EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *sb0731* SENATE BILL 731 P3, P4 4lr1513 CF 4lr1079 By: Senator Carter Introduced and read first time: January 31, 2024 Assigned to: Education, Energy, and the Environment A BILL ENTITLED AN ACT concerning 1 State Facilities – Procedures for Changes and Closures – Definition and 2 Reporting 3 FOR the purpose of specifying that certain requirements for purchasing, leasing, changing 4 the use of, or closing State facilities apply to facilities owned, leased, or operated for 5 the purpose of providing benefits to clients; requiring the Department of Human 6 Services to submit a report on certain State facility closures to certain committees of 7 the General Assembly; and generally relating to changing the use of or closing State 8 facilities. 9 BY repealing and reenacting, with amendments, 10 Article – State Government 11 Section 8–306 12 Annotated Code of Maryland 13 (2021 Replacement Volume and 2023 Supplement) 14 (As enacted by Chapter 721 of the Acts of the General Assembly of 2023) 15 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16 That the Laws of Maryland read as follows: 17 Article – State Government 18 8–306. 19 (a) (1) In this section the following words have the meanings indicated. 20 (2) (i) “Change the use, purpose, or function” means an abrupt and 21 material change in the type of clients or incarcerated individuals served in a facility, the 22 licensed purpose of a facility, or the principal activities carried out within a facility. 23 2 SENATE BILL 731 (ii) “Change the use, purpose, or function” does not mean a gradual 1 change in clients, incarcerated individuals, or activities due to societal trends or needs. 2 (iii) “Change the use, purpose, or function” does not include closing a 3 State facility. 4 (3) “Close a State facility” means to cease, discontinue, or substantially 5 eliminate activities carried out within the State facility. 6 (4) “Exclusive representative” has the meaning stated in § 3–101 of the 7 State Personnel and Pensions Article. 8 (5) (i) “Public hearing” means an informational hearing, the sole 9 purpose of which is to obtain public comment and answer public questions. 10 (ii) “Public hearing” does not mean a contested case hearing under 11 Title 10, Subtitle 2 of this article. 12 (6) “State facility” means: 13 (i) a facility that is owned, leased, or operated by the State for the 14 purpose of providing health, juvenile, or correctional services OR BENEFITS to clients or 15 incarcerated individuals; or 16 (ii) a facility to which 25 or more State employees are regularly 17 assigned. 18 (b) (1) A principal department of the Executive Branch of the State 19 government may not change the use, purpose, or function of a State facility without 20 complying with the requirements of subsection (c) of this section. 21 (2) A principal department of the Executive Branch of the State 22 government may not close a State facility without complying with the requirements of 23 subsection (d) of this section. 24 (c) (1) Subject to paragraph (3) of this subsection, before a principal 25 department changes the use, purpose, or function of a State facility, the principal 26 department shall: 27 (i) hold a public hearing; and 28 (ii) at least 90 days before the public hearing, give notice to: 29 1. the public, on the principal department’s website and by 30 press release; 31 SENATE BILL 731 3 2. any member of the General Assembly in whose district the 1 State facility is located, by e–mail and certified mail; and 2 3. any exclusive representative with bargaining unit 3 employees assigned to the State facility, by e–mail and certified mail. 4 (2) The principal department shall, at least 30 days before the public 5 hearing, give notice of the hearing: 6 (i) to the public, on the principal department’s website and by press 7 release; 8 (ii) to each member of the General Assembly in whose district the 9 facility is located, by e–mail and certified mail; and 10 (iii) to any exclusive representative with bargaining unit employees 11 assigned to the State facility, by e–mail and certified mail. 12 (3) If a government agency or judicial body determines that there is an 13 emergency situation that poses a risk to the health or safety of patients, incarcerated 14 individuals, residents, or employees of a State facility, the principal department may 15 modify the timelines required by this subsection, provided that any modifications made by 16 the principal department shall provide the notice, hearing, and opportunity for comment 17 required by this subsection at the earliest possible date, unless ordered otherwise by the 18 government agency or judicial body. 19 (d) (1) Subject to paragraph (3) of this subsection, before a principal 20 department closes a State facility, the principal department shall: 21 (i) hold a public hearing; 22 (ii) at least 180 days before the public