Legislative Hotline

2006 SESSION OF THE
MARYLAND GENERAL ASSEMBLY

 

 

 

Volume 14, Number 9������������������������������������������������������������������������������������������������� March 15, 2006

 

Here are some of the hot issues as the 2006 Legislative Session develops:

CAPITAL BUDGET HEARINGS IN ANNAPOLIS
BUDGET AND TAXATION COMMITTEE DECISIONS

STEM CELL RESEARCH LEGISLATION

CIGARETTE RESTITUTION FUND


BILLS INTRODUCED
STAFF CONTACT INFORMATION


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CAPITAL BUDGET HEARINGS IN ANNAPOLIS

 

The Senate Budget and Taxation Capital Budget Subcommittee heard testimony recently on Johns Hopkins’ major capital requests.�

 

On Thursday, Jim McGill, Martha Hill and Ruth Faden testified on the $3 million request to construct a new addition to the existing School of Nursing.�

 

Ed Miller and Ron Peterson testified before the Subcommittee on Friday regarding Johns Hopkins’ request for $100 million over five years to support the Cardiovascular and Critical Care Adult Tower and the Pediatric Trauma Center.�

 

On Monday, Vic Broccolino, Jay Blackman and Beth Plavner testified before the both the House and Senate committees on the $325,000 Howard County General Hospital Emergency Department Behavioral Unit Project.�

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BUDGET AND TAXATION COMMITTEE DECISIONS

 

In the first step of a multi-staged budget process, the Senate Budget and Taxation Committee approved an operating budget $188 million lower than the Governor’s proposed budget.� Significant components include:

 

  • Recommendation that the Sellinger Aid program be fully funded.� For Johns Hopkins that would amount to $21 million, a $2.1 million increase over last year’s appropriation.�
  • Cigarette Restitution Funds (CRF): $2.5 million for Cancer research and $1.2 million for public health.
  • A reduction in need-based financial aid offered through the Maryland Higher Education Commission. The Governor’s budget included $19 million in financial aid, but the committee approved a $5 million reduction.� The committee pointed to the fact that $7Million remained unspent from last year as a reason to limit the increase to $14 Million in this year’s budget.
  • $10 million cut from the Governor's allowance for Stem Cell research.� The remaining funds are contingent on the passage of House Bill 1 and/or Senate Bill 144 (each of which has passed one chamber).

 

The full Senate is scheduled to take up the budget and the cuts proposed by the Committee this week.� The House Appropriations Committee began their decision meetings on Monday.�

 

On Monday, March 13, the Senate Budget & Tax (B&T) Capital Budget Subcommittee made the following recommendations for the FY07 capital budget:�

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JHM CARDIOVASCULAR TOWER������� $17.5m��� ($10m increase over the CIP)�

JHM PEDIATRIC TRAUMA CENTER���� $15m������ ($10m increase over the CIP)�

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JHU SCHOOL OF NURSING/BERMAN BIOETHICS INSTITUTE $3m ($.333m increase over Governor’s proposed budget)�

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HOWARD COUNTY GENERAL HOSPITAL $325,000 (now in the capital budget instead of as a bond bill)�

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Although this is just the first major step in the budget process, it is a significant one. The capital budget subcommittee decisions are very influential on full committee and Senate Chamber action. The House actions will take place early next week.� Then a conference committee will make its decisions the following week.�

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STEM CELL RESEARCH LEGISLATION

 

House Bill 1

 

By a vote of 85-54, the bill passed the House in the first week of March.� The amended bill moves the stem cell program under "TEDCO" (the Technology Development Company), a quasi public agency, which was favored by the Governor as the appropriate place for the program.� The bill, which now more closely resembles the New Jersey model, provides for a commission of 15 members, comprised of Maryland researchers and ethicists nominated by the major research institutions (three nominees each from Johns Hopkins and University of Maryland) and members appointed by the Governor, the President of the Senate and the Speaker of the House to set standards for the program.� Two of the appointees from each of the major research institutions will be researchers not currently involved in stem cell research.

 

The bill specifies a process for contracting out the scientific peer review to an out-of-state contractor. The new peer review process was established to avoid conflict of interest problems for Maryland researchers.

