EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb1139*
HOUSE BILL 1139
M3, M4 3lr2371
HB 1070/22 – ENT
By: Delegate Boyce
Introduced and read first time: February 10, 2023
Assigned to: Environment and Transportation
A BILL ENTITLED
AN ACT concerning 1
Solid Waste Disposal and Diversion and On–Farm Composting and Compost Use 2
FOR the purpose of establishing the On–Farm Composting and Compost Use Grant Fund 3
as a special, nonlapsing fund; requiring interest earnings of the On–Farm 4
Composting and Compost Use Grant Fund to be credited to the Fund; establishing a 5
statewide solid waste disposal surcharge to be collected by certain owners and 6
operators of refuse disposal systems in the State and requiring owners and operators 7
to remit surcharge revenue on a quarterly basis beginning on a certain date to the 8
Comptroller; authorizing a county to submit a request to the Department to establish 9
a local solid waste disposal surcharge program and authorizing the Department to 10
approve a request if the county establishes a certain program to fund waste diversion 11
and composting in a certain manner; prohibiting the statewide surcharge from being 12
assessed on the final disposal or transfer of solid waste at a refuse disposal system 13
located in a county that has implemented a local solid waste disposal surcharge 14
program; establishing the Waste Reduction Grants Fund as a special, nonlapsing 15
fund; requiring interest earnings of the Waste Reduction Grants Fund to be credited 16
to the Fund; requiring the Comptroller, on an annual basis, to transfer certain solid 17
waste disposal surcharge revenue to certain funds for certain purposes; specifying 18
that a certain solid waste disposal surcharge transferred to the State Recycling Trust 19
Fund may not revert to the General Fund; requiring certain revenue transferred to 20
the State Recycling Trust Fund to be used by the Office of Recycling in the 21
Department of the Environment to award certain grants; and generally relating to 22
solid waste disposal and diversion and on–farm composting and compost use. 23
BY adding to 24
Article – Agriculture 25
Section 2–2201 through 2–2203 to be under the new subtitle “Subtitle 22. On–Farm 26
Composting and Compost Use Grant Fund” 27
Annotated Code of Maryland 28
(2016 Replacement Volume and 2022 Supplement) 29
2 HOUSE BILL 1139
BY repealing and reenacting, without amendments, 1
Article – Environment 2
Section 9–201(a) and (e) and 9–1701(a), (d), (m), and (q) 3
Annotated Code of Maryland 4
(2014 Replacement Volume and 2022 Supplement) 5
BY repealing and reenacting, with amendments, 6
Article – Environment 7
Section 9–1707(f) 8
Annotated Code of Maryland 9
(2014 Replacement Volume and 2022 Supplement) 10
BY adding to 11
Article – Environment 12
Section 9–17A–01 through 9–17A–07 to be under the new subtitle “Subtitle 17A. 13
Waste Reduction” 14
Annotated Code of Maryland 15
(2014 Replacement Volume and 2022 Supplement) 16
BY repealing and reenacting, without amendments, 17
Article – State Finance and Procurement 18
Section 6–226(a)(2)(i) 19
Annotated Code of Maryland 20
(2021 Replacement Volume and 2022 Supplement) 21
BY repealing and reenacting, with amendments, 22
Article – State Finance and Procurement 23
Section 6–226(a)(2)(ii)170. and 171. 24
Annotated Code of Maryland 25
(2021 Replacement Volume and 2022 Supplement) 26
BY adding to 27
Article – State Finance and Procurement 28
Section 6–266(a)(2)(ii)172. and 173. 29
Annotated Code of Maryland 30
(2021 Replacement Volume and 2022 Supplement) 31
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMB LY OF MARYLAND, 32
That the Laws of Maryland read as follows: 33
Article – Agriculture 34
SUBTITLE 22. ON–FARM COMPOSTING AND COMPOST USE GRANT FUND. 35
