Maryland 2022 Regular Session

Maryland House Bill HB1384 Compare Versions

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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
5- Underlining indicates amendments to bill.
6- Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7-amendment.
85 *hb1384*
96
107 HOUSE BILL 1384
118 C8 2lr2879
129
1310 By: Delegate Qi
1411 Introduced and read first time: February 11, 2022
1512 Assigned to: Ways and Means
16-Committee Report: Favorable with amendments
17-House action: Adopted
18-Read second time: March 26, 2022
1913
20-CHAPTER ______
14+A BILL ENTITLED
2115
2216 AN ACT concerning 1
2317
2418 Economic Development – Industry 4.0 Technology Grant Program 2
2519 (Maryland Manufacturing Innovation Act of 2022) 3
2620
2721 FOR the purpose of establishing the Industry 4.0 Technology Grant Program in the 4
2822 Department of Commerce to provide grants to certain small and medium–sized 5
2923 manufacturing enterprises to assist those manufacturers with implementing new 6
30-Industry 4.0 technology or related infrastructure for certain purposes; creating the 7
31-Maryland Manufacturing 4.0 Initiative Governance Committee; requiring the 8
32-Governor to include in the annual budget bill a certain appropriation to the Program; 9
33-and generally relating to the Industry 4.0 Technology Grant Program for 10
34-manufacturers. 11
24+Industry 4.0 technology or related infrastructure for certain purposes; requiring the 7
25+Governor to include in the annual budget bill a certain appropriation to the Program; 8
26+and generally relating to the Industry 4.0 Technology Grant Program for 9
27+manufacturers. 10
3528
36-BY adding to 12
37- Article – Economic Development 13
38-Section 5–1901 and 5–1902 through 5–1903 to be under the new subtitle “Subtitle 14
39-19. Industry 4.0 Technology Grant Program” 15
40- Annotated Code of Maryland 16
41- (2018 Replacement Volume and 2021 Supplement) 17
29+BY adding to 11
30+ Article – Economic Development 12
31+ Section 5–1901 and 5–1902 to be under the new subtitle “Subtitle 19. Industry 13
32+ 4.0 Technology Grant Program” 14
33+ Annotated Code of Maryland 15
34+ (2018 Replacement Volume and 2021 Supplement) 16
4235
43- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18
44-That the Laws of Maryland read as follows: 19
36+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 17
37+That the Laws of Maryland read as follows: 18
4538
46-Article – Economic Development 20
39+Article – Economic Development 19
4740
48-SUBTITLE 19. INDUSTRY 4.0 TECHNOLOGY GRANT PROGRAM. 21 2 HOUSE BILL 1384
