EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *hb0806* HOUSE BILL 806 P2, M3 2lr2003 By: Delegates Stein and Barve Introduced and read first time: February 3, 2022 Assigned to: Appropriations A BILL ENTITLED AN ACT concerning 1 Building Standards and Emissions Reductions – High Performance, State, and 2 Local Government Buildings, State Operations, and Eligible Projects 3 FOR the purpose of altering the definition of “high performance building” to include certain 4 schools and public safety buildings and require that the buildings meet certain 5 building standards; requiring the Department of General Services to establish a 6 maximum acceptable global warming potential for certain categories of eligible 7 materials used in certain eligible projects; requiring a unit of State government to 8 specify the eligible materials that will be used in an eligible project in the solicitation 9 for an eligible project; requiring a successful bidder or offeror of an eligible project to 10 submit certain information about each eligible material proposed to be used in an 11 eligible project; prohibiting a contractor from installing any eligible materials on an 12 eligible project until the contractor submits the required information for the eligible 13 material; requiring that certain State and local government buildings be in 14 compliance with a certain all–electric construction code and building emissions 15 standard; requiring certain State and local government buildings to achieve a certain 16 greenhouse gas direct emissions reduction and net–zero greenhouse gas direct 17 emissions from buildings on or before certain dates; requiring the Department to 18 develop and make available to the public an interagency climate action plan for 19 achieving certain emissions reductions from all State operations; and generally 20 relating to building standards and greenhouse gas emissions reductions in the State. 21 BY repealing and reenacting, with amendments, 22 Article – State Finance and Procurement 23 Section 3–602.1(a) 24 Annotated Code of Maryland 25 (2021 Replacement Volume) 26 BY adding to 27 Article – State Finance and Procurement 28 2 HOUSE BILL 806 Section 3–602.3; and 4–901 through 4–905 to be under the new subtitle “Subtitle 9. 1 Buy Clean Maryland Act” 2 Annotated Code of Maryland 3 (2021 Replacement Volume) 4 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 5 That the Laws of Maryland read as follows: 6 Article – State Finance and Procurement 7 3–602.1. 8 (a) (1) In this section the following words have the meanings indicated. 