2–2201. 36
HOUSE BILL 1139 3
(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 1
INDICATED. 2
(B) (1) “ELIGIBLE ENTITY” MEANS: 3
(I) A UNIT OF STATE OR LOCAL GOVERN MENT; 4
(II) A SOIL CONSERVATION DI STRICT; 5
(III) A LOCAL EDUCATION AGEN CY; 6
(IV) AN INSTITUTION OF HIG HER EDUCATION ; 7
(V) A NONPROFIT ORGANIZATI ON; 8
(VI) A FARMER, INCLUDING AN URBAN F ARMER; AND 9
(VII) A CONSORTIUM OF ANY OF THE ENTITIES IDENTIF IED IN 10
ITEMS (I) THROUGH (VI) OF THIS PARAGRAPH . 11
(2) “ELIGIBLE ENTITY ” DOES NOT INCLUDE A COUNTY THAT HAS 12
IMPLEMENT ED A LOCAL SOLID WASTE DISPOSAL SURCHARGE P ROGRAM IN 13
ACCORDANCE WITH § 9–17A–03 OF THE ENVIRONMENT ARTICLE. 14
(C) “FUND” MEANS THE ON–FARM COMPOSTING AND COMPOST USE 15
GRANT FUND. 16
2–2202. 17
(A) THERE IS AN ON–FARM COMPOSTING AND COMPOST USE GRANT 18
FUND. 19
(B) THE PURPOSE OF THE FUND IS TO AWARD GRAN TS TO ELIGIBLE 20
ENTITIES TO ASSIST W ITH THE COSTS OF DEVE LOPING AND IMPLEMENT ING 21
ON–FARM COMPOSTING AND COMPOST USE PROJECTS . 22
(C) THE SECRETARY, IN CONSULTATION WITH THE SECRETARY OF THE 23
ENVIRONMENT , SHALL ADMINISTER THE FUND. 24
(D) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 25
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 26
4 HOUSE BILL 1139
(2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , 1
AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 2
(E) THE FUND CONSISTS OF : 3
(1) THE SOLID WASTE DISPO SAL SURCHARGE REVENU E 4
TRANSFERRED TO THE FUND UNDER § 9–17A–04(F)(3)(I) OF THE ENVIRONMENT 5
ARTICLE; 6
(2) MONEY APPROPRIATED IN THE STATE BUDGET TO THE FUND; 7
(3) INTEREST EARNINGS ; AND 8
(4) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED FOR 9
THE BENEFIT OF THE FUND. 10
(F) THE FUND MAY BE USED ONLY TO AWARD GRANTS TO E LIGIBLE 11
ENTITIES TO ASSIST W ITH THE COSTS OF DEV ELOPING AND IMPLEMEN TING 12
ON–FARM COMPOSTING AND COMPOST USE PROJECTS , INCLUDING THE COSTS OF: 13
(1) PURCHASING COMPOST AN D EQUIPMENT FOR ON –FARM 14
COMPOST APPLICATION ; 15
(2) EQUIPMENT AND INFRAST RUCTURE IN SUPPORT O F ON–FARM 16
COMPOSTING ; 17
(3) LABOR AND WAGES IN SU PPORT OF ON–FARM COMPOSTING AND 18
COMPOST USE ; 19
(4) COMPOSTING MATERIALS GENERATED ON –SITE OR OFF–SITE, 20
INCLUDING ANIMAL MAN URE GENERATED ON –SITE AND FOOD SCRAPS GENERATED 21
OFF–SITE; 22
(5) COMPOST MANAGEMENT TR AINING UNDER A PROGR AM OFFERED 23
BY THE UNIVERSITY OF MARYLAND EXTENSION, THE U.S. COMPOSTING COUNCIL, 24
OR OTHER APPROPRIATE ENTITY; 25
(6) (I) COMPOST TESTING EQUIP MENT; OR 26
(II) SUBMITTING COMPOST SA MPLES FOR TESTING TO A 27
LABORATORY WITH APPR OPRIATE EXPERTISE ; 28
HOUSE BILL 1139 5
(7) QUANTIFYING THE BENEF ITS OF COMPOST APPLI CATION TO SOIL 1
HEALTH AND CARBON SE QUESTRATION; 2
(8) STUDYING IMPACTS OF C OMPOST APPLICATION O N ON–FARM 3
NUTRIENT AND WATER Q UALITY MANAGEMENT TO INFORM RELEVANT 4
REGULATIONS ; 5
(9) RESEARCHING AND DEVEL OPING NEW COMPOST TR EATMENTS OR 6
PRODUCTS THAT WILL B ENEFIT OR INFORM ON –FARM COMPOST USE ; 7
(10) CONSULTING WITH A NUT RIENT MANAGEMENT SPE CIALIST OR 8
OTHER CONSULTANT ; AND 9
(11) MEETING PERMIT REQUIR EMENTS, INCLUDING R EGISTERING 10
COMPOST FOR SALE WIT HIN THE STATE. 11
(G) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND 12
IN THE SAME MANNER AS OTHER STATE MONEY MAY BE IN VESTED. 13
(2) INTEREST EARNINGS OF THE FUND SHALL BE CREDITE D TO THE 14
FUND. 15
2–2203. 16
(A) AN ELIGIBLE ENTITY MA Y APPLY FOR A GRANT FROM THE FUND. 17
(B) (1) THE SECRETARY SHALL ESTAB LISH GRANT APPLICATI ON 18
PROCEDURES . 19
(2) THE GRANT APPLICATION PROCEDURES SHALL INC LUDE: 20
(I) A PROCESS FOR FACILITA TING PARTICIPATION O F 21
ELIGIBLE ENTITIES WI TH LIMITED RESOURCES ; 22
(II) A SIMPLE COMMON APPLIC ATION AND COMMON 23
REPORTING FORMAT ; 24
