EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*hb1201*
HOUSE BILL 1201
M3, M2 2lr2587
CF SB 876
By: Delegates Jacobs, Beitzel, Buckel, Ghrist, Griffith, Hartman, Mautz,
McComas, McKay, and Otto
Introduced and read first time: February 11, 2022
Assigned to: Environment and Transportation
Committee Report: Favorable with amendments
House action: Adopted
Read second time: March 15, 2022
CHAPTER ______
AN ACT concerning 1
Water Pollution – Civil Penalty Surcharge – Oyster Repletion Fund 2
Supplemental Environmental Projects 3
FOR the purpose of establishing a surcharge on civil penalties imposed for certain 4
violations that result in the discharge of pollutants into the Chesapeake Bay or its 5
tributaries; establishing the Oyster Repletion Fund as a special, nonlapsing fund in 6
the Department of Natural Resources; requiring the surcharges to be deposited to 7
the Fund and used to finance the repletion of natural oyster bars in waters impacted 8
by water pollution violations requiring the Department of the Environment to 9
include oyster repletion projects in a certain database; requiring the Department to 10
prioritize a supplemental environmental project involving certain oyster repletion 11
projects for a party who is in violation of a certain effluent limitation or unpermitted 12
discharge; and generally relating to water pollution and oyster repletion. 13
BY repealing and reenacting, with amendments, 14
Article – Environment 15
Section 9–342 16
Annotated Code of Maryland 17
(2014 Replacement Volume and 2021 Supplement) 18
BY adding to 19
Article – Natural Resources 20
Section 4–209.1 21
Annotated Code of Maryland 22 2 HOUSE BILL 1201
(2018 Replacement Volume and 2021 Supplement) 1
BY adding to 2
Article – Environment 3
Section 1–306(b)(3) 4
Annotated Code of Maryland 5
(2013 Replacement Volume and 2021 Supplement) 6
(As enacted by Chapter __ (S.B. 90/H.B. 595) of the Acts of the General 7
Assembly of 2022) 8
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 9
That the Laws of Maryland read as follows: 10
Article – Environment 11
1–306. 12
(b) (3) THE DEPARTMENT SHALL INCL UDE OYSTER REPLETION 13
PROJECTS IN THE DATA BASE. 14
9–342. 15
(a) (1) In addition to being subject to an injunctive action under this subtitle, 16
a person who violates any provision of this subtitle or of any rule, regulation, order, or 17
permit adopted or issued under this subtitle is liable to a civil penalty not exceeding 18
$10,000, to be collected in a civil action brought by the Department. 19
(2) Each day a violation occurs is a separate violation under this 20
subsection. 21
(b) (1) In addition to any other remedies available at law or in equity and after 22
an opportunity for a hearing which may be waived in writing by the person accused of a 23
violation, the Department may impose a penalty for violation of any provision of this 24
subtitle or any rule, regulation, order, or permit adopted or issued under this subtitle. 25
(2) The penalty imposed on a person under this subsection shall be: 26
(i) Up to $10,000 for each violation, but not exceeding $100,000 27
total; and 28
(ii) Assessed with consideration given to: 29
1. The willfulness of the violation, the extent to which the 30
existence of the violation was known to but uncorrected by the violator, and the extent to 31
which the violator exercised reasonable care; 32
HOUSE BILL 1201 3
2. Any actual harm to the environment or to human health, 1
including injury to or impairment of the use of the waters of this State or the natural 2
resources of this State; 3
3. The cost of cleanup and the cost of restoration of natural 4
resources; 5
4. The nature and degree of injury to or interference with 6
general welfare, health, and property; 7
5. The extent to which the location of the violation, including 8
location near waters of this State or areas of human population, creates the potential for 9
harm to the environment or to human health or safety; 10
6. The available technology and economic reasonableness of 11
controlling, reducing, or eliminating the violation; 12
7. The degree of hazard posed by the particular pollutant or 13
pollutants involved; and 14
8. The extent to which the current violation is part of a 15
recurrent pattern of the same or similar type of violation committed by the violator. 16
(3) Each day a violation occurs is a separate violation under this 17
subsection. 18
(4) Any penalty imposed under this subsection is payable to this State and 19
collectible in any manner provided at law for the collection of debts. 20
(5) If any person who is liable to pay a penalty imposed under this 21
subsection fails to pay it after demand, the amount, together with interest and any costs 22
that may accrue, shall be: 23
(i) A lien in favor of this State on any property, real or personal, of 24
the person; and 25
(ii) Recorded in the office of the clerk of court for the county in which 26
the property is located. 27
(6) Any penalty collected under this subsection shall be placed in a special 28