9 (2) “High performance building” means a building that: 10 (i) 1. A. [meets or exceeds the current] ACHIEVES AT 11 LEAST A SILVER RATING ACCORDING TO THE MOST RECENT version of the U.S. Green 12 Building Council’s LEED (Leadership in Energy and Environmental Design) Green 13 Building Rating System [Silver rating]; OR 14 B. IS A SCHOOL OR PUBLI C SAFETY BUILDING THAT 15 ACHIEVES AT LEAST A CERTIFIED RATING ACCORDING TO THE MOST RECENT 16 VERSION OF THE U.S. GREEN BUILDING COUNCIL’S LEED GREEN BUILDING 17 RATING SYSTEM AND, BASED ON THE BUILDIN G’S LOCATION, ACHIEVES 5 POINTS 18 OR FEWER IN THE COMB INED CREDITS FOR ACC ESS TO QUALITY TRANSIT AND 19 SURROUNDING DENSITY AND DIVERSE USES ; 20 [(ii)] 2. Achieves at least a comparable numeric rating according 21 to a nationally recognized, accepted, and appropriate numeric sustainable development 22 rating system, guideline, or standard approved by the Secretaries of Budget and 23 Management and General Services; or 24 [(iii)] 3. Complies with a nationally recognized and accepted green 25 building code, guideline, or standard reviewed and recommended by the Maryland Green 26 Building Council and approved by the Secretaries of Budget and Management and General 27 Services; AND 28 (II) 1. MEETS OR EXCEEDS THE CURRENT REQUIREMENTS 29 FOR CERTIFICATION UN DER THE U.S. GREEN BUILDING COUNCIL’S LEED 30 (LEADERSHIP IN ENERGY AND ENVIRONMENTAL DESIGN) ZERO ENERGY 31 PROGRAM; OR 32 2. ACHIEVES A NET –ZERO ENERGY BALANCE IN 33 ACCORDANCE WITH STAN DARDS OR GUIDELINES RECOMMENDED BY THE 34 HOUSE BILL 806 3 MARYLAND GREEN BUILDING COUNCIL AND APPROVED BY THE SECRETARY OF 1 BUDGET AND MANAGEMENT AND THE SECRETARY OF GENERAL SERVICES. 2 (3) “Major renovation” means the renovation of a building where: 3 (i) the building shell is to be reused for the new construction; 4 (ii) the heating, ventilating, and air conditioning (HVAC), electrical, 5 and plumbing systems are to be replaced; and 6 (iii) the scope of the renovation is 7,500 square feet or greater. 7 SUBTITLE 9. BUY CLEAN MARYLAND ACT. 8 4–901. 9 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 10 INDICATED. 11 (B) “ELIGIBLE MATERIAL ” MEANS ANY OF THE FOL LOWING MATERIALS 12 USED IN THE CONSTRUCTION OF A CA PITAL PROJECT : 13 (1) CEMENT AND CONCRETE MIXTURES; 14 (2) GLASS; 15 (3) POSTTENSION STEEL ; 16 (4) REINFORCING STEEL ; 17 (5) STRUCTURAL STEEL ; AND 18 (6) WOOD STRUCTURAL ELEM ENTS. 19 (C) (1) “ELIGIBLE PROJECT ” MEANS A CAPITAL PROJ ECT UNDER § 3–602 20 OF THIS ARTICLE. 21 (2) “ELIGIBLE PROJECT ” DOES NOT INCLUDE : 22 (I) ANY MAINTENANCE PROG RAM FOR THE UPKEEP O F A 23 CAPITAL PROJECT ; 24 (II) ANY ROAD OR HIGHWAY PROJECT; OR 25 4 HOUSE BILL 806 (III) A CAPITAL PROJECT AT A PUBLIC SCHOOL , AS DEFINED IN § 1 1–101 OF THE EDUCATION ARTICLE. 2 (D) “GLOBAL WARMING POTENT IAL” MEANS THE DEGREE THA T A GIVEN 3 MASS OF A CHEMICAL C ONTRIBUTES TO GLOBAL WARMING OVER A GIVEN TIME 4 PERIOD WHEN COMPARED TO THE SAME MASS OF CARBON DIOXIDE . 5 (E) “GREENHOUSE GAS ” HAS THE MEANING STAT ED IN § 2–1202 OF THE 6 ENVIRONMENT ARTICLE. 