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. *sb1174* SENATE BILL 1174 M3 4lr3472 CF HB 1509 By: Senator McCray (By Request – Baltimore City Administration) Introduced and read first time: February 15, 2024 Assigned to: Rules Re–referred to: Education, Energy, and the Environment, March 13, 2024 Committee Report: Favorable with amendments Senate action: Adopted Read second time: March 23, 2024 CHAPTER ______ AN ACT concerning 1 Baltimore Regional Water Authority Governance Workgroup – Established 2 FOR the purpose of establishing the Baltimore Regional Water Authority Governance 3 Workgroup to study the regional water authority governance approach in the 4 Baltimore region; and generally relating to the Baltimore Regional Water Authority 5 Governance Workgroup. 6 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 7 That: 8 (a) There is a Baltimore Regional Water Authority Governance Workgroup. 9 (b) (1) The Workgroup consists of the following members: 10 (i) one member of the Senate of Maryland, appointed by the 11 President of the Senate; 12 (ii) one member of the House of Delegates, appointed by the Speaker 13 of the House; 14 (iii) two members appointed by the Governor; 15 (iv) five members appointed by the Mayor of Baltimore City , 16 including: 17 2 SENATE BILL 1174 1. one member who represents the current workforce 1 responsible for the operation and maintenance of the water distribution system; and 2 2. one member from a labor organization that is the exclusive 3 representative for Baltimore City employees; 4 (v) three members appointed by the County Executive of Baltimore 5 County; and 6 (vi) one member from either Anne Arundel County, Carroll County, 7 Howard County, or Harford County, appointed by the Chair of the Baltimore Metropolitan 8 Council. 9 (2) Each member shall: 10 (i) have knowledge of: 11 1. water resources management and protection; 12 2. the management and operation of water or wastewater 13 systems or comparable expertise; 14 3. environmental finance; 15 4. human resources management; or 16 5. environmental justice and equity; or 17 (ii) represent ratepayers in their respective jurisdictions. 18 (c) The Mayor of Baltimore City and the County Executive of Baltimore County 19 shall jointly designate a chair of the Workgroup. 20 (d) The Mayor of Baltimore City and the County Executive of Baltimore County 21 shall jointly provide staff for the Workgroup. 22 (e) A member of the Workgroup: 23 (1) may not receive compensation as a member of the Workgroup; but 24 (2) is entitled to reimbursement for expenses under the Standard State 25 Travel Regulations, as provided in the State budget. 26 (f) (1) The Workgroup shall strive for consensus among its members. 27 (2) An affirmative vote of 10 members is needed for the Workgroup to act. 28 SENATE BILL 1174 3 (g) The Workgroup shall: 1 (1) review the report of the Baltimore Regional Water Governance Task 2 Force submitted in accordance with Chapter 179 of the Acts of the General Assembly of 3 2023; 4 (2) analyze the issues relevant to implementing a regional water authority 5 governance model in the Baltimore region, including: 6 (i) 1. developing an equity analysis to analyze how the shift to 7 a regional water authority affects vulnerable residents in the area; and 8 2. recommending programs to assist potentially affected 9 residents during the implementation; 10 (ii) developing a financial transition plan to analyze how 11 implementing a regional water authority affects the finances of each jurisdiction within the 12 governance area, including pension and benefit commitments and debt service; 13 (iii) assessing the available workforce for a regional water authority, 14 including hiring new employees and transitioning existing employees from Baltimore City 15 and applicable counties to the regional water authority; 16 (iv) reviewing any legal and legislative actions required for 17 transitioning to a regional water authority governance model, including analyzing changes 18 needed to the applicable city and county codes and charters; and 19 (v) assessing the administrative and operational changes required 20 for implementing a regional water authority, including whether stormwater management 21 would fall under the purview of the regional water authority; 22 (3) analyze whether creating a City–County Rate Board is necessary to: 23 (i) ensure fairness for consumers; and 24 (ii) balance city and county rates; and 25 (4) review the regional governance models recommended in the report of 26 the Baltimore Regional Water Governance Task Force submitted in accordance with 27 Chapter 179 of the Acts of the General Assembly of 2023 and other existing and potential 28 regional water and wastewater governance models to assess how different regional 29 approaches may improve: 30 (i) management; 31 (ii) operations; 32 4 SENATE BILL 1174 (iii) employee recruitment; 1 (iv) retention and training; 2 (v) billing and collections; 3 (vi) planning for capital improvements; 4 (vii) emergency management; and 5 (viii) rate stability for customers. 6 (h) (1) The Workgroup shall hire independent consultants to facilitate the 7 requirements of subsection (g) of this section, including: 8 (i) outside counsel to assist with the analysis of issues related to 9 regional governance; and 10 (ii) experts in equity analysis. 11 (2) For fiscal year 2026, the Governor shall include in the annual budget 12 bill an appropriation of $500,000 for the purpose of hiring independent consultants under 13 paragraph (1) of this subsection. 14 (i) On or before June 30, 2027, the Workgroup shall report its findings to the 15 Mayor of Baltimore City, the County Executive of Baltimore County, the Governor, and, in 16 accordance with § 2–1257 of the State Government Article, the General Assembly. 17 (j) In developing the report required under subsection (i) of this section, the 18 Workgroup: 19 (1) shall consult with the Office of the Attorney General and the 20 Department of the Environment; and 21 (2) may not consider or make recommendations related to a privately 22 operated regional water governance model. 23 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 24 1, 2024. It shall remain effective for a period of 3 years and, at the end of June 30, 2027, 25 this Act, with no further action required by the General Assembly, shall be abrogated and 26 of no further force and effect. 27