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. *sb1022* SENATE BILL 1022 F2 4lr2146 CF HB 1244 By: Senators King and Watson Introduced and read first time: February 2, 2024 Assigned to: Education, Energy, and the Environment Committee Report: Favorable with amendments Senate action: Adopted Read second time: February 27, 2024 CHAPTER ______ AN ACT concerning 1 Maryland Higher Education Commission – Academic Program Approval and 2 Institutional Mission Statements – Requirements 3 FOR the purpose of requiring the Maryland Department of Labor, the Department of 4 Commerce, and the Maryland Higher Education Commission to each have a certain 5 staff member who performs perform certain duties related to defining, identifying, 6 and compiling data regarding the workforce needs in the State and who works work 7 collaboratively across certain agencies in a certain manner; altering certain 8 requirements for the State Plan of Higher Education; requiring the Commission to 9 establish a Program Review Process Advisory Council; altering certain requirements 10 regarding the Commission’s academic program approval process; requiring the 11 Commission to develop and publish on its website on or before a certain date an 12 administrative procedures guide for the Commission’s program review process; 13 requiring the Commission to conduct a review of certain approved programs that 14 were subject to an objection of a historically Black college or university; requiring 15 certain institutions of higher education to submit to the Commission a certain letter 16 of intent regarding intended new graduate programs; establishing the Proposed 17 Programs Collaborative Grant Fund to award grants to certain public institutions of 18 higher education that collaborate to establish and implement new academic 19 graduate programs; authorizing the Commission to develop a program review 20 process for certain online programs in a certain manner; authorizing the Commission 21 or an institution of higher education to file an objection to implementation of a 22 proposed online program under certain circumstances; altering requirements for the 23 Commission’s review and approval of the mission statements of public institutions 24 of higher education; requiring the Commission, in collaboration with institutions of 25 2 SENATE BILL 1022 higher education, to evaluate the process for reviewing academic program proposals 1 for a certain purpose and to review the standard for triggering a review of a 2 substantial modification to an existing academic program; requiring the Commission 3 to update the State Plan for Higher Education on or before a certain date; and 4 generally relating to academic program approval, institutional mission statements, 5 and the Maryland Higher Education Commission. 6 BY renumbering 7 Article – Education 8 Section 11–206.2, 11–206.3, and 11–206.4 9 to be Section 11–206.5, 11–206.6, and 11–206.7, respectively 10 Annotated Code of Maryland 11 (2022 Replacement Volume and 2023 Supplement) 12 BY repealing and reenacting, without amendments, 13 Article – Business Regulation 14 Section 1–101(a) and (f) 15 Annotated Code of Maryland 16 (2015 Replacement Volume and 2023 Supplement) 17 BY adding to 18 Article – Business Regulation 19 Section 2–103.2 20 Annotated Code of Maryland 21 (2015 Replacement Volume and 2023 Supplement) 22 BY repealing and reenacting, without amendments, 23 Article – Economic Development 24 Section 1–101(a) and (c) 25 Annotated Code of Maryland 26 (2018 Replacement Volume and 2023 Supplement) 27 BY repealing and reenacting, with amendments, 28 Article – Economic Development 29 Section 2.5–106(17) and (18) 30 Annotated Code of Maryland 31 (2018 Replacement Volume and 2023 Supplement) 32 BY adding to 33 Article – Economic Development 34 Section 2.5–106(19) 35 Annotated Code of Maryland 36 (2018 Replacement Volume and 2023 Supplement) 37 BY repealing and reenacting, with amendments, 38 Article – Education 39 Section 11–104, 11–105(b)(2) and (3), 11–106, 11–206, 11–206.1, and 11–302 40 SENATE BILL 1022 3 Annotated Code of Maryland 1 (2022 Replacement Volume and 2023 Supplement) 2 BY adding to 3 Article – Education 4 Section 11–206.2, 11–206.3, and 11–206.4 5 Annotated Code of Maryland 6 (2022 Replacement Volume and 2023 Supplement) 7 BY repealing and reenacting, without amendments, 8 Article – State Finance and Procurement 9 Section 6–226(a)(2)(i) 10 Annotated Code of Maryland 11 (2021 Replacement Volume and 2023 Supplement) 12 BY repealing and reenacting, with amendments, 13 Article – State Finance and Procurement 14 Section 6–226(a)(2)(ii)189. and 190. 15 Annotated Code of Maryland 16 (2021 Replacement Volume and 2023 Supplement) 17 BY adding to 18 Article – State Finance and Procurement 19 Section 6–226(a)(2)(ii)191. 20 Annotated Code of Maryland 21 (2021 Replacement Volume and 2023 Supplement) 22 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 23 That Section(s) 11–206.2, 11–206.3, and 11–206.4 of Article – Education of the Annotated 24 Code of Maryland be renumbered to be Section(s) 11–206.5, 11–206.6, and 11–206.7, 25 respectively. 26 SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 27 as follows: 28 Article – Business Regulation 29 1–101. 30 (a) In this article the following words have the meanings indicated. 31 (f) “Department” means the Maryland Department of Labor. 32 2–103.2. 