EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LAW. [Brackets] indicate matter deleted from existing law. *sb0248* SENATE BILL 248 P1 5lr0073 (PRE–FILED) CF HB 33 By: Chair, Education, Energy, and the Environment Committee (By Request – Departmental – Service and Civic Innovation) Requested: October 7, 2024 Introduced and read first time: January 8, 2025 Assigned to: Education, Energy, and the Environment A BILL ENTITLED AN ACT concerning 1 Department of Service and Civic Innovation – Maryland Corps Program Service 2 Year Option Pathways – Revisions 3 FOR the purpose of altering the duties of the Department of Service and Civic Innovation; 4 renaming the Governor’s Volunteer Council to be the Governor’s Commission on 5 Service and Volunteerism; altering certain requirements relating to qualifications 6 for applicants and compensation for participants in the Young Adult Service Year 7 Option Pathway and the Maryland Service Year Option Pathway; altering certain 8 reporting requirements; repealing the Executive Fellows Program; and generally 9 relating to the Maryland Corps Program Service Year Option Pathways. 10 BY repealing and reenacting, with amendments, 11 Article – State Government 12 Section 21–106(b)(5) and (8), 21–204(d)(6) and (7), 21–205, 21–206, 21–209, 21–301, 13 and 21–302 14 Annotated Code of Maryland 15 (2021 Replacement Volume and 2024 Supplement) 16 BY repealing and reenacting, without amendments, 17 Article – State Government 18 Section 21–201(a) and (h) 19 Annotated Code of Maryland 20 (2021 Replacement Volume and 2024 Supplement) 21 BY repealing 22 Article – State Government 23 Section 21–306 24 Annotated Code of Maryland 25 (2021 Replacement Volume and 2024 Supplement) 26 2 SENATE BILL 248 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1 That the Laws of Maryland read as follows: 2 Article – State Government 3 21–106. 4 (b) The Department shall: 5 (5) administer: 6 (i) the Maryland Corps Program under Subtitle 2 of this title; AND 7 [(ii) the Executive Fellows Program under § 21–306 of this title; and] 8 [(iii)] (II) any other volunteer program recommended or designated 9 by the governor or otherwise established by law; 10 (8) provide staff support for the [Governor’s Volunteer Council] 11 GOVERNOR’S COMMISSION ON SERVICE AND VOLUNTEERISM . 12 21–201. 13 (a) In this subtitle the following words have the meanings indicated. 14 (h) “Program” means the Maryland Corps Program. 15 21–204. 16 (d) The Department shall adopt regulations regarding: 17 (6) stipends for corps participants, including: 18 (i) monetary payment of at least [$15 per hour or] the APPLICABLE 19 COUNTY OR State minimum wage, whichever is greater; 20 (ii) health insurance benefits and the potential for wraparound 21 services; and 22 (iii) requirements for large–scale employers to provide matching 23 funds; 24 (7) a Program completion award of $6,000 for participants that complete at 25 least 9 months of service that [may] SHALL be awarded as [follows: 26 SENATE BILL 248 3 (i) by deposit into a tax–exempt Maryland 529 account established 1 under Title 18, Subtitle 19 of the Education Article and may only be used for qualified 2 higher education expenses, as defined in § 18–1901 of the Education Article; or 3 (ii) payment of] a cash stipend; 4 21–205. 5 (a) (1) There is a Young Adult Service Year Option Pathway in the Program. 6 (2) The purpose of the Young Adult Service Year Option Pathway is to: 7 (i) provide service placements to eligible young adults as an 8 additional option to immediately pursuing postsecondary education or career and technical 9 training; 10 (ii) equip corps participants with professional development, 11 mentoring, job training, financial literacy skills, and other supports while working in 12 high–impact service placements; 13 (iii) assist in addressing the State’s greatest challenges by 14 channeling the next generation of Maryland citizens into impactful public service; and 15 (iv) strengthen a pipeline of talent into State and local governments 16 to fill present and future staffing needs. 