EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LA W.
[Brackets] indicate matter deleted from existing law.
*sb0135*
SENATE BILL 135
M5, C5 2lr0993
(PRE–FILED) CF HB 171
By: Senator Kramer
Requested: October 28, 2021
Introduced and read first time: January 12, 2022
Assigned to: Education, Health, and Environmental Affairs and Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Climate Crisis and Environmental Justice Act 2
FOR the purpose of requiring the State to reduce greenhouse gas emissions through various 3
measures, including by altering statewide greenhouse gas emissions reduction 4
requirements, requiring the Department of the Environment to adopt a certain plan 5
for the reduction of statewide greenhouse gas emissions on or before a certain date, 6
establishing a Climate Crisis Initiative in the Department, establishing a Climate 7
Crisis Council to develop a plan to achieve certain emissions reductions, and 8
establishing a greenhouse gas pollution fee on certain fuels; altering the date by 9
which and the frequency with which a certain report must be submitted to the 10
Governor and the General Assembly; requiring a local distribution company for 11
natural gas to pay the fee for all natural gas that the company distributes for 12
combustion in the State; establishing the Household and Employer Benefit Fund as 13
a special, nonlapsing fund for certain purposes; requiring interest earnings of the 14
Benefit Fund to be credited to the Benefit Fund; establishing the Climate Crisis 15
Infrastructure Fund as a special, nonlapsing fund for certain purposes; requiring 16
interest earnings of the Infrastructure Fund to be credited to the Infrastructure 17
Fund; requiring the Commission on Environmental Justice a nd Sustainable 18
Communities to establish certain criteria for the disbursement and investment of 19
certain money in the Infrastructure Fund; requiring the Secretary of the 20
Environment to prepare certain reports periodically considering certain matters; 21
requiring the Secretary of the Environment, in consultation with the Commission, 22
the Secretary of Housing and Community Development, and the Secretary of Human 23
Services, to identify certain measures and programs that provide low–income energy 24
assistance and energy efficiency improvements for renter–occupied dwellings in 25
consultation with certain units each year; and generally relating to greenhouse gas 26
emissions reductions. 27
BY renumbering 28
Article – Environment 29 2 SENATE BILL 135
Section 2–1201 and 2–1202, respectively 1
to be Section 2–1202 and 2–1201, respectively 2
Annotated Code of Maryland 3
(2013 Replacement Volume and 2021 Supplement) 4
BY adding to 5
Article – Environment 6
New part designation “Part I. Statewide Inventory and Emissions Reduction Plan” 7
to immediately precede Section 2–1201; and Section 2–1215 through 2–1225 8
to be under the new part “Part II. Climate Crisis Initiative” 9
Annotated Code of Maryland 10
(2013 Replacement Volume and 2021 Supplement) 11
BY repealing and reenacting, without amendments, 12
Article – Environment 13
Section 2–1201 and 2–1202(1) through (5) and (8) 14
Annotated Code of Maryland 15
(2013 Replacement Volume and 2021 Supplement) 16
(As enacted by Section 1 of this Act) 17
BY repealing and reenacting, with amendments, 18
Article – Environment 19
Section 2–1204.1, 2–1205, and 2–1211 20
Annotated Code of Maryland 21
(2013 Replacement Volume and 2021 Supplement) 22
BY repealing and reenacting, without amendments, 23
Article – State Finance and Procurement 24
Section 6–226(a)(2)(i) 25
Annotated Code of Maryland 26
(2021 Replacement Volume) 27
BY repealing and reenacting, with amendments, 28
Article – State Finance and Procurement 29
Section 6–226(a)(2)(ii)144. and 145. 30
Annotated Code of Maryland 31
(2021 Replacement Volume) 32
BY adding to 33
Article – State Finance and Procurement 34
Section 6–226(a)(2)(ii)146. and 147. 35
Annotated Code of Maryland 36
(2021 Replacement Volume) 37
BY repealing and reenacting, with amendments, 38
Chapter 11 of the Acts of the General Assembly of 2016 39
Section 6 40 SENATE BILL 135 3
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1
That Section(s) 2–1201 and 2–1202, respectively, of Article – Environment of the Annotated 2
Code of Maryland be renumbered to be Section(s) 2–1202 and 2–1201, respectively. 3
SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 4
as follows: 5
Article – Environment 6
PART I. STATEWIDE INVENTORY AND EMISSIONS REDUCTION PLAN. 7
2–1201. 8
(a) In this subtitle the following words have the meanings indicated. 9
(b) “Alternative compliance mechanism” means an action authorized by 10
regulations adopted by the Department that achieves the equivalent reduction of 11
greenhouse gas emissions over the same period as a direct emissions reduction. 12
(c) “Carbon dioxide equivalent” means the measurement of a given weight of a 13
greenhouse gas that has the same global warming potential, measured over a specified 14
period of time, as one metric ton of carbon dioxide. 15