(III) A PROCESS FOR AUTHORIZ ING ELIGIBLE ENTITIES TO USE 25
THE ENTITY’S STANDARD ANNUAL RE PORT AND “LETTER OF INTEREST ” TO MEET 26
APPLICATION AND REPO RTING REQUIREMENTS ; 27
(IV) A PROCESS FOR SUBMITTI NG APPLICATIONS IN W RITING 28
AND THROUGH VIDEO AN D AUDIO FORMATS ; AND 29 6 HOUSE BILL 1139
(V) TRANSLATION SERVICE S FOR APPLICANTS TO OVERCOME 1
LANGUAGE BARRIERS IN THE APPLICATION PROC ESS. 2
(C) IN AWARDING GRANTS UN DER THIS SUBTITLE , THE SECRETARY SHALL 3
GIVE PRIORITY FOR PR OJECTS: 4
(1) FOR WHICH AN APPLICAN T CLEARLY DESCRIBES HOW THE 5
PROJECT WILL SUPPORT ON–FARM COMPOSTING OR COMPOST USE; 6
(2) THAT COMPLY WITH COMAR 26.04.11, COMAR 15.18.04, AND 7
OTHER RELEVANT REGUL ATIONS; 8
(3) THAT DIVERT ORGANIC W ASTE FROM REFUSE DIS POSAL 9
FACILITIES TO INSTEA D BE COMPOSTED WHERE THE RESULTING COMPOST IS 10
RETURNED TO MARYLAND SOIL TO GROW AGRICULTURAL PR ODUCTS OR IMPROVE 11
SOIL HEALTH; 12
(4) FOR WHICH AN APPLICAN T DEMONSTRATES KNOWL EDGE OF BEST 13
PRACTICES IN THE FIE LD AND HOW TO INCORP ORATE THOSE BEST PRA CTICES IN 14
THE PROJECT; 15
(5) THAT SERVE A FARM OWN ED OR OPERATED BY A FARMER WHO IS 16
A LOW–INCOME INDIVIDUAL , A SOCIALLY DISADVANT AGED INDIVIDUAL , A WOMAN, 17
OR A VETERAN; 18
(6) THAT SERVE A LOW –INCOME OR SOCIALLY D ISADVANTAGED 19
COMMUNITY ; OR 20
(7) THAT ENGAGE SMALL OR DIVERSE FARMING OPERATIONS. 21
Article – Environment 22
9–201. 23
(a) In this subtitle the following words have the meanings indicated. 24
(e) “Refuse disposal system” includes: 25
(1) An incinerator; 26
(2) A transfer station; 27
(3) A landfill system; 28 HOUSE BILL 1139 7
(4) A landfill; 1
(5) A solid waste processing facility; and 2
(6) Any other solid waste acceptance facility. 3
9–1701. 4
(a) In this subtitle the following words have the meanings indicated. 5
(d) “Composting” means the controlled aerobic biological decomposition of organic 6
waste material in accordance with the standards established by the Secretary under this 7
title. 8
(m) “Office” means the Office of Recycling within the Department. 9
(q) “Recycling” means any process in which recyclable materials are collected, 10
separated, or processed and returned to the marketplace in the form of raw materials or 11
products. 12
9–1707. 13
(f) (1) There is a State Recycling Trust Fund. 14
(2) The Fund shall consist of: 15
(i) The newsprint recycling incentive fee; 16
(ii) The telephone directory recycling incentive fee collected under § 17
9–1709 of this subtitle; 18
(iii) The covered electronic device manufacturer registration fee 19
collected under § 9–1728 of this subtitle; 20
(IV) THE SOLID WASTE DISPO SAL SURCHARGE REVENU E 21
TRANSFERRED TO THE FUND UNDER § 9–17A–04(F)(3)(II) OF THIS TITLE; 22
[(iv)] (V) All fines and penalties collected under this subtitle; 23
[(v)] (VI) Money appropriated in the State budget to the Fund; and 24
[(vi)] (VII) Any other money from any other source accepted for the 25
benefit of the Fund. 26
(3) The Secretary shall administer the Fund. 27
8 HOUSE BILL 1139
(4) The Treasurer shall hold the Fund separately and the Comptroller shall 1
account for the Fund. 2
(5) (I) [At] EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 3
PARAGRAPH , AT the end of each fiscal year, any unspent or unencumbered balance in the 4
Fund that exceeds $2,000,000 shall revert to the General Fund of the State in accordance 5
with § 7–302 of the State Finance and Procurement Article. 6
(II) 1. THE SOLID WASTE DISPO SAL SURCHARGE REVENUE 7
TRANSFERRED TO THE FUND UNDER § 9–17A–04(F)(3)(II) OF THIS TITLE IS NOT 8
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE AND 9
MAY NOT REVERT TO TH E GENERAL FUND OF THE STATE. 10
2. THE OFFICE MAY ESTABLISH A WASTE REDUCTI ON 11
