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. *sb0007* SENATE BILL 7 M3 EMERGENCY BILL 3lr0883 (PRE–FILED) CF HB 30 By: Senator West Requested: November 18, 2022 Introduced and read first time: January 11, 2023 Assigned to: Education, Energy, and the Environment Committee Report: Favorable Senate action: Adopted Read second time: February 21, 2023 CHAPTER ______ 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 2 SENATE BILL 7 9–217.2. 1 (a) In this section, “license holder” means an individual who holds a valid on–site 2 wastewater property transfer inspection license issued by the Department under this 3 section. 4 (b) This section does not apply to an individual who inspects an on–site sewage 5 disposal system as a part of the individual’s duties as an employee of the federal 6 government, the State, or any local government of the State. 7 (c) On or after July 1, 2022, an individual may not engage in the business of 8 inspecting an on–site sewage disposal system FOR THE PURPOSE OF P ROPERTY 9 TRANSFER unless the individual holds a valid on–site wastewater property transfer 10 inspection license issued by the Department. 11 (d) (1) On or before January 1, 2022, the Department shall adopt regulations 12 establishing eligibility criteria, minimum training standards for on–site wastewater 13 property transfer inspection licenses, the frequency with which licenses must be renewed, 14 and the fees for license applications and renewals. 15 (2) The regulations adopted under this subsection shall require that: 16 (i) The training include instruction on determining whether an 17 on–site sewage disposal system is: 18 1. In need of replacement or repair; and 19 2. Not in compliance with statutory or regulatory 20 requirements; and 21 (ii) Each inspection performed by a license holder follows the 22 inspection format provided by the Department. 23 (e) (1) An applicant for a license under this section shall: 24 [(1)] (I) Submit an application to the Department on the form the 25 Department provides; and 26 [(2)] (II) Pay an application fee set by the Department. 27 (2) APPLICATION FEES COLL ECTED BY THE DEPARTMENT UNDER 28 THIS SUBSECTION SHAL L BE PAID INTO THE ON–SITE WASTEWATER 29 PROFESSIONALS FUND ESTABLISHED UNDE R § 9–11A–11 OF THIS TITLE. 30 (f) (1) An individual who violates a provision of this section or any regulation 31 adopted under this section is subject to an administrative penalty not exceeding $10,000. 32 SENATE BILL 7 3 (2) Each on–site sewage disposal system that an individual knowingly 1 inspects FOR THE PURPOSE OF P ROPERTY TRANSFER without a valid on–site 2 wastewater property transfer inspection license constitutes a separate violation of this 3 section. 4 (3) Any administrative penalty collected by the Department under this 5 subsection shall be paid into the [separate account within the Bay Restoration Fund 6 established under § 9–1605.2(h)] MARYLAND CLEAN WATER FUND ESTABLISHED 7 UNDER § 9–320 of this title. 8 (g) A local government may establish additional requirements for inspections of 9 on–site sewage disposal systems. 10 9–11A–01. 11 (a) In this subtitle the following words have the meanings indicated. 12 (b) “Board” means the State Board of On–Site Wastewater Professionals. 13 9–11A–06. 14 (a) (1) The Board consists of the following members: 15 (i) The Secretary, or the Secretary’s designee; 16 (ii) Six individuals appointed by the Governor with the advice of the 17 Secretary and with the advice and consent of the Senate; 18 (iii) One individual designated by the Maryland Onsite Wastewater 19 Professionals Association; and 20 (iv) One representative of the Maryland Conference of Local 21 Environmental Health Directors, designated by the Maryland Conference of Local 22 Environmental Health Directors. 23 (2) Of the members of the Board: 24 (i) At least [six] FIVE shall be on–site wastewater professionals; 25 and 26 (ii) Two shall be consumer members. 27 (3) (i) [Of the] THE on–site wastewater professional members of the 28 Board[: 29 4 SENATE BILL 7 1. At least one shall be from the area that consists of 1 Allegany County, Frederick County, Garrett County, and Washington County; 2 2. At least one shall be from the area that consists of 3 Baltimore City, Baltimore County, Carroll County, Harford County, Howard County, and 4 Montgomery County; 5 3. At least one shall be from the area that consists of Anne 6 Arundel County and Prince George’s County; 7 4. At least one shall be from the area that consists of Caroline 8 County, Cecil County, Dorchester County, Kent County, Queen Anne’s County, Somerset 9 County, Talbot County, Wicomico County, and Worcester County; and 10 5. At least one shall be from the area that consists of Calvert 11 County, Charles County, and St. Mary’s County] SHALL BE REPRESENTAT IVE OF ALL 12 GEOGRAPHIC REGIONS OF THE STATE. 