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. *sb0674* SENATE BILL 674 M1 4lr3084 CF HB 1461 By: Senators Elfreth, Bailey, Ellis, Gile, Jackson, and Salling, and Simonaire Introduced and read first time: January 29, 2024 Assigned to: Education, Energy, and the Environment Committee Report: Favorable with amendments Senate action: Adopted Read second time: February 29, 2024 CHAPTER ______ AN ACT concerning 1 Abandoned or Sunken Vessels and Waterway Improvement Fund Grants 2 FOR the purpose of requiring the owner of a vessel that is required to be numbered to 3 include certain contact information with the application for a certificate of number; 4 requiring the Department of Natural Resources, within a certain number of days 5 before and after seizing, removing, or taking an abandoned or sunken vessel into 6 custody, to attempt to contact certain individuals in a certain manner; requiring the 7 Department to provide certain notice by posting certain information on the 8 Department’s website or through social media platforms or by attaching certain 9 information to a vessel under certain circumstances; authorizing the Department to 10 establish and administer a voluntary vessel turn–in program; requiring the 11 Department to distribute each fiscal year at least a certain amount from the 12 Waterway Improvement Fund to a certain organization for certain purposes; and 13 generally relating to abandoned and sunken vessels and the Waterway Improvement 14 Fund. 15 BY adding to 16 Article – Natural Resources 17 Section 8–709(e) and 8–721.2 18 Annotated Code of Maryland 19 (2023 Replacement Volume and 2023 Supplement) 20 BY repealing and reenacting, with amendments, 21 Article – Natural Resources 22 Section 8–712(b) and 8–721 23 2 SENATE BILL 674 Annotated Code of Maryland 1 (2023 Replacement Volume and 2023 Supplement) 2 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 3 That the Laws of Maryland read as follows: 4 Article – Natural Resources 5 8–709. 6 (E) (1) NOTWITHSTANDING ANY O THER PROVISION OF LA W, FOR FISCAL 7 YEAR 2026 AND EACH FISCAL YEAR THEREAFTER , THE DEPARTMENT SHALL 8 DISTRIBUTE AT LEAST $250,000 FROM THE WATERWAY IMPROVEMENT FUND TO A 9 STATEWIDE MARYLAND–BASED HISTORIC PRESE RVATION NONPROFIT 10 ORGANIZATION WITH DE MONSTRATED EXPERIENC E IN GRANTMAKING . 11 (2) A NONPROFIT ORGANIZATI ON SHALL USE ANY FUN DS RECEIVED 12 UNDER THIS SUBSECTIO N TO ESTABLISH, OPERATE, AND ADMINISTER A MAR ITIME 13 HERITAGE COMPETITIVE GRANT PROGRAM TO PRO VIDE GRANTS TO NONPR OFIT 14 ORGANIZATIONS IN THE STATE AND INSTRUMENTA LITIES OF THE STATE, COUNTIES, 15 OR MUNICIPALITIES EN GAGED IN MARITIME HE RITAGE PRESERVATION , 16 INTERPRETATION , OR CONSERVATION . 17 (3) ON OR BEFORE NOVEMBER 30 EACH YEAR , A NONPROFIT 18 ORGANIZATION THAT RE CEIVES FUNDS UNDER T HIS SUBSECTION SHALL SUBMIT A 19 REPORT TO THE DEPARTMENT ON TH E GUIDELINES , PROMOTION , SELECTION, 20 RECIPIENTS, AND IMPACT OF THE OR GANIZATION’S COMPETITIVE GRANT PROGRAM. 21 8–712. 22 (b) (1) The owner of any vessel to be numbered by this subtitle shall file an 23 application for a certificate of number with the Department. 