EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0824*
HOUSE BILL 824
K3, P4, L6 5lr0859
By: Delegate Stewart
Introduced and read first time: January 29, 2025
Assigned to: Economic Matters
A BILL ENTITLED
AN ACT concerning 1
Family and Medical Leave Insurance Pro gram – Covered Individuals – 2
Alternatively Qualified Individuals 3
FOR the purpose of altering the Family and Medical Leave Insurance Program to provide 4
benefits to alternatively qualified individuals who care for or bond with a child under 5
certain circumstances; altering the date that the Secretary of Labor is required to 6
begin conducting certain cost analyses of the Program; requiring that an employer 7
allow an alternatively qualified individual who is receiving benefits under the 8
Program to take certain unpaid leave from employment; and generally relating to 9
the Family and Medical Leave Insurance Program. 10
BY repealing and reenacting, with amendments, 11
Article – Labor and Employment 12
Section 8.3–101, 8.3–302, 8.3–601(c), 8.3–701(a), 8.3–702, 8.3–703(a), and 8.3–705 13
Annotated Code of Maryland 14
(2016 Replacement Volume and 2024 Supplement) 15
BY adding to 16
Article – Labor and Employment 17
Section 8.3–703.1 18
Annotated Code of Maryland 19
(2016 Replacement Volume and 2024 Supplement) 20
BY repealing and reenacting, without amendments, 21
Article – Labor and Employment 22
Section 8.3–706 23
Annotated Code of Maryland 24
(2016 Replacement Volume and 2024 Supplement) 25
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 26
That the Laws of Maryland read as follows: 27 2 HOUSE BILL 824
Article – Labor and Employment 1
8.3–101. 2
(a) In this title the following words have the meanings indicated. 3
(b) “ALTERNATIVELY QUALIFI ED INDIVIDUAL” MEANS AN EMPLOYEE OR AN 4
UNEMPLOYED INDIVIDUA L WHO: 5
(1) HAS EARNED AT LEAST $7,200 IN TOTAL LIFETIME WAGES IN THE 6
STATE; 7
(2) DOES NOT MEET THE REQUIREMENTS TO BE CONSIDERED A 8
COVERED EMPLOYEE OR A SELF –EMPLOYED INDIVIDUAL WHO ELECTS TO 9
PARTICIPATE IN THE PROGRAM UNDER § 8.3–201 OF THIS TITLE; AND 10
(3) IS NOT ELIGIBLE FOR OR RECEIVING BENEFITS IN ANOTHER 11
STATE THAT ARE COMPARABLE OR EQUIVALENT TO BENEFI TS PROVIDED UNDER 12
THIS TITLE. 13
(C) “Application year” means the 12–month period beginning on the Sunday of 14
the calendar week for which benefits are approved. 15
[(c)] (D) “Benefits” means the money payable under this title to a covered 16
individual. 17
[(d)] (E) “Covered employee” means an employee who has worked at least 680 18
hours performing services under employment located in the State over the four most 19
recently completed calendar quarters for which quarterly reports have been required 20
immediately preceding the date on which leave is to begin. 21
[(e)] (F) “Covered individual” means: 22
(1) a covered employee [or]; 23
(2) a self–employed individual who elects to participate in the Program 24
under § 8.3–201 of this title; OR 25
(3) AN ALTERNATIVELY QUAL IFIED INDIVIDUAL. 26
[(f)] (G) “Department” means the Maryland Department of Labor. 27
[(g)] (H) “Deployment” means a service member acting under official orders who, 28
on any day, is performing service in a training exercise or operation at a location or under 29 HOUSE BILL 824 3
circumstances that make it impossible or infeasible for the service member to spend 1
off–duty time in the housing in which the service member resides when on garrison duty 2
at the service member’s permanent duty station or homeport. 3
