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. *hb0517* HOUSE BILL 517 R2 5lr1146 CF SB 401 By: Delegates Korman and Solomon, Solomon, and Spiegel Introduced and read first time: January 22, 2025 Assigned to: Environment and Transportation and Appropriations Committee Report: Favorable with amendments House action: Adopted Read second time: March 6, 2025 CHAPTER ______ AN ACT concerning 1 Transportation – Maryland Area Rail Commuter Rail Authority – Establishment 2 (MARC Rail Authority Act of 2025) 3 Workgroup on the Reorganization of the Maryland Transit Administration 4 FOR the purpose of establishing the Maryland Area Rail Commuter (MARC) Rail Authority 5 and the powers and duties of the MARC Rail Authority, acting on behalf of the 6 Department of Transportation, has with respect to the supervision, construction, 7 operation, maintenance, and repair of MARC railroad facilities projects; and 8 generally relating to the establishment of the Maryland Area Rail Commuter 9 (MARC) Rail Authority the Workgroup on the Reorganization of the Maryland 10 Transit Administration to study reorganizing the Maryland Transit Administration; 11 and generally relating to the Workgroup on the Reorganization of the Maryland 12 Transit Administration. 13 BY adding to 14 Article – Transportation 15 Section 7–1301 through 7–1310 to be under the new subtitle “Subtitle 13. Maryland 16 Area Rail Commuter (MARC) Rail Authority” 17 Annotated Code of Maryland 18 (2020 Replacement Volume and 2024 Supplement) 19 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 20 That the Laws of Maryland read as follows: 21 Article – Transportation 22 2 HOUSE BILL 517 SUBTITLE 13. MARYLAND AREA RAIL COMMUTER (MARC) RAIL AUTHORITY. 1 7–1301. 2 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 3 INDICATED. 4 (B) “MARC” MEANS MARYLAND AREA RAIL COMMUTER RAIL SERVICE . 5 (C) “MARC RAILROAD FACILITIES PROJECT” INCLUDES: 6 (1) (I) THE BRUNSWICK, CAMDEN, OR PENN LINES OF THE 7 MARYLAND AREA RAIL COMMUTER (MARC) SERVICE; AND 8 (II) EXTENDING MARC SERVICE; AND 9 (2) ANY ADDITIONS, IMPROVEMENTS , OR ENLARGEMENTS TO A NY OF 10 THE PROJECTS LISTED UNDER ITEM (1) OF THIS SUBSECTION , WHENEVER 11 AUTHORIZED . 12 7–1302. 13 THERE IS A MARC RAIL AUTHORITY. 14 7–1303. 15 (A) (1) THE SECRETARY IS THE CHAI R OF THE MARC RAIL AUTHORITY. 16 (2) THE SECRETARY SHALL DESIG NATE AN EXECUTIVE DIRECTOR 17 OF THE MARC RAIL AUTHORITY. 18 (B) IN ADDITION TO THE CH AIR, THE MARC RAIL AUTHORITY CONSISTS OF 19 THE FOLLOWING MEMBER S: 20 (1) (I) ONE MEMBER WITH A BAC KGROUND IN RAIL TRAN SIT, 21 APPOINTED BY THE PRESIDENT OF THE SENATE; AND 22 (II) ONE MEMBER WITH A BAC KGROUND IN RAIL TRAN SIT, 23 APPOINTED BY THE SPEAKER OF THE HOUSE; AND 24 (2) AS AN EX OFFICIO MEMB ER, THE EXECUTIVE DIRECTOR OF THE 25 MARC RAIL AUTHORITY. 26 (C) (1) THE TERM OF AN APPO INTED MEMBER IS 4 YEARS. 27 HOUSE BILL 517 3 (2) AN APPOINTED MEMBER M AY NOT SERVE MORE TH AN THREE 1 CONSECUTIVE TERMS . 2 (3) AT THE END OF A TERM , A MEMBER CONTINUES T O SERVE UNTIL 3 A SUCCESSOR IS APPOI NTED AND QUALIFIES . 4 (4) A MEMBER WHO IS APPOIN TED AFTER A TERM HAS BEGUN SERVES 5 ONLY FOR THE REST OF THE TERM AND UNTIL A SUCCESSOR IS APPOINT ED AND 6 QUALIFIES. 7 (D) AN APPOINTED MEMBER O F THE MARC RAIL AUTHORITY IS ENTITLED 8 TO: 9 (1) THE COMPENSATION PROV IDED IN THE STATE BUDGET ; AND 10 (2) REIMBURSEMENT FOR EXP ENSES UNDER THE STANDARD STATE 11 TRAVEL REGULATIONS, AS PROVIDED IN THE STATE BUDGET . 