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. *hb0717* HOUSE BILL 717 M1, G2 5lr0363 CF 5lr0364 By: Chair, Environment and Transportation Committee (By Request – Departmental – Natural Resources) Introduced and read first time: January 27, 2025 Assigned to: Environment and Transportation Committee Report: Favorable with amendments House action: Adopted Read second time: March 2, 2025 CHAPTER ______ AN ACT concerning 1 Natural Resources – Public Lands – Acquisition, Staffing, Operations, and 2 Funding 3 FOR the purpose of exempting certain officials or employees of the Department of Natural 4 Resources from certain provisions of the Maryland Public Ethics Law; altering 5 provisions of law regarding the Department’s acquisition of real property by the 6 Department of Natural Resources; establishing a Land and Property Management 7 Program in the Department to process certain real property transactions; 8 authorizing the Department to establish affiliated foundations to work with certain 9 services and offices of the Department and the Natural Resources Police to solicit 10 and accept funds for certain improvements, promote certain activities, and partner 11 with individuals and entities to support certain projects; altering the contents of the 12 Forest or Park Reserve Fund; authorizing the Governor to transfer certain Program 13 Open Space funds to the Department under certain circumstances and for certain 14 uses; altering and repealing certain provisions of law regarding acreage attainment 15 under the use of Program Open Space local funding; and generally relating to public 16 lands. 17 BY repealing and reenacting, with amendments, 18 Article – General Provisions 19 Section 5–501, 5–502(a), 5–503(a), 5–504, and 5–608(c) 20 Annotated Code of Maryland 21 (2019 Replacement Volume and 2024 Supplement) 22 2 HOUSE BILL 717 BY repealing and reenacting, with amendments, 1 Article – Natural Resources 2 Section 1–109, 5–212(f), 5–903(e)(3), and 5–905(c)(1) (b)(3), (c)(1) and (3)(i) and (ii), 3 (d), and (e) 4 Annotated Code of Maryland 5 (2023 Replacement Volume and 2024 Supplement) 6 BY adding to 7 Article – Natural Resources 8 Section 1–109.1; 1–1101 to be under the new subtitle “Subtitle 11. Affiliated 9 Foundations”; and 5–903(i) 10 Annotated Code of Maryland 11 (2023 Replacement Volume and 2024 Supplement) 12 BY repealing and reenacting, without amendments, 13 Article – Natural Resources 14 Section 5–212(a) and (b) 15 Annotated Code of Maryland 16 (2023 Replacement Volume and 2024 Supplement) 17 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18 That the Laws of Maryland read as follows: 19 Article – General Provisions 20 5–501. 21 (A) THIS SECTION DOES NOT APPLY TO AN OFFICIAL OR EMPLOYEE OF THE 22 DEPARTMENT OF NATURAL RESOURCES WHO ALSO SE RVES AS A DIRECTOR O R AN 23 OFFICIAL OF AN AFFIL IATED FOUNDATION ESTABLISH ED UNDER § 1–1101 OF THE 24 NATURAL RESOURCES ARTICLE. 25 [(a)] (B) Except as otherwise provided in subsection [(c)] (E) of this section, an 26 official or employee may not participate in a matter if: 27 (1) the official or employee or a qualifying relative of the official or 28 employee has an interest in the matter and the official or employee knows of the interest; 29 or 30 (2) any of the following is a party to the matter: 31 (i) a business entity in which the official or employee has a direct 32 financial interest of which the official or employee reasonably may be expected to know; 33 (ii) a business entity, including a limited liability company or a 34 limited liability partnership, of which any of the following is an officer, a director, a trustee, 35 a partner, or an employee: 36 HOUSE BILL 717 3 1. the official or employee; or 1 2. if known to the official or employee, a qualifying relative 2 of the official or employee; 3 (iii) a business entity with which any of the following has applied for 4 a position, is negotiating employment, or has arranged prospective employment: 5 1. the official or employee; or 6 2. if known to the official or employee, a qualifying relative 7 of the official or employee; 8 (iv) if the contract reasonably could be expected to result in a conflict 9 between the private interest and the official State duties of the official or employee, a 10 