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1 | 1 | ||
2 | 2 | ||
3 | 3 | EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. | |
4 | 4 | [Brackets] indicate matter deleted from existing law. | |
5 | - | Underlining indicates amendments to bill. | |
6 | - | Strike out indicates matter stricken from the bill by amendment or deleted from the law by | |
7 | - | amendment. | |
8 | 5 | *hb0467* | |
9 | 6 | ||
10 | 7 | HOUSE BILL 467 | |
11 | 8 | R2, B1 5lr1734 | |
12 | 9 | CF SB 384 | |
13 | 10 | By: Delegates Korman, J. Lewis, Palakovich Carr, and Williams | |
14 | 11 | Introduced and read first time: January 20, 2025 | |
15 | 12 | Assigned to: Appropriations | |
16 | - | Committee Report: Favorable | |
17 | - | House action: Adopted | |
18 | - | Read second time: March 8, 2025 | |
19 | 13 | ||
20 | - | ||
14 | + | A BILL ENTITLED | |
21 | 15 | ||
22 | 16 | AN ACT concerning 1 | |
23 | 17 | ||
24 | 18 | Metro Funding Modification Act of 2025 2 | |
25 | 19 | ||
26 | 20 | FOR the purpose of altering the calculation of the amount that the Governor is required to 3 | |
27 | 21 | include in the annual State budget each year to provide grants to the Washington 4 | |
28 | 22 | Suburban Transit District to pay the capital costs of the Washington Metropolitan 5 | |
29 | 23 | Area Transit Authority; making this Act contingent on enactment of certain 6 | |
30 | 24 | legislation by the Commonwealth of Virginia and the District of Columbia; and 7 | |
31 | 25 | generally relating to funding for the Washington Metropolitan Area Transit 8 | |
32 | 26 | Authority. 9 | |
33 | 27 | ||
34 | 28 | BY repealing and reenacting, with amendments, 10 | |
35 | 29 | Article – Transportation 11 | |
36 | 30 | Section 10–205(f) and (g) 12 | |
37 | 31 | Annotated Code of Maryland 13 | |
38 | 32 | (2020 Replacement Volume and 2024 Supplement) 14 | |
39 | 33 | ||
40 | 34 | SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 15 | |
41 | 35 | That the Laws of Maryland read as follows: 16 | |
42 | 36 | ||
43 | 37 | Article – Transportation 17 | |
44 | 38 | ||
45 | 39 | 10–205. 18 | |
46 | 40 | ||
47 | 41 | (f) (1) Except as provided in paragraph (2) of this subsection, the Governor 19 | |
48 | - | shall include an appropriation in the annual budget of at least the amount specified in 20 2 HOUSE BILL 467 | |
42 | + | shall include an appropriation in the annual budget of at least the amount specified in 20 | |
43 | + | paragraph (4) of this subsection for the sole purpose of providing grants to the Washington 21 | |
44 | + | Suburban Transit District to pay the capital costs of the Washington Metropolitan Area 22 | |
45 | + | Transit Authority. 23 | |
46 | + | ||
47 | + | (2) (i) The Governor is not required to make the appropriation under 24 | |
48 | + | paragraph (1) of this subsection in a fiscal year unless the Department certifies to the 25 2 HOUSE BILL 467 | |
49 | 49 | ||
50 | 50 | ||
51 | - | paragraph (4) of this subsection for the sole purpose of providing grants to the Washington 1 | |
52 | - | Suburban Transit District to pay the capital costs of the Washington Metropolitan Area 2 | |
53 | - | Transit Authority. 3 | |
51 | + | Governor in writing before the beginning of the immediately preceding fiscal year that the 1 | |
52 | + | Washington Metropolitan Area Transit Authority has submitted to the Department: 2 | |
54 | 53 | ||
55 | - | (2) (i) The Governor is not required to make the appropriation under 4 | |
56 | - | paragraph (1) of this subsection in a fiscal year unless the Department certifies to the 5 | |
57 | - | Governor in writing before the beginning of the immediately preceding fiscal year that the 6 | |
