EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *hb0030* HOUSE BILL 30 M3 EMERGENCY BILL 3lr0594 (PRE–FILED) CF SB 7 By: Delegate Stein Requested: October 21, 2022 Introduced and read first time: January 11, 2023 Assigned to: Environment and Transportation A BILL ENTITLED AN ACT concerning 1 Environment – On–Site Wastewater Services – Board, Fees, and Penalties 2 FOR the purpose of altering the composition of the State Board of On–Site Wastewater 3 Professionals; clarifying and altering the distribution of certain fees and penalties; 4 clarifying the application of certain license requirements and penalties; and 5 generally relating to the regulation of on–site wastewater services. 6 BY repealing and reenacting, with amendments, 7 Article – Environment 8 Section 9–217.2, 9–11A–06(a), and 9–11A–15 9 Annotated Code of Maryland 10 (2014 Replacement Volume and 2022 Supplement) 11 BY repealing and reenacting, without amendments, 12 Article – Environment 13 Section 9–11A–01(a) and (b) and 9–11A–11 14 Annotated Code of Maryland 15 (2014 Replacement Volume and 2022 Supplement) 16 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 17 That the Laws of Maryland read as follows: 18 Article – Environment 19 9–217.2. 20 (a) In this section, “license holder” means an individual who holds a valid on–site 21 wastewater property transfer inspection license issued by the Department under this 22 section. 23 2 HOUSE BILL 30 (b) This section does not apply to an individual who inspects an on–site sewage 1 disposal system as a part of the individual’s duties as an employee of the federal 2 government, the State, or any local government of the State. 3 (c) On or after July 1, 2022, an individual may not engage in the business of 4 inspecting an on–site sewage disposal system FOR THE PU RPOSE OF PROPERTY 5 TRANSFER unless the individual holds a valid on–site wastewater property transfer 6 inspection license issued by the Department. 7 (d) (1) On or before January 1, 2022, the Department shall adopt regulations 8 establishing eligibility criteria, minimum training standards for on–site wastewater 9 property transfer inspection licenses, the frequency with which licenses must be renewed, 10 and the fees for license applications and renewals. 11 (2) The regulations adopted under this subsection shall require that: 12 (i) The training include instruction on determining whether an 13 on–site sewage disposal system is: 14 1. In need of replacement or repair; and 15 2. Not in compliance with statutory or regulatory 16 requirements; and 17 (ii) Each inspection performed by a license holder follows the 18 inspection format provided by the Department. 19 (e) (1) An applicant for a license under this section shall: 20 [(1)] (I) Submit an application to the Department on the form the 21 Department provides; and 22 [(2)] (II) Pay an application fee set by the Department. 23 (2) APPLICATION FEES COLL ECTED BY THE DEPARTMENT UNDER 24 THIS SUBSECTION SHAL L BE PAID INTO THE ON–SITE WASTEWATER 25 PROFESSIONALS FUND ESTABLISHED UNDE R § 9–11A–11 OF THIS TITLE. 26 (f) (1) An individual who violates a provision of this section or any regulation 27 adopted under this section is subject to an administrative penalty not exceeding $10,000. 28 (2) Each on–site sewage disposal system that an individual knowingly 29 inspects FOR THE PURPOSE OF P ROPERTY TRANSFER without a valid on–site 30 wastewater property transfer inspection license constitutes a separate violation of this 31 section. 32 HOUSE BILL 30 3 (3) Any administrative penalty collected by the Department under this 1 subsection shall be paid into the [separate account within the Bay Restoration Fund 2 established under § 9–1605.2(h)] MARYLAND CLEAN WATER FUND ESTABLISHED 3 UNDER § 9–320 of this title. 4 (g) A local government may establish additional requirements for inspections of 5 on–site sewage disposal systems. 6 9–11A–01. 7 (a) In this subtitle the following words have the meanings indicated. 8 (b) “Board” means the State Board of On–Site Wastewater Professionals. 9 9–11A–06. 10 (a) (1) The Board consists of the following members: 11 (i) The Secretary, or the Secretary’s designee; 12 (ii) Six individuals appointed by the Governor with the advice of the 13 Secretary and with the advice and consent of the Senate; 14 (iii) One individual designated by the Maryland Onsite Wastewater 15 Professionals Association; and 16 (iv) One representative of the Maryland Conference of Local 17 Environmental Health Directors, designated by the Maryland Conference of Local 18 Environmental Health Directors. 19 (2) Of the members of the Board: 20 (i) At least [six] FIVE shall be on–site wastewater professionals; 21 and 22 (ii) Two shall be consumer members. 23 (3) (i) [Of the] THE on–site wastewater professional members of the 24 Board[: 25 1. At least one shall be from the area that consists of 26 Allegany County, Frederick County, Garrett County, and Washington County; 27 2. At least one shall be from the area that consists of 28 Baltimore City, Baltimore County, Carroll County, Harford County, Howard County, and 29 Montgomery County; 30 4 HOUSE BILL 30 3. At least one shall be from the area that consists of Anne 1 Arundel County and Prince George’s County; 2 4. At least one shall be from the area that consists of Caroline 3 County, Cecil County, Dorchester County, Kent County, Queen Anne’s County, Somerset 4 County, Talbot County, Wicomico County, and Worcester County; and 5 5. At least one shall be from the area that consists of Calvert 6 County, Charles County, and St. Mary’s County] SHALL BE REPRESENTAT IVE OF ALL 7 GEOGRAPHIC REGIONS O F THE STATE. 