12 (E) THE MARC RAIL AUTHORITY IS SUBJECT TO THE OPEN MEETINGS 13 ACT UNDER TITLE 3 OF THE GENERAL PROVISIONS ARTICLE. 14 7–1304. 15 (A) THE MARC RAIL AUTHORITY IS ENTITLED TO THE STAFF PROVIDED IN 16 THE STATE BUDGET . 17 (B) THE SECRETARY SHALL PROVI DE THE MARC RAIL AUTHORITY WITH 18 THE PERSONNEL OF THE DEPARTMENT THAT THE SECRETARY CONSIDERS 19 NECESSARY FOR PERFOR MANCE OF THE MAINTEN ANCE AND OTHER FUNCT IONS 20 REQUIRED OF THE MARC RAIL AUTHORITY TO MEET ITS OBLIGATI ONS WITH 21 RESPECT TO ITS MARC RAILROAD FACILITIES PROJECTS. 22 7–1305. 23 (A) (1) ACTING ON BEHALF OF T HE DEPARTMENT , THE MARC RAIL 24 AUTHORITY HAS THOSE P OWERS AND DUTIES REL ATING TO THE SUPERVI SION, 25 FINANCING, CONSTRUCTION , OPERATION, MAINTENANCE, AND REPAIR OF MARC 26 RAILROAD FACILITIES PROJECTS AS ARE GRAN TED TO IT BY THIS SU BTITLE. 27 (2) THE MARC RAIL AUTHORITY MAY : 28 (I) DELEGATE PROJECT OPER ATIONS, MAINTENANCE , AND 29 REPAIR TO THE ADMINISTRATION ; AND 30 4 HOUSE BILL 517 (II) USE FARE REVENUE TO P ROVIDE THE ADMINISTRATION 1 WITH PAYMENTS FOR PR OJECT OPERATIONS , MAINTENANCE , AND REPAIR. 2 (B) THE MARC RAIL AUTHORITY HAS GENERAL SUPERVISION OF MARC 3 RAILROAD FACILITIES PROJECTS. 4 (C) THE MARC RAIL AUTHORITY SHALL FINAN CE, CONSTRUCT, OPERATE, 5 REPAIR, AND MAINTAIN IN GOOD ORDER TH E MARC RAILROAD FACILITIES . 6 (D) THE MARC RAIL AUTHORITY SHALL , TO THE EXTENT PRACTI CABLE, 7 ADHERE TO THE TRANSI T PLANS PREPARED UND ER SUBTITLE 3 OF THIS TITLE. 8 7–1306. 9 (A) THE MARC RAIL AUTHORITY MAY ACQUIRE , HOLD, AND DISPOSE OF 10 PROPERTY IN THE EXER CISE OF ITS POWERS A ND PERFORMANCE OF IT S DUTIES. 11 (B) THE MARC RAIL AUTHORITY MAY MAKE AN Y CONTRACTS AND 12 AGREEMENTS NECESSARY OR INCIDENTAL TO THE EXERCISE OF ITS POWE RS AND 13 PERFORMANCE OF ITS D UTIES. 14 (C) THE MARC RAIL AUTHORITY MAY APPLY FOR AND RECEIV E GRANTS 15 FROM ANY FEDERAL AGE NCY FOR THE PLANNING , CONSTRUCTION , OPERATION, OR 16 FINANCING OF ANY PAS SENGER RAIL OR TRANS IT PROJECT AND MAY R ECEIVE AID 17 OR CONTRIBUTIONS OF MONEY, PROPERTY, LABOR, OR OTHER THINGS OF V ALUE 18 FROM ANY SOURCE , TO BE HELD, USED, AND APPLIED FOR THE PURPOSES FOR 19 WHICH THE GRANTS , AID, AND CONTRIBUTIONS AR E MADE. 20 (D) THE MARC RAIL AUTHORITY MAY ADOPT R ULES AND REGULATIONS TO 21 CARRY OUT THE PROVIS IONS OF THIS SUBTITL E. 22 (E) THE MARC RAIL AUTHORITY MAY DO ANYT HING ELSE NECESSARY OR 23 CONVENIENT TO CARRY OUT THE POWERS GRANT ED IN THIS SUBTITLE . 24 7–1307. 25 SUBJECT TO TITLE 12 OF THE REAL PROPERTY ARTICLE AND CHAPTER 608 26 OF THE ACTS OF THE GENERAL ASSEMBLY OF 1976, THE MARC RAIL AUTHORITY 27 MAY CONDEMN PROPERTY FOR ANY MARC RAILROAD FACILITIES PROJECT. 28 7–1308. 29 HOUSE BILL 517 5 THE MARC RAIL AUTHORITY MAY CONTRAC T WITH THE ADMINISTRATION 1 TO AUTHORIZE ADMINISTRATION POLICE OFFICERS TO EXERCISE THE POWERS 2 DESCRIBED UNDER § 7–207 OF THIS TITLE ON PRO PERTY OWNED , LEASED, OR 3 OPERATED BY OR UNDER THE CONTROL OF THE MARC RAIL AUTHORITY. 4 7–1309. 