Maryland 2024 2024 Regular Session

Maryland Senate Bill SB775 Introduced / Bill

Filed 02/01/2024

                     
 
EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. 
        [Brackets] indicate matter deleted from existing law. 
          *sb0775*  
  
SENATE BILL 775 
P1, C4   	4lr2892 
    	CF 4lr2887 
By: The President (By Request – State Treasurer) 
Introduced and read first time: February 1, 2024 
Assigned to: Education, Energy, and the Environment and Budget and Taxation 
 
A BILL ENTITLED 
 
AN ACT concerning 1 
 
State Officers and Employees – Required Surety Bonds – Insurance Policies 2 
Authorized 3 
 
FOR the purpose of altering the requirements that certain officers and employees of the 4 
State be covered by certain surety bonds to allow the officers and employees to be 5 
covered by certain insurance policies; transferring certain duties and responsibilities 6 
of the Maryland State Employees Surety Bond Committee to the State Treasurer; 7 
repealing certain provisions of law related to the approval, form, and record of 8 
certain surety bonds required for certain officers and employees of the State; and 9 
generally relating to surety bond and insurance coverage requirements for certain 10 
officers and employees of the State.   11 
 
BY repealing and reenacting, with amendments, 12 
 Article – Agriculture 13 
Section 8–205(c)(8) and 8–303(c) 14 
 Annotated Code of Maryland 15 
 (2016 Replacement Volume and 2023 Supplement) 16 
 
BY repealing and reenacting, with amendments, 17 
 Article – Business Occupations and Professions 18 
Section 3–204(d)(2), 7–203(c), 16–203(c), 16–205(e), 17–203(d), and 17–205(f) 19 
 Annotated Code of Maryland 20 
 (2018 Replacement Volume and 2023 Supplement) 21 
 
BY repealing and reenacting, with amendments, 22 
 Article – Business Regulation 23 
Section 4–204(d), 8–205(d), and 11–204(d) 24 
 Annotated Code of Maryland 25 
 (2015 Replacement Volume and 2023 Supplement) 26 
 
BY repealing and reenacting, with amendments, 27  2 	SENATE BILL 775  
 
 
 Article – Correctional Services 1 
Section 3–217 2 
 Annotated Code of Maryland 3 
 (2017 Replacement Volume and 2023 Supplement) 4 
 
BY repealing and reenacting, with amendments, 5 
 Article – Economic Development 6 
Section 10–313(b) 7 
 Annotated Code of Maryland 8 
 (2018 Replacement Volume and 2023 Supplement) 9 
 
BY repealing 10 
 Article – Education 11 
Section 18–1908(a) 12 
 Annotated Code of Maryland 13 
 (2022 Replacement Volume and 2023 Supplement) 14 
 
BY adding to 15 
 Article – Education 16 
Section 18–1908(a) 17 
 Annotated Code of Maryland 18 
 (2022 Replacement Volume and 2023 Supplement) 19 
 
BY repealing and reenacting, with amendments, 20 
 Article – Insurance 21 
Section 2–103(e) and 2–104(a)(3) 22 
 Annotated Code of Maryland 23 
 (2017 Replacement Volume and 2023 Supplement) 24 
 
BY repealing and reenacting, with amendments, 25 
 Article – Labor and Employment 26 
Section 8–414(b)(1) 27 
 Annotated Code of Maryland 28 
 (2016 Replacement Volume and 2023 Supplement) 29 
 
BY repealing and reenacting, with amendments, 30 
 Article – Natural Resources 31 
Section 3–103(e)(1)(v) and (2)(ii) and 3–903(g) 32 
 Annotated Code of Maryland 33 
 (2023 Replacement Volume and 2023 Supplement) 34 
 
BY repealing and reenacting, with amendments, 35 
 Article – State Finance and Procurement 36 
Section 8–135(c) 37 
 Annotated Code of Maryland 38 
 (2021 Replacement Volume and 2023 Supplement) 39 
   	SENATE BILL 775 	3 
 