33 THE DEPARTMENT SHALL HAVE AT LEAST ONE FULL –TIME STAFF MEMBER 34 WHO IS RESPONSIBLE F OR: 35 4 SENATE BILL 1022 (1) DEFINING, IDENTIFYING, AND COMPILING DATA ON STATE AND 1 REGIONAL WORKFORCE N EEDS; AND 2 (2) WORKING COLLABORATIV ELY WITH THE DEPARTMENT OF 3 COMMERCE AND THE MARYLAND HIGHER EDUCATION COMMISSION TO PRODUCE 4 UNIFORM AND CONSISTE NT BASELINE DATA , INCLUDING COMMON SOU RCES AND 5 MEASUREMENTS , ABOUT WORKFORCE NEED S TO INFORM STATE POLICIES 6 RELATING TO POSTSECO NDARY EDUCATION . 7 Article – Economic Development 8 1–101. 9 (a) In this division the following words have the meanings indicated. 10 (c) “Department” means the Department of Commerce. 11 2.5–106. 12 The Department shall: 13 (17) facilitate regular meetings among its regional experts, financial 14 incentive team, and tourism development team to determine the success in meeting overall 15 economic development strategic goals and in addressing the economic development needs 16 of each region; [and] 17 (18) work with community colleges to enhance the role of community 18 colleges in providing workforce training services, including industry–specific education and 19 training in response to the needs of the State; AND 20 (19) HAVE AT LEAST ONE FU LL–TIME STAFF MEMBER WHO IS 21 RESPONSIBLE FOR : 22 (I) DEFINING, IDENTIFYING, AND COMPILING DEFINE, 23 IDENTIFY, AND COMPILE DATA ON STATE AND REGIONAL WO RKFORCE NEEDS ; AND 24 (II) WORKING WORK COLLABORATIVELY WITH THE MARYLAND 25 DEPARTMENT OF LABOR AND THE MARYLAND HIGHER EDUCATION COMMISSION 26 TO PRODUCE UNIFORM A ND CONSISTENT BASELI NE DATA, INCLUDING COMMON 27 SOURCES AND MEASUREM ENTS, ABOUT WORKFORCE NEED S TO INFORM STATE 28 POLICIES RELATING TO POSTSECONDARY EDUCAT ION. 29 Article – Education 30 SENATE BILL 1022 5 11–104. 1 (a) The Governor shall appoint, with the advice and consent of the Senate, a 2 Secretary of Higher Education. 3 (b) (1) The Secretary shall: 4 (i) Select, organize, and direct the staff of the Commission; 5 (ii) Perform the duties the Commission assigns; 6 (iii) See that the policies and decisions of the Commission are carried 7 out; 8 (iv) Serve at the pleasure of the Governor; and 9 (v) Be a member of the Governor’s Executive Council. 10 (2) (i) After consideration of the recommendations of the Commission, 11 the Governor shall include in the annual budget request the salary for the Secretary. 12 (ii) The Secretary is entitled to the salary provided in the State 13 budget. 14 (c) (1) The Secretary may hire the additional staff provided in the State 15 budget. 16 (2) THE SECRETARY SHALL HAVE AT LEAST ONE FULL –TIME STAFF 17 MEMBER WHO IS RESPON SIBLE FOR: 18 (I) DEFINING, IDENTIFYING, AND COMPILING DATA O N STATE 19 AND REGIONAL WORKFOR CE NEEDS; AND 20 (II) WORKING COLLABORATIVE LY WITH THE DEPARTMENT OF 21 COMMERCE AND THE MARYLAND DEPARTMENT OF LABOR TO PRODUCE UNIF ORM 22 AND CONSISTENT BASEL INE DATA, INCLUDING COMMON SOU RCES AND 23 MEASUREMENTS , ABOUT WORKFORCE NEED S TO INFORM STATE POLICIES 24 RELATING TO POSTSECO NDARY EDUCATION. 25 (d) (1) Each employee of the Commission shall join the Teachers’ Pension 26 System of the State of Maryland or the Employees’ Pension System of the State of 27 Maryland. 28 (2) Any employee of the Commission who is determined by the Secretary 29 to hold a professional position may join the optional retirement program under Title 30 of 30 the State Personnel and Pensions Article. 31 6 SENATE BILL 1022 11–105. 1 (b) (2) (i) In consultation with the governing boards and agencies 2 concerned with postsecondary education in the State, the Commission shall develop and 3 periodically update an overall plan consistent with the Charter, known as the State Plan 4 for Higher Education, that shall identify: 5 1. The present and future needs for postsecondary education 6 and research throughout the State, INCLUDING CURRENT AN D EMERGING STATE AND 7 REGIONAL WORKFORCE N EEDS IN ACCORDANCE W ITH SUBPARAGRAPH (IV) OF THIS 8 PARAGRAPH ; 9 2. The present and future capabilities of the different 10 institutions and segments of postsecondary education in the State, INCLUDING ANY 11 SPECIFIC ACADEMIC PR OGRAMS PARTICULAR IN STITUTIONS COULD DEV ELOP TO 12 FULFILL OR SUPPORT I DENTIFIED WORKFORCE NEEDS; and 13 3. The long–range and short–range objectives and priorities 14 for postsecondary education and methods and guidelines for achieving and maintaining 15 them. 16 (ii) The Commission shall ensure that the State Plan for Higher 17 Education complies with the State’s equal educational opportunity obligations under State 18 and federal law, including Title VI of the Civil Rights Act. 19 (iii) In developing the State Plan for Higher Education, the 20 Commission shall incorporate the goals and priorities for higher education identified in this 21 Division III and, for the University System of Maryland, including those identified in §§ 22 10–209 and 12–106 of this article FOR ALL PUBLIC INSTI TUTIONS OF HIGHER 23 EDUCATION. 24 (IV) IN IDENTIFYING STATE AND REGIONAL WO RKFORCE NEEDS 25 FOR THE STATE PLAN FOR HIGHER EDUCATION, THE COMMISSION SHALL : 26 1. USE THE UNIFORM AND C ONSISTENT BASELINE D ATA, 27 INCLUDING COMMON SOUR CES AND MEASUREMENTS , ABOUT WORKFORCE NEED S 28 DEVELOPED IN COLLABO RATION WITH THE DEPARTMENT OF COMMERCE AND THE 29 MARYLAND DEPARTMENT OF LABOR; 30 2. CONSULT, AS NECESSARY , WITH OTHER STATE 31 AGENCIES WITH UNIQUE EXPERTISE IN SPECIFI C WORK FORCE SEGMENTS , 32 INCLUDING THE MARYLAND LONGITUDINAL DATA SYSTEM CENTER, 33 OCCUPATIONAL LICENSI NG BOARDS, AND NATIONAL ORGANIZ ATIONS; 34 SENATE BILL 1022 7 3. USE DATA FROM RESOURC ES AND LITERATURE 1 RELATING TO SPECIFIC OCCUPATIONS ; AND 2 4. PROVIDE ALL INSTITUTI ONS OF HIGHER EDUCATION 3 IN THE STATE WITH ACCESS TO THIS BASELINE DATA . 