business entity that is a party to a contract with: 11 1. the official or employee; or 12 2. if known to the official or employee, a qualifying relative 13 of the official or employee; 14 (v) a business entity, either engaged in a transaction with the State 15 or subject to regulation by the official’s or employee’s governmental unit, in which a direct 16 financial interest is owned by another business entity if the official or employee: 17 1. has a direct financial interest in the other business entity; 18 and 19 2. reasonably may be expected to know of both financial 20 interests; or 21 (vi) a business entity that: 22 1. the official or employee knows is a creditor or an obligee of 23 the official or employee, or of a qualifying relative of the official or employee, with respect 24 to a thing of economic value; and 25 2. as a creditor or an obligee, is in a position to affect directly 26 and substantially the interest of the official, employee, or qualifying relative. 27 [(a–1)] (C) (1) This subsection does not apply to an individual who is a public 28 official only as a member of a board and who receives annual compensation that is less than 29 25% of the lowest annual compensation at State grade level 16. 30 4 HOUSE BILL 717 (2) A former regulated lobbyist who is or becomes subject to regulation 1 under this title as a public official or employee may not participate in a case, contract, or 2 other specific matter as a public official or employee for 1 calendar year after the 3 termination of the registration of the former regulated lobbyist if the former regulated 4 lobbyist previously assisted or represented another party for compensation in the matter. 5 [(b)] (D) (1) The prohibitions of subsection [(a)] (B) of this section do not 6 apply if participation is allowed: 7 (i) as to officials and employees subject to the authority of the Ethics 8 Commission, by regulation of the Ethics Commission; 9 (ii) by the opinion of an advisory body; or 10 (iii) by another provision of this subtitle. 11 (2) This section does not prohibit participation by an official or employee 12 that is limited to the exercise of an administrative or ministerial duty that does not affect 13 the decision or disposition with respect to the matter. 14 [(c)] (E) (1) An official or employee who otherwise would be disqualified from 15 participation under subsection [(a)] (B) of this section shall disclose the nature and 16 circumstances of the conflict, and may participate or act, if: 17 (i) the disqualification would leave a body with less than a quorum 18 capable of acting; 19 (ii) the disqualified official or employee is required by law to act; or 20 (iii) the disqualified official or employee is the only individual 21 authorized to act. 22 (2) If the Governor, Lieutenant Governor, Attorney General, Treasurer, or 23 Comptroller is required to make a disclosure under paragraph (1) of this subsection, the 24 Governor, Lieutenant Governor, Attorney General, Treasurer, or Comptroller, as 25 appropriate, shall send a copy of the disclosure to the presiding officers of the General 26 Assembly and to the Ethics Commission. 27 [(d)] (F) (1) This subsection applies only to: 28 (i) the Governor; 29 (ii) the Lieutenant Governor; 30 (iii) the Attorney General; 31 (iv) the Treasurer; 32 HOUSE BILL 717 5 (v) the Comptroller; and 1 (vi) a secretary of a principal department in the Executive Branch. 2 (2) (i) An official who takes executive action that the official knows or 3 reasonably should know would have a material financial impact on the official or a person 4 whose interests are attributable to the official under § 5–608 of this title shall provide the 5 Ethics Commission and the Joint Ethics Committee a description of the executive action 6 and the circumstances of the potential impact. 7 (ii) An official is not required to make a disclosure under this 8 paragraph if the impact is common to all members of: 9 1. the general public or a large class of the general public; or 10 2. a profession or occupation of which the official is a 11 member. 12 5–502. 13 (a) This section does not apply to: 14 (1) members of the General Assembly; OR 15 (2) AN OFFICIAL OR EMPLO YEE OF THE DEPARTMENT OF NATURAL 16 RESOURCES WHO ALSO SE RVES AS A DIRECTOR O R AN OFFICIAL OF AN AFFILIATED 17 FOUNDATION ESTABLISH ED UNDER § 1–1101 OF THE NATURAL RESOURCES 18 ARTICLE. 