7 4–902. 8 IN ADMINISTERING THIS SUBTITLE, THE DEPARTMENT SHALL STRI VE TO 9 ACHIEVE A CONTINUOUS REDUCTION OF GREENHO USE GAS EMISSIONS OV ER TIME. 10 4–903. 11 (A) ON OR BEFORE JANUARY 1, 2024, THE DEPARTMENT SHALL ESTABLISH 12 A MAXIMUM ACCEPTABLE GLOBAL WARMING POTEN TIAL FOR EACH CATEGO RY OF 13 ELIGIBLE MATERIALS U SED IN AN ELIGIBLE P ROJECT IN ACCORDANCE WITH THIS 14 SECTION. 15 (B) THE DEPARTMENT SHALL : 16 (1) BASE THE MAXIMUM ACC EPTABLE GLOBAL WARMI NG POTENTIAL 17 ON THE INDUSTRY AVERAGE OF GLOB AL WARMING POTENTIAL EMISSIONS FOR THAT 18 MATERIAL; 19 (2) DETERMINE THE INDUST RY AVERAGE OF GLOBAL WARMING 20 POTENTIAL EMISSIONS , WHICH MAY INCLUDE TR ANSPORTATION –RELATED 21 EMISSIONS, BY CONSULTING NATION ALLY OR INTERNATIONA LLY RECOGNIZED 22 DATABASES OF ENVIRONM ENTAL PRODUCT DECLAR ATIONS; AND 23 (3) EXPRESS THE MAXIMUM ACCEPTABLE GLOBAL WA RMING 24 POTENTIAL AS A NUMBE R THAT STATES THE MA XIMUM ACCEPTABLE GLO BAL 25 WARMING POTENTIAL FO R EACH CATEGORY OF E LIGIBLE MATERIALS , CONSISTENT 26 WITH CRITERIA IN AN ENVIRONMENTAL PRO DUCT DECLARATION . 27 (C) THE DEPARTMENT MAY : 28 (1) ESTABLISH ADDITIONAL SUBCATEGORIES WITHIN EACH 29 CATEGORY OF ELIGIBLE MATERIALS WITH DISTINCT MAXIMU M ACCEPTABLE 30 GLOBAL WARMING POTEN TIAL LIMITS; 31 HOUSE BILL 806 5 (2) ESTABLISH A MAXIMUM ACCEPTABLE GL OBAL WARMING 1 POTENTIAL FOR EACH M ATERIAL CATEGORY IN THE AGGREGATE ; AND 2 (3) CONSULT WITH ANY OTH ER RELEVANT UNIT OF STATE 3 GOVERNMENT WHEN ESTA BLISHING A MAXIMUM A CCEPTABLE GLOBAL WAR MING 4 POTENTIAL FOR EACH C ATEGORY OF ELIGIBLE MATERIALS USED IN AN ELIGIBLE 5 PROJECT. 6 (D) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , BY JANUARY 7 1, 2027, AND EVERY 3 YEARS THEREAFTER , THE DEPARTMENT SHALL REVI EW THE 8 MAXIMUM ACCEPTABLE G LOBAL WARMING POTENT IAL FOR EACH CATEGOR Y OF 9 ELIGIBLE MATERIALS A ND MAY ADJUST THE PO TENTIAL FOR ANY CATE GORY TO 10 REFLECT INDUSTRY CON DITIONS. 11 (2) THE DEPARTMENT MAY NOT AD JUST THE GLOBAL WARM ING 12 POTENTIAL UPWARD FOR ANY CATEGORY OF ELIG IBLE MATERIAL. 13 SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 14 as follows: 15 Article – State Finance and Procurement 16 4–904. 17 (A) (1) FOR ANY SOLICITATION FOR A CONTRACT FOR A N ELIGIBLE 18 PROJECT, A UNIT OF STATE GOVERNMENT SHAL L SPECIFY THE ELIGIB LE 19 MATERIALS THAT WILL BE USED IN THE PROJE CT AND THE REASONABL E MINIMUM 20 USAGE THRESHO LDS BELOW WHICH THE REQUIREMENTS OF THIS SECTION DO NOT 21 APPLY. 22 (2) A UNIT OF STATE GOVERNMENT MAY INCLUDE IN A SOLICIT ATION 23 FOR AN ELIGIBLE PROJ ECT A GLOBAL WARMING POTENTIAL FOR ANY EL IGIBLE 24 MATERIAL THAT IS LOW ER THAN THE MAXIMUM ACCEPTABLE GLOBAL WA RMING 25 POTENTIAL FOR THAT M ATERIAL AS DETERMINE D UNDER § 4–903 OF THIS 26 SUBTITLE. 