GRANTS ACCOUNT IN THE FUND. 12
(6) In accordance with the State budget, the Fund shall be used only: 13
(i) To provide grants to the counties to be used by the counties to 14
develop and implement local recycling plans; 15
(ii) To provide grants to counties that have addressed methods for 16
the separate collection and recycling of covered electronic devices in accordance with § 17
9–1703(c)(1) of this subtitle; 18
(iii) To provide grants to municipalities to be used by the 19
municipalities to implement local covered electronic device recycling programs; [and] 20
(IV) TO PROVIDE GRANTS UND ER §§ 9–17A–05 AND 9–17A–06 21
OF THIS TITLE; AND 22
[(iv)] (V) To carry out the purposes of the land management 23
administration. 24
(7) (i) The Treasurer shall invest the money in the Fund in the same 25
manner as other State money may be invested. 26
(ii) Any investment earnings of the Fund shall be credited to the 27
General Fund of the State. 28
SUBTITLE 17A. WASTE REDUCTION. 29
9–17A–01. 30
HOUSE BILL 1139 9
(A) IN THIS SUBTITLE THE FOLLOWI NG WORDS HAVE THE ME ANINGS 1
INDICATED. 2
(B) “COMPOSTING” HAS THE MEANING STAT ED IN § 9–1701 OF THIS TITLE. 3
(C) “HAULER” MEANS A PERSON THAT IS CONTRACTED TO COL LECT OR 4
HAUL SOLID WASTE . 5
(D) “OFFICE” HAS THE MEANING STAT ED IN § 9–1701 OF THIS TITLE. 6
(E) “RECYCLING” HAS THE MEANING STAT ED IN § 9–1701 OF THIS TITLE. 7
(F) “REFUSE DISPOSAL SYSTE M” HAS THE MEANING STAT ED IN § 9–201 OF 8
THIS TITLE. 9
9–17A–02. 10
(A) (1) THERE IS A STATEWIDE SOLID WASTE DISPOSAL SURCHARGE ON 11
THE FINAL DISPOSAL O F SOLID WASTE IN THE STATE. 12
(2) (I) THIS PARAGRAPH DOES NOT APPLY TO AN OWNER OR 13
OPERATOR OF A REFUSE DISPOSAL SYSTEM LOCA TED IN A COUNTY THAT HAS 14
IMPLEMENTED A LOCAL SOLID WASTE DISPOSAL SURCHARGE PROGRAM IN 15
ACCORDANCE WITH § 9–17A–03 OF THIS SECTION. 16
(II) EACH OWNER OR OPERATO R OF A REFUSE DISPOS AL 17
SYSTEM IN THE STATE SHALL COLLECT THE STATEWIDE SOLID WAST E DISPOSAL 18
SURCHARGE IN ACCORDA NCE WITH THIS SECTIO N. 19
(III) AN OWNER OR OPERATOR SHALL INCLUDE THE SURCHARGE 20
AMOUNT DUE AS A SEPA RATE LINE ITEM ON THE BILL OR INVOICE THAT THE OWNER 21
OR OPERATOR PROVIDES TO A HAULER. 22
(3) A HAULER THAT PAYS A STATEWIDE SOLID WAST E DISPOSAL 23
SURCHARGE TO AN OWNER OR OPERA TOR OF A REFUSE DISP OSAL SYSTEM IN 24
ACCORDANCE WITH THIS SECTION MAY COLLECT A RATE, FEE, OR SURCHARGE 25
FROM A CUSTOMER ONLY IN AN AMOUNT SUFFICIENT FOR THE HAULER TO RECOVER 26
THE AMOUNT OF THE SURCHARGE PAID BY THE HAULER . 27
(B) (1) THE STATEWIDE SOLID WASTE DISPOSAL SURCHARGE IS $2 PER 28
TON OF SOLID WASTE P ROCESSED BY A REFUSE DISPOSAL SYSTEM . 29
10 HOUSE BILL 1139
(2) ON OR BEFORE JANUARY 1, 2026, AND EVERY 2 YEARS 1
THEREAFTER , THE OFFICE SHALL: 2
(I) ADJUST THE STATEWIDE SOLID WASTE DISPOSAL 3
SURCHARGE IN ACCORDA NCE WITH THE CONSUMER PRICE INDEX FOR THE 4
MID–ATLANTIC DIVISION; AND 5
(II) EVALUATE THE STATEWIDE SOLID WASTE DISPOSAL 6
SURCHARGE TO DETERMI NE WHETHER INCREASES TO THE SURCHARGE ARE 7
RECOMMENDED . 8
(C) IF A SURCHARGE HAS BEEN COLLECTED BY AN OWNER OR OPERATOR 9
OF A TRANSFER STATIO N, THE STATEWIDE SOLID WASTE DISPOSAL SURCHARGE MAY 10
NOT BE COLLECTED BY AN OWNER OR OPERATOR OF A REFUSE DISPOSAL SYSTEM 11
THAT RECEIVES THE SO LID WASTE FOR FINAL DISPOSAL. 12
(D) (1) THE COMPTROLLER SHALL COL LECT THE STATEWIDE SOLID 13
WASTE DISPOSAL SURCH ARGE REVENUE ASSESSED UNDER THIS SECTION AND 14
DEPOSIT THE REVENUE INTO THE WASTE REDUCTION GRANTS FUND ESTABLISHED 15
UNDER § 9–17A–04 OF THIS SUBTITLE. 16
(2) (I) BEGINNING APRIL 1, 2024, ON A QUARTERLY BASIS , AN 17
OWNER OR OPERATOR OF A REFUSE DISPOSAL SY STEM SHALL COMPLETE AND 18
SUBMIT, UNDER OATH , A RETURN AND REMIT THE STATEWIDE SOLID WASTE 19
DISPOSAL SURCHARGE REVENUE TO THE COMPTROLLER . 20
