PARRIS N. GLENDENING, Governor

Ch. 707

Preamble

WHEREAS, Public transportation services are provided to assist the
transit-dependent and the poor, to provide travel options for all, to relieve congestion,
and to minimize automobile pollution; and

WHEREAS, Protection of both the public transit riders and taxpayers requires that
public transportation service be provided at the lowest possible cost consistent with
service quality and safety standards; and

WHEREAS, Private transportation providers have been used under competitive
contracts to provide public transportation services at lower costs and with lower annual
cost increases; and

WHEREAS, Decisions on whether a public transportation service should be
operated by a public agency or a private company should be made on economic and
service quality considerations rather than institutional considerations; and

WHEREAS, Obtaining cost effective public transportation services requires a
competitive environment and a mechanism for competitive contracting of such services;

and

WHEREAS, The public trust and public convenience may be better served by
placing public bus transportation into the competitive marketplace of our free enterprise
system; now, therefore,

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

Article - Transportation

7-102.2.

(A)    THE DEPARTMENT SHALL EXAMINE AND MAKE RECOMMENDATIONS
REGARDING THE PRIVATIZATION OF PUBLIC BUS TRANSPORTATION SERVICES.

(B)     THE DEPARTMENT SHALL EXAMINE AND MAKE RECOMMENDATIONS
WITH REGARD TO:

(1)     THE ECONOMIC IMPACT OF PRIVATIZATION INCLUDING:

(I)      THE ADMINISTRATIVE COSTS OF CHANGING OVER TO PRIVATE
TRANSPORTATION PROVIDERS AND THE COSTS ASSOCIATED WITH OVERSIGHT OF A
PRIVATE TRANSPORTATION SYSTEM;

(II)    THE POTENTIAL IMPACT OF PRIVATIZATION ON FEDERAL
FUNDING OF PUBLIC TRANSPORTATION PROGRAMS; AND

(III)   THE POTENTIAL FISCAL IMPACT OF PRIVATIZATION OVER THE
SHORT AND LONG TERM;

(2)     THE IMPACT OF PRIVATIZATION ON THE QUALITY OF PASSENGER
SERVICES;

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