 
BY repealing and reenacting, with amendments, 1 
 Article – State Government 2 
Section 2–1218(b)(3), 4–102, 4–104(b)(2), 5–102, 5–102.1, and 5–105(a)(2) 3 
 Annotated Code of Maryland 4 
 (2021 Replacement Volume and 2023 Supplement) 5 
 
BY adding to 6 
 Article – State Government 7 
Section 5–108 8 
 Annotated Code of Maryland 9 
 (2021 Replacement Volume and 2023 Supplement) 10 
 
BY repealing 11 
 Article – State Government 12 
Section 9–1701 through 9–1707 and the subtitle “Subtitle 17. Maryland State 13 
Employees Surety Bond Committee” 14 
 Annotated Code of Maryland 15 
 (2021 Replacement Volume and 2023 Supplement) 16 
 
BY repealing and reenacting, with amendments, 17 
 Article – State Personnel and Pensions 18 
Section 21–210(a) 19 
 Annotated Code of Maryland 20 
 (2015 Replacement Volume and 2023 Supplement) 21 
 
BY repealing and reenacting, with amendments, 22 
 Article – Transportation 23 
Section 8–204(e)(2) 24 
 Annotated Code of Maryland 25 
 (2020 Replacement Volume and 2023 Supplement) 26 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 27 
That the Laws of Maryland read as follows: 28 
 
Article – Agriculture 29 
 
8–205. 30 
 
 (c) The Committee shall: 31 
 
 (8) Provide for the execution of surety bonds OR INSURANCE POLICIE S 32 
OF THE TYPE AND IN T HE AMOUNT OF COVERAG E DETERMINED BY THE STATE 33 
TREASURER UNDER § 5–108 OF THE STATE GOVERNMENT ARTICLE for every 34 
employee or officer entrusted with funds or property; 35 
 
8–303. 36 
  4 	SENATE BILL 775  
 
 
 (c) The supervisors shall provide for the execution of surety bonds OR 1 
INSURANCE POLICIES O F THE TYPE AND IN TH E AMOUNT OF COVERAGE 2 
DETERMINED BY THE STATE TREASURER UNDER § 5–108 OF THE STATE 3 
GOVERNMENT ARTICLE for every employee and officer who is entrusted with funds or 4 
property. They shall provide for the keeping of a full and accurate record of all proceedings 5 
and of all resolutions, rules and regulations, and orders issued or adopted. They shall 6 
provide for an annual audit of the accounts of receipts and disbursements. 7 
 
Article – Business Occupations and Professions 8 
 
3–204. 9 
 
 (d) (2) The Board may require the staff to be covered by a surety bond [in the 10 
form and amount required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE 11 
AMOUNT OF COVERAGE D ETERMINED BY THE STATE TREASURER UNDER § 5–108 OF 12 
THE STATE GOVERNMENT ARTICLE. 13 
 
7–203. 14 
 
 (c) The secretary of the Board shall be covered by a surety bond [in the form and 15 
amount required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE AMOUNT 16 
OF COVERAGE DETERMIN ED BY THE STATE TREASURER UNDER § 5–108 OF THE 17 
STATE GOVERNMENT ARTICLE. 18 
 
16–203. 19 
 
 (c) While in office, the chairman shall be covered by a surety bond [in the form 20 
and amount required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE 21 
AMOUNT OF COVERAGE D ETERMINED BY THE STATE TREASURER UNDER § 5–108 OF 22 
THE STATE GOVERNMENT ARTICLE. 23 
 
16–205. 24 
 
 (e) While employed as executive director, the executive director shall be covered 25 
by a surety bond [in the form and amount required by law] OR AN INSURANCE POLI CY 26 
OF THE TYPE AND IN T HE AMOUNT OF COVERAG E DETERMINED BY THE STATE 27 
TREASURER UNDER § 5–108 OF THE STATE GOVERNMENT ARTICLE. 28 
 