[(h)] (I) (1) “Employer” means a person or governmental entity that employs 4
at least one individual in the State. 5
(2) “Employer” does not include an individual who: 6
(i) is the sole owner of a sole proprietorship, limited liability 7
company, C corporation, or S corporation; and 8
(ii) is the only individual employed by the sole proprietorship, 9
limited liability company, C corporation, or S corporation. 10
[(i)] (J) “Family member” means: 11
(1) a biological child, an adopted child, a foster child, or a stepchild of the 12
covered individual; 13
(2) a child for whom the covered individual has legal or physical custody or 14
guardianship; 15
(3) a child for whom the covered individual stands in loco parentis, 16
regardless of the child’s age; 17
(4) a biological parent, an adoptive parent, a foster parent, or a stepparent 18
of the covered individual or of the covered individual’s spouse; 19
(5) the legal guardian of the covered individual or the ward of the covered 20
individual or of the covered individual’s spouse; 21
(6) an individual who acted as a parent or stood in loco parentis to the 22
covered individual or the covered individual’s spouse when the covered individual or the 23
covered individual’s spouse was a minor; 24
(7) the spouse of the covered individual; 25
(8) a domestic partner of the covered individual; 26
(9) a biological grandparent, an adopted grandparent, a foster 27
grandparent, or a stepgrandparent of the covered individual; 28
(10) a biological grandchild, an adopted grandchild, a foster grandchild, or a 29
stepgrandchild of the covered individual; or 30
4 HOUSE BILL 824
(11) a biological sibling, an adopted sibling, a foster sibling, or a stepsibling 1
of the covered individual. 2
[(j)] (K) “Fund” means the Family and Medical Leave Insurance Fund 3
established under § 8.3–501 of this title. 4
[(k)] (L) “Governmental entity” has the meaning stated in § 8–101 of this article. 5
[(l)] (M) “Program” means the Family and Medical Leave Insurance Program 6
established under § 8.3–301 of this title. 7
[(m)] (N) “Qualifying exigency” means any of the following reasons for which 8
leave may be needed by a family member of a service member: 9
(1) because the service member has received notice of deployment within 7 10
days before the deployment is to begin; 11
(2) to attend military events and related activities including family support 12
programs related to the active duty of the service member; 13
(3) to arrange, provide, or attend child care or school activities only when 14
the service member is on active duty call or active duty status; 15
(4) to make financial and legal arrangements for the service member’s 16
absence or because of the absence; 17
(5) to attend counseling that: 18
(i) is needed due to the active duty or call to active duty status of 19
the service member; and 20
(ii) is provided by an individual who is not a licensed health care 21
provider; 22
(6) to spend up to 15 calendar days with a service member who is on 23
short–term temporary rest and recuperation leave during the period of deployment; 24
(7) to attend postdeployment activities including reintegration services for 25
a period of 90 days immediately following the termination of active status; 26
(8) to attend to matters related to the death of the service member while 27
on active duty status; 28
(9) to arrange for or provide alternative care for a parent of the service 29
member when the parent is incapable of self–care and the covered active duty or call to 30
