Bill > SB439

This bill modifies the definition and reporting requirements for "high impact economic development activities" in the University System of Maryland and Morgan State University. The bill clarifies that high impact economic development activities include initiatives that create 20 or more new jobs, generate at least $1,000,000 in external research funding, establish new companies in the state, produce at least $1,000,000 in annual gross revenue, license promising new technologies, or create academic programs to address documented labor shortages. Importantly, the bill explicitly states that cost savings from reducing university employees do not count as a high impact economic development activity. The legislation requires the Board of Regents to report annually on these activities, including the amount of state or university funds used, the net benefit of each activity, and an assessment of whether each activity serves the state's best interests. Additionally, the bill subjects these activities to state procurement laws and requires the Legislative Auditor to audit expenditures and accounts related to these economic development entities. The changes will apply to both the University System of Maryland and Morgan State University, with the provisions set to take effect on July 1, 2025.

Budget and Finance

Audit and Evaluation

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0439?ys=2025RS