EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0865*
SENATE BILL 865
C8 3lr2728
CF HB 768
By: Senators Corderman and McKay
Introduced and read first time: February 6, 2023
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Economic Development – Western Maryland Economic Future Investment 2
Board and Senator George C. Edwards Fund – Alterations 3
FOR the purpose of renaming the Western Maryland Economic Future Investment Board 4
to be the Western Maryland Economic Future Investment Vetting Board; 5
establishing and specifying the purpose of the Western Maryland Economic Future 6
Investment Voting Board; establishing an Executive Director for the Vetting Board 7
and the Voting Board; altering the manner in which decisions are made regarding 8
certain proposals for funding; and generally relating to the Western Maryland 9
Economic Future Investment Boards and the Senator George C. Edwards Fund. 10
BY repealing and reenacting, without amendments, 11
Article – Economic Development 12
Section 13–701(a), (c), and (e) 13
Annotated Code of Maryland 14
(2018 Replacement Volume and 2022 Supplement) 15
BY repealing and reenacting, with amendments, 16
Article – Economic Development 17
Section 13–736 through 13–741 18
Annotated Code of Maryland 19
(2018 Replacement Volume and 2022 Supplement) 20
BY adding to 21
Article – Economic Development 22
Section 13–738 and 13–739 23
Annotated Code of Maryland 24
(2018 Replacement Volume and 2022 Supplement) 25
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 26
That the Laws of Maryland read as follows: 27 2 SENATE BILL 865
Article – Economic Development 1
13–701. 2
(a) In this subtitle the following words have the meanings indicated. 3
(c) “Council” means the Tri–County Council for Western Maryland. 4
(e) “Member county” means each county in the region that pays annual dues that 5
the Council sets. 6
13–736. 7
(a) In this part the following words have the meanings indicated. 8
[(b) “Board” means the Western Maryland Economic Future Investment Board 9
established under § 13–737 of this subtitle.] 10
(B) “EXECUTIVE DIRECTOR” MEANS THE EXECUTIVE DIRECTOR OF THE 11
VETTING BOARD AND THE VOTING BOARD. 12
(c) “Fund” means the Senator George C. Edwards Fund established under [§ 13
13–738] § 13–740 of this subtitle. 14
(D) “VETTING BOARD” MEANS THE WESTERN MARYLAND ECONOMIC 15
FUTURE INVESTMENT VETTING BOARD ESTABLISHED UND ER § 13–737 OF THIS 16
SUBTITLE. 17
(E) “VOTING BOARD” MEANS THE WESTERN MARYLAND ECONOMIC 18
FUTURE INVESTMENT VOTING BOARD ESTABLISHED UND ER § 13–738 OF THIS 19
SUBTITLE. 20
13–737. 21
(a) There is a Western Maryland Economic Future Investment VETTING Board. 22
(b) The VETTING Board consists of the following members: 23
(1) one representative from the Department of Commerce, appointed by the 24
Secretary of Commerce; 25
[(2) one commissioner from each member county, appointed by each 26
member county’s respective commissioners;] 27
SENATE BILL 865 3
[(3)] (2) one representative of an economic development organization in 1
each member county, appointed by each member county’s respective commissioners; 2
[(4)] (3) one representative from the [chamber of commerce from each 3
member county, appointed by each member county’s respective chamber of commerce] 4
PRIVATE SECTOR IN DISTRICT 1, APPOINTED BY THE DISTRICT 1 DELEGATION TO 5
THE MARYLAND GENERAL ASSEMBLY; and 6
[(5)] (4) one representative from the [Maryland Municipal League, 7
appointed by the Executive Director of the League] PRIVATE SECTOR IN DISTRICT 2, 8
APPOINTED BY THE DISTRICT 2 DELEGATION TO THE MARYLAND GENERAL 9
ASSEMBLY. 10
(c) The [representative from the Department of Commerce shall] VETTING 11
