MD
Maryland House Bill HB660

Maryland 2024 Regular Session

Maryland House Bill HB660 Compare Versions

Only one version of the bill is available at this time.
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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
55 *hb0660*
66
77 HOUSE BILL 660
88 P1, M5 4lr1769
99 HB 1248/23 – ECM & APP CF SB 169
1010 By: Delegate Charkoudian
1111 Introduced and read first time: January 25, 2024
1212 Assigned to: Economic Matters and Appropriations
1313
1414 A BILL ENTITLED
1515
1616 AN ACT concerning 1
1717
1818 Green and Renewable Energy for Nonprofit Organizations Loan Program and 2
1919 Fund 3
2020
2121 FOR the purpose of establishing the Green and Renewable Energy for Nonprofit 4
2222 Organizations Loan Program in the Maryland Energy Administration to provide 5
2323 financial assistance to nonprofit organizations for the planning, purchase, and 6
2424 installation of qualifying energy systems; establishing the Green and Renewable 7
2525 Energy for Nonprofit Organizations Loan Fund as a special, nonlapsing fund; 8
2626 requiring interest earnings of the Fund to be paid into the Fund; and generally 9
2727 relating to the Green and Renewable Energy for Nonprofit Organizations Loan 10
2828 Program and Fund. 11
2929
3030 BY adding to 12
3131 Article – State Government 13
3232 Section 9–2101 through 9–2107 to be under the new subtitle “Subtitle 21. Green and 14
3333 Renewable Energy for Nonprofit Organizations Loan Program” 15
3434 Annotated Code of Maryland 16
3535 (2021 Replacement Volume and 2023 Supplement) 17
3636
3737 BY repealing and reenacting, without amendments, 18
3838 Article – State Finance and Procurement 19
3939 Section 6–226(a)(2)(i) 20
4040 Annotated Code of Maryland 21
4141 (2021 Replacement Volume and 2023 Supplement) 22
4242
4343 BY repealing and reenacting, with amendments, 23
4444 Article – State Finance and Procurement 24
4545 Section 6–226(a)(2)(ii)189. and 190. 25
4646 Annotated Code of Maryland 26
4747 (2021 Replacement Volume and 2023 Supplement) 27
4848 2 HOUSE BILL 660
4949
5050
5151 BY adding to 1
5252 Article – State Finance and Procurement 2
5353 Section 6–226(a)(2)(ii)191. 3
5454 Annotated Code of Maryland 4
5555 (2021 Replacement Volume and 2023 Supplement) 5
5656
5757 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
5858 That the Laws of Maryland read as follows: 7
5959
6060 Article – State Government 8
6161
6262 SUBTITLE 21. GREEN AND RENEWABLE ENERGY FOR NONPROFIT 9
6363 ORGANIZATIONS LOAN PROGRAM. 10
6464
6565 9–2101. 11
6666
6767 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 12
6868 INDICATED. 13
6969
7070 (B) “ADMINISTRATION ” MEANS THE MARYLAND ENERGY 14
7171 ADMINISTRATION . 15
7272
7373 (C) “BORROWER” MEANS A NONPROFIT OR GANIZATION THAT APPL IES AND 16
7474 QUALIFIES FOR A LOAN UNDER THE PROGRAM. 17
7575
7676 (D) “FUND” MEANS THE GREEN AND RENEWABL E ENERGY FOR 18
7777 NONPROFIT ORGANIZATIONS LOAN FUND. 19
