCRIBED IN THIS SECTION. 6
(E) A PORTION OF THE FUND MAY BE USED TO A DMINISTER THE FUND, 7
INCLUDING PROVIDING DISASTER CASE MANAGE MENT RESOURCES . 8
(F) BEGINNING IN FISCAL YEAR 2025, THE GOVERNOR SHALL INCLUD E IN 9
THE ANNUAL BUDGET BILL A SUFFICIENT APPROPRIATION TO BRING THE MINIMUM 10
BALANCE OF THE FUND TO AT LEAST $20,000,000 AT THE START OF EACH FISCAL 11
YEAR, WITH FUNDS CONSISTING OF: 12
(1) MONEY APPROPRIATED IN THE STATE BUDGET TO THE FUND; 13
(2) REPAYMENTS OF PRINCIPAL AND INT EREST FROM LOANS MAD E 14
FROM THE FUND; 15
(3) REIMBURSEMENTS FROM THE FEDERAL GOV ERNMENT OR OTHER 16
LEGAL ENTITIES FOR D ISASTER RECOVERY ASS ISTANCE EXPENDITURES MADE 17
FROM THE FUND; AND 18
(4) ANY OTHER MONEY FROM ANY OTHER SOURCE ACCEPTE D FOR 19
THE BENEFIT OF THE FUND. 20
(G) THE STATE TREASURER SHALL INV EST THE MONEY OF THE FUND IN 21
THE SAME MANNER THAT OTHER STATE MONEY MAY BE IN VESTED. 22
(H) ANY FUNDS EXPENDED FR OM THE FUND ARE SUPPLEMENTAL TO AND 23
ARE NOT INTENDED TO TAKE THE PLACE OF FU NDING THAT OTHERWISE WOULD BE 24
APPROPRIATED TO ELIG IBLE RECIPIENTS FROM THE FUND FOR ANY OTHER 25
PURPOSE. 26
(I) THE DEPARTMENT SHALL : 27
(1) ADMINISTER THE FUND; 28
(2) ESTABLISH ELIGIBILITY CRITERIA, POLICIES, AND PROCEDURES 29
FOR THE ADMINISTRATI ON OF THE FUND, WHILE CONSIDERING EXISTING STATE 30 4 SENATE BILL 650
DISASTER RECOVERY PR OGRAMS AND FEDERAL DISASTER RELIEF AND RECOVERY 1
REQUIREMENTS ; AND 2
(3) CONSULT WITH APPROPRI ATE STATE AGENCIES AND LO CAL 3
ORGANIZATIONS FOR EMERGENCY MANAGE MENT IN THE DEVELOPMENT O F 4
ELIGIBILITY CRITERIA , POLICIES, AND PROCEDURES FOR A DMINISTRATION OF THE 5
FUND. 6
(J) THE DEPARTMENT MAY ESTABLISH: 7
(1) REGULATIONS RELATED T O THE ADMINISTRATION OF THE FUND; 8
(2) ACCOUNTS AND SUB –ACCOUNTS WITHIN THE FUND TO 9
EFFECTUATE THE PURPO SES OF THIS SECTION; AND 10
(3) FORMAL ADVISORY BODIE S TO ADVISE ON THE ADMINISTRATION 11
OF THE FUND. 12
(K) (1) ON OR BEFORE DECEMBER 31, 2023, AND ON OR BEFORE EAC H 13
DECEMBER 31 THEREAFTER , THE SECRETARY SHALL REPOR T TO THE GOVERNOR 14
AND, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE 15
GENERAL ASSEMBLY ON THE USE O F THE FUND FOR THE PREVIOUS FISCAL YEAR. 16
(2) THE REPORT SHALL INCL UDE: 17
(I) THE NUMBER OF STATE OF EMERGENCY DECLARATION S BY 18
THE GOVERNOR; 19
(II) THE NUMBER OF LOCAL STATE OF EMERGENCY 20
DECLARATIONS AND LOC AL DISASTER DECLARATION S SUBMITTED TO THE 21
SECRETARY AND THE REASON FOR EACH DECLARATION ; 22
(III) A SUMMARY OF THE DAMAGE ASSESSMENT DA TA RELATED 23
TO EACH DECLARATION , AND THE DISPOSITION OF EACH REQUEST FOR THE 24
PREVIOUS FISCAL YEAR ; 25
(IV) THE AMOUNT OF FUNDING DI STRIBUTED TO EACH ELIGIBLE 26
ENTITY BY THE FUND FOR THE PREVIOUS FIS CAL YEAR; 27
(V) THE FUND BALANCE AT THE END OF THE PR EVIOUS FISCAL 28
YEAR; 29
SENATE BILL 650 5
(VI) ANY FEDERAL DISASTER DEC LARATIONS REQUESTED AND 1
ASSOCIATED DAMAGE AS SESSMENT DATA FO R THE PREVIOUS FISCA L YEAR; 2
(VII) A SUMMARY OF A NY FEDERAL DISASTER ASSISTANCE 3
RECEIVED DURING THE PREVIOUS FISCAL YEAR ; 4
(VIII) A SUMMARY OF ANY REGUL ATIONS ISSUED RELATE D TO THE 5
FUND DURING THE PREVIOUS FISCAL YEAR; AND 6
(IX) ANY RECOMMENDED CHANGES TO THIS SECTION TO 7
INCREASE THE EFFICIENCY AND EFFIC ACY OF THE FUND. 8
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 9
1, 2023. 10