10/1/07
Title 15. Public Ethics.
Subtitle 1.
Findings; Definitions; General Provisions.
15-101. Legislative findings; policy; liberal
construction.
(a) Legislative findings. -- (1) The
General Assembly of Maryland, recognizing that our system of representative
government is dependent upon the people maintaining the highest trust in their
government officials and employees, finds and declares that the people have a
right to be assured that the impartiality and independent judgment of those
officials and employees will be maintained.
(2) It is evident that this confidence and
trust is eroded when the conduct of the State’s business is subject to improper
influence or even the appearance of improper influence.
(b) Policy. -- For the purpose of
guarding against improper influence, the General Assembly enacts this Maryland
Public Ethics Law to require certain government officials and employees to
disclose their financial affairs and to set minimum ethical standards for the
conduct of State and local business.
(c) Liberal construction of title. --
The General Assembly intends that this title, except its provisions for
criminal sanctions, be liberally construed to accomplish this purpose.
15-102.
Definitions.
(a) In general. -- In this title the
following words have the meanings indicated unless:
(1) the context clearly requires a different
meaning; or
(2) a different definition is adopted for a
particular provision.
(b) Advisory body. -- “Advisory body”
means:
(1) a governmental unit designated by the
Court of Appeals, for the purpose of issuing advisory opinions as to questions
arising under Subtitles 5 and 6 of this title regarding a State official of the
Judicial Branch;
(2) the Joint Ethics Committee, for
questions arising under Subtitle 5 of this title regarding a State official of
the Legislative Branch; or
(3) the Ethics Commission, for all other
questions.
(c) Bicounty commission. -- “Bicounty
commission” means:
(1) the
(2) the
(3) the
(d) Board. -- “Board” means an
executive unit comprised of at least two members, all of whom:
(1) are appointed; and
(2) serve on a part-time basis.
(e) Business entity. -- “Business
entity” means a person engaged in business, whether profit or nonprofit,
regardless of form.
(f) Compensation. -- (1) “Compensation” means money or any other
valuable thing, regardless of form, received or to be received by a person from
an employer for services rendered.
(2) For purposes of Subtitle 7 of this
title, if lobbying is only a portion of a person’s employment, “compensation”
means a prorated amount that is based on the time devoted by the person to lobbying
compared to the time devoted to other employment duties.
(g) Employee. -- (1) “Employee” means an individual who is
employed:
(i) by an executive unit;
(ii) by the Legislative Branch; or
(iii) in the Judicial Branch.
(2) “Employee” does not include:
(i) a public official; or
(ii) a State official.
(h) Employer. -- “Employer” means an
entity that pays or agrees to pay compensation to another entity for services
rendered.
(i) Entity. -- “Entity” means:
(1) a person; or
(2) a government or instrumentality of
government.
(j) Entity doing business with the
State. -- “Entity doing business with the State” means:
(1) a regulated lobbyist;
(2) an entity regulated by the executive
unit of the applicable official or employee; or
(3) an entity that is a party to one or a
combination of sales, purchases, leases, or contracts to, from, or with the
State, or any unit of the State, involving consideration:
(i) of at least $5,000 on a cumulative
basis during the calendar year for which a statement required by Subtitle 6 of
this title is filed, regardless of when the consideration is to be paid; and
(ii) which shall include, as of the award or
execution of a contract or lease, the total consideration committed to be paid
under the contract or lease, to the extent ascertainable when awarded or
executed, regardless of the period over which payments are to be made.
(k) Ethics Commission. -- “Ethics
Commission” means the State Ethics Commission.
(l) Executive action. -- “Executive
action” means an act for which the Executive Branch of State government is
responsible and that is taken by an official or employee of that branch.
(m) Executive unit. -- (1) “Executive unit” means a department, agency,
commission, board, council, or other body of State government that:
(i) is established by law; and
(ii) is not in the Legislative Branch or the
Judicial Branch of State government.
(2) “Executive unit” includes:
(i) a county health department unless the
officials and employees of the department are expressly designated as “local
officials” in § 15-807 of this title;
(ii) the office of the sheriff in each
county; and
(iii) the office of the State’s Attorney in
each county.
