SB 9
Department of Legislative Services
Maryland General Assembly
2020 Session
FISCAL AND POLICY NOTE
Third Reader
Senate Bill 9 (Chair, Education, Health, and Environmental Affairs
Committee)(By Request - Departmental - Agriculture)
Education, Health, and Environmental Affairs Environment and Transportation
Agriculture - Maryland Egg Law - Revisions
This departmental bill modifies the Maryland Egg Law by (1) expanding the definition of
“shell eggs” to apply to poultry eggs in general and not just domesticated chicken eggs;
(2) expanding the Secretary of Agriculture’s enforcement authority; (3) establishing a
definition of adulterated shell eggs; (4) establishing additional registration requirements
for packers and distributors of shell eggs; and (5) requiring retailers and food service
facilities to retain shell egg invoice delivery tickets for 90 days.
Fiscal Summary
State Effect: The bill is not expected to materially affect State finances. Any additional
fee revenue collected under the Maryland Egg Law resulting from the expanded definition
of shell eggs is expected to be minimal.
Local Effect: None.
Small Business Effect: The Maryland Department of Agriculture (MDA) has determined
that this bill has minimal or no impact on small business (attached). The Department of
Legislative Services concurs that the bill is not expected to negatively impact small
businesses, but the positive impact discussed by MDA, on producers of shell eggs from
poultry other than chickens, may be meaningful.
 Analysis
Bill Summary:
Expanded Definition of “Shell Eggs”
The bill expands the applicability of the Maryland Egg Law so that it applies to “shell
eggs” of any living domesticated bird (“poultry”) and not just chickens. Under the bill,
“shell eggs” are defined as raw or treated poultry (replacing “chicken”) eggs that are still
in the shell and intended for human consumption. Shell eggs produced from poultry other
than domesticated chickens must be sold by net quantity, instead of by size or weight
classifications applicable to domesticated chicken eggs. The bill also makes other
conforming changes that allow for different standards – established partially through
regulation – to apply to shell eggs produced from poultry other than domesticated chickens
and shell eggs produced from domesticated chickens.
Expanded Enforcement Authority
The bill adds to the Secretary of Agriculture’s existing authority to enter locations where
(or from where) shell eggs are sold, offered, or exposed for sale during usual business hours
to enforce the Maryland Egg Law. The bill adds to that authority by specifying that, among
other existing specified locations, the Secretary may enter any food service facility,
production facility, or packing facility and any location where shell eggs are produced,
distributed, packed, or donated.
The bill also authorizes the Secretary to examine, test, or sample any shell egg, layer house,
pen, cooler, packing facility, washing facility, or any other place or item to determine
whether the environment of the facility where shell eggs are produced, packed, or held is
in compliance with the Maryland Egg Law.
Definition of Adulterated Shell Eggs
The bill establishes that shell eggs are adulterated if the shell eggs are (1) contaminated by
a pathogen, poisonous substance, or other deleterious substance or (2) subjected to
conditions likely to cause contamination that may render the shell eggs injurious to human
health.
Packer and Distributor Registration Requirements
The bill requires an applicant for registration as a packer or distributor to (1) be in
compliance with specified federal standards established by the U.S. Food and Drug
Administration (FDA) for the prevention of Salmonella enteritidis in shell eggs during
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production, storage, and transportation, as applicable, and (2) agree to allow the Secretary
or the Secretary’s designee to enter the applicant’s premises to determine compliance with
the Maryland Egg Law.
Retention of Invoice Delivery Ticket
The bill requires a retailer or food service facility to keep each invoice delivery ticket
received at the time of delivery of shell eggs, for 90 days.
Current Law: The Maryland Egg Law regulates shell eggs, defined as raw or treated
chicken eggs that are still in the shell and intended for human consumption. A person may
not donate, sell, advertise, offer, or in any manner represent for sale shell eggs to any person
unless the shell eggs meet standards of quality, grade, and size classification under the
Maryland Egg Law.
