MD HB706

The Board of Public Works may determine by majority vote that the federal government is delinquent in federal funds owed to Maryland when the federal government fails to comply with court decisions upholding congressionally approved spending.

The Central Collection Unit of the Department of Budget and Management is authorized to collect delinquent federal funds, place liens on federal property located in Maryland, and direct the Comptroller to withhold state payments to the federal government.

Maryland reserves jurisdiction over land that the United States leases or holds in the state when the federal government is found non-compliant with court decisions upholding congressionally approved spending.

The Comptroller may withhold state payments to the federal government for delinquent federal funds referred by the Central Collection Unit.

The act takes effect July 1, 2026, and includes a severability clause stating that if any provision is held invalid, remaining provisions remain in effect.