19 5–503. 20 (a) This section does not apply to: 21 (1) members of the General Assembly; OR 22 (2) AN OFFICIAL OR EMPLO YEE OF THE DEPARTMENT OF NATURAL 23 RESOURCES WHO ALSO SE RVES AS A DIRECTOR O R AN OFFICIAL OF AN AFFILIATED 24 FOUNDATION ESTABLISH ED UNDER § 1–1101 OF THE NATURAL RESOURCES 25 ARTICLE. 26 5–504. 27 (A) THIS SECTION DOES NOT APPLY TO AN OFFICIAL OR EMPLOYEE OF THE 28 DEPARTMENT OF NATURAL RESOURCES WHO ALSO SE RVES AS A DIRECTOR O R AN 29 6 HOUSE BILL 717 OFFICIAL OF AN AFFIL IATED FOUNDATION EST ABLISHED UNDER § 1–1101 OF THE 1 NATURAL RESOURCES ARTICLE. 2 [(a)] (B) (1) This subsection does not apply to members of the General 3 Assembly. 4 (2) Except as provided in paragraph (3) of this subsection, an official or 5 employee may not, for contingent compensation, assist or represent a party in any matter 6 before or involving any unit of the State or a political subdivision of the State. 7 (3) Paragraph (2) of this subsection does not apply to assistance to or 8 representation of a party: 9 (i) in a judicial or quasi–judicial proceeding, including a proceeding 10 before an administrative law judge in the Office of Administrative Hearings, or a matter 11 preliminary, incidental, or collateral to a judicial or quasi–judicial proceeding; or 12 (ii) in a matter before or involving the Workers’ Compensation 13 Commission, the Maryland Automobile Insurance Fund, or the Crimina l Injuries 14 Compensation Board. 15 [(b)] (C) (1) Except as provided in paragraph (2) of this subsection, a member 16 of the General Assembly may not, for compensation, assist or represent a party in any 17 matter before or involving any unit of the State or a political subdivision of the State. 18 (2) Paragraph (1) of this subsection does not apply to assistance to or 19 representation of a party: 20 (i) in matters relating to the performance of ministerial acts by a 21 governmental unit; 22 (ii) in matters involving the member’s regular business, 23 employment, or profession, in which contact with a governmental unit: 24 1. is an incidental part of the business, employment, or 25 profession; 26 2. is made in the manner that is customary for persons in 27 that business, employment, or profession; and 28 3. is not for contingent compensation; 29 (iii) in a judicial or quasi–judicial proceeding, including a proceeding 30 before an administrative law judge in the Office of Administrative Hearings, or a matter 31 preliminary, incidental, or collateral to a judicial or quasi–judicial proceeding; 32 HOUSE BILL 717 7 (iv) in a matter before or involving the Workers’ Compensation 1 Commission, the Maryland Automobile Insurance Fund, or the Criminal Injuries 2 Compensation Board; or 3 (v) in a matter in which the assistance or representation, other than 4 for contingent compensation, was commenced by the member of the General Assembly 5 before: 6 1. the member filed a certificate of candidacy for election to 7 the General Assembly at a time when the member was not an incumbent; or 8 2. if the member was appointed to fill a vacancy, the date of 9 appointment. 10 [(c)] (D) (1) A member of the General Assembly may not assist or represent 11 a person, including himself or herself, for compensation before a State or local 12 governmental agency in any matter involving: 13 (i) procurement; or 14 (ii) the adoption of regulations. 15 (2) Paragraph (1) of this subsection does not apply to an administrative 16 proceeding conducted in accordance with Title 10, Subtitle 2 of the State Government 17 Article. 18 [(d)] (E) (1) Except for a former member of the General Assembly, who shall 19 be subject to the restrictions provided under paragraph (2) of this subsection, a former 20 official or employee may not assist or represent a party, other than the State, in a case, a 21 contract, or any other specific matter for compensation if: 22 (i) the matter involves State government; and 23 (ii) the former official or employee participated significantly in the 24 matter as an official or employee. 25 (2) (i) In this paragraph, “legislative action” does not include testimony 26 or other advocacy in an official capacity as a member of the General Assembly before a unit 27 of State or local government. 