Maryland 2023 Regular Session

Maryland House Bill HB261 Latest Draft

Bill / Chaptered Version Filed 04/26/2023

                             	WES MOORE, Governor 	Ch. 202 
 
– 1 – 
Chapter 202 
(House Bill 261) 
 
AN ACT concerning 
 
Public Eligible Projects – Global Warming Potential of Materials Procurement 
of Construction Materials 
(Buy Clean Maryland Act) 
 
FOR the purpose of requiring producers of eligible materials to submit certain declarations 
to the Department of General Services by a certain date; requiring the Department 
to assess and to establish a maximum acceptable global warming potential for 
certain categories of eligible materials used in certain eligible projects; requiring the 
Department to review the maximum acceptable global warming potential for each 
category of eligible materials and authorizing the Department to make certain 
adjustments according to a certain schedule; prohibiting the Department from 
increasing the maximum acceptable global warming potential for a category of 
eligible materials; requiring a unit of State government to specify the eligible 
materials that will be used in an eligible project in the solicitation for an eligible 
project; requiring a successful bidder or offeror of an eligible project to submit certain 
information about each eligible material proposed to be used in an eligible project; 
prohibiting a contractor from installing any eligible materials on an eligible project 
until the contractor submits the required information for the eligible material; 
authorizing the Department to waive certain requirements concerning the use of 
eligible materials on eligible projects under certain circumstances; providing that the 
Department shall strive to achieve a continuous reduction of greenhouse gas 
emissions over time; establishing an Environmental Product Declaration Assistance 
Fund for a certain purpose; and generally relating to the global warming potential 
of materials in public eligible projects. 
 
BY adding to 
 Article – State Finance and Procurement 
Section 4–901 through 4–905 to be under the new subtitle “Subtitle 9. Buy Clean 
Maryland Act” 
 Annotated Code of Maryland 
 (2021 Replacement Volume and 2022 Supplement) 
 
 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 
That the Laws of Maryland read as follows: 
 
Article – State Finance and Procurement 
 
SUBTITLE 9. BUY CLEAN MARYLAND ACT. 
 
4–901.  Ch. 202 	2023 LAWS OF MARYLAND  
 
– 2 – 
 
 (A) IN THIS SUBTITLE THE FOLLOWI NG WORDS HAVE THE ME ANINGS 
INDICATED. 
 
 (B) “ELIGIBLE MATERIAL ” MEANS ANY CEMENT OR CONCRETE MIXTURE 
USED IN THE CONSTRUC TION OF A PUBLIC AN ELIGIBLE PROJECT. 
 
 (C) (1) “ELIGIBLE PROJECT ” MEANS A PUBLIC PROJE CT AS DEFINED 
INCLUDES MEANS A CAPITAL PROJECT DE SCRIBED IN § 3–602 3–602.1(C) OF THIS 
ARTICLE. 
 
 (2) “ELIGIBLE PROJECT ” DOES NOT INCLUDE ANY MAINTENANCE 
PROGRAM FOR THE UPKE EP OF A PUBLIC AN ELIGIBLE PROJECT. 
 
 (D) “GLOBAL WARMING POTENT IAL” MEANS THE DEGREE THA T A GIVEN 
MASS OF A CHEMICAL CONTRIBUTES TO GLOBAL WARMING OV ER A GIVEN TIME 
PERIOD WHEN COMPARED TO THE SAME MASS OF CARBON DIOXIDE . 
 
 (E) “GREENHOUSE GAS ” HAS THE MEANING STAT ED IN § 2–1202 OF THE 
ENVIRONMENT ARTICLE. 
 
4–902. 
 
 IN ADMINISTERING THIS SUBTITLE, THE DEPARTMENT SHALL STRIVE TO 
ACHIEVE A CONTINUOUS REDUCTION OF GREENHO USE GAS EMISSIONS OV ER TIME. 
 
4–903. 
 
