Maryland 2025 Regular Session

Maryland House Bill HB131 Compare Versions

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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LAW.
44 [Brackets] indicate matter deleted from existing law.
5- Underlining indicates amendments to bill.
6- Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7-amendment.
85 *hb0131*
96
107 HOUSE BILL 131
118 M3 5lr1676
129 (PRE–FILED) CF SB 117
13-By: Delegate Stein Delegates Stein, Guyton, and Ruth
10+By: Delegate Stein
1411 Requested: November 1, 2024
1512 Introduced and read first time: January 8, 2025
1613 Assigned to: Environment and Transportation
17-Committee Report: Favorable with amendments
18-House action: Adopted
19-Read second time: February 22, 2025
2014
21-CHAPTER ______
15+A BILL ENTITLED
2216
2317 AN ACT concerning 1
2418
2519 Environment – Bay Restoration Fund – Septic System Upgrade Program 2
2620
2721 FOR the purpose of authorizing the Department of the Environment to establish 3
2822 performance–based funding levels for best available nitrogen removal technologies 4
2923 for on–site sewage disposal systems using a certain evaluation and ranking process; 5
3024 requiring the Department to make certain eligible funding levels available in a 6
3125 certain manner; altering priorities for funding the repair or replacement of certain 7
3226 on–site sewage disposal systems; expanding certain funding eligibility criteria for 8
3327 on–site sewage disposal systems and community sewerage systems; exempting 9
3428 procurements by the Department of certain best available nitrogen removal 10
3529 technologies for on–site sewage disposal systems from certain provisions of the 11
3630 general procurement law; and generally relating to on–site sewage disposal systems. 12
3731
38-BY repealing and reenacting, with without amendments, 13
32+BY repealing and reenacting, with amendments, 13
3933 Article – Environment 14
40- Section 9–1108.1 and 9–1605.2(h)(2) through (5) Section 9–1605.2(a)(1) and (h)(1) 15
34+ Section 9–1108.1 and 9–1605.2(h)(2) through (5) 15
4135 Annotated Code of Maryland 16
4236 (2014 Replacement Volume and 2024 Supplement) 17
4337
44-BY repealing and reenacting, without with amendments, 18
38+BY repealing and reenacting, without amendments, 18
4539 Article – Environment 19
46-Section 9–1605.2(a)(1) and (h)(1) 9–1605.2(h)(2) through (5) 20
40+Section 9–1605.2(a)(1) and (h)(1) 20
4741 Annotated Code of Maryland 21
48- (2014 Replacement Volume and 2024 Supplement) 22 2 HOUSE BILL 131
42+ (2014 Replacement Volume and 2024 Supplement) 22
43+
44+BY repealing and reenacting, with amendments, 23
45+ Article – State Finance and Procurement 24
46+ Section 11–203(a)(1)(xviii) and (xix) 25
47+ Annotated Code of Maryland 26
48+ (2021 Replacement Volume and 2024 Supplement) 27 2 HOUSE BILL 131
4949
5050
5151
52-BY repealing and reenacting, with amendments, 1
52+BY adding to 1
5353 Article – State Finance and Procurement 2
54- Section 11–203(a)(1)(xviii) and (xix) 3
54+ Section 11–203(a)(1)(xx) 3
5555 Annotated Code of Maryland 4
5656 (2021 Replacement Volume and 2024 Supplement) 5
5757
58-BY adding to 6
58+BY repealing and reenacting, without amendments, 6
5959 Article – State Finance and Procurement 7
60- Section 11–203(a)(1)(xx) 8
60+ Section 11–203(a)(2) and (3) 8
6161 Annotated Code of Maryland 9
6262 (2021 Replacement Volume and 2024 Supplement) 10
6363
64-BY repealing and reenacting, without amendments, 11
65- Article – State Finance and Procurement 12
66- Section 11–203(a)(2) and (3) 13
67- Annotated Code of Maryland 14
68- (2021 Replacement Volume and 2024 Supplement) 15
64+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 11
65+That the Laws of Maryland read as follows: 12
6966
70- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16
71-That the Laws of Maryland read as follows: 17
67+Article – Environment 13
7268
73-Article – Environment 18
69+9–1108.1. 14
7470
75-9–1108.1. 19
71+ (a) (1) In this section the following words have the meanings indicated. 15
7672
