Maryland 2022 Regular Session

Maryland House Bill HB831 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2
3	3	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4	[Brackets] indicate matter deleted from existing law.
5	5	hb0831
6	6
7	7	HOUSE BILL 831
8	8	M3, M5 2lr1975
9	9
10	10	By: Delegates Stein and Barve
11	11	Introduced and read first time: February 3, 2022
12	12	Assigned to: Environment and Transportation
13	13
14	14	A BILL ENTITLED
15	15
16	16	AN ACT concerning 1
17	17
18	18	Reducing Greenhouse Gas Emissions – Commercial and Residential Buildings 2
19	19
20	20	FOR the purpose of requiring the Department of the Environment to establish building 3
21	21	emissions standards for certain commercial and residential buildings; establishing 4
22	22	the Building Energy Transition Implementation Task Force to study certain matters 5
23	23	and develop a plan for funding the retrofit of certain buildings; requiring the 6
24	24	Maryland Department of Labor to update the Maryland Building Perf ormance 7
25	25	Standards; and generally relating to reducing greenhouse gas emissions from 8
26	26	commercial and residential buildings in the State. 9
27	27
28	28	BY adding to 10
29	29	Article – Environment 11
30	30	Section 2–1601 through 2–1603 to be under the new subtitle “Subtitle 16. Building 12
31	31	Emissions Standards” 13
32	32	Annotated Code of Maryland 14
33	33	(2013 Replacement Volume and 2021 Supplement) 15
34	34
35	35	BY repealing and reenacting, without amendments, 16
36	36	Article – Public Safety 17
37	37	Section 12–501 and 12–505(a)(1) 18
38	38	Annotated Code of Maryland 19
39	39	(2018 Replacement Volume and 2021 Supplement) 20
40	40
41	41	BY repealing and reenacting, with amendments, 21
42	42	Article – Public Safety 22
43	43	Section 12–503 23
44	44	Annotated Code of Maryland 24
45	45	(2018 Replacement Volume and 2021 Supplement) 25
46	46
47	47	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 26
48	48	That the Laws of Maryland read as follows: 27 2 HOUSE BILL 831
49	49
50	50
51	51
52	52	Article – Environment 1
53	53
54	54	SUBTITLE 16. BUILDING EMISSIONS STANDARD S. 2
55	55
56	56	2–1601. 3
57	57
58	58	(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 4
59	59	INDICATED. 5
60	60
61	61	(B) “BUILDING” HAS THE MEANING STAT ED IN THE INTERNATIONAL 6
62	62	BUILDING CODE. 7
63	63
64	64	(C) (1) “COVERED BUILDING ” MEANS A COMMERCIAL O R MULTIFAMILY 8
65	65	RESIDENTIAL BUILDING IN THE STATE THAT HAS A GROSS FLO OR AREA OF 25,000 9
66	66	SQUARE FEET OR MORE , EXCLUDING THE PARKIN G GARAGE AREA. 10
67	67
68	68	(2) “COVERED BUILDING ” DOES NOT INCLUDE A BUILDING 11
69	69	DESIGNATED AS A HISTORIC PROPERTY UNDER FEDER AL, STATE, OR LOCAL LAW. 12
70	70
71	71	(D) “DIRECT BUILDING EMISSIONS” MEANS GREENHOUSE GAS EMISSIONS 13
72	72	PRODUCED ON –SITE BY A COVERED BU ILDING. 14
73	73
74	74	2–1602. 15
75	75
76	76	(A) IT IS THE GOAL OF THE STATE THAT HOLISTIC R ETROFITS, INCLUDING 16
77	77	WEATHERIZATION MEASU RES AND HEAT PUMP IN STALLATIONS, BE IMPLEMENT ED 17