(n) Financial interest. -- “Financial
interest” means:
(1) ownership of an interest as the result
of which the owner has received within the past 3 years, is currently
receiving, or in the future is entitled to receive, more than $1,000 per year;
or
(2) (i) ownership
of more than 3% of a business entity by:
1. an official;
2. an employee; or
3. the spouse of an official or employee;
or
(ii) ownership of securities of any kind that
represent, or are convertible into, ownership of more than 3% of a business entity
by:
1. an official;
2. an employee; or
3. the spouse of an official or employee.
(o) General Assembly. -- “General
Assembly” includes a member, committee, or subcommittee of the General
Assembly.
(p) Gift. -- (1) “Gift” means the transfer of anything of
economic value, regardless of form, without adequate and lawful consideration.
(2) “Gift” does not include the
solicitation, acceptance, receipt, or regulation of a political contribution
that is regulated in accordance with:
(i) the Election Law Article; or
(ii) any other State law regulating:
1. the conduct of elections; or
2. the receipt of political contributions.
(q) Governmental unit. -- (1) “Governmental unit” means a department,
agency, commission, board, council, or other body of State government that is
established by law.
(2) “Governmental unit” includes an
executive unit.
(r) Honorarium. -- (1) “Honorarium” means the payment of money or
anything of value for:
(i) speaking to, participating in, or
attending a meeting or other function; or
(ii) writing an article that has been or is
intended to be published.
(2) “Honorarium” does not include payment
for writing a book that has been or is intended to be published.
(s) Immediate family. -- “Immediate
family” means an individual’s spouse and dependent children.
(t) Interest. -- (1) “Interest” means a legal or equitable
economic interest that is owned or held wholly or partly, jointly or severally,
or directly or indirectly, whether or not the economic interest is subject to
an encumbrance or condition.
(2) “Interest” does not include:
(i) an interest held in the capacity of
agent, custodian, fiduciary, personal representative, or trustee, unless the
holder has an equitable interest in the subject matter;
(ii) an interest in a time or demand deposit
in a financial institution;
(iii) an interest in an insurance policy,
endowment policy, or annuity contract by which an insurer promises to pay a
fixed amount of money in a lump sum or periodically for life or a specified
period; or
(iv) a common trust fund or a trust that forms
part of a pension or a profit-sharing plan that:
1. has more than 25 participants; and
2. is determined by the Internal Revenue
Service to be a qualified trust or college savings plan under the Internal
Revenue Code.
(u) Joint Ethics Committee. -- “Joint
Ethics Committee” means the Joint Committee on Legislative Ethics.
(v) Legislative action. -- (1) “Legislative action” means an official action
or nonaction relating to:
(i) a bill, resolution, amendment,
nomination, appointment, report, or other matter within the jurisdiction of the
General Assembly; or
(ii) a bill presented to the Governor for
signature or veto.
(2) “Legislative action” includes the
following actions:
(i) introduction;
(ii) sponsorship;
(iii) consideration;
(iv) debate;
(v) amendment;
(vi) passage;
(vii) defeat;
(viii) approval; or
(ix) veto.
(w) Legislative unit. -- “Legislative
unit” means:
(1) the General Assembly;
(2) either house of the General Assembly;
(3) a standing committee of the General
Assembly, provided that the presiding officer of the House of Delegates or
Senate shall be deemed an ex officio member of any standing committee of the
presiding officer’s chamber; or
(4) a county or regional delegation of
members of the General Assembly that is recognized by a presiding officer of
the General Assembly.
(x) Lobbying. -- (1) “Lobbying” means performing any act that
requires registration under § 15-701 of this title.
(2) With respect to Subtitle 8 of this
title, “lobbying” means performing acts, of a nature comparable to acts
requiring registration under Subtitle 7 of this title, before the local government
involved.
(y) Local official. -- (1) “Local official”, subject to § 15-807 of this
title, means an official, officer, or employee of a county or municipal
corporation that the governing body of the county or municipal corporation
determines is subject to Subtitle 8, Part I of this title.
(2) “Local official”, subject to § 15-807 of
this title, includes each member and employee of a board of license
commissioners that the applicable governing body determines is subject to
Subtitle 8, Part I of this title.
