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Maryland General Assembly Legislative Wrap Up

Maryland General Assembly Legislative Wrap Up. Oh What a Tangled Web Was Weaved. Bill Tracking. State Budget & Budget Reconciliation and Financing Act (BRFA). Education Mandates Funding.

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Maryland General Assembly Legislative Wrap Up

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  1. Maryland General Assembly Legislative Wrap Up Oh What a Tangled Web Was Weaved

  2. Bill Tracking

  3. State Budget&Budget Reconciliation and Financing Act (BRFA)

  4. Education MandatesFunding • As amended by Conference Committee and passed by both House and Senate the bill restores the per pupil foundation amount in fiscal year 2012 to $6,694. • This equates to a reduction of $55 million in State education funding for fiscal year 2012 from the previous law but increases by $35 million the original BRFA.

  5. Education mandatesmaintenance of effort • Amended the Education Article in the Conference Committee to “clarify” that no county can fund education aid below the local share of the foundation program. This was a significant policy change with no public input. • HB 869 – Education-Maintenance of Effort-Penalty (passed) delays the fiscal penalty in State funding for a local board of education due to a county’s failure to meet the maintenance of effort (MOE) requirement until the fiscal year after the county is below the MOE amount.

  6. Education MandatesNonpublic setting • Authorizes the State Department of Human Resources or Department of Juvenile Services to charge local school systems a cost of education component for a student placed by either agency in a nonpublic setting or correctional setting if the student was part of the school system’s enrollment count for that year. • The rates for nonpublic special education providers are frozen as of January 21, 2011.

  7. Employee and Teacher Pension System Changes Current Vested Employees Effective July 1, 2011 • Contribute 7% and retain 1.8% multiplier • Average final compensation remains at best three years • No change to early retirement eligibility • No change to full eligibility requirement • COLA – for the EPS and TPS, both current and future members are affected. The new COLAs 2.5%/1% apply to the benefit earned on service accrued on and after July 1, 2011. The benefit earned up to June 30, 2011 will receive the 3% COLA that is in place now. Retirees have no change to their COLAs.

  8. Employee and teacher pension system changes NEW EMPLOYEES hired on or after July 1, 2011 • Will pay 7% for a 1.5% multiplier • Will be required to work ten years to be vested • Average final compensation will be highest consecutive five years • Early retirement eligibility is at least 60 years of age (up from 55) and have 15 years of service-reduction of 0.5% for every month early before age 65 (up from 62) • Full retirement eligibility is Rule of 90 (age + service = 90), or age 65 with at least 10 years of service • COLA - Capped at 2.5% if actuarial investment return is achieved. Capped at 1% if not achieved

  9. State retirement changes • HB 1088/SB 358 – Audit Responsibilities-State Department of Education, Maryland Higher Education Commission, and State Retirement Agency (SRA) • HB 634/SB 403 SRA-Reemployment Earnings Offset-Retiree Health Care Premiums • HB 176 – State Retirement and Pension System (SRPS)-Reemployment of Retirees-Exemptions • HB 249/SB 199 – State Retirement and Pension System-Direct Mailings by Retiree Organization • HB 1312/SB 947 – SRPS-Vested Retirement Allowance-Members and Former Members

  10. HB 727/SB 799“State Retirement and Pension System - Retirees and Beneficiaries of Retirees - Annual Retirement Allowance Adjustments” • Codifies last year's solution for a negative COLA as the permanent solution going forward. If there is ever a negative COLA again, we get zero for that year, and the negative amount is carried over to apply against future positive increases. Exactly the same as was done last year for July 2010 - zero COLA with about .4% held for 2011. • The slight negative will lower the July 2011 positive COLA from approximately 1.6% to 1.2%.

  11. State Retirement Administrative Fee • The BRFA establishes a per-member fee based on State Retirement Agency's administrative costs as approved by DBM each year. So the amount can change each year based on both number of members and total administrative costs. • Beginning in fiscal year 2012, local school systems will pay the State Retirement Agency a per capita fee for all employees in the Teacher’s Pension and Teacher’s Retirement Systems of $162.77. The cost for Harford County Public Schools in fiscal year 2012 is approximately $743,432,000. • According to the BRFA the local entity (school system, community college) are required to make 4 quarterly payments (October 1, January 1, April 16, and June 1)  If the payment is not made, 4% interest is charged and eventually the funds could be deducted from the state aid.