8 (ii) Before July 1, 2026, the on–site wastewater professional 9 members of the Board shall: 10 1. Be licensed by a local government; or 11 2. Hold a letter from the local health department stating that 12 the member has been providing on–site wastewater services for a minimum of 7 years and 13 is in good standing. 14 (iii) On and after July 1, 2026, and in accordance with this subtitle, 15 the on–site wastewater professional members of the Board shall be licensed by the Board. 16 (4) Each consumer member of the Board: 17 (i) Shall be a member of the general public; 18 (ii) May not be a licensee or otherwise be subject to regulation by the 19 Board; 20 (iii) May not be required to meet the qualifications for the 21 professional members of the Board; and 22 (iv) May not, within 1 year before appointment, have had a financial 23 interest in or have received compensation from a person regulated by the Board. 24 9–11A–11. 25 (a) In this section, “Fund” means the On–Site Wastewater Professionals Fund. 26 (b) There is an On–Site Wastewater Professionals Fund. 27 (c) The purpose of the Fund is to provide funding to maintain the Board. 28 (d) The Board shall administer the Fund. 29 HOUSE BILL 30 5 (e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 1 the State Finance and Procurement Article. 2 (2) The State Treasurer shall hold the Fund separately, and the 3 Comptroller shall account for the Fund. 4 (f) The Fund consists of: 5 (1) All fees, penalties, and fines collected under this subtitle; 6 (2) Money appropriated in the State budget to the Fund; 7 (3) Interest earnings of the Fund; 8 (4) Donations to the Fund; and 9 (5) Any other money from any other source accepted for the benefit of the 10 Fund. 11 (g) The Fund shall be used only to pay for the cost of creating the Board, 12 maintenance of the Board, reasonable administrative costs, and implement the provisions 13 of this subtitle. 14 (h) (1) The State Treasurer shall invest the money of the Fund in the same 15 manner as other State money may be invested. 16 (2) Any interest earnings of the Fund shall be credited to the Fund. 17 (i) Expenditures from the Fund may be made only in accordance with the State 18 budget. 19 (j) Money expended from the Fund to maintain the Board or implement the 20 provisions of this subtitle is supplemental to and is not intended to take the place of funding 21 that otherwise would be appropriated for the Board. 22 9–11A–15. 23 (a) (1) Except as provided in paragraph (2) of this subsection, an individual 24 shall be licensed by the Board in accordance with this subtitle before the individual may 25 provide on–site wastewater services in the State. 26 (2) (i) An individual who provides on–site wastewater services in the 27 State may continue to provide on–site wastewater services until the licensing requirements 28 are established by the Department by regulation if the individual: 29 1. Complies with all applicable State and local laws and 30 regulations; 31 6 HOUSE BILL 30 2. On or before December 31, 2022, pays to the Department 1 a fee of $150; and 2 3. Every 2 years thereafter until the Department sets fees in 3 accordance with § 9–11A–10 of this subtitle, pays to the Department a renewal fee of $150. 4 (ii) All fees collected by the Department under this paragraph shall 5 be [used]: 6 1. PAID INTO THE ON–SITE WASTEWATER 7 PROFESSIONALS FUND ESTABLISHED UNDE R § 9–11A–11 OF THIS SUBTITL E; AND 8 2. USED by the Department to: 9 [1.] A. Pay for the creation of the Board; 10 [2.] B. Cover reasonable administrative costs; and 11 [3.] C. Implement the provisions of this subtitle. 12 (b) To qualify for a license, an applicant shall meet the requirements established 13 by the Department by regulation. 14 (c) To apply for a license, an applicant shall: 15 (1) Submit to the Board an application on the form that the Board provides; 16 and 17 (2) Pay to the Board the required application fee set by the Department by 18 regulation. 19 (d) A license issued by the Board in accordance with this subtitle is valid for 2 20 years. 21 (e) In accordance with the requirements established by the Department by 22 regulation, the Board may issue a certification to an individual to perform specific tasks 23 associated with on–site wastewater services if the individual: 24 (1) Is licensed by the Board; or 25 (2) Holds a professional license that is approved by the Board. 26 SECTION 2. AND BE IT FURTHER ENACTED, That this Act i s an emergency 27 measure, is necessary for the immediate preservation of the public health or safety, has 28 been passed by a yea and nay vote supported by three–fifths of all the members elected to 29 HOUSE BILL 30 7 each of the two Houses of the General Assembly, and shall take effect from the date it is 1 enacted. 2