27 (B) THE DEPARTMENT SHALL REQU IRE A SUCCESSFUL BID DER OR 28 OFFEROR OF AN ELIGIB LE PROJECT TO SUBMIT , FOR EACH ELIGIBLE MA TERIAL 29 PROPOSED TO BE USED IN THE ELIGIBLE PROJ ECT: 30 (1) A CURRENT ENVIRONMEN TAL PRODUCT DECLARAT ION, TYPE III, 31 AS DEFINED BY THE INTERNATIONAL ORGANIZATION FOR STANDARDIZATION 32 STANDARD 14025; OR 33 6 HOUSE BILL 806 (2) A SIMILARLY ROBUST L IFE CYCLE ASSESSMENT METHOD THAT 1 INCLUDES UNIFORM STA NDARDS IN DATA COLLE CTION. 2 (C) A CONTRACTOR MAY NOT I NSTALL ANY ELIGIBLE MATERIALS ON THE 3 ELIGIBLE PROJECT UNT IL THE CONTRACTOR SU BMITS A FACILITY –SPECIFIC 4 ENVIRONMENTAL PRODUC T DECLARATION FOR TH AT ELIGIBLE MATERIAL AS 5 REQUIRED UNDER SUBSE CTION (B) OF THIS SECTION. 6 (D) IF AN ENVIRONMEN TAL PRODUCT DECLARAT ION IS NOT AVAILABLE FOR 7 AN ELIGIBLE MATERIAL , THE CONTRACTOR SHALL NOTIFY THE UNIT AND USE AN 8 ALTERNATIVE ELIGIBLE MATERIAL WITH AN ENV IRONMENTAL PRODUCT 9 DECLARATION . 10 (E) THE DEPARTMENT MAY WAIVE THE REQUIREMENTS OF THIS SECTION 11 IF IT DETERMINES THAT R EQUIRING THE RELEVAN T ELIGIBLE MATERIALS WOULD: 12 (1) BE TECHNICALLY INFEA SIBLE; 13 (2) RESULT IN A SIGNIFIC ANT INCREASE IN PROJ ECT COST; 14 (3) RESULT IN A SIGNIFIC ANT DELAY IN PROJECT COMPLETION ; OR 15 (4) RESULT IN ONLY ONE S OURCE OR MANUFACTURER BEIN G ABLE 16 TO PROVIDE THE NECES SARY MATERIALS . 17 4–905. 18 (A) ON OR BEFORE DECEMBER 1, 2024, AND EACH YEAR THEREA FTER, THE 19 DEPARTMENT SHALL SUBM IT AN ANNUAL REPORT , IN ACCORDANCE WITH § 2–1257 20 OF THE STATE GOVERNMENT ARTICLE, TO THE GENERAL ASSEMBLY THAT 21 INCLUDES: 22 (1) WHAT THE DEPARTMENT HAS LEARNE D ABOUT HOW TO IDENT IFY 23 AND QUANTIFY EMBODIE D CARBON IN BUILDING MATERIALS, INCLUDING LIFE 24 CYCLE COSTS; AND 25 (2) ANY OBSTACLES THE DEPARTMENT , BIDDERS, OR OFFERORS 26 HAVE ENCOUNTERED IN IDENTIFYING AND QUANTIFYING E MBODIED CARBON IN 27 BUILDING MATERIALS . 28 (B) THE REPORT SUBMITTED ON OR BEFORE DECEMBER 1, 2024, SHALL 29 INCLUDE A DESCRIPTIO N OF THE METHOD THAT THE DEPARTMENT USED TO 30 HOUSE BILL 806 7 DEVELOP THE MAXIMUM ACCEPTABLE GLOBAL WA RMING POTENTIAL FOR EACH 1 CATEGORY OF ELIGIBLE MATE RIALS. 2 SECTION 3. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 3 as follows: 4 Article – State Finance and Procurement 5 3–602.3. 6 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 7 INDICATED. 8 (2) (I) “COVERED BUILDING” MEANS: 9 1. A STATE BUILDING; AND 10 2. A LOCAL GOVERNMENT B UILDING FOR WHICH AT 11 LEAST 50% OF THE CONSTRUCTION COSTS ARE PROVIDED B Y THE STATE. 12 (II) “COVERED BUILDING ” DOES NOT INCLUDE A SCHOOL. 13 (3) “SCOPE 1 EMISSIONS” MEANS DIRECT GREENHOUSE GAS 14 EMISSIONS FROM SOURCES CONTROLLED O R OWNED BY AN ENTITY . 15 (4) “SCOPE 2 EMISSIONS” MEANS INDIRECT GREEN HOUSE GAS 16 EMISSIONS ASSOCIATED WITH THE PURCHASE OF ELECTRICITY , STEAM, HEAT, OR 17 COOLING. 