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. *sb0126* SENATE BILL 126 R2, B1 4lr1222 (PRE–FILED) CF HB 198 By: Senators Augustine and Feldman Requested: October 29, 2023 Introduced and read first time: January 10, 2024 Assigned to: Budget and Taxation Committee Report: Favorable with amendments Senate action: Adopted Read second time: February 27, 2024 CHAPTER ______ AN ACT concerning 1 Transportation – WMATA Operating Assistance – Alteration 2 (Maryland Metro Funding Act of 2024) 3 FOR the purpose of repealing for a certain fiscal year years a requirement that the 4 Secretary of Transportation withhold a certain percentage of the State’s share of 5 annual operating grants for the Washington Suburban Transit District if the State’s 6 operating assistance provided in the approved Washington Metropolitan Area 7 Transit Authority budget increases by more than a certain percentage over the total 8 operating assistance provided in the prior fiscal year; requiring the Secretary to 9 withhold a certain percentage of the State’s share of annual operating grants for the 10 District under certain circumstances; and generally relating to operating grants for 11 the Washington Suburban Transit District. 12 BY repealing and reenacting, with amendments, 13 Article – Transportation 14 Section 10–205(b) 15 Annotated Code of Maryland 16 (2020 Replacement Volume and 2023 Supplement) 17 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18 That the Laws of Maryland read as follows: 19 Article – Transportation 20 2 SENATE BILL 126 10–205. 1 (b) (1) Subject to the appropriation requirements and budgetary provisions of 2 § 3–216(d) of this article and upon receipt of an approval of a grant application in such form 3 and detail as the Secretary shall reasonably require, the Department shall provide for 4 annual grants to the Washington Suburban Transit District for a share of the operating 5 deficits of the regional transit system for which the District is responsible. “Operating 6 deficit” means operating costs less: 7 (i) The greater of operating revenues or 50 percent of the operating 8 costs; and 9 (ii) All federal operating assistance. 10 (2) The Department’s share shall equal 100 percent of the operating deficit. 11 (3) (i) [For] BEGINNING IN FISCAL Y EAR 2026 2028, FOR any fiscal 12 year in which the total Maryland operating assistance provided in the approved 13 Washington Metropolitan Area Transit Authority budget increases by more than 3% over 14 the total operating assistance provided in the prior fiscal year’s approved Washington 15 Metropolitan Area Transit Authority budget, the Secretary shall withhold an amount equal 16 to 35% of the funds available under paragraphs (1) and (2) of this subsection. 17 (ii) For purposes of calculating a budget increase under 18 subparagraph (i) of this paragraph, the following items may not be included: 19 1. The cost of any service, equipment, or facility that is 20 required by law; 21 2. A capital project approved by the board of directors of the 22 Washington Metropolitan Area Transit Authority; 23 3. Any payments or obligations arising from or related to 24 legal disputes or proceedings or arbitration proceedings between or among the Washington 25 Metropolitan Area Transit Authority and any other person; and 26 4. Any service increases approved by the board of directors of 27 the Washington Metropolitan Area Transit Authority. 28 (4) THE SECRETARY SHALL WITHHOL D AN AMOUNT EQUAL TO 35% 29 OF THE FUNDS AVAILAB LE UNDER PARAGRAPHS (1) AND (2) OF THIS SUBSECTION 30 FOR ANY FISCAL YEAR IN WHICH: 31 (I) THE CHAIRMAN OF THE B OARD OF DIRECTORS OF THE 32 WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY: 33 SENATE BILL 126 3 1. HAS SERVED AS CHAIRMA N FOR AT LEAST 2 PRIOR 1 YEARS; OR 2 2. REPRESENTS THE SAME J URISDICTION AS THE 3 MEMBER WHO SERVED AS CHAIRMAN FOR THE 2 IMMEDIATELY PRECEDIN G YEARS; 4 OR 5 (II) THE PURPLE LINE, AS DEFINED IN § 2–103.8 OF THIS 6 ARTICLE, IS IN SERVICE AND IS NOT INCLUDED ON THE MAPS POSTED A T 7 WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY STATIONS . 8 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 9 1, 2024. 10 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.