Maryland House Bill HB569

Maryland 2022 Regular Session

• Introduced: 1/31/22
• Refer: 1/31/22

Caption

Energy Generation, Transmission, and Storage Projects - Required Community Benefit Agreement and Labor Standards

Impact

This bill establishes stringent labor standards for construction projects related to energy generation. Developers must pay workers at least the prevailing wage and adhere to specific reporting and documentation requirements. This includes ensuring that all contractors and subcontractors are certified, possess required licenses, and are involved in apprenticeship training. By implementing these labor standards, the bill aims to elevate workforce quality and ensure that local workers benefit from the economic opportunities generated by these energy projects, fostering both economic growth and fair labor practices.

Summary

House Bill 569 addresses energy generation, transmission, and storage projects in Maryland. It mandates that developers of certain energy projects, including those with significant capacity and energy storage capabilities, enter into community benefits agreements with local organizations. This law's intent is to ensure that projects not only provide energy but also contribute positively to the local communities, detailing the benefits and addressing potential adverse impacts of the projects. It emphasizes the importance of community engagement in energy projects, making it clear that collaboration with local stakeholders is a priority.

Contention

Notably, the bill allows for penalties for non-compliance, including potential debarment for contractors that provide false certifications. This strict oversight may lead to discussions about the burdens placed on smaller contractors who may struggle with compliance measures compared to larger firms. Critics might argue that while the intention of the bill is to safeguard community and labor interests, the stringent requirements could inadvertently reduce the number of qualified bidders for contracts, impacting project timelines and costs.