18 (B) ALL NEW CONSTRUCTION OF COVERED BUILDING S SHALL COMPLY WITH 19 AN ALL–ELECTRIC CONSTRUCTIO N CODE FOR NEW RESIDENTIAL AND COMMERCIAL 20 BUILDINGS ESTABLISHED BY THE DEPARTMENT OF LABOR’S BUILDING CODES 21 ADMINISTRATION . 22 (C) EACH COVERED BUILDING WIT H A GROSS FLOOR AREA OF 25,000 23 SQUARE FEET OR MORE , INCLUDING BOTH EXIST ING BUILDINGS AND NE W 24 CONSTRUCTION , SHALL: 25 (1) BEGINNING JANUARY 1, 2025, BE IN COMPLIANCE WITH A 26 BUILDING EMISSIONS S TANDARD ESTABLISHED BY THE DEPARTMENT OF THE 27 ENVIRONMENT ; 28 (2) ON OR BEFORE JANUARY 1, 2030, ACHIEVE A 50% REDUCTION IN 29 NET GREENHOUSE GAS DIRECT EMISSIONS FROM BUILDINGS FROM : 30 8 HOUSE BILL 806 (I) 2025 LEVELS; OR 1 (II) AN ALTERNATIVE BASEL INE OF NOT EARLIER THAN 2020 IF 2 AUTHORIZED UNDER THE BUILDING EMISSIONS S TANDARD ESTABLISHED BY THE 3 DEPARTMENT OF THE ENVIRONMENT ; AND 4 (3) ON OR BEFORE JANUARY 1, 2035, ACHIEVE NET –ZERO 5 GREENHOUSE GAS DIRECT EMISSIONS FROM BUILDINGS . 6 (D) (1) BEGINNING IN 2023, ON OR BEFORE JANUARY 1 EACH YEAR, THE 7 DEPARTMENT OF GENERAL SERVICES SHALL REPORT TO THE GENERAL 8 ASSEMBLY, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, 9 ON THE STATUS OF GRE ENHOUSE GAS EMISSION S FOR ALL STATE OPERATIONS, 10 INCLUDING THE UNIVERSITY SYSTEM OF MARYLAND. 11 (2) ON OR BEFORE JANUARY 1, 2025, THE DEPARTME NT OF 12 GENERAL SERVICES SHALL DEVELO P AND MAKE AVAILABLE TO THE PUBLIC AN 13 INTERAGENCY CLIMATE ACTION PLAN FOR ACHIEVING NET –ZERO SCOPE 1 AND 14 SCOPE 2 EMISSIONS FROM ALL STATE OPERATIONS , INCLUDING STATE–FUNDED 15 OPERATIONS AND THE UNIVERSITY SYSTEM OF MARYLAND. 16 SECTION 4. AND BE IT FURTHER ENACTED, That, on or before December 1, 17 2022, the Maryland Green Building Council shall: 18 (1) seek input from community and industry stakeholders on 19 recommendations to implement the provisions of Sections 1 and 2 of this Act, including: 20 (i) architects; 21 (ii) civil engineers; 22 (iii) environmental scientists; 23 (iv) institutions of higher education in the State; 24 (v) materials manufacturers; and 25 (vi) State contractors; and 26 (2) report the recommendations to the General Assembly, in accordance 27 with § 2–1257 of the State Government Article. 28 SECTION 5. AND BE IT FURTHER ENACTED, That Section 2 of this Act shall take 29 effect July 1, 2024. 30 HOUSE BILL 806 9 SECTION 6. AND BE IT FURTHER ENACTED, That Section 3 of this Act shall take 1 effect October 1, 2022, contingent on the taking effect of Chapter ____ (S.B. ____/H.B. 2 ____)(2lr1975) of the Acts of the General Assembly of 2022, and if Chapter ____ (S.B. 3 ____/H.B. ____)(2lr1975) does not become effective, Section 3 of this Act, with no further 4 action required by the General Assembly, shall be null and void. 5 SECTION 7. AND BE IT FURTHER ENACTED, That , except as provided in 6 Sections 5 and 6 of this Act, this Act shall take effect July 1, 2022. 7