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.
*hb1424*
HOUSE BILL 1424
P1 EMERGENCY BILL 5lr1865
CF SB 683
By: Delegates J. Lewis, Feldmark, Allen, Amprey, Behler, Boafo, Cardin,
Charkoudian, Clippinger, Fair, Foley, Guzzone, Harrison, Healey, Holmes,
Ivey, D. Jones, Kaufman, Korman, R. Lewis, Mireku–North, Moon,
Palakovich Carr, Pasteur, Pruski, Roberts, Simmons, Solomon, Spiegel,
Stein, Stewart, Terrasa, Toles, Valderrama, Vogel, Wells, White Holland,
Williams, Wolek, and Ziegler Ziegler, Barnes, Chang, Acevero, Edelson,
Forbes, Harris, McCaskill, Ruff, Schindler, Shetty, and Watson
Introduced and read first time: February 7, 2025
Assigned to: Appropriations
Committee Report: Favorable with amendments
House action: Adopted
Read second time: February 26, 2025
CHAPTER ______
AN ACT concerning 1
Catastrophic Event Account and, Federal Government Shutdown Employee 2
Assistance Loan Fund, and Powers of the Attorney General – Alterations 3
(Protect Our Federal Workers Act) 4
FOR the purpose of renaming the Federal Government Shutdown Employee Assistance 5
Loan Fund to be the Federal Government Employee Assistance Loan Fund; 6
authorizing funds appropriated to the Catastrophic Event Account to be expended to 7
assist in funding costs in connection with a closure, relocation, or mass layoff of a 8
unit of the federal government, or other similar circumstances; altering the purpose 9
of the Fund and the eligibility criteria to receive loans from the Fund; authorizing 10
the Maryland Department of Labor to forgive a loan from the Fund; expanding the 11
authority of the Attorney General to take certain actions under certain 12
circumstances; increasing the amount the Governor is required to appropriate in the 13
proposed budget each year to the Attorney General to be used for certain purposes; 14
altering a requirement that the Attorney General use a certain appropriation to 15
employ a certain number of attorneys; and generally relating to the Catastrophic 16
Event Account and, the Federal Government Employee Assistance Loan Fund, and 17
the powers of the Attorney General. 18
2 HOUSE BILL 1424
BY repealing and reenacting, without amendments, 1
Article – State Finance and Procurement 2
Section 6–226(a)(1) and (2)(i) 3
Annotated Code of Maryland 4
(2021 Replacement Volume and 2024 Supplement) 5
BY repealing and reenacting, with amendments, 6
Article – State Finance and Procurement 7
Section 6–226(a)(2)(ii)118., 7–324, and 7–327 8
Annotated Code of Maryland 9
(2021 Replacement Volume and 2024 Supplement) 10
BY repealing and reenacting, with amendments, 11
Article – State Government 12
Section 6–106.1 13
Annotated Code of Maryland 14
(2021 Replacement Volume and 2024 Supplement) 15
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16
That the Laws of Maryland read as follows: 17
Article – State Finance and Procurement 18
6–226. 19
(a) (1) Except as otherwise specifically provided by law or by regulation of the 20
Treasurer, the Treasurer shall credit to the General Fund any interest on or other income 21
from State money that the Treasurer invests. 22
(2) (i) 1. This subparagraph does not apply in fiscal years 2024 23
through 2028. 24
2. Notwithstanding any other provision of law, and unless 25
inconsistent with a federal law, grant agreement, or other federal requirement or with the 26
terms of a gift or settlement agreement, net interest on all State money allocated by the 27
State Treasurer under this section to special funds or accounts, and otherwise entitled to 28
receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 29
Fund of the State. 30
(ii) The provisions of subparagraph (i) of this paragraph do not apply 31
to the following funds: 32
118. the Federal Government [Shutdown] Employee 33
Assistance Loan Fund; 34
7–324. 35
HOUSE BILL 1424 3
(a) In this section, “Account” means the Catastrophic Event Account. 1
(b) Subject to the provisions of this section, the Account is established to enable 2