58 | - | Washington Metropolitan Area Transit Authority has submitted to the Department: 7 | |
54 | + | 1. Performance and condition assessments and reports 3 | |
55 | + | regarding: 4 | |
59 | 56 | ||
60 | - | | |
61 | - | ||
57 | + | A. The safety and reliability of rapid heavy rail and bus 5 | |
58 | + | systems; 6 | |
62 | 59 | ||
63 | - | A. The safety and reliability of rapid heavy rail and bus 10 | |
64 | - | systems; 11 | |
60 | + | B. The financial performance of the Washington 7 | |
61 | + | Metropolitan Area Transit Authority as it relates to rail and bus operations, including fare 8 | |
62 | + | box recovery, service per rider, and cost per service hour; 9 | |
65 | 63 | ||
66 | - | B. The financial performance of the Washington 12 | |
67 | - | Metropolitan Area Transit Authority as it relates to rail and bus operations, including fare 13 | |
68 | - | box recovery, service per rider, and cost per service hour; 14 | |
64 | + | C. The monthly ridership of rail and bus systems broken 10 | |
65 | + | down by Metrorail station, Metrorail line, bus route, and bus line; 11 | |
69 | 66 | ||
70 | - | | |
71 | - | ||
67 | + | D. Strategies to reduce costs and improve the Washington 12 | |
68 | + | Metropolitan Area Transit Authority’s operational efficiency; and 13 | |
72 | 69 | ||
73 | - | | |
74 | - | ||
70 | + | E. The comparison of annual capital investments and 14 | |
71 | + | approved budgets; and 15 | |
75 | 72 | ||
76 | - | E. The comparison of annual capital investments and 19 | |
77 | - | approved budgets; and 20 | |
73 | + | 2. The Washington Metropolitan Area Transit Authority’s: 16 | |
78 | 74 | ||
79 | - | | |
75 | + | A. Annual budget; 17 | |
80 | 76 | ||
81 | - | | |
77 | + | B. Annual independent financial audit; 18 | |
82 | 78 | ||
83 | - | | |
79 | + | C. Annual National Transit Database profile; and 19 | |
84 | 80 | ||
85 | - | C. Annual National Transit Database profile; and 24 | |
81 | + | D. Single audit reports issued in accordance with the 20 | |
82 | + | Uniform Administrative Requirements, Cost Principles, and Audit Requirements for 21 | |
83 | + | Federal Awards under 2 C.F.R. Part 200. 22 | |
86 | 84 | ||
87 | - | D. Single audit reports issued in accordance with the 25 | |
88 | - | Uniform Administrative Requirements, Cost Principles, and Audit Requirements for 26 | |
89 | - | Federal Awards under 2 C.F.R. Part 200. 27 | |
85 | + | (ii) If the Commonwealth of Virginia or the District of Columbia 23 | |
86 | + | reduce the amount of dedicated capital funding for the Washington Metropolitan Area 24 | |
87 | + | Transit Authority, the Governor may reduce the appropriation under paragraph (1) of this 25 | |
88 | + | subsection by a proportional amount. 26 | |
90 | 89 | ||
91 | - | (ii) If the Commonwealth of Virginia or the District of Columbia 28 | |
92 | - | reduce the amount of dedicated capital funding for the Washington Metropolitan Area 29 | |
93 | - | Transit Authority, the Governor may reduce the appropriation under paragraph (1) of this 30 | |
94 | - | subsection by a proportional amount. 31 | |
90 | + | (iii) 1. The Governor shall withhold 35% of the appropriation 27 | |
91 | + | under paragraph (1) of this subsection if: 28 | |
95 | 92 | ||
96 | - | (iii) 1. The Governor shall withhold 35% of the appropriation 32 | |
97 | - | under paragraph (1) of this subsection if: 33 HOUSE BILL 467 3 | |
93 | + | A. The Washington Metropolitan Area Transit Authority has 29 | |
94 | + | received a modified audit opinion as a result of an annual independent audit conducted in 30 | |
95 | + | accordance with Article XVI, Section 70 of the Washington Metropolitan Area Transit 31 | |