 (A) (1) ON OR BEFORE DECEMBER 31, 2024, PRODUCERS OF ELIGIBL E 
MATERIALS SHALL SUBM IT ENVIRONMENTAL PRO DUCT DECLARATIONS TO THE 
DEPARTMENT .  
 
 (2) THE DEPARTME NT SHALL ANALYZE ENV IRONMENTAL PRODUCT 
DECLARATIONS AND ASS ESS GLOBAL WARMING P OTENTIAL FOR ELIGIBL E 
MATERIALS USED IN AN ELIGIBLE PROJECT IN ACCORDANCE WITH THIS SECTION. 
 
 (B) ON OR BEFORE JANUARY 1, 2025 2026, THE DEPARTMENT SHALL , IN 
CONSULTATION WITH THE DEPARTMENT OF TRANSPORTATION , ESTABLISH A 
MAXIMUM ACCEPTABLE G LOBAL WARMING POTENT IAL FOR EACH CATEGOR Y OF 
ELIGIBLE MATERIALS U SED IN AN ELIGIBLE P ROJECT IN ACCORDANCE WITH THIS 
SECTION. 
 
 (B) (C) THE DEPARTMENT SHALL : 
   	WES MOORE, Governor 	Ch. 202 
 
– 3 – 
 (1) BASE THE MAXIMUM ACC EPTABLE GLOBAL WARMING POT ENTIAL 
ON THE INDUSTRY AVER AGE OF GLOBAL WARMIN G POTENTIAL EMISSION S FOR THAT 
MATERIAL;  
 
 (2) DETERMINE THE INDUST RY AVERAGE OF GLOBAL WARMING 
POTENTIAL EMISSIONS , WHICH MAY INCLUDE TR ANSPORTATION –RELATED 
EMISSIONS, BY CONSULTING NATI ONALLY OR INTERNATIO NALLY RECOGNIZED 
DATABASES OF ENVIRON MENTAL PRODUCT DECLA RATIONS; AND  
 
 (3) EXPRESS THE MAXIMUM ACCEPTABLE GLOBAL WA RMING 
POTENTIAL AS A NUMBE R THAT STATES THE MA XIMUM ACCEPTABLE GLO BAL 
WARMING POTENTIAL FO R EACH CATEGORY OF E LIGIBLE MATERIALS, CONSISTENT 
WITH CRITERIA IN AN ENVIRONMENTAL PRODUC T DECLARATION . 
 
 (C) (D) THE DEPARTMENT MAY : 
 
 (1) ESTABLISH ADDITIONAL SUBCATEGORIES WITHIN EACH 
CATEGORY OF ELIGIBLE MATERIAL WITH DISTIN CT MAXIMUM ACCEPTABL E GLOBAL 
WARMING POTENTIAL LI MITS; 
 
 (2) ESTABLISH A MAXIMUM ACCEPTABLE GLOBAL WA RMING 
POTENTIAL FOR EACH M ATERIAL CATEGORY IN THE AGGREGATE ; AND  
 
 (3) CONSULT WITH ANY OTH ER RELEVANT UNIT OF STATE 
GOVERNMENT WHEN ESTA BLISHING A MAXIMUM A CCEPTABLE GLOBAL WAR MING 
POTENTIAL FOR EACH CATEGORY OF ELIGIBLE MATERIALS USED IN AN ELIGIBLE 
PROJECT. 
 
 (D) (E) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , BY 
JANUARY 1, 2028 2029, AND EVERY 3 YEARS THEREAFTER , THE DEPARTMENT 
SHALL REVIEW THE MAX IMUM ACCEPTABLE GLOB AL WARMING POTENTIAL FOR 
EACH CATEGORY OF ELIGI BLE MATERIALS AND MA Y ADJUST THE POTENTI AL FOR 
ANY CATEGORY TO REFL ECT INDUSTRY CONDITI ONS. 
 