13 (ii) Before July 1, 2026, the on–site wastewater professional 14 members of the Board shall: 15 1. Be licensed by a local government; or 16 2. Hold a letter from the local health department stating that 17 the member has been providing on–site wastewater services for a minimum of 7 years and 18 is in good standing. 19 (iii) On and after July 1, 2026, and in accordance with this subtitle, 20 the on–site wastewater professional members of the Board shall be licensed by the Board. 21 (4) Each consumer member of the Board: 22 (i) Shall be a member of the general public; 23 (ii) May not be a licensee or otherwise be subject to regulation by the 24 Board; 25 (iii) May not be required to meet the qualifications for the 26 professional members of the Board; and 27 (iv) May not, within 1 year before appointment, have had a financial 28 interest in or have received compensation from a person regulated by the Board. 29 9–11A–11. 30 (a) In this section, “Fund” means the On–Site Wastewater Professionals Fund. 31 SENATE BILL 7 5 (b) There is an On–Site Wastewater Professionals Fund. 1 (c) The purpose of the Fund is to provide funding to maintain the Board. 2 (d) The Board shall administer the Fund. 3 (e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 4 the State Finance and Procurement Article. 5 (2) The State Treasurer shall hold the Fund separately, and the 6 Comptroller shall account for the Fund. 7 (f) The Fund consists of: 8 (1) All fees, penalties, and fines collected under this subtitle; 9 (2) Money appropriated in the State budget to the Fund; 10 (3) Interest earnings of the Fund; 11 (4) Donations to the Fund; and 12 (5) Any other money from any other source accepted for the benefit of the 13 Fund. 14 (g) The Fund shall be used only to pay for the cost of creating the Board, 15 maintenance of the Board, reasonable administrative costs, and implement the provisions 16 of this subtitle. 17 (h) (1) The State Treasurer shall invest the money of the Fund in the same 18 manner as other State money may be invested. 19 (2) Any interest earnings of the Fund shall be credited to the Fund. 20 (i) Expenditures from the Fund may be made only in accordance with the State 21 budget. 22 (j) Money expended from the Fund to maintain the Board or implement the 23 provisions of this subtitle is supplemental to and is not intended to take the place of funding 24 that otherwise would be appropriated for the Board. 25 9–11A–15. 26 (a) (1) Except as provided in paragraph (2) of this subsection, an individual 27 shall be licensed by the Board in accordance with this subtitle before the individual may 28 provide on–site wastewater services in the State. 29 6 SENATE BILL 7 (2) (i) An individual who provides on–site wastewater services in the 1 State may continue to provide on–site wastewater services until the licensing requirements 2 are established by the Department by regulation if the individual: 3 1. Complies with all applicable State and local laws and 4 regulations; 5 2. On or before December 31, 2022, pays to the Department 6 a fee of $150; and 7 3. Every 2 years thereafter until the Department sets fees in 8 accordance with § 9–11A–10 of this subtitle, pays to the Department a renewal fee of $150. 9 (ii) All fees collected by the Department under this paragraph shall 10 be [used]: 11 1. PAID INTO THE ON–SITE WASTEWATER 12 PROFESSIONALS FUND ESTABLISHED UNDE R § 9–11A–11 OF THIS SUBTITLE; AND 13 2. USED by the Department to: 14 [1.] A. Pay for the creation of the Board; 15 [2.] B. Cover reasonable administrative costs; and 16 [3.] C. Implement the provisions of this subtitle. 17 (b) To qualify for a license, an applicant shall meet the requirements established 18 by the Department by regulation. 19 (c) To apply for a license, an applicant shall: 20 (1) Submit to the Board an application on the form that the Board provides; 21 and 22 (2) Pay to the Board the required application fee set by the Department by 23 regulation. 24 (d) A license issued by the Board in accordance with this subtitle is valid for 2 25 years. 26 (e) In accordance with the requirements established by the Department by 27 regulation, the Board may issue a certification to an individual to perform specific tasks 28 associated with on–site wastewater services if the individual: 29 (1) Is licensed by the Board; or 30 SENATE BILL 7 7 (2) Holds a professional license that is approved by the Board. 1 SECTION 2. AND BE IT FURTHER ENACTED, That this Act is an emergency 2 measure, is necessary for the immediate preservation of the public health or safety, has 3 been passed by a yea and nay vote supported by three–fifths of all the members elected to 4 each of the two Houses of the General Assembly, and shall take effect from the date it is 5 enacted. 6 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.