7878
7979 (E) “NONPROFIT ORGANIZATIO N” MEANS AN ORGANIZATIO N THAT IS 20
8080 EXEMPT FROM FEDERAL INCOME TAX UNDER § 501(C)(3) OF THE INTERNAL 21
8181 REVENUE CODE. 22
8282
8383 (F) “PROGRAM” MEANS THE GREEN AND RENEWABLE ENERGY FOR 23
8484 NONPROFIT ORGANIZATIONS LOAN PROGRAM. 24
8585
8686 (G) “QUALIFYING ENERGY SYS TEM” MEANS A SYSTEM THAT : 25
8787
8888 (1) GENERATES ELECTRICIT Y OR USABLE THERMAL ENERGY THAT IS 26
8989 USED TO MEET ON –SITE DEMAND; AND 27
9090
9191 (2) ASSISTS THE STATE IN MEETING THE ENVIRONMENTAL AND 28
9292 GREENHOUSE GAS REDUC TION GOALS UNDER TITLE 2, SUBTITLE 12 OF THE 29
9393 ENVIRONMENT ARTICLE. 30
9494
9595 9–2102. 31 HOUSE BILL 660 3
9696
9797
9898
9999 THERE IS A GREEN AND RENEWABLE ENERGY FOR NONPROFIT 1
100100 ORGANIZATIONS LOAN PROGRAM IN THE ADMINISTRATION . 2
101101
102102 9–2103. 3
103103
104104 THE PURPOSE OF THE PROGRAM IS TO PROVIDE FINANCIAL ASSISTANCE IN 4
105105 THE FORM OF NO –INTEREST LOANS TO NO NPROFIT ORGANIZATION S FOR THE 5
106106 PLANNING, PURCHASE, AND INSTALLATION OF QUALIFYING ENERGY SY STEMS IN 6
107107 THE STATE. 7
108108
109109 9–2104. 8
110110
111111 THE ADMINISTRATION SHALL : 9
112112
113113 (1) MANAGE, SUPERVISE, AND ADMINISTER THE PROGRAM; 10
114114
115115 (2) ADOPT REGULATIONS TO ENSUR E THAT LOANS PROVIDE D TO 11
116116 NONPROFIT ORGANIZATI ONS CARRY OUT THE PU RPOSE OF THE PROGRAM; AND 12
117117
118118 (3) ATTACH TO ANY LOAN S PECIFIC TERMS THAT A RE CONSIDERED 13
119119 NECESSARY TO ENSURE THAT THE PURPOSE OF THE PROGRAM IS FULFILLED . 14
120120
121121 9–2105. 15
122122
123123 (A) (1) A BORROWER MUST FILE A N APPLICATION WITH T HE 16
124124 ADMINISTRATION TO REC EIVE A LOAN UNDER TH E PROGRAM. 17
125125
126126 (2) THE APPLICATION MUST BE SIGNED BY THE CHI EF OPERATING 18
127127 OFFICER OR AN AUTHOR IZED OFFICER OF THE NONPROFIT ORGANIZATI ON. 19
128128
129129 (B) THE APPLICATION MUST CONTAIN ANY INFORMATION TH E 20
130130 ADMINISTRATION DETERM INES IS NECESSARY , INCLUDING: 21
131131
132132 (1) THE PROJECTED COST O F THE QUALIFYING ENE RGY SYSTEM OR 22
133133 TECHNICAL ASSISTANCE BEING FINANCED THROU GH THE LOAN; 23
134134
135135 (2) THE LOCATION OF THE PROPERTY WHERE THE Q UALIFYING 24
136136 ENERGY SYS TEM WILL BE INSTALLE D AND WHETHER THE PR OPERTY IS OWNED OR 25
137137 LEASED BY THE APPLIC ANT; AND 26
138138
139139 (3) ANY ADDITIONAL INFOR MATION RELATING TO T HE BORROWER OR 27
140140 THE PROPOSED QUALIFY ING ENERGY SYSTEM BE ING FINANCED THROUGH THE 28
141141 LOAN THAT MAY BE REQ UIRED BY THE ADMINISTRATION TO ADM INISTER THE 29 4 HOUSE BILL 660
142142
143143
144144 PROGRAM. 1
145145
146146 (C) THE ADMINISTRATION MAY AP PROVE AN APPLICATION FOR A LOAN 2
147147 UNDER § 9–2106(A)(1) OF THIS SUBTITLE ONL Y IF THE APPLICATION 3
148148 DEMONSTRATES THAT TH E PROPOSED QUALIFYIN G ENERGY SYSTEM IS E STIMATED, 4
149149 BASED ON PROJECTED ENERGY COSTS , TO GENERATE ENERGY C OST SAVINGS OVER 5