(d) “Direct emissions reduction” means a reduction of greenhouse gas emissions 16
from a greenhouse gas emissions source. 17
(e) “Greenhouse gas” includes carbon dioxide, methane, nitrous oxide, 18
hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride. 19
(f) “Greenhouse gas emissions source” means a source or category of sources of 20
greenhouse gas emissions that have emissions of greenhouse gases that are subject to 21
reporting requirements or other provisions of this subtitle, as determined by the 22
Department. 23
(g) “Leakage” means a reduction in greenhouse gas emissions within the State 24
that is offset by a corresponding increase in greenhouse gas emissions from a greenhouse 25
gas emissions source located outside the State that is not subject to a similar state, 26
interstate, or regional greenhouse gas emissions cap or limitation. 27
(h) (1) “Manufacturing” means the process of substantially transforming, or a 28
substantial step in the process of substantially transforming, tangible personal property 29
into a new and different article of tangible personal property by the use of labor or 30
machinery. 31
(2) “Manufacturing”, when performed by companies primarily engaged in 32
the activities described in paragraph (1) of this subsection, includes: 33 4 SENATE BILL 135
(i) The operation of saw mills, grain mills, or feed mills; 1
(ii) The operation of machinery and equipment used to extract and 2
process minerals, metals, or earthen materials or by–products that result from the 3
extracting or processing; and 4
(iii) Research and development activities. 5
(3) “Manufacturing” does not include: 6
(i) Activities that are primarily a service; 7
(ii) Activities that are intellectual, artistic, or clerical in nature; 8
(iii) Public utility services, including gas, electric, water, and steam 9
production services; or 10
(iv) Any other activity that would not commonly be considered as 11
manufacturing. 12
(i) “Statewide greenhouse gas emissions” means the total annual emissions of 13
greenhouse gases in the State, measured in metric tons of carbon dioxide equivalents, 14
including all emissions of greenhouse gases from the generation of electricity delivered to 15
and consumed in the State, and line losses from the transmission and distribution of 16
electricity, whether the electricity is generated in–State or imported. 17
2–1202. 18
The General Assembly finds that: 19
(1) Greenhouse gases are air pollutants that threaten to endanger the 20
public health and welfare of the people of Maryland; 21
(2) Global warming poses a serious threat to the State’s future health, 22
well–being, and prosperity; 23
(3) With 3,100 miles of tidally influenced shoreline, Maryland is vulnerable 24
to the threat posed by global warming and susceptible to rising sea levels and flooding, 25
which would have detrimental and costly effects; 26
(4) The State has the ingenuity to reduce the threat of global warming and 27
make greenhouse gas reductions a part of the State’s future by achieving a 25% reduction 28
in greenhouse gas emissions from 2006 levels by 2020 and by preparing a plan to meet a 29
longer–term goal of reducing greenhouse gas emissions by up to 90% from 2006 levels by 30
2050 in a manner that promotes new “green” jobs, and protects existing jobs and the State’s 31
economic well–being; 32 SENATE BILL 135 5
(5) Studies have shown that energy efficiency programs and technological 1
initiatives consistent with the goal of reducing greenhouse gas emissions can result in a net 2
economic benefit to the State; 3
(8) It is necessary to protect the public health, economic well–being, and 4
natural treasures of the State by reducing harmful air pollutants such as greenhouse gas 5
emissions by using practical solutions that are already at the State’s disposal; 6
2–1204.1. 7
(A) The State shall reduce statewide greenhouse gas emissions by [40%]: 8
(1) 60% from 2006 levels by 2030; AND 9
(2) 100% FROM 2006 LEVELS BY 2040. 10
(B) AFTER 2040, STATEWIDE GREENHOUSE GAS EMISSIONS SHALL BE NET 11
NEGATIVE. 12
2–1205. 13
(a) The State shall develop plans, adopt regulations, and implement programs 14
that reduce statewide greenhouse gas emissions in accordance with this subtitle. 15
(b) On or before December 31, 2018, the Department shall: 16
(1) Submit a proposed plan that reduces statewide green house gas 17
emissions by 40% from 2006 levels by 2030 to the Governor and General Assembly; 18
(2) Make the proposed plan available to the public; and 19
(3) Convene a series of public workshops to provide interested parties with 20
an opportunity to comment on the proposed plan. 21
(c) (1) The Department shall, on or before December 31, 2012, adopt a final 22
plan that reduces statewide greenhouse gas emissions by 25% from 2006 levels by 2020. 23
(2) The Department shall, on or before [December 31, 2019] DECEMBER 24
31, 2022, adopt a final plan that reduces statewide greenhouse gas emissions by [40%] 25
60% from 2006 levels by 2030. 26
(3) The plans shall be developed in recognition of the finding by the 27
