Johns
Legislative Hotline
2005 SESSION OF THE
MARYLAND GENERAL ASSEMBLY
Volume 13, Number 2����������������������������������������������������������������������������������������������� January 26, 2005
Here are some of the hot issues as the 2005
Legislative Session develops:
FY 2006 Governor’s Operating Budget
BILLS
INTRODUCED
STAFF CONTACT INFORMATION
�FY 2006 Governor’s Operating Budget
Governor Ehrlich released his $25.9 billion FY 2006
Operating Budget this week that reflected a $1.7 billion, or 6.9% increase over
the FY 2005 appropriations.� While the
budget is balanced as introduced and projects an ending balance of $17 million,
the projected $319 million shortfall for FY 2006 is closed through a
combination of budget reductions ($323 million), transfers ($163 million), and
new revenues ($68 million).� The capital
budget is expected to be released next week, after the State of the State
address.
The Operating Budget increased by 6.9%, with higher
education receiving an additional $137.1 million (4.0%) and the largest single
increase in K-12 education, which grew $423.6 million (9.6%).� However, not all sectors of state government
received increases.� For example, the
Department of Human Resources received a $12.5 million or 1.4% reduction while
aid to the
While the Governor’s budget book shows an
increase of $371 million or 9.4% for the Medicaid program, the Department of
Legislative Services budget summary reflects an increase of $236.6 million or
5.9%, with an enrollment increase of 4.4% to 640,000 Marylanders.� Included in the increase is $37 million for
higher reimbursement rates for obstetrics, neurosurgery, orthopedic surgery,
and emergency medicine and $4 million for the new Medicaid “Buy-In”
program that will allow working individuals with disabilities to receive
Medicaid benefits, while remaining in the workforce.�
In addition, the Governor included an additional $2
million for the Medicaid Waiver for Older Adults, to support an enrollment
increase of 175 individuals (total enrollment 3,310).� This program allows those 50 and older who
require long-term care services to remain in a community setting.
The Cigarette Restitution Fund will have a total of
$122.7 million available for FY 2006, an increase of $4.8 million; however the
Cancer Prevention, Screening, and Treatment program suffered a $7.8 million or
28% reduction.� While the cancer public
health programs were level funded ($1.2 million for Johns Hopkins), the cancer
research grants suffered 50% in reductions for allowances totaling $1.2 million
for Johns Hopkins and $6.4 million for University of Maryland.� In addition, the budget eliminates CRF
funding in FY 2006 for the Breast and Cervical Cancer Program.� The funds that have been reduced from these
programs have been reallocated to the Medicaid program, increasing the CRF
support for Medicaid from $51.5 million to $66.8 million.
For more information please contact Jim Kaufman
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The Governor released his FY 2006 budget allowance
for higher education which totaled $1.3 billion, a 6.7% increase over FY
2005.� He provided a 5.4% increase for
the University System of Maryland, a 4.1% increase for Community Colleges and a
2.2% increase for the Sellinger Aid program.�
For Johns Hopkins, that equates to a 2.2% increase for a total of $14.9
million.
The Governor also funded other portions of the
budget that will positively impact Johns Hopkins.� He provided a $15.8 million increase in
financial aid as follows:
- $12.2 million for the Educational and
Excellence Awards program (need-based)
- $$2.6 million for Part-Time Grant
Scholarships
- $$500,000 for Graduate and Professional
Scholarships
- $$500,000 for Loan Assistance Repayment
Program to help attract nursing faculty.
Additionally, MICUA will receive $8 million for its
FY 2006 capital request for 3 projects, including the
For more information please
contact Bret Schreiber
BILLS INTRODUCED
HB0001� Public School
Construction Assistance Act of 2005
House Bill 1 creates a recordation tax that applies to transfers of
controlling interests by entities which have tangible assets of at least 80%
and are comprised of real property in Maryland that have an aggregate value of
at least $1.0 million; exempts certain transfers (e.g., mergers and
dissolutions); and requires a report be filed with the State Department of
Assessments and Taxation (SDAT) upon the transfer of a controlling interest
within 30 days of the final transfer.�
The
tax will be imposed on the consideration payable for the transfer of
controlling interest in the real property entity reduced by the amount
allocable to assets other than the real property.� Consideration includes any mortgage, deed of
trust, or other lien on the real property directly or beneficially owned by the
real property entity and any other debt or encumbrance of the real property
entity.� The entity has the burden of
establishing the consideration related to the real property and if it fails to
do so the tax is imposed on the most recent assessed value of the property.
The
bill also requires that $4.8 million in State transfer taxes be dedicated to a
special fund for school construction in fiscal 2006, as well as $9.6 million in
fiscal 2007 through fiscal 2009.