4 (V) THE COMMISSION SHALL UPDA TE THE WORKFORCE NEE DS 5 IDENTIFIED IN THE MO ST RECENT VERSION OF THE STATE PLAN FOR HIGHER 6 EDUCATION EACH YEAR A S AN APPENDIX TO THE PLAN AND POST THE UP DATE ON 7 THE COMMISSION’S WEBSITE. 8 (3) (i) The Commission shall submit to the Governor and, subject to § 9 2–1257 of the State Government Article, to the General Assembly a quadrennial review of 10 the plan by July 1, 2009, and by July 1 of each fourth year thereafter. 11 (ii) The quadrennial review shall include a report on the status and 12 needs of postsecondary education in the State. 13 (III) BEGINNING WITH THE QU ADRENNIAL REVIEW OF THE 14 STATE PLAN FOR HIGHER EDUCATION DUE BY JULY 1, 2026, THE COMMISSION 15 SHALL SUBMIT THE PROPOSED PL AN TO THE LEGISLATIVE POLICY COMMITTEE FOR 16 REVIEW AND COMMENT B EFORE ADOPTION BY TH E COMMISSION. 17 11–106. 18 (a) (1) The Commission shall establish: 19 (i) A Faculty Advisory Council; 20 (ii) A Student Advisory Council; 21 (iii) A Segmental Advisory Council; 22 (iv) A Financial Assistance Advisory Council; 23 (v) A Maryland Digital Library Advisory Council; [and] 24 (vi) A Private Career School Advisory Council; AND 25 (VII) A PROGRAM REVIEW PROCESS ADVISORY COUNCIL. 26 (2) These Councils shall meet periodically for the purpose of reviewing such 27 matters as are referred by the Commission or the Secretary for their consideration and 28 advice. 29 8 SENATE BILL 1022 (3) The Councils may make reports and recommendations to the 1 Commission. 2 (b) (1) The Commission may appoint continuing advisory committees that 3 represent various groups in the higher education community. 4 (2) Advisory committees may make recommendations to the Commission 5 on matters of statewide importance that affect their constituencies. 6 11–206. 7 (a) This section does not apply to: 8 (1) New programs proposed to be implemented by public and private 9 nonprofit institutions of higher education using existing program resources in accordance 10 with § 11–206.1 of this subtitle; 11 (2) Programs offered by institutions of higher education that operate in the 12 State without a certificate of approval in accordance with § 11–202.1(b) of this subtitle; and 13 (3) The Cyber Warrior Diversity Program established under Subtitle 14 of 14 this title. 15 (b) (1) Prior to the proposed date of implementation, the governing body of an 16 institution of postsecondary education shall submit to the Commission each proposal for: 17 (i) A new program; or 18 (ii) A substantial modification of an existing program. 19 (2) The Commission shall review each such proposal and: 20 (i) With respect to each public institution of postsecondary 21 education, either approve or disapprove the proposal; 22 (ii) Except as provided in § 16–108(c) of this article, with respect to 23 each private nonprofit or for–profit institution of higher education, either recommend that 24 the proposal be implemented or that the proposal not be implemented; and 25 (iii) With respect to a private career school, either approve or 26 disapprove the proposal. 27 (3) If the Commission fails to act within 60 days of the date of submission 28 of the completed proposal, the proposal shall be deemed approved. 29 SENATE BILL 1022 9 (4) Except as provided in paragraph (3) of this subsection, a public 1 institution of postsecondary education and private career school may not implement a 2 proposal without the prior approval of the Commission. 3 (5) (i) Except as provided in paragraph (3) of this subsection, and 4 subject to subparagraph (ii) of this paragraph, a program that has not received a positive 5 recommendation by the Commission may be implemented by: 6 1. Subject to the provisions of § 17–105 of this article, a 7 private nonprofit institution of higher education; or 8 2. A for–profit institution of higher education. 9 (ii) If a private nonprofit or for–profit institution of higher education 10 implements a proposal despite the recommendation from the Commission that a program 11 not be implemented, the institution shall notify both prospective students of the program 12 and enrolled students in the program that the program has not been recommended for 13 implementation by the Commission. 14 (6) (i) If the Commission disapproves a proposal, the Commission shall 15 provide to the governing body that submits the proposal a written explanation of the 16 reasons for the disapproval. 17 (ii) After revising a proposal to address the Commission’s reasons for 18 disapproval, the governing body may submit the revised proposal to the Commission for 19 approval. 20 (c) (1) Prior to discontinuation, each institution of postsecondary education 21 that proposes to discontinue an existing program shall provide written notification to the 22 Commission specifying: 23 (i) The name of the program; and 24 (ii) The expected date of discontinuation. 25 (2) By rule or regulation, the Commission may require the payment by a 26 private career school of a refund to any student or enrollee who, because of the 27 discontinuation of an ongoing program, is unable to complete such program. 