active duty necessitates a change; or 31
HOUSE BILL 824 5
(10) because of any other issues that arise out of active duty or a call to 1
active duty that an employer and covered employee agree should be covered. 2
[(n)] (O) “Secretary” means the Secretary of Labor. 3
[(o)] (P) (1) “Serious health condition” means an illness, an injury, an 4
impairment, or a physical or mental condition that involves: 5
(i) inpatient care in a hospital, hospice, or residential health care 6
facility; 7
(ii) continued treatment by a licensed health care provider; or 8
(iii) continued treatment or supervision at home by a licensed health 9
care provider or other competent individual under the supervision of a licensed health care 10
provider. 11
(2) “Serious health condition” includes an illness, an injury, an 12
impairment, or a physical or mental condition described in paragraph (1) of this subsection 13
that continues over an extended period of time and requires intermittent treatment. 14
[(p)] (Q) “Service member” means an individual who is an active duty or former 15
member of: 16
(1) the United States armed forces; 17
(2) a reserve component of the United States armed forces; or 18
(3) the National Guard of any state. 19
[(q)] (R) “Treatment” includes: 20
(1) examinations or testing to determine the extent to which a serious 21
health condition exists or persists; 22
(2) ongoing or periodic evaluations of the serious health condition; and 23
(3) actual treatment by a health care provider. 24
[(r)] (S) “Wages” means all compensation that is due for employment that is: 25
(1) for an employee, wages as defined in § 8–101 of this article; or 26
(2) for a self–employed individual: 27
(i) self–employment income, as defined in 26 U.S.C. § 1402(b); or 28
6 HOUSE BILL 824
(ii) wages, as defined in § 8–101 of this article, earned from a C 1
corporation or an S corporation if the income, pay, or leave is paid to the owner who is the 2
sole employee of a C corporation or an S corporation. 3
8.3–302. 4
The purpose of the Program is to provide temporary benefits to: 5
(1) a covered individual DESCRIBED UNDE R § 8.3–101(F)(1) OR (2) OF 6
THIS TITLE who is taking leave from employment: 7
[(1)] (i) 1. to care for or bond with a child of the covered individual 8
during the first year after the child’s birth; or 9
[(ii)] 2. during the process through which a child is being placed 10
with the covered individual through foster care, kinship care, or adoption and to care for 11
and bond with the child during the first year after the placement; 12
[(2)] (II) to care for a family member with a serious health condition; 13
[(3)] (III) because the covered individual has a serious health condition 14
that results in the covered individual being unable to perform the functions of the covered 15
individual’s position; 16
[(4)] (IV) to care for a service member for whom the covered individual is 17
next of kin; or 18
[(5)] (V) because the covered individual has a qualifying exigency arising 19
out of the deployment of a service member who is a family member of the covered 20
individual; OR 21
(2) A COVERED INDIVIDUAL DESCRIBED UNDER § 8.3–101(F)(3) OF 22
THIS TITLE WHO IS UNEMPLOYED OR TAKING LEAVE FROM EM PLOYMENT: 23
(I) TO CARE FOR OR BOND WITH A CHILD OF THE COVERED 24
INDIVIDUAL DURING TH E FIRST YEAR AFTER T HE CHILD’S BIRTH; OR 25
(II) DURING THE PROCESS T HROUGH WHICH A CHILD IS BEING 26
PLACED WITH THE COVE RED INDIVIDUAL THROU GH FOSTER CARE , KINSHIP CARE, 27