(z) Member of household. -- “Member
of household” means:
(1) if sharing an individual’s legal
residence, the individual’s:
(i) spouse;
(ii) child;
(iii) ward;
(iv) financially dependent parent; or
(v) other financially dependent relative; or
(2) an individual’s spouse, child, ward,
parent, or other relative, over whose financial affairs the individual has
legal or actual control.
(aa) Municipal corporation. -- “Municipal
corporation” means a municipality governed by Article XI-E of the Maryland
Constitution.
(bb) Official. -- “Official” means
either a State official or a public official.
(cc) Political contribution. -- “Political
contribution” means contributions as defined in § 1-101 of the Election Law
Article.
(dd) Principal political party. -- “Principal
political party” means the State Democratic Party or the State Republican
Party.
(ee) Procurement contract. -- “Procurement
contract” has the meaning provided in § 11-101 of the State Finance and
Procurement Article.
(ff) Public official. -- “Public
official” means an individual determined to be a public official in or pursuant
to § 15-103 of this subtitle.
(gg) Qualifying relative. -- “Qualifying
relative” means a spouse, parent, child, brother, or sister.
(hh) Regulated lobbyist. -- “Regulated
lobbyist” means an entity that is required to register with the Ethics
Commission pursuant to § 15-701(a) of this title.
(ii) Respondent. -- “Respondent” means
any of the following that is the subject of a complaint before the Ethics
Commission:
(1) an official;
(2) an employee;
(3) a candidate for office as a State
official;
(4) an entity subject to Subtitle 7 of this
title; or
(5) an entity subject to § 15-508 of this
title.
(jj) School board. -- “School board”
means a county board of education or, in Baltimore City, the Board of School
Commissioners.
(kk) School system. -- “School system”
means the educational system under the authority of a school board.
(ll) State official. -- “State official”
means:
(1) a constitutional officer or
officer-elect in an executive unit;
(2) a member or member-elect of the General
Assembly;
(3) a judge or judge-elect of a court under
Article IV, § 1 of the Constitution;
(4) a judicial appointee as defined in
Maryland Rule 16-814;
(5) a State’s Attorney;
(6) a clerk of the circuit court;
(7) a register of wills; or
(8) a sheriff.
(mm) Superintendent. -- “Superintendent”
means a county superintendent as defined in § 1-101 of the Education Article.
15-103. Designation of individuals as public
officials.
(a) Generally. -- The determination
of whether an individual is a “public official” for the purposes of this title
shall be made in accordance with the provisions of this section.
(b) Public officials of executive units.
-- Except as provided in subsection (f) of this section, the following
individuals in executive units are public officials:
(1) an individual who receives compensation
at a rate equivalent to at least State grade level 16, or who is appointed to a
board, if the Ethics Commission determines under § 15-208 of this title that:
(i) the individual, acting alone or as a
member of an executive unit, has decision making authority or acts as a
principal advisor to one with that authority:
1. in making State policy in an executive
unit; or
2. in exercising quasi-judicial,
regulatory, licensing, inspecting, or auditing functions; and
(ii) the individual’s duties are not
essentially administrative and ministerial;
(2) any other individual in an executive
unit, if the Ethics Commission determines that the individual, acting alone or
as a member of the executive unit, has decision making authority or acts as a
principal advisor to one with that authority in drafting specifications for,
negotiating, or executing contracts that commit the State or an executive unit
to spend more than $10,000 in a year;
(3) a member, appointee, or employee of the
Maryland Stadium Authority;
(4) a member, appointee, or employee of the
Canal Place Preservation and Development Authority; and
(5) a member of the Emergency Medical
Services Board.
(c) Public officials of the Legislative
Branch. -- Except as provided in subsection (f) of this section, an
individual in the Legislative Branch is a public official if the individual:
(1) receives compensation at a rate
equivalent to at least State grade level 16; and
(2) is designated a public official by order
of the presiding officers of the General Assembly.
(d) Public officials of the Judicial
Branch. -- (1) Except as provided in paragraph (3) of this subsection or in
subsection (f) of this section, an individual in the Judicial Branch is a
public official if the individual receives compensation at a rate equivalent to
at least State grade level 16.