150150 THE USEFUL LIFE OF T HE SYSTEM THAT EQUAL OR EXCEED THE TOTAL AMORTIZED 6
151151 COST OF THE LOAN . 7
152152
153153 (D) IN APPROVING AN APPLI CATION, THE ADMINISTRATION SHALL 8
154154 CONSIDER AND GIVE PR IORITY TO AN APPLICA NT THAT HAS AN A NNUAL BUDGET OF 9
155155 $1,000,000 OR LESS. 10
156156
157157 9–2106. 11
158158
159159 (A) LOANS FROM THE FUND MAY BE USED FOR : 12
160160
161161 (1) THE PURCHASE AND INS TALLATION OF A QUALI FYING ENERGY 13
162162 SYSTEM, INCLUDING ANY NECESS ARY ANCILLARY MACHIN ERY, EQUIPMENT, OR 14
163163 FURNISHINGS; AND 15
164164
165165 (2) TECHNICAL ASSISTA NCE FOR THE PLANNING AND INSTALLATION 16
166166 OF A QUALIFYING ENER GY SYSTEM. 17
167167
168168 (B) EACH BORROWER FOR A L OAN UNDER SUBSECTION (A)(1) OF THIS 18
169169 SECTION SHALL CONTRI BUTE AT LEAST 10% OF THE COST OF THE Q UALIFYING 19
170170 ENERGY SYSTEM . 20
171171
172172 (C) (1) LOANS MADE UNDER THE PROGRAM SHALL BE REPAYABLE B Y 21
173173 THE BORROWER IN ACCO RDANCE WITH A SCHEDU LE SET BY THE ADMINISTRATION . 22
174174
175175 (2) THE SCHEDULE SET BY T HE ADMINISTRATION MAY BE ON A 23
176176 DEFERRED PAYMENT BAS IS. 24
177177
178178 (D) (1) A BORROWER SHALL PROVI DE ASSURANCES FOR TH E 25
179179 REPAYMENT OF A LOAN . 26
180180
181181 (2) THE ASSURANCES : 27
182182
183183 (I) SHALL INCLUDE A PROM ISSORY NOTE; AND 28
184184
185185 (II) MAY INCLUDE A PLAN F OR REPAYMENT . 29
186186
187187 (E) LOANS MAY BE MADE IN CONJUNCTION WITH OR IN ADDITION TO 30 HOUSE BILL 660 5
188188
189189
190190 FINANCIAL ASSISTANCE PROVIDED THROUGH OTH ER STATE OR FEDERAL 1
191191 PROGRAMS. 2
192192
193193 9–2107. 3
194194
195195 (A) THERE IS A GREEN AND RENEWABLE ENERGY FOR NONPROFIT 4
196196 ORGANIZATIONS LOAN FUND. 5
197197
198198 (B) THE ADMINISTRATION SHALL ADMINISTER THE FUND. 6
199199
200200 (C) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 7
201201 SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 8
202202
203203 (2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , 9
204204 AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 10
205205
206206 (D) THE FUND CONSISTS OF : 11
207207
208208 (1) MONEY APPROPRIATED I N THE STATE BUDGET TO THE PROGRAM; 12
209209
210210 (2) MONEY RECEIVED FROM ANY PUBLIC OR PRIVAT E SOURCE; 13
211211
212212 (3) INTEREST AND INVESTM ENT EARNINGS OF THE FUND; AND 14
213213
214214 (4) REPAYMENTS AND PREPA YMENTS ON LOANS MADE FROM THE 15
215215 FUND. 16
216216
217217 (E) (1) IN FISCAL YEAR 2026, THE GOVERNOR MAY INCLUDE IN THE 17
218218 ANNUAL BUDGET BILL A N APPROPRIATION OF $5,000,000 FOR THE FUND. 18
219219
220220 (2) IN FISCAL YEAR 2027, THE GOVERNOR MAY INCLUDE IN THE 19
221221 ANNUAL BUDGET BILL A N APPROPRIATION EQUA L TO AT LEAST $5,000,000 MINUS 20
222222 THE AMOUNT IN THE FUND AS OF JUNE 30 OF THE IMMEDIATELY P RECEDING 21
223223 FISCAL YEAR. 22
224224
225225 (F) THE FUND MAY BE USED ONLY : 23
226226
227227 (1) TO PAY THE EXPENSES OF THE PROGRAM; AND 24
228228
