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.
Italics indicate opposite chamber/conference committee amendments.
*hb0714*
HOUSE BILL 714
M3 (2lr2077)
ENROLLED BILL
— Environment and Transportation/Education, Health, and Environmental Affairs —
Introduced by Delegate Stein
Read and Examined by Proofreaders:
_______________________________________________
Proofreader.
_______________________________________________
Proofreader.
Sealed with the Great Seal and presented to the Governor, for his approval this
_______ day of _______________ at ________________________ o’clock, ________M.
______________________________________________
Speaker.
CHAPTER ______
AN ACT concerning 1
Bay Restoration Fund – Intended Use Plans and Privately Owned Wastewater 2
Facilities 3
FOR the purpose of requiring the Department of the Environment to provide a certain 4
intended use plan to the General Assembly within a certain period of time; altering 5
the definition of “privately owned wastewater facility” as it relates to the awarding 6
of grants from the Bay Restoration Fund; requiring the Department of the 7
Environment and the Department of Planning to report on and the Department of 8
the Environment to provide certain information regarding funding for privately 9
owned wastewater facilities to the General Assembly and the Department of Budget 10
and Management; prohibiting the Department of the Environment from providing 11
funding from the Bay Restoration Fund’s Clean Water Commerce Account Fund to 12
privately owned wastewater facilities if a determination is made that the facility was 13
not in compliance with a certain discharge permit for a certain period of time; 14
prohibiting the Act from being construed to apply to a certain industrial wastewater 15 2 HOUSE BILL 714
facility that is connecting to a publicly owned wastewater facility; and generally 1
relating to funding from the Bay Restoration Fund, intended use plans, and privately 2
owned wastewater facilities. 3
BY repealing and reenacting, with amendments, 4
Article – Environment 5
Section 9–1605(a)(1), 9–1605(a)(1) and 9–1605.2(i)(1) and (2)(i) and (k), and 6
9–1605.4(q) (k) 7
Annotated Code of Maryland 8
(2014 Replacement Volume and 2021 Supplement) 9
BY adding to 10
Article – Environment 11
Section 9–1605(f) and 9–1605.2(i)(12) 12
Annotated Code of Maryland 13
(2014 Replacement Volume and 2021 Supplement) 14
BY repealing and reenacting, without amendments, 15
Article – Environment 16
Section 9–1605.2(i)(2)(i) 17
Annotated Code of Maryland 18
(2014 Replacement Volume and 2021 Supplement) 19
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 20
That the Laws of Maryland read as follows: 21
Article – Environment 22
9–1605. 23
(a) (1) (I) There is a Maryland Water Quality Revolving Loan Fund. 24
(II) The Water Quality Fund shall be maintained and administered 25
by the Administration in accordance with the provisions of this subtitle and such rules or 26
program directives as the Secretary or the Board may from time to time prescribe. 27
(F) THE DEPARTMENT SHALL PROV IDE TO THE GENERAL ASSEMBLY, IN 28
ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, A COPY OF 29
EACH INTENDED USE PL AN THAT THE DEPARTMENT SUBMITS TO THE U.S. 30
ENVIRONMENTAL PROTECTION AGENCY TO REQUEST FED ERAL CAPITALIZATION 31
GRANTS AND AWARDS IN ACCORDANCE WITH TITLE VI OF THE FEDERAL WATER 32
POLLUTION CONTROL ACT FOR USE IN THE WATER QUALITY FUND WITHIN 5 DAYS 33
AFTER THE DEPARTMENT PUBLISHES THE PLAN FOR PUBLIC COMMENT. 34
9–1605.2. 35
HOUSE BILL 714 3
(i) (1) (i) In this subsection the following words have the meanings 1
indicated. 2
(ii) “Eligible costs” means the additional costs that would be 3
attributable to upgrading a wastewater facility to enhanced nutrient removal, as 4
determined by the Department. 5
(iii) “Privately owned wastewater facility” means a wastewater 6
facility that is owned by a private entity AND PROVIDES WASTEWA TER TREATMENT OR 7
DISPOSAL SERVICES TO MULTIPLE RESIDENTIAL DWELLING UNITS . 8
(iv) “Publicly owned wastewater facility” means a wastewater facility 9
that is owned by this State or a political subdivision, municipal corporation, or other public 10
entity. 11