41+SUBTITLE 19. INDUSTRY 4.0 TECHNOLOGY GRANT PROGRAM. 20
42+
43+5–1901. 21
44+
45+ (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 22
46+INDICATED. 23
47+ 2 HOUSE BILL 1384
4948
5049
50+ (B) (1) “INDUSTRY 4.0 TECHNOLOGY ” MEANS SMART HARDWARE AND 1
51+SOFTWARE MANUFACTURI NG TECHNOLOGIES . 2
5152
52-5–1901. 1
53+ (2) “INDUSTRY 4.0 TECHNOLOGY ” INCLUDES: 3
5354
54- (A) IN THIS SUBTITLE THE FO LLOWING WORDS HAVE T HE MEANINGS 2
55-INDICATED. 3
55+ (I) INDUSTRIAL INTERNET OF THINGS INFRASTRUCTURE 4
56+HARDWARE ; 5
5657
57- (B) “COMMITTEE” MEANS THE MARYLAND MANUFACTURING 4.0 4
58-INITIATIVE GOVERNANCE COMMITTEE. 5
58+ (II) PREDICTIVE MAINTENAN CE SOFTWARE ; 6
5959
60- (B) (C) (1) “INDUSTRY 4.0 TECHNOLOGY ” MEANS SMART HARDWARE 6
61-AND SOFTWARE MANUFAC TURING TECHNOLOGIES . 7
60+ (III) SENSOR INTEGRATION I NTO INDUSTRIAL TOOLS AND 7
61+MACHINERY TO DETERMI NE WEAR OR FLAWS ; 8
6262
63- (2) “INDUSTRY 4.0 TECHNOLOGY ” INCLUDES: 8
63+ (IV) INDUSTRIAL WEARABLE TECHNOLOGY INTEGRATI ON TO 9
64+PREVENT EMPLOYEE INJURIES ; 10
6465
65- (I) INDUSTRIAL INTERNET OF THINGS INFRASTRUCTURE 9
66-HARDWARE ; 10
66+ (V) DATA ANALYTICS AND VISUALIZATION SOFTWARE; 11
6767
68- (II) PREDICTIVE MAINTENAN CE SOFTWARE CLOUD COMPUTING 11
69-AND CYBERSECURITY SO LUTIONS; 12
68+ (VI) SENSOR TRANSMISSION O F REAL–TIME INFORMATION 12
69+FROM FACTORY FLOOR TO CUSTOMERS O R SUPPLIERS; AND 13
7070
71- (III) SENSOR INTEGRATION I NTO INDUSTRIAL TOOLS AND 13
72-MACHINERY T O DETERMINE WEAR OR FLAWS ARTIFICIAL INTELLIGENCE (AI) FOR 14
73-CONTINUOUS IMPROVEME NT OF EFFICIENCY AND PRODUCTIVITY ; 15
71+ (VII) RADIO FREQUENCY IDENTIFICATION (RFID) TAGGING 14
72+SOFTWARE AND EQUIPME NT UTILIZED TO TRACK INVENTORY . 15
7473
75- (IV) INDUSTRIAL WEARABLE TECHNOLOGY INTEGRATI ON TO 16
76-PREVENT EMPLOYEE INJ URIES ROBOTS AND AUTONOMOU S EQUIPMENT TO HELP 17
77-AUTOMATE WORKFLOW ; 18
74+ (C) “PROGRAM” MEANS THE INDUSTRY 4.0 TECHNOLOGY GRANT 16
75+PROGRAM. 17
7876
79- (V) DATA ANALYTICS AND V ISUALIZATION SOFTWAR E; 19
77+ (D) “SME MANUFACTURER ” MEANS A SMALL OR MEDIUM–SIZED 18
78+ENTERPRISE MANUFACTU RER. 19
8079
81- (VI) SENSOR TRANSMISSION OF REAL–TIME INFORMATION 20
82-FROM FACTORY FLOOR T O CUSTOMERS OR SUPPL IERS CYBER PHYSICAL SYSTEMS 21
83-(CPS) TO ENABLE SEAMLESS C OMMUNICATION WITH OT HER “SMART” DEVICES; 22
84-AND 23
80+5–1902. 20
8581
86- (VII) RADIO FREQUENCY IDENTIFICATION (RFID) TAGGING 24
87-SOFTWARE AND EQUIPME NT UTILIZED TO TRACK INVENTORY AUGMENTED REALITY , 25
88-VIRTUAL REALITY , AND DIGITAL TWIN TO DIGITALLY REPRESENT PHYSICAL 26
