EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LA W. [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. *hb0892* HOUSE BILL 892 M3 3lr2971 CF SB 813 By: Delegate Ivey Introduced and read first time: February 9, 2023 Assigned to: Environment and Transportation and Appropriations Committee Report: Favorable with amendments House action: Adopted Read second time: March 31, 2023 CHAPTER ______ AN ACT concerning 1 Environment – Comprehensive Flood Management Grant Program – Funding 2 for Underserved and Overburdened Communities 3 FOR the purpose of requiring a certain percentage of funding provided under the 4 comprehensive flood management grant program to be used for projects located in or 5 directly benefitting census tracts with a certain EJ Score benefiting underserved or 6 overburdened communities in certain fiscal years; requiring authorizing the 7 Governor to include in the annual State budget an appropriation for the 8 comprehensive flood management grant program of up to a certain amount in certain 9 fiscal years; and generally relating to the comprehensive flood management grant 10 program. 11 BY repealing and reenacting, without amendments, 12 Article – Environment 13 Section 1–101(a), (e), and (j) 14 Annotated Code of Maryland 15 (2013 Replacement Volume and 2022 Supplement) 16 BY repealing and reenacting, with amendments, 17 Article – Environment 18 Section 5–803(h) 19 Annotated Code of Maryland 20 (2013 Replacement Volume and 2022 Supplement) 21 2 HOUSE BILL 892 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1 That the Laws of Maryland read as follows: 2 Article – Environment 3 1–101. 4 (a) In this article the following words have the meanings indicated. 5 (e) “EJ Score” means an overall evaluation of an area’s environment and existing 6 environmental justice indicators, as defined by the Department in regulation, including: 7 (1) Pollution burden exposure; 8 (2) Pollution burden environmental effects; 9 (3) Sensitive populations; and 10 (4) Socioeconomic factors. 11 (j) “Maryland EJ tool” means a publicly available State mapping tool that allows 12 users to: 13 (1) Explore layers of environmental justice concern; 14 (2) Determine an overall EJ Score for census tracts in the State; and 15 (3) View additional context layers relevant to an area. 16 5–803. 17 (h) (1) There is a comprehensive flood management grant program within the 18 Department. 19 (2) (i) Subject to the approval of the Board of Public Works, the 20 Department may use proceeds from the State debt created to fund the comprehensive flood 21 management grant program to pay the entire cost of watershed studies pursuant to 22 subsection (b) of this section. 23 (ii) The Department may provide grants to subdivisions to pay the 24 entire cost of watershed studies when the Department delegates that responsibility 25 pursuant to subsection (b) of this section. 26 (3) (i) Subject to the approval of the Board of Public Works, the 27 Department may provide grants to subdivisions for flood control and watershed 28 management capital projects, and for the capital costs related to design, purchase, and 29 installation of automated flood warning projects, provided that the projects are consistent 30 HOUSE BILL 892 3 with the plans and implementation prepared and adopted in accordance with this subtitle, 1 and provided further that each project: 2 1. Is undertaken as part of a comprehensive flood 3 management plan prepared and adopted by the subdivision; and 4 2. Is not inconsistent with any State or interjurisdictional 5 flood management plan. 6 (ii) Grants for automated flood warnings projects s hall be 7 conditioned to require all affected local governing bodies to: 8 1. Adopt a specific and compatible response plan which has 9 been coordinated with local emergency management authorities and reviewed and 10 approved by the Department and the Maryland Department of Emergency Management; 11 and 12 2. Provide for financial and other commitments to properly 13 operate and maintain the project. 14 (iii) 1. The amount of any grant made by the Department for a 15 flood control and watershed management capital project that involves only nonfederal 16 funds and meets the criteria of this subtitle shall be matched by a minimum amount of 25% 17 of project costs in local government or private funds. 