MD
Maryland Senate Bill SB1142

Maryland 2024 Regular Session

Maryland Senate Bill SB1142 Compare Versions

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1- WES MOORE, Governor Ch. 804
21
3-– 1 –
4-Chapter 804
5-(Senate Bill 1142)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ Italics indicate opposite chamber/conference committee amendments.
9+ *sb1142*
810
9-Tax Clinics Assistance for Low–Income Marylanders – Funding
11+SENATE BILL 1142
12+Q3, F2 (4lr3486)
13+ENROLLED BILL
14+— Budget and Taxation/Appropriations —
15+Introduced by Senators Zucker and Guzzone
1016
11-FOR the purpose of requiring the Comptroller, beginning in a certain fiscal year, to
12-distribute a certain amount of abandoned property funds to the Tax Clinics for
13-Low–Income Marylanders Fund; requiring the Governor to include a certain amount
14-of funding in the annual budget for the CASH Campaign of Maryland to award
15-grants for providing certain tax assistance through certain on–demand and mobile
16-tax clinics; requiring certain tax clinics to interact with the CASH Campaign in a
17-certain manner for a certain purpose; and generally relating to tax assistance for
18-low–income Marylanders.
17+Read and Examined by Proofreaders:
1918
20-BY repealing and reenacting, with amendments,
21- Article – Commercial Law
22-Section 17–317
23- Annotated Code of Maryland
24- (2013 Replacement Volume and 2023 Supplement)
19+_______________________________________________
20+Proofreader.
21+_______________________________________________
22+Proofreader.
2523
26-BY repealing and reenacting, with amendments,
27- Article – Human Services
28- Section 6–801
29- Annotated Code of Maryland
30- (2019 Replacement Volume and 2023 Supplement)
24+Sealed with the Great Seal and presented to the Governor, for his approval this
3125
32-BY repealing and reenacting, without amendments,
33- Article – Human Services
34- Section 6–802
35- Annotated Code of Maryland
36- (2019 Replacement Volume and 2023 Supplement)
26+_______ day of _______________ at __ ______________________ o’clock, ________M.
3727
38-BY repealing and reenacting, without with amendments,
39- Article – Tax – General
40-Section 1–207
41- Annotated Code of Maryland
42- (2022 Replacement Volume and 2023 Supplement)
28+______________________________________________
29+President.
4330
44- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
45-That the Laws of Maryland read as follows:
31+CHAPTER ______
4632
47-Article – Commercial Law
33+AN ACT concerning 1
4834
49-17–317. Ch. 804 2024 LAWS OF MARYLAND
35+Tax Clinics Assistance for Low–Income Marylanders – Funding 2
5036
51-– 2 –
37+FOR the purpose of requiring the Comptroller, beginning in a certain fiscal year, to 3
38+distribute a certain amount of abandoned property funds to the Tax Clinics for 4
39+Low–Income Marylanders Fund; requiring the Governor to include a certain amount 5
40+of funding in the annual budget for the CASH Campaign of Maryland to award 6
41+grants for providing certain tax assistance through certain on–demand and mobile 7
42+tax clinics; requiring certain tax clinics to interact with the CASH Campaign in a 8
43+certain manner for a certain purpose; and generally relating to tax assistance for 9
44+low–income Marylanders. 10
5245
53- (a) (1) (i) All funds received under this title, including the proceeds of the
54-sale of abandoned property under § 17–316 of this subtitle, shall be credited by the
55-Administrator to a special fund.
46+BY repealing and reenacting, with amendments, 11
47+ Article – Commercial Law 12
48+Section 17–317 13
49+ Annotated Code of Maryland 14 2 SENATE BILL 1142
5650
57- (ii) The Administrator shall retain in the special fund at the end of
58-each fiscal year, from the proceeds received, an amount not to exceed $50,000, from which
59-sum the Administrator shall pay any claim allowed under this title.
6051
61- (2) After deducting all costs incurred in administering this title from the
62-remaining net funds the Administrator shall distribute $8,000,000 to the Maryland Legal
63-Services Corporation Fund established under § 11–402 of the Human Services Article.
52+ (2013 Replacement Volume and 2023 Supplement) 1
6453
65- (3) (i) Subject to subparagraph (ii) of this paragraph, the Administrator
66-shall distribute all unclaimed money from judgments of restitution under Title 11, Subtitle
67-6 of the Criminal Procedure Article to the State Victims of Crime Fund established under
68-§ 11–916 of the Criminal Procedure Article to assist victims of crimes and delinquent acts
69-to protect the victims’ rights as provided by law.