89-PRODUCTS OR SYSTEMS WITHOUT REQUIRING IN VESTMENT TO ITERATIV ELY 27
90-CREATE THE ACT UAL PRODUCTS . 28
82+ (A) THERE IS AN INDUSTRY 4.0 TECHNOLOGY GRANT PROGRAM IN THE 21
83+DEPARTMENT . 22
9184
92- (D) “MINORITY BUSINESS ENT ERPRISE” HAS THE MEANING STAT ED IN § 29
93-14–301 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 30
85+ (B) THE PURPOSE OF THE PROGRAM IS TO ASSIST SME MANUFACTURERS 23
86+IN ADOPTING INDUSTRY 4.0 TECHNOLOGY AND RELATED INFRASTR UCTURE IN 24
87+ORDER TO INCREASE PR ODUCTIVITY, EFFICIENCY, AND COMPETITIVENESS IN THE 25
88+STATE AND NATIONAL MANUFACTURING ENVIRO NMENT. 26
89+
90+ (C) TO QUALIFY FOR A GRAN T UNDER TH E PROGRAM, AN SME 27
91+MANUFACTURER SHALL SUBMIT TO THE DEPARTMENT AN APPLICA TION THAT: 28
9492 HOUSE BILL 1384 3
9593
9694
97- (C) (E) “PROGRAM” MEANS THE INDUSTRY 4.0 TECHNOLOGY GRANT 1
98-PROGRAM. 2
95+ (1) DEMONSTRATES THAT THE COMPANY IS A QUA LIFYING SME 1
96+MANUFACTURER ; AND 2
9997
100- (D) (F) “SME MANUFACTURER ” MEANS A SMALL OR MED IUM–SIZED 3
101-ENTERPRISE MANUFACTU RER. 4
98+ (2) DESCRIBES THE SME MANUFACTURER ’S PLANS TO: 3
10299
103-5–1902. 5
100+ (I) MAKE A CAPITAL INVES TMENT IN THE FORM OF SMART 4
101+INDUSTRY 4.0 TECHNOLOGY MANUFACTURING TECHNO LOGIES WITHIN ITS 5
102+MARYLAND OPERATION ; OR 6
104103
105- (A) THERE IS A MARYLAND MANUFACTURING 4.0 INITIATIVE 6
106-GOVERNANCE COMMITTEE IN THE DEPARTMENT . 7
104+ (II) MAKE A CAPITAL INVESTMENT F OR THE PROPER 7
105+INFRASTRUCTURE FOR IMPLEMENTATION O F INDUSTRY 4.0 TECHNOLOGY . 8
107106
108- (B) (1) THE SECRETARY SHALL APPOI NT THE MEMBERS OF TH E 8
109-COMMITTEE, INCLUDING REPRESENTATIVES OF M ANUFACTURING ORGANIZ ATIONS 9
110-IN THE STATE AND THE DEPARTMENT . 10
107+ (D) (1) SUBJECT TO THE LIMITA TION UNDER PARAGRAPH (2) OF THIS 9
108+SUBSECTION, IN AWARDING GRANTS UNDER THE PROGRAM, THE DEPARTMENT 10
109+SHALL AWARD A DOLLAR–FOR–DOLLAR MATCHING GRANT FOR T HE COST OF EACH 11
110+ELIGIBLE PROJECT. 12
111111
112- (2) THE MEMBERSHIP OF THE COMMITTEE SHALL REPRE SENT THE 11
113-DIVERSITY OF THE STATE. 12
112+ (2) THE DEPARTMENT MAY NOT AW ARD MORE THAN $25,000 IN 13
113+QUALIFYING GRANTS TO A SINGLE SME MANUFACTURER . 14
114114
115- (C) THE COMMITTEE SHALL : 13
115+ (E) (1) A GRANT AWARDED UNDER THE PROGRAM MAY BE USED F OR 15
116+PROJECTS THAT DIRECT LY AFFECT MANUFACTUR ING PROCESSES AND FO CUS ON 16
117+INVESTMENTS IN INDUSTRY 4.0 TECHNOLOGY COMMERCIA L–READY EQUIPMENT 17
118+THROUGH ESTABLISHED VEN DORS, OR RELATED INFRASTRU CTURE. 18
116119
117- (1) RESEARCH BEST PRACTI CES FROM OTHER STATE S IN 14
118-IMPLEMENTING PROGRAMS SIMILAR TO THE PROGRAM, INCLUDING ELIGIBILIT Y 15
