WILLIAM DONALD SCHAEFER, Governor                         Ch. 147

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Education

16-403.

(b) (7) (i) A board shall be eligible for a wealth factor component if:

1.       The county share for the previous fiscal year divided by the
total assessed valuation of real property in the supporting county or region is greater than
or equal to the statewide median; and

2.       The per capita wealth of the supporting county or region is
less than 80% of the statewide per capita wealth or the total assessed valuation of real
property in the supporting county or region is less than $1,000,000,000.

(ii) The wealth factor component shall be determined by dividing and
distributing equally among eligible boards 1/2% of the total State operating fund.

(iii) For purposes of this section, per capita wealth is wealth divided by
population.

(iv) FOR THE PURPOSE OF CALCULATING THE WEALTH FACTOR
COMPONENT UNDER THIS SUBSECTION, STATEWIDE PER CAPITA WEALTH INCLUDES
ONLY THOSE COUNTIES THAT SUPPORT A COMMUNITY COLLEGE OR COLLEGES.

(V) In determining the eligibility of a board OF A REGIONAL
COMMUNITY COLLEGE for a wealth factor component, the wealth, population, and
assessed valuation of real property of the supporting counties shall be considered in the
aggregate as a region.

(8) (i) Any portion of the total State operating fund not distributed as
direct grants shall be available for challenge grants.

(ii) The purpose of the challenge grant component is to address
statewide initiatives and economic development needs.

(iii) The challenge grants shall be distributed in amounts determined
by the [State Board for Community Colleges] COMMISSION to eligible boards based
upon criteria developed by the [Maryland Higher Education] Commission [and] IN
COOPERATION WITH the Department of Economic and Employment Development.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
July 1, 1993.

Approved April 26, 1993.

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