(2) For the purposes of paragraph (1) of
this subsection, “individual in the Judicial Branch” includes an individual who
is:
(i) employed in the office of a clerk of
court;
(ii) paid by a county to perform services in
an orphans’ court or circuit court;
(iii) employed by the Attorney Grievance
Commission;
(iv) employed by the State Board of Law
Examiners; or
(v) employed by the Court of Appeals
Standing Committee on Rules of Practice and Procedure.
(3) The Ethics Commission may exclude the
individuals in a position in the Judicial Branch from inclusion as public
officials under paragraph (1) of this subsection:
(i) upon the recommendation of the State
Court Administrator; and
(ii) if the Ethics Commission determines that
the position does not have policy, policy advice, quasi-judicial, or
procurement functions.
(e) Bicounty commission members. -- A
member of a bicounty commission is a public official.
(f) Exceptions. -- The following are
not public officials:
(1) a State official;
(2) an individual employed on a contractual
basis unless the individual is:
(i) employed on a full-time basis for more
than 6 months; and
(ii) designated pursuant to subsection (b)(1)
or (c) of this section; and
(3) a part-time or full-time faculty member
at a State institution of higher education:
(i) as to subsection (b)(2) of this
section, only when the individual is acting in the capacity of a faculty
member; and
(ii) as to any other provision of this
section, unless the individual also:
1. is employed in another position that
causes the individual to be designated as a public official; or
2. directly procures, directly influences,
or otherwise directly affects the formation or execution of any State contract,
purchase, or sale, as established by regulations adopted by the Ethics
Commission and approved by the Joint Committee on Administrative, Executive,
and Legislative Review.
15-104. Administration of title.
This
title shall be administered and implemented by the following three ethics
agencies:
(1) the Joint Ethics Committee, acting as an
advisory body as to the application of Subtitle 5 of this title to members of
the General Assembly;
(2) the Judicial Disabilities Commission or
another body designated by the Court of Appeals, acting as an advisory body as
to the application of Subtitles 5 and 6 of this title to State officials of the
Judicial Branch; and
(3) in all other matters, the Ethics
Commission.
15-105. Other
laws.
(a) In general. -- If another
provision of law relating to conflicts of interest, financial disclosure, or
lobbying is more stringent than this title, that provision shall apply.
(b) Exception. -- Title 3, Subtitle 1
of the Public Safety Article does not apply to activities carried out by the
Ethics Commission under this title.
Subtitle 2.
State Ethics Commission.
15-201. State
Ethics Commission established.
There
is a State Ethics Commission.
15-202. Membership.
(a) Composition; appointment of members.
-- (1) The Ethics Commission consists of five members.
(2) The Governor shall appoint:
(i) with the advice and consent of the
Senate, three members, at least one of whom shall be a member of the principal
political party of which the Governor is not a member;
(ii) one member nominated by the President of
the Senate; and
(iii) one member nominated by the Speaker of
the House.
(3) The Governor may reject a nominee of the
President or of the Speaker only for cause.
(4) If the Governor rejects a nominee under
paragraph (3) of this subsection, the appropriate presiding officer shall
nominate another individual.
(5) A vacancy shall be filled in a manner
consistent with this subsection.
(b) Qualifications of members. -- A
member of the Ethics Commission may not:
(1) hold elected or appointed office in, be
an employee of, or be a candidate for office in:
(i) the federal government;
(ii) this State’s government;
(iii) a municipal corporation, county, or multicounty
agency of the State; or
(iv) a political party; or
(2) be a regulated lobbyist.
(c) Oath. -- Before taking office,
each appointee to the Ethics Commission shall take the oath required by Article
I, § 9 of the Maryland Constitution.
(d) Tenure; vacancies. -- (1) The
term of a member is 5 years.
(2) The terms of members are staggered as
required by the terms in effect for members of the Commission on October 1,
1995.
(3) A member may serve no more than two
consecutive 5-year terms.
(4) A member who is appointed after a term
has begun serves for the rest of the term.
(5) At the end of a term, a member may
continue to serve until a successor is appointed and qualifies.
(e) Removal. -- (1) The Governor may
remove a member for:
(i) neglect of duty;
(ii) misconduct in office;
(iii) a disability that makes the member unable
to discharge the powers and duties of office; or