28 (ii) Except as provided in subparagraph (iii) of this paragraph: 29 1. a former member of the General Assembly may not assist 30 or represent another party for compensation in a matter that is the subject of legislative 31 action for 1 calendar year from the date the member leaves office; and 32 8 HOUSE BILL 717 2. a former Governor, Lieutenant Governor, Attorney 1 General, Comptroller, State Treasurer, or secretary of a principal department of the 2 Executive Branch may not assist or represent another party for compensation in a matter 3 that is the subject of legislative action for 1 calendar year from the date the official leaves 4 State office. 5 (iii) The limitation under subparagraph (ii) of this paragraph on 6 representation by a former member of the General Assembly, Governor, Lieutenant 7 Governor, Attorney General, Comptroller, State Treasurer, or secretary of a principal 8 department of the Executive Branch does not apply to representation of a municipal 9 corporation, county, or State governmental entity. 10 [(e)] (F) Notwithstanding subsection [(a)(3)] (B)(3) of this section or § 5–502 of 11 this subtitle, a full–time official or employee in the Judicial Branch may not represent a 12 party before a court or unit of the Judicial Branch except in the discharge of official duties. 13 5–608. 14 (c) For the purposes of § 5–607 of this subtitle, interests held by a blind trust may 15 not be considered to be interests of the person making the statement if the blind trust is 16 approved by the Ethics Commission in accordance with regulations adopted under 17 [§ 5–501(b)] § 5–501(D) or § 5–502(c) of this title and is operated in compliance with those 18 regulations. 19 Article – Natural Resources 20 1–109. 21 (a) (1) IN THIS SECTION , “REAL PROPERTY INTERE ST” MEANS A 22 NONLEASEHOLD INTERES T IN REAL PROPERTY . 23 (2) “REAL PROPERTY INTEREST ” INCLUDES A FEE SIMPL E 24 ACQUISITION INTEREST , CONSERVATION EASEMEN T INTEREST, OR ANOTHER 25 PERPETUAL EASEMENT I NTEREST. 26 (B) (1) The Department shall negotiate the acquisition of real property 27 INTERESTS for open space, recreation, conservation, and other purposes under this article. 28 (2) [The] UNLESS OTHERWISE APPR OVED BY THE BOARD OF PUBLIC 29 WORKS, THE Department shall make each acquisition under this subsection in the name 30 of the State to the use of the Department. 31 (3) (I) AFTER ACQUIR ING A REAL PROPERTY FEE SIMPLE 32 INTEREST UNDER THIS SECTION, THE DEPARTMENT SHALL INCL UDE A REQUEST 33 FOR FUNDS IN ITS ANN UAL BUDGET REQUEST T O THE DEPARTMENT OF BUDGET 34 HOUSE BILL 717 9 AND MANAGEMENT TO CREATE NEW PERMANENT , CLASSIFIED POSITIONS TO 1 MANAGE AND ADMINISTE R THE REAL PROPERTY FEE SIMPLE INTEREST . 2 (II) THE REQUEST FOR FUNDS SHALL BE: 3 1. BASED ON THE MOST REC ENT DATA PROVIDED BY 4 THE DEPARTMENT IN THE OPE N SPACE REPORT REQUI RED BY CHAPTER 584 OF THE 5 ACTS OF THE GENERAL ASSEMBLY OF 1995; AND 6 2. CALCULATED USING THE RATIO OF AT LEAST ON E 7 PERMANENT , CLASSIFIED POSITION PER 400 ACRES OF NEWLY ACQUI RED REAL 8 PROPERTY FEE SIMPLE INTERESTS. 9 [(b)] (C) (1) Except for A real property INTEREST that is acquired by gift AND 10 SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , before [any] A real property 11 INTEREST is acquired from a private owner, the Department shall obtain two independent 12 appraisals of the property. 13 (2) THE DEPARTMENT , WITH THE APPROVAL OF THE BOARD OF 14 PUBLIC WORKS, MAY DEVELOP AND UTIL IZE AN EASEMENT VALUATION S YSTEM TO 15 VALUE CONSERVATION E ASEMENT INTERESTS . 16 [(c)] (D) (1) [A] EXCEPT FOR A REAL PRO PERTY INTEREST THAT IS 17 ACQUIRED BY GIFT , A contract for the acquisition of [land] A REAL PROPERTY INTE REST 18 under this section shall be approved, and MAY BE executed, by the Board of Public Works. 19 (2) At least 40 days before the Board of Public Works may act on a [land] 20 REAL PROPERTY INTERE ST acquisition under this section, the Department shall give 21 written notice of a potential acquisition of [land] A REAL PROPERTY INTE REST: 22 (i) To the governing body of the county in which the [land] REAL 23 PROPERTY INTEREST is located; and 24 (ii) If the [land] REAL PROPERTY INTERE ST is located within a 25 municipal corporation, to the governing body of the municipal corporation. 