5 (A) THE MARC RAIL AUTHORITY SHALL MAKE PUBLICLY AVAILABLE O N 6 ITS WEBSITE: 7 (1) EACH OPEN MEETING AGE NDA: 8 (I) AT LEAST 48 HOURS IN ADVANCE OF EACH MEETING ; OR 9 (II) IF THE MEETING IS BEI NG HELD DUE TO AN EMERGEN CY, A 10 NATURAL DISASTER , OR ANY OTHER UNANTIC IPATED SITUATION , AS FAR IN 11 ADVANCE OF THE MEETI NG AS PRACTICABLE ; 12 (2) MEETING MINUTES FROM THE PORTIONS OF A ME ETING THAT 13 WERE HELD IN OPEN SE SSION, NOT MORE THAN 2 BUSINESS DAYS AFTER THE 14 MINUTES ARE APPROVED ; 15 (3) LIVE VIDEO STREAMING OF EACH OPEN MEETING OF THE MARC 16 RAIL AUTHORITY THAT IS HEL D AT: 17 (I) THE HEADQUARTERS OF T HE MARC RAIL AUTHORITY; OR 18 (II) ANY OTHER LOCATION WH ERE THE MARC RAIL 19 AUTHORITY HAS HELD AT LEAST 10 MEETINGS DURING THE IMMEDIATELY 20 PRECEDING CALENDAR Y EAR; AND 21 (4) A COMPLETE AND UNEDITE D ARCHIVED VIDEO REC ORDING OF 22 EACH OPEN MEETING FO R WHICH LIVE VIDEO S TREAMING WAS MADE AV AILABLE 23 UNDER ITEM (3) OF THIS SUBSECTION F OR A MINIMUM OF 5 YEARS AFTER THE DATE 24 OF THE MEETING . 25 (B) THE DEPARTMENT OF INFORMATION TECHNOLOGY SHALL PROV IDE TO 26 THE MARC RAIL AUTHORITY THE TECHNIC AL STAFF, SUPPORT, AND EQUIPMENT 27 NECESSARY TO LIVESTR EAM THE OPEN MEETING S OF THE MARC RAIL AUTHORITY. 28 7–1310. 29 6 HOUSE BILL 517 (A) ON AN ANNUAL BASI S, THE DEPARTMENT SHALL ALLO CATE TO THE 1 MARC RAIL AUTHORITY THE REVENUE NEEDED TO SUPPORT TH E MARC 2 OPERATING AND CAPITA L BUDGETS. 3 (B) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 4 MARC FARES AND ANY OTHER REVENUE FROM CHARGES IMPOSED FOR MARC 5 SERVICE MAY BE USED ONLY TO SUPPORT THE MARC RAIL AUTHORITY. 6 (2) TO THE EXTENT REQUIRE D UNDER FINANCING AG REEMENTS 7 UNDER TITLE 4, SUBTITLE 3 OF THIS ARTICLE ENTE RED INTO ON OR BEFOR E 8 OCTOBER 1, 2024, MARC FARES AND ANY OTHER REVENUE FROM CHARGES 9 IMPOSED FOR MARC SERVICE SHALL CONTIN UE TO SUPPORT THOSE EXISTING 10 INSTRUMENTS AND OBLI GATIONS. 11 SECTION 2. AND BE IT FURTHER ENACTED, That the Maryland Department of 12 Transportation shall transition all MARC operations and contracts to the MARC Rail 13 Authority to the extent permissible by such agreements. 14 (a) There is a Workgroup on the Reorganization of the Maryland Transit 15 Administration. 16 (b) The Workgroup consists of the following members: 17 (1) the Chair of the Appropriations Committee, or the Chair’s designee; 18 (2) the Chair of the Environment and Transportation Committee, or the 19 Chair’s designee; 20 (3) the Chair of the Budget and Taxation Committee, or the Chair’s 21 designee; 22 (4) the Chair of the Budget and Taxation Committee’s Public Safety, 23 Transportation, and Environment Subcommittee, or the Chair’s designee; 24 (5) the Secretary of Transportation, or the Secretary’s designee; 25 (6) the Maryland Transit Administrator, or the Administrator’s designee; 26 (7) the Chair of the Baltimore Region Transit Commission, or the Chair’s 27 designee; and 28 (8) a representative of the local metropolitan planning organization for 29 Baltimore City, designated by the organization. 30 (c) The Secretary of Transportation shall designate the chair of the Workgroup. 31 HOUSE BILL 517 7 (d) The Department of Legislative Services shall provide staff for the Workgroup. 1 (e) A member of the Workgroup: 2 (1) may not receive compensation as a member of the Workgroup; but 3 (2) is entitled to reimbursement for expenses under the Standard State 4 Travel Regulations, as provided in the State budget. 