229229 (2) TO PROVIDE LOANS TO ELIGIBLE BORROWERS U NDER THE 25
230230 PROGRAM. 26
231231
232232 (G) (1) THE STATE TREASURER SHALL INVES T AND REINVEST THE 27
233233 MONEY OF THE FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE 28
234234 INVESTED. 29 6 HOUSE BILL 660
235235
236236
237237
238238 (2) ANY INVESTMENT EARNI NGS OF THE FUND SHALL BE PAID IN TO 1
239239 THE FUND. 2
240240
241241 (3) ANY REPAYMENT ON LOAN S MADE FROM THE FUND SHALL BE 3
242242 PAID INTO THE FUND. 4
243243
244244 Article – State Finance and Procurement 5
245245
246246 6–226. 6
247247
248248 (a) (2) (i) Notwithstanding any other provision of law, and unless 7
249249 inconsistent with a federal law, grant agreement, or other federal requirement or with the 8
250250 terms of a gift or settlement agreement, net interest on all State money allocated by the 9
251251 State Treasurer under this section to special funds or accounts, and otherwise entitled to 10
252252 receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 11
253253 Fund of the State. 12
254254
255255 (ii) The provisions of subparagraph (i) of this paragraph do not apply 13
256256 to the following funds: 14
257257
258258 189. the Teacher Retention and Development Fund; [and] 15
259259
260260 190. the Protecting Against Hate Crimes Grant Fund; AND 16
261261
262262 191. THE GREEN AND RENEWABLE ENERGY FOR 17
263263 NONPROFIT ORGANIZATIONS LOAN FUND. 18
264264
265265 SECTION 2. AND BE IT FURTHER ENACTED, That, on or before July 1, 2025, the 19
266266 Maryland Energy Administration shall: 20
267267
268268 (1) establish an application process for loans made under the Green and 21
269269 Renewable Energy for Nonprofit Organizations Loan Program in Title 9, Subtitle 21 of the 22
270270 State Government Article, as enacted by Section 1 of this Act; 23
271271
272272 (2) set guidelines and considerations for application, selection, and 24
273273 repayment that include: 25
274274
275275 (i) nonprofit organizations that own, rather than rent, their 26
276276 buildings; 27
277277
278278 (ii) property size and kilowatt–hours of energy used; 28
279279
280280 (iii) geographic diversity; 29
281281
282282 (iv) ethnic and racial diversity; 30 HOUSE BILL 660 7
283283
284284
285285
286286 (v) economic diversity; 1
287287
288288 (vi) nonprofit organization mission diversity; 2
289289
290290 (vii) access to the borrower’s portion of the cost of the qualifying 3
291291 energy system; and 4
292292
293293 (viii) process and frequency of loan repayment; and 5
294294
295295 (3) develop and implement an advertising campaign for the Green and 6
296296 Renewable Energy for Nonprofit Organizations Loan Program. 7
297297
298298 SECTION 3. AND BE IT FURTHER ENACTED, That Section 1 of this Act shall take 8
299299 effect July 1, 2025. 9
300300
301301 SECTION 4. AND BE IT FURTHER ENACTED, That, except as provided in Section 10
302302 3 of this Act, this Act shall take effect July 1, 2024. 11