(2) Funds in the Bay Restoration Fund shall be used only: 12
(i) 1. To award grants for up to 100% of eligible costs of projects 13
relating to planning, design, construction, and upgrade of a publicly owned wastewater 14
facility for flows up to the design capacity of the wastewater facility, as approved by the 15
Department, to achieve enhanced nutrient removal in accordance with paragraph (3) of this 16
subsection; and 17
2. To SUBJECT TO PARAGRAPH (12) OF THIS 18
SUBSECTION, TO award grants for up to 50% of eligible costs of projects relating to 19
planning, design, construction, and upgrade of a privately owned wastewater facility for 20
flows up to the design capacity of the wastewater facility, as approved by the Department, 21
to achieve enhanced nutrient removal in accordance with paragraph (3) of this subsection; 22
(12) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 23
PARAGRAPH , THE DEPARTMENT MAY NOT PR OVIDE FUNDING UNDER THIS SECTION 24
TO THE OWNER OF A PR IVATELY OWNED WASTEW ATER FACILITY IF THE 25
DEPARTMENT OR THE U.S. ENVIRONMENTAL PROTECTION AGENCY HAS 26
DETERMINED IN THE 2 YEARS IMMEDIATELY PR ECEDING THE DATE ON WHICH THE 27
OWNER APPLIED FOR FU NDING UNDER THIS SEC TION THAT THE FACILI TY DID NOT 28
COMPLY WITH A DISCHA RGE PERMIT ISSUED BY THE DEPARTMENT UNDER THIS 29
TITLE. 30
(II) THE DEPARTMENT MAY PROVID E FUNDING UNDER THIS 31
SECTION TO THE OWNER OF A PRIVATELY OWNED WASTEWATER FACILITY THAT 32
WOULD NOT BE ELIGIBL E FOR FUNDING UNDER SUBPARAGRAPH (I) OF THIS 33
PARAGRAPH IF THE DEPARTMENT DETER MINES, BASED ON PROOF SUBMI TTED BY 34
THE OWNER OF THE FAC ILITY WHEN APPLYING FOR FUNDING UNDER TH IS SECTION, 35
THAT: 36
4 HOUSE BILL 714
1. THE THE OWNER OF THE FACILIT Y LACKS THE 1
FINANCIAL CAPACITY T O PURCHASE OR UPGRAD E A WASTEWATER TREAT MENT 2
SYSTEM THAT WOULD BR ING THE FA CILITY INTO COMPLIAN CE WITH THE 3
DISCHARGE PERMIT ISS UED BY THE DEPARTMENT ;. 4
2. THE FACILITY IS INDEP ENDENTLY OWNED AND 5
OPERATED; AND 6
3. THE OWNER OF THE FACI LITY IS NOT A SUBSID IARY 7
OF ANOTHER BUSINESS . 8
(III) 1. THE DEPARTMENT SHALL INCL UDE WITH ITS ANNUAL 9
OPERATING BUDGET PRO POSAL SUBMITTED TO T HE DEPARTMENT OF BUDGET AND 10
MANAGEMENT A LIST OF EACH FACILITY TO WHI CH THE DEPARTMENT PROVIDED 11
FUNDING UNDER SUBPAR AGRAPH (II) OF THIS PARAGRAPH IN THE IMMEDIATELY 12
PRECEDING 12 MONTHS AND THE REASO NS FOR PROVIDING THE FUNDING. 13
2. IF THE DEPARTMENT PROVIDES T HE LIST UNDER 14
SUBSUBPARAGRAPH 1 OF THIS SUBPARAGRAPH TO THE DEPARTMENT OF BUDGET 15
AND MANAGEMENT , THE DEPARTMENT SHALL IMME DIATELY PROVIDE THE LIST TO 16
THE GENERAL ASSEMBLY IN ACCORDANC E WITH § 2–1257 OF THE STATE 17
GOVERNMENT ARTICLE. 18
SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 19
as follows: 20
Article – Environment 21
9–1605.2. 22
(k) (1) [Beginning January 1, 2009, and every year thereafter,] EACH YEAR 23
the Department and the Department of Planning shall jointly report on [the]: 24
(I) THE impact that a wastewater treatment facility that was 25
upgraded to enhanced nutrient removal during the calendar year before the previous 26
calendar year with funds from the Bay Restoration Fund had on growth within the 27
municipality or county in which the wastewater treatment facility is located; AND 28
(II) EACH PRIVATELY OWNED WASTEWATER FACILITY TO 29
WHICH THE DEPARTMENT PROVIDED F UNDING UNDER § 9–1605.4(Q)(3)(II) OF THIS 30
SUBTITLE SUBSECTION (I)(12) OF THIS SECTION IN THE IMMEDIATELY P RECEDING 31
12 MONTHS AND THE REASONS FOR PROV IDING THE FUNDING . 32
(2) (i) In preparing the report required under paragraph (1) of this 33
subsection, the Department of the Environment and the Department of Planning shall: 34 HOUSE BILL 714 5
1. Include the number of permits issued for residential and 1
commercial development to be served by the upgraded wastewater treatment facility; and 2
2. Determine what other appropriate information is to be 3
included in the report. 4
(ii) In determining the information that should be included in the 5
report under subparagraph (i) of this paragraph, the Department of the Environment and 6
the Department of Planning shall act: 7
1. In consultation with the Bay Restoration Fund Advisory 8
Committee; and 9