BOARD MAY ELECT A chair [the Board] FROM AMONG ITS MEMBE RS. 12
(d) The Council shall provide staff for the VETTING Board. 13
(e) A member of the VETTING Board: 14
(1) may not receive compensation as a member of the Board; but 15
(2) is entitled to reimbursement for expenses under the Standard State 16
Travel Regulations, as provided in the State budget. 17
(F) THE PRIVATE SECTOR IN DIVIDUALS APPOINTED UNDER SUBSECTION 18
(B)(3) AND (4) OF THIS SECTION MAY BE THE SAME IND IVIDUALS AS APPOINTED 19
UNDER § 13–738(B)(2) OF THIS SUBTITLE. 20
13–738. 21
(A) THERE IS A WESTERN MARYLAND ECONOMIC FUTURE INVESTMENT 22
VOTING BOARD. 23
(B) THE VOTING BOARD CONSISTS OF THE FOLLOWING MEMBERS : 24
(1) ONE COMMISSIONER FRO M EACH MEMBER COUNTY , APPOINTED 25
BY EACH MEMBER COUNT Y’S RESPECTIVE COMMISS IONERS; AND 26
(2) THE TWO MEMBERS OF THE VETTING BOARD WHO ARE 27
REPRESENTATIVES FROM THE PRIVATE SECTOR . 28
(3) THE CURRENT SENATORS OF DISTRICT 1 AND DISTRICT 2 MAY 29
SERVE AS NONVOTING MEMBERS OF TH E VETTING BOARD. 30 4 SENATE BILL 865
(C) THE COUNCIL MAY PROVIDE STAFF FOR TH E VOTING BOARD. 1
(D) A MEMBER OF THE VOTING BOARD: 2
(1) MAY NOT RECEIVE COMP ENSATION AS A MEMBER OF THE BOARD; 3
BUT 4
(2) IS ENTITLED TO REIMB URSEMENT FOR EXPENSE S UNDER THE 5
STANDARD STATE TRAVEL REGULATIONS, AS PROVIDED IN THE STATE BUDGET . 6
(E) THE VOTING BOARD SHALL HAVE FINAL APPROVAL AUTHO RITY ON: 7
(1) DISBURSEMENTS FROM T HE FUND; AND 8
(2) PROJECTS SELECTED IN ACCORDAN CE WITH § 13–741 OF THIS 9
SUBTITLE. 10
(F) THE PRIVATE SECTOR IN DIVIDUALS APPOINTED UNDER SUBSECTION 11
(B)(2) OF THIS SECTION MAY BE THE SAME INDIVIDU ALS APPOINTED UNDER § 12
13–737(B)(3) AND (4) OF THIS SUBTITLE. 13
13–739. 14
(A) THE VOTING BOARD SHALL APPOINT A N EXECUTIVE DIRECTOR. 15
(B) THE EXECUTIVE DIRECTOR SERVES AT TH E PLEASURE OF THE 16
VETTING BOARD AND THE VOTING BOARD. 17
(C) THE SALARY OF THE EXECUTIVE DIRECTOR SHALL BE UP TO $75,000. 18
(D) THE EXECUTIVE DIRECTOR SHALL MANAGE THE ADMINISTRATIVE 19
AFFAIRS AND TECHNICA L ACTIVITIES OF THE VETTING BOARD AND THE VOTING 20
BOARD, IN ACCORDANCE WITH P OLICIES AND PROCEDUR ES THE VETTING BOARD 21
AND VOTING BOARD ESTABLISH . 22
(E) THE EXECUTIVE DIRECTOR SHALL : 23
(1) ADMINISTER THE FUND UNDER § 13–740 OF THIS SUBTITLE; 24
(2) PRESENT THE PROJECTS SELECTED IN ACCORDAN CE WITH § 25
13–741 OF THIS SUBTITLE AS VETTED BY THE VETTING BOARD TO THE VOTING 26
BOARD; AND 27 SENATE BILL 865 5
(2) PERFORM ANY OTHER DU TIES THAT THE VETTING BOARD AND 1
THE VOTING BOARD DIRECT IN CARRY ING OUT THIS PART. 2
[13–738.] 13–740. 3
(a) There is a Senator George C. Edwards Fund. 4
(b) The purpose of the Fund is to provide grant or loan funding to capital 5
infrastructure projects and business development projects that improve the economic 6
conditions in the region. 7
(c) The [Council] EXECUTIVE DIRECTOR shall administer the Fund. 8
(d) (1) The Fund consists of: 9
(i) appropriations as provided in the State budget; 10
(ii) interest or other income earned on the investment of money in 11
the Fund; and 12
(iii) any other money accepted for the benefit of the Fund. 13
(2) In each of fiscal years 2024 through 2026, the Governor shall include in 14
the annual operating or capital budget bill an appropriation of at least $10,000,000 to the 15
Fund. 16
(e) Money in the Fund may be used only to: 17
(1) award grants and provide loans to capital infrastructure projects and 18
business development projects to improve the economic conditions in the region; and 19
(2) pay the costs necessary to administer the Fund, INCLUDING PAYING 20
THE SALARY OF THE EXECUTIVE DIRECTOR. 21