fund to be used for monitoring and surveillance by the Department to assure and maintain 29
an adequate record of any violations, including discharge of waste material and other 30
pollutants into the waters of this State or into the environment. 31
(C) (1) IN ADDITION TO A CIVI L PENALTY IMPOS ED UNDER SUBSECTION 32
(A) OR (B) OF THIS SECTION, IF A VIOLATION OF AN Y PROVISION OF THIS SUBTITLE 33
OR ANY RULE, REGULATION , ORDER, OR PERMIT ADOPTED OR ISSUED UNDER THIS 34 4 HOUSE BILL 1201
SUBTITLE, RESULTS IN THE DISCH ARGE OF POLLUTANTS T O THE CHESAPEAKE BAY 1
OR ITS TRIBUTARIES, THE DEPARTMENT SHALL IMPO SE A SURCHARGE ON TH E 2
PERSON RESPONSIBLE F OR THE VIOLATION . 3
(2) THE SURCHARGE SHALL B E EQUAL TO 25% OF THE TOTAL CIVIL 4
PENALTY IMPOSED UNDE R SUBSECTION (A) OR (B) OF THIS SECTION. 5
(3) ANY SURCHARGE COLLECT ED UNDER THIS SUBSECTION SHALL 6
BE DEPOSITED INTO TH E OYSTER REPLETION FUND ESTABLISHED UNDE R § 4–209.1 7
OF THE NATURAL RESOURCES ARTICLE. 8
Article – Natural Resources 9
4–209.1. 10
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 11
INDICATED. 12
(2) “COUNTY OYSTER COMMITT EE” MEANS A COMMITTEE 13
ESTABLISHED UNDER § 4–1106(B) OF THIS TITLE. 14
(3) “FUND” MEANS THE OYSTER REPLETION FUND. 15
(B) THERE IS AN OYSTER REPLETION FUND IN THE DEPARTMENT . 16
(C) THE PURPOSE OF THE FUND IS TO FINANCE TH E REPLETION OF 17
NATURAL OYSTER BARS IN WATERS IMPACTED B Y WATER POLLUTION VI OLATIONS. 18
(D) THE DEPARTMENT SHALL ADMI NISTER THE FUND. 19
(E) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 20
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 21
(2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY 22
AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 23
(F) THE FUND CONSISTS OF : 24
(1) SURCHARGES ON CIVIL P ENALTIES COLLECTED U NDER § 25
9–342(C) OF THE ENVIRONMENT ARTICLE; 26
(2) MONEY APPROPRIATED IN THE STATE BUDGET TO THE FUND; 27
AND 28
HOUSE BILL 1201 5
(3) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED FOR 1
THE BENEFIT OF THE FUND. 2
(G) (1) THE FUND MAY BE USED ONLY FOR OYSTER REPLETION 3
PROJECTS CONDUCTED I N ACCORDANCE WITH TH IS SUBSECTION. 4
(2) TO THE EXTENT PRACTIC ABLE, A SURCHARGE COLLECTED 5
UNDER § 9–342(C) OF THE ENVIRONMENT ARTICLE SHALL BE USED TO FUND 6
OYSTER REPLETION PRO JECTS IN THE COUNTY WHERE THE UNDERLYING WATER 7
POLLUTION VIOLATION OCCURRED. 8
(3) THE DEPARTMENT SHALL WORK WITH THE COUNTY OYST ER 9
COMMITTEE FOR TH E COUNTY WHERE THE U NDERLYING WATER POLL UTION 10
VIOLATION OCCURRED T O IDENTIFY: 11
(I) NATURAL OYSTER BARS W ITHIN THE COUNTY FOR 12
REPLETION; OR 13
(II) IF NO NATURAL OYSTER BAR WITHIN THE COUNT Y IS 14
SUITABLE FOR REPLETI ON, NATURAL OYSTER BARS WITHIN AN ADJAC ENT COUNTY 15
FOR REPLETION . 16
(4) REPLETION PROJECTS CO NDUCTED UNDER THIS S UBSECTION 17
SHALL BE IN THE FORM OF SPAT–ON–SHELL. 18
(5) (I) THE DEPARTMENT MAY CONTRA CT WITH A NONPROFIT 19
ORGANIZATION THAT SP ECIALIZES IN OYSTER RECOVERY TO CARRY OU T OYSTER 20
REPLETION PROJECTS U NDER THIS SUBSECTION . 21
(II) THE FUND MAY BE USED TO C OVER REASONABLE 22
ADMINISTRATIVE EXPEN SES INCURRED BY A NO NPROFIT ORGANIZATION IN 23
CARRYING OUT OYSTER REPLETION PROJECTS U NDER THIS SUBSECTION . 24
(H) (1) THE STATE TREASURER SHALL INVEST THE MONEY OF THE FUND 25
IN THE SAME MANNER A S OTHER STATE MONEY MAY BE IN VESTED. 26
(2) ANY INTEREST EARNINGS OF THE FUND SHALL BE CREDITE D TO 27
THE GENERAL FUND OF THE STATE. 28
(I) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN ACCORDANCE 29
WITH THE STATE BUDGET. 30
(J) MONEY EXPENDED FROM T HE FUND FOR OYSTER REPLE TION 31
PROJECTS IS SUPPLEME NTAL TO AND IS NOT I NTENDED TO TAKE THE PLACE OF 32 6 HOUSE BILL 1201
FUNDING THAT OTHERWI SE WOULD BE APPROPRI ATED FOR OYSTER REPL ETION 1
PROJECTS. 2
SECTION 2. AND BE IT FURTHER ENACTED, That: 3
(a) Subject to subsection (b) of this section, the Department of the Environment 4
shall prioritize a supplemental environmental project involving oyster repletion in natural 5
oyster bars in the county where the underlying water pollution violation occurred with 6
input from the county oyster committee for a party who is in violation of an effluent 7
limitation or unpermitted discharge in the proximity of an oyster population. 8
(b) If there are no suitable natural oyster bars for repletion in the county where 9
the violation occurred, the natural oyster bar repletion project shall be carried out in an 10
adjacent county. 11
SECTION 3. AND BE IT FURTHER ENACTED, That Section 1 of this Act shall take 12
effect October 1, 2022, contingent on the taking effect of Chapter ____ (S.B. 90/H.B. 595) of 13
the Acts of the General Assembly of 2022, and if Chapter ____ (S.B. 90/H.B. 595) does not 14
become effective, Section 1 of this Act, with no further action required by the General 15
Assembly, shall be null and void. 16
SECTION 2. 4. AND BE IT FURTHER ENACTED, That , except as provided in 17
Section 3 of this Act, this Act shall take effect October 1, 2022. 18
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.