24 (2) The application is on forms the Department approves, accompanied by 25 the requisite fee, and signed by every vessel owner. 26 (3) (I) THE OWNER OF THE VESS EL SHALL INCLUDE WIT H THE 27 APPLICATION CONTACT INFORMATION TO BE US ED: 28 1. IN THE EVENT OF AN EMERGENC Y; OR 29 2. IF THE VESSEL IS AT R ISK OF BECOMING AN 30 ABANDONED OR SUNKEN VESSEL AS DEFINED IN § 8–721 OF THIS SUBTITLE. 31 SENATE BILL 674 3 (II) THE CONTACT INFORMATI ON REQUIRED UNDER TH IS 1 PARAGRAPH SHALL INCL UDE THE MAILING ADDR ESS, TELEPHONE NUMBER , AND 2 E–MAIL ADDRESS FOR EAC H OWNER OF THE VESSE L. 3 (III) THE DEPARTMENT MAY REQUIR E THE OWNER OF THE 4 VESSEL TO PROVIDE AL TERNATE EMERGENCY CO NTACT INFORMATION . 5 8–721. 6 (a) In this section, “abandoned or sunken vessel” means any vessel that: 7 (1) Is left illegally or has remained without permission for more than 30 8 days on public property, including public marinas, docks, or boatyards; 9 (2) Has remained at the following locations for more than 60 days without 10 the consent of the owner or person in control of the property: 11 (i) A private marina or property operated by a private marina; or 12 (ii) A private boatyard or property operated by a private boatyard; 13 (3) Has remained at the following locations for more than 30 days without 14 the consent of the owner or person in control of the property: 15 (i) A private dock; or 16 (ii) At or near waters’ edge on private property; 17 (4) Has remained on private property other than the private property 18 described in items (2) and (3) of this subsection for more than 180 days without the consent 19 of the owner or person in control of the property; or 20 (5) (i) Has been found adrift or unattended in or upon the waters of the 21 State and: 22 1. Is found in a condition of disrepair; 23 2. Presents a hazard or obstruction to the use of the waters 24 of the State; or 25 3. Presents a potential health or environmental hazard; and 26 (ii) Is not: 27 1. Historic property as defined in § 5A–301 of the State 28 Finance and Procurement Article; or 29 4 SENATE BILL 674 2. Submerged archaeological historic property as defined in 1 § 5A–333 of the State Finance and Procurement Article. 2 (b) (1) The Department may seize, remove, and take into custody any 3 abandoned or sunken vessel. 4 (2) For this purpose, the Department may use its own personnel, 5 equipment, and facilities or use other persons, equipment, and facilities for removing, 6 preserving, or storing abandoned or sunken vessels. 7 (3) The Department, or a person removing, preserving, or storing an 8 abandoned or sunken vessel on behalf of the Department, may not be held liable for any 9 damage to an abandoned or sunken vessel which may occur during removal, storage, or 10 custody of the vessel. 11 (c) (1) Except as provided in subsection (g)(2) of this section, not later than 15 12 days before an abandoned or sunken vessel is seized, removed, or taken into custody under 13 subsection (b) of this section, the Department shall [send]: 14 (I) SEND a notice, by certified mail, return receipt requested, 15 bearing a postmark from the United States Postal Service to the [last known] registered 16 owner of the vessel, as shown on the records of the Department; AND 17 (II) ATTEMPT, BY TELEPHONE OR E –MAIL, TO CONTACT: 18 1. THE REGISTERED OWNER OF THE VESSEL AT THE 19 TELEPHONE NUMBER OR E–MAIL ADDRESS SHOWN O N THE RECORDS OF THE 20 DEPARTMENT ; AND 21 2. IF THE APPLICATION FO R A CERTIFICATE OF N UMBER 22 UNDER § 8–712(B) OF THIS SUBTITLE INC LUDES AN ALTERNATE E MERGENCY 23 CONTACT, THE ALTERNATE EMERGE NCY CONTACT . 