 

The amended version opens the bill up to adult as well as embryonic stem cell research, but it incorporates language modified from California law that favors research not eligible for federal funding.� The House bill retains a requirement that the Governor include $25 million per year in his budget for each of the next five years.� The House bill has now been sent to the Senate with the 85 votes that would be required for a gubernatorial veto override.�

 

Senate Bill 144

 

An amended version of the Senate bill was reported to the Senate floor last Monday.� The bill now resembles the House bill, with two exceptions: The bill eliminates the mandated appropriation, leaving just the guidelines and a provision that the Governor “may” fund this research in the future. The amended bill eliminated the California language on� a preference for research not funded by federal money but the definition in the bill still provides that the program is for embryonic stem cell research and only limited types of adult stem cell research. The bill was the subject of a short lived filibuster on Wednesday, March 8, but passed on Thursday.

 

Although there are other inconsistencies between the two amended bills, the most significant difference is the level of funding.� The Senate amendment strikes the $25,000,000 and merely mandates an “appropriation,” thus leaving the amount up to the Governor’s discretion each year.� Because the Senate bill passed with only the minimum number of votes to close a filibuster, it is possible that the House of Delegates may end up accepting the Senate bill, although they would prefer a stronger bill.� The issue will likely be decided in the next two weeks.

 

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CIGARETTE RESTITUTION FUND

 

The General Assembly’s budget committees held hearings on the Cigarette Restitution Fund Program on February 28 and March 9.� Johns Hopkins CRF program highlights were presented by John Groopman, Jean Ford, Norma Kanarek, and Jerome Washington, a participant in the Public Health Grant.� The Governor’s budget includes $2.5 million in FY2007 for the cancer research grant, and $1.2 million for the public health grant.� The Senate has concurred with the Governor’s budget, and the House likely will as well, although final budget decisions will not be made for several more weeks.

 

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BILLS INTRODUCED

Economic Development

Environmental Health

Miscellaneous

Prescription Drugs

Public Health

 


BILLS INTRODUCED

Economic Development

SB0633� Property Tax - Exemption for Property Used as a Business Incubator

Senate Bill 633 exempts from the State and local property tax property that is used as a business incubator if the State, a county, a municipal corporation, a public institution of higher education, or an agency or instrumentality of the State, a county, a municipal corporation, or a public institution of higher education owns, controls, or leases the space that is used as a business incubator or is the primary source of funding for the business incubator.

 

Effective Date:� June 1, 2006

 

For more information, please contact:� Bret Schreiber

 



SB0739� Corporate Income Tax - Tax Credit for Location in a Higher Education-Affiliated Research Park

Senate Bill 739 provides a tax credit against the State income tax for eligible expenses of corporations that locate to a higher education-affiliated research park.� The bill requires the Department of Business and Economic Development to administer the tax credit and requires the Department to adopt regulations jointly with the Comptroller.

 

Effective Date:� July 1, 2006

 

For more information, please contact:� Bret Schreiber

 

 

[back to Bills Introduced]

 

 

Environmental Health

HB1447� Baltimore City - Nuisance Actions - Monetary Damages and Lead Paint

This bill would allow a community association in Baltimore City to seek monetary damages for abatement of a nuisance.� The bill also repeals a provision of law stating that restricts a certain law authorizing nuisance actions from being construed to grant standing for a civil action for a condition relating to lead paint.

 

Effective Date:� October 1, 2006

 

For more information, please contact:� Nicole Xander

 

 

[back to Bills Introduced]

 

 

Miscellaneous

HB1592� Labor and Employment - Adults - Mandatory Rest Period

This bill requires the Department of Labor, Licensing, and Regulation (DLLR) to adopt regulation to establish and safeguard a mandatory rest period.� These regulations may permit an employee to receive not more than a 10-minute rest period for every consecutive 4-hour work period.� An employer may not require an employee to work during any rest period mandated by an applicable regulation adopted by DLLR.

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This would not apply to minors or an employee for whom a rest period is established through the collective bargaining process.

 

Effective Date:� July 1, 2006

 

For more information, please contact:� Nicole Xander

 

 

HB1615� Construction of Electric Generating Stations - Certificate of Public Convenience and Necessity

This bill would require the Public Service Commission to take final action on an application for a certificate� of public convenience and necessity within 200 days after the application is filed with the Commission on proposed construction of a specified electric generating station.� Specifically, the bill applies to the construction of a generating station that is designed to provide electricity for a single electric customer that uses at least 1.5 billion kilowatt hours of electricity each year with a generating capacity that does not exceed 750 megawatts.