Intergovernmental Panel on Climate Change that developed countries will need to reduce 28
greenhouse gas emissions by between 80% and 95% from 1990 levels by 2050. 29
6 SENATE BILL 135
(d) The final plans required under subsection (c) of this section shall include: 1
(1) Adopted regulations that implement all plan measures for which State 2
agencies have existing statutory authority; and 3
(2) A summary of any new legislative authority needed to fully implement 4
the plans and a timeline for seeking legislative authority. 5
(e) In developing and adopting a final plan to reduce statewide greenhouse gas 6
emissions, the Department shall consult with State and local agencies as appropriate. 7
(f) (1) Unless required by federal law or regulations or existing State law, 8
regulations adopted by State agencies to implement a final plan may not: 9
(i) Require greenhouse gas emissions reductions from the State’s 10
manufacturing sector; or 11
(ii) Cause a significant increase in costs to the State’s manufacturing 12
sector. 13
(2) Paragraph (1) of this subsection may not be construed to exempt 14
greenhouse gas emissions sources in the State’s manufacturing sector from the obligation 15
to comply with: 16
(i) Greenhouse gas emissions monitoring, recordkeeping, and 17
reporting requirements for which the Department had existing authority under § 2–301(a) 18
of this title on or before October 1, 2009; or 19
(ii) Greenhouse gas emissions reductions required of the 20
manufacturing sector as a result of the State’s implementation of the Regional Greenhouse 21
Gas Initiative. 22
(g) A regulation adopted by a State agency for the purpose of reducing greenhouse 23
gas emissions in accordance with this section may not be construed to result in a significant 24
increase in costs to the State’s manufacturing sector unless the source would not incur the 25
cost increase but for the new regulation. 26
2–1211. 27
The Department shall monitor implementation of the plans required under § 2–1205 28
of this subtitle and shall submit a report, on or before [October 1, 2022] DECEMBER 31, 29
2022, and every [5] 3 years thereafter, to the Governor and, in accordance with § 2–1257 30
of the State Government Article, the General Assembly that describes the State’s progress 31
toward achieving: 32
(1) The reductions in greenhouse gas emissions required under this 33
subtitle, or any revisions conducted in accordance with § 2–1210 of this subtitle; and 34 SENATE BILL 135 7
(2) The greenhouse gas emissions reductions needed by 2050 in order to 1
avoid dangerous anthropogenic changes to the Earth’s climate system, based on the 2
predominant view of the scientific community at the time of the latest report. 3
2–1213. RESERVED. 4
2–1214. RESERVED. 5
PART II. CLIMATE CRISIS INITIATIVE. 6
2–1215. 7
(A) IN THIS PART THE FOLL OWING WORDS HAVE THE MEANINGS 8
INDICATED. 9
(B) “ADMINISTRATION ” MEANS THE MARYLAND ENERGY 10
ADMINISTRATION . 11
(C) “ADULT RESIDENT ” MEANS A RESIDENT OF THE STATE WHO IS AT LEAST 12
18 YEARS OLD. 13
(D) “BENEFIT FUND” MEANS THE HOUSEHOLD AND EMPLOYER BENEFIT 14
FUND ESTABLISHED UNDE R § 2–1221 OF THIS SUBTITLE. 15
(E) “COMMISSION” MEANS THE PUBLIC SERVICE COMMISSION. 16
(F) “COUNCIL” MEANS THE CLIMATE CRISIS COUNCIL ESTABLISHED 17
UNDER § 2–1217 OF THIS SUBTITLE. 18
(G) “EMPLOYER” MEANS A PERSON , A GOVERNMENTAL UNIT , OR ANY 19
OTHER ENTITY THAT HA S EMPLOYEES WORKING IN THE STATE. 20
(H) “FOSSIL FUEL” MEANS: 21
(1) NATURAL GAS; 22
(2) PETROLEUM; 23
(3) COAL; AND 24
(4) ANY SOLID, LIQUID, OR GASEOUS FUEL DERI VED FROM ITEM (1), 25
(2), OR (3) OF THIS SUBSECTION . 26
8 SENATE BILL 135
(I) “FUGITIVE EMISSIONS ” MEANS EMISSIONS OF G REENHOUSE GASES 1
FROM EQUIPMENT , INCLUDING PIPELINES , DUE TO LEAKS OR OTHE R UNINTENDED 2
OR IRREGULAR RELEASE S. 3
(J) “GREENHOUSE GAS POLLUT ION FEE” OR “FEE” MEANS A FEE IMPOSED 4
ON EACH CARBON DIOXI DE EQUIVALENT UNDER THIS PART. 5
(K) “INFRASTRUCTURE FUND” MEANS THE CLIMATE CRISIS 6
INFRASTRUCTURE FUND ESTABLISHED UNDE R § 2–1222 OF THIS SUBTITLE. 7
(L) “INITIATIVE” MEANS THE CLIMATE CRISIS INITIATIVE ESTABLISHE D 8
UNDER THIS PART . 9
(M) (1) “LIFE–CYCLE EMISSIONS ” MEANS GREENHOUSE GAS EMISSIONS 10
THAT ARE RELEASED DU RING PHASES OF A FUE L OR OTHER PRODUCT ’S LIFE. 11
(2) “LIFE–CYCLE EMISSIONS ” INCLUDES GREENHOUSE GAS 12
EMISSIONS RELEASED DURING EXTR ACTION, PROCESSING, TRANSPORTATION , AND 13
DISPOSAL ACTIVITIES . 14
(N) “MINOR RESIDENT ” MEANS A RESIDENT OF THE STATE WHO IS UNDER 15
THE AGE OF 18 YEARS. 16
(O) “QUINTILE 1” MEANS THE 20% OF HOUSEHOLDS WITH P RE–TAX 17
INCOMES THROUGH THE
20TH
PERCENTILE OF ALL HOUSE HOLDS IN THE STATE. 18
(P) “QUINTILE 2” MEANS THE 20% OF HOUSEHOLDS WITH P RE–TAX 19
INCOMES ABOVE THE
20TH PERCENTILE THROUG H THE
40TH PERCENTILE OF ALL 20
HOUSEHOLDS IN THE STATE. 21
(Q) “QUINTILE 3” MEANS THE 20% OF HOUSEHOLDS WITH P RE–TAX 22
INCOMES ABOVE THE
40TH PERCENTILE THROUG H THE
60TH PERCENTILE OF ALL 23
HOUSEHOLDS IN THE STATE. 24
(R) “QUINTILE 4” MEANS THE 20% OF HOUSEHOLDS WITH P RE–TAX 25
INCOMES ABOVE THE