17–203. 29 
 
 (d) While in office, the chairman shall be covered by a surety bond [in the form 30 
and amount required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE 31 
AMOUNT OF COVERAGE D ETERMINED BY THE STATE TREASURER UNDER § 5–108 OF 32 
THE STATE GOVERNMENT ARTICLE. 33 
   	SENATE BILL 775 	5 
 
 
17–205. 1 
 
 (f) While employed as executive director, the executive director shall be covered 2 
by a surety bond [in the form and amount required by law] OR AN INSURANCE POLI CY 3 
OF THE TYPE AND IN T HE AMOUNT OF COVERAG E DETERMINED BY THE STATE 4 
TREASURER UNDER § 5–108 OF THE STATE GOVERNMENT ARTICLE. 5 
 
Article – Business Regulation 6 
 
4–204. 7 
 
 (d) While in office, each member of the Commission shall be covered by a surety 8 
bond [in the form and amount required by law] OR AN INSURANCE POLI CY OF THE TYPE 9 
AND IN THE AMOUNT OF COVERAGE DETERMIN ED BY THE STATE TREASURER 10 
UNDER § 5–108 OF THE STATE GOVERNMENT ARTICLE. 11 
 
8–205. 12 
 
 (d) While employed as executive director, the executive director shall be covered 13 
by a surety bond [in the form and amount required by law] OR AN INSURAN CE POLICY 14 
OF THE TYPE AND IN T HE AMOUNT OF COVERAG E DETERMINED BY THE STATE 15 
TREASURER UNDER § 5–108 OF THE STATE GOVERNMENT ARTICLE. 16 
 
11–204. 17 
 
 (d) While in office, each member of the Commission shall be covered by a surety 18 
bond [in the form and amount required by law] OR AN INSURANCE POLI CY OF THE TYPE 19 
AND IN THE AMOUNT OF COVERAGE DETERMINED BY THE STATE TREASURER 20 
UNDER § 5–108 OF THE STATE GOVERNMENT ARTICLE. 21 
 
Article – Correctional Services 22 
 
3–217. 23 
 
 (a) (1) The Governor may require the Commissioner to execute a surety bond 24 
in an amount that the Governor establishes OR AN INSURANCE POLI CY OF THE TYPE 25 
AND IN THE AMOUNT OF COVERAGE DETERMINED BY THE GOVERNOR IN 26 
CONSULTATION WITH TH E STATE TREASURER. 27 
 
 (2) The Commissioner may require any officer or other employee of the 28 
Division to execute a surety bond in the amount that the Commissioner, with the approval 29 
of the [Comptroller] STATE TREASURER, establishes. 30 
 
 (3) The bond shall be conditioned on the individual faithfully performing 31 
the duties of office and accounting for all funds officially received. 32 
  6 	SENATE BILL 775  
 
 
 (b) (1) [The] A surety bond for the Commissioner shall be issued by a 1 
corporate surety approved by the Governor. 2 
 
 (2) [The] ANY surety bond for [any] AN officer or other employee of the 3 
Division shall be issued by a corporate surety approved by the Commissioner and the 4 
[Comptroller] STATE TREASURER. 5 
 
 (c) The premium for a surety bond OR AN INSURANCE POLI CY issued under this 6 
section shall be paid by the Division. 7 
 
 (d) An individual who fails to provide or maintain a surety bond OR AN 8 
INSURANCE POLICY as required by this section: 9 
 
 (1) may not assume the duties of the individual’s position; and 10 
 
 (2) after 30 days, forfeits the individual’s office or employment. 11 
 
Article – Economic Development 12 
 
10–313. 13 
 
 (b) Each member, the Executive Director, each other officer, and each employee 14 
of the Authority shall be covered by a surety bond [in accordance with Title 9, Subtitle 17 15 
of the State Government Article] OR AN INSURANCE POLICY OF T HE TYPE AND IN THE 16 
AMOUNT OF COVERAGE D ETERMINED BY THE STATE TREASURER UNDER § 5–108 OF 17 
THE STATE GOVERNMENT ARTICLE. 18 
 