26 (3) Within 30 days after receiving notice under this subsection, the 27 governing body may submit written comments to the Department. 28 [(d)] (E) The Board of Public Works shall supervise the expenditure of any 29 money that the General Assembly appropriates for the acquisition of [land] A REAL 30 PROPERTY INTEREST under this section. 31 [(e)] (F) (1) Subject to paragraphs (2) and (3), (3), AND (4) of this subsection, 32 the Department may dispose of [land] A REAL PROPERTY INTE REST owned and managed 33 10 HOUSE BILL 717 by the Department as consideration for the acquisition of [land] A REAL PROPERTY 1 INTEREST not owned by the Department. 2 (2) Except as provided in paragraph (3) of this subsection, in implementing 3 this subsection, the Department shall comply with the procedures established under Title 4 5, Subtitle 3 and Title 10, Subtitle 3 of the State Finance and Procurement Article. 5 (3) (i) The Department may dispose of A real property INTEREST 6 owned by the State for the use and benefit of the Department in exchange for A privately 7 owned real property INTEREST without complying with the procedures established under 8 §§ 5–301 through 5–311 or §§ 10–301 through 10–309 of the State Finance and 9 Procurement Article, if: 10 1. The privately owned real property INTEREST subject to 11 the exchange is adjacent to the real property INTEREST owned by the State for the use and 12 benefit of the Department; 13 2. The real property INTEREST owned by the State for the 14 use and benefit of the Department AND subject to the exchange is adjacent to the privately 15 owned real property INTEREST; 16 3. The real property INTEREST owned by the State AND 17 SUBJECT TO THE EXCHA NGE does not exceed 5 acres in size; and 18 4. The owner of the privately owned real property INTEREST 19 requesting the exchange pays all costs associated with the exchange of the real property 20 INTEREST, including legal fees and boundary relocation, surveying, engineering, and 21 recordation costs. 22 (ii) Prior to a REAL property INTEREST exchange under this 23 paragraph, the Department shall: 24 1. Notify in writing by electronic mail or first–class mail: 25 A. Owners of property adjacent to the privately owned real 26 property INTEREST subject to the exchange; 27 B. The General Assembly members who represent the 28 legislative district in which the real property INTEREST exchange is located; and 29 C. The governing body of the county in which the real 30 property INTEREST exchange is located; and 31 2. Refer the proposed exchange to the Board of Public Works 32 for final disposition. 33 HOUSE BILL 717 11 (4) THE DEPARTMENT MAY NOT DI SPOSE OF A CONSERVAT ION 1 EASEMENT INTEREST UN DER THIS SUBSECTION . 2 [(f)] (G) The Board of Public Works may exempt projects under this section from 3 the provisions of this section. 4 [(g)] (H) (1) The Department shall adopt regulations to implement this 5 section. 6 (2) The regulations adopted under paragraph (1) of this subsection shall 7 include a system for appraisal review developed by the Department in consultation with 8 the Department of General Services. 9 1–109.1. 10 (A) IN THIS SECTION , “PROGRAM” MEANS THE LAND AND PROPERTY 11 MANAGEMENT PROGRAM. 12 (B) THERE IS A LAND AND PROPERTY MANAGEMENT PROGRAM IN THE 13 DEPARTMENT . 14 (C) THE PURPOSE OF THE PROGRAM IS TO PROCESS REAL PROPERTY 15 TRANSACTIONS THAT IN VOLVE PROPERTY OWNED BY THE DEPARTMENT . 16 (D) THE PROGRAM IS RESPONSIBL E FOR: 17 (1) PROCESSING LEASE AGRE EMENTS, EASEMENTS, AND OTHER 18 PROPERTY–RELATED DOCUMENTS ; AND 19 (2) FACILITATING ISSUING LEASES FOR DEPARTMENT HOUSING TO 20 DEPARTME NT EMPLOYEES IN ACCO RDANCE WITH THE DEPARTMENT ’S 21 RESIDENTIAL HOUSING POLICY. 22 SUBTITLE 11. AFFILIATED FOUNDATIONS . 23 1–1101. 24 (A) THE DEPARTMENT MAY ESTABL ISH ONE OR MORE AFFI LIATED 25 FOUNDATIONS TO WORK WITH THE MARYLAND PARK SERVICE, THE MARYLAND 26 FOREST SERVICE, THE WILDLIFE AND HERITAGE SERVICE, AND THE OFFICE OF 27 OUTDOOR RECREATION, AND THE NATURAL RESOURCES POLICE. 