54+BY repealing and reenacting, with amendments, 2
55+ Article – Human Services 3
56+ Section 6–801 4
57+ Annotated Code of Maryland 5
58+ (2019 Replacement Volume and 2023 Supplement) 6
7059
71- (ii) If a victim entitled to restitution that has been treated as
72-abandoned property under § 11–614 of the Criminal Procedure Article is located after the
73-money has been distributed under this paragraph, the Administrator shall reduce the next
74-distribution to the State Victims of Crime Fund by the amount recovered by the victim.
60+BY repealing and reenacting, without amendments, 7
61+ Article – Human Services 8
62+ Section 6–802 9
63+ Annotated Code of Maryland 10
64+ (2019 Replacement Volume and 2023 Supplement) 11
7565
76- (4) FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER ,
77-AFTER MAKING THE DIS TRIBUTIONS REQUIRED UNDER PARAGRAPHS (2) AND (3) OF
78-THIS SUBSECTION , THE ADMINISTRATOR SHALL D ISTRIBUTE $250,000 $500,000
79-FROM THE REMAINING N ET FUNDS TO THE TAX CLINICS FOR LOW–INCOME
80-MARYLANDERS FUND ESTABLISHED UNDE R § 1–207 OF THE TAX – GENERAL
81-ARTICLE.
66+BY repealing and reenacting, without with amendments, 12
67+ Article – Tax – General 13
68+Section 1–207 14
69+ Annotated Code of Maryland 15
70+ (2022 Replacement Volume and 2023 Supplement) 16
8271
83- (5) For each of fiscal years 2024 through 2027, after making the
84-distributions required under paragraphs (2) [and (3)] THROUGH (4) of this subsection, the
85-Administrator shall distribute $14,000,000 from the remaining net funds to the Access to
86-Counsel in Evictions Special Fund under § 8–909 of the Real Property Article.
72+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 17
73+That the Laws of Maryland read as follows: 18
8774
88- [(5)] (6) After making the distributions required under paragraphs (2)[,
89-(3), and (4)] THROUGH (5) of this subsection, the Administrator shall distribute the
90-remaining net funds not retained under paragraph (1) of this subsection to the General
91-Fund of the State.
75+Article – Commercial Law 19
9276
93- (b) (1) Before making the distribution, the Administrator shall record the
94-name and last known address, if any, of the owners of funds so distributed and the type of
95-property which the funds distributed represent.
96- WES MOORE, Governor Ch. 804
77+17–317. 20
9778
98-– 3 –
99- (2) The record shall be available for public inspection during reasonable
100-business hours by any person who claims a legal interest in any property held by the
101-Administrator, provided that the person gives prior notice to the Administrator.
79+ (a) (1) (i) All funds received under this title, including the proceeds of the 21
80+sale of abandoned property under § 17–316 of this subtitle, shall be credited by the 22
81+Administrator to a special fund. 23
10282
103-Article – Human Services
83+ (ii) The Administrator shall retain in the special fund at the end of 24
84+each fiscal year, from the proceeds received, an amount not to exceed $50,000, from which 25
85+sum the Administrator shall pay any claim allowed under this title. 26
10486
105-6–801.
87+ (2) After deducting all costs incurred in administering this title from the 27
88+remaining net funds the Administrator shall distribute $8,000,000 to the Maryland Legal 28
89+Services Corporation Fund established under § 11–402 of the Human Services Article. 29
10690
107- (a) For fiscal years 2021 through 2023, the Governor shall include in the annual
108-State budget an appropriation of $200,000 for the CASH Campaign of Maryland to promote
109-the financial capability of low–income individuals and families by providing outreach,
110-education, and free tax preparation services.
91+ (3) (i) Subject to subparagraph (ii) of this paragraph, the Administrator 30
92+shall distribute all unclaimed money from judgments of restitution under Title 11, Subtitle 31
93+6 of the Criminal Procedure Article to the State Victims of Crime Fund established under 32
94+§ 11–916 of the Criminal Procedure Article to assist victims of crimes and delinquent acts 33
95+to protect the victims’ rights as provided by law. 34
11196
112- (b) For fiscal [year 2024 and each fiscal year thereafter] YEARS 2024 AND 2025,
113-the Governor shall include in the annual budget bill an appropriation of $500,000 for the
114-CASH Campaign.