Article – Education 19 
 
18–1908. 20 
 
 [(a) The State Treasurer shall purchase a bond for each fiduciary in accordance 21 
with Title 9, Subtitle 17 of the State Government Article.]  22 
 
 (A) EACH FIDUCIARY SHALL BE COVERED BY A SURE TY BOND OR AN 23 
INSURANCE POLICY OF THE TYPE AND IN THE AMOUNT OF COVERAGE D ETERMINED 24 
BY THE STATE TREASURER UNDER § 5–108 OF THE STATE GOVERNMENT ARTICLE, 25 
AS A FIDUCIARY OF TH E TRUST. 26 
 
Article – Insurance 27 
 
2–103. 28 
 
 (e) The Commissioner shall be covered by a surety bond [in the form and amount 29 
required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE AMOUNT OF 30   	SENATE BILL 775 	7 
 
 
COVERAGE DETERMINED BY THE STATE TREASURER UNDER § 5–108 OF THE STATE 1 
GOVERNMENT ARTICLE. 2 
 
2–104. 3 
 
 (a) (3) The Deputy Commissioner shall be covered by a surety bond [in the 4 
form and amount required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE 5 
AMOUNT OF COVERAGE D ETERMINED BY THE STATE TREASURER UNDER § 5–108 OF 6 
THE STATE GOVERNMENT ARTICLE. 7 
 
Article – Labor and Employment 8 
 
8–414. 9 
 
 (b) (1) Subject to § 8–405 of this subtitle and paragraph (2) of this subsection, 10 
the Secretary shall use the Unemployment Insurance Administration Fund to pay the 11 
administrative costs of this title including the costs of: 12 
 
 (i) office space in accordance with § 8–421(c) of this subtitle; and 13 
 
 (ii) the PREMIUM OF ANY surety bond OR INSURANCE POLICY of 14 
the State Treasurer under § 5–102.1 of the State Government Article for the 15 
Unemployment Insurance Administration Fund. 16 
 
Article – Natural Resources 17 
 
3–103. 18 
 
 (e) (1) (v) Upon entering the performance of official duties, the Treasurer 19 
shall be covered by a surety bond [in accordance with the provisions of law concerning the 20 
State Employees Surety Bond Committee] OR AN INSURANCE POLI CY OF THE TYPE AND 21 
IN THE AMOUNT OF COV ERAGE DETERMINED BY THE STATE TREASURER UNDER § 22 
5–108 OF THE STATE GOVERNMENT ARTICLE. 23 
 
 (2) (ii) The Deputy Treasurer shall be covered by a surety bond [in 24 
accordance with the provisions of law concerning the State Employees Surety Bond 25 
Committee] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE AMOUNT OF 26 
COVERAGE DETERMINED BY THE STATE TREASURER UNDER § 5–108 OF THE STATE 27 
GOVERNMENT ARTICLE. 28 
 
3–903. 29 
 
 (g) Each member of the Authority, the executive director and such employees as 30 
may be designated by the Authority, shall, upon entering the performance of their duties, 31 
be covered by a surety bond [in accordance with the provisions of Title 9, Subtitle 17 of the 32 
State Government Article] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE 33  8 	SENATE BILL 775  
 
 
AMOUNT OF COVERAGE D ETERMINED BY THE STATE TREASURER UNDER § 5–108 OF 1 
THE STATE GOVERNMENT ARTICLE. 2 
 
Article – State Finance and Procurement 3 
 
8–135. 4 
 
 (c) During its agency, the fiscal agent shall be covered by a surety bond [in the 5 
form and amount required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE 6 
AMOUNT OF COVERAGE D ETERMINED BY THE STATE TREASURER UN DER § 5–108 OF 7 
THE STATE GOVERNMENT ARTICLE. 8 
 
Article – State Government 9 
 
2–1218. 10 
 
 (b) The Legislative Auditor must: 11 
 
 (3) while in office, be covered by a surety bond [in the form and amount 12 
required by law] OR AN INSURANCE POLI CY OF THE TYPE AND I N THE AMOUNT OF 13 
COVERAGE DETERMINED BY THE STATE TREASURER UNDER § 5–108 OF THIS 14 
ARTICLE. 15 
 