OR ADOPTION AND THE COVERED INDIVIDU AL IS CARING FOR AND BONDI NG WITH 28
THE CHILD DURING THE FIRST YEAR AFTER THE PLACEMENT . 29
8.3–601. 30
HOUSE BILL 824 7
(c) (1) On or before November 15 each year, beginning in [2026] 2025, the 1
Secretary shall conduct a cost analysis of the Program that is focused on the cost of 2
maintaining solvency and paying benefits to covered individuals that will be used to 3
determine the appropriate total rate of contribution to the Fund. 4
(2) On or before November 15 each year, the Secretary shall report the 5
results of the cost analysis to the Senate Finance Committee, the House Economic Matters 6
Committee, and the Joint Committee on Administrative, Executive, and Legislative Review 7
in accordance with § 2–1257 of the State Government Article. 8
8.3–701. 9
(a) (1) (I) THIS PARAGRAPH DOES N OT APPLY TO A COVERE D 10
INDIVIDUAL WHO IS AN ALTERNATIVELY QUALIF IED INDIVIDUAL. 11
(II) Subject to paragraph [(2)] (3) of this subsection, beginning July 12
1, 2026, a covered individual taking leave from employment may submit a claim for 13
benefits: 14
[(i)] 1. A. to care for a newborn child of the covered individual 15
during the first year after the child’s birth; or 16
[2.] B. because a child is being placed for adoption, foster 17
care, or kinship care with the covered individual or to care for or bond with the child during 18
the first year after the placement; 19
[(ii)] 2. to care for a family member with a serious health 20
condition; 21
[(iii)] 3. to attend to a serious health condition that results in the 22
covered individual being unable to perform the functions of the covered individual’s 23
position; 24
[(iv)] 4. to care for a service member with a serious health 25
condition resulting from military service for whom the covered individual is next of kin; or 26
[(v)] 5. to attend to a qualifying exigency arising out of the 27
deployment of a service member who is a family member of the covered individual. 28
(2) BEGINNING JULY 1, 2027, A COVERED INDIVIDUAL WHO IS AN 29
ALTERNATIVELY QUALIFI ED INDIVIDUAL MAY SUBMIT A CLAIM F OR BENEFITS: 30
(I) TO CARE FOR A NEWBOR N CHILD OF THE COVER ED 31
INDIVIDUAL DURING TH E FIRST YEAR AFTER T HE CHILD’S BIRTH; OR 32
8 HOUSE BILL 824
(II) BECAUSE A CHILD IS B EING PLACED FOR ADOP TION, 1
FOSTER CARE, OR KINSHIP CARE WITH THE COVERED INDIVIDU AL OR TO CARE FOR 2
OR BOND WITH THE CHI LD DURING THE FIRST YEAR AFTER THE PLACE MENT. 3
(3) (i) Except as provided under subparagraph (ii) of this paragraph, if 4
the need to use leave is foreseeable, an employer may require a covered employee taking 5
leave under this title to provide the employer with written notice of the covered employee’s 6
intention to take leave at least 30 days before commencing the leave. 7
(ii) If the need to use leave is not foreseeable, the covered employee 8
shall: 9
1. provide notice to the employer as soon as practicable; and 10
2. generally comply with the employer’s notice or procedural 11
requirements for requesting or reporting other leave, if those requirements do not interfere 12
with the covered employee’s ability to use leave for which benefits may be paid under this 13
title. 14
8.3–702. 15
(a) (1) THIS SUBSECTION DOES NOT APPLY TO A COVER ED INDIVIDUAL 16
WHO IS AN ALTERNATIV ELY QUALIFIED INDIVI DUAL. 17
(2) Except as provided in paragraph [(2)] (3) of this subsection, a covered 18
individual may not receive more than 12 weeks of benefits in an application year. 19