119-CRITERIA, APPLICATION PROCESSE S, PROGRAM REQUIREMENTS , WORKFORCE 16
120-TRANSITION SUPPORT S TRATEGIES, AND THE DISSEMINATIO N OF FUNDS; 17
120+ (2) WITHIN 1 YEAR AFTER RECEIVING A GRANT UNDER THE 19
121+PROGRAM, AN SME MANUFACTURER SHALL S UBMIT TO THE DEPARTMENT A 20
122+LETTER THAT: 21
121123
122- (2) ESTABLISH THE PROGRAM APPLICATION P ROCESS FOR SME 18
123-MANUFACTURERS TH AT REPRESENTS BEST P RACTICES; 19
124+ (I) DESCRIBES HOW THE GR ANT FUNDING WAS USED ; AND 22
124125
125- (3) ESTABLISH ELIGIBILIT Y CRITERIA FOR PARTI CIPATION IN THE 20
126-PROGRAM THAT REPRESEN T BEST PRACTICES , INCLUDING WITH RESPE CT TO 21
127-MANUFACTURER SIZE ; 22
126+ (II) INCLUDES ANY INVOICES RELATED TO THE 23
127+IMPLEMENTATION OF TH E INDUSTRY 4.0 TECHNOLOGY OR RELATE D 24
128+INFRASTRUCTURE . 25
128129
129- (4) CREATE GUIDELINES FO R THE DISTRIBUTION A ND USE OF 23
130-PROGRAM FUNDS THAT RE PRESENT BEST PRACTICE S; AND 24
130+ (3) THE DEPARTMENT MAY REQUIR E A GRANT RECIPIENT THAT 26
131+FAILS TO FULFILL THE REQUIREMENTS OF THE GRANT TO RETURN ALL OR PART OF 27
132+THE GRANT TO THE PROGRAM. 28
131133
132- (5) IN COLLABORATION WIT H THE GOVERNOR’S OFFICE OF SMALL, 25
133-MINORITY, AND WOMEN BUSINESS AFFAIRS, ENCOURAGE PARTICIPAT ION OF 26
134-MINORITY BUSINESS EN TERPRISES IN THE PROGRAM. 27
135-
136-5–1903. 28
137-
138- (A) THERE IS AN INDUSTRY 4.0 TECHNOLOGY GRANT PROGRAM IN THE 29
139-DEPARTMENT . 30
134+ (F) FOR FISCAL YEAR 2024 AND EACH FISCAL YEAR THEREAFTER , THE 29
135+GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIA TION OF 30
136+$5,000,000 FOR THE PROGRAM. 31
140137 4 HOUSE BILL 1384
141138
142139
143- (B) THE PURPOSE OF THE PROGRAM IS TO ASSIST SME MANUFACTURERS 1
144-IN ADOPTING INDUSTRY 4.0 TECHNOLOGY AND RELAT ED INFRASTRUCTURE IN 2
145-ORDER TO INCREASE PR ODUCTIVITY, EFFICIENCY, AND COMPETITIVENESS IN THE 3
146-STATE AND NATIONAL MA NUFACTURING ENVIRONMENT . 4
140+ (G) THE SECRETARY SHALL ADOPT REGULATIONS NECESSAR Y TO CARRY 1
141+OUT THIS SECTION . 2
147142
148- (C) TO QUALIFY FOR A GRAN T UNDER THE PROGRAM, AN SME 5
149-MANUFACTURER SHALL S UBMIT TO THE DEPARTMENT AN APPLICA TION THAT: 6
150-
151- (1) MEETS THE REQUIREMEN TS ESTABLISHED BY TH E COMMITTEE 7
152-UNDER § 5–1902 OF THIS SUBTITLE; 8
153-
154- (1) (2) DEMONSTRATES THAT THE COMPANY IS A QUALIFYING SME 9
155-MANUFACTURER ; AND 10
156-
157- (2) (3) DESCRIBES THE SME MANUFACTURER ’S PLANS TO: 11
158-
159- (I) MAKE A CAPITAL INVES TMENT IN THE FORM OF SMART 12
160-INDUSTRY 4.0 TECHNOLOGY MANUFACTU RING TECHNOLOGIES WI THIN ITS 13
