2009 LEGISLATIVE REPORT The 2009 legislative session of the Maryland General Assembly ended at midnight on Monday, April 13. The session began with a state-of-the state address by Governor Martin O'Malley where the Governor emphasized, among other things, his commitment to K-12 and higher education. Bowie State University student Mackenlov Dorival attended the Governor's state-of-the-state address at the state capitol in Annapolis. Ms. Dorival worked as a legislative intern in the office of Delegate Joseph Bartlett (District 4), and was one of six Bowie State University students who secured internships in the legislature during this session.
Throughout the 90-day session, President Burnim actively engaged our state elected officials in discussions about issues important to Bowie State University. We worked closely with the University System of Maryland (USM) and participated in weekly discussions as a member of USM's State Relations Council. This report is a summary of some of the actions taken by the state legislature that will have an impact on higher education and, more specifically, on Bowie State University. FISCAL YEAR 2010 BUDGETOPERATING BUDGETThe national fiscal crisis served as the backdrop for much of the debate around the Governor's Fiscal Year (FY) 2010 budget. Last year, the Board of Public Works cut $4.5 million from USM's FY 2009 budget. Further reductions to the FY 2009 budget occurred in October 2008 and in December 2008, and there was an additional reduction for the under-attainment of revenue in the Higher Education Investment Fund (HEIF). The FY 2009 budget reductions for USM totaled $76 million and the corresponding cuts to Bowie State University's FY 2009 budget totaled $ 1.2 million (plus a cut to the fund balance of about $680,000). So even before the debate on the Governor's FY 2010 budget began, the University had already absorbed a substantial reduction to our current operating budget. Those reductions resulted in the University having to institute furloughs and impose a hiring freeze, and reduce our fund balance. Bowie State University's FY 2010 operating budget hearings were held in the House and Senate on March 4 and 9 respectively. President Burnim, Provost Newson and Vice President for Administration and Finance Karl Brockenbrough appeared before the budget committees testifying in support of Governor's budget allowance for Bowie State. Copies of Bowie State's budget testimony made can be accessed by clicking here. The General Assembly approved a final FY 2010 budget for USM that includes a net reduction of $5,886,973 in current General Funds. The FY 2010 operating budget provides approximately $1.054 billion in overall General Fund support and $42.1 million in Higher Education Investment Fund (HEIF) revenue for USM. In addition, the Governor held firm to his commitment to keeping higher education affordable by providing over $16 million in funds from the American Recovery and Reinvestment Act to enable USM to maintain a tuition freeze for in-state undergraduate students for the fourth consecutive year. [1] We expect Bowie State's FY 2010 operating budget to reflect an increase of only about 1 percent. CAPITAL BUDGET Bowie State University's capital budget hearings were held on March 19 and 23. President Burnim testified at these hearings and stressed the importance of capital investments to the future growth of the University. He urged the senate and house committees to support full funding for the two projects included in the Governor's FY 2010 capital budget. You can access President Burnim's capital budget testimony by clicking here. Campus-wide Site Improvements - $3.237 million Funds will be provided to upgrade Bowie State University's electrical distribution system. The new system will provide feeder redundancy and additional capacity to support future campus expansions. Originally scheduled for funding in FY 2011, the Governor accelerated funding for this critical project so that work could begin in FY 2010. New Fine and Performing Arts Building - $34.028 million This project will begin construction on the new 62,465 net assignable square foot (NASF) Fine and Performing Arts Center. The new facility will replace facilities in the existing Martin Luther King, Jr. Center that currently houses the visual arts, communications, history, government, English, foreign language, and music and theater programs. The facility will include classrooms, class laboratories, office space, a 200-seat recital hall, a 400-seat theater, a 200-seat black box theater, and an art gallery. LEGISLATION OF INTERESTMore than 2,000 bills were introduced during the 2009 legislative session. Bowie State University monitored many of these bills and provided testimony or feedback to USM and sponsors where appropriate. Below are summaries of some bills that may be of interest to the Bowie State University community. [2] House Bill 789/Senate Bill 861: Higher Education Funding Model for Maryland Act of 2009 (failed)
These bills sought to codify the recommendations of the Commission to Develop the Maryland Model for Funding Higher Education ("Bohanan Commission"). President Burnim was among the USM presidents who, along with Chancellor Kirwan, testified in support of key components in these bills. You can access his testimony by clicking here. The legislation sought to create a framework for future funding of higher education and to ensure access and affordability. The legislation also would have codified some of the recommendations to address competitiveness and comparability at Maryland's Historically Black Institutions with an emphasis on undergraduate student success. The bills called for a coordinated effort that increased base funding, integrated services focusing on improving graduation rates, and continued important capital support. Although neither bill passed, important provisions such as the Higher Education Investment Fund (HEIF) extension and HBI support for student academic services have been included to some degree in budget language or committee narrative. Senate Bill 275/House Bill 308: Higher Education Investment Fund - Funding (failed)