60TH PERCENTILE THROUG H THE
80TH PERCENTILE OF ALL 26
HOUSEHOLDS IN THE STATE. 27
(S) “QUINTILE 5” MEANS THE 20% OF HOUSEHOLDS WITH P RE–TAX 28
INCOMES ABOVE THE
80TH PERCENTILE OF ALL HOUSEHOLDS IN THE STATE. 29
2–1216. 30
SENATE BILL 135 9
(A) THERE IS A CLIMATE CRISIS INITIATIVE IN THE DEPARTMENT . 1
(B) THE INITIATIVE PROVIDES F OR: 2
(1) THE ESTABLISHMENT OF GREENHOUSE GAS REDUC TION GOALS; 3
(2) THE ESTABLISHMENT OF A CLIMATE CRISIS COUNCIL; 4
(3) THE ASSESSMENT OF GRE ENHOUSE GAS POLLUTIO N FEES; 5
(4) BENEFITS TO HOUSEHOLD S AND EMPLOYERS IN T HE STATE TO 6
MITIGATE THE IMPACT OF FEES UNDER THE INITIATIVE; AND 7
(5) THE FUNDING OF ACTIVI TIES FOR GREENHOUSE GAS REDUCTION 8
AND SEQUESTRATION , IMPROVEMENTS IN RESI LIENCY, AND THE PROMOTION OF A 9
JUST ECONOMIC TRANSI TION IN THE STATE. 10
2–1217. 11
(A) THERE IS A CLIMATE CRISIS COUNCIL. 12
(B) THE COUNCIL CONSISTS OF T HE FOLLOWING MEMBERS : 13
(1) ONE MEMBER OF THE SENATE OF MARYLAND, SELECTED BY THE 14
PRESIDENT OF THE SENATE; 15
(2) ONE MEMBER OF THE HOUSE OF DELEGATES, SELECTED BY THE 16
SPEAKER OF THE HOUSE; AND 17
(3) EXPERTS IN THE FIELDS OF ECONOMICS , ENVIRONMENTAL 18
SCIENCE, AND ENVIRONMENTAL JU STICE, AND OTHERS AS NEEDED , APPOINTED 19
JOINTLY BY THE PRESIDENT AND THE SPEAKER. 20
(C) (1) THE SECRETARY, IN COORDINATION WITH THE COUNCIL, SHALL 21
DEVELOP A PLAN TO AC HIEVE THE REDUCTION TARGETS SET OUT IN § 2–1204.1 OF 22
THIS SUBTITLE. 23
(2) THE PLAN: 24
(I) SHALL INCLUDE POLICIE S TO MITIGATE INEQUI TIES THAT 25
COULD ARISE FROM THE IMPLEMENTATION OF TH E PLAN; AND 26
(II) MAY RECOMMEND AMENDME NTS TO THE FEE , BENEFIT 27 10 SENATE BILL 135
FUND, AND INFRASTRUCTURE FUND ESTABLISHED UNDE R §§ 2–1219 THROUGH 1
2–1222 OF THIS SUBTITLE IF: 2
1. LOW– AND MODERATE –INCOME HOUSEHOLDS AN D 3
ENERGY–INTENSIVE, TRADE–EXPOSED EMPLOYERS AR E REASONABLY PROTECT ED 4
FROM FINANCIAL HARM ; AND 5
2. THE AMENDMENTS DO NOT DIMINISH THE 6
EFFECTIVENESS OF THE FEE, BENEFIT FUND, AND INFRASTRUCTURE FUND AT 7
REDUCING EMISSIONS . 8
(3) IN DEVELOPING THE PLA N AND ANY AMENDMENTS TO THE PLAN, 9
THE SECRETARY SHALL : 10
(I) HOLD PERIODIC MEETING S AT CONVENIENT LOCA TIONS 11
AND TIMES FOR PUBLIC PARTICIPATION ; AND 12
(II) PROVIDE A REASONABLE AMOUNT OF TIME IN EACH 13
MEETING FOR COMMENTS BY THE PUBLIC. 14
(4) BEFORE THE SECRETARY SUBMITS THE PLAN TO THE GENERAL 15
ASSEMBLY UNDER SUBSEC TION (D) OF THIS SECTION , AN INDEPENDENT AND 16
RESPECTED ENTITY MUS T VERIFY THROUGH MOD ELING THAT THE PLAN WILL: 17
(I) MEET THE GREENHOUSE GAS RE DUCTION TARGETS SET 18
OUT IN § 2–1204.1 OF THIS SUBTITLE; AND 19
(II) BE EQUITABLE. 20
(D) ON OR BEFORE DECEMBER 31, 2022, THE SECRETARY SHALL SUBMI T 21
THE PLAN DEVELOPED U NDER SUBSECTION (C) OF THIS SECTION TO T HE GENERAL 22
ASSEMBLY, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE. 23
2–1218. 24
(A) THE SECRETARY SHALL ADMIN ISTER THE SCHEDULES OF GREENHOUSE 25
GAS POLLUTION FEES U NDER THIS PART . 26
(B) THE SECRETARY SHALL DELEG ATE ALL COLLECTION O F GREENHOUSE 27
GAS POLLUTION CHARGE S, DISTRIBUTION OF BENE FITS, AND ANY OTHER 28
APPROPRIATE FUNCTION S TO THE COMPTROLLER . 29
(C) THE COMPTROLLER SHALL CAR RY OUT ALL FUNCTIONS THE 30 SENATE BILL 135 11
SECRETARY DELEGATES T O THE COMPTROLLER UNDER THI S PART. 1
2–1219. 2
(A) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, A 3
GREENHOUSE GAS POLLU TION FEE SHALL BE CO LLECTED ON ALL FOSSI L FUELS 4
BROUGHT INTO THE STATE FOR COMBUSTION IN THE STATE. 5
(2) NOTWITHSTANDING ANY O THER LAW , A GREENHOUSE GAS 6
POLLUTION FEE MAY NO T BE IMPOSED ON ANY GREENHOUSE GAS –PRODUCING 7
SUBSTANCE: 8
(I) THAT WILL BE USED TO GENERATE ELECTRICITY ; OR 9
(II) IF THE IMPOSITION IS SUPERSEDED BY FEDERA L LAW OR 10
REGULATION . 11
(B) SUBJECT TO SUBSECTION (C) OF THIS SECTION, THE FEE ASSESSED PER 12
TON OF CARBON DIOXID E EQUIVALENT ON : 13
(1) NONTRANSPORTATION FUELS SH ALL: 14
(I) BE $15 FROM JULY 31, 2022, THROUGH DECEMBER 31, 15
2023; 16
(II) BE $20 IN 2024; 17
(III) INCREASE BY $5 EACH YEAR THEREAFTER THROUGH 2031; 18
AND 19
(IV) BE $60 IN 2032 AND EACH YEAR THEREA FTER; AND 20
(2) TRANSPORTATION FUELS SHALL: 21
(I) BE $10 FROM JULY 31, 2023, THROUGH DECEMBER 31, 22
2023; 23
(II) BE $13 IN 2024; 24
(III) INCREASE BY $3 EACH YEAR THEREAFTER THROUGH 2031; 25
AND 26
(IV) BE $37 IN 2032 AND EACH YEAR THEREA FTER. 27 12 SENATE BILL 135
(C) IF THE FEES AND BENEF ITS UNDER THIS PART TAKE EFFECT IN A 1
CALENDAR YEAR LATER THAN 2023, THE SECRETARY SHALL DELAY THE SCHEDULE 2
OF FEES UNDER SUBSEC TION (B) OF THIS SECTION BY T HE SAME NUMBER OF YE ARS. 3
(D) (1) THE FEE ON FOSSIL FUE LS TO BE COMBUSTED I N THE STATE 4
SHALL BE: 5
(I) COLLECTED AT THE FOSSIL FUE L’S FIRST POINT OF SAL E IN 6
THE STATE; AND 7
(II) PAID BY THE ENTITY TR ANSPORTING THE FOSSI L FUEL 8
INTO THE STATE. 9
(2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , THE 10
ANNUAL TOTAL OF FEES PAID BY AN ENTITY TR ANSPORTING PETROLEUM 11
PRODUCTS INTO THE STATE UNDER PARAGRAPH (1) OF THIS SUBSECTION S HALL BE 12
REDUCED BY AN AMOUNT EQUAL TO THE ANNUAL TOTAL OF EMISSIONS 13