28 (B) THE PURPOSES OF AN AF FILIATED FOUNDATION ARE TO: 29 12 HOUSE BILL 717 (1) SOLICIT AND ACCEPT FU NDS FOR IMPROVEMENTS DESIGNED TO 1 EXPAND AND ENHANCE T HE EQUITABLE USE OF AND AC CESS TO LANDS MANAGE D 2 BY THE DEPARTMENT FOR RECREA TION AND CONSERVATIO N PURPOSES; 3 (2) PROMOTE ACTIVITIES TH AT: 4 (I) ENHANCE PUBLIC PROGRA MMING AND RECREATION AL AND 5 EDUCATIONAL OFFERING S; 6 (II) RESTORE OR MAINTAIN P UBLIC ACCESS TO THE NATURAL 7 RESOURCES OF THE STATE; OR 8 (III) SUPPORT OPERATION AND MAINTENANCE , MAINTENANCE , 9 AND LAW ENFORCEMENT ACTIVITIES WITHIN LA NDS MANAGED BY THE 10 DEPARTMENT ; AND 11 (3) PARTNER WITH INDIVIDU ALS, CORPORATIONS , AND OTHER 12 ENTITIES TO SUPPORT INNOVATIVE PROJECTS THAT ENHANCE VISITOR S’ 13 EXPERIENCES AT LANDS MANAGED BY THE DEPARTMENT , INCLUDING EDUCATING 14 VISITORS, INCREASING INCLUSIVI TY, SUPPORTING SUSTAINAB ILITY, AND 15 PROMOTING HEALTH AND WELLNESS. 16 (C) (1) THE DEPARTMENT SHALL : 17 (I) DEVELOP POLICIES FOR OPERATING EACH AFFIL IATED 18 FOUNDATION THAT THE DEPARTMENT ESTABLISHE S; AND 19 (II) SUBMIT EACH POLICY DE VELOPED TO THE ATTORNEY 20 GENERAL AND THE STATE ETHICS COMMISSION FOR REVIEW AND, IF 21 APPROPRIATE , APPROVAL IN ACCORDANCE WITH PARA GRAPHS (2) AND (3) OF THIS 22 SUBSECTION. 23 (2) THE ATTORNEY GENERAL SHALL : 24 (I) REVIEW THE POLICIES T HE DEPARTMENT DEVELOPS 25 UNDER PARAGRAPH (1) OF THIS SUBSECTION F OR FORM AND LEGAL SU FFICIENCY; 26 AND 27 (II) IF APPROPRIATE , APPROVE T HE POLICIES FOR USE IN 28 GOVERNING THE AFFILI ATED FOUNDATION . 29 (3) THE STATE ETHICS COMMISSION SHALL : 30 HOUSE BILL 717 13 (I) REVIEW THE POLICIES T HE DEPARTMENT DEVELOPS 1 UNDER PARAGRAPH (1) OF THIS SUBSECTION T HAT PERTAIN TO CONFL ICTS OF 2 INTEREST; AND 3 (II) IF APPROPRIATE , APPROVE THE POLICIES FOR USE IN 4 GOVERNING AN OFFICIA L OR EMPLOYEE OF THE DEPARTMENT WHO ALSO S ERVES 5 AS A DIRECTOR OR AN OFFICIAL OF THE AFFI LIATED FOUNDATION . 6 (D) AN AFFILIATED FOUNDAT ION MAY SOLICIT AND RECEIVE 7 CONTRIBUTIONS FROM B USINESSES, GOVERNMENTAL ENTITIE S, NONPROFIT 8 ORGANIZATIONS , AND INDIVIDUALS INTE RESTED IN THE PROMOT ION OF LANDS 9 MANAGED BY THE DEPARTMENT . 10 (E) (1) AN AFFILIATED FOUNDAT ION ESTABLISHED UNDE R THIS 11 SECTION MAY NOT BE C ONSIDERED AN AGENCY OR INSTRUMENTALITY O F THE 12 STATE OR A UNIT OF THE EXECUTIVE BRANCH FOR ANY PURPOS E. 13 (2) A FINANCIAL OBLIGATION OR LIABILITY OF AN A FFILIATED 14 FOUNDATION ESTABLISH ED UNDER THIS SECTIO N MAY NOT BE CONSIDE RED A DEBT 15 OR AN OBLIGATION OF THE STATE OR THE DEPARTMENT . 16 (F) (1) SECTIONS 5–501 THROUGH 5–504 OF THE GENERAL PROVISIONS 17 ARTICLE DO NOT PROHIB IT AN OFFICIAL OR EM PLOYEE OF THE DEPARTMENT FROM 18 ALSO BECOMING A DIRE CTOR OR AN OFFICIAL OF AN AFFILIATED FOU NDATION 19 ESTABLISHED UNDER TH IS SECTION. 20 (2) AN OFFICIAL OR EMPLOY EE OF THE DEPARTMENT WHO SERVES 21 AS A DIRECTOR OR AN OFFICIAL OF AN AFFIL IATED FOUNDATION EST ABLISHED 22 UNDER THIS SECTION : 23 (I) MAY NOT BE COMPENSATE D, DIRECTLY OR INDIRECT LY, BY 24 THE AFFILIATED FOUND ATION; AND 25 (II) MAY BE REIMBURSED FOR BONA FIDE EXPENSES I NCURRED 26 IN THE PERFORMANCE O F ACTIVITIES UNDERTA KEN ON BEHALF OF THE 27 AFFILIATED FOUNDATIO N AS AUTHORIZED BY T HE DEPARTMENT AND THE BO ARD 28 OF DIRECTORS OF THAT AFFILIATED FOUNDATIO N. 29 (3) (I) THE DEPARTMENT SHALL NOTI FY THE STATE ETHICS 30 COMMISSION IN WRITING WHENEVER THE DEPARTMENT ALLOWS AN OFFICIAL OR 31 EMPLOYEE OF THE DEPARTMENT TO SERVE A S A DIRECTOR OR AN O FFICIAL OF AN 32 AFFILIATED FOUNDATIO N. 33 14 HOUSE BILL 717 (II) WITHIN 30 DAYS AFTER RECEIPT O F THE NOTICE UNDER 1 SUBPARAGRAPH (I) OF THIS PARAGRAPH , THE STATE ETHICS COMMISSION SHALL 2 NOTIFY THE DEPARTMENT OF ANY OBJ ECTIONS OR CONCERNS PERTAINING TO THE 3 JOINT SERVICE IDENTI FIED IN THE NOTICE . 4 (III) ON RECEIPT OF A NOTIC E FROM THE STATE ETHICS 5 COMMISSION UNDER SUBP ARAGRAPH (II) OF THIS PARAGRAPH , THE DEPARTMENT 6 SHALL REEXA MINE THE JOINT SERVI CE IDENTIFIED IN THE NOTICE. 7 (4) THE DEPARTMENT SHALL REPO RT ANNUALLY TO THE 8 GOVERNOR, THE LEGISLATIVE POLICY COMMITTEE OF THE GENERAL ASSEMBLY 9 IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, AND THE 10 STATE ETHICS COMMISSION ON: 11 (I) THE NAMES OF THE OFFI CIALS AND EMPLOYEES SERVING 12 AS A DIRECTOR OR AN OFFICIAL OF AN AFFIL IATED FOUNDATION ; AND 13 (II) HOW THE POLICIES ADOP TED UNDER SUBSECTION (C) OF 14 THIS SECTION HAVE BE EN IMPLEMENTED IN TH E PRECEDING YEAR . 