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SB 1016

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57th Legislature - Second Regular Session Introduced by Janae Shamp

SB 1016 would require recurring state funding to UMES of at least $5 million annually (starting FY2027) until a $321.18 million total is reached, to address past funding disparitie

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Bill Summary · SB 1016

Summary — SB 1016 (Land‑Grant Equity and Accountability Act)

Status: First Reading — Senate Rules
Introduced: January 30, 2025
Primary sponsor: Senator Ellis
Effective date (if enacted): July 1, 2025

Purpose

SB 1016 requires recurring state appropriations to the University of Maryland Eastern Shore (UMES) to address a documented historical funding disparity between UMES (the State’s 1890 land‑grant institution) and the University of Maryland, College Park (UMCP, the State’s 1862 land‑grant institution). The disparity is based on a joint letter from the U.S. Departments of Education and Agriculture (Sept. 18, 2023). The bill intends to remedy the shortfall “as soon as practicable.”

Key provisions

  • Governor must include in the annual budget bill, beginning for fiscal year (FY) 2027 and each FY thereafter, an appropriation to UMES of at least $5,000,000.
  • For any FY, the appropriation to UMES may not be less than the amount appropriated in the immediately preceding FY (a year‑to‑year floor).
  • Appropriations continue annually until a cumulative total of $321,181,312 has been appropriated to UMES.
  • Funds required under the bill are supplemental to — and may not supplant — other State budget appropriations to UMES.
  • Allowable uses: development of infrastructure and academic programs; investment in faculty; scholarships; and other institutional needs identified by UMES.
  • Findings in the bill state that if UMES had received the same level of State funding per student as UMCP from 1987–2020, UMES would have received an additional $321,181,312.

Fiscal and operational impact

  • Minimum direct State general fund cost: $5.0 million in FY 2027 (and at least $5.0 million annually thereafter until the cumulative target is met).
  • Department of Legislative Services notes that if funding is provided only at the $5.0 million minimum each year, it would take decades (the fiscal note estimates about 65 years) to reach the $321.18 million total.
  • Larger one‑time or front‑loaded appropriations would increase near‑term general fund costs substantially.
  • The bill can affect higher education funding formulas: once additional funds feed into formula calculations (projected in the fiscal note for FY 2029), community college formula allocations could increase (the fiscal note estimates roughly $1.2 million total to local community colleges in FY 2029 under one scenario).
  • Funds increase UMES revenues/expenditures; no direct small business effect identified.

Who is affected

  • Direct: University of Maryland Eastern Shore (primary beneficiary).
  • Indirect: State budget/general fund (increased mandated appropriations); other public higher education formula distributions (community colleges, and potentially parts of Sellinger/BCCC formulas) due to statutory ties to four‑year per‑student funding.
  • Also references UMCP only as the comparator for historical funding disparity.

Procedural notes

  • Bill adds §15‑140 to the Education Article of the Maryland Annotated Code.
  • Legislative intent language and the September 18, 2023 federal letter are incorporated as findings supporting the appropriation requirement.
  • The bill was introduced and read in the Senate (first reading) and referred to relevant committees (status: First Reading — Senate Rules as of the document).

Considerations

  • The mandate creates a new recurring, statutory appropriation floor and thus increases the State’s mandated obligations.
  • Law prevents supplanting existing UMES budget amounts but does not require a specific annual pacing beyond the $5 million minimum and the non‑decreasing year‑to‑year floor; pacing affects how quickly the $321.18 million total is reached.

Compiled from official sources — confirm details with the bill’s official record.

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