28 (d) The Commission shall review and make recommendations on programs in 29 private nonprofit and for–profit institutions of higher education. 30 (e) (1) In this subsection, “governing board” includes the board of trustees of a 31 community college. 32 10 SENATE BILL 1022 (2) (I) The Commission shall adopt regulations establishing standards 1 for determining whether [2] TWO or more programs are unreasonably OR 2 UNNECESSARILY duplicative. 3 (II) THE REGULATIONS SHALL : 4 1. CLEARLY IDENTIFY ALL SPECIFIC CRITERIA AN D 5 FACTORS USED BY THE COMMISSION TO DETERMI NE WHETHER TWO OR MO RE 6 PROGRAMS ARE UNREASO NABLY OR UNNECESSARILY DUPLICATIVE; 7 2. PRIORITIZE MEETING STATE AND REGIONAL 8 WORKFORCE NEEDS AND PRESERVING EXISTING PROGRAMS THAT ARE AB LE TO 9 MEET THESE WORKFORCE NEEDS; AND 10 3. PRIORITIZE COLLABORAT ION BETWEEN 11 INSTITUTIONS OF HIGH ER EDUCATION . 12 (3) The Commission may review existing programs at public institutions of 13 postsecondary education if the Commission has reason to believe that academic programs 14 are unreasonably OR UNNECESSARILY duplicative or inconsistent with an institution’s 15 adopted mission. 16 (4) The Commission may make a determination that an unreasonable OR 17 UNNECESSARY duplication of programs exists on its own initiative or after receipt of a 18 request for determination from any directly affected public institution of postsecondary 19 education. 20 (5) (i) If the Commission makes a determination under paragraph (4) 21 of this subsection the Commission may: 22 1. Make recommendations to a governing board on the 23 continuation or modification of the programs; 24 2. Require any affected governing board to submit a plan to 25 resolve the duplication; and 26 3. Negotiate, as necessary, with any affected governing 27 board until the unreasonable OR UNNECESSARY duplication is eliminated. 28 (ii) Notwithstanding the provisions of subparagraph (i) of this 29 paragraph, if the Commission determines that [2] TWO or more existing programs offered 30 by institutions under the governance of different governing boards are unreasonably OR 31 UNNECESSARILY duplicative, the governing boards of the institutions of postsecondary 32 education at which the programs are offered shall have 180 days from the date of the 33 SENATE BILL 1022 11 Commission’s determination to formulate and present to the Commission a joint plan to 1 eliminate the duplication. 2 (iii) If in the Commission’s judgment the plan satisfactorily 3 eliminates the duplication, the governing board of the affected institutions shall be so 4 notified and shall take appropriate steps to implement the plan. 5 (iv) If in the Commission’s judgment the plan does not satisfactorily 6 eliminate the duplication, or if no plan is jointly submitted within the time period specified 7 in paragraph (6) of this subsection, the governing board of the affected institutions shall be 8 so notified. The Commission may then seek to eliminate the duplication by revoking the 9 authority of a public institution of postsecondary education to offer the unreasonably OR 10 UNNECESSARILY duplicative program. 11 (6) (i) Prior to imposing a sanction under paragraph (5) of this 12 subsection, the Commission shall give notice of the proposed sanction to the governing 13 board of each affected institution. 14 (ii) 1. Within 20 days of receipt of the notice, any affected 15 institution may request an opportunity to meet with the Commission and present 16 objections. 17 2. If timely requested, the Commission shall provide such 18 opportunity prior to the Commission’s decision to impose a sanction. 19 (iii) The Commission’s decision shall be final and is not subject to 20 further administrative appeal or judicial review. 21 11–206.1. 22 (a) (1) In this section the following words have the meanings indicated. 23 (2) “Private nonprofit institution of higher education” has the meaning 24 stated in § 10–101(k) of this article. 25 (3) “Public institution of higher education” means: 26 (i) A public senior higher education institution; and 27 (ii) A community college. 28 (b) (1) A president of a public institution of higher education may propose to 29 establish a new program or abolish an existing program if the action: 30 (i) Is consistent with the institution’s adopted mission statement 31 under Subtitle 3 of this title; and 32 12 SENATE BILL 1022 (ii) Can be implemented within the existing program resources of 1 the institution. 2 (2) A president of a private nonprofit institution of higher education may 3 propose to establish a new program if the action: 4 (i) Is consistent with the mission statement published in the official 5 catalog of the private nonprofit institution; and 6 (ii) Can be implemented within the existing resources of the 7 institution. 8 (3) The president of a public institution of higher education shall report 9 any programs that are proposed to be established or abolished in accordance with 10 paragraph (1) of this subsection to: 11 (i) The institution’s governing board; and 12 (ii) The Maryland Higher Education Commission. 13 (4) The president of a private nonprofit institution of higher education 14 shall report any programs that are proposed to be established in accordance with paragraph 15 (2) of this subsection to the Commission. 16 (5) Upon receipt of a proposed new program, the Commission shall notify 17 all other institutions of higher education in the State. 