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. *sb0770* SENATE BILL 770 C5 2lr1584 CF HB 1271 By: Senator Ferguson Introduced and read first time: February 7, 2022 Assigned to: Finance Committee Report: Favorable with amendments Senate action: Adopted Read second time: March 4, 2022 CHAPTER ______ AN ACT concerning 1 Public Utilities Department of Housing and Community Development – 2 Homeowner Utility Repair Program and Fund – Establishment 3 FOR the purpose of establishing the Homeowner Utility Repair Program in the Department 4 of Housing and Community Development to reimburse and provide grants to eligible 5 customers for costs associated with eligible repairs; establishing the Homeowner 6 Utility Repair Fund as a special, nonlapsing fund to offset the costs a low– to 7 middle–income residential reimburse and provide grants to eligible customer may 8 incur customers for costs associated with a utility company’s routine maintenance, 9 repairs, or upgrades eligible repairs; requiring interest earnings of the Fund to be 10 credited to the Fund; and generally relating to the Homeowner Utility Repair 11 Program and Fund. 12 BY adding to 13 Article – Public Utilities 14 Section 7–315 15 Annotated Code of Maryland 16 (2020 Replacement Volume and 2021 Supplement) 17 BY adding to 18 Article – Housing and Community Development 19 Section 4–2901 through 4–2904 to be under the new subtitle “Subtitle 29. 20 Homeowner Utility Repair Program” 21 Annotated Code of Maryland 22 (2019 Replacement Volume and 2021 Supplement) 23 2 SENATE BILL 770 BY repealing and reenacting, without amendments, 1 Article – State Finance and Procurement 2 Section 6–226(a)(2)(i) 3 Annotated Code of Maryland 4 (2021 Replacement Volume) 5 BY repealing and reenacting, with amendments, 6 Article – State Finance and Procurement 7 Section 6–226(a)(2)(ii)144. and 145. 8 Annotated Code of Maryland 9 (2021 Replacement Volume) 10 BY adding to 11 Article – State Finance and Procurement 12 Section 6–226(a)(2)(ii)146. 13 Annotated Code of Maryland 14 (2021 Replacement Volume) 15 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16 That the Laws of Maryland read as follows: 17 Article – Public Utilities Article – Housing and Community Development 18 SUBTITLE 29. HOMEOWNER UTILITY REPAIR PROGRAM. 19 7–315. 4–2901. 20 (A) (1) IN THIS SECTION SUBTITLE THE FOLLOWING WORDS HAVE THE 21 MEANINGS INDICATED . 22 (2) (B) “ELIGIBLE CUSTOMER ” MEANS A RESIDENTIAL UTILITY 23 CUSTOMER WHOSE HOUSE HOLD INCOME DOES NOT EXCEED 120% OF THE STATE 24 MEDIAN INCOME . 25 (C) “ELIGIBLE REPAIR ” MEANS THE REPAIR OF DAMAGE TO A WALL , 26 CEILING, OR FLOOR INSIDE A RE SIDENTIAL STRUCTURE CAUSED BY A REQUIRED 27 UPGRADE, REPAIR, OR MAINTENANCE ACTIO N CONDUCTED BY A UTI LITY COMPANY 28 FOR WHICH THE UTILIT Y COMPANY DOES NOT M AKE THE REPAIR OR REIMBURSE 29 THE CUSTOMER FOR THE REPAIR. 