the State or a local government to respond without undue delay to: 3
(1) a natural disaster or other catastrophic situation[, or]; 4
(2) federal employee financial hardship from a full or partial federal 5
government shutdown due to a lapse in federal appropriations that cannot be taken care of 6
within the resources of existing appropriations; OR 7
(3) FORMER FEDERAL EMPLO YEE FINANCIAL HARDSH IP FROM THE 8
CLOSURE, RELOCATION , OR MASS LAYOFF OF A UNIT OF THE FEDERAL 9
GOVERNMENT , OR OTHER SIMILAR CIR CUMSTANCES . 10
(c) The Governor may provide an appropriation in the budget bill to the Account. 11
(d) (1) Subject to paragraph (2) of this subsection, after a 15–day review and 12
comment period by the Legislative Policy Committee, the Governor may transfer funds by 13
budget amendment from the Account to the expenditure accounts of the appropriate unit 14
of State government or unit of local government. 15
(2) If the federal government is in a full or partial shutdown due to a lapse 16
in appropriations, after a 2–day review and comment period by the Legislative Policy 17
Committee, the Governor may transfer funds by budget amendment from the Account to 18
the Federal Government [Shutdown] Employee Assistance Loan Fund established under § 19
7–327 of this subtitle. 20
(e) Funds appropriated to the Catastrophic Event Account: 21
(1) may not be used to offset operating deficiencies in regular programs of 22
State government; but 23
(2) may be expended to assist a unit of State government or unit of local 24
government in funding costs in connection with: 25
(I) a natural disaster[,]; 26
(II) a catastrophic situation[, or]; 27
(III) a full or partial federal government shutdown due to a lapse in 28
appropriations; OR 29
(IV) A CLOSURE, RELOCATION , OR MASS LAYOFF OF A UNIT OF 30
THE FEDERAL GOVERNME NT. 31
4 HOUSE BILL 1424
(f) (1) The Account is a continuing, nonlapsing fund which is not subject to § 1
7–302 of this subtitle. 2
(2) The Treasurer shall separately hold, and the Comptroller shall account 3
for, the Account. 4
(3) The Account shall be invested and reinvested in the same manner as 5
other State funds. 6
(4) Any investment earnings shall be subject to § 7–311(d) of this subtitle. 7
(g) Money appropriated to the Account does not rever t to the Revenue 8
Stabilization Account. 9
7–327. 10
(a) In this section, “Fund” means the Federal Government [Shutdown] Employee 11
Assistance Loan Fund. 12
(b) There is a Federal Government [Shutdown] Employee Assistance Loan Fund. 13
(c) The purpose of the Fund is to provide loans to [employees of the federal 14
government] STATE RESIDENTS who [are]: 15
(1) [required to report to work at a work site located in the State; and 16
(2)] ARE EMPLOYEES OF THE FEDERAL GOVERNMENT W HO ARE not 17
being paid because of a full or partial federal government shutdown due to a lapse in 18
appropriations; OR 19
(2) IN THE IMMEDIATELY P RECEDING 6 MONTHS WERE TERMINAT ED 20
FROM EMPLOYMENT BY T HE FEDERAL GOVERNMEN T DUE TO THE CLOSURE , 21
RELOCATION , OR MASS LAYOFF OF A UNIT OF THE FEDERAL GOVERNM ENT, OR 22
OTHER SIMILAR CIRCUM STANCES BEYOND THE E MPLOYEES’ CONTROL. 23
(d) The Maryland Department of Labor shall administer the Fund. 24
(e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 25
this subtitle that shall be available in perpetuity for the purpose of providing loans in 26
accordance with the provisions of this section. 27
(2) The State Treasurer shall hold the Fund separately, and the 28
Comptroller shall account for the Fund. 29
(f) The Fund consists of: 30
HOUSE BILL 1424 5
(1) money appropriated in the State budget to the Fund; 1
(2) any interest earnings of the Fund; 2
(3) money transferred from the Catastrophic Event Account in accordance 3
with § 7–324 of this subtitle; 4
(4) repayments on loans made from the Fund; and 5
(5) any other money from any other source accepted for the benefit of the 6
Fund. 7
(g) The Fund shall be used only to provide no–interest loans to [employees of the 8