77- (a) (1) In this section the following words have the meanings indicated. 20
73+ (2) “Nitrogen removal technology” has the meaning stated in § 9–1108 of 16
74+this subtitle. 17
7875
79- (2) “Nitrogen removal technology” has the meaning stated in § 9–1108 of 21
80-this subtitle. 22
76+ (3) “On–site sewage disposal system” has the meaning stated in § 9–1108 18
77+of this subtitle. 19
8178
82- (3) “On–site sewage disposal systemhas the meaning stated in § 9–1108 23
83-of this subtitle. 24
79+ (4) “Vendormeans a person that sells, offers for sale, or distributes 20
80+on–site sewage disposal systems that utilize nitrogen removal technology. 21
8481
85- (4) “Vendor” means a person that sells, offers for sale, or distributes 25
86-on–site sewage disposal systems that utilize nitrogen removal technology. 26
82+ (b) (1) In accordance with subsection (c) of this section, the Department shall 22
83+evaluate and rank all best available nitrogen removal technologies for on–site sewage 23
84+disposal systems to advise local governments and residents of the State of approved 24
85+technologies that qualify for funding under § 9–1605.2(h)(2) of this title. 25
8786
88- (b) (1) In accordance with subsection (c) of this section, the Department shall 27
89-evaluate and rank all best available nitrogen removal technologies for on–site sewage 28
90-disposal systems to advise local governments and residents of the State of approved 29
91-technologies that qualify for funding under § 9–1605.2(h)(2) of this title. 30
87+ (2) THE DEPARTMENT MAY USE TH E EVALUATION AND RA NKING 26
88+UNDER PARAGRAPH (1) OF THIS SUBSECTION T O ESTABLISH PERFORMA NCE–BASED 27
89+FUNDING LEVELS FOR E ACH BEST AVAILABLE N ITROGEN REMOVAL TECH NOLOGY 28
90+FOR ON–SITE SEWAGE DISPOSAL SYSTEMS THAT QUALIFI ES FOR FUNDING UNDER § 29
91+9–1605.2(H)(2) OF THIS TITLE. 30
9292
93- (2) THE DEPARTMENT MAY USE TH E EVALUATION AND RAN KING 31
94-UNDER PARAGRAPH (1) OF THIS SUBSECTION TO ESTABLIS H PERFORMANCE –BASED 32
95-FUNDING LEVELS FOR E ACH BEST AVAILABLE N ITROGEN REMOVAL TECH NOLOGY 33
96-FOR ON–SITE SEWAGE DISPOSAL SYSTEMS THAT QUALIFI ES FOR FUNDING UNDER § 34
97-9–1605.2(H)(2) OF THIS TITLE. 35 HOUSE BILL 131 3
93+ (3) The Department shall: 31
94+ HOUSE BILL 131 3
95+
96+
97+ (i) Make available the evaluation [and], ranking, AND ELIGIBLE 1
98+FUNDING LEVELS of all best available nitrogen removal technologies required under this 2
99+section on the Department’s [Web site] WEBSITE; and 3
100+
101+ (ii) Provide the evaluation [and], ranking, AND ELIGIBLE 4
102+FUNDING LEVELS of all best available nitrogen removal technologies to a county, 5
103+municipality, or resident of the State in any correspondence relating to approved 6
104+technologies that qualify for funding under § 9–1605.2(h)(2) of this title. 7
105+
106+ (c) The Department shall evaluate and rank all best available nitrogen removal 8
107+technologies for on–site sewage disposal systems based on: 9
108+
109+ (1) The total amount of nitrogen reduction the technology can achieve; 10
110+
111+ (2) The total cost of the technology, including the estimated annual cost of 11
112+operation and maintenance, including electricity costs; 12
113+
114+ (3) The cost per pound of the nitrogen reduction; and 13
115+
116+ (4) Any other information the Department determines is necessary. 14
117+
118+ (d) Beginning June 1, 2011, and every 2 years thereafter, the Department shall 15
119+request information from vendors necessary to carry out the requirements of this section. 16
120+
121+9–1605.2. 17
122+
123+ (a) (1) There is a Bay Restoration Fund. 18
124+
125+ (h) (1) With regard to the funds collected under subsection (b)(1)(i)1 of this 19
126+section from users of an on–site sewage disposal system or holding tank that receive a water 20
127+bill and subsection (b)(1)(i)2 and 3 of this section, beginning in fiscal year 2006, the 21
128+Comptroller shall: 22
129+
130+ (i) Establish a separate account within the Bay Restoration Fund; 23
131+and 24
132+
133+ (ii) Disburse the funds as provided under paragraph (2) of this 25