5 (f) The Workgroup shall: 6 (1) study issues relating to a reorganization of the Maryland Department 7 of Transportation and the Maryland Transit Administration, including: 8 (i) options for allowing the Administration to continue providing 9 local Baltimore City transit services, including light rail, subway, and bus services and the 10 creation of a new unit or reorganization of the Office of the Secretary to provide statewide 11 transit services; 12 (ii) the current contractual obligations and agreements of the 13 Administration and the process to transfer the obligations and agreements as part of a 14 reorganization of the Department and the Administration; and 15 (iii) the governance changes to the Administration necessary to 16 ensure that Baltimore City has the appropriate oversight and input into local Baltimore 17 City transit service; and 18 (2) make recommendations regarding the reorganization of the 19 Department and the Administration to ensure that: 20 (i) local Baltimore City transit service, including light rail, subway, 21 and bus service, remain as a single unit within the Department and any other functions of 22 the Administration are reorganized into a separate unit within the Department or the 23 Office of the Secretary; 24 (ii) the workforce and personnel of the Administration necessary to 25 operate local Baltimore City transit services remain within the Administration and the 26 workforce and personnel of the Administration necessary to operate statewide transit 27 services are reorganized into a separate unit within the Department or the Office of the 28 Secretary; and 29 (iii) the funding for local Baltimore City transit service is not 30 reduced. 31 (g) On or before December 1, 2025, the Workgroup shall report its findings and 32 recommendations to the Governor and, in accordance with § 2 –1257 of the State 33 Government Article, the General Assembly. 34 8 HOUSE BILL 517 SECTION 2. AND BE IT FURTHER ENACTED, That it is the intent of the General 1 Assembly that: 2 (1) beginning with the fiscal year 2027 budget, all local Baltimore City 3 transit services, including light rail, subway, and bus service, be included in the Maryland 4 Transit Administration budget and all statewide transit service, including MARC rail 5 service, the construction and operation of the Purple Line, and commuter bus service, be 6 included in the Office of the Secretary’s budget; and 7 (2) on or before December 1, 2025, the Department of Transportation shall 8 submit draft legislation to the Governor and, in accordance with § 2–1257 of the State 9 Government Article, the General Assembly providing for the reorganization of the 10 Department to ensure that the Maryland Transit Administration provides local Baltimore 11 City transit services, including light rail, subway, and bus service, and a separate unit 12 within the Department provides statewide transit services including MARC rail service, 13 the construction and operation of the Purple Line, and commuter bus service. 14 SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 15 1, 2025. It shall remain effective for a period of 1 year and, at the end of June 30, 2026, this 16 Act, with no further action required by the General Assembly, shall be abrogated and of no 17 further force and effect. 18 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ Speaker of the House of Delegates. ________________________________________________________________________________ President of the Senate.