24 (2) (i) Except as provided in subparagraph (ii) of this paragraph, as 25 soon as reasonably possible but not later than 15 days after the Department takes an 26 abandoned or sunken vessel into custody, the Department shall [send]: 27 1. SEND a notice, by certified mail, return receipt requested, 28 bearing a postmark from the United States Postal Service to the [last known] registered 29 owner of the vessel and to each known secured party, as shown on the records of the 30 Department; AND 31 2. ATTEMPT, BY TELEPHONE OR E –MAIL, TO CONTACT: 32 SENATE BILL 674 5 A. THE REGISTERED OWNER OF THE VESSEL AT THE 1 TELEPHONE NUMBER OR E–MAIL ADDRESS SHOWN ON THE RECORDS OF TH E 2 DEPARTMENT ; AND 3 B. IF THE APPLICATION FO R A CERTIFICATE OF N UMBER 4 UNDER § 8–712(B) OF THIS SUBTITLE INC LUDES AN ALTERNATE E MERGENCY 5 CONTACT, THE ALTERNATE EMERGE NCY CONTACT . 6 (ii) As soon as reasonably possible but not later than 15 days after 7 the Department takes an abandoned or sunken vessel into custody in accordance with 8 subsection (g)(2) of this section, the Department shall [send]: 9 1. SEND a notice, by certified mail, return receipt requested, 10 bearing a postmark from the United States Postal Service to the last known registered 11 owner of the vessel and to each known secured party, as shown on the records of the 12 Department; AND 13 2. ATTEMPT, BY TELEPHONE OR E –MAIL, TO CONTACT: 14 A. THE REGISTERED OWNER OF THE VESSEL AT THE 15 TELEPHONE NUMBER OR E–MAIL ADDRESS SHOWN O N THE RECORDS OF THE 16 DEPARTMENT ; AND 17 B. IF THE APPLICATION FO R A CERTIFICATE OF N UMBER 18 UNDER § 8–712(B) OF THIS SUBTITLE INC LUDES AN ALTERNATE E MERGENCY 19 CONTACT, THE ALTERNATE EMERGE NCY CONTACT . 20 (d) The notices required by subsection (c) of this section shall: 21 (1) Describe the vessel; 22 (2) If the vessel was taken into custody in accordance with subsection (g)(2) 23 of this section, describe the actual or potential hazard mitigated by removal of the vessel; 24 (3) Give the location where the vessel is being held; 25 (4) Inform the owner and secured party of a right to reclaim the vessel 26 within 3 weeks of receipt of the notice required in subsection (c)(2) of this section upon 27 payment to the Department of any expenses incurred during removal and custody of the 28 vessel; and 29 (5) State that failure to claim the vessel will constitute: 30 (i) A waiver of all right, title, and interest in the vessel; and 31 (ii) A consent to the Department’s disposition of the vessel. 