134+subsection. 26
135+
136+ (2) The Comptroller shall: 27
137+
138+ (i) Deposit 60% of the funds in the separate account to be used for: 28
139+
140+ 1. Subject to paragraphs (3), (4), (5), and (6) of this 29
141+subsection, with priority first given to failing systems and holding tanks located in the 30
142+Chesapeake and Atlantic Coastal Bays Critical Area [and then], SECOND to failing 31 4 HOUSE BILL 131
143+
144+
145+systems that ARE LOCATED WITHIN T HE WATERSHED OF A NITROGEN–IMPAIRED 1
146+BODY OF WATER , AND THIRD TO FAILING SYSTEMS THAT the Department determines 2
147+are a threat to public health or water quality, grants or loans for up to 100% of: 3
148+
149+ A. The costs attributable to upgrading an on–site sewage 4
150+disposal system to the best available technology for the removal of nitrogen; 5
151+
152+ B. The cost difference between a conventional on–site sewage 6
153+disposal system and a system that utilizes the best available technology for the removal of 7
154+nitrogen; 8
155+
156+ C. The cost of repairing or replacing a failing on–site sewage 9
157+disposal system with a system that uses the best available technology for nitrogen removal; 10
158+
159+ D. The cost, up to the sum of the costs authorized under item 11
160+B of this item for each individual system, of replacing multiple on–site sewage disposal 12
161+systems located in the same community with a new community sewerage system that is 13
162+owned by a local government and that meets enhanced nutrient removal standards; or 14
163+
164+ E. The cost, up to the sum of the costs authorized under item 15
165+C of this item for each individual system, of connecting a property using an on–site sewage 16
166+disposal system to an existing municipal wastewater facility that is achieving, or has signed 17
167+a funding agreement with the Department and is under construction to achieve, enhanced 18
168+nutrient removal or biological nutrient removal level treatment, including payment of the 19
169+principal, but not interest, of debt issued by a local government for such connection costs; 20
170+
171+ 2. The reasonable costs of the Department, not to exceed 8% 21
172+of the funds deposited into the separate account, to: 22
173+
174+ A. Implement an education, outreach, and upgrade program 23
175+to advise owners of on–site sewage disposal systems and holding tanks on the proper 24
176+maintenance of the systems and tanks and the availability of grants and loans under item 25
177+1 of this item; 26
178+
179+ B. Review and approve the design and construction of on–site 27
180+sewage disposal system or holding tank upgrades; 28
181+
182+ C. Issue grants or loans as provided under item 1 of this item; 29
183+and 30
184+
185+ D. Provide technical support for owners of upgraded 31
186+on–site sewage disposal systems or holding tanks to operate and maintain the upgraded 32
187+systems; 33
188+
189+ 3. A portion of the reasonable costs of a local public entity 34
190+that has been delegated by the Department under § 1–301(b) of this article to administer 35
191+and enforce environmental laws, not to exceed 10% of the funds deposited into the separate 36 HOUSE BILL 131 5
192+
193+
194+account, to implement regulations adopted by the Department for on–site sewage disposal 1
195+systems that utilize the best available technology for the removal of nitrogen; 2
196+
197+ 4. Subject to paragraph (7) of this subsection, financial 3
198+assistance to low–income homeowners, as defined by the Department, for up to 50% of the 4
199+cost of an operation and maintenance contract of up to 5 years for an on–site sewage 5
200+disposal system that utilizes nitrogen removal technology; 6
201+
202+ 5. Subject to paragraph (8) of this subsection, a local 7
203+jurisdiction to provide financial assistance to eligible homeowners for the reasonable cost 8
204+of pumping out an on–site sewage disposal system, at least once every 5 years, unless a 9
205+more frequent pump out schedule is recommended during an inspection, not to exceed 10% 10