 

Effective Date:� October 1, 2006

 

For more information, please contact:� Tom Lewis

 


SB1020� Electric Companies or Electric and Gas Companies - Merger or Acquisition - General Assembly Approval Required

This bill requires prior approval of the General Assembly by legislation before an acquisition or merger may take place where one of the parties involved is an electric company, electric and gas company, or a person that owns or controls an electric company or electric and gas company in Maryland.

 

Effective Date:� June 1, 2006

 

For more information, please contact:� Nicole Xander

 

[back to Bills Introduced]

 

 

Prescription Drugs

HB1689� Prescription Drug Repository Program

This bill would establish a Prescription Drug Repository Program to be regulated by the State Board of Pharmacy.� The Program would accept prescription drugs and medical supplies donated for the purpose of dispensing to needy individuals.� Prescription drugs must be in their original unopened, sealed, and tamper-evident unit dose packaging and medical supplies must be in their original unopened and sealed packaging.� The Program may accept and dispense prescription drugs packaged in single unit doses when the outside package is opened if the single unit dose package is undisturbed.

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Any person may donate prescription drugs or medical supplies to the Program only at a drop-off site designated for that purpose by the Board.� A drop-off site shall require donors to complete and sign a form releasing the drug or supplies; store the donated drugs or supplies in a secure location; and forward, at the cost of the site, all donated drugs and supplies to a central repository.� The drop-off site may not dispense, resell, or charge a fee for the prescription drugs or medical supplies.

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Requirements of a repository include:

1) inspecting all donated prescription drugs and medical supplies,

2) maintaining a separate inventory of donated drugs and supplies,

3) storing donations in a secure location,

4) maintaining separate prescription files for patients receiving the donated prescription drugs and supplies, and

5) obliterating from the labels any information specific to the patient for whom the donated prescription were originally dispensed.

 

A repository may charge a fee, not to exceed $10, for each prescription drug or medical supply dispensed, and dispense a drug or supply by mail, provided that the repository informs the patient that a delay may be entailed.� A waiting list may not be established or maintained for any drug or medical supply.

 

In order to be eligible for the Program, an individual must be a Maryland resident and considered a needy patient, as indicated by the individual's health care practitioner.� The bill prohibits individuals acting in good faith from being criminally prosecuted or held liable in tort or civil action for injury, death, or loss to person or property.� Also, drug manufacturers acting in good faith may not be subject to criminal prosecution or liability in tort or other civil action for matters related to the donation, acceptance, or dispensing of a drug manufactured by the manufacturer.

 

By January 1, 2007, and in accordance with the recommendations of the Task Force on the establishment of a Prescription Drug Repository Program, the Board shall adopt regulations governing the Program.� Also, beginning January 1, 2007, a report shall be provided to the Governor and General Assembly on the operation of the Program.

 

Effective Date:� July 1, 2006

 

For more information, please contact:� Nicole Xander

 

Public Health

HB0958� Public Health - Abortion - Parental Notice

House Bill 958 will prohibit a physician from performing an abortion on an unmarried minor unless the physician gave actual notice of the pending procedure to a parent or 48 hours have elapsed since constructive notice was given.� The bill authorizes a physician to perform an abortion on a minor if the physician receives a notarized written statement from the parent stating that the parent is aware of the pending procedure, a medical emergency exists, or the requirement for parental notification is waived.

 

Effective Date:� October 1, 2006

 

For more information, please contact:� Bret Schreiber

 

 

[back to Bills Introduced]

 

Taxes/Tax Policy

HB1532� Property Tax Credit - Structures Using Qualifying Energy Conservation Devices for Electricity Generation

This legislation adds the generation of electricity to be used in a structure as one of the purposes for which a structure may use specified energy devices for purposes of qualifying for local tax credits for structures using energy conservation devices.� The Act would be applicable to all taxable years after June 30, 2006

 

Effective Date:� June 1, 2006

 

For more information, please contact:� Nicole Xander

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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
47 State Circle, Suite 203
Annapolis, MD 21401

410-269-0057
fax 410-269-1574


Heather Barthel                   [email protected]

Mickey Geisler                     [email protected]

Sheila Higdon                      [email protected]

Jessica Hendrix������������������ [email protected]

Nicole Xander��������������������� [email protected]

Bret Schreiber                     [email protected]

Tom Lewis                           [email protected]

Cathy Ximenez                    [email protected]

 

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