These two bills represented legislative attempts to provide a permanent extension to the HEIF. Provisions to extend HEIF were also included in House Bill 789, the "Bohanan Commission" bill. Neither of these bills survived the legislative session. However, HEIF will be extended until fiscal year 2011 by virtue of language in the Budget Finance and Reconciliation Act or BRFA. The BRFA extends for one year the 6 percent distribution of the total funds generated through the corporate income tax to HEIF and 9.15 percent to the general fund rather than distributing the entire 15.15 percent to the general fund beginning in fiscal year 2011. HEIF funds may be distributed to institutions of higher education for projects that support the attainment of State goals or institutional missions. The Maryland Higher Education Commission (MHEC) will select projects to receive funding. Senate Bill 183/House Bill 85: College Textbook Competition and Affordability Act (passed)
These bills (both of which passed) require public colleges and universities to implement specific processes for the selection and adoption of textbooks such as posting the international standards book numbers (ISBNs) on the institution's website within a specified time frame. In February 2009, the USM Board of Regents approved a 10-point policy for system-wide textbook adoption. Senate Bill 230/House Bill 200: Maryland Uniform Prudent Management of Institutional Funds Act (UPMIFA) (passed)
Throughout the Legislative Session, several USM officials testified in support of the UPMIFA legislation. The bill, heard before both the House Committee on Judiciary and Senate Judicial Proceedings, provides uniform and fundamental rules for the investment of funds held by charitable institutions and the expenditure of funds donated as "endowments" to those institutions. The rules supported two general principles: 1) that assets would be invested prudently in diversified investments that sought growth as well as income, and 2) that appreciation of assets could prudently be spent for the purposes of any endowment fund held by a charitable institution. The Senate passed the bill as introduced. The House passed the bill with numerous amendments modified in a way that makes the bill workable for Bowie State University and our Foundation. The new law clarifies the rights of charities to go to court, with notice to the Attorney General, to remove restrictions from the investment, management, or purpose of a fund where those restrictions have become impracticable, wasteful, unlawful or impossible to achieve. In cases where the fund is more than 20 years old and small, $50,000 or less, the governing board of the charity, with notice to the Attorney General, can remove a restriction that meets the above criteria. In these cases, the governing body must use the fund in a way that is consistent with the donor's original intent. The legislation is designated as an "emergency" measure and takes effect upon the signature of the Governor. Senate Bill 544: Historically Black Institutions - State Funding - Blount-Rawlings-Britt HBI Comparability Program (failed)
Senator Verna Jones (District 44) introduced Senate Bill 544 which would have provided special operating and capital funding to Bowie State University, Coppin State University, the University of Maryland Eastern Shore, and Morgan State University designed to make these institutions comparable to our traditionally white counterparts. Dr. Burnim testified in support of this measure, which would have provided substantial funding enhancements for the University. For the second year, the bill died in committee. You can access President Burnim's testimony is support of SB 544 by clicking here. Senate Bill 402/House Bill 900: Review of Duplicative Academic Programs (failed)
Senate Bill 402 would have required MHEC to review any determinations it made regarding unreasonable or unnecessary duplication of academic programs that were approved or implemented between July 1, 2005 and December 1, 2005, if an objection to the determination was filed by a Historically Black Institution (HBI). The bill also authorized the circuit courts to review determinations made by MHEC concerning unnecessary program duplication. USM opposed Senate Bill 402 and Chancellor Kirwan testified that the current academic program approval process has been effective in addressing the concerns of HBIs. The academic program that gave rise to this bill-the University of Baltimore/Towson University MBA program - is currently the subject of litigation in federal court Senate Bill 402 died on the senate floor, representing the third unsuccessful attempt by the sponsors to legislate this issue. House Bill 538/Senate Bill 372: Foster Care - Tuition Exemption - Expanded Eligibility (passed)
House Bill 538 expands eligibility for tuition and mandatory fee waivers for public institutions of higher education in Maryland to younger siblings of foster care recipients who have been adopted by the same family. To be eligible, the foster care children must share one or both parents before the adoption and be adopted from an out-of-home placement, at the same time, by the same family. The bill also expands eligibility to foster care recipients who were adopted from an out-of-home placement after their thirteenth, rather than fourteenth, birthday. USM strongly supported this measure. Senate Bill 802/House Bill 710: Higher Education - Edward T. Conroy Memorial Scholarship Program - Alterations (passed)
The Edward T. Conroy Scholarship is administered by MHEC and provides up to $9,000 to the children and spouses of members of the U.S. military who died or suffered a service-connected disability as a result of service; POW/MIAs of the Vietnam War; victims of the September 11, 2001 terrorist attacks; and State or local public safety employees or volunteers who died or suffered 100 percent disability in the line of duty. As originally drafted, House Bill 710, would have repealed the Conroy Scholarship and replaced it with a tuition waiver program. The proposed change was driven by the fact that eligible students were being placed on a waiting list until MHEC had the funds to make an award. SB 802, as drafted, would have had a significant fiscal impact on USM institutions with an estimated $566,514 in lost tuition revenue. USM supported amendments to retain the scholarship program but decentralize the determination of eligibility. MHEC will continue to publicize the program, but students must contact the financial office at the institution they plan to attend and the institution will determine a student's eligibility. MHEC will allocate funds contingent on verification of a student's eligibility. If funds cannot be allocated immediately by MHEC to the student, institutions will be reimbursed as funds become available. Eligible students will be able to enroll without delay or deferment. House Bill 1526: Workforce Development - Maryland Workforce Corporation (passed)