206+of the funds allocated to the local jurisdiction; and 11
207+
208+ 6. In fiscal years 2020 and 2021, financial assistance to a 12
209+local jurisdiction for the development of a septic stewardship plan that meets the 13
210+requirements under paragraph (8)(iii)2 of this subsection; and 14
211+
212+ (ii) Transfer 40% of the funds to the Maryland Agriculture Water 15
213+Quality Cost Share Program in the Department of Agriculture in order to fund cover crop 16
214+activities. 17
215+
216+ (3) Funding for the costs identified in paragraph (2)(i)1 of this subsection 18
217+shall be provided in the following order of priority: 19
218+
219+ (i) For owners of all levels of income, the costs identified in 20
220+paragraph (2)(i)1A and B of this subsection; and 21
221+
222+ (ii) For [low–income] LOW– AND MODERATE –INCOME owners, as 22
223+defined by the Department, the costs identified in paragraph (2)(i)1C of this subsection: 23
224+
225+ 1. First, for best available technologies for nitrogen removal; 24
226+and 25
227+
228+ 2. Second, for other wastewater treatment systems. 26
229+
230+ (4) Funding for the costs identified in paragraph (2)(i)1D of this subsection 27
231+may be provided if: 28
232+
233+ (i) The environmental impact of the on–site sewage disposal system 29
234+is documented by the local government and confirmed by the Department; 30
235+
236+ (ii) It can be demonstrated that: 31
237+
238+ 1. The replacement of the on–site sewage disposal system 32
239+with a new community sewerage system is more cost effective for nitrogen removal than 33
240+upgrading each individual on–site sewage disposal system; or 34 6 HOUSE BILL 131
98241
99242
100243
101- (3) The Department shall: 1
244+ 2. The individual replacement of the on–site sewage disposal 1
245+system is not feasible; and 2
102246
103- (i) Make available the evaluation [and], ranking, AND ELIGIBLE 2
104-FUNDING LEVELS of all best available nitrogen removal technologies required under this 3
105-section on the Department’s [Web site] WEBSITE; and 4
247+ (iii) The new community sewerage system will only serve lots that 3
248+have received a certificate of occupancy, or equivalent certificate, [on or before October 1, 4
249+2008] AT LEAST 15 YEARS BEFORE JULY 1 OF THE YEAR IN WHICH THE APPLICATION 5
250+FOR FUNDING IS MADE . 6
106251
107- (ii) Provide the evaluation [and], ranking, AND ELIGIB LE 5
108-FUNDING LEVELS of all best available nitrogen removal technologies to a county, 6
109-municipality, or resident of the State in any correspondence relating to approved 7
110-technologies that qualify for funding under § 9–1605.2(h)(2) of this title. 8
252+ (5) Funding for the costs identified in paragraph (2)(i)1E of this subsection 7
253+may be provided only if all of the following conditions are met: 8
111254
112- (c) The Department shall evaluate and rank all best available nitrogen removal 9
113-technologies for on–site sewage disposal systems based on: 10
255+ (i) The environmental impact of the on–site sewage disposal system 9
256+is documented by the local government and confirmed by the Department; 10
114257
115- (1) The total amount of nitrogen reduction the technology can achieve; 11
258+ (ii) It can be demonstrated that: 11
116259
117- (2) The total cost of the technology, including the estimated annual cost of 12
118-operation and maintenance, including electricity costs; 13
260+ 1. The replacement of the on–site sewage disposal system 12
261+with service to an existing municipal wastewater facility that is achieving, or has signed a 13
262+funding agreement with the Department and is under construction to achieve, enhanced 14
263+nutrient removal or biological nutrient removal level treatment is more cost–effective for 15
264+nitrogen removal than upgrading the individual on–site sewage disposal system; or 16
119265
120- (3) The cost per pound of the nitrogen reduction; and 14
266+ 2. The individual replacement of the on–site sewage disposal 17
267+system is not feasible; 18
121268