[(2)] (3) A covered individual may receive an additional 12 weeks of 20
benefits if the covered individual during the same application year: 21
(i) 1. received benefits because the covered individual was 22
eligible for benefits under [§ 8.3–701(a)(1)(i)] § 8.3–701(A)(1)(II)1 of this subtitle; and 23
2. becomes eligible for benefits under [§ 8.3–701(a)(1)(iii)] § 24
8.3–701(A)(1)(II)3 of this subtitle; or 25
(ii) 1. received benefits because the covered individual was 26
eligible for benefits under [§ 8.3–701(a)(1)(iii)] § 8.3–701(A)(1)(II)3 of this subtitle; and 27
2. becomes eligible for benefits under [§ 8.3–701(a)(1)(i)] § 28
8.3–701(A)(1)(II)1 of this subtitle. 29
(b) (1) A COVERED INDIVIDUAL W HO IS AN ALTERNATIVELY QUALIFI ED 30
INDIVIDUAL MAY NOT RECEIVE MORE T HAN ONE BENEFIT PAYMENT PER 31
APPLICATION YEAR. 32 HOUSE BILL 824 9
(2) A COVERED INDIVIDUAL W HO IS AN ALTERNATIVELY QUALIFI ED 1
INDIVIDUAL MAY RECEIVE ANOTHER BENEFIT PAYMENT IN A SUBSEQUENT 2
APPLICATION YEAR IF THE COVERED INDIVIDUAL HAS ACCUMULATED AN 3
ADDITIONAL $7,200 IN WAGES IN THE STATE SINCE RECEIVING A BE NEFIT PAYMENT 4
IN THE IMMEDIATELY P RECEDING APPLICATION YEAR. 5
(3) THE DEPARTMENT MAY NOT DE NY A COVERED INDIVID UAL WHO 6
IS AN ALTERNATIVELY QUALIFI ED INDIVIDUAL BENEFITS UNDER THIS TITLE ON THE 7
BASIS THAT ANOTHER C OVERED INDIVIDUAL IS ELIGIBLE FOR OR RECE IVING 8
BENEFITS UNDER THIS TITLE FOR THE SAME CHILD WITH RESPECT TO WHOM THE 9
ALTERNATIVELY QUALIF IED INDIVIDUAL WOULD RECEIVE THE BE NEFITS. 10
(4) (I) SUBJECT TO § 8.3–706 OF THIS SUBTITLE, IF THE COVERED 11
INDIVIDUAL IS AN ALT ERNATIVELY QUALIFIED INDIVIDUAL, IS EMPLOYED, AND IS 12
APPROVED FOR BENEFIT S UNDER THIS TITLE , THE EMPLOYER OF THE COVERED 13
INDIVIDUAL SHALL ALLOW THE COVERED INDIVIDUAL T O TAKE UP TO 6 WEEKS OF 14
UNPAID LEAVE FROM EMPLOYMENT FOR THE PURPOSE FOR WHICH BENEFITS WERE 15
APPROVED. 16
(II) IF AN EMPLOYER PROVID ES PAID LEAVE TO A C OVERED 17
INDIVIDUAL WHO IS AN ALTERNATIVELY QUALIF IED INDIVIDUAL, THE EMPLOYER 18
MAY REQUIRE , OR THE INDIVIDUAL MA Y ELECT, TO SUBSTITUTE THE PA ID LEAVE 19
FOR ANY PART OF OR A LL OF THE PERIOD OF LEAVE REQUIRED UNDER 20
SUBPARAGRAPH (I) OF THIS PARAGRAPH . 21
(C) If a covered individual takes leave for which the covered individual is receiving 22
benefits under this title, the leave shall run concurrently with eligible leave that may be 23
taken by the covered individual under the federal Family and Medical Leave Act. 24
[(c)] (D) The Department may count the leave taken under the federal Family 25
and Medical Leave Act against a covered individual’s maximum duration of leave for which 26
benefits are available under this title in an application year for the same purpose, if: 27
(1) an employer designates a period of leave as covered by the federal 28
Family and Medical Leave Act for a covered individual who would also qualify for benefits 29
under § 8.3–302 of this title; 30
(2) the employer informs the covered individual of the individual’s 31
eligibility for benefits under this title; and 32
(3) the employee declines to apply for benefits under this title. 33
10 HOUSE BILL 824
[(d)] (E) (1) A covered individual may not be required to use or exhaust paid 1
vacation, paid sick leave, or other paid time off under an employer policy before, or while, 2
receiving benefits under this title. 3
(2) A covered individual and an employer may agree to use paid vacation, 4
paid sick leave, or other paid time off while a covered individual is receiving benefits 5