COMPLIANCE COST OBLI GATIONS THE PETROLEU M PRODUCT IS SUBJECT TO UNDER 14
REGIONAL INITIATIVES , INCLUDING THE TRANSPORTATION AND CLIMATE 15
INITIATIVE, FOR THE SAME YEAR . 16
(II) THE AMOUNT DEDUCTED U NDER SUBPARAGRAPH (I) OF 17
THIS PARAGRAPH MAY N OT EXCEED THE TOTAL AMOUNT OF THE FEE CA LCULATED 18
UNDER SUBSECTION (B) OF THIS SECTION. 19
(3) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , A 20
FEE COLLECTED UNDER THIS SECTION MAY NOT BE PASSED THROUGH AS A DIRECT 21
COST TO: 22
1. AN END USER OF A FOSS IL FUEL; OR 23
2. A CUSTOMER OF A GAS CO MPANY. 24
(II) THIS PARAGRAPH DOES N OT PROHIBIT THE PASS ING 25
THROUGH TO A CUSTOME R OF A FEE COLLECTED UNDER THIS SECTION ON NATU RAL 26
GAS DISTRIBUTED BY A GAS COMPANY ONLY TO THE EXTENT THAT THE COMMISSION 27
APPROVES THE FEE AS A PRUDENTLY INCURRED COST OF DISTRIBUTION . 28
(E) (1) A LOCAL DISTRIBUTION C OMPANY FOR NATURAL G AS SHALL PAY 29
THE FEE FOR ALL NATURAL GAS THAT THE COMPANY DISTRIBU TES FOR 30
COMBUSTION IN THE STATE. 31
SENATE BILL 135 13
(2) THE FEE UNDER THIS SU BSECTION SHALL BE CA LCULATED BY 1
MULTIPLYING THE NUMB ER OF CUBIC FEET OF NATURAL GAS USED BY EACH 2
CUSTOMER BY THE AMOU NT OF CARBON DIOXIDE EQUIVALENTS RELE ASED BY 3
BURNING 1 CUBIC FOOT OF NATURA L GAS, AS THAT VALUE IS DET ERMINED BY THE 4
U.S. ENERGY INFORMATION ADMINISTRATION . 5
(F) SUBJECT TO § 2–1223 OF THIS SUBTITLE , THE SECRETARY SHALL 6
DETERMINE THE AMOUNT OF EMISSIONS, AS CARBON DIOXIDE EQ UIVALENTS, FROM 7
ESCAPED OR INTENTIONA LLY RELEASED METHANE DUE TO THE EXTRACTIO N, 8
PROCESSING, TRANSPORT, OR DISTRIBUTION OF N ATURAL GAS BEFORE TH E POINT 9
OF COMBUSTION IN THE STATE, AND MAY ADD AN ADDIT IONAL FEE FOR THESE 10
EMISSIONS. 11
(G) (1) UNITS OF GOVERNMENT W HOSE PRIMAR Y PURPOSE IS TO 12
PROVIDE PUBLIC TRANS PORTATION BY BUS , VAN, RAIL, OR OTHER MEANS THAT 13
REDUCE THE AMOUNT OF DRIVING BY PRIVATE M OTOR VEHICLES SHALL BE EXEMPT 14
FROM GREENHOUSE GAS POLLUTION FEES UNDER THIS PART. 15
(2) IF AN EXEMPTION FOR A UNIT UNDER PARAGRAP H (1) OF THIS 16
SUBSECTION IS NOT FE ASIBLE, THE UNIT SHALL BE FU LLY REIMBURSED FOR I TS 17
INCREASED COSTS UNDE R THIS PART FROM THE BENEFIT FUND. 18
(H) SUBJECT TO SUBSECTION (C) OF THIS SECTION , THE COLLECTION OF 19
THE FEE UNDER THIS S ECTION SHALL BEGIN O N THE ADOPTION OF ALL NECESSA RY 20
RULES FOR ITS COLLEC TION, BUT NOT LATER THAN JANUARY 1, 2024, FOR 21
EMISSIONS OCCURRING IN THE LAST 6 MONTHS OF 2023. 22
(I) THE FEES COLLECTED UN DER THIS SECTION SHA LL BE PAID INTO THE 23
INFRASTRUCTURE FUND AND THE BENEFIT FUND IN ACCORD ANCE WITH THIS 24
PART. 25
(J) (1) USING THE BEST INFORM ATION AND SCIENCE RE ASONABLY 26
AVAILABLE, THE SECRETARY SHALL DETER MINE WHETHER TO IDEN TIFY ANY 27
GREENHOUSE GAS –EMITTING SUBSTANCE O R SOURCE, IN ADDITION TO NATUR AL 28
GAS, PETROLEUM , COAL, AND THEIR DERIVATIVE S, AS BEING A FOSSIL FU EL 29
SUBJECT TO THE FEE U NDER THIS PART . 30
(2) EMISSIONS FROM FARM A NIMALS AND CROPS MAY NOT BE 31
DESIGNATED AS SUBJEC T TO THE FEE UNDER T HIS PART. 32
(K) (1) WITHIN 3 YEARS AFTER THE FEES AND BENEFITS UNDER T HIS 33
PART TAKE EFFECT , AND EVERY 2 YEARS THEREAFTER , THE SECRETARY, IN 34
CONSULTATION WITH TH E COUNCIL, SHALL SUBMIT A REPOR T TO THE GOVERNOR 35 14 SENATE BILL 135
AND, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE 1
GENERAL ASSEMBLY. 2
(2) THE REPORT SHALL TAKE INTO CONSIDERATION W HETHER ANY 3
INCREASES OR DECREAS ES IN GREENHOUSE GAS POLLUTION FEES ARE 4
RECOMMENDED TO : 5
(I) ACCOUNT FOR INFLATION ; 6
(II) ADDRESS LIFE –CYCLE EMISSIONS AND FUGITIVE 7
EMISSIONS ISSUES ; 8
(III) ENSURE PROGRESS TOWAR D REACHING EMISSIONS LIMITS 9
UNDER § 2–1204.1 OF THIS SUBTITLE AND SUBTITLE 10 OF THIS TITLE; AND 10
(IV) MITIGATE SERIOUS HARM TO ECONOMIC SECTORS , 11
ECONOMIC SUBSECTORS , OR INDIVIDUAL ENERGY –INTENSIVE, TRADE–EXPOSED 12
EMPLOYERS IN THE STATE CAUSED BY COLLE CTION OF GREENHOUSE GAS 13
POLLUTION FEES UNDER THIS PART. 14
(3) TO MEET THE STATE’S GREENHOUSE GAS RED UCTION TARGETS 15
UNDER § 2–1204.1 OF THIS SUBTITLE , THE REPORT SHALL INC LUDE 16
RECOMMENDATIONS ON A DDITIONAL EMISSIONS SOURCES TO WHICH THE 17
GREENHOUSE GAS POLLU TION FEE SHOULD APPL Y, INCLUDING INDUSTRIAL 18
PROCESS EMISSIONS AND EMISSIONS ASSOCIATED WITH THE GENERATION AND 19
DISTRIBUTION OF ELEC TRICITY. 20
2–1220. 21
(A) REVENUES FROM GREENHO USE GAS POLLUTION FE ES UNDER THIS 22
PART SHALL BE DISTRI BUTED TO THE BENEFIT FUND AND THE INFRASTRUCTURE 23
FUND IN ACCORDANCE WI TH THIS SECTION. 24
(B) OF THE REVENUES GENER ATED BY THE FEE : 25
(1) 50% SHALL BE DISTRIBUTED EACH YEAR TO THE BENEFIT FUND 26
FOR THE PURPOSE OF P ROVIDING BENEFITS TO HOUSEHOLDS AND EMPLO YERS IN 27
ACCORDANCE WITH § 2–1221 OF THIS SUBTITLE; AND 28
(2) 50% SHALL B E DISTRIBUTED EACH Y EAR TO THE 29
INFRASTRUCTURE FUND. 30
2–1221. 31 SENATE BILL 135 15
(A) THERE IS A HOUSEHOLD AND EMPLOYER BENEFIT FUND. 1
(B) THE PURPOSES OF THE BENEFIT FUND ARE TO: 2
(1) PROVIDE A HIGH DEGREE OF PROTECTION FOR LO W– AND 3
MODERATE–INCOME HOUSEHOLDS IN THE STATE; AND 4
(2) PROTECT ENERGY –INTENSIVE, TRADE–EXPOSED EMPLOYERS IN 5