32 6 SENATE BILL 674 (e) (1) If the Department is unable to determine the last registered owner or 1 the identity of any secured party of the abandoned or sunken vessel, or if the certified mail 2 notice required under subsection (c) of this section is returned as undeliverable AND 3 TELEPHONE CALLS AND E–MAILS ARE UNANSWERED , UNRETURNED , OR 4 UNDELIVERABLE , the Department shall give the required notice [by]: 5 (I) BY publication in at least 1 newspaper of general circulation in 6 the area where the abandoned or sunken vessel was found; OR 7 (II) THROUGH DIGITAL MEDIA , INCLUDING POSTING ON THE 8 DEPARTMENT ’S WEBSITE AND SOCIAL MEDIA PLATFORMS ; OR 9 (III) BY ATTACHING TO THE V ESSEL IN A CLEARLY V ISIBLE 10 PLACE A DISTINCTIVEL Y COLORED NOTIFICATI ON STICKER OR TAG THAT CONTAINS 11 THE FOLLOWING INFORM ATION: 12 1. THE DATE AND TIME THE NOTIFICATION WAS 13 AFFIXED TO THE VESSE L; 14 2. A STATEMENT THAT , IN ACCORDANCE WITH T HIS 15 SECTION, IF THE VESSEL IS NOT REMOVED WITHIN 60 DAYS AFTER THE DATE THE 16 NOTIFICATION STICKE R OR TAG WAS AFFIXED , THE VESSEL MAY BE SE IZED, 17 REMOVED, TAKEN INTO CUSTODY A ND SOLD AT PUBLIC AU CTION, ACQUIRED BY 18 TITLE UNDER § 8–722 OF THIS SUBTITLE, OR OTHERWISE DISPOSE D OF; AND 19 3. THE LOCATION AND TELE PHONE NUMBER WHERE 20 ADDITIONAL INFORMATI ON MAY BE OBTAINED . 21 (2) The notice by publication shall contain the information required under 22 subsection (d) of this section and shall be published within 30 days of the seizure of the 23 abandoned or sunken vessel, or within 15 days of [the]: 24 (I) THE return of the certified mail notice as undeliverable; AND 25 (II) THE ATTEMPT , BY TELEPHONE OR E –MAIL, TO CONTACT 26 THE REGISTERED OWNER . 27 (f) If the owner or secured party fails to claim the abandoned or sunken vessel 28 within 3 weeks after the [certified mail] notice REQUIRED UNDER SUBSE CTION (C) OF 29 THIS SECTION or after the notice by publication is given OR WITHIN 60 DAYS AFTER THE 30 NOTICE AUTHORIZED UN DER SUBSECTION (E)(1)(III) OF THIS SECTION , the 31 Department may sell the vessel at public auction, proceed to receive title to the vessel 32 pursuant to § 8–722 of this subtitle, or otherwise dispose of the vessel. 33 SENATE BILL 674 7 (g) (1) If the abandoned or sunken vessel is in such a condition of disrepair 1 that the Department cannot remove the vessel intact, the Department may dispose of the 2 vessel in whatever manner is reasonable without providing the notice required under 3 subsections (c) through (e) of this section. 4 (2) (i) If the Department determines that an abandoned or sunken 5 vessel poses an immediate hazard or obstruction to navigation, a potential health hazard, 6 or a potential environmental hazard, the Department shall take the vessel into custody 7 without providing the notice required under subsection (c)(1) of this section. 8 (ii) The Department shall keep a written record of a determination 9 made under this paragraph, including the actual or potential hazards mitigated by removal 10 of the vessel. 11 (h) The Department may delegate the Department’s authority to remove and 12 dispose of abandoned or sunken vessels under this section to any local jurisdiction that 13 consents to the delegation. 14 (i) The Department, in consultation with the Director of the Maryland Historical 15 Trust, may adopt regulations to implement this section. 16 (j) The Department may not use funds budgeted for the Natural Resources Police 17 for the purpose of removing or storing abandoned or sunken vessels under this section. 18 8–721.2. 