4–102. 16 
 
 (a) While in office, the Comptroller shall be covered by a surety bond OR AN 17 
INSURANCE POLICY as required in this section. 18 
 
 (b) [The] A surety bond of the Comptroller shall: 19 
 
 (1) run to the State; 20 
 
 (2) be in the amount of $200,000; 21 
 
 (3) be with surety that the Governor approves; and 22 
 
 (4) be conditioned on the Comptroller: 23 
 
 (i) accounting for the funds that are received under color of office; 24 
and 25 
 
 (ii) otherwise discharging faithfully each duty of office. 26 
 
 (c) After execution and approval of a surety bond under this section, the surety 27 
bond shall be recorded in the office of the Clerk of the Supreme Court of Maryland. 28 
   	SENATE BILL 775 	9 
 
 
 (D) THE STATE TREASURER SHALL DETER MINE THE TYPE AND AM OUNT OF 1 
COVERAGE TO BE PROVI DED BY AN INSURANCE POLICY PURCHASED UND ER 2 
SUBSECTION (A) OF THIS SECTION AND KEEP RECORD OF ANY I NSURANCE POLICY 3 
PROCURED TO MEET THE REQUIREMENTS OF SUBS ECTION (A) OF THIS SECTION. 4 
 
4–104. 5 
 
 (b) (2) While in office, the Chief Deputy Comptroller and each deputy 6 
comptroller shall be covered by a surety bond [in the form and amount required by law] OR 7 
AN INSURANCE POLICY OF THE TYPE AND IN T HE AMOUNT OF COVERAGE 8 
DETERMINED BY THE STATE TREASURER UNDER § 5–108 OF THIS ARTICLE . 9 
 
5–102. 10 
 
 (a) While in office, the Treasurer shall be covered by a surety bond OR AN 11 
INSURANCE POLICY as required in this section. 12 
 
 (b) [The] A surety bond under this section shall: 13 
 
 (1) run to the State; 14 
 
 (2) be in the amount that the Governor approves; 15 
 
 (3) be with a surety company that is authorized to do business in the State; 16 
and 17 
 
 (4) include provisions that secure the money of: 18 
 
 (i) the Injured Workers’ Insurance Fund; 19 
 
 (ii) the Subsequent Injury Fund; and 20 
 
 (iii) the Unemployment Insurance Administration Fund. 21 
 
 (c) (1) If the Governor believes that [the] A surety bond under this section has 22 
or is likely to become invalid or insufficient, the Governor shall demand that the Treasurer 23 
obtain coverage under a new surety bond that meets the requirements of this section. 24 
 
 (2) Neglect or refusal to obtain the coverage within 20 days after the 25 
demand constitutes disqualification from office, as authorized in the Maryl and 26 
Constitution. 27 
 
 (d) After execution and approval of a surety bond under this section, the surety 28 
bond shall be recorded in the office of the Clerk of the Supreme Court of Maryland. 29 
  10 	SENATE BILL 775  
 
 
 (E) (1) THE GOVERNOR, IN CONSULTATION WITH THE STATE 1 
TREASURER, SHALL DETERMINE THE TYPE A ND AMOUNT OF COVERAG E PROVIDED 2 
BY AN INSURANCE POLI CY PURCHASED UNDER S UBSECTION (A) OF THIS SECTION. 3 
 
 (2) THE STATE TREASURER SHALL KEEP A RECORD OF ANY 4 
INSURANCE POLICY PRO CURED FOR THE PURPOS	E OF MEETING THE 5 
REQUIREMENTS OF SUBS ECTION (A) OF THIS SECTION. 6 
 
5–102.1. 7 
 
 (a) In addition to the bond OR INSURANCE POLICY required under § 5–102 of 8 
this subtitle, the State Treasurer shall be covered by a surety bond [as required in] OR AN 9 
INSURANCE POLICY MEE TING THE REQUIREMENT S OF this section. 10 
 