97+ (ii) If a victim entitled to restitution that has been treated as 35
98+abandoned property under § 11–614 of the Criminal Procedure Article is located after the 36 SENATE BILL 1142 3
11599
116- (C) (1) FOR FISCAL YEAR 2026 AND EACH FISCAL YEAR THEREAFTER , THE
117-GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIATION OF
118-$800,000 FOR THE CASH CAMPAIGN.
119100
120- (2) FROM THE APPROPRIATIO N MADE UNDER PARAGRA PH (1) OF THIS
121-SUBSECTION, $150,000 SHALL BE USED TO PRO VIDE GRANTS TO EXTER NAL
122-ENTITIES FOR PROVIDI NG INCOME TAX ASSIST ANCE IN ACCORDANCE W ITH § 6–802
123-OF THIS SUBTITLE THROUGH ON –DEMAND OR MOBILE TAX CLINICS THAT SERVE
124-SENIOR POPULATIONS , RURAL COMMUNITIES , OR UNDER –RESOURCED
125-COMMUNITIES , INCLUDING NEW AMERICAN POPULATIONS .
101+money has been distributed under this paragraph, the Administrator shall reduce the next 1
102+distribution to the State Victims of Crime Fund by the amount recovered by the victim. 2
126103
127-6–802.
104+ (4) FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER , 3
105+AFTER MAKING THE DIS TRIBUTIONS REQUIRED UNDER PARAGRAPHS (2) AND (3) OF 4
106+THIS SUBSECTION , THE ADMINISTRATOR SHALL D ISTRIBUTE $250,000 $500,000 5
107+FROM THE REMAINING N ET FUNDS TO THE TAX CLINICS FOR LOW–INCOME 6
108+MARYLANDERS FUND ESTABLISHED UNDE R § 1–207 OF THE TAX – GENERAL 7
109+ARTICLE. 8
128110
129- An appropriation made under § 6–801 of this subtitle may be used only to:
111+ (5) For each of fiscal years 2024 through 2027, after making the 9
112+distributions required under paragraphs (2) [and (3)] THROUGH (4) of this subsection, the 10
113+Administrator shall distribute $14,000,000 from the remaining net funds to the Access to 11
114+Counsel in Evictions Special Fund under § 8–909 of the Real Property Article. 12
130115
131- (1) provide free volunteer income tax assistance that helps low–income
132-individuals and families:
116+ [(5)] (6) After making the distributions required under paragraphs (2)[, 13
117+(3), and (4)] THROUGH (5) of this subsection, the Administrator shall distribute the 14
118+remaining net funds not retained under paragraph (1) of this subsection to the General 15
119+Fund of the State. 16
133120
134- (i) file tax returns;
121+ (b) (1) Before making the distribution, the Administrator shall record the 17
122+name and last known address, if any, of the owners of funds so distributed and the type of 18
123+property which the funds distributed represent. 19
135124
136- (ii) avoid predatory fees; and
125+ (2) The record shall be available for public inspection during reasonable 20
126+business hours by any person who claims a legal interest in any property held by the 21
127+Administrator, provided that the person gives prior notice to the Administrator. 22
137128
138- (iii) claim the federal earned income tax credit or the State earned
139-income tax credit under § 10–704 of the Tax – General Article;
129+Article – Human Services 23
140130
141- (2) coordinate and expand access to free, fact–based financial education and
142-coaching for low–income individuals and families;
143- Ch. 804 2024 LAWS OF MARYLAND
131+6–801. 24
144132
145-– 4 –
146- (3) connect low–income individuals and families to affordable, high–quality
147-financial services;
133+ (a) For fiscal years 2021 through 2023, the Governor shall include in the annual 25
134+State budget an appropriation of $200,000 for the CASH Campaign of Maryland to promote 26
135+the financial capability of low–income individuals and families by providing outreach, 27
136+education, and free tax preparation services. 28
148137
149- (4) recruit, train, and manage a corps of volunteers to provide financial
150-education, coaching, and tax preparation services for low–income individuals and families;
151-and
138+ (b) For fiscal [year 2024 and each fiscal year thereafter] YEARS 2024 AND 2025, 29
139+the Governor shall include in the annual budget bill an appropriation of $500,000 for the 30
140+CASH Campaign. 31
152141
153- (5) conduct outreach to low–income individuals and families.