2. With the assistance of the municipality and county in 10
which an upgraded wastewater treatment facility is located. 11
(3) The Department and the Department of Planning shall submit the 12
report required under paragraph (1) of this subsection to the President of the Senate, the 13
Speaker of the House, the Senate Budget and Taxation Committee, the Senate Education, 14
Health, and Environmental Affairs Committee, the House Appropriations Committee, the 15
House Environment and Transportation Committee, and the Governor, in accordance with 16
§ 2–1257 of the State Government Article. 17
9–1605.4. 18
(q) (1) (i) Subject to subparagraph (ii) of this paragraph, a project or 19
practice that is partially financed with another source of State funds may be funded under 20
this section. 21
(ii) Funding provided to a project or practice under this subsection 22
shall be prorated to cover only the portion of the environmental benefit not funded by 23
another State source. 24
(2) (i) An environmental outcome that is funded entirely with public 25
funds is not eligible to be purchased with funds from the Account. 26
(ii) If an environmental outcome is partially funded with public 27
funds and is verified under subsection (l) of this section, funds from the Account may be 28
used to purchase the remaining portion of the environmental outcome that is not funded 29
with public funds. 30
(3) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 31
PARAGRAPH , THE DEPARTMENT MAY NOT PR OVIDE FUNDING UNDER THIS SECTION 32
TO THE OWNER OF A PR IVATELY OWNED WASTEW ATER FACILITY, AS DEFINED IN § 33
9–1605.2(I) OF THIS SUBTITLE, IF THE DEPARTMENT OR THE U.S. ENVIRONMENTAL 34 6 HOUSE BILL 714
PROTECTION AGENCY HAS DETERMINED IN THE 2 YEARS IMMEDIATELY PR ECEDING 1
THE DATE ON WHICH TH E OWNER OF THE FACIL ITY SUBMITTED A FUND ING 2
PROPOSAL UNDER THIS SECTION THAT THE FAC ILITY DID NOT COMPLY WITH A 3
DISCHARGE PERMIT ISSUED BY THE DEPARTMENT UNDER THIS TITLE. 4
(II) THE DEPARTMENT MAY PROVID E FUNDING UNDER THIS 5
SECTION TO THE OWNER OF A PRIVATELY OWNED WASTEWATER FACILITY THAT 6
WOULD NOT BE ELIGIBL E FOR FUNDING UNDER SUBPARAGRAPH (I) OF THIS 7
PARAGRAPH IF THE DEPARTMEN T DETERMINES , BASED ON PROOF SUBMI TTED BY 8
THE OWNER OF THE FAC ILITY WHEN SUBMITTIN G A FUNDING PROPOSAL UNDER 9
THIS SECTION, THAT: 10
1. THE OWNER OF THE FACI LITY LACKS THE FINAN CIAL 11
CAPACITY TO PURCHASE OR UPGRADE A WASTEWA TER TREATMENT SYSTEM THAT 12
WOULD BRING THE FACILITY I NTO COMPLIANCE WITH THE DISCHARGE PERMIT 13
ISSUED BY THE DEPARTMENT ; 14
2. THE FACILITY IS INDEP ENDENTLY OWNED AND 15
OPERATED; AND 16
3. THE OWNER OF THE FACI LITY IS NOT A SUBSID IARY 17
OF ANOTHER BUSINESS . 18
(III) 1. THE DEPARTMENT SHA LL INCLUDE WITH ITS ANNUAL 19
OPERATING BUDGET PRO POSAL SUBMITTED TO T HE DEPARTMENT OF BUDGET AND 20
MANAGEMENT A LIST OF EACH FACILITY TO WHI CH THE DEPARTMENT PROVIDED 21
FUNDING UNDER SUBPAR AGRAPH (II) OF THIS PARAGRAPH IN THE IMMEDIATELY 22
PRECEDING 12 MONTHS AND THE REASONS FOR PROV IDING THE FUNDING . 23
2. IF THE DEPARTMENT PROVIDES T HE LIST UNDER 24
SUBSUBPARAGRAPH 1 OF THIS SUBPARAGRAPH TO THE DEPARTMENT OF BUDGET 25
AND MANAGEMENT , THE DEPARTMENT SHALL IMME DIATELY PROVIDE THE LIST TO 26
THE GENERAL ASSEMBLY IN ACCORDANCE WITH § 2–1257 OF THE STATE 27
GOVERNMENT ARTICLE. 28
SECTION 2. AND BE IT FURTHER ENACTED, That this Act may not be construed 29
to apply to any privately owned industrial wastewater facility that is connecting to a publicly 30
owned wastewater facility and has been awarded grant funding for this purpose from the 31
Bay Restoration Fund in the Fiscal Year 2023 Capital Budget or any preceding Capital 32
Budget. 33
SECTION 3. 2. 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 34
July 1, 2022. Section 2 of this Act shall remain effective until the taking effect of the 35
termination provision specified in Section 3 of Chapters 694 and 695 of the Acts of the 36 HOUSE BILL 714 7
General Assembly of 2021. If that termination provision takes effect, Section 2 of this Act 1
shall be abrogated and of no further force and effect. This Act may not be interpreted to 2
have any effect on that termination provision. 3
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.