122- (4) Any other information the Department determines is necessary. 15
269+ (iii) The project is consistent with the county’s comprehensive plan 19
270+and water and sewer master plan; 20
123271
124- (d) Beginning June 1, 2011, and every 2 years thereafter, the Department shall 16
125-request information from vendors necessary to carry out the requirements of this section. 17
272+ (iv) 1. The on–site sewage disposal system was installed [as of 21
273+October 1, 2008] AT LEAST 15 YEARS BEFORE JULY 1 OF THE YEAR IN WHICH THE 22
274+APPLICATION FOR FUND ING IS MADE, and the property the system serves is located in a 23
275+priority funding area, in accordance with § 5–7B–02 of the State Finance and Procurement 24
276+Article; or 25
126277
127-9–1605.2. 18
278+ 2. The on–site sewage disposal system was installed [as of 26
279+October 1, 2008] AT LEAST 15 YEARS BEFORE JULY 1 OF THE YEAR IN WHICH THE 27
280+APPLICATION FOR FUND ING IS MADE, the property the system serves is not located in a 28
281+priority funding area, and the project meets the requirements under § 5–7B–06 of the State 29
282+Finance and Procurement Article and is consistent with a public health area of concern: 30
128283
129- (a) (1) There is a Bay Restoration Fund. 19
284+ A. Identified in the county water and sewer plan; or 31
130285
131- (h) (1) With regard to the funds collected under subsection (b)(1)(i)1 of this 20
132-section from users of an on–site sewage disposal system or holding tank that receive a water 21
133-bill and subsection (b)(1)(i)2 and 3 of this section, beginning in fiscal year 2006, the 22
134-Comptroller shall: 23
135-
136- (i) Establish a separate account within the Bay Restoration Fund; 24
137-and 25
138-
139- (ii) Disburse the funds as provided under paragraph (2) of this 26
140-subsection. 27
141-
142- (2) The Comptroller shall: 28
143-
144- (i) Deposit 60% of the funds in the separate account to be used for: 29
145- 4 HOUSE BILL 131
286+ B. Certified by a county environmental health director with 32
287+concurrence by the Department and, if funding is approved, subsequently added to the 33
288+county water and sewer plan within a time frame jointly agreed on by the Department and 34 HOUSE BILL 131 7
146289
147290
148- 1. Subject to paragraphs (3), (4), (5), and (6) of this 1
149-subsection, with priority first given to failing systems and holding tanks located in the 2
150-Chesapeake and Atlantic Coastal Bays Critical Area [and then], SECOND to failing 3
151-systems that ARE LOCATED WITHIN THE WATERSHED OF A N ITROGEN–IMPAIRED 4
152-BODY OF WATER, AND THIRD A MARYLAND CHESAPEAKE BAY 8–DIGIT WATERSHED 5
153-THAT HAS A RELATIVE EFFECTIVENESS FOR TO TAL NITROGEN REDUCTI ON OF 9.24 6
154-OR HIGHER BASED ON T HE CHESAPEAKE BAY WATERSHED MODEL , THIRD TO 7
155-FAILING SYSTEMS THAT ARE LOCATED WITHIN T HE 500–YEAR FLOODP LAIN, AND 8
156-FOURTH TO FAILING SYSTEMS T HAT the Department determines are a threat to public 9
157-health or water quality, grants or loans for up to 100% of: 10
291+the county that takes into consideration the county’s water and sewer plan update and 1
292+amendment process; and 2
158293
159- A. The costs attributable to upgrading an on–site sewage 11
160-disposal system to the best available technology for the removal of nitrogen; 12
294+ (v) The funding agreement for a project that meets the conditions for 3
295+funding under subparagraph (iv)2 of this paragraph includes provisions to ensure: 4
161296
162- B. The cost difference between a conventional on–site sewage 13
163-disposal system and a system that utilizes the best available technology for the removal of 14
164-nitrogen; 15
297+ 1. Denial of access for any future connections that are not 5
298+included in the project’s proposed service area; and 6
165299
166- C. The cost of repairing or replacing a failing on–site sewage 16
167-disposal system with a system that uses the best available technology for nitrogen removal; 17
300+ 2. That the project will not unduly impede access to funding 7