17 (b) An individual may apply to the Department for a service placement in the YA 18 Pathway under this section if the individual [is]: 19 (1) IS a Maryland resident on the submission of application; [and] 20 (2) [within 3 years of graduation] HAS GRADUATED from high school or 21 [having] HAS obtained a similar level of education completion, including an individual who 22 has obtained a: 23 (i) [Maryland] high school diploma; 24 (ii) [Maryland] high school diploma by examination; or 25 (iii) [Maryland High School Certificate of Program Comp letion] 26 HIGH SCHOOL CERTIFIC ATE OF COMPLETION ; AND 27 (3) IS AT LEAST 18 YEARS OLD AND UNDER THE AGE OF 25 YEARS AT 28 THE START DATE OF TH E YA PATHWAY. 29 4 SENATE BILL 248 (c) (1) The Department shall set targets for participation in the YA Pathway 1 under this section, including: 2 (i) 200 corps participants in the first year of implementation; and 3 (ii) 2,000 corps participants in the fourth year of implementation. 4 (2) The Department shall prioritize for participation in the YA Pathway 5 under this section: 6 (i) individuals historically underrepresented in: 7 1. higher education enrollment or completion; or 8 2. employment: 9 A. by large–scale and community employers; 10 B. by participating organizations; or 11 C. in professions and occupations that require licensure or 12 certification; and 13 (ii) organizations that provide wraparound services to corps 14 participants. 15 (d) The Department shall develop focus areas for the YA Pathway under this 16 section for the purpose of addressing priority State and community issues, including: 17 (1) climate; 18 (2) education; and 19 (3) health. 20 (e) A corps participant who receives a service placement in the YA Pathway under 21 this section shall: 22 (1) participate in all training related to the service placement; 23 (2) work at least 30 hours per week; 24 (3) be partnered with an on–site mentor; 25 (4) perform the duties of the service placement to the satisfaction of the 26 participating organization and the Department; 27 SENATE BILL 248 5 (5) participate in Program–wide events; 1 (6) be paid [$15 per hour or] AT LEAST the APPLICABLE COUNTY OR 2 State minimum wage, whichever is greater, for mandatory work hours or mandatory 3 Program activities; and 4 (7) on completion of the Program, be notified of all available post–Program 5 opportunities, including registered apprenticeships. 6 (f) The Department shall promote and publicize the availability of opportunities 7 in the YA Pathway to: 8 (1) high schools and adult high schools in the State; 9 (2) community and nonprofit organizations; 10 (3) faith–based institutions; and 11 (4) employers that are potential service placement providers. 12 (g) (1) There is a Young Adult Service Year Option Pathway Fund. 13 (2) The purpose of the YA Pathway Fund is to: 14 (i) provide stipends to corps participants with a service placement 15 in the [YA Pathway] PROGRAM under this section; 16 (ii) pay the costs to administer and promote [the YA Pathway under] 17 the Program; and 18 (iii) assist in the creation of additional corps programs under § 19 21–207 of this subtitle. 20 (3) The Department shall administer the YA Pathway Fund. 21 (4) Except as provided in paragraph (9) of this subsection, the YA Pathway 22 Fund is a continuing, nonlapsing fund that is not subject to § 7–302 of the State Finance 23 and Procurement Article. 24 (5) (i) The State Treasurer shall hold the YA Pathway Fund separately 25 and shall invest the money in the YA Pathway Fund in the same manner as other State 26 money may be invested. 