18 (c) The governing board of a public institution of higher education shall: 19 (1) Review the actions taken under subsection (b) of this section; 20 (2) Ensure that any new program proposed to be established by a 21 president: 22 (i) Is consistent with the institution’s approved mission statement 23 under Subtitle 3 of this title; 24 (ii) Meets a regional or statewide need consistent with the 25 [Maryland] State Plan for [Postsecondary] HIGHER Education; 26 (iii) Meets criteria for the quality of new programs, developed in 27 consultation with the Commission; and 28 (iv) Can be implemented within the existing program resources of 29 the institution, verified by a process established in consultation with the Commission. 30 SENATE BILL 1022 13 (d) The Board of Regents of the University System of Maryland shall approve the 1 proposed new program within 60 days if the program meets the criteria in subsection (c)(2) 2 of this section, subject to the provisions of subsections (e) and (f) of this section. 3 (e) (1) Within 30 days of receipt of a notice of an institution’s intent to 4 [establish] SUBMIT a new program TO THE COMMISSION in accordance with subsection 5 (b) of this section, the Commission may file, or the institutions of higher education in the 6 State may file with the Commission, an objection to implementation of a proposed 7 GRADUATE program provided the objection is based on: 8 [(1)] (I) Inconsistency of the proposed program with the institution’s 9 approved mission for a public institution of higher education and the mission statement 10 published in the official catalog of a private nonprofit institution of higher education; 11 [(2)] (II) Not meeting a regional or statewide need consistent with the 12 [Maryland] State Plan for [Postsecondary] HIGHER Education; 13 [(3)] (III) Unreasonable program duplication which would cause 14 demonstrable harm to another institution THE STATE OR ST UDENTS ATTENDING 15 INSTITUTIONS OF HIGH ER EDUCATION IN THE STATE; or 16 [(4)] (IV) [Violation] UNNECESSARY PROGRAM D UPLICATION IN 17 VIOLATION of the State’s equal educational opportunity obligations under State and 18 federal law. 19 (2) SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION , THE 20 COMMISSION SHALL ADOP T REGULATIONS ON PRO CEDURES FOR CONDUCTI NG AN 21 ANALYSIS OF THE OBJE CTIONS DESCRIBED IN PARAGRAPH (1) OF THIS SUBSECTION 22 THAT: 23 (I) CLEARLY IDENTIFY ALL OF THE SPECIFIC CRIT ERIA AND 24 FACTORS USED BY THE COMMISSION; AND 25 (II) FOR AN OBJECTION UNDE R PARAGRAPH (1)(III) OF THIS 26 SUBSECTION, USE A SET OF BASELIN E DATA AND COMMON SO URCES AND THAT 27 PRIORITIZE: 28 1. MEETING STATE AND REGIONAL WO RKFORCE NEEDS ; 29 2. PRESERVING EXISTING P ROGRAMS THAT ARE ABL E 30 TO MEET STATE AND REGIONAL WO RKFORCE NEEDS ; AND 31 3. COLLABORATION BETWEEN INSTITUTIONS OF 32 HIGHER EDUCATION . 33 14 SENATE BILL 1022 (3) THE COMMISSION, JOINTLY IN CONSULTATION WITH THE 1 ATTORNEY GENERAL, SHALL ADOPT REGULATI ONS FOR STANDARDS FO R 2 CONDUCTING AN ANALYS IS OF AN OBJECT ION UNDER PARAGRAPH (1)(IV) OF THIS 3 SUBSECTION. 4 (f) (1) If an objection is filed under subsection (e) of this section by the 5 Commission or an institution within 30 days of receipt of a notice of an institution’s intent 6 to establish a new program, the Commission shall immediately notify the institution’s 7 governing board and president. 8 (2) The Commission shall determine if an institution’s objection is justified 9 based on the criteria in subsection (e) of this section. 10 (3) An objection shall be accompanied by detailed information supporting 11 the reasons for the objection. 12 (4) If the Commission determines that an objection is justified, the 13 Commission shall negotiate with the institution’s governing board and president to modify 14 the proposed program in order to resolve the objection. 15 (5) If the objection cannot be resolved within 30 days of receipt of an 16 objection, the Commission shall make a final determination on approval of the new program 17 for a public institution of higher education or a final recommendation on implementation 18 for a private nonprofit institution of higher education. 19 (G) A HEARING FOR REVIEW O F THE COMMISSION’S SECRETARY’S 20 DETERMINATION OF AN INSTITUTION’S OBJECTION UNDER SU BSECTION (F) OF THIS 21 SECTION SHALL : 22 (1) BE CONDUCTED I N OPEN SESSION, INCLUDING DISCUSSION S AND 23 ANY FORMAL ACTION TA KEN BY THE COMMISSION; 24 (2) ALLOW EACH PARTY , INCLUDING THE SECRETARY, THE 25 PROPOSING INSTITUTIO N, AND THE OBJECTING IN STITUTION, TO HAVE NOT LESS 26 THAN 10 MINUTES TO PRESENT T HEIR POSITIONS REG ARDING THE 27 DETERMINATION , WITHOUT INTERRUPTION ; AND 28 (3) REQUIRE THE APPROVAL OF A MAJORITY OF THE MEMBERS THEN 29 SERVING ON THE COMMISSION. 30 (H) (1) ON OR BEFORE JANUARY 1, 2025, THE COMMISSION SHALL 31 DEVELOP AND PUBLISH ON ITS WEBSITE AN AD MINISTRATIVE PROCEDURES GUIDE 32 FOR THE COMMISSION’S PROGRAM REVIEW PRO CESS DEVELOPED UNDER THIS 33 SECTION. 34 SENATE BILL 1022 15 (2) THE COMMISSION SHALL UPDA TE THE ADMINISTRATIV E 1 PROCEDURES GUIDE AT LEAST ONCE EACH YEAR . 2 [(g)] (I) (1) The Commission shall: 3 (i) Identify programs established under subsection (b) of this section 4 that are inconsistent with the State Plan for Higher Education; and 5 (ii) Identify low productivity programs at public institutions of 6 higher education. 