30 (D) “FUND” MEANS THE HOMEOWNER UTILITY REPAIR FUND. 31 (3) (E) “PROGRAM” MEANS THE HOMEOWNER UTILITY REPAIR 32 PROGRAM. 33 SENATE BILL 770 3 (F) “STATE MEDIAN INCOME ” MEANS THE MEDIAN HOU SEHOLD INCOME 1 FOR THE STATE, AS ADJUSTED FOR HOUS EHOLD SIZE. 2 (G) “UTILITY COMPANY ” MEANS AN ELECTRIC CO MPANY, A GAS COMPANY , 3 OR A GAS AND ELECTRI C COMPANY. 4 4–2902. 5 (A) THERE IS A HOMEOWNER UTILITY REPAIR PROGRAM IN THE 6 DEPARTMENT . 7 (B) THE PURPOSE OF THE PROGRAM IS TO: 8 (1) REIMBURSE ELIGIBLE C USTOMERS FOR THE COS T OF ELIGIBLE 9 REPAIRS; AND 10 (2) PROVIDE GRANTS TO EL IGIBLE CUSTOMERS TO FUND ELIGIBLE 11 REPAIRS. 12 (C) (1) BEGINNING JULY 1, 2023, AN ELIGIBLE CUSTOMER MAY APPLY 13 FOR REIMBURSEMENT UN DER THE PROGRAM FOR THE ACTUA L COSTS OF AN 14 ELIGIBLE REPAIR . 15 (2) THE MAXIMUM REIMBURSE MENT ISSUED FOR AN E LIGIBLE 16 REPAIR MAY NOT EXCEE D $1,000. 17 (D) (1) BEGINNING JULY 1, 2023, AN ELIGIBLE CUSTOMER MAY APPLY 18 FOR A GRANT UNDER TH E PROGRAM EQUAL TO THE AMOUNT SPECIFIED IN A 19 LICENSED CONTRACTOR ’S ESTIMATE FOR THE T OTAL COST OF ELIGIBL E REPAIRS. 20 (2) THE MAXIMUM GRANT AWA RDED MAY NOT EXCEED $1,000. 21 (3) FOLLOWING THE COMPLET ION OF AN ELIGIBLE REPAI R FUNDED 22 BY A GRANT RECEIVED UNDER THIS SUBSECTIO N, AN ELIGIBLE CUSTOMER SHALL: 23 (I) SUBMIT DOCUMENTATION OF THE FINAL BILL , AS 24 REQUIRED BY THE DEPARTMENT ; AND 25 (II) RETURN TO THE DEPARTMENT ANY UNSPEN T GRANT 26 FUNDS. 27 4–2903. 28 (B) (A) THERE IS A HOMEOWNER UTILITY REPAIR FUND. 29 4 SENATE BILL 770 (C) (B) THE PURPOSE OF THE FUND IS TO OFFSET THE COSTS AN 1 ELIGIBLE CUSTOMER IN CURS FOR AN ELIGIBLE REPAIR. OFFSET THE COSTS A 2 LOW– TO MIDDLE–INCOME RESIDENTIAL C USTOMER MAY INCUR FO R COSTS 3 ASSOCIATED WITH A UTILITY COMPANY ’S ROUTINE MAINTENANC E, REPAIRS, OR 4 UPGRADES. 5 (D) (1) THE COMMISSION SHALL : 6 (I) ADMINISTER THE FUND; AND 7 (II) DETERMINE THE AMOUNT OF FUNDS TO BE TRANS FERRED 8 ANNUALLY TO THE FUND FROM FEDERAL , STATE, AND LOCAL GOVERNMENT 9 LOW–INCOME WEATHERIZATION AND ENERGY ASSISTANC E PROGRAMS THAT 10 RETAIN UNUSED FUNDS AT THE END OF A STATE FISCAL YEAR , INCLUDING: 11 1. THE ELECTRIC UNIVERS AL SERVICE PROGRAM 12 ESTABLISHED UNDER § 7–512.1 OF THIS TITLE; 13 2. THE ENERGY ASSISTANCE PROGRAM ESTABLISHED 14 UNDER TITLE 5, SUBTITLE 5A OF THE HUMAN SERVICES ARTICLE; 15 3. THE WEATHERIZATION P ROGRAM DEVELOPED BY THE 16 COMMUNITY DEVELOPMENT ADMINISTRATION UNDER § 4–211 OF THE HOUSING 17 AND COMMUNITY DEVELOPMENT ARTICLE; 18 4. THE U.S. DEPARTMENT OF ENERGY 19 WEATHERIZATION ASSISTANCE PROGRAM; AND 20 5. ANY OTHER FEDERAL , STATE, OR LOCAL 21 GOVERNMENT LOW –INCOME PROGRAM THAT PROVIDES WEATHERIZAT ION AND 22 ENERGY ASSISTANCE TO LOW– TO MIDDLE–INCOME RESIDENTIAL C USTOMERS. 