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. *sb0392* SENATE BILL 392 M3 3lr1367 By: Senator McCray Introduced and read first time: February 1, 2023 Assigned to: Education, Energy, and the Environment and Budget and Taxation Committee Report: Favorable with amendments Senate action: Adopted Read second time: March 21, 2023 CHAPTER ______ AN ACT concerning 1 Wastewater Facility Supplemental Operations and Maintenance Grant Program 2 – Establishment 3 FOR the purpose of establishing the Wastewater Facility Supplemental Operations and 4 Maintenance Grant Program for the purpose of providing competitive grants for 5 publicly owned wastewater facilities facing operations and maintenance challenges 6 that threaten the proper functioning of a facility’s enhanced nutrient removal 7 technology ability of the facility to discharge clean water and meet certain laws; 8 requiring the Maryland Water Infrastructure Financing Administration in the 9 Department of the Environment to administer the Program; and generally relating 10 to the establishment of the Wastewater Facility Supplemental Operations and 11 Maintenance Grant Program. 12 BY repealing and reenacting, without amendments, 13 Article – Environment 14 Section 9–1601(a), (b), (o), (r), (v) through (x), (kk), and (ll) 15 Annotated Code of Maryland 16 (2014 Replacement Volume and 2022 Supplement) 17 BY adding to 18 Article – Environment 19 Section 9–1605.5 20 Annotated Code of Maryland 21 (2014 Replacement Volume and 2022 Supplement) 22 2 SENATE BILL 392 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1 That the Laws of Maryland read as follows: 2 Article – Environment 3 9–1601. 4 (a) Unless the context clearly requires otherwise, in this subtitle the following 5 words have the meanings indicated. 6 (b) “Administration” means the Maryland Water Infrastructure Financing 7 Administration. 8 (o) “Enhanced nutrient removal” means: 9 (1) An enhanced nutrient removal technology that is capable of reducing 10 the nitrogen and phosphorus concentrations in wastewater effluent to concentrations of not 11 more than 3 milligrams per liter total nitrogen and not more than 0.3 milligrams per liter 12 total phosphorus, as calculated on an annually averaged basis; or 13 (2) If the Department has determined that the concentrations under item 14 (1) of this subsection are not practicable for a wastewater facility, the lowest average annual 15 wastewater effluent nitrogen and phosphorus concentrations that the Department 16 determines are practicable for that facility. 17 (r) “Facility” means a wastewater facility or all or a portion of a water supply 18 system as defined in § 9–201(u) of this title. 19 (v) “Grant” means a grant from the Administration to a grantee. 20 (w) “Grant agreement” means a written agreement between the Administration 21 and a grantee with respect to a grant. 22 (x) “Grantee” means the grant recipient. 23 (kk) (1) “User” means any person discharging wastewater to: 24 (i) A wastewater facility that has a State discharge permit or 25 national pollutant discharge elimination system discharge permit; 26 (ii) An on–site sewage disposal system; or 27 (iii) A sewage holding tank. 28 (2) “User” does not include a person whose sole discharge is stormwater 29 under a stormwater permit. 30 SENATE BILL 392 3 (ll) (1) “Wastewater facility” means any equipment, plant, treatment works, 1 structure, machinery, apparatus, interest in land, or any combination of these, which is 2 acquired, used, constructed, or operated: 3 (i) For the storage, collection, treatment, neutralization, 4 stabilization, reduction, recycling, reclamation, separation, or disposal of wastewater; 5 (ii) To improve water conservation, reduce energy consumption, or 6 increase security; or 7 (iii) For the final disposal of residues resulting from the treatment of 8 wastewater. 9 (2) “Wastewater facility” includes: 10 (i) Treatment or disposal plants; outfall sewers, interceptor sewers, 11 and collector sewers; pumping and ventilating stations, facilities, and works; and other real 12 or personal property and appurtenances incident to their development, use, or operation; 13 (ii) Any programs and projects for managing, reducing, treating, 14 recapturing, abating, or controlling nonpoint sources of water pollution, including 15 stormwater or subsurface drainage water; and 16 (iii) Any programs and projects for improving estuarine conservation 17 and management. 