78	78	IN 100% OF LOW–INCOME HOUSEHOLDS WI TH MINIMAL OR NO UPF RONT COSTS FOR 18
79	79	THE RESIDENT BY JANUARY 1, 2030. 19
80	80
81	81	(B) THE DEPARTMENT SHALL DEVELOP BUILDING EMI SSIONS STANDARDS 20
82	82	FOR COVERED BUILDING S THAT ACHIEVE: 21
83	83
84	84	(1) A 20% REDUCTION IN DIRECT BUILDING EMISSIONS ON OR 22
85	85	BEFORE JANUARY 1, 2030, FROM: 23
86	86
87	87	(I) 2025 LEVELS; OR 24
88	88
89	89	(II) AN ALTERNATIVE BASELI NE OF NOT EARLIER THAN 2020 IF 25
90	90	AUTHORIZED UNDER THE BUILDING EMISSIONS S TANDARD S DEVELOPED UNDER 26
91	91	THIS SUBSECTION; AND 27
92	92
93	93	(2) NET–ZERO DIRECT BUILDING EMISSIONS ON OR BEFO RE 28
94	94	JANUARY 1, 2040. 29 HOUSE BILL 831 3
95	95
96	96
97	97
98	98	(C) TO FACILITATE THE DEV ELOPMENT OF BUILDING EMISSIONS 1
99	99	STANDARDS UNDER THIS SECTION , THE DEPARTMENT SHALL REQU IRE THE 2
100	100	OWNERS OF COVERED BU ILDINGS TO MEASURE A ND REPORT DIRECT EMI SSIONS TO 3
101	101	THE DEPARTMENT ANNUALLY B EGINNING IN 2025. 4
102	102
103	103	(D) (1) THE DEPARTMENT SHALL ADOP T REGULATIONS TO IMP LEMENT 5
104	104	THIS SECTION. 6
105	105
106	106	(2) REGULATIONS ADOPTED UNDER THIS S ECTION SHALL: 7
107	107
108	108	(I) PROVIDE MAXIMUM FLEXI BILITY TO THE OWNERS OF 8
109	109	COVERED BUILDINGS TO COMPLY WITH BUILDING EMISSI ONS STANDARDS ; 9
110	110
111	111	(II) SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION , 10
112	112	INCLUDE AN ALTERNATI VE COMPLIANCE PATHWA Y ALLOWING THE OWNER OF A 11
113	113	COVERED BUILDING TO PAY A FEE FOR BUILDI NG EMISSIONS THAT EX CEED THE 12
114	114	BUILDING EMISSIONS S TANDARDS; AND 13
115	115
116	116	(III) TO THE EXTENT AUTHORI ZED BY LAW, INCLUDE FINANCIAL 14
117	117	INCENTIVES RECOMMEND ED BY THE BUILDING ENERGY TRANSITION 15
118	118	IMPLEMENTATION TASK FORCE. 16
119	119
120	120	(3) THE DEPARTMENT MAY NOT SE T AN ALTERNATIVE COM PLIANCE 17
121	121	FEE THAT IS LESS THA N THE SOCIAL COST OF GREENHOUSE GASES ADO PTED BY THE 18
122	122	DEPARTMENT OR THE U.S. ENVIRONMENTAL PROTECTION AGENCY. 19
123	123
124	124	2–1603. 20
125	125
126	126	(A) THERE IS A BUILDING ENERGY TRANSITION IMPLEMENTATION TASK 21
127	127	FORCE. 22
128	128
129	129	(B) THE TASK FORCE CONSISTS OF THE FOLLOWING MEMBERS : 23
130	130
131	131	(1) THE SECRETARY, OR THE SECRETARY’S DESIGNEE; 24
132	132
133	133	(2) THE SECRETARY OF HOUSING AND COMMUNITY DEVELOPMENT , 25
134	134	OR THE SECRETARY’S DESIGNEE; 26
135	135
136	136	(3) THE SECRETARY OF GENERAL SERVICES, OR THE SECRETARY’S 27
137	137	DESIGNEE; 28
138	138
139	139	(4) THE DIRECTOR OF THE MARYLAND ENERGY ADMINISTRATION , 29 4 HOUSE BILL 831
140	140
141	141
142	142	OR THE DIRECTOR’S DESIGNEE; 1
143	143
144	144	(5) THE CHAIR OF THE PUBLIC SERVICE COMMISSION, OR THE 2
145	145	CHAIR’S DESIGNEE; 3
146	146
147	147	(6) THE PEOPLE’S COUNSEL, OR THE PEOPLE’S COUNSEL’S 4
148	148	DESIGNEE; 5
149	149
150	150	(7) THE EXECUTIVE DIRECTOR OF THE MARYLAND CLEAN ENERGY 6
151	151	CENTER, OR THE EXECUTIVE DIRECTOR’S DESIGNEE; 7
152	152
153	153	(8) THE CHAIR OF THE MARYLAND GREEN BUILDING COUNCIL, OR 8
154	154	THE CHAIR’S DESIGNEE; 9
