8-K

                       SECURITIES AND EXCHANGE COMMISSION

                              Washington, DC 20549

                                    FORM 8-K

                                 CURRENT REPORT

     Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  December 21, 2000
                                                   -----------------

                           Sandy Spring Bancorp, Inc.
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             (Exact name of registrant as specified in its charter)


     Maryland                         0-19065                  52-1532952
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(State or other jurisdiction      (Commission file           (IRS Employer
of incorporation)                      number)           Identification Number)


17801 Georgia Avenue, Olney, Maryland  20832
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(Address of Principal Executive Offices)     (Zip Code)


Registrant's telephone number, including area code:  (301) 774-6400
                                                     --------------


Item 5. Other Events.
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     On December 21, 2000, Sandy Spring National Bank of Maryland, a subsidiary
of Sandy Spring Bancorp, Inc., announced today that it had reached an agreement
to purchase certain assets of The Equipment Leasing Company (ELC) located in
Sparks, Maryland, for cash consideration, and to assume certain related
liabilities. ELC is a division of Progress Leasing Company headquartered in Blue
Bell, Pennsylvania. In the acquisition, Sandy Spring National Bank expects to
acquire approximately $30 million in lease receivables. The acquisition, subject
to regulatory review, is expected to be completed by the end of January 2001.
For additional information, see the Press Release included as Exhibit 99.

Item 7. Financial Statements and Exhibits.
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(a)  Exhibit 99 - Press Release dated December 21, 1999



                                   Signatures

     Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                              SANDY SPRING BANCORP, INC.



                                              By:   /s/ James H. Langmead
                                                   -----------------------------
                                                   James H. Langmead,
                                                      Vice President and
                                                      Treasurer
Dated : December 26, 2000

EX-99

                                   EXHIBIT 99

SANDY SPRING BANCORP                 PRESS
SANDY SPRING                        RELEASE
NATIONAL BANK
of Maryland
SINCE 1868
                              FOR IMMEDIATE RELEASE

              SANDY SPRING NATIONAL BANK TO ACQUIRE LEASING COMPANY

Olney, Maryland, December 21, 2000 --- Sandy Spring National Bank of Maryland, a
subsidiary of Sandy Spring Bancorp, Inc. (NASDAQ--SASR), announced today that it
has reached an agreement to purchase certain assets of The Equipment Leasing
Company (ELC) located in Sparks, Maryland. ELC is a division of Progress Leasing
Company headquartered in Blue Bell, Pennsylvania. The acquisition, subject to
regulatory review, is expected to be completed by the end of January, 2001.

Hunter R. Hollar, President and Chief Executive Officer of Sandy Spring Bancorp,
stated, "The acquisition of ELC meets our strategic initiatives of expanding our
revenue base, diversifying our income sources and enhancing our available
financial services for small to medium sized businesses."

ELC has been in business for over twenty years originating and brokering leases
for small to medium sized businesses primarily in the mid-Atlantic region. Their
leases provide financing for essential business equipment such as computers,
network systems, office furniture and design systems, and communication
equipment. In the acquisition, Sandy Spring National Bank expects to acquire
approximately $30 million in lease receivables. The Equipment Leasing Company
will continue to be managed by its current president, Dennis M. Horner and its
17 employees will join the bank's approximately 470 existing employees.

Sandy Spring Bancorp is the bank holding company for Sandy Spring National Bank
of Maryland, which currently has twenty-nine financial services offices in
Montgomery, Howard, Prince George's and Anne Arundel Counties in Maryland. At
September 30, 2000, Sandy Spring Bancorp had consolidated assets of
approximately $1.7 billion, deposits of $1.2 billion, and stockholders' equity
of $115 million.

For additional information or questions, please contact:
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Hunter R. Hollar
President & Chief Executive Officer or
Daniel J. Schrider, Senior Vice President
Sandy Spring National Bank
17801 Georgia Avenue
Olney, MD  20832
301-774-6400 or (410) 792-2450



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