96 | + | Authority Compact under § 10–204 of this subtitle; and 32 | |
97 | + | HOUSE BILL 467 3 | |
98 | 98 | ||
99 | 99 | ||
100 | + | B. The Department has not certified to the Governor in 1 | |
101 | + | writing before the beginning of the immediately preceding fiscal year that the Washington 2 | |
102 | + | Metropolitan Area Transit Authority has submitted in writing to the board of directors of 3 | |
103 | + | the Washington Metropolitan Area Transit Authority and the Maryland General Assembly 4 | |
104 | + | a satisfactory corrective plan that addresses the reasons for the modified audit opinion. 5 | |
100 | 105 | ||
101 | - | A. The Washington Metropolitan Area Transit Authority has 1 | |
102 | - | received a modified audit opinion as a result of an annual independent audit conducted in 2 | |
103 | - | accordance with Article XVI, Section 70 of the Washington Metropolitan Area Transit 3 | |
104 | - | Authority Compact under § 10–204 of this subtitle; and 4 | |
106 | + | 2. The Governor shall release the portion of the 6 | |
107 | + | appropriation withheld under subsubparagraph 1 of this subparagraph if the Washington 7 | |
108 | + | Metropolitan Area Transit Authority submits in writing to the board of directors of the 8 | |
109 | + | Washington Metropolitan Area Transit Authority and, in accordance with § 2–1257 of the 9 | |
110 | + | State Government Article, the Maryland General Assembly a satisfactory corrective action 10 | |
111 | + | plan that addresses the reasons for the modified audit opinion. 11 | |
105 | 112 | ||
106 | - | B. The Department has not certified to the Governor in 5 | |
107 | - | writing before the beginning of the immediately preceding fiscal year that the Washington 6 | |
108 | - | Metropolitan Area Transit Authority has submitted in writing to the board of directors of 7 | |
109 | - | the Washington Metropolitan Area Transit Authority and the Maryland General Assembly 8 | |
110 | - | a satisfactory corrective plan that addresses the reasons for the modified audit opinion. 9 | |
113 | + | (3) The Governor shall make the appropriation under paragraph (1) of this 12 | |
114 | + | subsection from the Transportation Trust Fund. 13 | |
111 | 115 | ||
112 | - | 2. The Governor shall release the portion of the 10 | |
113 | - | appropriation withheld under subsubparagraph 1 of this subparagraph if the Washington 11 | |
114 | - | Metropolitan Area Transit Authority submits in writing to the board of directors of the 12 | |
115 | - | Washington Metropolitan Area Transit Authority and, in accordance with § 2–1257 of the 13 | |
116 | - | State Government Article, the Maryland General Assembly a satisfactory corrective action 14 | |
117 | - | plan that addresses the reasons for the modified audit opinion. 15 | |
116 | + | (4) [(i)] For the first fiscal year in which the mandated appropriation 14 | |
117 | + | under this subsection applies, the appropriation under paragraph (1) of this subsection 15 | |
118 | + | shall equal at least the amount appropriated in the fiscal year 2019 State budget as enacted 16 | |
119 | + | for the Washington Suburban Transit District to pay the capital costs of the Washington 17 | |
120 | + | Metropolitan Area Transit Authority. 18 | |
118 | 121 | ||
119 | - | (3) The Governor shall make the appropriation under paragraph (1) of this 16 | |
120 | - | subsection from the Transportation Trust Fund. 17 | |
122 | + | [(ii) For each fiscal year after the first fiscal year in which the 19 | |
123 | + | mandated appropriation under this subsection applies, the appropriation under paragraph 20 | |
124 | + | (1) of this subsection shall be equal to the amount of the appropriation for the preceding 21 | |