House Bill 1526 establishes the Maryland Workforce Corporation to coordinate with State agencies to develop an overarching framework for the State's workforce development efforts. The University System of Maryland testified in strong support of HB 1526 and worked with the sponsors to amend the bill naming Chancellor Kirwan to the Corporation's board. The new Corporation will work with State agencies to develop a plan and framework for innovative, demand-driven workforce development and training programs. Senate Bill 728: Higher Education - System and Funding (failed)
Senate Bill 728 proposed a constitutional amendment requiring the State to maintain a system of higher education that is broadly accessible to the people and dedicated to excellence. The proposed amendment requires the State to fund public institutions of higher education in an amount necessary to provide instruction that, in a condition of full efficiency, is as nearly free as possible to Maryland residents. The constitutional amendment would have taken effect if approved by a majority of Maryland voters at the November 2010 general election. USM testified that Senate Bill 728 was in complete alignment with the goals of the University System of Maryland and Chancellor Kirwan noted that it "takes us to the next step" to address global competitiveness and technological challenges. The bill died in committee. BUDGET COMMITTEE NARRATIVEThe House and Senate budget committees often express legislative intent concerning appropriations or request that certain actions are taken during the interim. This is usually written as "committee narrative" contained in the budget committees' final report. Committee narrative does not have force or effect of law; however, sometimes funding is conditioned upon certain actions being completed. The following "narratives" were adopted and require USM and/or Bowie State to perform certain actions: - HBI "Access and Success" funding. The House and Senate agreed that $1.5 million in operating funds for Bowie State University, Coppin State University, University of Maryland Eastern Shore and Morgan State University may not be spent until each institution and the Maryland Higher Education Commission submit a report outlining the effectiveness of student support services for undergraduates who may come to college less prepared; and that each HBI submit a report that details how the funds will be used to implement new support programs. This action is consistent with findings and recommendations by the HBI Study panel of the Bohanan Commission.
- Graduate assistants and adjunct faculty. The University System of Maryland is requested to submit a report by November 1, 2009 regarding the status of graduate assistants and adjunct faculty that includes an assessment of how the status of graduate assistants and adjunct faculty compares with graduate assistants and adjunct faculty nationally and a consideration of collective bargaining and other options to improve the status of these two groups.
- Pornographic films and material. After students at the University of Maryland, College Park attempted to show a pornographic film, the General Assembly became concerned about the use of public higher education facilities to display or screen for entertainment purposes materials and films that are defined as obscene by the U.S. Supreme Court. The University System of Maryland Board of Regents must adopt a policy on the use of public facilities for the displaying or screening of such pornographic films and material and submit the policy to the General Assembly by September 1, 2009.
- Commission to Develop the Maryland Model for Funding Higher Education. As noted above, the General Assembly failed to pass legislation, which would have codified the many recommendations from the Bohanan Commission. However, in an effort to maintain some of the momentum from the Commission's comprehensive review of higher education funding, the budget committees urged the higher education community and the Governor to focus on initiatives that could be implemented without substantial new funding. For example, the budget committees urge MHEC, working collaboratively with the Historically Black Institutions, to implement those recommendations from the HBI Study Panel that can be carried out within existing resources, including developing and implementing best practices for the new Access and Success program for HBIs; developing the institutional platform and identifying doctoral programs for targeted development; and developing capacity and outcome indicators to measure comparability and competitiveness. The budget committees also urge MHEC, the institutions of higher education, the P-20 Council, and other stakeholders to develop a definition of "college-ready" and an educational longitudinal data system (ELDS) to align and link primary secondary and higher education curricula and data. MHEC is also urged to work with the higher education community to assess the cost of meeting all facility space needs at public campuses and to assess the HBI capital priorities to ensure they are aligned with undergraduate needs and doctoral program needs as identified. The budget committees further encourage the Governor to accelerate capital projects at HBIs to ensure that facilities are available to meet identified needs, and to fulfill the capital commitments contained in the five-year Capital Improvement Program for higher education institutions.
- "Satellite" law center for Prince George's County. The budget committees requested that the University System of Maryland study the feasibility of establishing a satellite law center of the University of Baltimore in Prince George's County to ensure equitable access to legal education across the State. That report is due to the General Assembly by September 1, 2009.
[1] On April 23, the Board of Regents voted to freeze tuition for the 2009-2010 academic year. The four-year effect of the freeze on tuition is that students will pay about $1000 per year less than they would have paid if tuition had increased at a modest pace of 4.5 percent annually. [2] For information on the outcome of legislation not discussed in this report, feel free to contact Karen Johnson Shaheed, Vice President & General Counsel at kshaheed@bowiestate.edu, 301-860-3555.
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