available under this title to replace the covered individual’s wages up to 100% of the covered 6
individual’s average weekly wage during the period of leave for which benefits are received 7
under this title. 8
(3) Notwithstanding paragraph (1) of this subsection, an employer may 9
require that benefit payments under this title be made concurrently, or otherwise 10
coordinated with payments made or leave that is allowed under the terms of a separate 11
employer–provided leave policy due to parental care, family care, or military leave or under 12
a disability policy. 13
(4) This subsection may not be construed to reduce any weeks of leave for 14
which benefits may be paid under this title. 15
[(e)] (F) (1) Except as provided in paragraph (2) of this subsection, an 16
individual receiving benefits under Title 8 of this article or wage replacement benefits 17
under Title 9 of this article is not eligible to receive benefits under this title. 18
(2) An individual receiving compensation for a permanent partial disability 19
under Title 9 of this article may be eligible for benefits under this title. 20
8.3–703. 21
(a) (1) THIS SECTION DOES NOT APPLY TO A COVERED I NDIVIDUAL WHO 22
IS AN ALTERNATIVELY QUALIFI ED INDIVIDUAL. 23
(2) For the purposes of this section: 24
[(1)] (I) the covered individual’s average weekly wage shall be calculated 25
as the total wages received by the covered individual in the highest of the previous four 26
completed calendar quarters for which quarterly reports have been required, divided by 13; 27
and 28
[(2)] (II) the State average weekly wage shall be the wage calculated 29
under § 9–603 of this article. 30
8.3–703.1. 31
(A) THIS SECTION APPL IES ONLY TO A COVERED INDIVID UAL WHO IS AN 32
ALTERNATIVELY QUALIF IED INDIVIDUAL. 33
HOUSE BILL 824 11
(B) (1) THE BENEFIT AMOUNT PA YABLE TO A COVERED INDIVIDUAL 1
UNDER THIS TITLE SHA LL BE A ONE–TIME PAYMENT DURING THE APPLICATI ON 2
YEAR OF: 3
(I) FOR THE 6–MONTH PERIOD BEGINNI NG JULY 1, 2027, 4
$2,000; AND 5
(II) FOR THE 12–MONTH PERIOD BEGINNI NG JANUARY 1, 2028, 6
AND EACH SUBSEQUENT 12–MONTH PERIOD , THE AMOUNT DETERMINED AND 7
ANNOUNCED BY THE SECRETARY UNDER PARAG RAPH (2)(III) OF THIS SUBSECTION . 8
(2) (I) IN THIS PARAGRAPH , “CONSUMER PRICE INDEX” MEANS 9
THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS FOR THE 10
WASHINGTON–ARLINGTON–ALEXANDRIA, DC–VA–MD–WV METROPOLITAN AREA 11
OR A SUCCESSOR INDEX PUBLISHED BY THE FED ERAL BUREAU OF LABOR 12
STATISTICS. 13
(II) SUBJECT TO SUBSECTION (E) OF THIS SECTION , FOR THE 14
12–MONTH PERIOD BEGINNING JANUARY 1, 2028, AND EACH SUBSEQUENT 15
12–MONTH PERIOD , THE BENEFIT AMOUNT PAYABLE UNDER THIS S ECTION SHALL 16
BE INCREASED BY THE AMOUNT, ROUNDED TO THE NEARE ST CENT, THAT EQUALS 17
THE PRODUCT OF : 18
1. THE BENEFIT AMOUNT I N EFFECT FOR THE 19
IMMEDIATELY PRECEDIN G 12–MONTH PERIOD ; AND 20
2. THE ANNUAL PERCENTAG E GROWTH IN THE 21
CONSUMER PRICE INDEX FOR THE IMMEDIA TELY PRECEDING 12–MONTH PERIOD , 22
AS DETERMINED BY THE SECRETARY UNDER SUBPA RAGRAPH (III)1 OF THIS 23
PARAGRAPH . 24
(III) BEGINNING SEPTEMBER 1, 2027, AND ON EACH 25
SUBSEQUENT SEPTEMBER 1, THE SECRETARY SHALL DETER MINE AND ANNOUNCE : 26
1. THE ANNUAL PERCENTAG E GROWTH, IF ANY, IN THE 27
CONSUMER PRICE INDEX BASED ON THE MO ST RECENT 12–MONTH PERIOD FOR 28
WHICH DATA ARE AVAIL ABLE ON SEPTEMBER 1; AND 29
2. THE BENEFIT AMOUNT E FFECTIVE FOR THE 30
12–MONTH PERIOD BEGINNI NG THE IMMEDIATELY F OLLOWING JANUARY 1. 31
12 HOUSE BILL 824