15 (G) EACH YEAR AN INDEPENDENT CE RTIFIED PUBLIC ACCOU NTANT SHALL 16 AUDIT AN AFFILIATED FOUNDATION ESTABLISH ED UNDER THIS SECTIO N. 17 5–212. 18 (a) In this section, “Fund” means the Forest or Park Reserve Fund. 19 (b) There is a Forest or Park Reserve Fund in the Department. 20 (f) The Fund consists of: 21 (1) Except as provided in § 5–307(f)(1)(iv) of this title, any money obtained 22 from the State forest reserves, State parks, scenic reserves, parkways, historic monuments, 23 and recreation areas; 24 (2) Revenue distributed to the Fund from fines collected under § 5–1302 of 25 this title; [and] 26 (3) Revenue received by the Fund under § 5–207(b) of this subtitle; AND 27 (4) ANY MONEY TRANSFERRED TO THE FUND UNDER § 5–903(I)(3)(II) 28 OF THIS TITLE. 29 5–903. 30 HOUSE BILL 717 15 (e) (3) An agreement under this subsection shall be subject to approval by the 1 Board of Public Works under [§ 1–109(c)] § 1–109(D) of this article. 2 (I) (1) NOTWITHSTANDING ANY O THER PROVISION OF TH IS SECTION OR 3 THE ALLOCATION FORMU LAS IN § 13–209 OF THE TAX – PROPERTY ARTICLE AND 4 SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE GOVERNOR MAY TRANSFER 5 TO THE DEPARTMENT FUNDS FROM THE PROGRAM OPEN SPACE STATE LAND 6 ACQUISITION BALANCE IF: 7 (I) THE BALANCE IS MORE T HAN $80,000,000 AT THE END OF A 8 GIVEN FISCAL YEAR; AND 9 (II) THE DEPARTMENT ’S EXISTING SPECIAL F UND SOURCES 10 ARE INSUFFICIENT TO COVER EXISTING SALAR IES FOR PERMANENT , CLASSIFIED 11 POSITIONS RESPONSIBL E FOR OPERATING AND MAINTAINING LANDS 12 ADMINISTERED AND MAN AGED BY THE DEPARTMENT . 13 (2) AFTER A FUND TRANSFER UNDER PARAGRAPH (1) OF THIS 14 SUBSECTION, THE REMAINING BALANC E MUST BE AT LEAST $80,000,000. 15 (3) (I) THE DEPARTMENT MAY USE AN Y AMOUNT OF THE 16 TRANSFERRED FUNDS AS A ONE–TIME FISCAL YEAR EXP ENDITURE FOR : 17 1. OPERATION AND MAINTEN ANCE OF LANDS 18 ADMINISTERED AND MAN AGED BY THE DEPARTMENT ; 19 2. ADMINISTRATIVE EXPENS ES RELATED TO LAND 20 ACQUIRED BY THE DEPARTMENT UNDER PROGRAM OPEN SPACE; OR 21 3. LAW ENFORCEMENT ACTIV ITIES, SERVICES, 22 SALARIES, AND RELATED EXPENSES OF THE NATURAL RESOURCES POLICE. 23 (II) THE DEPARTMENT MAY TRANSF ER ANY AMOUNT OF THE 24 TRANSFERRED FUNDS TO THE FOREST OR PARK RESERVE FUND ESTABLISHED 25 UNDER § 5–212 OF THIS TITLE. 26 (4) ANY FUND TRANSFER MAD E UNDER THIS SUBSECT ION 27 SUPPLEMENTS RATHER T HAN SUPPLANTS ANY OT HER FUNDING FOR OPERATION , 28 MAINTENANCE , AND ADMINISTRATION O F LANDS ADMINISTERED AND MANAGED BY 29 THE DEPARTMENT REGARDLESS OF THE SOURCE OF THE OTHER FUNDING . 30 5–905. 31 16 HOUSE BILL 717 (b) (3) Subject to the approval of the Department, a local governing body may 1 use part of its acquisition funds for initial or periodic updating of local land preservation 2 and recreation plans. The amount that may be used by a subdivision for planning purposes 3 in the local land preservation and recreation plan shall not exceed [$25,000 for any one 4 fiscal year] $125,000 FOR ANY INDIVIDUAL P LAN UPDATE WITHIN TH E 5–YEAR 5 UPDATE CYCLE . Local matching funds are not required for planning or updating the local 6 land preservation and recreation plan. 7 (c) (1) (i) One half of any local governing body’s annual apportionment 8 shall be used for acquisition or development projects provided that up to [20 percent] 20% 9 of the funds authorized for acquisition or development projects under this subparagraph 10 may be used for capital renewal as defined in § 5–901 of this subtitle. 11 (ii) 1. THIS SUBPARAGRAPH APP LIES TO A LOCAL 12 GOVERNING BODY ’S: 13 A. APPORTIONMENT NOT YET ENCUMBERED AS OF JULY 14 1, 2025; 15 B. FISCAL YEAR 2026 APPORTIONMENT ; AND 16 C. FUTURE ANNUAL APPORTI ONMENT. 17 2. [1. Except as provided in subsubparagraph 2 of this 18 subparagraph, if] IF the Department and the Department of Planning certify that 19 acquisition goals set forth in the current, approved local land preservation and recreation 20 plan have been met [and that such acreage attainment equals or exceeds the minimum 21 recommended acreage goals developed for that jurisdiction under the Maryland Land 22 Preservation and Recreation Plan], a local governing body may use up to [75 percent] 100% 23 of its future annual apportionment for development projects [for a period of 5 years after 24 attainment], provided that up to [20 percent] 20% of the funds authorized for use for 25 development projects under this subparagraph may be used for capital renewal 26 APPORTIONMENT FOR DE VELOPMENT PROJECTS . 