7 (2) If the Commission identifies any programs that meet the criteria set 8 forth in paragraph (1) of this subsection, the Commission shall notify the president of the 9 institution. 10 (3) If the Commission notifies a president of an institution under 11 paragraph (2) of this subsection, within 60 days the president of the institution shall 12 provide to the Commission in writing: 13 (i) An action plan to abolish or modify the program; or 14 (ii) Justification for the continuation of the program. 15 [(h)] (J) The Commission and the governing boards of the public institutions of 16 higher education shall jointly develop a definition and accepted criteria for determining low 17 productivity programs. 18 [(i)] (K) The Commission shall: 19 (1) Monitor the program development and review process established 20 under this section; 21 (2) Report annually to the Governor and, in accordance with § 2–1257 of 22 the State Government Article, the General Assembly on the nature and extent of any 23 duplication or proliferation of programs; and 24 (3) Make available a copy of the report under item (2) of this subsection to 25 the public institutions of higher education and the private nonprofit institutions of higher 26 education. 27 11–206.2. 28 (A) BEGINNING IN JANUARY 2025 ON OR BEFORE JANUARY 1, 2025, AND 29 EACH JANUARY 1 THEREAFTER , THE COMMISSION SHALL REVI EW EACH ACADEMIC 30 PROGRAM THAT HAS BEE N APPROVED IN THE 4 IMMEDIATELY PRECEDIN G SCHOOL 31 YEARS YEAR THAT WAS SUBJECT TO AN OBJECTION OF A HI STORICALLY BLACK 32 16 SENATE BILL 1022 COLLEGE OR UNIVERSIT Y, AS DESCRIBED IN § 10–214 OF THIS ARTICLE , TO 1 DETERMINE WHETHER THE HISTO RICALLY BLACK COLLEGE OR UNIV ERSITY 2 SUFFERED DEMONSTRABLE HARM RESULTING FROM APPROVAL OF THE PROG RAM. 3 (B) ON OR BEFORE SEPTEMBER 1, 2025, AND EVERY 4 YEARS EACH 4 SEPTEMBER 1 THEREAFTER , THE COMMISSION SHALL REPO RT ITS FINDINGS 5 UNDER SUBSECTION (A) OF THIS SECTION, IN ACCORDANCE WITH § 2–1257 OF THE 6 STATE GOVERNMENT ARTICLE, TO THE SENATE EDUCATION, ENERGY, AND THE 7 ENVIRONMENT COMMITTEE AND THE HOUSE APPROPRIATIONS COMMITTEE. 8 11–206.3. 9 (A) IN THIS SECTION , “INSTITUTION” MEANS A PUB LIC SENIOR HIGHER 10 EDUCATION INSTITUTIO N. 11 (B) (1) BEGINNING JANUARY 1, 2025, THE COMMISSION SHALL REQU IRE 12 EACH INSTITUTION TO SUBMIT A LETTER OF I NTENT TO THE COMMISSION THAT 13 IDENTIFIES EACH NEW GRADUATE LEVEL PROGR AM THAT AN INSTITUTI ON INTENDS 14 TO PROPOSE FOR APPROVAL UNDER § 11–206 OR § 11–206.1 OF THIS SUBTITLE. 15 (2) THE COMMISSION SHALL REQU IRE EACH INSTITUTION TO SUBMIT 16 A LETTER OF INTENT E VERY 6 MONTHS. 17 (3) THE LETTER OF INTENT SHALL INCLUDE ALL NE W GRADUATE 18 PROGRAMS THE INSTITU TION INTENDS TO PROPOSE WITHIN THE 6–MONTH TO 19 2–YEAR TIME PERIOD FOL LOWING SUBMISSION OF THE LETTER OF INTENT . 20 (C) THE COMMISSION SHALL USE A LETTER OF INTENT S UBMITTED BY AN 21 INSTITUTION UNDER TH IS SECTION: 22 (1) TO FACILITATE COLLABO RATION BETWEEN INSTI TUTIONS; AND 23 (2) TO PROVIDE FEEDBACK T O AN INSTITUTION BEF ORE THE 24 INSTITUTION SUBMITS THE NEW PROGRAM TO T HE COMMISSION FOR APPROV AL, 25 INCLUDING ANY COMMISSION CONCERNS R EGARDING UNREASONABL E OR 26 UNNECESSARY PROGRAM DUPLICATION. 27 (D) THE COMMISSION MAY NOT US E A LETTER OF INTENT TO ESTA BLISH 28 ANY PREFERENCE OR PR IORITY FOR APPROVAL OF A PROGRAM PROPOSA L. 29 (E) THE COMMISSION SHALL ESTA BLISH REQUIREMENTS F OR SUBMITTING 30 A LETTER OF INTENT U NDER THIS SECTION , INCLUDING THE FORMAT , DEADLINES, 31 AND REVIEW CRITERIA OF THE LETTERS. 32 SENATE BILL 1022 17 (F) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 1 THE COMMISSION MAY APPROV E A PROGRAM PROPOSAL SUBMITTED UNDER § 2 11–206 OR § 11–206.1 OF THIS SUBTITLE ONL Y IF THE INSTITUTION HAS INCLUDED 3 THE PROGRAM IN A LET TER OF INTENT SUBMITTED TO THE COMMISSION. 4 (2) (I) THE COMMISSION MAY APPROV E A NEW PROGRAM 5 PROPOSED BY AN INSTI TUTION UNDER § 11–206 OR § 11–206.1 OF THIS SUBTITLE 6 THAT WAS NOT INCLUDE D IN A LETTER OF INT ENT IF THE INSTITUTI ON SUBMITS 7 PROOF SATISFACTORY T O THE COMMISSION: 8 1. OF THE EXIGENT CIRCUM STANCES LEADING TO T HE 9 DEVELOPMENT OF THE P ROPOSED PROGRAM ; AND 10 2. THAT THE BENEFIT OF T HE PROGRAM TO THE STATE 11 OR REGION OUTWEIGHS THE STATE’S INTEREST IN REASON ABLE PUBLIC NOTICE 12 AND INSTITUTIONAL CO LLABORATION . 13 (II) THE COMMISSION SHALL ESTA BLISH OBJECTIVE 14 STANDARDS AND A FAIR AND TRANSPARENT PROC ESS FOR CONSIDERATIO N AND 15 APPROVAL OF A PROPOS ED PROGRAM UNDER SUB PARAGRAPH (I) OF THIS 16 PARAGRAPH . 17 (G) (1) IN THIS SUBSECTION , “FUND” MEANS THE PROPOSED PROGRAMS 18 COLLABORATIVE GRANT FUND. 19 (2) THERE IS A PROPOSED PROGRAMS COLLABORATIVE GRANT 20 FUND. 21 (3) THE PURPOSE OF THE FUND IS TO PROVIDE FI NANCIAL 22 ASSISTANCE TO INCENT IVIZE INSTITUTIONS O F HIGHER EDUCATION T O 23 COLLABORATE WITH OTH ER INSTITUTIONS OF H IGHER EDUCATI ON, AT THE 24 DISCRETION OF EACH I NSTITUTION, TO ESTABLISH AND IMP LEMENT A NEW 25 GRADUATE PROGRAM . 