155	155
156	156	(9) ONE MEMBER OF THE HOUSE OF DELEGATES, APPOINTED BY THE 10
157	157	SPEAKER OF THE HOUSE; 11
158	158
159	159	(10) ONE MEMBER OF THE SENATE, APPOINTED BY THE PRESIDENT 12
160	160	OF THE SENATE; AND 13
161	161
162	162	(11) THE FOLLOWING MEMBERS , APPOINTED BY THE GOVERNOR: 14
163	163
164	164	(I) ONE REPRESENTATIVE OF A NONPROFIT OR PROFE SSIONAL 15
165	165	ORGANIZATION THAT AD VOCATES FOR ENERGY –EFFICIENT BUILDINGS OR A 16
166	166	LOW–CARBON–BUILT ENVIRONMENT ; 17
167	167
168	168	(II) ONE REPRESENTATIVE OF A BUSINESS THAT PROV IDES 18
169	169	ENERGY EFFICIENCY OR RENEWABLE ENERGY SER VICES TO LARGE BUILD INGS OR 19
170	170	AFFORDABLE HOUSING IN MARYLAND; 20
171	171
172	172	(III) ONE REPRESENTATIVE WH O IS AN ARCHITECT WI TH 21
173	173	EXPERIENCE PLANNING MODIFICATIONS TO EXI STING BUILDINGS TO A CHIEVE 22
174	174	GREENHOUSE GAS EMISS IONS REDUCTIONS ; 23
175	175
176	176	(IV) ONE REPRESENTATIVE WH O IS A MECHANICAL , 24
177	177	ELECTRICAL, OR PLUMBIN G ENGINEER OR COMMIS SIONING AGENT WITH 25
178	178	EXPERIENCE IN MODIFY ING OR REPLACING SYS TEMS IN ORDER TO ACH IEVE 26
179	179	GREENHOUSE GAS EMISS IONS REDUCTIONS ; 27
180	180
181	181	(V) ONE REPRESENTATIVE OF THE APARTMENT AND OFFICE 28
182	182	BUILDING ASSOCIATION; 29
183	183
184	184	(VI) ONE REPRESENTATIVE WH O IS AN AFFORDABLE H OUSING 30 HOUSE BILL 831 5
185	185
186	186
187	187	DEVELOPER ; 1
188	188
189	189	(VII) ONE REPRESENTATIVE WH O IS A FACILITIES OR PROPERTY 2
190	190	MANAGER FOR AN APART MENT BUILDING ; 3
191	191
192	192	(VIII) ONE REPRESENTATIVE WH O IS A FACILITIES OR PROPERTY 4
193	193	MANAGER FOR A COMMER CIAL BUILDING; 5
194	194
195	195	(IX) ONE REPRESENTATIVE OF A FINANCIAL INSTITUT ION; AND 6
196	196
197	197	(X) ONE REPRESENTATIVE OF A PRIVATE EQUITY FIR M. 7
198	198
199	199	(C) THE SECRETARY SHALL DESIG NATE THE CHAIR OF TH E TASK FORCE. 8
200	200
201	201	(D) THE DEPARTMENT SHALL PROV IDE STAFF FOR THE TASK FORCE. 9
202	202
203	203	(E) A MEMBER OF THE TASK FORCE: 10
204	204
205	205	(1) MAY NOT RECEIVE COMPE NSATION AS A MEMBER OF THE TASK 11
206	206	FORCE; BUT 12
207	207
208	208	(2) IS ENTITLED TO REIMBU RSEMENT FOR EXPENSES UNDER THE 13
209	209	STANDARD STATE TRAVEL REGULATIONS, AS PROVIDED IN THE STATE BUDGET . 14
210	210
211	211	(F) (1) THE TASK FORCE SHALL: 15
212	212
213	213	(I) STUDY AND MAKE RECOMMENDAT IONS REGARDING THE 16
214	214	DEVELOPMENT OF COMPL EMENTARY PROGRAMS , POLICIES, AND INCENTIVES 17
215	215	AIMED AT REDUCING GR EENHOUSE GAS EMISSIO NS FROM THE BUILDING SECTOR IN 18
216	216	ACCORDANCE WITH THIS SUBTITLE; AND 19
217	217
218	218	(II) DEVELOP A PLAN FOR FU NDING THE RETROF IT OF 20
219	219	COVERED BUILDINGS TO COMPLY WITH BUILDING EMISSIONS STANDARDS . 21
220	220
221	221	(2) THE PLAN DEVELOPED UN DER THIS SUBSECTION MAY INCLUDE 22
222	222	RECOMMENDATIONS RELA TED TO: 23
223	223
224	224	(I) THE CREATION OF COMME RCIAL TAX CREDITS OR DIRECT 24
225	225	SUBSIDY PAYMENTS FOR BUILDING DECARBONIZA TION PROJECTS ; 25
226	226
227	227	(II) THE CREATION OF FINAN CIAL INCENTIVES THRO UGH 26