125 | + | fiscal year increased by 3%.] 22 | |
121 | 126 | ||
122 | - | (4) [(i)] For the first fiscal year in which the mandated appropriation 18 | |
123 | - | under this subsection applies, the appropriation under paragraph (1) of this subsection 19 | |
124 | - | shall equal at least the amount appropriated in the fiscal year 2019 State budget as enacted 20 | |
125 | - | for the Washington Suburban Transit District to pay the capital costs of the Washington 21 | |
126 | - | Metropolitan Area Transit Authority. 22 | |
127 | + | (g) (1) [The] SUBJECT TO PARAGRAPHS (4) AND (5) OF THIS 23 | |
128 | + | SUBSECTION, FOR EACH FISCAL YEAR , FROM THE REVENUES AV AILABLE FOR THE 24 | |
129 | + | STATE CAPITAL PROGRAM IN THE TRANSPORTATION TRUST FUND, THE Governor 25 | |
130 | + | shall include in the State budget an appropriation for the purposes specified under 26 | |
131 | + | paragraph (2) of this subsection [of $167,000,000 from the revenues available for the State 27 | |
132 | + | capital program in the Transportation Trust Fund] IN AN AMOUNT EQUAL TO THE 28 | |
133 | + | STATE’S PROPORTIONATE SHARE OF $500,000,000 CALCULATED USING THE 29 | |
134 | + | METRORAIL OPERATING SUBSIDY ALLOCATION FORMULA ADJUSTED AS REQUIRED 30 | |
135 | + | UNDER PARAGRAPHS (4) AND (5) OF THIS SUBSECTION . 31 | |
127 | 136 | ||
128 | - | [(ii) For each fiscal year after the first fiscal year in which the 23 | |
129 | - | mandated appropriation under this subsection applies, the appropriation under paragraph 24 | |
130 | - | (1) of this subsection shall be equal to the amount of the appropriation for the preceding 25 | |
131 | - | fiscal year increased by 3%.] 26 | |
137 | + | (2) The Department shall provide an annual grant of at least 32 | |
138 | + | [$167,000,000] THE AMOUNT THAT THE GOVERNOR IS REQUIRED TO INCLUDE IN THE 33 | |
139 | + | STATE BUDGET UNDER PA RAGRAPH (1) OF THIS SUBSEC TION to the Washington 34 | |
140 | + | Suburban Transit District to be used only to pay the capital costs of the Washington 35 | |
141 | + | Metropolitan Area Transit Authority. 36 | |
132 | 142 | ||
133 | - | (g) (1) [The] SUBJECT TO PARAGRAPHS (4) AND (5) OF THIS SUBSECTION , 27 | |
134 | - | FOR EACH FISCAL YEAR , FROM THE REVENUES AV AILABLE FOR THE STATE CAPITAL 28 | |
135 | - | PROGRAM IN THE TRANSPORTATION TRUST FUND, THE Governor shall include in the 29 | |
136 | - | State budget an appropriation for the purposes specified under paragraph (2) of this 30 | |
137 | - | subsection [of $167,000,000 from the revenues available for the State capital program in 31 | |
138 | - | the Transportation Trust Fund] IN AN AMOUNT EQUAL T O THE STATE’S 32 | |
139 | - | PROPORTIONATE SHARE OF $500,000,000 CALCULATED USING THE METRORAIL 33 | |
140 | - | OPERATING SUBSIDY ALLOCATION FORMULA ADJUSTED AS REQUIRED UNDER 34 | |
141 | - | PARAGRAPHS (4) AND (5) OF THIS SUBSECTION . 35 | |
142 | - | ||
143 | - | (2) The Department shall provide an annual grant of at least 36 | |
144 | - | [$167,000,000] THE AMOUNT THAT THE GOVERNOR IS REQUIRED TO INCLUDE IN THE 37 | |
145 | - | STATE BUDGET UNDER PA RAGRAPH (1) OF THIS SUBSECTION to the Washington 38 4 HOUSE BILL 467 | |
143 | + | (3) The grant required under paragraph (2) of this subsection is in addition 37 | |
144 | + | to the appropriation required under subsection (f)(1) of this section. 38 | |
145 | + | 4 HOUSE BILL 467 | |
146 | 146 | ||
147 | 147 | ||
148 | - | Suburban Transit District to be used only to pay the capital costs of the Washington 1 | |
149 | - | Metropolitan Area Transit Authority. 2 | |
148 | + | (4) THE BASE AMOUNT OF $500,000,000 USED TO CALCULATE TH E 1 | |