THE STATE. 6
(C) THE SECRETARY SHALL ADMIN ISTER THE BENEFIT FUND. 7
(D) (1) THE BENEFIT FUND IS A SPECIAL , NONLAPSING FUND THAT IS 8
NOT SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 9
(2) THE STATE TREASURER SHALL HOLD THE BENEFIT FUND 10
SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE BENEFIT FUND. 11
(E) THE BENEFIT FUND CONSISTS OF : 12
(1) PROCEEDS OF FEES DIST RIBUTED TO THE BENEFIT FUND UNDER 13
§ 2–1220(B) OF THIS SUBTITLE; 14
(2) MONEY APPROPRIATED IN THE STATE BUDGET TO THE BENEFIT 15
FUND; AND 16
(3) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED FOR 17
THE BENEFIT OF THE BENEFIT FUND. 18
(F) THE BENEFIT FUND MAY BE USED ONLY FOR: 19
(1) PAYMENT OF BENEFITS U NDER THIS SECTION; AND 20
(2) ADMINISTRATION OF THE BENEFIT FUND, NOT TO EXCEED 5% OF 21
THE MONEY IN THE BENEFIT FUND. 22
(G) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 23
BENEFIT FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE IN VESTED. 24
(2) ANY INTEREST EARNINGS OF THE BENEFIT FUND SHALL BE 25
CREDITED TO THE BENEFIT FUND. 26
16 SENATE BILL 135
(H) IN THE BENEFIT FUND THERE ARE THE FO LLOWING SEPARATE 1
ACCOUNTS: 2
(1) THE HOUSEHOLD BENEFIT ACCOUNT, WHICH CONSISTS OF 80% 3
OF THE MONEY IN THE BENEFIT FUND; AND 4
(2) THE EMPLOYER BENEFIT ACCOUNT, WHICH CONSISTS OF 20% OF 5
THE MONEY IN THE BENEFIT FUND. 6
(I) (1) (I) MONEY IN THE HOUSEHOLD BENEFIT ACCOUNT SHALL BE 7
DISTRIBUTED AS BENEF ITS IN ACCORDANCE WI TH THIS SUBSECTION . 8
(II) 1. ONE–HALF SHALL BE DISTRI BUTED TO HOUSEHO LDS 9
IN QUINTILE 1. 10
2. ONE–THIRD SHALL BE DISTR IBUTED TO 11
HOUSEHOLDS IN QUINTI LE 2. 12
3. ONE–SIXTH SHALL BE DISTR IBUTED TO HOUSEHOLDS 13
IN QUINTILE 3. 14
(III) 1. IF THE QUINTILE 1 DISTRIBUTION IS NOT SUFFICIENT 15
TO ENSURE THAT NO QU INTILE 1 HOUSEHOLD PAYS MORE IN FEES TH AN IT 16
RECEIVES IN BENEFITS , THE QUINTILE 1 DISTRIBUTION SHALL B E INCREASED TO 17
ENSURE THAT THIS REQ UIREMENT IS MET . 18
2. IF THE DISTRIBUTION T O QUINTILE 1 IS GREATER 19
THAN ONE–HALF, TWO–THIRDS OF THE FEES R EMAINING IN THE HOUSEHOLD 20
BENEFIT ACCOUNT AFTER DISTRIB UTION TO QUINTILE 1 SHALL BE DISTRIBUTED 21
TO QUINTILE 2 AND ONE–THIRD TO QUINTILE 3. 22
(2) (I) EACH QUINTILE’S TOTAL DISTRIBUTION AMOUNT SHALL BE 23
DIVIDED BY THE SUM O F THE ADULT RESIDENT S IN THAT QUINTILE P LUS ONE–HALF 24
OF THE MINO R RESIDENTS IN THAT QUINTILE TO PRODUCE THAT QUINTILE ’S 25
INITIAL BENEFIT. 26
(II) EACH HOUSEHOLD IN A Q UINTILE SHALL RECEIV E A 27
BENEFIT EQUAL TO THA T QUINTILE’S INITIAL BENEFIT TI MES THE SUM OF THE 28
NUMBER OF ADULT RESI DENTS IN THE HOUSEHO LD AND ONE–HALF OF THE NUMBER 29
OF MINOR RESIDENTS I N THE HOUSEHOLD . 30
(3) ANY MONEY REMAINING I N THE HOUSEHOLD BENEFIT ACCOUNT 31
AFTER THE DISTRIBUTI ON OF MONEY IN ACCOR DANCE WITH PARAGRAPH (1) OF 32 SENATE BILL 135 17
THIS SUBSECTION SHAL L BE DEPOSITED IN TH E INFRASTRUCTURE FUND. 1
(4) IN PROVIDI NG BENEFITS FROM FEE PROCEEDS FROM THE 2
HOUSEHOLD BENEFIT ACCOUNT, THE SECRETARY SHALL COORD INATE WITH THE 3
COMPTROLLER , THE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT , 4
THE DEPARTMENT OF HUMAN SERVICES, AND OTHER UNITS IN M AKING ALL 5
REASONABLE EFFORTS T O IDENTIFY THE NAMES AND ADDRESSES OF ALL 6
RESIDENTS, WITH SPECIAL ATTENTI ON TO THE NAMES AND ADDRESSES OF 7
LOW–INCOME RESIDENTS , SO THAT THEY CAN REC EIVE BENEFITS EXPEDI TIOUSLY. 8
(5) MONEY DISTRIBUTED FRO M THE HOUSEHOLD BENEFIT 9
ACCOUNT: 10
(I) MAY NOT BE INCLUDED IN TAXAB LE INCOME FOR 11
PURPOSES OF ANY STATE OR LOCAL INCOME TAX; AND 12
(II) SHALL, TO THE EXTENT FEASIB LE, BE EXCLUDED FROM 13
HOUSEHOLD INCOME FOR PURPOSES OF DETERMIN ING ELIGIBILITY FOR , OR THE 14
LEVEL OF, ANY FORM OF PUBLIC A SSISTANCE. 15
(J) (1) MONEY IN THE EMPLOYER BENEFIT ACCOUNT SHALL BE 16
DISTRIBUTED IN ACCOR DANCE WITH THIS SUBS ECTION. 17
(2) THE SECRETARY SHALL USE T HE MONEY IN THE EMPLOYER 18
BENEFIT ACCOUNT TO PROVIDE BE NEFITS TO EMPLOYERS . 19
(3) (I) THE SECRETARY, IN CONSULTATION WITH THE SECRETARY 20
OF COMMERCE, THE SECRETARY OF LABOR, AND THE SECRETARY OF HOUSING AND 21
COMMUNITY DEVELOPMENT , SHALL, WITH SPECIAL ATTENTI ON TO 22
MANUFACTURING AND AG RICULTURE, IDENTIFY ECONOMIC SE CTORS OR ECONOMIC 23
SUBSECTORS THAT ARE ENERGY–INTENSIVE AND TRADE –EXPOSED. 24
(II) THE SECRETARY SHALL , AS MITIGATION, CALCULATE THE 25
TOTAL PROCEEDS COLLE CTED FROM THE SECTOR S OR SUBSECTORS IDEN TIFIED IN 26
SUBPARAGRAPH (I) OF THIS PARAGRAPH AN D MAY APPORTION PART OR ALL OF THE 27
PROCEEDS TO THE AFFE CTED SECTOR OR SUBSE CTOR. 28
(4) MONEY REMAINING IN TH E EMPLOYER BENEFIT ACCOUNT 29
AFTER DISTRIBUTIONS UNDER PARAGRAPH (3) OF THIS SUBSECTION A RE 30
CALCULATED SHALL BE DEPOSITED IN THE INFRASTRUCTURE FUND. 31
(K) (1) THE SECRETARY SHALL CONSI DER ALTERNATIVE CALE NDAR 32
SCHEDULES FOR DISTRI BUTION OF THE BENEFITS AU THORIZED UNDER THIS 33 18 SENATE BILL 135
SECTION, INCLUDING PARTIAL OR WHOLE DISTRIBUTIONS EARLY IN THE RELEVAN T 1
REVENUE CYCLE AND ON A REGULAR BASIS THRO UGHOUT THE REVENUE C YCLE. 2
(2) THE METHOD AND SCHEDU LE OF DISTRIBUTION O F BENEFITS 3
