§ 10-612

(a) The Authority may establish one or more affiliated foundations to work with Maryland Sports, established under § 10–611 of this subtitle.

(b) The purposes of an affiliated foundation are to:

(1) support the State in:

(i) sports bid development;

(ii) sporting event recruitment and retention;

(iii) economic analysis and research relating to sporting events;

(iv) sponsorship of sporting events; and

(v) development of partnerships with public and private entities designed to sponsor sporting events;

(2) promote regional, national, and international sporting events to be held, in whole or in part, in the State; and

(3) recruit, market, promote, work to retain, and manage sporting events that have a positive economic or cultural impact, or otherwise enhance the quality of life of the State’s citizens.

(c) (1) The Authority shall develop policies for the operation of each affiliated foundation the Authority establishes.

(2) The Attorney General shall review the policies the Authority develops under paragraph (1) of this subsection for form and legal sufficiency and, if appropriate, approve them to govern the affiliated foundation.

(3) The State Ethics Commission shall review the policies the Authority develops under paragraph (1) of this subsection that pertain to conflicts of interest and, if appropriate, approve them to govern an official or employee of the Authority also serving as a director or official of an affiliated foundation.

(d) An affiliated foundation may solicit and receive contributions from businesses, governmental entities, nonprofit organizations, and individuals interested in the promotion of sports in the State.

(e) (1) An affiliated foundation established under this section may not be considered an agency or instrumentality of the State or a unit of the Executive Branch for any purpose.

(2) A financial obligation or liability of an affiliated foundation established and operated under this section may not be considered a debt or an obligation of the State, the Authority, or Maryland Sports.

(f) (1) Sections 5–501 through 5–504 of the General Provisions Article do not prohibit an official or employee of the Authority from also becoming a director or an official of an affiliated foundation organized under this section.

(2) An official or employee of the Authority who serves as a director or official of an affiliated foundation organized under this section:

(i) may not be compensated, directly or indirectly, by the affiliated foundation; and

(ii) may be reimbursed for bona fide expenses incurred in the performance of activities undertaken on behalf of the affiliated foundation as authorized by the board of directors of that affiliated foundation and by the Authority.

(3) (i) The Authority shall notify the State Ethics Commission in writing whenever the Authority permits an official or employee of the Authority to serve as a director or official of an affiliated foundation.

(ii) Within 30 days after receipt of the notice under subparagraph (i) of this paragraph, the State Ethics Commission shall notify the Authority of any objections or concerns pertaining to the joint service identified in the notice.

(iii) On receipt of a notice from the State Ethics Commission under subparagraph (ii) of this paragraph, the Authority shall reexamine the matter.

(4) The Authority shall report annually to the Governor, the Legislative Policy Committee of the General Assembly, in accordance with § 2–1257 of the State Government Article, and the State Ethics Commission:

(i) the names of the officials and employees serving as a director or official of an affiliated foundation; and

(ii) how the policies and procedures adopted under subsection (c) of this section have been implemented in the preceding year.

(g) An independent certified public accountant hired and paid by the Authority shall audit an affiliated foundation established under this section each year.

(h) In any fiscal year, after providing the budget committees of the General Assembly an opportunity for review and comment, the Authority may grant up to $500,000 of the Authority’s available nonbudgeted money to affiliated foundations established under this section.