(C) AN INCREASE IN THE BE NEFIT AMOUNT UNDER S UBSECTION (B)(2) OF 1
THIS SECTION APPLIES ONLY TO A CLAIM FOR BENEFITS THAT BEGINS AFTER THE 2
DATE THE INCREASE BECOMES EFFECTIVE. 3
(D) THE DEPARTMENT SHALL : 4
(1) IF THE COVERED INDIV IDUAL IS EMPLOYED , NOTIFY THE 5
EMPLOYER OF A COVERE D INDIVIDUAL WITHIN 5 BUSINESS DAYS AFTER THE 6
COVERED INDIVIDUAL F ILES A COMPLETED APP LICATION FOR BENEFIT S UNDER 7
THIS TITLE; 8
(2) NOTIFY THE COVERED I NDIVIDUAL WITHIN 5 BUSINESS DAYS 9
AFTER THE INDIVIDUAL FILES AN APPLICATION , IF THE APPLICATION I S 10
CONSIDERED TO BE INC OMPLETE UNDER § 8.3–701(B)(2) OF THIS SUBTITLE DUE TO 11
MISSING INFORMATION THAT IS NECESSARY TO COMPLETE THE CLAIM; 12
(3) APPROVE OR DENY THE CLAIM AND NOTIFY THE COVERED 13
INDIVIDUAL AND THE C OVERED INDIVIDUAL ’S EMPLOYER WITHIN 10 BUSINESS 14
DAYS AFTER THE COVER ED INDIVIDUAL FILES THE COMPLETED APPLIC ATION; AND 15
(4) MAKE THE PAYMENT OF BENEFITS TO A COVERED I NDIVIDUAL 16
WITHIN 5 BUSINESS DAYS AFTER THE COMPLETED APPLIC ATION IS APPROVED OR , 17
IF THE COVERED INDIV IDUAL IS EMPLOYED , THE LEAVE HAS STARTE D, WHICHEVER 18
IS LATER. 19
(E) (1) IN THIS SUBSECTION , “BOARD” MEANS THE BOARD OF PUBLIC 20
WORKS. 21
(2) SUBJECT TO PARA GRAPH (4) OF THIS SUBSECTION , ON OR 22
BEFORE SEPTEMBER 1 EACH YEAR, BEGINNING IN 2027, THE BOARD SHALL 23
DETERMINE WHETHER TH E SEASONALLY ADJUSTE D TOTAL EMPLOYMENT F ROM 24
THE CURRENT EMPLOYMENT STATISTICS SERIES AS REPORTED BY THE U.S. 25
BUREAU OF LABOR STATISTICS FOR THE MOST RECENT 6–MONTH PERIOD IS 26
NEGATIVE AS COMPARED WITH THE IMMEDIATELY PRECEDING 6–MONTH PERIOD . 27
(3) (I) SUBJECT TO PARAGRAPH (4) OF THIS SUBSECTION , THE 28
BOARD MAY TEMPORARILY SUSPEND AN INCREASE IN THE BENEFIT SPECI FIED 29
UNDER SUBSECTION (B)(2)(II) OF THIS SECTION IF T HE BOARD DETERMINED UNDE R 30
PARAGRAPH (2) OF THIS SUBSECTION T HAT THE SEASONALLY A DJUSTED TOTAL 31
EMPLOYMENT IS NEGATI VE. 32
(II) IF THE SEASONALLY ADJ USTED TOTAL EMPLOYME NT IS 33
NEGATIVE, THE BOARD MAY CONSIDER TH E PERFORMANCE OF STATE REVENUES IN 34 HOUSE BILL 824 13
THE IMMEDIATELY PREC EDING 6 MONTHS, AS REPORTED BY THE OFFICE OF THE 1
COMPTROLLER , IN DETERMINING WHETH ER TO TEMPORARILY SU SPEND AN 2
INCREASE TO THE BENE FIT SPECIFIED UNDER SUBSECTION (B)(2)(II) OF THIS 3
SECTION. 4
(4) IF THE BOARD TEMPORARILY SUSPENDS AN INCREASE TO THE 5
BENEFIT SPECIFIED UN DER SUBSECTION (B)(1) OF THIS SECTION: 6
(I) THE BENEFIT IN EFFEC T FOR THE PERIOD BEG INNING THE 7
FOLLOWING JANUARY 1 SHALL REMAIN THE SAM E AS THE RATE THAT W AS IN 8
EFFECT FOR THE IMMED IATELY PRECEDING 12–MONTH PERIOD; AND 9
(II) THE BOARD SHALL NOTIFY TH E SECRETARY THAT THE 10
BENEFIT INCREASE FOR THE PERIOD BEGINNING THE FOLLOWING JANUARY 1 IS 11
SUSPENDED FOR 1 YEAR. 12
(F) THE DEPARTMENT SHALL NOTI FY EACH EMPLOYER OF THE INCREASE 13
TO THE BENEFIT SPECI FIED UNDER SUBSECTION (B)(2)(II) OF THIS SECTION. 14
8.3–705. 15
(a) (1) An employer authorized by the Secretary may satisfy the requirements 16
of this title through a private employer plan consisting of employer–provided benefits or 17
insurance through an insurer that holds a certificate of authority issued by the Maryland 18
Insurance Commissioner if the private employer plan is provided to all of the employer’s 19
eligible employees and meets or exceeds the rights, protections, and benefits provided to a 20
covered employee under this title. 21
(2) (i) To determine the benefit amount under a private employer plan, 22