26 (4) THE COMMISSION SHALL : 27 (I) ADMINISTER THE FUND; 28 (II) DEVELOP AN APPLICATIO N PROCESS TO APPLY F OR A 29 GRANT FROM THE FUND; AND 30 (III) AWARD GRANTS TO INSTITUTIONS AS I NTENDED BY THE 31 FUND. 32 18 SENATE BILL 1022 (5) (I) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT 1 SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 2 (II) THE STATE TREASURER SHALL HOLD THE FUND 3 SEPARATELY, AND THE COMPTROLLER SHALL ACCOUNT FOR THE FUND. 4 (6) THE FUND CONSISTS OF : 5 (I) MONEY APPROPRIATED IN THE STATE BUDGET TO THE 6 FUND; 7 (II) INTEREST EARNINGS ; AND 8 (III) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 9 FOR THE BENEFIT OF T HE FUND. 10 (7) THE FUND MAY BE USED ONLY FOR EXPENSES IN CURRED BY AN 11 INSTITUTION FOR COLL ABORATING OR ATTEMPT ING TO COLLABORATE W ITH OTHER 12 INSTITUTIONS TO ESTA BLISH AND IMPLEMENT A NEW GRADUATE PROGR AM 13 IDENTIFIED IN A LETT ER OF INTENT UNDER T HIS SECTION, INCLUDING EXPENSES 14 FOR: 15 (I) SALARIES OF FACULTY WHO WORK TOGETHER TO 16 DETERMINE IF COLLABO RATION IS FEASIBLE F OR THE INSTITUTIONS ; AND 17 (II) COSTS ASSOCIATED WITH : 18 1. PROVIDING TRANSPORTAT ION FROM ONE 19 INSTITUTION TO ANOTH ER INSTITUTION FOR S HARED CLASSES OR FAC ILITIES; AND 20 2. SHARING RESOURCES ACR OSS INSTITUTIONS , 21 INCLUDING RESEARCH C OLLABORATION , STUDENT EXCHANGE PRO GRAMS, JOINT 22 MARKETING OR RECRUIT MENT, FACULTY EXCHANGE PRO GRAMS, AND ONLINE 23 PROGRAM COLLABORATIO N. 24 (8) (I) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 25 FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE IN VESTED. 26 (II) ANY INTEREST EARNINGS OF THE FUND SHALL BE 27 CREDITED TO THE FUND. 28 (9) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN 29 ACCORDANCE WITH THE STATE BUDGET . 30 SENATE BILL 1022 19 (10) MONEY EXPENDED FROM T HE FUND FOR EXPENSES INC URRED BY 1 INSTITUTIONS FOR COL LABORATING OR ATTEMP TING TO COLLABORATE TO 2 ESTABLISH AND IMPLEM ENT A NEW GRADUATE P ROGRAM IS SUPPLEMENT AL TO 3 AND IS NOT INTENDED TO TAKE THE PLACE OF FUNDING THAT OTHERWI SE WOULD 4 BE APPROPRIATED FOR THE NEW PROGRAM . 5 11–206.4. 6 (A) NOTWITHSTANDING THE P ROVISIONS OF §§ 11–206 AND 11–206.1 OF 7 THIS SUBTITLE AND SUBJECT TO SUBSE CTION (B) OF THIS SECTION , THE 8 COMMISSION SHALL DEVE LOP AND IMPLEMENT A PROGRAM REVIEW PROCE SS FOR 9 NEW PROPOSED PROGRAM S THAT: 10 (1) ARE OFFERED ONLY ONLI NE AND TO A MAJORITY OF 11 OUT–OF–STATE STUDENTS ; AND 12 (2) ENABLE THE INSTITUTIO NS OF HIGHER EDUCATI ON IN THE 13 STATE TO COMPETE WITH OUT–OF–STATE COMPETITORS IN THE ONLINE 14 MARKETPLACE . 15 (B) THE PROCESS DEVELOPED AND IMPLEMENTED UNDE R SUBSECTION (A) 16 OF THIS SECTION SHAL L ALLOW THE COMMISSION OR AN INST ITUTION OF HIGHER 17 EDUCATION IN THE STATE TO FILE WITH TH E COMMISSION AN OBJECTI ON TO 18 IMPLEMENTATION OF TH E PROPOSED PROGRAM , PROVIDED THE OBJECTI ON IS 19 BASED ON: 20 (1) INCONSISTENCY OF THE PROPOSED PROGRAM WIT H THE 21 INSTITUTION’S APPROVED MISSION F OR A PUBLIC INSTITUT ION OF HIGHER 22 EDUCATION OR THE MIS SION STATEMENT PUBLI SHED IN THE OFFICIAL CATALOG OF 23 A PRIVATE NONPROFIT INSTITUTION OF HIGHE R EDUCATION; 24 (2) NOT MEETING A STATE OR REGIONAL NEED CONSISTENT WITH 25 THE STATE PLAN FOR HIGHER EDUCATION; 26 (3) UNREASONABLE PROGRAM DUPLICATION THAT WOU LD CAUSE 27 HARM TO THE STATE OR STUDENTS ATT ENDING INSTITUTIONS OF HIGHER 28 EDUCATION IN THE STATE; OR 29 (4) UNNECESSARY PROGRAM D UPLICATION IN VIOLAT ION OF THE 30 STATE’S EQUAL EDUCATIONAL OPPORTUNITY OBLIGATI ONS UNDER STATE AND 31 FEDERAL LAW . 32 20 SENATE BILL 1022 (B) (C) THE COMMISSION SHALL INCL UDE THE PROGRAM REVI EW 1 PROCESS DEVELOPED UN DER THIS SECTION IN THE ADMINISTRATIVE P ROCEDURES 2 GUIDE REQUIRED UNDER § 11–206.1(H) OF THIS SUBTITLE. 3 11–302. 4 (a) (1) The president of each public institution of higher education is 5 responsible for developing a mission statement. 6 (2) The president shall submit the mission statement to the institution’s 7 governing board. 8 (3) Upon the direction of the governing board, the president shall update 9 the mission statement every 4 years in the year immediately following the quadrennial 10 review of the State Plan for Higher Education as set forth in § 11–105 of this title. 11 (b) (1) The governing board: 12 (i) Shall review the mission statement and may require the 13 president to prepare a revised mission statement; 14 (ii) May adopt the mission statement as submitted or with 15 amendments; and 16 (iii) Shall submit the statement to the Commission. 17 (2) (i) In the case of constituent institutions of the University System 18 of Maryland, the Chancellor of the University System of Maryland shall review the 19 statement prior to its consideration by the Board of Regents and make recommendations. 20 (ii) Before adopting the mission statements, the Board of Regents 21 shall review the statements individually and on a systemwide basis to assure that: 22 1. They are consistent with the Charter and the systemwide 23 plan; and 24 2. They will promote the efficient and effective use of the 25 institution’s and System’s resources. 26 (iii) The Board shall consolidate the statements into an adopted 27 systemwide statement. 28 (c) (1) Each regional higher education center shall: 29 (i) Develop a mission statement; 30 SENATE BILL 1022 21 (ii) Submit the mission statement to the governing body of the 1 center; and 2 (iii) Upon direction of the governing body, update the mission 3 statement every 4 years in the year immediately following the quadrennial review of the 4 State Plan for Higher Education as set forth in § 11–105 of this title. 5 (2) The governing body of each regional higher education center: 6 (i) Shall review the mission statement and may require the 7 preparation of a revised mission statement; 8 (ii) May adopt the mission statement as submitted or with 9 amendment; and 10 (iii) Shall submit the statement to the Commission. 