142+ (C) (1) FOR FISCAL YEAR 2026 AND EACH FISCAL YEAR THEREAFTER , THE 32
143+GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIATION OF 33
144+$800,000 FOR THE CASH CAMPAIGN. 34
145+ 4 SENATE BILL 1142
154146
155-Article – Tax – General
156147
157-1–207.
148+ (2) FROM THE APPROPRIATIO N MADE UNDER PARAGRA PH (1) OF THIS 1
149+SUBSECTION, $150,000 SHALL BE USED TO PRO VIDE GRANTS TO EXTER NAL 2
150+ENTITIES FOR PROVIDI NG INCOME TAX ASSIST ANCE IN ACCORDANCE W ITH § 6–802 3
151+OF THIS SUBTITLE THROUGH ON –DEMAND OR MOBILE TAX CLINICS THAT SERVE 4
152+SENIOR POPULATIONS , RURAL COMMUNITIES , OR UNDER –RESOURCED 5
153+COMMUNITIES , INCLUDING NEW AMERICAN POPULATIONS . 6
158154
159- (a) In this section, “Fund” means the Tax Clinics for Low–Income Marylanders
160-Fund.
155+6–802. 7
161156
162- (b) There is a Tax Clinics for Low–Income Marylanders Fund.
157+ An appropriation made under § 6–801 of this subtitle may be used only to: 8
163158
164- (c) The purpose of the Fund is to provide grants to the University of Maryland
165-School of Law, the University of Baltimore School of Law, and the Maryland Volunteer
166-Lawyers Service to operate tax clinics for low–income Maryland residents.
159+ (1) provide free volunteer income tax assistance that helps low–income 9
160+individuals and families: 10
167161
168- (d) The Comptroller shall administer the Fund.
162+ (i) file tax returns; 11
169163
170- (e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of
171-the State Finance and Procurement Article.
164+ (ii) avoid predatory fees; and 12
172165
173- (2) The State Treasurer shall hold the Fund separately, and the
174-Comptroller shall account for the Fund.
166+ (iii) claim the federal earned income tax credit or the State earned 13
167+income tax credit under § 10–704 of the Tax – General Article; 14
175168
176- (f) The Fund consists of:
169+ (2) coordinate and expand access to free, fact–based financial education and 15
170+coaching for low–income individuals and families; 16
177171
178- (1) proceeds distributed to the Fund under § 17–317 of the Commercial
179-Law Article;
172+ (3) connect low–income individuals and families to affordable, high–quality 17
173+financial services; 18
180174
181- (2) money appropriated in the State budget for the Fund; and
175+ (4) recruit, train, and manage a corps of volunteers to provide financial 19
176+education, coaching, and tax preparation services for low–income individuals and families; 20
177+and 21
182178
183- (3) any other money from any other source accepted for the benefit of the
184-Fund.
179+ (5) conduct outreach to low–income individuals and families. 22
185180
186- (g) (1) Subject to paragraph (2) of this subsection, the Fund may be used only
187-to provide grants to the University of Maryland School of Law, the University of Baltimore
188-School of Law, and the Maryland Volunteer Lawyers Service to operate tax clinics for
189-low–income Maryland residents.
190- WES MOORE, Governor Ch. 804
181+Article – Tax – General 23
191182
192-– 5 –
193- (2) For each fiscal year, the total amount of grant money expended from
194-the Fund to support tax clinics shall be distributed as follows:
183+1–207. 24
195184
196- (i) one–third to the University of Maryland School of Law;
185+ (a) In this section, “Fund” means the Tax Clinics for Low–Income Marylanders 25
186+Fund. 26
197187
198- (ii) one–third to the University of Baltimore School of Law; and
188+ (b) There is a Tax Clinics for Low–Income Marylanders Fund. 27
199189
200- (iii) one–third to the Maryland Volunteer Lawyers Service.
190+ (c) The purpose of the Fund is to provide grants to the University of Maryland 28
191+School of Law, the University of Baltimore School of Law, and the Maryland Volunteer 29
192+Lawyers Service to operate tax clinics for low–income Maryland residents. 30
193+ SENATE BILL 1142 5
201194
202- (h) Beginning in fiscal year 2024 and each fiscal year thereafter, the Governor
203-may include in the annual budget bill an appropriation to the Fund.