SHALL TAKE INTO AC COUNT: 4
(I) THE NEEDS OF RESIDENT S AND EMPLOYERS , 5
PARTICULARLY LOW –INCOME HOUSEHOLDS , TO OBTAIN BENEFITS 6
CORRESPONDING TO THE TIME SCHEDULE WHEN T HEY WILL BE PAYING 7
GREENHOUSE GAS POLLU TION FEES; 8
(II) THE NEED TO MAKE CLEA R TO RESIDENTS AND E MPLOYERS 9
THAT THEY ARE RECEIV ING A BENEFIT OF GRE ENHOUSE GAS POLLUTIO N FEES THAT 10
IS SEPARATE FROM OTH ER TRANSACTIONS THEY MAY HAVE WITH THE STATE; AND 11
(III) THE NEED TO MINIMIZE THE ADMINISTRATIVE C OSTS OF 12
THE INITIATIVE. 13
(L) HOUSEHOLDS AND EMPLOY ERS MAY OPT TO RECEIVE A PORT ION OR 14
ALL OF THEIR BENEFIT S ON THEIR UTILITY B ILLS. 15
(M) THE SECRETARY MAY ISSUE A DDITIONAL BENEFITS O R DECLARE 16
EXEMPTIONS FROM FEES IN INSTANCES WHERE F EES HAVE BEEN PAID B UT NO 17
EMISSIONS HAVE OCCUR RED OR ARE ANTICIPAT ED TO OCCUR. 18
2–1222. 19
(A) THERE IS A CLIMATE CRISIS INFRASTRUCTURE FUND. 20
(B) THE PURPOSE OF THE INFRASTRUCTURE FUND IS TO INVEST IN 21
INITIATIVES THAT IMP ROVE THE HEALTH AND WELFARE OF THE CITIZ ENS OF THE 22
STATE BY: 23
(1) EXPANDING THE USE OF CLEAN ENERGY SOURCES AND ENERGY 24
EFFICIENCY IN THE EL ECTRICITY AND OTHER ENERGY–CONSUMING SECTORS ; 25
(2) CREATING A CLEANER , MORE JUST , AND MORE EFFICIENT 26
TRANSPORTATION SECTO R THROUGHOUT THE STATE; 27
(3) PROVIDING FUNDING FOR RESILIENCY AGAINST C LIMATE 28
CHANGE AND WEATHER E VENTS THAT HAVE AN IMPACT ON THE LIVES OF THE 29
CITIZENS OF THE STATE AND ITS ECONOMY ; 30
SENATE BILL 135 19
(4) SEQUESTERING CARBON I N FORESTS, SOILS, AND WETLANDS ; AND 1
(5) PROMOTING A JUST TRAN SITION TO CLEAN ENER GY. 2
(C) (1) THE DEPARTMENT , IN CONSULTATION WITH THE COUNCIL, 3
SHALL ADMINISTER THE INFRASTRUCTURE FUND. 4
(2) THE DEPARTMENT MAY DELEGA TE ADMINISTRATION OF ANY 5
PROGRAMS DEVELOPED U NDER THE INFRASTRUCTURE FUND TO STATE AGENCIES , 6
REGIONAL AUTHORITIES , MUNICIPAL GOVERNMENT S, AND OTHER PUBLIC 7
INSTITUTIONS. 8
(D) (1) THE INFRASTRUCTURE FUND IS A SPECIAL , NONLAPSING FUND 9
THAT IS NOT SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT 10
ARTICLE. 11
(2) THE STATE TREASURER SHALL HOLD THE INFRASTRUCTURE 12
FUND SEPARATELY , AND THE COMPTROLLER SHALL ACC OUNT FOR THE 13
INFRASTRUCTU RE FUND. 14
(E) THE INFRASTRUCTURE FUND CONSISTS OF : 15
(1) PROCEEDS OF FEES DIST RIBUTED TO THE INFRASTRUCTURE 16
FUND UNDER § 2–1220(B) OF THIS SUBTITLE; 17
(2) ANY EXCESS OF UNSPENT BENEFITS RECEIVED FR OM THE 18
BENEFIT FUND UNDER § 2–1221(I)(3) AND (J)(4) OF THIS SUBTITLE; 19
(3) MONEY APPROPRIATED IN THE STATE BUDGET TO THE 20
INFRASTRUCTURE FUND; AND 21
(4) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED FOR 22
THE BENEFIT OF THE INFRASTRUCTURE FUND. 23
(F) (1) THE INFRASTRUCTURE FUND MAY BE USED ONLY FOR: 24
(I) THE PURPOSES AUTHORIZ ED UNDER THIS SECTIO N; AND 25
(II) ADMINISTRATION OF THE INFRASTRUCTURE FUND, NOT TO 26
EXCEED 5% OF THE MONEY IN THE INFRASTRUCTURE FUND. 27
(2) WHEN FEASIBLE, INVESTMENTS UNDER TH IS SECTION SHALL BE 28
DESIGNED TO CREATE L OCAL ECONOMIC DEV ELOPMENT AND EMPLOYM ENT IN THE 29 20 SENATE BILL 135
STATE. 1
(G) (1) UP TO 50% OF THE MONEY IN THE INFRASTRUCTURE FUND MAY 2
BE DISBURSED TO QUAL IFIED COUNTY AND MUN ICIPAL GOVERNMENTS F OR 3
PROJECTS THAT MEET T HE REQUIREMENTS OF T HIS SUBTITLE. 4
(2) (I) ON OR BEFORE JANUARY 1, 2023, THE COUNCIL, IN 5
CONSULTATION WITH TH E COMMISSION ON ENVIRONMENTAL JUSTICE AND 6
SUSTAINABLE COMMUNITIES , SHALL ESTABLISH AND PUBLISH THE CRITERIA A 7
COUNTY OR MUNICIPAL GOVERNMENT MUST MEET TO BE A QUALIFIED CO UNTY OR 8
QUALIFIED MUNICIPAL GOVERNMENT . 9
(II) THE CRITERIA ESTABLIS HED UNDER SUBPARAGRA PH (I) OF 10
THIS PARAGRAPH SHALL REQUIRE, AT A MINIMUM, THAT A COUNTY OR MUN ICIPAL 11
GOVERNMENT SUBMIT TO THE DEPARTMENT A 2030 GREENHOUSE GAS REDUC TION 12
PLAN FOR THE COUNTY OR MUNICIPALITY : 13
1. THAT IS ALIGNED WITH STATEWIDE GREEN HOUSE 14
GAS REDUCTION REQUIR EMENTS; AND 15
2. FOR WHICH THE COUNTY ’S OR MUNICIPALITY ’S 16
RESIDENTS WERE SUFFI CIENTLY INVOLVED . 17
(H) (1) THE SECRETARY MAY USE UP TO 5% OF THE MONEY IN THE 18
INFRASTRUCTURE FUND TO PROVIDE TECHN ICAL ASSISTANCE , CAPACITY, AND 19
PLANNING TOOLS TO CO UNTY AND MUNICIPAL G OVERNMENTS FOR THE 20
DEVELOPMENT OF LOCAL CLIMATE PLANS AND IN VESTMENT PROPOSALS . 21
(2) IN USING THE MONEY IN THE INFRASTRUCTURE FUND UNDER 22
PARAGRAPH (1) OF THIS SUBSECTION , THE SECRETARY SHALL GIVE DUE 23
CONSIDERATION TO COU NTIES AND MUNICIPALI TIES WITH ENVIRONMEN TAL 24
JUSTICE POPULATIONS . 25
(I) (1) AT LEAST 50% OF THE MONEY IN THE INFRASTRUCTURE FUND 26
SHALL BE INVESTED IN PR OJECTS THAT ARE LOCA TED WITHIN AND PROVI DE 27
MEANINGFUL BENEFITS TO ENVIRONMENTAL JUS TICE POPULATIONS . 28
(2) (I) ON OR BEFORE JANUARY 1, 2023, AND EVERY 3 YEARS 29
THEREAFTER , THE COMMISSION ON ENVIRONMENTAL JUSTICE AND SUSTAINABLE 30
COMMUNIT IES SHALL ESTABLISH THE CRITERIA A POPUL ATION MUST MEET TO B E 31
CONSIDERED AN ENVIRO NMENTAL JUSTICE POPU LATION FOR THE PURPO SES OF 32
THIS SECTION. 33
SENATE BILL 135 21
(II) IN ESTABLISHING THE C RITERIA UNDER SUBPAR AGRAPH 1
(I) OF THIS PARAGRAPH , THE COMMISSION ON ENVIRONMENTAL JUSTICE AND 2