161-MARYLAND OPERATION ; OR 14
162-
163- (II) MAKE A CAPITAL INVES TMENT FOR THE PROPER 15
164-INFRASTRUCTURE FOR I MPLEMENTATION OF INDUSTRY 4.0 TECHNOLOGY . 16
165-
166- (D) (1) SUBJECT TO THE LIMITA TION UNDER PARAGRAPH (2) OF THIS 17
167-SUBSECTION, IN AWARDING GRANTS U NDER THE PROGRAM, THE DEPARTMENT 18
168-SHALL AWARD A DOLLAR –FOR–DOLLAR MATCHING GRAN T FOR THE COST OF EA CH 19
169-ELIGIBLE PROJECT . 20
170-
171- (2) THE DEPARTMENT MAY NOT AW ARD MORE THAN $25,000 IN 21
172-QUALIFYING GRANTS TO A SINGLE SME MANUFACTURER A GRANT AWARDED TO AN 22
173-SME MANUFACTURER SHALL B E AT LEAST $25,000. 23
174-
175- (E) (1) A GRANT AWARDED UNDER THE PROGRAM MAY BE USED , IN 24
176-ACCORDANCE WITH THE GUIDELINES ESTABLISH ED BY THE COMMITTEE, FOR 25
177-PROJECTS THAT DIRECT LY AFFECT MANUFACTUR ING PROCESSES AND FO CUS ON 26
178-INVESTMENTS IN INDUSTRY 4.0 TECHNOLOGY COMMERCIA L–READY EQUIPMENT 27
179-THROUGH ESTABLIS HED VENDORS , OR RELATED INFRASTRU CTURE. 28
180-
181- (2) WITHIN 1 YEAR AFTER RECEIVING A GRANT UNDER THE 29
182-PROGRAM, AN SME MANUFACTURER SHALL S UBMIT TO THE DEPARTMENT A 30
183-LETTER THAT: 31
184-
185- (I) DESCRIBES HOW THE GR ANT FUNDING WAS USED ; AND 32
186- HOUSE BILL 1384 5
187-
188-
189- (II) INCLUDES ANY INVOICE S RELATED TO THE 1
190-IMPLEMENTATION OF TH E INDUSTRY 4.0 TECHNOLOGY OR RELATE D 2
191-INFRASTRUCTURE . 3
192-
193- (3) THE DEPARTMENT MAY REQUIR E A GRANT RECIPIENT THAT 4
194-FAILS TO FULFILL THE REQUIREMENTS OF THE GRANT TO RETURN ALL OR PART OF 5
195-THE GRANT TO THE PROGRAM. 6
196-
197- (F) FOR FISCAL YEAR 2024 AND EACH FISCAL YEAR THEREAFTER , THE 7
198-GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIA TION OF 8
199-$5,000,000 $1,000,000 FOR THE PROGRAM. 9
200-
201- (G) THE SECRETARY SHALL ADOPT REGULATIONS NECESSAR Y TO CARRY 10
202-OUT THIS SECTION . 11
203-
204- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 12
205-October 1, 2022. It shall remain effective for a period of 3 years and, at the end of September 13
206-30, 2025, this Act, with no further action required by the General Assembly, shall be 14
207-abrogated and of no further force and effect. 15
208-
209-
210-
211-
212-Approved:
213-________________________________________________________________________________
214- Governor.
215-________________________________________________________________________________
216- Speaker of the House of Delegates.
217-________________________________________________________________________________
218- President of the Senate.
143+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 3
144+October 1, 2022. 4