federal government] STATE RESIDENTS who [are]: 9
(1) [required to report to work at a work site located in the State; and 10
(2)] ARE EMPLOYEES OF THE FEDERAL GOVERNMENT W HO ARE not 11
being paid because of a full or partial federal government shutdown due to a lapse in 12
appropriations; OR 13
(2) IN THE IMMEDIATELY P RECEDING 6 MONTHS WERE TERMINAT ED 14
FROM EMPLOYMENT BY THE FEDERAL GOVER NMENT DUE TO THE CLO SURE, 15
RELOCATION , OR MASS LAYOFF OF A UNIT OF THE FEDERAL GOVERNMENT , OR 16
OTHER SIMILAR CIRCUM STANCES BEYOND THE E MPLOYEES’ CONTROL. 17
(h) (1) The State Treasurer shall invest the money of the Fund in the same 18
manner as other State money may be invested. 19
(2) Any interest earnings of the Fund shall be credited to the Fund. 20
(i) (1) Subject to paragraph (2) of this subsection, the Maryland Department 21
of Labor shall establish procedures and eligibility criteria for loans from the Fund. 22
(2) The eligibility criteria shall include that: 23
(i) 1. the federal government is in a full or partial shutdown due 24
to a lapse in appropriations; OR 25
2. A UNIT OF THE FEDERA L GOVERNMENT HAS BEE N 26
CLOSED, BEEN RELOCATED , EXPERIENCED MASS LAYOFFS , OR EXPERIENCED 27
OTHER SIMILAR CIRCUM STANCES; and 28
(ii) an individual applying for a loan from the Fund is: 29
1. A RESIDENT OF THE STATE; AND 30 6 HOUSE BILL 1424
2. A. an employee of the federal government WHO IS NOT 1
BEING PAID BECAUSE O F THE FULL OR PARTIAL FEDERAL G OVERNMENT SHUTDOWN 2
DUE TO THE LAPSE IN APPROPRIATIONS ; OR 3
[2. required to report to work at a work site located in the 4
State; and 5
3. not being paid because of the full or partial federal 6
government shutdown due to the lapse in appropriations] 7
B. A FORMER EMPLOYEE OF THE FEDERAL 8
GOVERNMENT WHO , WITHIN THE 6 MONTHS IMMEDIATELY P RECEDING THE DATE OF 9
THE LOAN APPLICATION , WAS TERMINATED FROM EMPLOYMENT BY THE FE DERAL 10
GOVERNMENT DUE TO TH E CLOSURE, RELOCATION , OR MASS LAYOFF OF A UNIT OF 11
THE FEDERAL GOVERNME NT, OR OTHER SIMILAR CIR CUMSTANCES BEYOND TH E 12
INDIVIDUAL’S CONTROL. 13
(3) The procedures shall include: 14
(i) application procedures; 15
(ii) payment procedures from the Fund; and 16
(iii) IF REPAYMENT IS REQU IRED, repayment procedures, including 17
timelines, for an individual to repay a loan from the Fund. 18
(4) THE MARYLAND DEPARTMENT OF LABOR MAY FORGIVE A L OAN 19
PROVIDED UNDER THIS SECTION. 20
Article – State Government 21
6–106.1. 22
(a) The General Assembly finds that: 23
(1) the federal government’s action or failure to take action may pose a 24
threat to the health and welfare of the residents of the State; and 25
(2) the State should investigate and obtain relief from any arbitrary, 26
unlawful, or unconstitutional federal action or inaction and prevent such action or inaction 27
from harming the residents of the State. 28
(b) (1) In addition to any other powers and duties and subject to the 29
requirements of this subsection, the Attorney General may investigate, commence, and 30
prosecute or defend any civil or criminal suit or action that is based on the federal 31 HOUSE BILL 1424 7
government’s action or inaction that threatens the public interest and welfare of the 1
residents of the State with respect to: 2
(i) protecting the health of the residents of the State and ensuring 3
the availability of affordable health care; 4
(ii) safeguarding public safety and security; 5
(iii) protecting civil liberties; 6
(iv) preserving and enhancing the economic security of workers and 7
retirees; 8
(v) protecting financial security of the residents of the State, 9
including their pensions, savings, and investments, and ensuring fairness in mortgages, 10
student loans, and the marketplace; 11
(vi) protecting the residents of the State against fraud and other 12
deceptive and predatory practices; 13
(vii) protecting the natural resources and environment of the State; 14
(viii) protecting the residents of the State against illegal and 15
unconstitutional federal immigration and travel restrictions; [or] 16