In
addition, the bill requires the counties to dedicate specified amounts of
recordation tax revenue to public school construction in fiscal 2007 through
fiscal 2009.� The money in the special
fund is intended to supplement planned spending rather than supplant it.
Effective Date:�
January 1, 2006
For more information, please contact:� Bret Schreiber
SB0138� Mercy Medical Center
The bill creates an $800,000 state debt for Mercy Medical Center to
renovate and modernize inpatient facilities located at its campus in Baltimore
City.
Effective Date:�
June 1, 2005
For more information, please contact:� Jim Kaufman
SB0147� Civista Medical
Center
The bill creates a $1.2 million state debt for Civista Medical Center
located in Charles County for the renovation and equipping of its emergency
department.
Effective Date:�
June 1, 2005
For more information, please contact:� Jim Kaufman
HB0147� Budget Financing Act
of 2005
The bill allows the State to recover the amount of Medicaid funding spent
on an individual from the surviving spouse, unless at the time of the program
recipient’s death the spouse is less than 21 years of age, blind, or
permanently disabled.� If enacted this
section is projected to save the state approximately $100,000 in FY 2006.
In
addition, the bill allows the Medicaid program to require a $8.50 co-pay,
increased from $7.50, for brand-name pharmaceuticals, producing an estimated
$200,000 savings.
Effective Date:�
June 1, 2005
For more information, please contact:� Jim Kaufman
HB0063� Labor and Employment
- Vacation Leave - Compensation
House Bill 63 impacts an employer who provides vacation leave to an
employee.� The bill requires an employer
to provide compensation, at the employee's regular rate of pay, for any unused
or accumulated vacation leave upon its expiration.
Effective Date:�
October 1, 2005
For more information, please contact:� Bret Schreiber
HB0080� Election Law - Voting
Systems - Adequate Voter
House Bill 80 requires any voting system that does not use a document
ballot to incorporate an adequate voter verification process that will allow
each voter to inspect, verify, and correct the voter's ballot choices before
the ballot is cast.� The bill also has
provisions to determine how a recount would be conducted in the case a manual
recount is needed.
Effective Date:�
October 1, 2005
For more information, please contact:� Bret Schreiber
HB0052� Maryland Association
Health Plan Act
The bill proposes to create an Association Health Plan that would allow a
professional, industry, or trade association, chamber of commerce, or
association of non-profit entities to offer a health benefit plan.
Effective Date:�
October 1, 2005
For more information, please contact:� Jim Kaufman
HB0003� Veterans Advocacy and
Education Act of 2005
House Bill 3 creates the Veterans of Afghanistan and Iraq Conflicts
Scholarship.� The bill establishes a
Commission to direct the funds that will be provided in the Governor’s
annual budget.� The benefactors of the
fund will be veterans of the Afghanistan or Iraqi conflicts or their sons or
daughters
Effective Date:�
July 1, 2005
For more information, please contact:� Bret Schreiber
HB0066� Income Tax Reform -
Revenues for Higher Education Assistance
House Bill 66 increases the Educational Excellence Awards to a minimum of
$2,000 and a maximum of $8,000 per year.�
The bill also alters the purpose of the Educational Excellence Fund to
allow the money to be used for the Educational Excellence Award Program.� The bill increases the top marginal State
income tax rate to 5.25% for individuals whose Maryland taxable income exceeds
$200,000 (single) and $250,000 (joint returns); and requires the Comptroller to
distribute the additional income tax revenue resulting from the Act to the
Educational Excellence Fund for higher education purposes.
Effective Date:�
July 1, 2005
For more information, please contact:� Bret Schreiber
HB0070� Sales and Use Tax -
Exemption - University and College Textbooks
House Bill 70 provides an exemption from the sales and use tax for the
sale of a textbook that is bought by a full-time or part-time student enrolled
at an institution of higher education.
Effective Date:�
July 1, 2005
For more information, please contact:� Bret Schreiber
HB0053� Medical Assistance
Program - Guaranteed Eligibility and Reenrollment
The bill allows an eligible individual whose family income is between 200%
and 300% of poverty to reenroll in the CHIP Premium Plan either on payment of
any monthly premiums owed or after a three month waiting period without any
requirement to pay in full outstanding premiums.
Effective Date:�
July 1, 2005
For more information, please contact:� Jim Kaufman
HB0085� Medical Loss Ratio
The bill maintains the 85% medical loss ratio, but adds language stating
that if the Secretary should adjust the rates to any MCO for failure to achieve
the 85% MLR, the MCO may appeal that decision to the Board of Review and take
any further appeal allowed by the Administrative Procedure Act.