(II) A RETURN SUBMITTED UND ER SUBPARAGRAPH (I) OF THIS 21
PARAGRAPH SHALL INCL UDE INFORMATION ON T HE NUMBER OF TONS OF SOLID 22
WASTE ACCEPTED FOR D ISPOSAL, TRANSFER, OR COLLECTION , AS APPROPRIATE , 23
DURING THE REPORTING PERIOD. 24
(E) THE COMPTROLLER MAY ADOPT REGULATIONS TO CARRY OUT THIS 25
SECTION. 26
9–17A–03. 27
(A) (1) A COUNTY, INCLUDING BALTIMORE CITY AND MID–SHORE 28
COUNTIES, MAY SUBMIT A REQUEST TO THE DEPARTMENT TO ESTABLISH A LOCAL 29
SOLID WASTE DISPOSAL SURCHARGE PROGRAM . 30
(2) THE DEPARTMENT MAY APPROV E A REQUEST SUBMITTE D IN 31
ACCORDANCE WITH PARA GRAPH (1) OF THIS SUBSECTION , IF THE COUNTY 32 HOUSE BILL 1139 11
ESTABLISHES A LOCAL SOLID WASTE DISPOSAL SURCHARGE P ROGRAM TO FUND 1
WASTE DIVERSION AND COMPOSTING IN ACCORDANCE WITH T HIS SECTION. 2
(B) A LOCAL SOLID WASTE DISPOSAL SURCHARGE PROGRAM ES TABLISHED 3
UNDER THIS SECTION S HALL: 4
(1) INCLUDE A SEPARATE AND PROTECTED FUND TO RECEIVE 5
SURCHARGE REVENUE ; 6
(2) INCLUDE A SURCHARGE ASSESSED AT A RATE THAT IS GREATER 7
THAN OR EQUAL TO THE SURCHARGE RATE ESTABLISHED UNDER § 9–17A–02(B) OF 8
THIS SUBTITLE; 9
(3) ALLOCATE AT LEAST 40% OF THE SURCHARGE REVENUE 10
COLLECTED BY THE COU NTY TO NONGOVERNMENT PROGRA MS AND 11
INFRASTRUCTURE FOR THE PURPOSE OF DEVELOPING , MAINTAINING, OR 12
EXPANDING LOCAL REUS E, REPAIR, RECYCLING, AND COMPOSTING , INCLUDING 13
ASSOCIATED LABOR COSTS AND WAGE S; AND 14
(4) AWARD GRANTS, LOANS, OR OTHER FUND DISBUR SEMENTS TO AN 15
ENTITY, OR A CONSORTIUM OF E NTITIES, AS DEFINED UNDER § 9–17A–06 OF THIS 16
SUBTITLE. 17
(C) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , A COUNTY 18
MAY ASSESS A LOCAL SOLID WASTE DI SPOSAL SURCHARGE ESTABLISHE D IN 19
ACCORDANCE WITH THIS SECTION AT THE LEVEL OF WAST E GENERATION , 20
COLLECTION, OR FINAL DISPOSAL . 21
(2) A COUNTY MAY NOT ASSES S A LOCAL SOLID WASTE DISPOSAL 22
SURCHARGE ON THE SAM E SOLID WASTE MORE T HAN ONCE. 23
(D) (1) THE STATEWIDE SOLID WASTE DISPOSAL SURCHARGE 24
ESTABLISHED UNDER § 9–17A–02 OF THIS SUBTITLE MAY NOT BE ASSESSED ON THE 25
FINAL DISPOSAL OR TR ANSFER OF WASTE AT A REFUSE DISPOSAL SYSTEM LOCATED 26
IN A COUNTY THAT HAS IMPLEMENTED A LOCAL SOLID WASTE DISPOSAL 27
SURCHARGE PROGRAM IN ACCORDANCE WITH THIS SECTION. 28
(2) SOLID WASTE DISPOSED AT REF USE DISPOSAL SYSTEMS IN A 29
COUNTY THAT HAS IMPL EMENTED A LOCAL SOLI D WASTE DIS POSAL SURCHARGE 30
PROGRAM IN ACCORDANC E WITH THIS SECTION IS SUBJECT TO THE LO CAL 31
SURCHARGE ESTABLISHE D UNDER THE PROGRAM . 32
12 HOUSE BILL 1139
(E) ON AN ANNUAL BAS IS, THE DEPARTMENT SHALL REVI EW EACH LOCAL 1
SOLID WASTE D ISPOSAL SURCHARGE PR OGRAM ESTABLISHED UNDER THIS SECTION 2
TO: 3
(1) ENSURE COMPLIANCE WIT H THE REQUIREMENT S OF THIS 4
SECTION; AND 5
(2) EVALUATE BEST PRACTICES AND L ESSONS LEARNED FROM 6
LOCAL SOLID WASTE SU RCHARGE PROGRAMS. 7
9–17A–04. 8
(A) THERE IS A WASTE REDUCTION GRANTS FUND. 9
(B) THE PURPOSE OF THE FUND IS TO PROVIDE FU NDING TO THE OFFICE 10
AND THE DEPARTMENT OF AGRICULTURE TO AWARD GRANTS TO ASSIST WIT H THE 11
COSTS OF DEVELOPING , IMPLEMENTING , OR EXPANDING EQUIPME NT, 12
INFRASTRUCTURE , AND EDUCATION RELATI NG TO: 13
(1) REDUCING THE AMOUNT O F SOLID WASTE GENERA TED IN THE 14
STATE; 15
(2) REUSING, REPAIRING, RECYCLING, AND COMPOSTING SOLID 16
WASTE; 17
(3) EDIBLE FOOD RESCUE ; 18
(4) ON–FARM COMPOSTING AND COMPOST USE ; AND 19
(5) MINIMIZING ILLEGAL DU MPING. 20
(C) THE COMPTROLLER SHALL ADM INISTER THE FUND. 21
(D) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 22
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 23
(2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , 24
AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 25
(E) THE FUND CONSISTS OF : 26
(1) THE STATEWIDE SOLID WASTE DISPOSAL SURCHARGE REVENUE 27