18 9–1605.5. 19 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 20 INDICATED. 21 (2) “PROGRAM” MEANS THE WASTEWATER FACILITY 22 SUPPLEMENTAL OPERATIONS AND MAINTENANCE GRANT PROGRAM. 23 (3) “PUBLICLY OWNED WASTEW ATER FACILITY ” MEANS A 24 WASTEWATER FACILITY THAT IS OWNED BY THE STATE, A POLITICAL SUBDIVIS ION, 25 A MUNICIPAL CORPORAT ION, OR ANOTHER PUBLIC EN TITY. 26 (B) THERE IS A WASTEWATER FACILITY SUPPLEMENTAL OPERATIONS AND 27 MAINTENANCE GRANT PROGRAM. 28 (C) THE PURPOSE OF THE PROGRAM IS TO SUPPORT THE STATE’S WATER 29 QUALITY GOALS BY PRO VIDING COMPETITIVE G RANTS FOR PUBLICLY O WNED 30 WASTEWATER FACILITIE S FACING STAFFING SH ORTAGES, MAINTENANCE 31 BACKLOGS, AND OR OTHER OPERATIONS AND MAINTENANCE CHALLENG ES THAT 32 THREATEN THE PROPER FUNCTIONING O F A FACILITY’S ENHANCED NUTRIENT 33 4 SENATE BILL 392 REMOVAL TECHNOLOGY ABILITY OF THE FACIL ITY TO DISCHARGE CLE AN WATER 1 AND MEET ALL APPLICA BLE FEDERAL, STATE, AND LOCAL LAWS . 2 (D) THE ADMINISTRATION SHALL ADMINISTER THE PROGRAM. 3 (E) THE ADMINISTRATION SHALL : 4 (1) USE A COMPETITIVE PRO CESS TO INVITE INVITE GRANT 5 PROPOSALS FROM THE O PERATORS OF PUBLIC W ASTEWATER FACILITIES THAT 6 HAVE BEEN UPGRADED TO ACHIEVE ENHANCED NUTRIENT RE MOVAL; AND 7 (2) DEVELOP AND ANNOUNCE THE CRITERIA THAT WILL BE USED TO 8 EVALUATE GRANT PROPO SALS. 9 (F) A GRANT PROPOSAL SUBMI TTED UNDER THIS SECT ION SHALL INCLUDE : 10 (1) A DESCRIPTION OF THE O PERATIONS AND MAINTE NANCE 11 CHALLENGES FACING TH E WASTEWATER FACILIT Y; 12 (2) AN EXPLANATION OF THE MEASURES THE WA STEWATER FACILITY 13 INTENDS TO IMPLEMENT TO ADDRESS OPERATION S AND MAINTENANCE 14 CHALLENGES ; 15 (3) A COST ESTIMATE FOR EA CH PROPOSED MEASURE ; 16 (4) PROPOSED METRICS FOR EVALUATING THE EFFEC TIVENESS OF 17 EACH PROPOSED MEASUR E; 18 (5) DEMOGRAPHIC INFORMATI ON REGARDING THE USERS SERVED 19 BY THE WASTEWATER FA CILITY; AND 20 (6) ANY OTHER INFORMATION THE ADMINISTRATION REQUIR ES. 21 (G) WHEN EVALUATING GRANT PROPOSALS UNDER THIS SECTION, THE 22 ADMINISTRATION SHALL PRIORITIZE FUNDING F OR WASTEWATER FACILI TIES 23 WITH: 24 (1) AN OVERALL STAFF VACA NCY RATE OR A MAINTE NANCE DIVISION 25 STAFF VACANCY RATE O F 10% OR MORE BETWEEN OCTOBER 1, 2020, AND OCTOBER 26 1, 2023; 27 (2) A DESIGN FLOW OF 1,000,000 GALLONS PER DAY OR M ORE; AND 28 SENATE BILL 392 5 (3) A HIGH PROPORTION OF LOW–INCOME USERS WHO LIVE IN 1 OVERBURDENED OR UNDE RSERVED COMMUNITIES AS DEFINED IN § 1–701 OF THIS 2 ARTICLE. 3 (H) SUBJECT TO THE GRANT AGREEMENT , A GRANT AWARDED UNDE R THIS 4 SECTION MAY BE USED FOR ANY PURPOSE RELA TED TO THE OPERATION S AND 5 MAINTENANCE OF THE W ASTEWATER FACILITY , INCLUDING MEASURES RE LATED 6 TO: 7 (1) THE THE RECRUITMENT AND RETE NTION OF QUALIFIED 8 EMPLOYEES OPERATIONS AND MAINT ENANCE STAFF , SUCH AS PUBLIC OUTRE ACH 9 EFFORTS, APPRENTICESHIPS , CONTINUING EDUCATION AND TRAINING PROGRAM S, 10 RECRUITMENT BONUSES , AND SALARY ADJUSTMENTS ; AND 11 (2) THE OPERATION AND MAI NTENANCE OF ENHANCED NUTRIENT 12 REMOVAL TECHNOLOGY , SUCH AS THE IMPLEMEN TATION OF PREVENTIVE 13 MAINTENANCE PRACTICE S, PREDICTIVE MAINTENAN CE PRACTICES , AND ASSET 14 MANAGEMENT SYSTEMS . 15 (I) (1) A GRANT AWARDED UNDER THIS SECTION SHALL BE IN AN 16 AMOUNT THAT IS : 17 (1) (I) DETERMINED BY THE ADMINISTRATION , BASED ON THE 18 DEMONSTRATED NEED OF THE GRANT APPLICANT ; AND 19 (2) (II) NOT MORE THAN $3,000,000 PER WASTEWATER FACIL ITY. 20 (2) A WASTEWATER FACILITY MAY NOT BE AWARDED MORE THAN 21 $6,000,000 IN GRANTS UNDER THIS SECTION DURING A 3–YEAR PERIOD. 22 (J) THE ADMINISTRATION SHALL INCLUDE IN EACH GRAN T AGREEMENT 23 ENTERED INTO UNDER T HIS SECTION CONDITIO NS AND REQUIREMENTS SUFFICIENT 24 TO: 25 (1) ENSURE THAT GRANT FUN DS ARE USED FOR THE PURPOSE S 26 SPECIFIED IN THE GRA NT AGREEMENT ; AND 27 (2) EVALUATE THE EFFECTIV ENESS OF THE MEASURE S 28 IMPLEMENTED IN ACCOR DANCE WITH THE GRANT AGREEMENT . 29 (K) FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER , THE 30 GOVERNOR SHALL MAY INCLUDE IN THE ANNUAL BUDGET BI LL AN APPROPRIATION 31 OF $10,000,000 FOR THE PROGRAM. 32 6 SENATE BILL 392 (L) GRANTS PROVIDED UNDER THIS SECTION ARE SUP PLEMENTAL TO AND 1 NOT INTENDED TO TAKE THE PLACE OF OPERATI ONS AND MAINTENANCE GRANTS 2 PROVIDED UNDER THE BAY RESTORATION FUND IN ACCORD ANCE WITH § 3 9–1605.2(I)(2)(III) OF THIS SUBTITLE. 4 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 5 October 1, 2023. 6 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.