301+for upgrading individual on–site sewage disposal systems in the county with best available 8
302+technology for nitrogen removal. 9
168303
169- D. The cost, up to the sum of the costs authorized under item 18
170-B of this item for each individual system, of replacing multiple on–site sewage disposal 19
171-systems located in the same community with a new community sewerage system that is 20
172-owned by a local government and that meets enhanced nutrient removal standards; or 21
304+Article – State Finance and Procurement 10
173305
174- E. The cost, up to the sum of the costs authorized under item 22
175-C of this item for each individual system, of connecting a property using an on–site sewage 23
176-disposal system to an existing municipal wastewater facility that is achieving, or has signed 24
177-a funding agreement with the Department and is under construction to achieve, enhanced 25
178-nutrient removal or biological nutrient removal level treatment, including payment of the 26
179-principal, but not interest, of debt issued by a local government for such connection costs; 27
306+11–203. 11
180307
181- 2. The reasonable costs of the Department, not to exceed 8% 28
182-of the funds deposited into the separate account, to: 29
308+ (a) Except as provided in subsection (b) of this section, this Division II does not 12
309+apply to: 13
183310
184- A. Implement an education, outreach, and upgrade program 30
185-to advise owners of on–site sewage disposal systems and holding tanks on the proper 31
186-maintenance of the systems and tanks and the availability of grants and loans under item 32
187-1 of this item; 33
311+ (1) procurement by: 14
188312
189- B. Review and approve the design and construction of on–site 34
190-sewage disposal system or holding tank upgrades; 35
313+ (xviii) the Department of Natural Resources, for negotiating or entering 15
314+into grants, agreements, or partnerships with nonprofit entities related to conservation 16
315+service opportunities; [and] 17
191316
192- C. Issue grants or loans as provided under item 1 of this item; 36
193-and 37 HOUSE BILL 131 5
317+ (xix) the State Archives for preservation, conservation, proper care, 18
318+restoration, and transportation of fine art or decorative art that is: 19
194319
320+ 1. in the custody of the Commission on Artistic Property; and 20
195321
322+ 2. owned by or loaned to the State; AND 21
196323
197- D. Provide technical support for owners of upgraded 1
198-on–site sewage disposal systems or holding tanks to operate and maintain the upgraded 2
199-systems; 3
324+ (XX) THE DEPARTMENT OF THE ENVIRONMENT FOR BEST 22
325+AVAILABLE NITROGEN R EMOVAL TECHNOLOGIES FOR ON–SITE SEWAGE DISPOSAL 23
326+SYSTEMS THAT QUALIFY FOR FUNDING UNDER § 9–1605(H)(2) OF THE 24
327+ENVIRONMENT ARTICLE, INCLUDING: 25
200328
201- 3. A portion of the reasonable costs of a local public entity 4
202-that has been delegated by the Department under § 1–301(b) of this article to administer 5
203-and enforce environmental laws, not to exceed 10% of the funds deposited into the separate 6
204-account, to implement regulations adopted by the Department for on–site sewage disposal 7
205-systems that utilize the best available technology for the removal of nitrogen; 8
329+ 1. REQUESTING INFORMATI ON FROM VENDORS ; 26
206330
207- 4. Subject to paragraph (7) of this subsection, financial 9
208-assistance to low–income homeowners, as defined by the Department, for up to 50% of the 10
209-cost of an operation and maintenance contract of up to 5 years for an on–site sewage 11
210-disposal system that utilizes nitrogen removal technology; 12
331+ 2. RANKING AND EVALUATI NG BEST AVAILABLE 27
332+TECHNOLOGIES ; AND 28
211333
212- 5. Subject to paragraph (8) of this subsection, a local 13
213-jurisdiction to provide financial assistance to eligible homeowners for the reasonable cost 14
214-of pumping out an on–site sewage disposal system, at least once every 5 years, unless a 15
215-more frequent pump out schedule is recommended during an inspection, not to exceed 10% 16
