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.
*sb0843*
SENATE BILL 843
F5 5lr2955
SB 110/24 – B&T CF HB 736
By: Senator Hershey
Introduced and read first time: January 28, 2025
Assigned to: Budget and Taxation
Committee Report: Favorable with amendments
Senate action: Adopted with floor amendments
Read second time: March 1, 2025
CHAPTER ______
AN ACT concerning 1
School Construction – Local Cost–Share – Alterations 2
FOR the purpose of adding an adjustment to the local cost–share for school construction 3
projects for certain counties under certain circumstances; and generally relating to 4
the local cost–share for school construction projects. 5
BY repealing and reenacting, with amendments, 6
Article – Education 7
Section 5–303(k) 8
Annotated Code of Maryland 9
(2022 Replacement Volume and 2024 Supplement) 10
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 11
That the Laws of Maryland read as follows: 12
Article – Education 13
5–303. 14
(k) (1) (I) A county is eligible for an adjustment to the local cost–share for 15
school construction projects under [paragraph (2)] SUBPARAGRAPH (II) of this 16
[subsection] PARAGRAPH if: 17
[(i)] 1. A county’s median household income is in the bottom 18
quartile in the State; and 19 2 SENATE BILL 843
[(ii)] 2. The State and local cost–share formula for the county is 1
50% State and 50% local. 2
[(2) (i)] (II) 1. The local cost–share of a school construction project 3
in a county that is eligible under [paragraph (1)] SUBPARAGRAPH (I) of this [subsection] 4
PARAGRAPH shall be reduced to equal the local cost–share of the adjacent county that is 5
less than 50% but closest to 50%. 6
[(ii)] 2. The State cost–share of a school construction project in the 7
eligible county shall be increased by a percentage that is equal to the reduction under 8
[subparagraph (i) of this paragraph] SUBSUBPARAGRAPH 1 OF THIS SUBPARAGRAPH . 9
(2) (I) A COUNTY IS ELIGIBLE F OR AN ADJUSTMENT TO THE LOCAL 10
COST–SHARE FOR AN ELIGIBL E SCHOOL CONSTRUCTIO N PROJECT IN THE COU NTY 11
UNDER SUBPARAGRAPH (II) OF THIS PARAGRAPH IF : 12
1. THE PERCENTAGE OF STU DENTS IN THE COUNTY 13
ELIGIBLE FOR FREE OR REDUCED PRICE MEALS IS GREATER THAN THE STATEWIDE 14
AVERAGE OF STUDENTS ELIGIBLE FOR FREE OR REDUCED PRICE MEALS ; 15
2. ALL SCHOOLS IN THE CO UNTY PARTICIPATE IN THE 16
U.S. DEPARTMENT OF AGRICULTURE COMMUNITY ELIGIBILITY PROVISIO N; 17
3. THE STATE AND LOCAL COST –SHARE FORMULA FOR 18
THE COUNTY IS 50% STATE AND 50% LOCAL; AND 19
4. THE ELIGIBLE PROJECT IS A SCHOOL THAT IS THE 20
ONLY AN ELEMENTARY , MIDDLE, OR HIGH SCHOOL IN THE COUNTY; AND 21
5. THE TOTAL COST OF THE PROJECT IS EQUAL TO OR 22
LESS THAN $129,000 PER STATE–ELIGIBLE STUDENT . 23
(II) 1. THE LOCAL COST –SHARE OF A SCHOOL 24
CONSTRUCTION PROJECT IN A COUNTY THAT IS ELIGIBLE UNDER SUBPARAGRAP H 25
(I) OF THIS PARAGRAPH SH ALL BE REDUCED TO EQ UAL THE AVERAGE OF C OUNTIES 26
IN WHICH ALL SCHOOLS IN THE COUNTY PARTIC IPATE IN THE U.S. DEPARTMENT OF 27
AGRICULTURE COMMUNITY ELIGIBILITY PROVISIO N. 28
2. THE STATE COST –SHARE OF A SCHOOL 29
CONSTRUCTION PROJECT IN THE ELIGIBLE COUNTY SHALL BE INCREASED B Y A 30
PERCENTAGE THAT IS E QUAL TO THE REDUCTIO N UNDER SUBSUBPARAGR APH 1 OF 31
THIS SUBPARAGRAPH . 32
(3) A county shall receive: 33 SENATE BILL 843 3
(i) A 10 percentage point increase in the State share of a school 1
construction project if the proposed school construction project, when a local school system 2
submits a project for approval to the Interagency Commission, is at a school with a 3
concentration of poverty level, as defined in § 5–223 of this title, of 80% or greater; 4
(ii) A 5 percentage point increase in the State share of a school 5
construction project if the proposed school construction project, when a local school system 6
submits a project for approval to the Interagency Commission, is at a school with a 7
concentration of poverty level, as defined in § 5–223 of this title, of less than 80% but greater 8
than 55%; 9
(iii) A 5 percentage point increase in the State share of a school 10
construction project if the proposed school construction project is at a school that, in the 11
most recent school maintenance effectiveness assessment by the Interagency Commission, 12
received an assessment rating of: 13
1. Good; 14
2. Superior; or 15
3. Adequate and the school’s current school facility 16
assessment percent of expected useful life is at least 120%; and 17
(iv) A 5 percentage point increase in the State share of a school 18
construction project if the proposed project is to build a net–zero school. 19
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take ef fect July 20
1, 2025. It shall remain effective for a period of 3 years and, at the end of June 30, 2028, 21
this Act, with no further action required by the General Assembly, shall be abrogated and 22
of no further force and effect. 23
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
President of the Senate.
________________________________________________________________________________
Speaker of the House of Delegates.