DEPOSITED INTO THE FUND UNDER § 9–17A–02 OF THIS SUBTITLE; 28 HOUSE BILL 1139 13
(2) MONEY APPROPRIATED IN THE STATE BUDGET TO THE FUND; 1
(3) INTEREST EARNINGS ; AND 2
(4) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED FOR 3
THE BENEFIT OF THE FUND. 4
(F) (1) THE FUND MAY BE USED ONLY TO: 5
(I) PROVIDE THE FUNDING N ECESSARY TO AWARD GR ANTS 6
UNDER TITLE 2, SUBTITLE 22 OF THE AGRICULTURE ARTICLE; 7
(II) PROVIDE THE FUNDING NECESSARY TO AWARD GRANTS 8
UNDER §§ 9–17A–05 AND 9–17A–06 OF THIS SUBTITLE ; AND 9
(III) COVER THE REASONABLE ADMINISTRATIVE COSTS OF: 10
1. THE COMPTROLLER IN ADMINISTERING THE FUND; 11
2. THE DEPARTMENT OF AGRICULTURE IN AWARDING 12
GRANTS UNDER TITLE 2, SUBTITLE 22 OF THE AGRICULTURE ARTICLE; AND 13
3. THE OFFICE IN AWARDING GRANTS UNDER §§ 14
9–17A–05 AND 9–17A–06 OF THIS SUBTITLE. 15
(2) UP TO 10% OF THE ESTIMATED ANN UAL SOLID WASTE 16
SURCHARGE REVENUE MA Y BE USED TO COVER R EASONABL E ADMINISTRATIVE 17
COSTS UNDER PARAGRAP H (1)(III) OF THIS SUBSECTION . 18
(3) ON AN ANNUAL BASIS , AFTER COVERING REASO NABLE 19
ADMINISTRATIVE COSTS , THE COMPTROLLER SHALL TRA NSFER: 20
(I) 25% OF THE MONEY IN THE FUND TO THE ON–FARM 21
COMPOSTING AND COMPOST USE GRANT FUND ESTABLISHED UNDE R TITLE 2, 22
SUBTITLE 22 OF THE AGRICULTURE ARTICLE; AND 23
(II) 75% OF THE MONEY IN THE FUND TO THE STATE 24
RECYCLING TRUST FUND ESTABLISHED UNDE R § 9–1707(F) OF THIS TITLE. 25
(G) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF TH E FUND 26
IN THE SAME MANNER A S OTHER STATE MONEY MAY BE IN VESTED. 27
14 HOUSE BILL 1139
(2) INTEREST EARNINGS OF THE FUND SHALL BE CREDITE D TO THE 1
FUND. 2
9–17A–05. 3
(A) OF THE REVENUE TRANSF ERRED TO THE STATE RECYCLING TRUST 4
FUND UNDER § 9–17A–04(F)(3)(II) OF THIS SUBTITLE, TWO–THIRDS SHALL BE USED 5
BY THE OFFICE TO PROVIDE GRA NTS TO ELIGIBLE COUNTIES, INCLUDING 6
BALTIMORE CITY AND MID–SHORE COUNTIES , FOR DEVELOPING AND 7
IMPLEMENTING ACTIVIT IES THAT ADVANCE WAS TE PREVENTION , REUSE, REPAIR, 8
RECYCLING, OR COMPOSTING OR MIN IMIZE ILLEGAL DUMPING IN THE STATE, 9
INCLUDING FOR : 10
(1) DEVELOPING, MAINTAINING, OR EXPANDING LOCAL R EUSE, 11
REPAIR, RECYCLING, AND COMPOSTING INFRA STRUCTURE, AS WELL AS 12
INFRASTRUCTURE THAT MINIMIZES ILLEGAL DU MPING; 13
(2) DEVELOPING, MAINTAINING, OR EXPANDING LOCAL R EUSE, 14
REPAIR, RECYCLING, AND COMPOSTING PROGR AMS, AS WELL AS PROGRAMS TO 15
MINIMIZE ILLEGAL DUM PING; 16
(3) ENCOURAGING SOURCE –SEPARATION OF UNCONT AMINATED 17
MATERIALS; 18
(4) PROVIDING EDUCATION A ND TECHNICAL ASS ISTANCE TO PUBLIC 19
AND PRIVATE ENTITIES , INCLUDING SMALL HAUL ERS, TO ADVANCE WASTE 20
PREVENTION , REUSE, REPAIR, RECYCLING, AND COMPOSTING AND T O MINIMIZE 21
ILLEGAL DUMPING ; 22
(5) COLLECTING AND COMPOS TING SOURCE –SEPARATED 23
COMPOSTABLE MATERIAL S; AND 24
(6) DEVELOPING, MAINTAINING, OR EXPANDING MEASURE S THAT 25
ADDRESS AND MINIMIZE ILLEGAL DUMPING , INCLUDING MEASURES R ELATING TO: 26
(I) COMMUNITY AND RIVER C LEAN–UPS AND CAMPAIGNS ; 27
(II) TRAINING AND RESOURCE S FOR SMALL HAULERS ; 28
(III) SURVEILLANCE CAMERAS ; 29
(IV) DROP–OFF RECYCLING RECEPT ACLES; 30
HOUSE BILL 1139 15
(V) RESOURCE RECYCLING CE NTERS THAT ACCEPT A WIDE 1
RANGE OF MATERIALS ; AND 2
(VI) ALTERNATIVES TO SINGL E–USE PLASTICS. 3
(B) A COUNTY MAY APPLY FOR A GRANT UNDER THIS S ECTION IF THE 4
COUNTY HAS: 5
(1) CREATED A SEPARATE AC COUNT IN ITS GENERAL FUND TO 6
DEPOSIT THE GRANT MO NEY; 7
(2) ESTABLISHED ACCOUNTING PROCEDURE S TO ENSURE THAT 8
GRANT MONEY IN THE S EPARATE ACCOUNT IS S PENT ONLY IN ACCORDA NCE WITH 9
THIS SECTION; AND 10
(3) NOT IMPLEMENTED A LOCAL SOLID WASTE DISPOSAL 11
SURCHARGE PROGRAM IN ACCORDANCE WITH § 9–17A–03 OF THIS SUBTITLE. 12