216-of the funds allocated to the local jurisdiction; and 17
217-
218- 6. In fiscal years 2020 and 2021, financial assistance to a 18
219-local jurisdiction for the development of a septic stewardship plan that meets the 19
220-requirements under paragraph (8)(iii)2 of this subsection; and 20
221-
222- (ii) Transfer 40% of the funds to the Maryland Agriculture Water 21
223-Quality Cost Share Program in the Department of Agriculture in order to fund cover crop 22
224-activities. 23
225-
226- (3) Funding for the costs identified in paragraph (2)(i)1 of this subsection 24
227-shall be provided in the following order of priority: 25
228-
229- (i) For owners of all levels of income, the costs identified in 26
230-paragraph (2)(i)1A and B of this subsection; and 27
231-
232- (ii) For [low–income] LOW– AND MODERATE –INCOME owners, as 28
233-defined by the Department, the costs identified in paragraph (2)(i)1C of this subsection: 29
234-
235- 1. First, for best available technologies for nitrogen removal; 30
236-and 31
237-
238- 2. Second, for other wastewater treatment systems. 32
239-
240- (4) Funding for the costs identified in paragraph (2)(i)1D of this subsection 33
241-may be provided if: 34
242- 6 HOUSE BILL 131
243-
244-
245- (i) The environmental impact of the on–site sewage disposal system 1
246-is documented by the local government and confirmed by the Department; 2
247-
248- (ii) It can be demonstrated that: 3
249-
250- 1. The replacement of the on–site sewage disposal system 4
251-with a new community sewerage system is more cost effective for nitrogen removal than 5
252-upgrading each individual on–site sewage disposal system; or 6
253-
254- 2. The individual replacement of the on–site sewage disposal 7
255-system is not feasible; and 8
256-
257- (iii) The new community sewerage system will only serve lots that 9
258-have received a certificate of occupancy, or equivalent certificate, [on or before October 1, 10
259-2008] AT LEAST 15 YEARS BEFORE JULY 1 OF THE YEAR IN WHICH THE APPLICATION 11
260-FOR FUNDING IS MADE . 12
261-
262- (5) Funding for the costs identified in paragraph (2)(i)1E of this subsection 13
263-may be provided only if all of the following conditions are met: 14
264-
265- (i) The environmental impact of the on–site sewage disposal system 15
266-is documented by the local government and confirmed by the Department; 16
267-
268- (ii) It can be demonstrated that: 17
269-
270- 1. The replacement of the on–site sewage disposal system 18
271-with service to an existing municipal wastewater facility that is achieving, or has signed a 19
272-funding agreement with the Department and is under construction to achieve, enhanced 20
273-nutrient removal or biological nutrient removal level treatment is more cost–effective for 21
274-nitrogen removal than upgrading the individual on–site sewage disposal system; or 22
275-
276- 2. The individual replacement of the on–site sewage disposal 23
277-system is not feasible; 24
278-
279- (iii) The project is consistent with the county’s comprehensive plan 25
280-and water and sewer master plan; 26
281-
282- (iv) 1. The on–site sewage disposal system was installed [as of 27
283-October 1, 2008] AT LEAST 15 YEARS BEFORE JULY 1 OF THE YEAR IN WHICH THE 28
284-APPLICATION FOR FUND ING IS MADE, and the property the system serves is located in a 29
285-priority funding area, in accordance with § 5–7B–02 of the State Finance and Procurement 30
286-Article; or 31
287-
288- 2. The on–site sewage disposal system was installed [as of 32
289-October 1, 2008] AT LEAST 15 YEARS BEFO RE JULY 1 OF THE YEAR IN WHICH THE 33
290-APPLICATION FOR FUND ING IS MADE, the property the system serves is not located in a 34 HOUSE BILL 131 7
291-
292-
293-priority funding area, and the project meets the requirements under § 5–7B–06 of the State 1
294-Finance and Procurement Article and is consistent with a public health area of concern: 2
295-
296- A. Identified in the county water and sewer plan; or 3
297-
298- B. Certified by a county environmental health director with 4