 (2) THE DEPARTMENT MAY NOT AD JUST THE GLOBAL WARM ING 
POTENTIAL UPWARD FOR ANY CATEGORY OF ELIG IBLE MATERIAL. 
 
 SECTION 2. AND BE IT FURTHER E NACTED, That the Laws of Maryland read 
as follows: 
 
Article – State Finance and Procurement 
 
4–904. 
  Ch. 202 	2023 LAWS OF MARYLAND  
 
– 4 – 
 (A) (1) FOR ANY SOLICITATION FOR A CONTRACT FOR A N ELIGIBLE 
PROJECT, A UNIT OF STATE GOVERNMENT SHAL L SPECIFY THE ELIGIB LE 
MATERIALS THAT WILL BE USED IN THE PROJECT AND THE REASONABLE MINIMUM 
USAGE THRESHOLDS BEL OW WHICH THE REQUIRE MENTS OF THIS SECTIO N DO NOT 
APPLY. 
 
 (2) A UNIT OF STATE GOVERNMENT MAY INCLUDE IN A SOLICIT ATION 
FOR AN ELIGIBLE PROJ ECT A GLOBAL WARMING POTENTIAL FOR ANY EL IGIBLE 
MATERIAL THAT IS LOWER THAN T HE MAXIMUM ACCEPTABL E GLOBAL WARMING 
POTENTIAL FOR THAT M ATERIAL AS DETERMINE D UNDER § 4–903 OF THIS 
SUBTITLE. 
 
 (B) THE DEPARTMENT SHALL REQU IRE A SUCCESSFUL BID DER OR 
OFFEROR OF AN ELIGIB LE PROJECT TO SUBMIT , FOR EACH ELIGIBLE MA TERIAL 
PROPOSED TO BE USED IN THE ELIGIBLE PROJ ECT: 
 
 (1) A CURRENT ENVIRONMEN TAL PRODUCT DECLARAT ION, TYPE III, 
AS DEFINED BY THE INTERNATIONAL ORGANIZATION FOR STANDARDIZATION 
STANDARD 14025; OR 
 
 (2) A SIMILARLY ROBUST L IFE CYCLE ASSESSMENT METHOD THAT 
INCLUDES UNIFORM STANDA RDS IN DATA COLLECTI ON. 
 
 (C) A CONTRACTOR MAY NOT I NSTALL ANY ELIGIBLE MATERIALS ON THE 
ELIGIBLE PROJECT UNT IL THE CONTRACTOR SU BMITS A FACILITY –SPECIFIC 
ENVIRONMENTAL PRODUC T DECLARATION FOR TH AT ELIGIBLE MATERIAL AS 
REQUIRED UNDER SU BSECTION (B) OF THIS SECTION. 
 
 (D) IF AN ENVIRONMENTAL P RODUCT DECLARATION I S NOT AVAILABLE FOR 
AN ELIGIBLE MATERIAL , THE CONTRACTOR SHALL NOTIFY THE UNIT AND USE AN 
ALTERNATIVE ELIGIBLE MATERIAL WITH AN ENV IRONMENTAL PRODUCT 
DECLARATION .  
 
 (E) THE DEPARTMENT MAY WAIVE THE REQUIREMENTS OF THIS SECTION 
IF IT DETERMINES THA T REQUIRING THE RELE VANT ELIGIBLE MATERI ALS WOULD: 
 
 (1) BE TECHNICALLY INFEA SIBLE; 
 
 (2) RESULT IN A SIGNIFIC ANT INCREASE IN PROJ ECT COST; 
 
 (3) RESULT IN A SIGNIFIC ANT DELAY IN PROJECT COMPLETION ; OR  
   	WES MOORE, Governor 	Ch. 202 
 
– 5 – 
 (4) RESULT IN ONLY ONE S OURCE OR MANUFACTURE R BEING ABLE 
TO PROVIDE THE NECES SARY MATERIALS . 
 
4–905. 
 