(C) (1) A COUNTY THAT IS AWARD ED A GRANT UNDER THI S SECTION 13
SHALL REPORT TO THE OFFICE AT THE END OF EACH FISCAL YEAR ON : 14
(I) THE ACTIVITIES U NDERTAKEN UNDER THE GRANT TO 15
INCREASE THE COUNTY ’S PROPORTION OF WAST E DIVERSION, INCLUDING THE 16
SPECIFIC ACTIVITIES RELATING TO WASTE PREVENTION , REUSE, REPAIR, 17
RECYCLING, AND COMPOSTING ; 18
(II) THE ACTIVITIES UNDERT AKEN UNDER THE GRANT TO 19
MINIMIZE ILLEGAL DUMPING ; AND 20
(III) THE GAINS ACHIEVED IN WASTE DIVERSION PRAC TICES 21
AND ADDRESSING ILLEG AL DUMPING. 22
(2) THE REPORT REQUIRED U NDER THIS SUBSECTION : 23
(I) MAY BE SUBMITTED ELEC TRONICALLY; AND 24
(II) SHALL BE POSTED ON TH E COUNTY’S WEBSITE. 25
9–17A–06. 26
(A) (1) IN THIS SECTION, “ELIGIBLE ENTITY” MEANS: 27
(I) A UNIT OF STATE OR LOCAL GOVERN MENT; 28 16 HOUSE BILL 1139
(II) A LOCAL EDUCATION AGEN CY; 1
(III) AN INSTITUTION OF HIG HER EDUCATION ; 2
(IV) A NONPROFIT ORGANIZATI ON; 3
(V) A FARMER, INCLUDING AN URBAN FARMER ; 4
(VI) A BUSINESS THAT IS: 5
1. OPERATING IN THE STATE IN GOOD STANDIN G; AND 6
2. INTENDED TO OPERATE A T A PROFIT AND RETUR N A 7
PROFIT TO ITS OWNERS ; OR 8
(VII) A CONSORTIUM OF ANY OF THE ENTITIES IDENTIF IED IN 9
ITEMS (I) THROUGH (VI) OF THIS PARAGRAPH . 10
(2) “ELIGIBLE ENTITY ” DOES NOT INCLUDE A C OUNTY THAT HAS 11
IMPLEMENTED A LOCAL SOLID WASTE DISPOSAL SURCHARGE PROGRAM IN 12
ACCORDANCE WITH § 9–17A–03 OF THIS SUBTITLE. 13
(B) (1) OF THE REVENUE TRANSF ERRED TO THE STATE RECYCLING 14
TRUST FUND UNDER § 9–17A–04(F)(3)(II) OF THIS SUBTITLE, ONE–THIRD SHALL BE 15
USED BY THE OFFICE TO AWARD GRANT S TO ELIGIBLE ENTITI ES FOR: 16
(I) DEVELOPING, MAINTAINING, OR EXPANDING LOCAL R EUSE, 17
REPAIR, RECYCLING, AND COMPOSTING INFRA STRUCTURE, AS WELL AS 18
INFRASTRUCTURE THAT MINIM IZES ILLEGAL DUMPING ; 19
(II) DEVELOPING, MAINTAINING, OR EXPANDING LOCAL R EUSE, 20
REPAIR, RECYCLING, AND COMPOSTING PROGR AMS, AS WELL AS PROGRAMS TO 21
MINIMIZE ILLEGAL DUM PING; 22
(III) ENCOURAGING SOURCE –SEPARATION OF 23
UNCONTAMINATED MATERIALS; 24
(IV) PROVIDING EDUCATION A ND TECHNICAL ASSISTA NCE TO 25
PUBLIC AND PRIVATE E NTITIES, INCLUDING HAULERS , TO: 26
1. ADVANCE WASTE PREVENT ION, REUSE, REPAIR, 27
RECYCLING, AND COMPOSTING ; AND 28 HOUSE BILL 1139 17
2. MINIMIZE ILLEGAL DUMP ING; 1
(V) COLLECTING AN D COMPOSTING SOURCE –SEPARATED 2
COMPOSTABLE MATERIAL S; 3
(VI) ENABLING RESTAURANTS , MULTIFAMILY HOUSING 4
PROPERTY MANAGERS , HAULERS, AND OTHER SMALL BUSI NESSES TO DEVELOP , 5
MAINTAIN, OR EXPAND PROGRAMS A ND PROCURE NECESSARY EQUIPMENT FOR 6
WASTE DIVERSION AND TO MINIMIZE ILLEGAL DUMPING; AND 7
(VII) DEVELOPING, MAINTAINING, OR EXPANDING MEASURE S 8
THAT ADDRESS AND MIN IMIZE ILLEGAL DUMPIN G, INCLUDING MEASURES R ELATING 9
TO: 10
1. COMMUNITY AND RIVER C LEAN–UPS AND 11
CAMPAIGNS; 12
2. TRAINING AND RESOURCE S FOR HAULERS; 13
3. SURVEILLANCE CAMERAS ; 14
4. DROP–OFF RECYCLING RECEPT ACLES; 15
5. RESOURCE RECYCLING CE NTERS THAT ACCEPT A 16
WIDE RANGE OF MATERI ALS; AND 17
6. ALTERNATIVES TO SINGL E–USE PLASTICS. 18
(2) THE OFFICE SHALL ENSURE T HAT GRANTS AWARDED UNDER THIS 19
SUBSECTION ARE AWARD ED EQUITABLY AMONG A CTIVITIES RELATING T O WASTE 20
PREVENTION , REUSE, REPAIR, RECYCLING, COMPOSTING , AND MINIMIZING ILLEG AL 21
DUMPING. 22
(C) AN ELIGIBLE ENTITY MA Y APPLY FOR A GRANT UNDER THIS SECTION . 23
(D) (1) THE OFFICE SHALL E STABLISH GRANT APPLI CATION 24
PROCEDURES . 25
(2) THE GRANT APPLICATION PROCEDURES SHALL INC LUDE: 26
(I) A PROCESS FOR FACILITA TING THE PARTICIPATI ON OF 27
ELIGIBLE ENTITIES WI TH LIMITED RESOURCES ; 28 18 HOUSE BILL 1139
(II) A SIMPLE COMMON APPLIC ATION AND COMMON 1
REPORTING FORMA T; 2
(III) A PROCESS FOR AUTHORIZ ING ELIGIBLE ENTITIE S TO USE 3
THE ENTITY’S STANDARD ANNUAL RE PORT AND “LETTER OF INTEREST ” TO MEET 4