 (b) [The] A surety bond [under] PURCHASED TO MEET TH E REQUIREMENTS 11 
OF SUBSECTION (A) OF this section shall: 12 
 
 (1) be conditioned on the faithful performance of the duties of the State 13 
Treasurer as custodian of the Unemployment Insurance Fund; 14 
 
 (2) run to the State; 15 
 
 (3) be in an amount that the Secretary approves; and 16 
 
 (4) be in a form required by law or approved by the Attorney General. 17 
 
 (C) AN INSURANCE POLICY P URCHASED TO MEET THE REQUIREMENTS OF 18 
SUBSECTION (A) OF THIS SECTION SHAL L BE OF THE TYPE AND IN TH E AMOUNT OF 19 
COVERAGE DETERMINED BY THE STATE TREASURER, IN CONSULTATION WITH THE 20 
SECRETARY OF LABOR. 21 
 
5–105. 22 
 
 (a) (2) While on the staff, an individual shall be covered by a surety bond [in 23 
the form and amount required by law] OR AN INSURANCE POLICY OF TH E TYPE AND IN 24 
THE AMOUNT OF COVERA GE DETERMINED BY THE STATE TREASURER UNDER §  25 
5–108 OF THIS SUBTITLE . 26 
 
5–108. 27 
 
 (A) IN DETERMINING THE TY PE AND AMOUNT OF COV ERAGE OF ANY SURETY 28 
BOND OR INSURANCE PO LICY REQUIRED BY LAW , THE STATE TREASURER SHALL 29 
HAVE DUE REGARD FOR THE DUTIES AND RESPO NSIBILITIES OF THE O FFICER OR 30 
EMPLOYEE. 31 
   	SENATE BILL 775 	11 
 
 
 (B) AN OFFICER OR EMPLOYE E WHO IS REQUIRED TO BE BONDED OR 1 
INSURED SHALL BE COV ERED, ON BEGINNING THE PER FORMANCE OF THE 2 
OFFICER’S OR EMPLOYEE ’S DUTIES, BY A SURETY BOND OR AN IN SURANCE POLICY 3 
OF THE TYPE SPECIFIE D AND IN THE AMOUNT AND TERM TO BE DETER MINED BY THE 4 
STATE TREASURER. 5 
 
 (C) EACH STATE OFFICER OR EMPL OYEE, OTHER THAN THOSE 6 
SPECIFICALLY REQUIRE D TO BE BONDED OR IN SURED IN ACCORDANCE WITH ANY 7 
LAW OF THE STATE, WHO IN THE OPINION O F THE STATE TREASURER SHOULD BE 8 
BONDED OR INSURED SH ALL BE BONDED WITH T HE TYPE OF BOND OR I NSURANCE 9 
AND IN THE AMOUNT AN D TERM TO BE DETERMI NED BY THE STATE TREASURER. 10 
 
 (D) THE STATE TREASURER SHALL KEEP A RECORD OF EACH IN SURANCE 11 
POLICY PURCHASED TO MEET THE REQUIREMENT S OF SUBSECTION (B) OF THIS 12 
SECTION. 13 
 
 (E) (1) ON THE PURCHASE OF AN Y BOND REQUIRED BY L AW, A COPY OF 14 
THE BOND SHALL BE SE NT TO THE COMPTROLLER . 15 
 
 (2) A RECORD SHALL BE KEPT IN THE OFFICE OF THE STATE 16 
COMPTROLLER GIVING: 17 
 
 (I) THE NAME OF THE OFFI CER OR EMPLOYEE FOR WHOM ANY 18 
INDIVIDUAL BOND IS I SSUED; 19 
 
 (II) THE NAME OF THE AGEN CY IN WHICH THE OFFI CER OR 20 
EMPLOYEE IS EMPLOYED OR THE NAME OF THE A GENCIES COVERED UNDE R A 21 
BLANKET BOND PROGRAM ; 22 
 