27 (ii) Any investment earnings of the YA Pathway Fund shall be 28 credited to the Fund. 29 6 SENATE BILL 248 (6) The Comptroller shall separately account for each source for the YA 1 Pathway Fund. 2 (7) The Department: 3 (i) may accept any gift or grant from any person for the YA Pathway 4 Fund; 5 (ii) shall use any gift or grant that it receives for the purposes listed 6 under paragraph (2) of this subsection; and 7 (iii) shall deposit with the State Treasurer any gift or grant that it 8 receives for the YA Pathway Fund. 9 (8) The YA Pathway Fund consists of: 10 (i) money appropriated to the YA Pathway Fund under the Program 11 in the State budget; 12 (ii) gifts or grants received by the Department for the YA Pathway 13 Fund; 14 (iii) investment earnings of the YA Pathway Fund; and 15 (iv) any other money from any other source accepted for the benefit 16 of the YA Pathway Fund. 17 (9) (i) Except as provided in subparagraph (ii) of this paragraph, any 18 unspent State appropriation of the YA Pathway Fund shall revert to the General Fund of 19 the State at the end of the fiscal year. 20 (ii) For fiscal years 2024 through 2026, any unspent portion of the 21 YA Pathway Fund may not be transferred or revert to the General Fund of the State but 22 shall remain in the YA Pathway Fund to be used for the purposes specified in this subtitle. 23 (10) Beginning with fiscal year 2024, at the end of each fiscal year, the 24 Department shall prepare an annual report of the YA Pathway Fund that includes: 25 (i) an accounting of all financial receipts and expenditures to and 26 from the YA Pathway Fund; and 27 (ii) the following information: 28 1. the total number of corps participants disaggregated by 29 demographic categories; 30 SENATE BILL 248 7 2. the total annual cost of the YA Pathway disaggregated by 1 the source of the funds; 2 3. corps participant transition after Program completion into 3 higher education, postsecondary education, full –time employment, registered 4 apprenticeships, and any other post–Program opportunity; 5 4. the number of corps participants employed by State or 6 local government agencies after completion of the Program; and 7 5. to the extent practicable, what former corps participants 8 are doing 1 year, 2 years, and 5 years after completing the Program. 9 (11) THE DEPARTMENT SHALL SUBM IT A COPY OF THE REP ORT 10 PREPARED UNDER PARAG RAPH (10) OF THIS SUBSECTION TO THE GENERAL 11 ASSEMBLY IN ACCORDANC E WITH § 2–1257 OF THIS ARTICLE. 12 [(11)] (12) The YA Pathway Fund is subject to audit by the Office of 13 Legislative Audits in accordance with § 2–1220 of this article. 14 21–206. 15 (a) (1) There is a Maryland Service Year Option Pathway in the Program. 16 (2) The purpose of the Maryland Service Year Option Pathway is to: 17 (i) equip corps participants with professional development, 18 mentoring, job training, financial literacy skills, and other supports while working in 19 high–impact service placements; 20 (ii) assist in addressing the State’s greatest challenges by 21 channeling the talents of individuals into impactful public service; and 22 (iii) strengthen a pipeline of talent into State and local governments 23 to fill present and future staffing needs. 24 (b) (1) An individual may apply to the Department for a SERVICE placement 25 in the MSY Pathway under this section if the individual is [interested in performing public 26 and community service in the State]: 27 (I) A MARYLAND RESIDENT; AND 28 (II) AT LEAST 18 YEARS OLD AT THE STA RT DATE OF THE MSY 29 PATHWAY. 30 8 SENATE BILL 248 (2) The Department shall prioritize for participation in the MSY Pathway 1 under this section individuals who are HISTORICALLY UNDERRE PRESENTED IN : 2 (i) [Maryland residents; and 3 (ii) historically underrepresented in: 4 1.] higher education enrollment or completion; or 5 [2.] (II) employment by: 6 [A.] 1. large–scale and community employers; or 7 [B.] 2. participating organizations. 8 (3) The Department shall prioritize for participation in the MSY Pathway 9 under this section organizations that provide wraparound services to corps participants. 