Maryland 2024 Regular Session

Maryland House Bill HB918 Latest Draft

Bill / Chaptered Version Filed 05/15/2024

                             	WES MOORE, Governor 	Ch. 435 
 
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Chapter 435 
(House Bill 918) 
 
AN ACT concerning 
 
State Treasurer and Comptroller – Membership Responsibilities 
 
FOR the purpose of removing the State Treasurer from the Board of Trustees for the 
Maryland Agricultural Land Preservation Foundation and repealing certain related 
authority and duties; removing the State Treasurer or the State Treasurer’s designee 
from the Maryland Commission on Climate Change, the Board of Directors for the 
Maryland Environmental Service, and the Coast Smart Council; adding the 
Comptroller or the Comptroller’s designee as a member of the Maryland Commission 
on Climate Change and the Coast Smart Council; and generally relating to 
membership responsibilities of the State Treasurer and Comptroller.  
 
BY repealing and reenacting, with amendments, 
 Article – Agriculture 
Section 2–503(a)(1), 2–510(d), (e), (i), and (k), 2–512(b) and (d), and 2–514(g), (h), and 
(i)(4)(i) 
 Annotated Code of Maryland 
 (2016 Replacement Volume and 2023 Supplement) 
 
BY repealing and reenacting, without amendments, 
 Article – Agriculture 
Section 2–510(a), (b), and (c) and 2–514(a), (b), (c), and (i)(1) 
 Annotated Code of Maryland 
 (2016 Replacement Volume and 2023 Supplement) 
 
BY repealing and reenacting, without amendments, 
 Article – Environment 
Section 2–1301(a) 
 Annotated Code of Maryland 
 (2013 Replacement Volume and 2023 Supplement) 
 
BY repealing and reenacting, with amendments, 
 Article – Environment 
Section 2–1302(a) 
 Annotated Code of Maryland 
 (2013 Replacement Volume and 2023 Supplement) 
 
BY repealing and reenacting, without amendments, 
 Article – Natural Resources 
Section 3–103(a) 
 Annotated Code of Maryland 
 (2023 Replacement Volume and 2023 Supplement)  Ch. 435 	2024 LAWS OF MARYLAND  
 
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BY repealing and reenacting, with amendments, 
 Article – Natural Resources 
Section 3–103(b) and 3–1005(a) 
 Annotated Code of Maryland 
 (2023 Replacement Volume and 2023 Supplement) 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 
That the Laws of Maryland read as follows: 
 
Article – Agriculture 
 
2–503. 
 
 (a) (1) The Maryland Agricultural Land Preservation Foundation shall be 
governed and administered by a board of trustees composed of: 
 
 (i) The [State Treasurer, the] Comptroller, the Secretary of 
Planning, and the Secretary, all of whom shall serve as ex officio members; 
 
 (ii) Nine members from the State at–large to be appointed by the 
Governor, at least six of whom shall be farmer representatives who are engaged in or 
retired from active farming from different areas of the State, and four of whom shall be 
appointed as follows: 
 
 1. One from a list of three nominees submitted by the 
Maryland Agricultural Commission; 
 
 2. One from a list of three nominees submitted by the 
Maryland Farm Bureau; 
 
 3. One from a list of three nominees submitted by the 
Maryland State Grange; and 
 
 4. One from a list of three nominees submitted by the Young 
Farmers Advisory Board; and 
 
 (iii) Any designee appointed by an ex officio member under 
paragraph (3) of this subsection. 
 
2–510. 
 
 (a) An owner of agricultural land whose application to sell an easement has been 
approved by the county under this subtitle may sell an easement to the Foundation on the 
contiguous acreage of the agricultural land, subject to the requirements of this subtitle and 
regulations of the Foundation.   	WES MOORE, Governor 	Ch. 435 
 
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 (b) In order to be considered by the Foundation, an application to sell shall: 
 
 (1) Be received by the board at a time the board determines for the fiscal 
year in which the application is to be considered; 
 
 (2) Include an asking price at which the owner is willing to sell an 
easement; and 
 
 (3) Include a complete description of the land for the proposed easement. 
 
 (c) The board shall determine the maximum number of applications that it will 
accept from each county in each offer cycle. 
 
 (d) (1) Within 30 days after the receipt of an application from the county 
governing body, the Foundation shall notify the landowner and the county governing body 
of the receipt and sufficiency of the application.  
 
 (2) If the original application is insufficient, the Foundation shall specify 
the reason for insufficiency, and the Foundation shall grant an additional 30 days for the 
landowner to remedy the insufficiency.  
 
 (3) If the application is made sufficient within 30 days of the notification 
by the Foundation, the application shall be considered as if it had originally been submitted 
in a timely and sufficient manner. 
 
