Maryland HB 1248: Green and Renewable Energy for Nonprofit Organizations Loan Program and Fund

Bill Text

EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
*hb1248*

HOUSE BILL 1248
P1, M5 3lr3045
SB 683/22 – B&T CF SB 186
By: Delegate Barve
Introduced and read first time: February 15, 2023
Assigned to: Rules and Executive Nominations

A BILL ENTITLED

AN ACT concerning 1

Green and Renewable Energy for Nonprofit Organizations Loan Program and 2
Fund 3

FOR the purpose of establishing the Green and Renewable Energy for Nonprofit 4
Organizations Loan Program in the Maryland Energy Administration to provide 5
financial assistance to nonprofit organizations for the purchase and installation of 6
qualifying energy systems and technical assistance for the planning and installation 7
of qualifying energy systems; establishing the Green and Renewable Energy for 8
Nonprofit Organizations Loan Fund as a special, nonlapsing fund; requiring interest 9
earnings of the Fund to be paid into the Fund; requiring the Administration, on or 10
before a certain date, to establish an application process, set guidelines and 11
considerations for application, selection, and repayment for loans made under the 12
Program, and develop an advertising campaign for the Program; and generally 13
relating to the Green and Renewable Energy for Nonprofit Organizations Loan 14
Program and Fund. 15

BY adding to 16
Article – State Government 17
Section 9–2101 through 9–2107 to be under the new subtitle “Subtitle 21. Green and 18
Renewable Energy for Nonprofit Organizations Loan Program” 19
Annotated Code of Maryland 20
(2021 Replacement Volume and 2022 Supplement) 21

BY repealing and reenacting, without amendments, 22
Article – State Finance and Procurement 23
Section 6–226(a)(2)(i) 24
Annotated Code of Maryland 25
(2021 Replacement Volume and 2022 Supplement) 26

BY repealing and reenacting, with amendments, 27
Article – State Finance and Procurement 28

2 HOUSE BILL 1248

Section 6–226(a)(2)(ii)170. and 171. 1
Annotated Code of Maryland 2
(2021 Replacement Volume and 2022 Supplement) 3

BY adding to 4
Article – State Finance and Procurement 5
Section 6–226(a)(2)(ii)172. 6
Annotated Code of Maryland 7
(2021 Replacement Volume and 2022 Supplement) 8

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 9
That the Laws of Maryland read as follows: 10

Article – State Government 11

SUBTITLE 21. GREEN AND RENEWABLE ENERGY FOR NONPROFIT 12
ORGANIZATIONS LOAN PROGRAM. 13

9–2101. 14

(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 15
INDICATED. 16

(B) “ADMINISTRATION” MEANS THE MARYLAND ENERGY 17
ADMINISTRATION. 18

(C) “BORROWER” MEANS A NONPROFIT ORGANIZATION THAT APPLIES AND 19
QUALIFIES FOR A LOAN UNDER THE PROGRAM. 20

(D) “FUND” MEANS THE GREEN AND RENEWABLE ENERGY FOR 21
NONPROFIT ORGANIZATIONS LOAN FUND. 22

(E) “NONPROFIT ORGANIZATION” MEANS AN ORGANIZATION THAT IS 23
EXEMPT FROM FEDERAL INCOME TAX UNDER § 501(C)(3) OF THE INTERNAL 24
REVENUE CODE. 25

(F) “PROGRAM” MEANS THE GREEN AND RENEWABLE ENERGY FOR 26
NONPROFIT ORGANIZATIONS LOAN PROGRAM. 27

(G) “QUALIFYING ENERGY SYSTEM” MEANS A SYSTEM THAT: 28

(1) GENERATES ELECTRICITY OR USABLE THERMAL ENERGY THAT IS 29
USED TO MEET ONSITE DEMAND; AND 30

HOUSE BILL 1248 3

(2) ASSISTS THE STATE IN MEETING THE ENVIRONMENTAL AND 1
GREENHOUSE GAS REDUCTION GOALS UNDER § 2–1205 OF THE ENVIRONMENT 2
ARTICLE. 3

9–2102. 4

THERE IS A GREEN AND RENEWABLE ENERGY FOR NONPROFIT 5
ORGANIZATIONS LOAN PROGRAM IN THE ADMINISTRATION. 6

9–2103. 7

THE PURPOSE OF THE PROGRAM IS TO PROVIDE FINANCIAL ASSISTANCE IN 8
THE FORM OF NO–INTEREST LOANS TO NONPROFIT ORGANIZATIONS FOR THE 9
PURCHASE AND INSTALLATION OF QUALIFYING ENERGY SYSTEMS IN THE STATE. 10

9–2104. 11

THE ADMINISTRATION SHALL: 12

(1) MANAGE, SUPERVISE, AND ADMINISTER THE PROGRAM; 13

(2) ADOPT REGULATIONS TO ENSURE THAT LOANS PROVIDED TO 14
NONPROFIT ORGANIZATIONS CARRY OUT THE PURPOSE OF THE PROGRAM; AND 15

(3) ATTACH SPECIFIC TERMS TO ANY LOAN THAT ARE CONSIDERED 16
NECESSARY TO ENSURE THAT THE PURPOSE OF THE PROGRAM IS FULFILLED. 17

9–2105. 18

(A) (1) TO RECEIVE A LOAN UNDER THE PROGRAM, A BORROWER MUST 19
FILE AN APPLICATION WITH THE ADMINISTRATION. 20

(2) THE APPLICATION MUST BE SIGNED BY THE CHIEF OPERATING 21
OFFICER OR AN AUTHORIZED OFFICER OF THE NONPROFIT ORGANIZATION. 22

(B) THE APPLICATION MUST CONTAIN ANY INFORMATION THE 23
ADMINISTRATION DETERMINES IS NECESSARY, INCLUDING: 24

(1) THE PROJECTED COST OF THE QUALIFYING ENERGY SYSTEM OR 25
TECHNICAL ASSISTANCE BEING FINANCED THROUGH THE LOAN; 26

(2) THE LOCATION OF THE PROPERTY WHERE THE QUALIFYING 27
ENERGY SYSTEM WILL BE INSTALLED AND WHETHER THE PROPERTY IS OWNED OR 28

4 HOUSE BILL 1248

LEASED BY THE APPLICANT; AND 1

(3) ANY ADDITIONAL INFORMATION RELATING TO THE BORROWER OR 2
THE PROPOSED QUALIFYING ENERGY SYSTEM BEING FINANCED THROUGH THE 3
LOAN THAT MAY BE REQUIRED BY THE ADMINISTRATION IN ORDER TO ADMINISTER 4
THE PROGRAM. 5

(C) THE ADMINISTRATION MAY APPROVE AN APPLICATION FOR A LOA