19 (A) THE DEPARTMENT MAY ESTABL ISH AND ADMINISTER A VOLUNTARY 20 VESSEL TURN–IN PROGRAM THAT ALLO WS THE OWNER OF A VE SSEL DETERMINED 21 BY THE DEPARTMENT TO BE AT R ISK OF BECOMING AN A BANDONED OR SUNKEN 22 VESSEL, AS DEFINED IN § 8–721 OF THIS SUBTITLE, TO TURN THE VESSEL I N TO THE 23 DEPARTMENT TO BE DEST ROYED. 24 (B) TO APPLY TO PARTICIPA TE IN A PROGRAM AUTH ORIZED UNDER THIS 25 SECTION, A VESSEL OWNER SHALL SUBMIT T O THE DEPARTMENT AN APPLICA TION 26 IN THE FORM THAT THE DEPARTMENT REQUIRES . 27 (C) IN ORDER TO PARTICIPA TE IN A PROGRAM AUTH ORIZED UNDER THIS 28 SECTION, THE OWNER OF A VESSE L SHALL DEMONSTRATE TO THE SATISFACTION OF 29 THE DEPARTMENT THAT : THE APPLICANT IS THE OWN ER OF THE VESSEL AND A 30 RESIDENT OF THE STATE. 31 (1) THE APPLICANT IS THE OWNER OF THE VESSEL ; 32 (2) THE APPLICANT IS A RE SIDENT OF THE STATE; AND 33 8 SENATE BILL 674 (3) THE VESSEL IS AT RISK OF BECOMING AN ABAND ONED OR SUNKEN 1 VESSEL. 2 (D) THE DEPARTMENT MAY DETERM INE THAT A VESSEL IS AT RISK OF 3 BECOMING AN ABANDONE D OR SUNKEN VESSEL , AS DEFINED IN § 8–721 OF THIS 4 SUBTITLE, IF ANY OF THE FOLLOW ING CONDITIONS EXIST : 5 (1) THE VESSEL IS TAKING ON OR HAS TAKEN ON W ATER WITHOUT AN 6 EFFECTIVE MEANS T O DRAIN OR EMPTY THE WATER; 7 (2) SPACES ON THE VESSEL THAT ARE DESIGNED TO BE ENCLOSED 8 ARE INCAPABLE OF BEI NG SEALED OFF OR REM AIN OPEN TO THE ELEM ENTS FOR 9 EXTENDED PERIODS OF TIME; 10 (3) THE VESSEL HAS BROKEN FROM OR IS IN DANGER OF BREAKING 11 LOOSE FROM ITS ANCHOR; OR 12 (4) THE VESSEL IS TIED IN AN UNLAWFUL OR UNPER MITTED MANNER 13 TO A STRUCTURE OR MO ORING. 14 (D) IN EVALUATING WHETHER A VESSEL IS ELIGIBLE FOR THE PROGRAM , 15 THE DEPARTMENT SHALL PRIO RITIZE, IN ORDER OF PRIORITY , THE FOLLOWING 16 VESSELS: 17 (1) A VESSEL THAT IS ABAND ONED OR SUNKEN AS DE FINED IN § 18 8–721 OF THIS SUBTITLE ; 19 (2) A VESSEL THAT IS AT RI SK OF BECOMING ABAND ONED OR SUNKEN 20 IF: 21 (I) THE VESSEL IS TAKING ON OR HAS TAKEN ON W ATER 22 WITHOUT AN EFFECTIVE MEANS TO DRAIN OR EM PTY THE WATER ; 23 (II) SPACES ON THE VESSEL THAT ARE DESIGNED TO BE 24 ENCLOSED ARE INCAPAB LE OF BEING SEALED O FF OR REMAIN OPEN TO THE 25 ELEMENTS FOR EXTENDE D PERIODS OF TIME ; OR 26 (III) THE VESSEL HAS BROKEN FROM OR IS IN DANGER OF 27 BREAKING LOOSE FROM ITS ANCHOR; AND 28 (3) ANY OTHER VESSEL THE DEPARTMENT DETERMINES IS ELIGIBLE 29 FOR PARTICIPATION IN THE PROGRAM . 30 SENATE BILL 674 9 (E) THE DEPARTMENT , IN ITS SOLE DISCRETI ON, MAY DETERMINE 1 ELIGIBILITY FOR PART ICIPATION IN A PROGR AM AUTHORIZED UNDER THIS 2 SECTION. 3 (F) THE DEPARTMENT , OR A PERSON REMOVING , TOWING, STORING, OR 4 DISPOSING OF A VESSE L THAT IS ACCEPTED I NTO A PROGRAM AUTHOR IZED UNDER 5 THIS SECTION ON BEHA LF OF THE DEPARTMENT , MAY NOT BE HELD LIAB LE FOR 6 ANY DAMAGE TO THE VE SSEL WHICH MAY OCCUR DURING REMOVAL , STORAGE, OR 7 CUSTODY OF THE VESSEL. 8 (G) IF THE DEPARTMENT ESTABLISHE S A PROGRAM AUTHORIZ ED UNDER 9 THIS SECTION, THE DEPARTMENT SHALL ADOP T REGULATIONS TO IMP LEMENT AND 10 CARRY OUT THE PROVIS IONS OF THIS SECTION . 11 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take eff ect July 12 1, 2024. 13 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.