 (e) (1) If the application is submitted to the Foundation prior to county 
approval, then within 60 days of the notification of sufficiency of the application, the county 
governing body shall advise the Foundation as to the county’s approval or disapproval of 
the application.  
 
 (2) The Foundation shall grant a 30–day extension of this approval period 
if the county governing body applies to the Foundation for an extension and states its 
reasons for seeking an extension. 
 
 (i) (1) [Upon] ON approval of a majority of the board members at–large, and 
[upon] ON the recommendation of [the State Treasurer and] the Secretary, an application 
to sell shall be approved, and an offer to buy containing the specific terms of the purchase 
shall be tendered to the landowner.  
 
 (2) An offer to buy may specify terms, contingencies, and conditions not 
contained in the original application. 
 
 (k) (1) (I) At the time of settlement of the purchase of an easement, the 
landowner and the Foundation may agree [upon] ON and establish a schedule of payment 
such that the landowner may receive consideration for the easement in a lump sum, in  Ch. 435 	2024 LAWS OF MARYLAND  
 
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installments over a period of up to 10 years from the date of settlement, or as provided in 
an installment purchase agreement under paragraph (3) of this subsection.  
 
 (II) At the time of settlement, the Foundation shall notify in writing 
each landowner who sells an agricultural easement to the Foundation of the schedule of 
anticipated ranges of interest rates to be paid on any unpaid balance after the date of 
settlement. 
 
 (2) (i) If a schedule of installments is agreed [upon] ON, the 
Comptroller shall retain in the Maryland Agricultural Land Preservation Fund an amount 
of money sufficient to pay the landowner according to the schedule. 
 
 (ii) 1. The landowner shall receive interest on any unpaid 
balance remaining after the date of settlement.  
 
 2. The State Treasurer shall invest the unpaid balance 
remaining after the date of settlement in a certificate or certificates of deposit at the 
maximum interest rate offered by a bank servicing the State or at such other institutions 
which pay the maximum interest rates payable on time and savings deposits at federally 
insured commercial banks selected by the Treasurer, to mature in accordance with an 
agreed [upon] ON schedule of installments as provided in this section. 
 
 3. Any interest earned on the invested unpaid balance shall 
be paid with the installment when due, less 1/4 of 1 percent. 
 
 (3) (i) The Foundation may pay the landowner according to a schedule, 
up to a maximum term of 15 years, established in an installment purchase agreement. 
 
 (ii) The installment purchase agreement shall: 
 
 1. Require that the Foundation make annual equal 
payments to the landowner of interest on the outstanding balance of the purchase price; 
 
 2. Require that the Foundation pay the landowner the 
remainder of the purchase price at the end of the term; 
 
 3. State the total amount of money the Foundation will pay 
the landowner, the interest rate, and the terms of the agreement; and 
 
 4. Require that the easement be recorded within 30 days of 
settlement. 
 
2–512. 
   	WES MOORE, Governor 	Ch. 435 
 
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 (b) The Foundation may approve a local program of agricultural land 
preservation [upon] ON request of a county, provided that: 
 
 (1) The county shall agree to make payments up to a specified aggregate 
amount to the Maryland Agricultural Land Preservation Fund to equal at least 40 percent 
of the value of any easement acquired by the Foundation as a result of a matching allotted 
purchase, made during the ensuing fiscal year; and 
 
 (2) The county shall show evidence that any county program for the 
acquisition of agricultural land for preservation, or easements for purposes of preservation 
of agricultural land, will not result in preservation of land which does not meet the 
minimum standards set by the Foundation under § 2–509 of this subtitle; and 
 
 (3) The request for approval of a local program must be submitted to the 
Foundation, together with any necessary agreements not later than 90 days prior to the 
beginning of the fiscal year for which approval is being sought. 
 
 (d) Local programs shall be approved [upon] ON the affirmative vote of a majority 
of the Foundation members at–large, and [upon] ON approval of the Secretary [and the 
State Treasurer]. 
 
2–514. 
 
 (a) (1) This section applies only to easements approved for purchase by the 
Board of Public Works on or before September 30, 2004. 
 
 (2) All easements approved for purchase by the Board of Public Works on 
or after October 1, 2004, are perpetual and not eligible for termination. 
 
 (b) An easement approved by the Board of Public Works on or before September 
30, 2004, and held by the Foundation may be terminated only under extraordinary 
circumstances and in the manner specified in this section. 
 
 (c) (1) Except as provided in paragraph (2) of this subsection, after 25 years 
from the date of purchase of an easement, a landowner may request that the easement be 
reviewed for possible termination, subject to the requirements of this section. 
 
 (2) A landowner is not eligible to terminate any easement: 
 
 (i) Purchased using an installment purchase agreement, as 
provided in § 2–510(k) of this subtitle; or 
 
 (ii) Approved for purchase by the Board of Public Works on or after 
October 1, 2004. 
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 (g) (1) If the board of trustees members at large deny the request for 
termination because they determine that it is feasible to farm the land in a profitable 
manner, the termination review process ends and the Foundation is not required to 
continue to consider the request for termination. 
 