  12. Transfer of teacher pensions to local school systems • The Department of Legislative Services (DLS) recommended a 50/50 cost sharing of teacher retirement in fiscal 2012 and redirects $124.4 million made available from the Education Jobs Funds in fiscal 2012 to this cost “to soften the impact on local share.” • Both the House and the Senate rejected the DLS recommendation.

  13. Capital Budget BillHouse Bill 71/Senate Bill 86 • As proposed by the Governor, maintains the State’s capital commitment to the Public School Construction Program at $250 million dollars. HCPS appreciates this commitment. • Aging Schools – As introduced, permanently authorizes the use of general obligation bonds or general funds $6,108,990 to support the grants to county boards of education. • The Senate increased funding for the Aging Schools Program. The conference committee adopted the Senate position and reduced the level of funding for the Aging Schools Program to $8.6 million and added language specifying the distribution to the local school boards of education. • Harford County is slated to receive $306,339

  14. House Bill 1213Sales and Use Tax-Alcoholic Beverages-Supplemental Appropriations • For fiscal year 2012, designates $47.5 million in revenue for supplemental school capital projects as decided by the Board of Public Works • Designates specific funding for the largest six counties • Groups the remaining counties into regions with specified funding levels • Harford is part of Northeast Maryland (Harford and Cecil Counties) with $1.250M available • Criteria established for eligible projects: • Benefit older school buildings; • Benefit schools with high proportions of children eligible for free and reduced price meals; • Can be completed within one year; • Eliminate or reduce the use of relocatable classrooms; • Are designated as A or B by Interagency Committee on Public School Construction and are not fully funded in the fiscal 2012 Capital Improvement Program approved by BPW; or • Reduce energy consumption or incorporate high performance 8 “green” building principles.

  15. Bills of Interest AS PASSEDstudent health and safety • House Bills 858/Senate Bill 771 – Education-Youth Athletes-Concussions require policies and regulations associated with athletes, concussions, and baseline testing. There are two major components to the bills. • The first addresses education and awareness and the second deals with students who suffer a concussion and attend school. • The second is that the bills require local boards of education to be responsible for non-school affiliated programs. • Before an individual participates in an authorized athletic activity on school property, the county board shall provide, or require that a third party provide information on concussions to parents or guardians. A youth sports program using a public school facility shall provide annually to the county board or the board’s agent a statement of intent to comply for all of its athletic activities.

  16. Education-Student Participation in High School Sports-Academic Requirements • House Bill 364 provides on or before December 31, 2011, the State Board of Education, in consultation with the local boards of education, shall report to the Senate Education, Health, and Environmental Affairs Committee and the House Committee on Ways and Means, regarding the minimum academic performance standards that students in public high schools in the State should meet in order to participate in athletic competitions sanctioned by a county board of education. The report shall include recommendations regarding the curriculum content, minimum grade point average, and grade progress that public high school students should satisfy to be eligible to participate in athletic competitions sanctioned by the county board.

  17. Student health & safety • HB 79/SB 772 – Task Force to Study the Creation of a Maryland Center for School Safety • HB 162/SB 178 – Criminal Law-Child Neglect • House Bill 674 (Chapter 137) -Education-Human Trafficking-Awareness, Training, and Distribution of Materials • HB 1013/SB 754 - MSDE-Permanent Hearing Aid Loan Bank Program-Establishment and Operation

  18. Student records and attendance • House Bill 1141 – Juvenile Law-Truancy Pilot Program-Filing of Petition • Repeals a requirement that a criminal compulsory attendance violation charge be filed and dismissed or stetted against a legal guardian before an authorized school official may file, if a child is under age 12, a truancy petition in the judicial circuits that have established Truancy Reduction Pilot Programs • Senate Bill 62 – Juvenile Records-Disclosure between Departments of Education and Juvenile Services • Authorizes the State Department of Education and the Department of Juvenile Services to share education records with each other when necessary to ensure the appropriate delivery of services.