(IX) PROTECTING RESIDENTS OF THE STATE WHO ARE 17
EMPLOYEES OF THE FED ERAL GOVERNMENT WHO ARE NOT BEING PAID B ECAUSE OF 18
A FULL OR PARTIAL FE DERAL GOVERNMENT SHU TDOWN DUE TO A LAPSE IN 19
APPROPRIATIONS ; 20
(X) PROTECTING RESIDENTS OF THE STATE WHO WERE 21
EMPLOYEES OF THE FEDERAL GOVERNME NT, AND ON OR AFTER JANUARY 1, 2025: 22
1. WERE TERMINATED FROM EMPLOYMENT BY THE 23
FEDERAL GOVERNMENT D UE TO THE CLOSURE , RELOCATION , OR MASS LAYOFF OF 24
A UNIT OF THE FEDERA L GOVERNMENT , OR OTHER SIMILAR CIR CUMSTANCES 25
BEYOND THE EMPLOYE ES’ CONTROL; OR 26
2. SEPARATED FROM EMPLO YMENT BY THE FEDERAL 27
GOVERNMENT AS A RESU LT OF A VOLUNTARY SE PARATION INCENTIVE P AYMENT; OR 28
[(ix)] (XI) otherwise protecting, as parens patriae, the State’s 29
interest in the general health and well–being of its residents. 30
8 HOUSE BILL 1424
(2) Except as provided in paragraph (4) of this subsection, before 1
commencing a suit or an action under paragraph (1) of this subsection, the Attorney 2
General shall provide to the Governor: 3
(i) written notice of the intended suit or action; and 4
(ii) an opportunity to review and comment on the intended suit or 5
action. 6
(3) If the Governor objects to the intended suit or action for which notice 7
was provided under this subsection: 8
(i) the Governor shall provide in writing to the Attorney General the 9
reasons for the objection within 10 days after receiving the notice; and 10
(ii) except as provided in paragraph (4) of this subsection, the 11
Attorney General shall consider the Governor’s objection before commencing the suit or 12
action. 13
(4) If the Attorney General determines that emergency circumstances 14
require the immediate commencement of a suit or an action under paragraph (1) of this 15
subsection, the Attorney General shall provide to the Governor notice of the suit or action 16
as soon as reasonably practicable. 17
(c) The Governor’s proposed budget for fiscal year 2019, and for each fiscal year 18
thereafter, shall appropriate at least [$1,000,000] $2,500,000 to the Attorney General to 19
be used only for: 20
(1) carrying out this section; and 21
(2) employing [five] attorneys in the Office of the Attorney General. 22
SECTION 2. AND BE IT FURTHER ENACTED, That: 23
(a) Notwithstanding § 7–311(i) of the State Finance and Procurement Article, 24
after providing the Legislative Policy Committee with at least 7 days to review and 25
comment, the Governor may transfer up to $5,000,000 from the Revenue Stabilization 26
Account under § 7–311 of the State Finance and Procurement Article to the Federal 27
Government Employee Assistance Loan Fund under § 7–327 of the State Finance and 28
Procurement Article, as enacted by Section 1 of this Act. 29
(b) Notwithstanding § 7–311(i) of the State Finance and Procurement Article, 30
after providing the Legislative Policy Committee with at least 7 days to review and 31
comment, the Governor may transfer up to $1,500,000 from the Revenue Stabilization 32
Account under § 7–311 of the State Finance and Procurement Article to the expenditure 33
accounts of the Attorney General to fund costs associated with carrying out § 6–106.1 of the 34
State Government Article, as enacted by Section 1 of this Act. 35 HOUSE BILL 1424 9
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 1
1, 2025. 2
SECTION 3. AND BE IT FURTHER ENACTED, That this Act is an emergency 3
measure, is necessary for the immediate preservation of the public health or safety, has 4
been passed by a yea and nay vote supported by three–fifths of all the members elected to 5
each of the two Houses of the General Assembly, and shall take effect from the date it is 6
enacted. Section 2 of this Act shall remain effective through June 30, 2025, and at the end 7
of June 30, 2025, Section 2 of this Act, with no further action required by the General 8
Assembly, shall be abrogated and of no further force and effect. 9
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.