 (A) ON OR BEFORE DECEMBER 1, 2025, AND EACH YEAR THEREA FTER, THE 
DEPARTMENT SHALL SUBM IT AN ANNUAL REPORT , IN ACCORDANCE WITH § 2–1257 
OF THE STATE GOVERNMENT ARTICLE, TO THE GENERAL ASSEMBLY THAT 
INCLUDES: 
 
 (1) WHAT THE DEPARTMENT HAS LEARNE D ABOUT HOW TO IDENT IFY 
AND QUANTIFY EMBODIE D CARBON IN BUILDING MATERIALS, INCLUDING LIFE 
CYCLE COSTS; AND 
 
 (2) ANY OBSTACLES THE DEPARTMENT, BIDDERS, OR OFFERORS 
HAVE ENCOUNTERED IN IDENTIFYING AND QUAN TIFYING EMBODIED CAR BON IN 
BUILDING MATERIALS . 
 
 (B) THE REPORT SUBMITTED ON OR BEFORE DECEMBER 1, 2025, SHALL 
INCLUDE A DESCRIPTIO N OF THE METHOD THAT THE DEPARTMENT USED TO 
DEVELOP THE M AXIMUM ACCEPTABLE GL OBAL WARMING POTENTI AL FOR EACH 
CATEGORY OF ELIGIBLE MATERIALS. 
 
 SECTION 3. AND BE IT FURTHER ENACTED, That: 
 
 (a) (1) There is an Environmental Product Declaration Assistance Fund. 
 
 (2) The purpose of the Fund is to award grants to producers of eligible 
materials to support the development, standardization, and transparency of environmental 
product declarations for construction materials and products. 
 
 (b) The Department of Commerce shall administer the Fund. 
 
 (c) The Fund shall consist of money appropriated in the State budget to the Fund. 
 
 SECTION 4. AND BE IT FURTHER ENACTED, That: 
 
 (a) The Maryland Green Building Council shall examine: 
 
 (1) the use of environmental product declarations to measure the climate 
impact of construction materials produced by the State, including glass, steel, and wood; 
 
 (2) the use of performance incentives to encourage adoption of low–carbon 
materials and methods by manufacturers that provide construction materials for 
State–funded projects;  Ch. 202 	2023 LAWS OF MARYLAND  
 
– 6 – 
 
 (3) the establishment of an expedited product evaluation, testing, and 
approval protocol for low–carbon products;  
 
 (4) the implementation of performance–based specification standards for 
construction materials, including requirements that a structural material achieve specified 
performance–based outcomes from the use of structural material, including outcomes 
related to strength, durability, permeability, or other attributes related to the function of 
building material for applied uses; and  
 
 (5) the use of methods of compliance, including specifications based on 
maximum potential for global warming. 
 
 (b) In examining the items under subsection (a) of this section, the Maryland 
Green Building Council shall consult with:  
 
 (1) any relevant associations that set industry standards for the 
procurement of low–carbon construction products; and  
 
 (2) affected contractors and subcontractors to consider both environmental 
and health and safety impacts.  
 
 (c) On or before September 1, 2024, the Maryland Green Building Council shall 
report its findings and recommendations to the Governor and, in accordance with § 2–1257 
of the State Government Article, the General Assembly.  
 
 SECTION 3. 5. 4. AND BE IT FURTHER ENACTED, That Section 2 of this Act shall 
take effect July 1, 2025 2026. 
 
 SECTION 6. 5. AND BE IT FURTHER ENACTED, That Section 3 of this Act shall 
take effect July 1, 2023. It shall remain effective for a period of 1 year and 6 months and, 
at the end of December 31, 2024, Section 3 of this Act shall be abrogated and of no further 
force and effect.  
 
 SECTION 4. 7. 6. AND BE IT FURTHER ENACTED, That, except as provided in 
Section 3 Sections 5 and 6 4 and 5 of this Act, this Act shall take effect July 1, 2023. 
 
Approved by the Governor, April 24, 2023.