228	228	EMPOWER AND OTHER STATE PROGRAMS TO SUP PORT ALL ASPECTS OF THE 27
229	229	TRANSITION TO ELECTR IFIED BUILDINGS; AND 28 6 HOUSE BILL 831
230	230
231	231
232	232
233	233	(III) THE USE OF OPTIONS SU CH AS ON–BILL, LOW–INTEREST 1
234	234	FINANCING TO SPREAD OUT THE UP –FRONT COSTS ASSOCIAT ED WITH 2
235	235	ELECTRIFICATION RETR OFIT UPGRADES . 3
236	236
237	237	(G) ON OR BEFORE DECEMBER 1, 2023, THE TASK FORCE SHALL DELIVER 4
238	238	ITS PLAN TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE STATE 5
239	239	GOVERNMENT ARTICLE, THE GENERAL ASSEMBLY. 6
240	240
241	241	Article – Public Safety 7
242	242
243	243	12–501. 8
244	244
245	245	(a) In this subtitle the following words have the meanings indicated. 9
246	246
247	247	(b) “Building” has the meaning stated in the International Building Code. 10
248	248
249	249	(c) “Department” means the Maryland Department of Labor. 11
250	250
251	251	(d) (1) “International Building Code” means the first printing of the most 12
252	252	recent edition of the International Building Code issued by the International Code Council. 13
253	253
254	254	(2) “International Building Code” does not include interim amendments or 14
255	255	subsequent printings of the most recent edition of the International Building Code. 15
256	256
257	257	(e) (1) “International Energy Conservation Code” means the first printing of 16
258	258	the most recent edition of the International Energy Conservation Code issued by the 17
259	259	International Code Council. 18
260	260
261	261	(2) “International Energy Conservation Code” does not include interim 19
262	262	amendments or subsequent printings of the most recent edition of the International Energy 20
263	263	Conservation Code. 21
264	264
265	265	(f) (1) “International Green Construction Code” means the first printing of the 22
266	266	most recent edition of the International Green Construction Code issued by the 23
267	267	International Code Council. 24
268	268
269	269	(2) “International Green Construction Code” does not include interim 25
270	270	amendments or subsequent printings of the most recent edition of the International Green 26
271	271	Construction Code. 27
272	272
273	273	(g) “Local jurisdiction” means the county or municipal corporation that is 28
274	274	responsible for implementation and enforcement of the Standards under this subtitle. 29
275	275
276	276	(h) “Standards” means the Maryland Building Performance Standards. 30
277	277	HOUSE BILL 831 7
278	278
279	279
280	280	(i) “Structure” has the meaning stated in the International Building Code. 1
281	281
282	282	12–503. 2
283	283
284	284	(a) (1) The Department shall adopt by regulation, as the Maryland Building 3
285	285	Performance Standards, the International Building Code, including the International 4
286	286	Energy Conservation Code, with the modifications incorporated by the Department under 5
287	287	subsection (b) of this section. 6
288	288
289	289	(2) The Department shall adopt each subsequent version of the Standards 7