 (2) If the board of trustees members at large approve the request for 
termination, the Secretary [and State Treasurer] shall review the request. 
 
 (h) (1) If both the county governing body and the board of trustees members at 
large approve a request for termination, an easement shall be terminated only if [both] the 
Secretary [and the State Treasurer approve] APPROVES the request for termination. 
 
 (2) The Secretary [and the State Treasurer’s designee serving on the board 
of trustees] may approve or deny the request for termination. 
 
 (i) (1) If the request for termination is approved, two fair market value 
appraisals of the subject land shall be ordered by the Department of General Services at 
the direction of the Foundation at the expense of the landowner requesting termination of 
the easement. 
 
 (4) (i) [Upon] ON receipt of the written statement from the 
Department of General Services, the Foundation shall issue a notification to the landowner 
of the approved fair market value. 
 
Article – Environment 
 
2–1301. 
 
 (a) There is a Commission on Climate Change in the Department to advise the 
Governor and General Assembly on ways to mitigate the causes of, prepare for, and adapt 
to the consequences of climate change. 
 
2–1302. 
 
 (a) The Commission’s membership shall consist of the following members: 
 
 (1) One member of the House of Delegates, appointed by the Speaker of the 
House; 
 
 (2) One member of the Senate, appointed by the President of the Senate; 
 
 (3) [The State Treasurer COMPTROLLER , or the State Treasurer’s 
COMPTROLLER ’S designee; 
 
 (4)] The Secretary of the Environment, or the Secretary’s designee;   	WES MOORE, Governor 	Ch. 435 
 
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 [(5)] (4) The Secretary of Agriculture, or the Secretary’s designee; 
 
 [(6)] (5) The Secretary of Natural Resources, or the Secretary’s designee; 
 
 [(7)] (6) The Secretary of Planning, or the Secretary’s designee; 
 
 [(8)] (7) The State Superintendent of Schools, or the State 
Superintendent’s designee; 
 
 [(9)] (8) The Secretary of Transportation, or the Secretary’s designee; 
 
 [(10)] (9) The Secretary of General Services, or the Secretary’s designee; 
 
 [(11)] (10) The Director of the Maryland Energy Administration, or the 
Director’s designee; 
 
 [(12)] (11) The People’s Counsel, or the People’s Counsel’s designee; 
 
 [(13)] (12) The President of the University of Maryland Center for 
Environmental Science, or the President’s designee; 
 
 [(14)] (13) The Chair of the Critical Area Commission for the Chesapeake 
and Atlantic Coastal Bays, or the Chair’s designee; 
 
 [(15)] (14) One member appointed by the Farm Bureau representing the 
agriculture community; 
 
 [(16)] (15) One member appointed by the Maryland Association of Counties 
and one member appointed by the Maryland Municipal League to represent local 
governments; 
 
 [(17)] (16) One member appointed by the President of the Senate and one 
member appointed by the Speaker of the House of Delegates to represent the business 
community; 
 
 [(18)] (17) One member appointed by the President of the Senate and one 
member appointed by the Speaker of the House of Delegates to represent environmental 
nonprofit organizations; 
 
 [(19)] (18) One member appointed by the President of the Senate and one 
member appointed by the Speaker of the House to represent organized labor, one of whom 
shall represent the building or construction trades and one of whom shall represent the 
manufacturing industry; 
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 [(20)] (19) One member appointed by the President of the Senate and one 
member appointed by the Speaker of the House to represent philanthropic organizations; 
 
 [(21)] (20) One climate change expert appointed by the Governor 
representing a university located in Maryland; and 
 
 [(22)] (21) One public health expert appointed by the Governor representing 
a university located in Maryland. 
 
Article – Natural Resources 
 
3–103. 
 
 (a) (1) There is a body politic and corporate known as the “Maryland 
Environmental Service”. 
 
 (2) The Service is an instrumentality of the State and a public corporation 
by that name, style, and title, and the exercise by the Service of the powers conferred by 
this subtitle is the performance of an essential governmental function of the State. 
 
 (b) (1) There are four officers of the Service: 
 
 (i) An Executive Director; 
 
 (ii) A Deputy Director; 
 
 (iii) A Secretary; and 
 
 (iv) A Treasurer. 
 
 (2) (i) The four officers of the Service shall be appointed in accordance 
with this paragraph. 
 
 (ii) 1. The Executive Director shall be appointed by the 
Governor, with the advice and consent of the Senate solely with regard to the qualifications 
for the duties of the office. 
 
 2. The Executive Director serves at the pleasure of the Board 
with the concurrence of the Governor and shall receive such compensation as may be 
determined by the Board. 
 