 (III) THE NAME OF THE COMPANY I SSUING THE BOND ; AND 23 
 
 (IV) THE AMOUNT , DATE, AND TIME OF EXPIRATI ON OF THE 24 
BOND AND OF ANY CERT IFICATE RENEWING THE BOND. 25 
 
[Subtitle 17. Maryland State Employees Surety Bond Committee.] 26 
 
[9–1701. 27 
 
 In this subtitle, “Committee” means the Maryland State Employees Surety Bond 28 
Committee.] 29 
 
[9–1702. 30 
  12 	SENATE BILL 775  
 
 
 There is a committee on bonding of State officers and employees, known as the 1 
Maryland State Employees Surety Bond Committee.] 2 
 
[9–1703. 3 
 
 The Committee consists of the State Treasurer, the State Comptroller, and the 4 
Attorney General or their designated representatives.] 5 
 
[9–1704. 6 
 
 (a) The Committee may periodically set the type and amount of the bonds of each 7 
State officer and employee who is required to be bonded in accordance with any law of the 8 
State, having due regard for the duties and responsibilities of the officer or employee. 9 
 
 (b) An officer or employee who is required to be bonded shall be covered, on 10 
entering the performance of the officer’s or employee’s duties, by a surety bond of the type 11 
specified and in the amount and term fixed by the Committee.] 12 
 
[9–1705. 13 
 
 Each State officer or employee other than those specifically required to be bonded in 14 
accordance with any law of the State, who in the opinion of the Committee should be 15 
bonded, shall be bonded with the type of bond and in the amount and term to be determined 16 
by the Committee.] 17 
 
[9–1706. 18 
 
 (a) Bonds purchased in accordance with §§ 9–1704 and 9–1705 of this subtitle 19 
shall be purchased by the State Treasurer on prior approval of the Board of Public Works 20 
from a company authorized to issue the bonds and authorized to do business in the State. 21 
 
 (b) The premium on bonds purchased in accordance with §§ 9–1704 and 9–1705 22 
of this subtitle shall be provided for in the State budget. 23 
 
 (c) On prior approval of the Board of Public Works, the State Treasurer may at 24 
any time any bond coverage is no longer required, cause the bond to be canceled or 25 
terminated and may collect any rebate of premium on the bond.] 26 
 
[9–1707. 27 
 
 (a) Each bond required by §§ 9–1704 and 9–1705 of this subtitle shall be approved 28 
as to form by the Attorney General and filed in the Office of the State Comptroller. 29 
 
 (b) A record shall be kept in the Office of the State Comptroller giving: 30 
   	SENATE BILL 775 	13 
 
 
 (1) the name of the officer or employee for whom any individual bond is 1 
issued; 2 
 
 (2) the name of the agency in which the officer or employee is employed or 3 
the name of the agencies covered under a blanket bond program; 4 
 
 (3) the name of the company issuing the bond; and 5 
 
 (4) the amount, date, and time of expiration of the bond and of any 6 
certificate renewing the bond.] 7 
 
Article – State Personnel and Pensions 8 
 
21–210. 9 
 
 (a) Except as provided in subsection (c) of this section, the State shall purchase a 10 
bond for each fiduciary in [accordance with Title 9, Subtitle 17 of the State Government 11 
Article] THE FORM AND AMOUNT DETERMINED BY THE STATE TREASURER UNDER § 12 
5–108 OF THE STATE GOVERNMENT ARTICLE, IN CONSULTATION WITH THE BOARD 13 
OF TRUSTEES. 14 
 
Article – Transportation 15 
 
8–204. 16 
 
 (e) (2) Any employee of the Administration may be bonded [under Title 9, 17 
Subtitle 17 of the State Government Article] OR COVERED BY AN INS URANCE POLICY AS 18 
DETERMINED BY THE STATE TREASURER UNDER § 5–108 OF THE STATE 19 
GOVERNMENT ARTICLE. 20 
 
 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 21 
1, 2024. 22