SUSTAINABLE COMMUNITIES SHALL : 3
1. USE, AT A MINIMUM , ANNUAL HOUSEHOLD INC OME, 4
MINORITY STATUS , AND ENVIRONMENTAL BU RDEN AS CRITERIA ; 5
2. ENSURE THAT NOT MORE THAN 50% OF THE STATE 6
POPULATION RESIDES W ITHIN AN ENVIRONMENT AL JUSTICE POP ULATION; 7
3. ENSURE THAT EACH ENVI RONMENTAL JUSTICE 8
POPULATION IS NOT LA RGER THAN A CENSUS T RACT; AND 9
4. SOLICIT INPUT FROM TH E PUBLIC. 10
(3) ON OR BEFORE JANUARY 1, 2023, THE COMMISSION ON 11
ENVIRONMENTAL JUSTICE AND SUSTAINABLE COMMUNITIES SHALL : 12
(I) DEFINE “MEANINGFUL BENEFITS ” THAT A PROJECT MAY 13
PROVIDE TO ENVIRONME NTAL JUSTICE POPULAT IONS; 14
(II) DEVELOP A METHOD FOR DETERMINING WHAT POR TION OF 15
A PROJECT’S EXPENDITURES ARE D IRECTLY LOCATED WITH IN, AND PROVIDE 16
DIRECT MEANINGFUL BE NEFITS TO, ENVIRONMENTAL JUSTIC E POPULATIONS ; 17
(III) DEVELOP MEASURABLE CR ITERIA THAT A PROJEC T 18
RECEIVING FUNDING UN DER THIS SUBSECTION MUST MEET TO BE CONS IDERED 19
DIRECTLY LOCATED WIT HIN, AND PROVIDING MEANIN GFUL BENEFITS TO , 20
ENVIRONMENTAL JUSTIC E POPULATIONS ; 21
(IV) DEVELOP ANY PROCEDURE S THE COMMISSION 22
DETERMINES ARE NECES SARY TO DEMONSTRATE AN ENVIRONMENTAL JUS TICE 23
POPULATION ’S SUPPORT OF A PROJE CT THAT WILL BE LOCA TED WITHIN AND 24
PROVIDE MEANINGFUL B ENEFITS TO THE ENVIR ONMENTAL JUSTICE POP ULATION; 25
AND 26
(V) ESTABLISH A PROCESS F OR RECIPIENTS OF FUN DING 27
UNDER THIS SUBSECTIO N TO REPORT THE INFO RMATION UNDER ITEMS (II) AND (III) 28
OF THIS PARAGRAPH TO THE SECRETARY. 29
(4) A RECIPIENT OF FUNDING UNDER THIS SUBSECTIO N SHALL 30
REPORT ANNUALLY TO T HE SECRETARY ON THE INFORMATION UNDE R PARAGRAPH 31
(3) OF THIS SUBSECTION . 32 22 SENATE BILL 135
(J) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 1
INFRASTRUCTURE FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE 2
INVESTED. 3
(2) ANY INTEREST EARNINGS OF THE INFRASTRUCTURE FUND SHALL 4
BE CREDITED TO THE INFRASTRUCTURE FUND. 5
(K) ON OR BEFORE JANUARY 1, 2023, AND EVERY 3 YEARS THEREAFTER , 6
THE SECRETARY SHALL SUBMI T A REPORT TO THE GENERAL ASSEMBLY, IN 7
ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, ON THE 8
STATUS OF THE INFRASTRUCTURE FUND, INCLUDING INFORMATIO N REPORTED BY 9
RECIPIENTS OF FUNDIN G UNDER SUBSECTION (I) OF THIS SECTION. 10
2–1223. 11
(A) ON OR BEFORE JULY 1, 2024, THE SECRETARY SHALL STUDY AND 12
PREPARE A REPORT ON THE FEASIBILITY OF I MPOSING AND COLLECTI NG 13
ADDITIONAL GR EENHOUSE GAS EMISSIO N FEES ON FUGITIVE E MISSIONS AND 14
INTENTIONAL RELEASES OF METHANE FROM NATU RAL GAS INFRASTRUCTU RE. 15
(B) THE REPORT SHALL INCL UDE AN ANALYSIS OF T HE FEASIBILITY AND 16
EXPENSE OF: 17
(1) CALCULATING A REASONA BLY ACCURATE CURRENT STATISTICAL 18
BASELINE, SPECIFIC TO THE STATE, OF FUGITIVE EMISSION S AND INTENTIONAL 19
RELEASES; AND 20
(2) DEVELOPING AND DEPLOY ING A MEANS OF CALCU LATING 21
REASONABLY ACCURATE UPDATES OF PROGRESS OR LACK OF PROGRESS IN 22
REDUCING FUGITIVE EM ISSIONS AND INTENTIO NAL RELEASES . 23
(C) THE SECRETARY SHALL SUBMI T THE REPORT , INCLUDING ANY 24
RECOMMENDED LEGISLAT IVE OR REGULATORY CH ANGES, TO THE GOVERNOR AND , 25
IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE 26
GENERAL ASSEMBLY. 27
(D) THE REPORT MAY BE INC LUDED IN THE REPO RT REQUIRED UNDER § 28
2–1222(K) OF THIS SUBTITLE. 29
2–1224. 30
EACH YEAR, THE SECRETARY, IN CONSULTATION WITH THE COMMISSION, 31 SENATE BILL 135 23
THE SECRETARY OF HOUSING AND COMMUNITY DEVELOPMENT , AND THE 1
SECRETARY OF HUMAN SERVICES, SHALL IDENTIFY MEASU RES AND PROGRAMS 2
BEST CALCULATED TO E NSURE THE PROVISION OF LOW–INCOME ENERGY 3
ASSISTANCE AND IMPRO VEMENTS IN THE ENERG Y EFFICIENCY OF 4
RENTER–OCCUPIED DWELLINGS IN THE STATE. 5
2–1225. 6
THE SECRETARY, IN CONSULTATION WITH THE COMMISSION, SHALL ADOPT 7
REGULATIONS TO CARRY OUT THIS PART. 8
Article – State Finance and Procurement 9
6–226. 10
(a) (2) (i) Notwithstanding any other provision of law, and unless 11
inconsistent with a federal law, grant agreement, or other federal requirement or with the 12
terms of a gift or settlement agreement, net interest on all State money allocated by the 13
State Treasurer under this section to special funds or accounts, and otherwise entitled to 14
receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 15
Fund of the State. 16
(ii) The provisions of subparagraph (i) of this paragraph do not apply 17
to the following funds: 18
144. the Health Equity Resource Community Reserve Fund; 19
[and] 20
145. the Access to Counsel in Evictions Special Fund; 21
146. THE CLIMATE CRISIS INFRASTRUCTURE FUND; AND 22
147. THE HOUSEHOLD AND EMPLOYER BENEFIT FUND. 23
Chapter 11 of the Acts of 2016 24
SECTION 6. AND BE IT FURTHER ENACTED, That Section 2 of this Act shall take 25
effect October 1, 2016. [It shall remain effective for a period of 7 years and 3 months and 26
at, the end of December 31, 2023, with no further action required by the General Assembly, 27
Section 2 of this Act shall be abrogated and of no further force and effect.] 28
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 29
1, 2022. 30