EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *sb1188* SENATE BILL 1188 K3, C8 EMERGENCY BILL 4lr3559 CF HB 1526 By: Senators Ferguson and Salling Constitutional Requirements Complied with for Introduction in the last 35 Days of Session Introduced and read first time: March 14, 2024 Assigned to: Finance and Budget and Taxation A BILL ENTITLED AN ACT concerning 1 Maryland Protecting Opportunities and Regional Trade (PORT) Act 2 FOR the purpose of requiring the Maryland Department of Labor and the Department of 3 Commerce to establish certain temporary relief programs to provide assistance to 4 individuals and certain entities impacted by a certain closure of the Port of 5 Baltimore; authorizing the Governor to transfer, by budget amendment, funds from 6 the Revenue Stabilization Account to fund the temporary relief programs; and 7 generally relating to providing temporary relief for individuals and certain entities 8 affected by the closure of the Port of Baltimore. 9 Preamble 10 WHEREAS, At approximately 1:30 a.m. on March 26, 2024, a major section of the 11 Francis Scott Key Bridge (Key Bridge) collapsed into the Patapsco River after the Dali, a 12 984–foot container ship, collided with one of the bridge’s primary support pillars; and 13 WHEREAS, The collapse of the Key Bridge is a catastrophic event that resulted in a 14 tragic loss of life and the closure of the Port of Baltimore (Port); and 15 WHEREAS, The closure of the Port has severe economic implications for the entire 16 region and nation; and 17 WHEREAS, The Port accounts for approximately $3.3 billion in annual personal 18 income for individuals, with approximately 15,300 jobs in Maryland directly generated by 19 Port activity and approximately 140,000 total jobs linked to Port activity; and 20 WHEREAS, In 2023, the Port set several records for itself and also ranked first 21 among ports in the nation for handling the highest volume in each of the following 22 categories: autos and light trucks (847,158 vehicles); roll–on, roll–off heavy farm and 23 construction machinery (1.3 million tons); and imported sugar and gypsum; and 24 2 SENATE BILL 1188 WHEREAS, The Port also ranked ninth in the nation in 2023 for both the tonnage 1 of international cargo handled (52.3 million tons) and total foreign cargo value ($80.8 2 billion); and 3 WHEREAS, Additionally, in 2023, in total the Port exported more than $111 billion 4 and imported more than $36 billion worth of goods; and 5 WHEREAS, It is critical to ensure that the individuals and businesses that are 6 economically impacted by the closure of the Port are supported at this vital juncture; now, 7 therefore, 8 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 9 That: 10 (a) (1) In this section the following words have the meanings indicated. 11 (2) “Closure of the Port” means a cessation in the operations of or the 12 inability to access the Port of Baltimore due to the collapse of the Francis Scott Key Bridge 13 on March 26, 2024. 14 (3) “Port” means the Port of Baltimore. 15 (b) Subject to subsection (e) of this section, the Maryland Department of Labor, 16 as soon as practicable, shall establish a temporary relief program to provide assistance to 17 individuals who: 18 (1) regularly performed paid work at the Port; 19 (2) are unable to work through no fault of their own due to the closure of 20 the Port; and 21 (3) despite being able, available, and actively seeking work, do not qualify 22 for unemployment insurance benefits under Title 8 of the Labor and Employment Article 23 or any similar employer–provided benefit. 24 (c) (1) Subject to paragraph (2) of this subsection and subsection (e) of this 25 section, the Department of Commerce, as soon as practicable, shall establish a temporary 26 relief program to provide assistance to small businesses, trade associations, or companies 27 that contract with or are members of a trade association: 28 (i) the operations of which: 29 1. rely on access to or the operation of the Port; and 30 2. are substantially hindered or halted entirely due to the 31 closure of the Port; 32 SENATE BILL 1188 3 (ii) that, without the reopening of the Port, are unable to retain their 1 workforce at the same hours, rates of pay, and benefits in effect before the closure of the 2 Port; and 3 (iii) that are committed to continuing operations, to the fullest extent 4 practicable, at the Port once it reopens. 5 (2) A small business, trade association, or company that contracts with a 6 trade association that receives relief under the program established under this subsection 7 shall, to the fullest extent practicable, use the relief to maintain its workforce at the same 8 hours, rates of pay, and benefits in effect before the closure of the Port. 9 (d) Subject to subsection (e) of this section, the Department of Commerce, as soon 10 as practicable, shall establish a temporary relief program to provide assistance to 11 businesses: 12 (1) the operations of which: 13 (i) rely on the use of or access to the Port; 14 (ii) are substantially hindered or halted entirely due to the closure 15 of the Port; and 16 (iii) are subsequently diverted to other regional ports; and 17 (2) that are committed to continuing operations, to the fullest extent 18 practicable, at the Port once it reopens. 19 (e) (1) Any funds distributed under subsections (b) through (d) of this section 20 shall be distributed on or before June 30, 2025. 21 (2) In administering the temporary relief programs established under 22 subsections (b) through (d) of this section, the Maryland Department of Labor and the 23 Department of Commerce shall require an individual, business, trade association, or 24 company that is compensated through indemnification or other similar means for the same 25 purpose for which assistance is provided under the applicable program to repay any 26 monetary assistance received under the applicable program within 6 months after receipt 27 of the nonprogram compensation. 28 (3) The Maryland Department of Labor and the Department of Commerce 29 may make an assessment against an individual, business, trade association, or company to 30 recapture any amounts owed in accordance with paragraph (2) of this subsection. 31 (f) (1) Notwithstanding § 7–311(i) of the State Finance and Procurement 32 Article, after providing the Legislative Policy Committee at least 7 days to review and 33 comment, the Governor may transfer by budget amendment any amounts necessary to fund 34 4 SENATE BILL 1188 the temporary relief programs established under subsections (b) through (d) of this section 1 from the Revenue Stabilization Account established under § 7–311 of the State Finance 2 and Procurement Article to: 3 (i) for the program established under subsection (b) of this section, 4 the expenditure account of the Maryland Department of Labor; 5 (ii) for the program established under subsection (c) of this section, 6 the expenditure account of the Department of Commerce; or 7 (iii) for the program established under subsection (d) of this section, 8 the Economic Development Opportunities Program Account established under § 7–314 of 9 the State Finance and Procurement Article. 10 (2) It is the intent of the General Assembly that, if federal funds become 11 available for any purpose for which a program is established under this Act, the federal 12 funds may be used to: 13 (i) supplant, rather than supplement, any funds otherwise used for 14 the programs established under this Act; and 15 (ii) to the extent authorized by federal law, reimburse the Revenue 16 Stabilization Account, established under § 7–311 of the State Finance and Procurement 17 Article, for any funds transferred under paragraph (1) of this subsection. 18 SECTION 2. AND BE IT FURTHER ENACTED, That this Act is an emergency 19 measure, is necessary for the immediate preservation of the public health or safety, has 20 been passed by a yea and nay vote supported by three–fifths of all the members elected to 21 each of the two Houses of the General Assembly, and shall take effect from the date it is 22 enacted. 23