290	290	within 18 months after it is issued. 8
291	291
292	292	(b) (1) Before adopting each version of the Standards, the Department shall: 9
293	293
294	294	(i) review the International Building Code to determine whether 10
295	295	modifications should be incorporated in the Standards; 11
296	296
297	297	(ii) consider changes to the International Building Code to enhance 12
298	298	energy conservation and efficiency; 13
299	299
300	300	(iii) subject to the provisions of paragraph (2)(ii) of this subsection, 14
301	301	adopt modifications to the Standards that allow any innovative approach, design, 15
302	302	equipment, or method of construction that can be demonstrated to offer performance that 16
303	303	is at least the equivalent to the requirements of: 17
304	304
305	305	1. the International Energy Conservation Code; 18
306	306
307	307	2. Chapter 13, “Energy Efficiency”, of the International 19
308	308	Building Code; or 20
309	309
310	310	3. Chapter 11, “Energy Efficiency”, of the International 21
311	311	Residential Code; 22
312	312
313	313	(iv) accept written comments; 23
314	314
315	315	(v) consider any comments received; and 24
316	316
317	317	(vi) hold a public hearing on each proposed modification. 25
318	318
319	319	(2) (i) Except as provided in subparagraph (ii) of this paragraph and § 26
320	320	12–510 of this subtitle, the Department may not adopt, as part of the Standards, a 27
321	321	modification of a building code requirement that is more stringent than the requirement in 28
322	322	the International Building Code. 29
323	323
324	324	(ii) 1. The Department may adopt energy conservation 30
325	325	requirements that are more stringent than the requirements in the International Energy 31 8 HOUSE BILL 831
326	326
327	327
328	328	Conservation Code, but may not adopt energy conservation requirements that are less 1
329	329	stringent than the requirements in the International Energy Conservation Code. 2
330	330
331	331	2. ON OR BEFORE JANUARY 1, 2023, THE DEPARTMENT 3
332	332	SHALL ADOPT A MODIFICATION TO THE INTERNATIONAL ENERGY CONSERVATION 4
333	333	CODE TO PROVIDE THAT RESIDENTIAL BUILDING S THAT ARE CONSTRUCTED TO AN 5
334	334	ABOVE–CODE CERTIFICATION P ROGRAM MEET ENERGY CONSERVA TION 6
335	335	REQUIREMENTS . 7
336	336
337	337	(3) (I) ON OR BEFORE JANUARY 1, 2023, THE DEPARTMENT SHALL 8
338	338	ADOPT, AS PART OF THE STANDARDS: 9
339	339
340	340	1. SUBJECT TO SUBPARAGR APH (II) OF THIS 10
341	341	PARAGRAPH , A REQUIREMENT THAT NEW RESIDENTIAL AND COMMERCIAL 11
342	342	BUILDINGS MEET ALL W ATER AND SPACE HEATI NG DEMAND WITHOUT TH E USE OF 12
343	343	FOSSIL FUELS; AND 13
344	344
345	345	2. ELECTRIC–READY STANDARDS TO E NSURE THAT NEW 14
346	346	BUILDINGS ARE READY FOR: 15
347	347
348	348	A. THE INSTALLATION OF SOLAR ENERGY SYSTEMS ; 16
349	349
350	350	B. THE INSTALLATION OF ELECTRIC VEHICLE CHA RGING 17
351	351	EQUIPMENT; AND 18
352	352
353	353	C. BUILDING–GRID INTERACTION . 19
354	354
355	355	(II) 1. A LOCAL JURISDICTION M AY GRANT A VARIANCE 20