hearing, give notice to: 23 1. the public, on the department’s website and by press 24 release; 25 2. each member of the General Assembly representing the 26 district in which the State facility is located, by e–mail and certified mail; and 27 3. any exclusive representative with bargaining unit 28 employees assigned to the State facility, by e–mail and certified mail; 29 (iii) submit a report explaining the closure to the Governor and, in 30 accordance with § 2–1257 of the State Government Article: 31 1. the Senate Finance Committee; 32 4 SENATE BILL 731 2. the Senate Budget and Taxation Committee; 1 3. the House Health and Government Operations 2 Committee; and 3 4. the House Appropriations Committee; 4 (iv) at least 270 days before holding the public hearing, make the 5 report required by this paragraph publicly available; and 6 (v) at least 90 days before holding the public hearing, allow each 7 exclusive representative and a committee listed under item (iii) of this paragraph that 8 receives the report required by this subsection to submit comments on the report. 9 (2) The report required under paragraph (1)(iii) of this subsection shall 10 address: 11 (i) the reasons for the closure; 12 (ii) the plan for continuing or discontinuing the State facility’s 13 operations; 14 (iii) the anticipated budgetary impact of the closure; 15 (iv) any plans for assisting State employees affected by the closure in 16 finding other employment; 17 (v) any plans for assisting the patients, incarcerated individuals, or 18 residents affected by the closure; and 19 (vi) any plans for the State facility after the closure. 20 (3) If a government agency or judicial body determines that there is an 21 emergency situation that poses a risk to the health or safety of patients, incarcerated 22 individuals, residents, or employees of a State facility, the principal department may 23 modify the timelines required by this subsection, provided that any modifications made by 24 the principal department shall provide the notice, hearing, and opportunity for comment 25 required by this subsection at the earliest possible date, unless ordered otherwise by the 26 government agency or judicial body. 27 (e) (1) Before a principal department leases or purchases land, buildings, or 28 office space to be used for the purpose of providing health, juvenile, or correctional services 29 OR BENEFITS to clients or incarcerated individuals, the principal department shall give 30 written notice of the proposed use of the land, buildings, or office space to each member of 31 the General Assembly in whose legislative district the property is located. 32 SENATE BILL 731 5 (2) (i) A member of the General Assembly may request that the 1 department hold a public hearing on the proposed use. 2 (ii) The department on whose behalf the property is being procured 3 or leased shall hold a public hearing on the proposed use upon the request of a member of 4 the General Assembly. 5 (iii) The department shall give notice of the hearing to the public as 6 provided in subsection (c)(2)(i) of this section. 7 (f) (1) If, after a principal department ceases its use of a State facility, the 8 principal department or any other principal department plans to recommence operation of 9 the facility as a State facility, and the proposed operation of the facility would change its 10 use, purpose, or function, the principal department shall hold a public hearing on the 11 proposed operation. 12 (2) The principal department shall give notice of the hearing to the public 13 as provided in subsection (c)(2)(i) of this section. 14 (g) Nothing in this section shall be construed to alter or diminish an exclusive 15 representative’s right to bargain. 16 SECTION 2. AND BE IT FURTHER ENACTED, That, on or before August 1, 2024, 17 the Department of Human Services shall report to the Senate Finance Committee, the 18 Senate Budget and Taxation Committee, the House Health and Government Operations 19 Committee, and the House Appropriations Committee, in accordance with § 2–1257 of the 20 State Government Article, on: 21 (1) any State facility owned, leased, or operated by the Department for the 22 purpose of providing benefits to clients that was closed on or after January 1, 2023; 23 (2) the reasons for any identified closure; 24 (3) the Department’s plans or actions taken to continue or discontinue the 25 operations of any State facility identified under item (1) of this section; 26 (4) the budgetary impact of any identified closure; 27 (5) any plans or actions taken to assist State employees affected by any 28 identified closure in finding other employment; 29 (6) any plans or actions taken to assist clients affected by any identified 30 closure; and 31 (7) any plans or actions taken regarding the State facility after any 32 identified closure. 33 6 SENATE BILL 731 SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 1 1, 2024. 2