HB 159
Department of Legislative Services
Maryland General Assembly
2020 Session
FISCAL AND POLICY NOTE
Third Reader
House Bill 159 (Chair, Environment and Transportation Committee)(By
Request - Departmental - State Ethics Commission)
Environment and Transportation Education, Health, and Environmental Affairs
State Ethics Commission – Determination of Public Official in an Executive Unit
– Information From Units of State Government
This departmental bill requires (1) the secretary of a principal department in the Executive
Branch; (2) the president of a public senior higher education institution; and (3) a unit of
State government to provide, in a timely manner, on request of the
State Ethics Commission (SEC), any information necessary to make a determination as to
whether an individual in an executive unit is a public official for purposes of the Maryland
Public Ethics Law.
Fiscal Summary
State Effect: None. The bill generally codifies existing practice, as discussed below.
Local Effect: None.
Small Business Effect: SEC has determined that this bill has minimal or no impact on
small business (attached). The Department of Legislative Services concurs with this
assessment.
 Analysis
Current Law:
Definitions
Public Official of an Executive Unit
“Public official,” as it applies to the Maryland Public Ethics Law, means an individual
determined to be a public official under § 5-103 of the General Provisions Article and
includes specified individuals in executive units and in the Legislative and Judicial
branches. “Executive unit” means a department, agency, commission, board, council, or
other body of State government that is (1) established by law and (2) is not in the
Legislative or Judicial Branch of State government. Generally, an individual in an
executive unit is a public official for purposes of the Maryland Public Ethics Law upon a
determination by SEC in accordance with specified criteria pertaining to the individual’s
compensation, decision-making authority, and/or advisory role to an individual with
decision-making authority.
Public Senior Higher Education Institution
“Public senior higher education institution,” as it applies to Division III of the
Education Article (“Higher Education”), means the constituent institutions of (1) the
University System of Maryland and the University of Maryland Center for Environmental
Science; (2) Morgan State University; and (3) St. Mary’s College of Maryland.
Required Determination by SEC
SEC, with advice from the Secretary of Budget and Management, is responsible for
determining whether an individual in an executive unit is a public official for purposes of
the Maryland Public Ethics Law in accordance with specified criteria, as discussed above.
The Secretary must provide advice to SEC in making such determinations (1) annually and
(2) at any other time on request of SEC.
Financial Disclosure
With specified exceptions, a public official, State official, or candidate for office as a
State official generally must file an annual financial disclosure statement with the
State Ethics Commission.
HB 159/ Page 2
The Maryland Public Ethics Law, Generally
The Maryland Public Ethics Law sets out requirements, prohibitions, and procedures that
affect officials in the Legislative, Executive, and Judicial branches of government for the
purpose of maintaining people’s trust in government and protecting against the improper
influence and the appearance of improper influence of government.
The law is generally administered by SEC, with two statutory exceptions. First, the Joint
Committee on Legislative Ethics must administer provisions related to conflicts of interest
as they apply to members of the General Assembly. Second, the Commission on Judicial
Disabilities, or another body designated by the Court of Appeals, must administer
provisions related to conflicts of interest and financial disclosure as they apply to
State officials of the Judicial Branch.
Background/State Fiscal Effect: SEC advises that it currently relies on the voluntary
assistance of State agencies in identifying (1) positions that satisfy criteria for designation
as public officials and (2) individuals occupying designated positions for purposes of
administering financial disclosure provisions under the Maryland Public Ethics Law. SEC
advises that while most governmental units provide the assistance the commission requires,
some do not. By making such assistance mandatory, the bill is intended to enhance the
financial disclosure process.
To the extent that State agencies do not currently provide SEC with requested information
in a consistent and timely manner, the bill’s requirements may minimally impact
administrative activities. Any such impact, however, does not materially affect State
agencies.
Additional Information
Prior Introductions: None.
Designated Cross File: None.
Information Source(s): Judiciary (Administrative Office of the Courts); Baltimore City
Community College; University System of Maryland; St. Mary’s College of Maryland;
Department of Budget and Management; Maryland Department of the Environment;
Maryland Department of Health; Department of Natural Resources; Department of Public
Safety and Correctional Services; Maryland Department of Transportation;
State Ethics Commission; Department of Legislative Services
HB 159/ Page 3
Fiscal Note History: First Reader - January 27, 2020
md/lgc Third Reader - March 14, 2020
Analysis by: Elizabeth J. Allison Direct Inquiries to:
(410) 946-5510
(301) 970-5510
HB 159/ Page 4
 ANALYSIS OF ECONOMIC IMPACT ON SMALL BUSINESSES
TITLE OF BILL: Public Ethics – Ethics Commission Determination of Public Official in
Executive Unit – Assistance by Units of State Government
BILL NUMBER: HB 159
PREPARED BY: State Ethics Commission
PART A. ECONOMIC IMPACT RATING
This agency estimates that the proposed bill:
_X_ WILL HAVE MINIMAL OR NO ECONOMIC IMPACT ON MARYLAND SMALL
BUSINESS
OR
WILL HAVE MEANINGFUL ECONOMIC IMPACT ON MARYLAND SMALL
BUSINESSES
PART B. ECONOMIC IMPACT ANALYSIS
The proposed legislation will have minimal economic impact on small businesses.
HB 159/ Page 5


Statutes affected:
Text - First - State Ethics Commission – Determination of Public Official in an Executive Unit – Information From Units of State Government: 5-208 General Provisions
Text - Third - State Ethics Commission – Determination of Public Official in an Executive Unit – Information From Units of State Government: 5-208 General Provisions