299-concurrence by the Department and, if funding is approved, subsequently added to the 5
300-county water and sewer plan within a time frame jointly agreed on by the Department and 6
301-the county that takes into consideration the county’s water and sewer plan update and 7
302-amendment process; and 8
303-
304- (v) The funding agreement for a project that meets the conditions for 9
305-funding under subparagraph (iv)2 of this paragraph includes provisions to ensure: 10
306-
307- 1. Denial of access for any future connections that are not 11
308-included in the project’s proposed service area; and 12
309-
310- 2. That the project will not unduly impede access to funding 13
311-for upgrading individual on–site sewage disposal systems in the county with best available 14
312-technology for nitrogen removal. 15
313-
314-Article – State Finance and Procurement 16
315-
316-11–203. 17
317-
318- (a) Except as provided in subsection (b) of this section, this Division II does not 18
319-apply to: 19
320-
321- (1) procurement by: 20
322-
323- (xviii) the Department of Natural Resources, for negotiating or entering 21
324-into grants, agreements, or partnerships with nonprofit entities related to conservation 22
325-service opportunities; [and] 23
326-
327- (xix) the State Archives for preservation, conservation, proper care, 24
328-restoration, and transportation of fine art or decorative art that is: 25
329-
330- 1. in the custody of the Commission on Artistic Property; and 26
331-
332- 2. owned by or loaned to the State; AND 27
333-
334- (XX) THE DEPARTMENT OF THE ENVIRONMENT FOR BEST 28
335-AVAILABLE NITROGEN R EMOVAL TECHNOLOGIES FOR ON–SITE SEWAGE DISPOSAL 29
336-SYSTEMS THAT QUALIFY FOR FUNDING UNDER § 9–1605(H)(2) OF THE 30
337-ENVIRONMENT ARTICLE, INCLUDING: 31
334+ 3. ESTABLISHING PERFORM ANCE–BASED FUNDING 29
335+LEVELS AS PROVIDED I N § 9–1108.1 OF THE ENVIRONMENT ARTICLE; 30
338336 8 HOUSE BILL 131
339337
340338
341- 1. REQUESTING INFORMATI ON FROM VENDORS ; 1
339+ (2) procurement by a unit from: 1
342340
343- 2. RANKING AND EVALUATI NG BEST AVAILABLE 2
344-TECHNOLOGIES ; AND 3
341+ (i) another unit; 2
345342
346- 3. ESTABLISHING PERFORM ANCE–BASED FUNDING 4
347-LEVELS AS PROVIDED I N § 9–1108.1 OF THE ENVIRONMENT ARTICLE; 5
343+ (ii) a political subdivision of the State; 3
348344
349- (2) procurement by a unit from: 6
345+ (iii) an agency of a political subdivision of the State; 4
350346
351- (i) another unit; 7
347+ (iv) a government, including the government of another state, of the 5
348+United States, or of another country; 6
352349
353- (ii) a political subdivision of the State; 8
350+ (v) an agency or political subdivision of a government; or 7
354351
355- (iii) an agency of a political subdivision of the State; 9
352+ (vi) a bistate, multistate, bicounty, or multicounty governmental 8
353+agency; or 9
356354
357- (iv) a government, including the government of another state, of the 10
358-United States, or of another country; 11
355+ (3) procurement in support of enterprise activities for the purpose of: 10
359356
360- (v) an agency or political subdivision of a government; or 12
357+ (i) direct resale; or 11
361358
362- (vi) a bistate, multistate, bicounty, or multicounty governmental 13
363-agency; or 14
359+ (ii) remanufacture and subsequent resale. 12
364360
365- (3) procurement in support of enterprise activities for the purpose of: 15
366-
367- (i) direct resale; or 16
368-
369- (ii) remanufacture and subsequent resale. 17
370-
371- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 18
372-1, 2026. 19
361+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 13
362+1, 2026. 14
373363
374364
375-
376-
377-
378-
379-Approved:
380-________________________________________________________________________________
381- Governor.
382-________________________________________________________________________________
383- Speaker of the House of Delegates.
384-________________________________________________________________________________
385- President of the Senate.