10 (c) A corps participant who receives a service placement in the MSY Pathway 11 under this section shall: 12 (1) participate in all training related to the service placement; 13 (2) perform the duties of the service placement to the satisfaction of the 14 participating organization and the Department; 15 (3) participate in Program–wide events as determined by the Department; 16 (4) be paid [$15 per hour or] AT LEAST the APPLICABLE COUNTY OR 17 State minimum wage, whichever is greater, for mandatory work hours or mandatory 18 Program activities; and 19 (5) on completion of the Program, be notified of all available post–Program 20 opportunities, including registered apprenticeships. 21 (d) The Department shall promote and publicize the availability of the MSY 22 Pathway opportunities to: 23 (1) historically black colleges and universities, as defined in § 3–207 of the 24 State Finance and Procurement Article; 25 (2) community colleges; 26 (3) trade schools; 27 (4) faith–based institutions; 28 SENATE BILL 248 9 (5) youth who are disconnected from school or work; and 1 (6) employers and nonprofit organizations with potential service 2 placements for the MSY Pathway under this section. 3 (e) (1) There is a Maryland Service Year Option Pathway Fund. 4 (2) The purpose of the MSY Pathway Fund is to: 5 (i) provide stipends to corps participants with a service placement 6 in the [MSY Pathway] PROGRAM under this section; 7 (ii) provide Program completion awards to corps participants who 8 have completed the Program; 9 (iii) cover expenses incurred by the Department, including expenses 10 incurred to study the potential use of the Program as a workforce development tool in the 11 State; 12 (iv) cover expenses incurred to study how alumni of the Program 13 could be better positioned to meet the current and future needs of employers in the State; 14 (v) provide funding for the MSY Pathway under this section to 15 match gifts or grants received by the Department for the MSY Pathway Fund; and 16 (vi) assist in the creation of additional corps programs under § 17 21–207 of this subtitle. 18 (3) The Department shall administer the MSY Pathway Fund. 19 (4) Except as provided in paragraph (10) of this subsection, the MSY 20 Pathway Fund is a continuing, nonlapsing fund that is not subject to § 7–302 of the State 21 Finance and Procurement Article. 22 (5) (i) The State Treasurer shall hold the MSY Pathway Fund 23 separately and shall invest the money in the MSY Pathway Fund in the same manner as 24 other State money may be invested. 25 (ii) Any investment earnings of the MSY Pathway Fund shall be 26 credited to the Fund. 27 (6) The Comptroller shall separately account for each source for the MSY 28 Pathway Fund. 29 (7) The Department: 30 10 SENATE BILL 248 (i) may accept any gift or grant from any person for the MSY 1 Pathway Fund; 2 (ii) shall use any gift or grant that it receives for the reasons stated 3 under paragraph (2) of this subsection; and 4 (iii) shall deposit any gift or grant that it receives for the MSY 5 Pathway Fund with the State Treasurer. 6 (8) The MSY Pathway Fund consists of: 7 (i) money appropriated under subsection (f) of this section; 8 (ii) gifts or grants received by the Department for the MSY Pathway 9 Fund; 10 (iii) investment earnings of the MSY Pathway Fund; and 11 (iv) any other money from any other source accepted for the benefit 12 of the MSY Pathway Fund. 13 (9) The MSY Pathway Fund may be used only for the purposes described 14 in paragraph (2) of this subsection. 15 (10) (i) Except as provided in subparagraph (ii) of this paragraph, any 16 unspent State appropriation of the MSY Pathway Fund shall revert to the General Fund 17 of the State at the end of the fiscal year. 18 (ii) For fiscal years 2024 through 2026, any unspent portion of the 19 MSY Pathway Fund may not be transferred or revert to the General Fund of the State but 20 shall remain in the MSY Pathway Fund to be used for the purposes specified in this 21 subtitle. 