HB 394
Department of Legislative Services
Maryland General Assembly
2021 Session
FISCAL AND POLICY NOTE
Third Reader
House Bill 394 (Delegate Smith)
Ways and Means Education, Health, and Environmental Affairs
Public Schools - Fees for Summer School Courses - Prohibition
This bill prohibits a local school system from charging a student a fee for enrollment in a
summer school course if (1) the student attends a school in the local school system;
(2) credit for the course is required for graduation from a high school in the local school
system; and (3) the student previously took the course, but did not successfully complete
or receive credit for the course. The bill takes effect July 1, 2021.
Fiscal Summary
State Effect: None. The bill is directed at local school systems.
Local Effect: Local school system revenues decrease from specified fee revenues that
would otherwise support summer school course offerings. Some combination of local or
other funding sources or redirection of existing resources to maintain services, or a
curtailment of expenditures on summer school courses, will be necessary. This bill
imposes a mandate on a unit of local government.
Small Business Effect: None.
Analysis
Current Law: The Constitution of Maryland required the General Assembly, at its
first session after the adoption of this Constitution, to by law establish throughout the State
a thorough and efficient system of free public schools and to provide by taxation, or
otherwise, for their maintenance. Maryland statute requires that there must be throughout
the State a general system of free public schools.
The promotion of students in a public school and graduation from a public high school are
in accordance with policies established by the county board and the rules and regulations
of the State Board of Education (SBE). With the advice of the State Superintendent of
Schools, SBE must establish minimum requirements for issuing certificates and diplomas
by public and private high schools.
SBE must establish high school curriculum and graduation requirements for all public
schools in accordance with law. According to State regulations, to be awarded a
high school diploma, a student must be enrolled in a Maryland public school system and
have earned a minimum of 21 credits in specified subjects. Local school systems may
establish graduation requirements beyond the minimum requirements established by the
State board.
Local Fiscal Effect: Most local school systems charge a fee for credit recovery courses,
although many provide considerably discounted fees to students from low-income families.
For example, Anne Arundel County Public Schools (AACPS) advises that it collects
approximately $286,000 in revenue for summer school; tuition is set at $300 per credit,
while low-income students (who account for over 90% of AACPS summer school
enrollees) receive a $200 reduction per course.
Though a local school system may choose to charge a higher fee to those students who may
still be required to pay under the bill (e.g., a student who did not previously take the course)
in order to remain revenue neutral, it is assumed that those school systems that currently
charge a fee prohibited by the bill will sustain a substantial loss of revenues. To maintain
current summer school course offerings, many school systems will need to find other
funding sources or redirect existing resources. However, some local school systems may
choose to curtail their summer school course offerings and/or increase summer school class
sizes in response to the decline in fee revenues. In counties where the local school system
does not charge a student fee there is no fiscal impact under the bill.
Additional Information
Prior Introductions: House Bill 1194 of 2020 passed the House and was referred to the
Senate Education, Health, and Environmental Affairs Committee, but no further action was
taken. House Bill 966 of 2019 passed the House and received a hearing in the Senate
Education, Health, and Environmental Affairs Committee, but no further action was taken.
Designated Cross File: None.
HB 394/ Page 2
Information Source(s): Baltimore City Public Schools; Anne Arundel County Public
Schools; Charles County Public Schools; Frederick County Public Schools; Montgomery
County Public Schools; Prince George’s County Public Schools; Wicomico County Public
Schools; Maryland State Department of Education; Department of Legislative Services
Fiscal Note History: First Reader - January 19, 2021
rh/rhh Third Reader - February 12, 2021
Analysis by: Scott P. Gates Direct Inquiries to:
(410) 946-5510
(301) 970-5510
HB 394/ Page 3

Statutes affected:
Text - First - Public Schools - Fees for Summer School Courses - Prohibition: 7-211 Education
Text - Third - Public Schools - Fees for Summer School Courses - Prohibition: 7-211 Education