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MarylandHB 06042026 Regular SessionHouse

Arbitration Reform for State Employees Act of 2026

Sponsored By: Jared Solomon (Democratic)

Signed by Governor

State Government - PersonnelAppropriationsArbitration -see also- MediationBallots -see also- Abs&MailInBallots; Abs&MailInVotingBudgets -see also- Capital BudgetsCollective BargainingConstitutional AmendmentsElectionsEnvironmental Service, MarylandGovernorHigher Education -see also- Comm Colleges; Med Schools; etc.Legislation -see also- Correct Leg; Cur Leg; Emerg BillsMediation -see also- ArbitrationPrices -see also- Consumer Price IndexRevenue and Taxes -see also- (specific tax)Salaries and Compensation -see also- Overtime; Reimb. RatesState EmployeesState Universities and CollegesVoting -see also- Absentee and Mail-In Voting

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 0 costs, 1 mixed.

Binding arbitration for state worker disputes

Covered State and Maryland Environmental Service bargaining parties meet July 1–September 30 and exchange needed information. They must reasonably try to start talks near July 1; either party can request an arbitrator starting July 1. Unresolved talks on September 1 require choosing an arbitrator by September 15; advice at this stage is not binding. An impasse declared on or after October 1 goes to binding arbitration, starting with mediation and then a hearing. The preliminary award is due December 5, and the final award is due December 15. The arbitrator generally chooses one party's entire final offer and must report its multiyear impact on the State General Fund. Wage awards remain subject to State budget limits; changes needing legislation or funding take effect only after General Assembly approval. The parties split the arbitrator's service costs and can jointly agree to later changes, binding when the arbitrator orders them without another ratification. These procedures exclude State college and university bargaining units and BWI Airport uniformed firefighters.

Broader bargaining rights for state workers

Covered Maryland public employees can bargain over wages, hours, health benefits, other fringe benefits, and other job terms. Pension benefits remain excluded. Bargaining also covers when and how representatives access a new employee program. Existing employment agreements stay in force until a replacement is agreed to and ratified, or adopted through arbitration. The law sets no specific pay raise or benefit amount.

Budget funding for state worker agreements

The law establishes a requirement for the Governor to budget money needed to carry out covered employee agreements. Coverage includes the State, State colleges and universities, and the Maryland Environmental Service. The budget rules also cover agreements reached through binding arbitration and require reporting next-year changes in pay, hours, and benefits. These funding rules take effect only after a majority of votes cast approves the constitutional amendment in November 2026 and the Governor proclaims its adoption. The law sets no funding amount and does not itself guarantee legislative approval of needed money.

Sponsors & Cosponsors

Sponsor

  • Jared Solomon

    Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 128 • No: 46

Senate vote • 4/10/2026

Third Reading Passed

Yes: 35 • No: 11

House vote • 3/20/2026

Third Reading Passed

Yes: 93 • No: 35 • Other: 7

Actions Timeline

  1. Approved by the Governor, assigned a chapter number, enactment subject to constitutional referendum - Chapter 155

    4/28/2026

  2. Returned Passed

    4/10/2026House

  3. Third Reading Passed (35-11)

    4/10/2026Senate

  4. Motion Special Order until Later Today (Senator Ready) Adopted

    4/9/2026Senate

  5. Second Reading Passed

    4/8/2026Senate

  6. Favorable Adopted

    4/8/2026Senate

  7. Favorable Report by Budget and Taxation

    4/8/2026Senate

  8. Referred Budget and Taxation Finance

    3/23/2026Senate

  9. Third Reading Passed (93-35)

    3/20/2026House

  10. Second Reading Passed with Amendments

    3/19/2026House

  11. Favorable with Amendments {383921/1 Adopted

    3/19/2026House

  12. Favorable with Amendments Report by Government, Labor, and Elections

    3/19/2026House

  13. Hearing 3/06 at 1:00 p.m.

    2/19/2026House

  14. First Reading Government, Labor, and Elections

    1/28/2026House

Bill Text

  • Enacted

    4/28/2026

    PDF

  • Third Reading

    3/19/2026

    PDF

  • First Reading

    1/28/2026

    PDF

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