22 (11) [(i)] Beginning with fiscal year [2024] 2026, at the end of each fiscal 23 year, the Department shall [prepare an annual report of] INCLUDE IN THE ANNUA L 24 REPORT SUBMITTED UND ER § 21–205(G) OF THIS SUBTITLE INF ORMATION ON the 25 MSY Pathway Fund that includes: 26 [1.] (I) an accounting of all financial receipts and 27 expenditures to and from the MSY Pathway Fund; and 28 [2.] (II) the following information: 29 [A.] 1. the total number of corps participants 30 disaggregated by demographic categories; 31 SENATE BILL 248 11 [B.] 2. the total annual cost of the MSY Pathway 1 disaggregated by the source of the funds; 2 [C.] 3. corps participant transition after Program 3 completion into higher education, postsecondary education, full–time employment, 4 registered apprenticeships, and any other post–Program opportunity; 5 [D.] 4. the number of corps participants employed by State 6 or local government agencies after completion of the Program; and 7 [E.] 5. to the extent practicable, what former corps 8 participants are doing 1 year, 2 years, and 5 years after completing the Program. 9 [(ii) The Department shall submit a copy of the report to the General 10 Assembly in accordance with § 2–1257 of this article.] 11 (12) The MSY Pathway Fund may be subject to an audit by the Legislative 12 Auditor. 13 (f) (1) The Governor shall include in the annual budget bill an appropriation 14 to the MSY Pathway Fund of: 15 (i) $5,000,000 for fiscal year 2024; 16 (ii) $10,000,000 for fiscal year 2025; 17 (iii) $15,000,000 for fiscal year 2026; and 18 (iv) $20,000,000 for fiscal year 2027 and each fiscal year thereafter. 19 (2) It is the intent of the General Assembly that appropriations made under 20 paragraph (1) of this subsection are in addition to any federal funding received for State 21 service or volunteer programming. 22 (3) Appropriations made under paragraph (1) of this subsection and other 23 funding received by the Department for the MSY Pathway under this section shall be used 24 to: 25 (i) provide stipends to corps participants with a service placement 26 in the [MSY Pathway] PROGRAM under this section; 27 (ii) provide Program completion awards to corps participants who 28 have completed the Program; 29 (iii) cover expenses incurred by the Department, including expenses 30 incurred in marketing and recruitment; and 31 12 SENATE BILL 248 (iv) cover programmatic expenses to expand service opportunities 1 throughout the State, including expanding the Chesapeake Conservation Corps Program, 2 as provided under §§ 8–1913 through 8–1924 of the Natural Resources Article. 3 21–209. 4 On or before December 1 each year, the Department shall report to the Governor 5 and, in accordance with § 2–1257 of this article, the General Assembly regarding: 6 (1) the number and amount of stipends awarded under the Program; 7 (2) the businesses, nonprofit organizations, or government agencies with 8 which corps participants are placed; 9 (3) the institutions, if any, that award academic credit for a corps 10 participant’s service; AND 11 (4) the number and amount of Program completion awards awarded under 12 the Program[; and 13 (5) the postsecondary educational institutions at which corps participants 14 use their Program completion awards]. 15 21–301. 16 (a) In this subtitle the following words have the meanings indicated. 17 (b) “Corps” means the Maryland Service Corps. 18 (c) [“Council” means the Governor’s Volunteer Council. 19 (d)] “Office” means the Governor’s Office on Service and Volunteerism. 20 21–302. 21 There is a Governor’s Office on Service and Volunteerism within the [Governor’s 22 Office of Community Initiatives] DEPARTMENT . 23 [21–306. 24 (a) The Executive Fellows Program is established to provide an opportunity for 25 individuals from the private sector with demonstrated leadership and managerial potential 26 to participate in State government. 27 SENATE BILL 248 13 (b) Criteria or guidelines for the recruitment, selection, and assignment of 1 executive fellows shall be developed in consultation with representatives of the business 2 community and appropriate State units. 3 (c) A committee shall be appointed by the Governor to select qualified applicants 4 to participate in the Executive Fellows Program.] 5 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 6 1, 2025. 7