 (iii) 1. The Deputy Director shall be appointed by the Executive 
Director with the approval of the Governor solely with regard to the qualifications for the 
duties of the office. 
   	WES MOORE, Governor 	Ch. 435 
 
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 2. The Deputy Director serves at the pleasure of the 
Executive Director and shall receive such compensation as may be determined by the 
Board. 
 
 (iv) 1. The Secretary and the Treasurer shall be selected by the 
Board from among the Board’s members. 
 
 2. The Secretary and the Treasurer serve at the pleasure of 
the Board and shall receive such compensation as may be reasonably determined by the 
Board. 
 
 (3) The Board of Directors of the Service shall consist of the following 
members: 
 
 (i) The Executive Director, who shall serve as a nonvoting member; 
 
 (ii) [The State Treasurer, or the State Treasurer’s designee; 
 
 (iii)] Three members from the public sector in the State in positions 
responsible for environmental, water, wastewater, or solid waste management; 
 
 [(iv)] (III) One member from the private sector in the State with 
technical, financial, development, or legal experience related to environmental, water, 
wastewater, or solid waste management; 
 
 [(v)] (IV) One member from the private sector in the State with 
financial experience related to environmental, water, wastewater, or solid waste 
management; and 
 
 [(vi)] (V) One member from the private sector in the State with 
experience or expertise in matters related to business ethics, preferably involving board of 
director ethics and conflicts of interest. 
 
 (4) (i) Subject to subparagraphs (ii), (iii), and (iv) of this paragraph, the 
public sector and private sector members of the Board, as set forth in paragraph [(3)(iii)] 
(3)(II) through [(vi)] (V) of this subsection shall be appointed by the Governor with the 
advice and consent of the Senate. 
 
 (ii) The Governor shall select at least one of the public sector 
members of the Board from a list of recommendations jointly compiled by the Maryland 
Association of Counties and the Maryland Municipal League. 
 
 (iii) The Governor may not appoint an employee of the Service to the 
Board. 
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 (iv) At least one of the public sector or private sector members shall 
be a resident of a rural county in the State. 
 
 (5) (i) [Five] FOUR members constitute a quorum for the transaction 
of business of the Board. 
 
 (ii) The affirmative vote of at least [five] FOUR members is 
necessary for any action taken by the Board. 
 
 (6) Those members of the Board not already holding a public office shall 
receive from the Service: 
 
 (i) Per diem compensation as established by the Board; and 
 
 (ii) Reimbursement for expenses under Standard State Travel 
Regulations. 
 
 (7) The term of a member [other than the State Treasurer] is 4 years. 
 
 (8) The terms of members [other than the State Treasurer] are staggered 
as required by the terms provided for those members of the Board on July 1, 2021. 
 
 (9) At the end of a term, a member continues to serve until a successor is 
appointed and qualifies. 
 
 (10) A member who is appointed after a term has begun serves only the 
remainder of that term and until a successor is appointed and qualifies. 
 
 (11) A member of the Board who is appointed under paragraph (3)(iii) 
through (vi) of this subsection may serve only two consecutive full 4–year terms, plus any 
partial term served before the initial 4–year term. 
 
 (12) Subject to paragraphs (13) and (14) of this subsection, the Board shall 
select a Chair from among the Board’s members. 
 
 (13) The Executive Director may not serve as the Secretary, Treasurer, or 
Chair of the Board. 
 
 [(14) The State Treasurer may not serve as the Secretary, Treasurer, or 
Chair of the Board.] 
 
Article – Natural Resources  
 
3–1005. 
 
 (a) The Coast Smart Council shall include:   	WES MOORE, Governor 	Ch. 435 
 
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 (1) The Secretary of Natural Resources, or the Secretary’s designee; 
 
 (2) The Secretary of Budget and Management, or the Secretary’s designee; 
 
 (3) The Secretary of the Environment, or the Secretary’s designee; 
 
 (4) The Secretary of General Services, or the Secretary’s designee; 
 
 (5) The Secretary of Planning, or the Secretary’s designee; 
 
 (6) The Secretary of Transportation, or the Secretary’s designee; 
 
 (7) The Secretary of Commerce, or the Secretary’s designee; 
 
 (8) The Chair of the Critical Area Commission for the Chesapeake and 
Atlantic Coastal Bays, or the Chair’s designee; 
 
 (9) The Secretary of Emergency Management, or the Secretary’s designee; 
 
 (10) [The State Treasurer COMPTROLLER , or the State Treasurer’s 
COMPTROLLER ’S designee; 
 
 (11)] The Chancellor of the University System of Maryland, or the 
Chancellor’s designee; and 
 
 [(12)] (11) Five members appointed by the Governor to represent local 
government, environmental, and business interests. 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 
1, 2024.  
 
Approved by the Governor, May 9, 2024.