149 | + | APPROPRIATION REQUIRED UNDER PARAGRAPH (1) OF THIS SUBSECTION IS EQUAL 2 | |
150 | + | TO AN AMOUNT ADJUSTE D FOR INFLATION, AS MEASURED BY THE CONSUMER PRICE 3 | |
151 | + | INDEX (ALL URBAN CONSUMERS), BEGINNING WITH FISCA L YEAR 2019 AND 4 | |
152 | + | ENDING WITH THE FISC AL YEAR THAT SECTION 1 OF CHAPTER ___ (H.B. ___) 5 | |
153 | + | (5LR1734) OF THE ACTS OF THE GENERAL ASSEMBLY OF 2025 TAKES EFFECT. 6 | |
150 | 154 | ||
151 | - | (3) The grant required under paragraph (2) of this subsection is in addition 3 | |
152 | - | to the appropriation required under subsection (f)(1) of this section. 4 | |
155 | + | (5) FOR EACH FISCAL YEAR , THE $500,000,000 BASE AMOUNT USED 7 | |
156 | + | TO CALCULATE THE APPROP RIATION REQUIRED UNDER PARAGRAPH (1) OF THIS 8 | |
157 | + | SUBSECTION, AS ADJUSTED FOR INFL ATION UNDER PARAGRAP H (4) OF THIS 9 | |
158 | + | SUBSECTION, SHALL BE INCREASED B Y 3%. 10 | |
153 | 159 | ||
154 | - | (4) THE BASE AMOUNT OF $500,000,000 USED TO CALCULATE TH E 5 | |
155 | - | APPROPRIATION REQUIRED UNDER PARAGRAPH (1) OF THIS SUBSECTION IS EQUAL 6 | |
156 | - | TO AN AMOUNT ADJUSTE D FOR INFLATION, AS MEASURED BY THE CONSUMER PRICE 7 | |
157 | - | INDEX (ALL URBAN CONSUMERS), BEGINNING WITH FISCA L YEAR 2019 AND 8 | |
158 | - | ENDING WITH THE FISC AL YEAR THAT SECTION 1 OF CHAPTER ___ (H.B. 467) OF 9 | |
159 | - | THE ACTS OF THE GENERAL ASSEMBLY OF 2025 TAKES EFFECT. 10 | |
160 | + | SECTION 2. AND BE IT FURTHER ENACTED, That: 11 | |
160 | 161 | ||
161 | - | (5) FOR EACH FISCAL YEAR , THE $500,000,000 BASE AMOUNT USED 11 | |
162 | - | TO CALCULATE THE APP ROPRIATION REQUIRED UNDER PARAGRAPH (1) OF THIS 12 | |
163 | - | SUBSECTION, AS ADJUSTED FOR INFL ATION UNDER PARAGRAP H (4) OF THIS 13 | |
164 | - | SUBSECTION, SHALL BE INCREASED BY 3%. 14 | |
162 | + | (a) Section 1 of this Act is contingent on: 12 | |
165 | 163 | ||
166 | - | SECTION 2. AND BE IT FURTHER ENACTED, That: 15 | |
164 | + | (1) the Commonwealth of Virginia enacting legislation that provides 13 | |
165 | + | dedicated capital funding for the Washington Metropolitan Area Transit Authority that 14 | |
166 | + | includes: 15 | |
167 | 167 | ||
168 | - | (a) Section 1 of this Act is contingent on: 16 | |
168 | + | (i) 1. a calculation of each jurisdiction’s proportionate share of a 16 | |
169 | + | base amount of capital funding calculated using the Metrorail Operating Subsidy 17 | |
170 | + | Allocation Formula; and 18 | |
169 | 171 | ||
170 | - | (1) the Commonwealth of Virginia enacting legislation that provides 17 | |
171 | - | dedicated capital funding for the Washington Metropolitan Area Transit Authority that 18 | |
172 | - | includes: 19 | |
172 | + | 2. a base amount of capital funding equal to $500,000,000 19 | |
173 | + | adjusted for inflation, as measured by the Consumer Price Index (All Urban Consumers), 20 | |
174 | + | beginning with fiscal year 2019 and ending the fiscal year that the legislation is enacted; 21 | |
175 | + | and 22 | |
173 | 176 | ||
174 | - | (i) 1. a calculation of each jurisdiction’s proportionate share of a 20 | |
175 | - | base amount of capital funding calculated using the Metrorail Operating Subsidy 21 | |
176 | - | Allocation Formula; and 22 | |
177 | + | (ii) an annual 3% increase to the base amount of capital funding; and 23 | |
177 | 178 | ||
178 | - | 2. a base amount of capital funding equal to $500,000,000 23 | |
179 | - | adjusted for inflation, as measured by the Consumer Price Index (All Urban Consumers), 24 | |
180 | - | beginning with fiscal year 2019 and ending the fiscal year that the legislation is enacted; 25 | |
181 | - | and 26 | |
