SB 314
Department of Legislative Services
Maryland General Assembly
2021 Session
FISCAL AND POLICY NOTE
Third Reader - Revised
Senate Bill 314 (Senators McCray and Elfreth)
Budget and Taxation Ways and Means and Appropriations
Board of Revenue Estimates and Bureau of Revenue Estimates - Organization
and Operations
This bill reorganizes the Bureau of Revenue Estimates (BRE) within the Comptroller’s
Office and alters the operations of BRE and the Board of Revenue Estimates. The bill
requires specified reports from BRE and the Department of Legislative Services (DLS).
Fiscal Summary
State Effect: General fund expenditures increase by approximately $25,000 in FY 2022
and by $5,000 annually, beginning in FY 2023 for website development and maintenance.
Reporting requirements can be handled with existing budgeted resources of DLS and the
Comptroller’s Office.
(in dollars) FY 2022 FY 2023 FY 2024 FY 2025 FY 2026
Revenues $0 $0 $0 $0 $0
GF Expenditure 25,000 5,000 5,000 5,000 5,000
Net Effect ($25,000) ($5,000) ($5,000) ($5,000) ($5,000)
Note:() = decrease; GF = general funds; FF = federal funds; SF = special funds; - = indeterminate increase; (-) = indeterminate decrease
Local Effect: None.
Small Business Effect: None.
Analysis
Bill Summary: The bill requires the Revenue Monitoring Committee and the Consensus
Revenue Monitoring and Forecasting Group to review and evaluate candidates for BRE
chief. The chief is authorized to appoint other employees in accordance with the provisions
of the State Personnel and Pensions Article, including a minimum of six analysts and
one deputy chief.
By February 1, 2023 and every four years thereafter, BRE, in collaboration with the
Consensus Revenue Monitoring and Forecasting Group, must submit a report to the
Governor and General Assembly on the strengths and weaknesses of BRE in the preceding
four years, including (1) the accuracy of BRE estimates of State revenue; (2) the impact of
the revenue volatility cap on reporting; and (3) the challenges faced by BRE in forecasting
State revenues.
By August 1, 2023, and every four years thereafter, DLS must submit a report to the
General Assembly on BRE operations, including (1) an analysis of the transparency and
usability of data and reports produced by BRE; (2) an overview of appropriations for BRE
and major expenditures; (3) an analysis of the staffing needs of BRE; and (4) issues
preventing BRE from carrying out its duties. The report must cover the operations of BRE
during the same period as the report issued by BRE.
By July 31 of each year, the board, in coordination with the BRE chief, must schedule the
board’s annual meetings for March, December, and September of that fiscal year. The
board may reschedule a meeting prior to five days before the meeting on the
recommendation of the BRE chief. A rescheduled meeting notice must be posted on the
board’s website and include a statement from the chief concerning the reason the meeting
is rescheduled.
BRE must submit the required March revenue estimates report by a date that allows the
board to meet before the passage of the annual budget bill in the first chamber of the
General Assembly to vote on the budget bill in that year. The report, along with the
December and September revenue estimates reports, must be reviewed and approved by
the Revenue Monitoring Committee before the estimates may be formally adopted by the
board.
The bill requires the Board of Revenue Estimates to develop and maintain a website that
provides (1) access to the revenue estimates, projections, and reports developed by the
board; (2) a schedule of upcoming board meetings and agendas for open meetings of the
board; (3) links to live video streaming of each open meeting of the board; (4) a complete
and unedited archived video recording of each open meeting for which live video streaming
was made available for a minimum of five years after the date of the meeting; (5) access to
reports and projections of the general fund of the State and the following special funds: the
Blueprint for Maryland’s Future Fund; the Education Trust Fund; and the Transportation
Trust Fund; (6) access to reports and projections of appropriations for, distributions from,
and funds maintained by Program Open Space; and (7) any other information the board
considers relevant.
SB 314/ Page 2
Current Law:
Bureau of Revenue Estimates
BRE serves as economic staff for the Comptroller’s Office and is also staff for the Board
of Revenue Estimates. BRE forecasts and analyzes the State and national economies;
forecasts, analyzes and monitors State revenues; and analyzes the effects of State and
federal tax legislation on the State’s revenues. BRE also provides updates and analyses of
the State’s economy, revenue performance, and revenue forecasts to the bond rating
agencies prior to every bond sale and otherwise as needed.
BRE also serves as legislative staff for the Comptroller’s Office on all tax bills as well as
other types of legislation. BRE staff prepares fiscal notes for all legislation on taxes
administered by the Comptroller’s Office and acts as a primary contact with legislative
staff on tax and revenue issues. BRE staff attends hearings on tax bills, and prepares and
gives testimony representing the Comptroller’s Office on matters of tax legislation.
BRE prepares economic and revenue data for each of the State’s bond offerings. BRE
estimates the impact of any changes to the federal Internal Revenue Code on State revenues
and reporting that impact to the Governor and the General Assembly within 60 days.
The Board of Revenue Estimates
The Board of Revenue Estimates is responsible for estimating State revenues, and consists
of three ex officio members: the Comptroller of Maryland, the State Treasurer, and the
Secretary of Budget and Management. The board reviews the findings and
recommendations of the Consensus Revenue Monitoring and Forecasting Group. The BRE
chief serves as executive secretary for the board.
State Fiscal Effect: General fund expenditures for the Comptroller’s Office increase by
approximately $25,000 in fiscal 2022 and by $5,000 annually, beginning in fiscal 2023 for
developing and maintaining the required website for the Board of Revenue Estimates.
The bill specifies that the BRE chief must appoint at least six analyst positions. Currently
there are four analysts on the BRE staff. The Comptroller’s Office advises that it has
identified and is reallocating two position identification numbers (PIN) from other
divisions of the Comptroller’s Office to BRE in order to increase the number of analysts
from four to six as required by the bill. Funding for these PINs will come from the agency’s
existing budgeted resources.
SB 314/ Page 3
 Additional Information
Prior Introductions: None.
Designated Cross File: HB 113 (Delegates Lierman and Korman) - Ways and Means and
Appropriations.
Information Source(s): Comptroller’s Office; Department of Budget and Management;
Maryland Department of Transportation; Department of Legislative Services
Fiscal Note History: First Reader - January 26, 2021
md/hlb Third Reader - March 25, 2021
Revised - Amendment(s) - March 25, 2021
Analysis by: Michael Sanelli Direct Inquiries to:
(410) 946-5510
(301) 970-5510
SB 314/ Page 4


Statutes affected:
Text - First - Board of Revenue Estimates and Bureau of Revenue Estimates - Organization and Operations: 6-101 State Finance and Procurement, 6-103 State Finance and Procurement, 6-104 State Finance and Procurement, 6-105 State Finance and Procurement, 6-106 State Finance and Procurement, 6-104 State Finance and Procurement, 3-216 State Finance and Procurement
Text - Third - Board of Revenue Estimates and Bureau of Revenue Estimates - Organization and Operations: 6-101 State Finance and Procurement, 6-103 State Finance and Procurement, 6-104 State Finance and Procurement, 6-105 State Finance and Procurement, 6-106 State Finance and Procurement, 6-104 State Finance and Procurement, 3-216 State Finance and Procurement