356	356	FROM THE REQUIREMENT S OF SUBPARAGRAPH (I)1 OF THIS PARAGRAPH FO R A 21
357	357	BUILDING ONLY IF THE LOCAL JURISDI CTION DETERMINES , IN ACCORDANCE WITH 22
358	358	A COST–EFFECTIVENESS TEST D EVELOPED BY THE DEPARTMENT , THAT THE 23
359	359	INCREMENTAL COST OF CONSTRUCTING THE BUI LDING TO COMPLY WITH THE 24
360	360	REQUIREMENTS WOULD B E GREATER THAN THE S OCIAL COST OF THE GR EENHOUSE 25
361	361	GASES THAT WOULD BE REDUCED BY COMPLYING WITH THE REQUIREMENT S. 26
362	362
363	363	2. THE COST–EFFECTIVENESS TEST D EVELOPED BY THE 27
364	364	DEPARTMENT UNDER THIS SUBPARAGRAPH SHALL : 28
365	365
366	366	A. FOR THE PURPOSE OF C ALCULATING THE SOCIA L 29
367	367	COST OF GREENHOUSE G ASES, USE EITHER THE RATE ADOPTED BY THE 30
368	368	DEPARTMENT OF THE ENVIRONMENT OR THE RA TE ADOPTED BY THE U.S. 31
369	369	ENVIRONMENTAL PROTECTION AGENCY, WHICHEVER IS GREATER ; AND 32
370	370	HOUSE BILL 831 9
371	371
372	372
373	373	B. ACCOUNT FOR PROJECTE D UTILITY COST RATES AND 1
374	374	EMISSIONS RATES BASE D ON THE MOST RECENT FINAL GREENHOUSE GAS 2
375	375	EMISSIONS REDUCTION PLAN ADOPTED UNDER § 2–1205 OF THE ENVIRONMENT 3
376	376	ARTICLE. 4
377	377
378	378	3. A BUILDING THAT RECEIV ES A VARIANCE IN 5
379	379	ACCORDANCE WITH THE COST–EFFECTIVENESS TEST D EVELOPED UNDER THIS 6
380	380	SUBPARAGRAPH SHALL S TILL BE REQUIRED TO COMPLY WITH ELECTRIC –READY 7
381	381	STANDARDS ADOPTED UN DER SUBPARAGRAPH (I)2 OF THIS PARAGRAPH . 8
382	382
383	383	(III) 1. A LOCAL JURISDICTION MAY ADOPT ANY LAW , RULE, 9
384	384	OR ORDINANCE TO IMPO SE PENALTIES FOR NON COMPLIANCE WITH ANY 10
385	385	REQUIREMENT ADOPTED UNDER THIS PARAGRAPH. 11
386	386
387	387	2. THE AMOUNT OF ANY PEN ALTY UNDER 12
388	388	SUBSUBPARAGRAPH 1 OF THIS SUBPARAGRAPH MAY NOT EXCEED THE 13
389	389	ALTERNATIVE C OMPLIANCE FEE ESTABLI SHED BY THE DEPARTMENT UNDER § 14
390	390	2–1602(D)(2)(II) OF THE ENVIRONMENT ARTICLE. 15
391	391
392	392	(c) The Standards apply to each building or structure in the State for which a 16
393	393	building permit application is received by a local jurisdiction on or after August 1, 1995. 17
394	394
395	395	(d) In addition to the Standards, the Department [may] SHALL: 18
396	396
397	397	(1) ON OR BEFORE JANUARY 1, 2023, adopt by regulation the 2018 19
398	398	International Green Construction Code; AND 20
399	399
400	400	(2) ADOPT EACH SUBSEQUEN T VERSION OF THE CODE WITHIN 18 21
401	401	MONTHS AFTER IT IS I SSUED. 22
402	402
403	403	12–505. 23
404	404
405	405	(a) (1) (i) Each local jurisdiction shall implement and enforce the most 24
406	406	current version of the Standards and any local amendments to the Standards. 25
407	407
408	408	(ii) Any modification of the Standards adopted by the State after 26
409	409	December 31, 2009, shall be implemented and enforced by a local jurisdiction no later than 27
410	410	12 months after the modifications are adopted by the State. 28
411	411
412	412	SECTION 2. AND BE IT FURTHER ENACTED, That thi s Act shall take effect 29
413	413	October 1, 2022. 30