(f) (1) The Fund is a special, nonlapsing fund that is not subject to reversion 22
under § 7–302 of the State Finance and Procurement Article. 23
(2) The State Treasurer shall hold the Fund separately, and the 24
Comptroller shall account for the Fund. 25
(3) The State Treasurer shall invest the money in the Fund in the same 26
manner as other State money may be invested. 27
(4) Any investment earnings of the Fund shall be credited to the Fund. 28
6 SENATE BILL 865
[13–739.] 13–741. 1
(a) A member county or local entity within a member county may submit a 2
proposal for funding under this part. 3
(b) To qualify for funding, a project shall be: 4
(1) a capital infrastructure project that: 5
(i) is linked to economic development in the region, as approved by 6
the VETTING Board; and 7
(ii) receives 20% matching funds from the member county where the 8
project is located, another local entity, a private business, or a combination thereof; 9
(2) a business development project that: 10
(i) encourages and promotes downtown neighborhood 11
revitalization, small business tourism, or other areas as approved by the VETTING Board; 12
and 13
(ii) receives 10% matching funds from the member county where the 14
project is located, another local entity, a private business, or a combination thereof; or 15
(3) any other project that the VETTING Board determines is appropriate 16
to promote economic development in the region. 17
(c) (1) (i) The VETTING Board shall develop criteria to review, evaluate, 18
and rate project proposals for funding under this part. 19
(ii) The criteria in subparagraph (i) of this paragraph shall ensure 20
that the project: 21
1. creates or retains jobs; 22
2. creates or retains businesses; 23
3. increases wages; or 24
4. creates new State or local tax revenue. 25
(2) (I) THE VOTING BOARD SHALL CHOOSE WHICH PROJECTS TO 26
AWARD GRANTS AND LOA NS TO BASED ON THE C RITERIA DEVELOPED IN 27
ACCORDANCE WITH PARA GRAPH (1) OF THIS SUBSECTION . 28
(II) The VETTING Board shall distribute grants and loans to projects 29 SENATE BILL 865 7
based on [the criteria developed in accordance with paragraph (1) of this subsection] THE 1
DECISIONS MADE BY TH E VOTING BOARD IN ACCORDANCE W ITH SUBPARAGRAPH (I) 2
OF THIS PARAGRAPH . 3
(d) (1) The VETTING Board shall monitor and track the progress of each 4
project that receives funding under this part. 5
(2) If the VETTING Board determines that sufficient progress is not being 6
made toward achieving the requirements of this section, the VETTING Board may reclaim 7
the awarded funds. 8
(e) The funding provided in this section shall be used to supplement and not 9
supplant any funds that would otherwise be provided to the VETTING Board or the member 10
counties. 11
[13–740.] 13–742. 12
(a) On or before December 31 each year, the VETTING Board shall report to the 13
Governor and, in accordance with § 2–1257 of the State Government Article, the General 14
Assembly on the implementation of this part. 15
(b) The report required in subsection (a) of this section shall include, 16
disaggregated by member county: 17
(1) the number of new projects funded during the previous year; 18
(2) the number of projects that were completed during the previous year; 19
(3) the number of ongoing projects that were not completed during the 20
previous year; 21
(4) the amount and type of funding received by each project; 22
(5) the current status of each ongoing project; and 23
(6) any other relevant economic metrics determined by the VETTING 24
Board. 25
[13–741.] 13–743. 26
The VETTING Board shall adopt regulations to carry out this part. 27
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 28
October 1, 2023. 29