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.
Italics indicate opposite chamber/conference committee amendments.
*hb0120*
HOUSE BILL 120
C8 (4lr0827)
ENROLLED BILL
— Environment and Transportation/Finance —
Introduced by Delegate T. Morgan Delegates T. Morgan, Addison, Allen, Boyce,
Jacobs, Lehman, J. Long, Love, and Ruth
Read and Examined by Proofreaders:
_______________________________________________
Proofreader.
_______________________________________________
Proofreader.
Sealed with the Great Seal and presented to the Govern or, for his approval this
_______ day of _______________ at ________________________ o’clock, ________M.
______________________________________________
Speaker.
CHAPTER ______
AN ACT concerning 1
Economic Development – Maryland Watermen’s Microloan Program – Eligibility 2
Economic Development – Maryland Agricultural and Resource –Based Industry 3
Development Corporation – Loans 4
FOR the purpose of altering a certain loan program to authorize the Maryland Agricultural 5
and Resource–Based Industry Development Corporation to provide loans in a certain 6
amount for certain seasonal full–time jobs; requiring a recipient of a certain loan to 7
make a certain annual report to the Corporation; expanding eligibility for the 8
Maryland Watermen’s Microloan Program within the Maryland Agricultural and 9
Resource–Based Industry Development Corporation to include, on or after a certain 10
date, individuals who are residents of the State and hold certain commercial fishing 11
licenses issued by the Potomac River Fisheries Commission; repealing a certain 12
requirement relating to the amount of a loan under the Program; and generally 13
relating to the Maryland Watermen’s Microloan Program. 14 2 HOUSE BILL 120
BY repealing and reenacting, with amendments, 1
Article – Economic Development 2
Section 10–519.1(a) and (b) and 10–526 3
Annotated Code of Maryland 4
(2018 Replacement Volume and 2023 Supplement) 5
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
That the Laws of Maryland read as follows: 7
Article – Economic Development 8
10–519.1. 9
(a) (1) In this section the following words have the meanings indicated. 10
(2) “Eligible seafood processing project” means a project to establish or 11
expand the business of a licensed seafood dealer that: 12
(i) supports the goal of increasing the amount of oyster shells 13
retained in the State and returned to the Chesapeake Bay; and 14
(ii) meets the criteria established by the Corporation under this 15
section. 16
(3) “Licensed seafood dealer” means a person licensed under § 4–701 of the 17
Natural Resources Article to buy, process, pack, resell, market or otherwise deal in fish 18
caught in the tidal waters of the State. 19
(4) “Repletion” means enhancing areas where commercial harvest is 20
permitted. 21
(5) “SEASONAL FULL –TIME JOB” MEANS A POSITION FOR WHICH AN 22
INDIVIDUAL IS REQUIR ED TO WORK A MINIMUM OF 420 HOURS DURING 12 WEEKS OF 23
A 3–MONTH PERIOD . 24
(b) (1) (I) The Corporation shall provide loans up to $250,000 to finance the 25
costs of eligible seafood processing projects in accordance with this section, including historic 26
oyster shucking facilities, not to exceed $25,000 for each full–time job OR $10,000 FOR 27
EACH SEASONAL FULL –TIME JOB that is projected to be created or retained. 28
(II) BEGINNING 1 YEAR AFTER RECEIPT O F A LOAN UNDER THIS 29
SECTION, A LOAN RECIPIENT SHA LL REPORT EACH YEAR FOR 3 CONSECUTIVE YEARS 30
TO THE CORPORATION TO CERTIF Y THE NUMBER OF FULL –TIME JOBS AND 31
SEASONAL FULL –TIME JOBS THAT WERE CREATED OR RETAINED BY THE RECIPIENT 32
DURING THE PREVIOUS 12–MONTH PERIOD . 33 HOUSE BILL 120 3
(2) Financing provided under this section shall be conditioned on the 1
agreement by the recipient to comply with the provisions of § 4–1019.2 of the Natural 2
Resources Article until the loan is repaid. 3
(3) The Corporation shall forgive any loan provided under this section as 4
follows: 5
(i) the current market value as established in § 4–1019.2 of the 6