the weekly benefit amount shall be based on the average weekly wage earned from the 23
employer sponsoring the private employer plan. 24
(ii) Notwithstanding subparagraph (i) of this paragraph, if an 25
individual has worked less than 680 hours for the employer sponsoring the private 26
employer plan, the weekly benefit amount shall be based on the average weekly wage under 27
§ 8.3–703(a) of this subtitle. 28
(iii) This subsection may not be construed to prevent a private 29
employer plan from providing a benefit that is greater than that provided in § 8.3–703(a) 30
of this subtitle. 31
(b) (1) A private employer plan shall be filed with the Department for 32
approval. 33
14 HOUSE BILL 824
(2) (i) The Secretary shall establish reasonable criteria for determining 1
which employers are authorized to meet the requirements of this title through 2
employer–provided benefits. 3
(ii) The criteria established under subparagraph (i) of this 4
paragraph may include the employer’s: 5
1. number of employees; 6
2. capitalization; 7
3. bondedness; and 8
4. status as a government employer. 9
(3) The Department may adopt regulations that establish reasonable 10
application and application renewal fees for private employer plans under this section. 11
(4) THE SECRETARY SHALL ADOPT REGULATIONS REGARDIN G THE 12
ESTABLISHMENT OF PRI VATE EMPLOYER PLANS WITH RESPECT TO BENE FITS PAID 13
TO A COVERED INDIVID UAL WHO IS AN ALTERNATIVELY QUALIF IED INDIVIDUAL. 14
(c) An employer that provides covered employees with a private employer plan 15
and an employee that is covered by a private employer plan are exempt from the 16
contributions required under Subtitle 6 of this title. 17
(d) An employer that provides a private employer plan may not deduct from an 18
employee more than 50% of the contribution amount set by the Department under § 19
8.3–601(b) of this title. 20
8.3–706. 21
(a) This section does not apply to an employer who is an individual with a 22
developmental disability, and who self–directs services under the Maryland Medicaid 23
Home– and Community–Based Services Waiver Program. 24
(b) Except as provided in subsection (c)(2) of this section, if a covered individual 25
receives benefits under this title or takes leave from work for which benefits may be paid 26
under this title, the employer of the covered individual shall, on the expiration of the leave, 27
restore the covered individual to an equivalent position of employment. 28
(c) An employer may: 29
(1) during a period of leave from work for which benefits may be paid under 30
this title, terminate employment of the covered individual taking the leave only for cause; 31
and 32
HOUSE BILL 824 15
(2) deny restoration of a covered individual’s position of employment under 1
subsection (b) of this section if: 2
(i) the denial is necessary to prevent substantial and grievous 3
economic injury to the operations of the employer; 4
(ii) the employer notifies the covered individual of the intent of the 5
employer to deny restoration of the covered individual’s position of employment at the time 6
the employer determines the economic injury would occur; and 7
(iii) if the leave has already begun in a case of leave from work for 8
which benefits may be paid under this title, the covered individual elects not to return to 9
employment after receiving notice of the employer’s intention to deny restoration of the 10
covered individual’s position of employment. 11
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 12
1, 2025. 13