Among other things, the Maryland Egg Law (1) establishes standards, or requires the
Secretary of Agriculture to establish standards, for size or weight classification of
shell eggs and quality of shell eggs; (2) requires the Secretary to take specified actions if
any shell eggs are found to be adulterated or unfit for human consumption; (3) establishes
registration, reporting, and recordkeeping requirements for packers and distributors;
(4) requires a person who sells or delivers shell eggs to a distributor, retailer, or food service
facility to furnish an invoice delivery ticket that accurately details the sale of the shell eggs;
and (5) establishes enforcement authority of the Secretary and penalties for violations of
the law or implementing regulations.
Background: MDA indicates that the bill primarily will:
 allow for Maryland’s law and regulations applicable to the prevention of
Salmonella enteritidis in shell eggs to be better aligned with federal law and
regulations and best practices for protecting human health, allowing for more
efficient and effective regulation; and
 allow for producers of shell eggs from poultry other than the domesticated chicken
(quail, goose, duck, and other poultry) to register under the Maryland Egg Law,
expanding business opportunities for those producers.
Salmonella enteritidis in shell eggs is currently regulated in Maryland, at the State level,
under provisions within MDA’s animal health regulations and the Maryland Department
of Health’s (MDH) food regulations. Those provisions were adopted under emergency
circumstances of an outbreak in 1989, under MDA’s animal health regulatory authority
and MDH’s authority to regulate the distribution of any class of food that may be
contaminated by microorganisms. MDA generally has primary responsibility for
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prevention of Salmonella enteritidis under the animal health regulations, and MDH’s food
regulations ensure that shell eggs in food facilities or establishments inspected under the
MDH food regulations are in compliance with MDA’s animal health regulations.
MDA indicates that since the adoption of the emergency regulations in 1989, research has
been conducted on best practices to control Salmonella enteritidis as a public health
concern rather than as a poultry disease and those best practices are now incorporated in
FDA regulations applicable to chicken shell egg producers with 3,000 or more laying hens.
The bill will allow for (1) chicken shell egg producers with 3,000 or more laying hens to
generally be subject only to the FDA regulations for the prevention of
Salmonella enteritidis and not MDA animal health regulations and (2) MDA to establish
public health-focused regulations for the prevention of Salmonella enteritidis, in place of
the animal health regulations, that would be applicable to chicken egg producers with less
than 3,000 laying hens and producers of shell eggs from poultry other than the domesticated
chicken. The bill’s requirement that a registered packer or distributor be in compliance with
the FDA regulations will also eliminate MDA’s need to separately obtain testing
information from out-of-state egg suppliers that are subject to the FDA regulations.
Finally, MDH’s food regulations also require shell eggs to have come from a packer and/or
distributor registered under the Maryland Egg Law, in order for the shell eggs to be
considered to have come from an “approved source.” MDA indicates it has heard from
producers of shell eggs from poultry other than the domesticated chicken who would like
to be able to register under the Maryland Egg Law in order to be recognized as an approved
source by MDH, which would expand their business opportunities.
Additional Information
Prior Introductions: None.
Designated Cross File: None.
Information Source(s): Maryland Department of Agriculture; Maryland Department of
Health; University of Maryland Extension; Department of Legislative Services
Fiscal Note History: First Reader - January 13, 2020
mr/lgc Third Reader - January 31, 2020
Analysis by: Scott D. Kennedy Direct Inquiries to:
(410) 946-5510
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 (301) 970-5510
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Statutes affected:
Text - First - Agriculture - Maryland Egg Law - Revisions: 4-301 Agriculture, 4-302 Agriculture, 4-304 Agriculture, 4-307 Agriculture, 4-308 Agriculture, 4-310 Agriculture, 4-311 Agriculture, 4-311.2 Agriculture, 4-311.7 Agriculture
Text - Third - Agriculture - Maryland Egg Law - Revisions: 4-301 Agriculture, 4-302 Agriculture, 4-304 Agriculture, 4-307 Agriculture, 4-308 Agriculture, 4-310 Agriculture, 4-311 Agriculture, 4-311.2 Agriculture, 4-311.7 Agriculture