Natural Resources Article for each bushel of oyster shells that the loan recipient returns to 7
the Department of Natural Resources at no cost; or 8
(ii) $25 for each bushel of spat–on–shell that the person plants on a 9
public fishery bottom as verified by the Department of Natural Resources. 10
10–526. 11
(a) (1) In this section the following words have the meanings indicated. 12
(2) “Beginner waterman” means an individual who has: 13
(i) IS A RESIDENT OF THE STATE; 14
(II) 1. HOLDS a tidal fish license under § 4–701 of the Natural 15
Resources Article; OR 16
2. HOLDS A COMMERCIAL L ICENSE TO CATCH FINF ISH, 17
CRABS, CLAMS, AND OYSTERS , ISSUED BY THE POTOMAC RIVER FISHERIES 18
COMMISSION IN ACCORDA NCE WITH § 4–306 OF THE NATURAL RESOURCES 19
ARTICLE; and 20
(ii) (III) HAS at least 2 years and not more than 10 years of 21
experience in commercial seafood harvesting. 22
(3) “Generational waterman” means an individual who: 23
(i) has IS A RESIDENT OF THE STATE; 24
(II) 1. HOLDS a tidal fish license under § 4–701 of the Natural 25
Resources Article; OR 26
2. HOLDS A COMMERCIAL L ICENSE TO CATCH FINF ISH, 27
CRABS, CLAMS, AND OYSTERS , ISSUED BY THE POTOMAC RIVER FISHERIES 28
COMMISSION IN ACCORDA NCE WITH § 4–306 OF THE NATURAL RESOURCES 29
ARTICLE; and 30 4 HOUSE BILL 120
(ii) (III) can demonstrate, through the submission of the two most 1
recent federal income tax returns and other supporting documents, that at least 50% of the 2
individual’s annual income is derived from commercial seafood harvesting. 3
(4) “Program” means the Maryland Watermen’s Microloan Program. 4
(5) “Qualified commercial fisherman” includes: 5
(i) a beginner waterman; [and] 6
(ii) a generational waterman; AND 7
(III) AN INDIVIDUAL WHO IS A RESIDENT OF THE STATE AND 8
HOLDS A COMMERCIAL L ICENSE TO CATCH FINF ISH, CRABS, CLAMS, OR OYSTERS 9
ISSUED BY THE POTOMAC RIVER FISHERIES COMMISSION IN ACCORDA NCE WITH § 10
4–306 OF THE NATURAL RESOURCES ARTICLE. 11
(b) There is a Maryland Watermen’s Microloan Program in the Corporation. 12
(c) The purpose of the Program is to provide loans to qualified commercial 13
fishermen to continue commercial operations in the State, including for purchasing: 14
(1) boats; 15
(2) mechanical equipment; 16
(3) fishing gear; 17
(4) fishing quota; and 18
(5) any other item used in commercial seafood harvesting. 19
(d) The Corporation shall implement and administer the Program in accordance 20
with this section. 21
(e) (1) Through June 30, 2025, only generational watermen are eligible to 22
receive a loan under the Program. 23
(2) Starting July 1, 2025, the following persons are eligible to receive a loan 24
under the Program: 25
(i) generational watermen; 26
(ii) beginner watermen; [and] 27
HOUSE BILL 120 5
(iii) seafood processing businesses; AND 1
(IV) INDIVIDUALS WHO ARE RESIDENTS OF THE STATE AND 2
HOLD A COMMERCIAL LI CENSE TO CATCH FINFI SH, CRABS, CLAMS, OR OYSTERS 3
ISSUED BY THE POTOMAC RIVER FISHERIES COMMISSION IN ACCORDA NCE WITH § 4
4–306 OF THE NATURAL RESOURCES ARTICLE. 5
(f) (1) For loans made under the Program, the Corporation shall determine: 6
(i) the eligibility of an applicant; 7
(ii) the amount of loan to be given to a borrower; 8
(iii) the terms and conditions of a loan contract; and 9
(iv) the amount of debt forgiveness that may be provided to a 10
borrower for loan repayment performance. 11
(2) A loan made under the Program shall be at least $7,000 and not more 12
than $15,000. 13
(3) A borrower under the Program may not have more than one 14
outstanding loan from the Program during any period of time. 15
(g) (1) For each of fiscal years 2024 through 2026, the Governor shall include 16
in the annual State budget bill an appropriation of $500,000 to the Program. 17
(2) The appropriation in paragraph (1) of this subsection shall be 18
distributed to a special fund, to be used only to: 19
(i) make loans under the Program; and 20
(ii) pay the costs necessary to administer and operate the Program. 21
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 22
October July 1, 2024. 23