APPLICATION AND REPO RTING REQUIREMENTS ; 5
(IV) A PROCESS FOR SUBMITTI NG APPLICATIONS IN W RITING 6
AND THROUGH VIDEO AN D AUDIO FORMATS ; AND 7
(V) TRANSLATION SERVICES FOR APPLICANTS TO OV ERCOME 8
LANGUAGE BARRIERS IN THE APPLICATION PROC ESS. 9
(E) IN AWARDING GRANTS UN DER THIS SECTION , THE SECRETARY SHALL 10
GIVE PRIORITY FOR PR OJECTS: 11
(1) FOR WHICH AN APPLICAN T CLEARLY DESCRIBES THE PROJECT 12
AND GOALS, INCLUDING A DESCRIPT ION OF HOW THE PROJE CT WILL ACHIEVE 13
WASTE PREVENTION , REUSE, REPAIR, RECYCLING, OR COMPOSTING GOALS OR 14
PREVENT ILLEGAL DUMP ING IN THE STATE; 15
(2) FOR WHICH AN APPLICAN T CLEARLY DESCRIBES HO W THE 16
PROJECT WILL PROVIDE DIRECT, MEANINGFUL , AND ASSURED BENEFITS TO THE 17
COMMUNITY AND ADDRES S IMPORTANT COMMUNIT Y NEEDS; 18
(3) THAT REUSE, RECYCLE, OR COMPOST MATERIALS WITHIN THE 19
LOCAL COMMUNITY ; 20
(4) THAT INVOLVE THE C ONSTRUCT ION, RENOVATION , OR 21
EXPANSION OF SITES T O INCREASE IN –STATE INFRASTRUCTURE FOR WASTE 22
PREVENTION , REUSE, REPAIR, RECYCLING, OR COMPOSTING IN THE STATE; 23
(5) THAT SERVE A MARGINAL IZED, LOW–INCOME, OR SOCIALLY 24
DISADVANTAGED COMMUN ITY; 25
(6) THAT MINIMIZE NEGATIVE IMPACTS AND MAXIMIZE BENEFITS TO 26
THE LOCAL COMMUNITY , INCLUDING JOBS CREAT ED FOR THE COMMUNITY , JOB 27
TRAINING, OR SUPPORT FOR HIRIN G AND LEADERSHIP DEV ELOPMENT PRACTICES 28
THAT ARE INCLUSIVE A ND PROVIDE LIVING WA GES; AND 29
HOUSE BILL 1139 19
(7) THAT CLEAN UP DEBRIS IN AREAS AFFECTED BY ILLEGAL 1
DUMPING AND INCORPOR ATE COMPONENTS OF WA STE PREVENTION AND R EUSE, 2
REPAIR, RECYCLING, OR COMPOSTING THE DE BRIS. 3
9–17A–07. 4
(A) (1) ON OR BEFORE DECEMBER 1 EACH YEAR, BEGINNING IN 2025, 5
THE OFFICE, IN COORDINATION WITH THE DEPARTMENT OF AGRICULTURE , SHALL 6
REPORT TO THE GENERAL ASSEMBLY, IN ACCORDANCE WITH § 2–1257 OF THE 7
STATE GOVERNMENT ARTICLE, ON THE GRANTS AWARDE D UNDER TITLE 2, 8
SUBTITLE 22 OF THE AGRICULTURE ARTICLE AND UNDER §§ 9–17A–05 AND 9
9–17A–06 OF THIS SUBTITLE. 10
(2) THE REPORT SHALL INCL UDE: 11
(I) THE NUMBER AND TYPES OF GRANTS AWARDED ; AND 12
(II) THE IMPACT OF GRANT A WARDS ON: 13
1. JOB CREATION AND OTHE R BENEFITS TO THE STATE; 14
2. WASTE PREVENTION AND DIVERSION; AND 15
3. THE QUANTITY OF COMPO ST UTILIZED BY FARME RS. 16
(3) THE OFFICE MAY REPORT THE INFORMATION REQUIRED UNDER 17
THIS SUBSECTION IN T HE ANNUAL SOLID WAST E MANAGEMENT AND DIV ERSION 18
REPORT REQUIRED UNDE R § 9–204(N) OF THIS TITLE OR ANY OTHE R EXISTING 19
REPORT, AS DETERMINED BY THE OFFICE. 20
(B) BEGINNING WITH THE RE PORT DUE DECEMBER 1, 2025, AND EVERY 2 21
YEARS THEREAFTER , IN THE REPORT REQUIR ED UNDER SUBSECTION (A) OF THIS 22
SECTION, THE OFFICE SHALL INCLUDE A RECOMMENDATION ON WHETHER AND TO 23
WHAT EXTENT AN ADJUS TMENT TO THE STATEWIDE SOLID WASTE DISPOSAL 24
SURCHARGE ESTABLISHE D UNDER § 9–17A–02 OF THIS SUBTI TLE IS 25
RECOMMENDED . 26
Article – State Finance and Procurement 27
6–226. 28
(a) (2) (i) Notwithstanding any other provision of law, and unless 29
inconsistent with a federal law, grant agreement, or other federal requirement or with the 30
terms of a gift or settlement agreement, net interest on all State money allocated by the 31 20 HOUSE BILL 1139
State Treasurer under this section to special funds or accounts, and otherwise entitled to 1
receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 2
Fund of the State. 3
(ii) The provisions of subparagraph (i) of this paragraph do not apply 4
to the following funds: 5
170. the Cannabis Public Health Fund; [and] 6
171. the Community Reinvestment and Repair Fund; 7
172. THE ON–FARM COMPOSTING AND COMPOST USE 8
GRANT FUND; AND 9
173. THE WASTE REDUCTION GRANTS FUND. 10
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 11
October 1, 2023. 12