Effective Date:�
October 1, 2005
For more information, please contact:� Jim Kaufman
SB0065� Natural Resources -
Program Open Space - Baltimore City Grants
This bill amends �5-903 of the Natural Resources Article - Program Open
Space - Funds.� As the law currently
reads, of the Program Open Space funds, "a portion" shall go to
Baltimore City in the form of grants.�
This bill changes "a portion" to "at least
$1,500,000."
Effective Date:�
October 1, 2005
For more information, please contact:� Heather Barthel
SB0089� Labor and Employment
- Minimum Wage - Increase
This bill amends �3-413 of the Labor and Employment Article - Payment of
Minimum Wage.� State law currently reads
that an employee will be paid at least the minimum wage set under the Federal
Act.� This bill amends that section so
that an employee will be paid the greater of the minimum wage set under the
Federal Act or a wage that equals a rate of $6.15 per hour.
Effective Date:�
October 1, 2005
For more information, please contact:� Heather Barthel
HB0036� Vehicle Laws - Motor
Scooters and Mopeds - Helmets and Eye-Protective Equipment for Operators and
Riders
House Bill 36
prohibits an individual from operating or from riding on a motor scooter or
moped without wearing protective headgear that meet standards set by the Motor
Vehicle Administrator.� It also prohibits
an individual from operating a motor scooter or moped unless the individual is
wearing an approved eye-protective device or the motor scooter or moped is
equipped with a windscreen.� It
authorizes the Motor Vehicle Administrator (MVA) to approve or disapprove
protective head gear and eye-protective devices required by this Act and to
adopt and enforce these regulations, and the MVA will be required to publish a
list of all approved protective headgear and eye-protective devices.� The bill prohibits failure of an individual
to wear protective headgear required by this Act as evidence of negligence or
contributory negligence, limiting liability or diminishing recovery for
damages; prohibits reference to protective headgear during a trial or civil
action that is not related to the design, manufacture, supply or repair of the
protective headgear; clarifies that this Act may not be construed to prohibit
the right to institute civil actions;�
and requires a court to order separate trials in certain civil actions
generally relating required equipment for operators and riders of motor
scooters and mopeds.
Effective Date:�
October 1, 2005
For more information, please contact:� John Safapour
HB0113� Health Care
Malpractice - Emergency Medical Care - Good Samaritan Immunity
House Bill 113 amends the Courts and Judicial Proceedings Article,
Subtitle 6 - Immunities and Prohibited Actions - Health and Public Safety.� It states that an individual is not civilly
liable for providing care in a medical facility if (1) the patient visited the
emergency department requesting examination or treatment for an emergency
medical condition, (2) the act or omission is not one of gross negligence, (3)
the type of diagnosis and treatment was not financially motivated and (4) the
ED provider was acting in full compliance.
Effective Date:�
October 1, 2005
For more information, please contact:� Heather Barthel
HB0114� Evidence - Health
Care Malpractice - Certain Statements and Conduct
The bill amends �10-920 of the Courts and Judicial Proceedings
Article.� It states that an expression or
regret or apology made by or on behalf of a provider, including if it is done
so in writing, orally, or by conduct, is inadmissible as an omission of
liability in any civil action or administrative proceeding.
Effective Date:�
October 1, 2005
For more information, please contact:� Heather Barthel
HB0115 Health Care Malpractice
Claims - Division of Lawyers' Fees - Prohibition
This bill adds a new subtitle to the Business Occupations and Professions
Article - Lawyers - Prohibited Acts; Penalties.�
It prohibits a lawyer from dividing a fee for representing a person
having a medical malpractice claim with any other lawyers who is not in the
same firm unless (1) the divided fee is in proportion to the services performed
by each lawyer, (2) the client is aware of and does not object to the participation
of all the lawyers involved and, (3) the total fee is reasonable.� The bill also subjects a lawyer that violates
the act to disciplinary sanctions.
Effective
Date:� October 1, 2005 For more information, please contact:� Heather Barthel
STAFF CONTACT INFORMATION
Please contact Government Relations if you have concerns or would like
additional information. Your input assists us greatly in evaluating and
formulating the position of Johns Hopkins on all legislation.
Legislative Session Office
410-269-0057
fax 410-269-1574
Heather
Barthel������������������� [email protected]
Mickey Geisler��������������������� [email protected]
Matt Greenwood������������������ [email protected]
Sheila Higdon��������������������� [email protected]
Jim Kaufman����������������������� [email protected]
John Safapour�������������������� [email protected]
Bret Schreiber��������������������� [email protected]
Cathy Ximenez������������������� [email protected]
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