18 2. For a flood control and watershed management capital 19 project that involves federal funding and meets the criteria of this subtitle: 20 A. The Department may provide up to 50% of the nonfederal 21 share of the project funding; and 22 B. Local government or private funds shall provide not less 23 than 50% of the nonfederal share of the project funding. 24 (iv) Each project application for a grant under this paragraph shall 25 be submitted to and reviewed by the State clearinghouse of the Department of Planning in 26 accordance with established clearinghouse procedures. 27 (4) (i) Subject to the approval of the Board of Public Works, the 28 Department may provide grants to subdivisions immediately after a flood for acquisition of 29 any flood damaged owner–occupied dwelling. 30 (ii) Total expenditures for grants made under this paragraph may 31 not exceed 50% of the total authorized budgeted funds in a fiscal year for grants under this 32 subsection. 33 4 HOUSE BILL 892 (5) (i) The Department may award grants to subdivisions that have 1 incurred at least $1,000,000 in infrastructure damage caused by a flood event that occurred 2 on or after January 1, 2009. 3 (ii) The total amount of grants awarded by the Department to 4 subdivisions under this paragraph may: 5 1. For fiscal years 2020, 2021, and 2022, equal up to 100% of 6 the total amount of money appropriated to the comprehensive flood management program; 7 and 8 2. For fiscal year 2023 and each fiscal year thereafter, equal 9 up to 50% of the total amount of money appropriated to the comprehensive flood 10 management program. 11 (iii) A grant awarded to a subdivision under this paragraph may be: 12 1. For an amount of up to 50% of the combined cost of 13 infrastructure repairs, watershed restoration, and emergency work associated with the 14 flood event; 15 2. Used for infrastructure repairs, watershed management, 16 or emergency protection work associated with the flood event; and 17 3. Used for expenses associated with item 2 of this 18 subparagraph that the subdivision has already incurred. 19 (iv) The Department shall prioritize awarding grants under this 20 paragraph to subdivisions in which: 21 1. Infrastructure damage occurred in an area designated by 22 the Maryland Historical Trust as an historic district; or 23 2. Infrastructure damage caused by a flood event has 24 occurred more than once within the previous 5 years. 25 (6) To receive a grant, the subdivision must participate in the national 26 flood insurance program. 27 (7) Before awarding a grant under paragraphs (2), (3), or (4) of this 28 subsection, the Department, in cooperation with the Department of Planning, shall review 29 the flood control and watershed management operations of the applicant subdivision to 30 assure that the flood control and watershed management operations are in compliance with 31 this subtitle. 32 HOUSE BILL 892 5 (8) (i) [The] FOR FISCAL YEAR 2025 AND EACH FI SCAL YEAR 1 THEREAFTER , THE Governor shall MAY include in the annual State budget an 2 appropriation for the comprehensive flood management grant program of at least[: 3 1. For fiscal year 2021, $3,000,000; 4 2. For fiscal year 2022, $3,000,000; and 5 3. For fiscal year 2023, $2,000,000] UP TO $20,000,000. 6 (ii) IN FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR 7 THEREAFTER , AT LEAST 40% OF FUNDING PROVIDED UND ER THE COMPREHENSIVE 8 FLOOD MANAGEMENT GRA NT PROGRAM SHALL BE USED FOR PROJECTS LO CATED IN 9 OR DIRECTLY BENEFITI NG CENSUS TRACTS WITH AN EJ SCORE OF .76 OR GREATER, 10 AS IDENTIFIED USING THE MARYLAND EJ TOOL UNDERSERVED OR OVERB URDENED 11 COMMUNITIES, AS DEFINED IN § 1–701 OF THIS ARTICLE. 12 (III) Funds not awarded from the comprehensive flood management 13 grant program by the end of a fiscal year: 14 1. Shall remain in the program; and 15 2. Are not subject to § 7–302 of the State Finance and 16 Procurement Article. 17 (9) (i) The Department, in consultation with the Department of 18 Planning, shall adopt regulations necessary for the administration of the grant program. 19 (ii) These regulations may include: 20 1. A determination of statewide and interjurisdictional needs 21 and priorities; 22 2. Standards of eligibility for applicants and projects; 23 3. Criteria for recognition of tidal and nontidal areas; 24 4. Engineering and economic standards and alternatives; 25 and 26 5. Procedures for filing and processing contents of 27 applications. 28 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 29 1, 2023. 30