27 [2. If the Department and the Department of Planning certify 28 that acquisition goals set forth in the current, approved local land preservation and 29 recreation plan have been exceeded and that the acreage attainment exceeds the minimum 30 recommended acreage goals developed for that jurisdiction under the Maryland Land 31 Preservation and Recreation Plan, the local governing body of a jurisdiction that has more 32 than 65,000 acres of land within the jurisdiction consisting of State forests, State parks, or 33 wildlife management areas may use up to 100 percent of its future annual apportionment 34 for development projects and capital renewal.] 35 (iii) If a county determines that it qualifies for the additional funds 36 for development and capital renewal projects under subparagraph (ii) of this paragraph, 37 HOUSE BILL 717 17 before the due date for all local governing bodies to submit revised local land preservation 1 and recreation plans, that county may submit an interim local land preservation and 2 recreation plan: 3 1. Prior to the submission under subsection (b)(2) of this 4 section; and 5 2. In addition to the submission required under subsection 6 (b)(2) of this section. 7 (3) (i) Except as provided in subparagraph (iii) of this paragraph, if the 8 local governing body is unable to obtain STATE OR federal funds OTHER THAN THE 9 FUNDS ALLOCATED UNDE R SUBSECTION (A) OF THIS SECTION AND pursuant to § 10 5–906 of this subtitle, for each approved local development project the State shall provide: 11 1. 75 percent of the total project cost; or 12 2. If the Department has certified pursuant to paragraph (1) 13 of this subsection that acquisition goals have been met, 90 percent of the total project cost. 14 (ii) Except as provided in subparagraph (iii) of this paragraph, if 15 STATE FUNDS, OTHER THAN THE FUNDS ALLOCATED UNDER SUBS ECTION (A) OF 16 THIS SECTION, OR federal funds are provided on any development project cost, [the State 17 shall provide 50 percent of the difference between the total project cost and the federal 18 contribution. Subject to the limitation that total State funds, when added to every other 19 available fund, may not exceed 100 percent of a project’s cost, the minimum State 20 contribution to a project shall be 25 percent. If the federal funds are less than 50 percent of 21 the total project cost, the State shall provide an amount equal to the difference between the 22 federal contribution and] AND PROVIDED THAT TH E TOTAL STATE FUNDS WHEN 23 ADDED TO EVERY OTHER AVAILABLE FUND DOES NOT EXCEED 100 PERCENT OF THE 24 TOTAL PROJECT COST , THE LOCAL JURISDICTI ON SHALL MATCH : 25 1. [75 percent of the total project cost] 25 PERCENT OF THE 26 PROGRAM OPEN SPACE GRANT AMOUNT ; or 27 2. [If the Department has certified pursuant to paragraph (1) 28 of this subsection that acquisition goals have been met, 90 percent of the total project cost] 29 10 PERCENT OF THE PROGRAM OPEN SPACE GRANT AMOUNT . 30 (d) If land is donated to local governing bodies during the fiscal year, 75 percent 31 of the appraised value the Department approves may be applied as a portion of, or all of, 32 the local governing body’s share of the project’s cost for the projects referred to in [§ 5–904 33 of this subtitle] SUBSECTION (C) OF THIS SECTION . 34 (e) If federal funds are received for any approved local project after it was funded 35 by the State in accordance with [subsection (b)] SUBSECTIONS (B) AND (C) of this section 36 18 HOUSE BILL 717 [or § 5–904 of this subtitle], the applicant shall reimburse the State in an amount equal to 1 the federal contribution. The reimbursement shall be reserved for other projects approved 2 for the applicant up to the limit of the share allocated to the local governing body. 3 SECTION 2. AND BE I T FURTHER ENACTED, That this Act shall take effect 4 October 1, 2025. 5 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ Speaker of the House of Delegates. ________________________________________________________________________________ President of the Senate.