179 | + | (2) the District of Columbia enacting legislation that provides dedicated 24 | |
180 | + | capital funding for the Washington Metropolitan Area Transit Authority that includes: 25 | |
182 | 181 | ||
183 | - | (ii) an annual 3% increase to the base amount of capital funding; and 27 | |
182 | + | (i) 1. a calculation of each jurisdiction’s proportionate share of a 26 | |
183 | + | base amount of capital funding calculated using the Metrorail Operating Subsidy 27 | |
184 | + | Allocation Formula; and 28 | |
184 | 185 | ||
185 | - | (2) the District of Columbia enacting legislation that provides dedicated 28 | |
186 | - | capital funding for the Washington Metropolitan Area Transit Authority that includes: 29 | |
186 | + | 2. a base amount of capital funding equal to $500,000,000 29 | |
187 | + | adjusted for inflation, as measured by the Consumer Price Index (All Urban Consumers), 30 | |
188 | + | beginning with fiscal year 2019 and ending the fiscal year that the legislation is enacted; 31 | |
189 | + | and 32 | |
187 | 190 | ||
188 | - | (i) 1. a calculation of each jurisdiction’s proportionate share of a 30 | |
189 | - | base amount of capital funding calculated using the Metrorail Operating Subsidy 31 | |
190 | - | Allocation Formula; and 32 | |
191 | - | ||
192 | - | 2. a base amount of capital funding equal to $500,000,000 33 | |
193 | - | adjusted for inflation, as measured by the Consumer Price Index (All Urban Consumers), 34 HOUSE BILL 467 5 | |
191 | + | (ii) an annual 3% increase to the base amount of capital funding. 33 | |
192 | + | HOUSE BILL 467 5 | |
194 | 193 | ||
195 | 194 | ||
196 | - | beginning with fiscal year 2019 and ending the fiscal year that the legislation is enacted; 1 | |
197 | - | and 2 | |
195 | + | (b) The Department of Transportation shall notify the Department of Legislative 1 | |
196 | + | Services in writing within 5 days after both the Commonwealth of Virginia and the District 2 | |
197 | + | of Columbia have enacted legislation that meets the requirements of subsection (a) of this 3 | |
198 | + | section. 4 | |
198 | 199 | ||
199 | - | (ii) an annual 3% increase to the base amount of capital funding. 3 | |
200 | + | (c) Section 1 of this Act shall take effect on the date that the Department of 5 | |
201 | + | Legislative Services receives notice under subsection (b) of this section. 6 | |
200 | 202 | ||
201 | - | (b) The Department of Transportation shall notify the Department of Legislative 4 | |
202 | - | Services in writing within 5 days after both the Commonwealth of Virginia and the District 5 | |
203 | - | of Columbia have enacted legislation that meets the requirements of subsection (a) of this 6 | |
204 | - | section. 7 | |
205 | - | ||
206 | - | (c) Section 1 of this Act shall take effect on the date that the Department of 8 | |
207 | - | Legislative Services receives notice under subsection (b) of this section. 9 | |
208 | - | ||
209 | - | SECTION 3. AND BE IT FURTHER ENACTED, That , subject to Section 2 of this 10 | |
210 | - | Act, this Act shall take effect June 1, 2025. 11 | |
211 | - | ||
212 | - | ||
213 | - | ||
214 | - | Approved: | |
215 | - | ________________________________________________________________________________ | |
216 | - | Governor. | |
217 | - | ________________________________________________________________________________ | |
218 | - | Speaker of the House of Delegates. | |
219 | - | ________________________________________________________________________________ | |
220 | - | President of the Senate. | |
203 | + | SECTION 3. AND BE IT FURTHER ENACTED, That, subject to Section 2 of this 7 | |
204 | + | Act, this Act shall take effect June 1, 2025. 8 |