  19. Labor and Employment • HB 202-Education-Discrimination Prohibited-Protected Classes • HB 197 – Unemployment Insurance Benefits Claims-Appeals-Finality of Order • HB 211 – Maryland Commission on Human Relations-Name Change • HB 998/SB 687 – Militia-Employment for Military Spouses-Teachers, Health Care Practitioners, and Individuals in Business Occupations and Professions • HB 1228 – Unemployment Insurance-Federal Extended Benefits for the Long-Term Unemployed

  20. Open Government • Senate Bill 740 – Access to Public Records-Electronic Documents • Expands the scope of the Maryland Public Information Act (MPIA) by including electronic records under the definition of a discoverable report or document. • HB 766/SB 644 – State Government-Transparency and Open Government • Establishes a Joint Committee on Transparency and Open Government within the General Assembly

  21. Transportation • House Bill 125 – Vehicle Laws-Accidents Involving Self-Insured Vehicles • Senate Bill 369 – Education-School Buses-Fire Safety Standards • Senate Bill 679 – Vehicle Laws-Overtaking and Passing School Vehicles-School Bus Monitoring Cameras

  22. School calendar • HB 671 – Federal Military and Overseas Voter Empowerment (MOVE) Act Compliance • This Administration bill changes the dates of the gubernatorial and presidential primary elections. The gubernatorial primary election is moved from the second Tuesday after the first Monday in September to the last Tuesday in June. The presidential primary election is moved from the second Tuesday in February to the first Tuesday in April. The bill also makes procedural changes, including altering deadlines related to candidacy and the establishment of the content and arrangement of ballots.

  23. Bills that failed passage • HB 1 – Education-Youth Athletes-Concussions • HB 26 – Education Funding Formula-Average Daily Attendance • HB 44/SB 53 – Education-Waiver from Maintenance of Effort Requirement-Process and Factors • HB 127/SB 262 – State Board of Education-Financial Literacy Examination • HB 168 – Student Health and Fitness Act • HB 186 – Education-Public School Holidays-American Indian Heritage Day • HB 198/SB 474 – Public Schools-Student Attendance-Preventing Chronic Absenteeism • HB 224 – State Board of Education-Financial Literacy Curriculum-Graduation Requirement • HB 231/SB 123 – Education-Public Charter School Facility Revolving Loan Fund • HB 232/SB 129 – Task Force to Study the Development of Wetland Teaching Projects at Secondary Schools • HB 386/SB 667 - Education - Tween/Teen Dating Violence (Kristin Marie Mitchell Law) • HB 525/SB 608 – Public School Personnel-Grounds for Suspension or Dismissal-Ineffectiveness • HB 526/SB610 – Education-Public Charter Schools-Hiring of Certificated Employees • HB 528/SB791 – Education-Open Space on Public School Property-Planting and Maintaining Gardens • HB 644/SB 492 – Education-County School Board Budgets-Transparency • HB 650 – County Boards of Education-Green Product Cleaning Supplies-Written Policies

  24. Bills That failed Passage (cont) • HB 685/SB 549 – Education-Bullying Safety Risks and Health Problems • HB 704/SB 683 – Equity in Education Funding • HB 769 – Great Preschools Tax Credit Program • HB 777 – Great Preschools Scholarship Program • HB 812/SB 617 – Public Schools-Dating Violence-Policy and Disciplinary Standards • HB 895 – Public Schools-Substitute Teachers-Qualifications, Training, and Study • HB 932/SB 315 – Building Opportunities for All Students and Teachers (BOAST) in Maryland Tax Credit • HB 945/SB 737 - Education - Foundation Program - Per-Pupil Adjustment for Salaries • HB 977 – Public Schools-Enrollment and Transfer-Parental Decision • HB 1062 – Public Schools-Meal Menus-Nutrition Information • HB 1067 – Education-Public Charter Schools-Policies and Regulations • HB 1081 – Education-Public Schools-Petitions for Intervention • HB 1352 – Local School Boards-Authority to Impose a Property Tax • SB 41 - Education - Age for Compulsory Public School Attendance - Exemptions • SB 187 - Procurement - Prevailing Wage - School Construction • SB 316 - Property Tax - Charter Counties - Education Funding • SB 519 - Vehicle Laws - School Buses - Prohibition on Permitting Sitting on Floor or Standing • SB 625 – State Payments of Public School Construction Costs-Remittance of Reimbursement to County • SB 626 - Public School Construction Funding Reform Act of 2011 • SB 776 - Parent Empowerment Act of 2011 • Education - Development and Review of Content Standards for Chess Instruction • SB 969 - Labor and Employment - Administrative Leave - Parent-Teacher Conferences

  25. Questions ??

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