11 (d) (1) The Commission shall [review]: 12 (I) DEVELOP DETAILED CRIT ERIA FOR THE ROBUST REVIEW OF 13 MISSION STATEMENTS O F PUBLIC INSTITUTION S OF HIGHER EDUCATIO N, 14 INCLUDING ENSURING T HE MISSION OF EACH I NSTITUTION IS REFLECTIVE OF THE 15 INSTITUTION’S STATUTORY DISTINCT ION AND CLEARLY DEFINED AND DISTINCT 16 FROM OTHER PUBLIC IN STITUTIONS; AND 17 (II) REVIEW the mission statement to determine whether the 18 mission statement is consistent with the State Plan for Higher Education. 19 (2) The mission statement shall be deemed approved within 30 90 days of 20 receipt unless the Commission [finds]: 21 (I) FINDS the statement is not consistent with the State Plan for 22 Higher Education; OR 23 (II) REJECTS THE STATEMENT AFTER CONDUCTING A R EVIEW 24 IN ACCORDANCE WITH P ARAGRAPH (1) OF THIS SUBSECTION . 25 (3) (I) AFTER APPROVING OR RE JECTING A MISSION ST ATEMENT 26 OF A PUBLIC INSTITUT ION OF HIGHER EDUCAT ION, THE COMMISSION, IN 27 ACCORDANCE WIT H § 2–1257 OF THE STATE GOVERNMENT ARTICLE, SHALL SUBMIT 28 TO THE SENATE BUDGET AND TAXATION COMMITTEE, THE SENATE COMMITTEE ON 29 EDUCATION, ENERGY, AND THE ENVIRONMENT , AND THE HOUSE APPROPRIATIONS 30 COMMITTEE A REPORT TH AT INCLUDES AN ANALY SIS EXPLAINING: 31 22 SENATE BILL 1022 1. THE ROLE OF THE PUBLI C INSTITUTION OF HIG HER 1 EDUCATION WITHIN THE SYSTEM OF HIGHER EDU CATION IN THE STATE TO ENSURE 2 THE MISSION STATEMEN T IS CLEARLY DEFINED AND DISTINCT FROM OT HER PUBLIC 3 INSTITUTIONS OF HIGH ER EDUCATION ; AND 4 2. WHY THE MISSION ST ATEMENT WAS APPROVED OR 5 REJECTED. 6 (II) THE COMMISSION IS ENCOURA GED TO USE THE REPOR T 7 REQUIRED UNDER SUBPA RAGRAPH (I) OF THIS PARAGRAPH TO ENSURE THAT THE 8 STATE IS SUPPORTING E ACH PUBLIC INSTITUTI ON OF HIGHER EDUCATI ON IN 9 MEETING THE NEEDS DE SCRIBED IN THE MISSI ON STATEMENTS . 10 (4) (i) If the Commission finds that the MISSION statement is not 11 consistent with the State Plan for Higher Education OR REJECTS THE STATE MENT 12 UNDER PARAGRAPH (2) OF THIS SUBSECTION , the Commission shall return the 13 statement together with its objections that include the specific areas of inconsistency with 14 the State Plan for Higher Education to the governing board. 15 (ii) The governing board and the institution president shall 16 negotiate with the Commission and amend the statement or prepare a new statement. 17 Article – State Finance and Procurement 18 6–226. 19 (a) (2) (i) Notwithstanding any other provision of law, and unless 20 inconsistent with a federal law, grant agreement, or other federal requirement or with the 21 terms of a gift or settlement agreement, net interest on all State money allocated by the 22 State Treasurer under this section to special funds or accounts, and otherwise entitled to 23 receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 24 Fund of the State. 25 (ii) The provisions of subparagraph (i) of this paragraph do not apply 26 to the following funds: 27 189. the Teacher Retention and Development Fund; [and] 28 190. the Protecting Against Hate Crimes Grant Fund; AND 29 191. THE PROPOSED PROGRAMS COLLABORATIVE GRANT 30 FUND. 31 SECTION 3. AND BE IT FURTHER ENACTED, That: 32 SENATE BILL 1022 23 (a) (1) The Maryland Higher Education Commission shall examine the 1 approval process established by the Commission for conducting academic program reviews 2 under §§ 11–206 and 11–206.1 of the Education Article, as enacted by Section 2 of this Act, 3 including all statutory and regulatory requirements regarding administrative procedures, 4 timelines, and deadlines, to determine whether the process, in whole or in part, needs 5 updating or revision to meet the needs of the institutions of higher education and students 6 in the State. 7 (2) On or before December 1, 2024, the Commission shall report its findings 8 and recommendations under paragraph (1) of this subsection to the General Assembly, in 9 accordance with § 2–1257 of the State Government Article. 10 (b) (1) The Commission, in collaboration with all institutions of higher 11 education in the State, shall evaluate whether the existing standard that triggers the 12 academic program review process for a substantial modification to an existing program 13 established under § 11–206 of the Education Article, as enacted by Section 2 of this Act, 14 and COMAR 13B.02.03.03E is the appropriate standard. 15 (2) If, after the evaluation conducted under paragraph (1) of this 16 subsection, the Commission determines that a new standard for establishing a substantial 17 modification to an existing program is appropriate, the Commission shall, on or before 18 January 1, 2025, adopt regulations establishing the new standard. 19 SECTION 4. AND BE IT FURTHER ENACTED, That: 20 (a) On or before January 1, 2025, the Maryland Higher Education Commission 21 shall update the State Plan for Higher Education last revised in 2022 to include updated 22 State and regional workforce needs information. 23 (b) During the process of updating the State Plan under subsection (a) of this 24 section, the Commission shall provide postsecondary education stakeholders with an 25 opportunity to provide input on State and regional workforce needs issues relevant to the 26 purposes and objective of the State Plan for Higher Education, including students, 27 members of the public, and major industry partners. 28 SECTION 5. AND BE IT FURTHER ENACTED, That this Act shall take effect July 29 1, 2024. 30