23 (2) THE COMMISSION MAY REQUES T A BUDGET AMENDMENT TO 24 TRANSFER TO THE FUND UNSPENT UNENCUMB ERED MONEY IN THE FU NDS LISTED 25 IN PARAGRAPH (1)(II) OF THIS SUBSECTION A T THE END OF A GIVEN FISCAL YEAR. 26 (E) (C) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 27 SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 28 (2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , 29 AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 30 (F) (D) THE FUND CONSISTS OF : 31 SENATE BILL 770 5 (1) MONEY TRANSFERRED TO THE FUND UNDER SUBSECTION (D) OF 1 THIS SECTION; 2 (2) MONEY APPROPRIATED I N THE STATE BUDGET TO THE FUND; 3 (3) (2) INTEREST EARNINGS ; AND 4 (4) (3) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED 5 FOR THE BENEFIT OF T HE FUND. 6 (G) (E) THE FUND MAY BE USED ONLY TO OFFSET THE COSTS A L OW– TO 7 MIDDLE–INCOME RESIDENTIAL CUSTOMER INCURS FOR COSTS ASS OCIATED WITH A 8 UTILITY COMPANY ’S ROUTINE MAINTENANC E, REPAIRS, OR UPGRADES : 9 (1) REIMBURSE ELIGIBLE C USTOMERS FOR THE COS T OF ELIGIBLE 10 REPAIRS; AND 11 (2) PROVIDE GRANTS TO EL IGIBLE CUSTOMERS TO FUND ELIGIBLE 12 REPAIRS. 13 (H) (F) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 14 FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE IN VESTED. 15 (2) ANY INTEREST EARNINGS OF THE FUND SHALL BE CREDITE D TO 16 THE FUND. 17 (I) (G) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN 18 ACCORDANCE WITH THE STATE BUDGET . 19 (J) (H) MONEY EXPENDED FROM T HE FUND IS SUPPLEMENTAL TO AND IS 20 NOT INTENDED TO TAKE THE PLACE OF FUNDING THAT OTHERWISE WOULD BE 21 APPROPRIATED TO THE FUND. 22 (I) IN FISCAL YEAR 2024 AND EACH FISCAL YEAR THEREAFTER , THE 23 GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIA TION OF 24 $500,000 FOR THE FUND. 25 4–2904. 26 THE DEPARTMENT SHALL ADOP T REGULATIONS TO ADM INISTER THE FUND, 27 INCLUDING REGULATION S ESTABLISHING: 28 (1) REIMBURSEMENT AND GR ANT ELIGIBILITY REQUIREMENTS ; 29 6 SENATE BILL 770 (2) APPLICATION PROCEDUR ES; 1 (3) DOCUMENTATION REQUIR EMENTS; AND 2 (4) PROCEDURES FOR RETUR NING UNSPENT FUNDS F OLLOWING 3 RECEIPT OF A GRANT . 4 Article – State Finance and Procurement 5 6–226. 6 (a) (2) (i) Notwithstanding any other provision of law, and unless 7 inconsistent with a federal law, grant agreement, or other federal requirement or with the 8 terms of a gift or settlement agreement, net interest on all State money allocated by the 9 State Treasurer under this section to special funds or accounts, and otherwise entitled to 10 receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 11 Fund of the State. 12 (ii) The provisions of subparagraph (i) of this paragraph do not apply 13 to the following funds: 14 144. the Health Equity Resource Community Reserve Fund; 15 [and] 16 145. the Access to Counsel in Evictions Special Fund; AND 17 146. THE HOMEOWNER UTILITY REPAIR FUND. 18 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 19 October 1, 2022. 20 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.