204195
205- (i) (1) The State Treasurer shall invest the money of the Fund in the same
206-manner as other State money may be invested.
196+ (d) The Comptroller shall administer the Fund. 1
207197
208- (2) Any interest earnings of the Fund shall be credited to the General Fund
209-of the State.
198+ (e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 2
199+the State Finance and Procurement Article. 3
210200
211- (j) Expenditures from the Fund may be made only in accordance with the State
212-budget.
201+ (2) The State Treasurer shall hold the Fund separately, and the 4
202+Comptroller shall account for the Fund. 5
213203
214- (k) Money expended from the Fund to support tax clinics at the University of
215-Maryland School of Law, the University of Baltimore School of Law, and the Maryland
216-Volunteer Lawyers Service is supplemental to and is not intended to take the place of
217-funding that otherwise would be appropriated for tax clinics.
204+ (f) The Fund consists of: 6
218205
219- (L) THE TAX CLINICS AT TH E UNIVERSITY OF MARYLAND SCHOOL OF LAW,
220-THE UNIVERSITY OF BALTIMORE SCHOOL OF LAW, AND THE MARYLAND
221-VOLUNTEER LAWYERS SERVICE SHALL INTERACT WITH THE CASH CAMPAIGN OF
222-MARYLAND AT LEAST ONC E EACH YEAR TO ENSUR E SUFFICIENT ACCESS TO TAX
223-PREPARATION SERVICES FOR LOW–INCOME MARYLAND RESIDENTS .
206+ (1) proceeds distributed to the Fund under § 17–317 of the Commercial 7
207+Law Article; 8
224208
225- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July
226-1, 2024.
209+ (2) money appropriated in the State budget for the Fund; and 9
227210
228-Approved by the Governor, May 16, 2024.
211+ (3) any other money from any other source accepted for the benefit of the 10
212+Fund. 11
213+
214+ (g) (1) Subject to paragraph (2) of this subsection, the Fund may be used only 12
215+to provide grants to the University of Maryland School of Law, the University of Baltimore 13
216+School of Law, and the Maryland Volunteer Lawyers Service to operate tax clinics for 14
217+low–income Maryland residents. 15
218+
219+ (2) For each fiscal year, the total amount of grant money expended from 16
220+the Fund to support tax clinics shall be distributed as follows: 17
221+
222+ (i) one–third to the University of Maryland School of Law; 18
223+
224+ (ii) one–third to the University of Baltimore School of Law; and 19
225+
226+ (iii) one–third to the Maryland Volunteer Lawyers Service. 20
227+
228+ (h) Beginning in fiscal year 2024 and each fiscal year thereafter, the Governor 21
229+may include in the annual budget bill an appropriation to the Fund. 22
230+
231+ (i) (1) The State Treasurer shall invest the money of the Fund in the same 23
232+manner as other State money may be invested. 24
233+
234+ (2) Any interest earnings of the Fund shall be credited to the General Fund 25
235+of the State. 26
236+
237+ (j) Expenditures from the Fund may be made only in accordance with the State 27
238+budget. 28
239+
240+ (k) Money expended from the Fund to support tax clinics at the University of 29
241+Maryland School of Law, the University of Baltimore School of Law, and the Maryland 30 6 SENATE BILL 1142
242+
243+
244+Volunteer Lawyers Service is supplemental to and is not intended to take the place of 1
245+funding that otherwise would be appropriated for tax clinics. 2
246+
247+ (L) THE TAX CLINICS AT TH E UNIVERSITY OF MARYLAND SCHOOL OF LAW, 3
248+THE UNIVERSITY OF BALTIMORE SCHOOL OF LAW, AND THE MARYLAND 4
249+VOLUNTEER LAWYERS SERVICE SHALL INTERAC T WITH THE CASH CAMPAIGN OF 5
250+MARYLAND AT LEAST ONCE EACH YEAR TO EN SURE SUFFICIENT ACCE SS TO TAX 6
251+PREPARATION SERVICES FOR LOW–INCOME MARYLAND RESIDENTS . 7
252+
253+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 8
254+1, 2024. 9
255+
256+
257+
258+Approved:
259+________________________________________________________________________________
260+ Governor.
261+________________________________________________________________________________
262+ President of the Senate.
263+________________________________________________________________________________
264+ Speaker of the House of Delegates.