In this subtitle the following words have the meanings indicated. “Conserve”, “endangered species”, “nongame species”, “species”, and “threatened species” have the meanings stated in § 10-2A-01 of this article. “Fund” means the State Chesapeake Bay and Endangered Species Fund established under § 1-702 of this subtitle. “Income tax checkoff system” means the checkoff system established under § 2-110 of the Tax - General Article.

In this section, “Fund” means the State Chesapeake Bay and Endangered Species Fund. There is a State Chesapeake Bay and Endangered Species Fund. The net proceeds from contributions under the income tax checkoff system and any other donations to the Fund shall be credited to the Fund. The Secretary shall administer the Fund. The Fund shall be used only as provided in §§ 1–703 through 1–705 of this subtitle. The Treasurer shall hold the Fund separately and the Comptroller shall account for the Fund. The Treasurer shall invest the money of the Fund in the same manner as other State money may be invested. Any investment earnings of the Fund shall be credited to the General Fund of the State. Expenditures from the Fund may be made only in accordance with the State budget. The Fund shall be maintained for the purposes stated in this subtitle and unspent portions of the Fund shall remain in the Fund and may not revert to the General Fund of the State. Money expended from the Fund for the Chesapeake Bay Trust and Endangered Species Conservation programs is supplemental and is not intended to take the place of funding that would otherwise be appropriated to the Department of Natural Resources for the Trust or for those programs.

The Secretary may distribute not more than 5% of the net proceeds of the Fund to a promotional account to be used to promote further donations to the Fund. Money in the Fund may be used for administrative costs calculated in accordance with § 1–103(b)(2) of this title. After making the distributions allowed under subsection (a) of this section, the Secretary shall distribute the remainder of the net proceeds of the Fund as follows: 50% to the Chesapeake Bay Trust established under § 8–1902 of this article, to be used by the Trust only as provided in § 1–704 of this subtitle; and 50% to an endangered species account, to be used only to conserve nongame, threatened and endangered species as provided in § 1–705 of this subtitle.

The Chesapeake Bay Trust shall use the funds it receives under § 1-703 of this subtitle only to provide grants to nonprofit organizations, community associations, civic groups, schools, or public agencies for citizen involvement projects that will enhance or promote: Public education of the State’s citizens concerning the Chesapeake Bay; The preservation or enhancement of water quality and fishery or wildlife habitat; The restoration of aquatic or land resources; Reforestation projects; The publication or production of educational materials on the Chesapeake Bay; or Training in environmental studies or environmental enhancement.

The Secretary shall use the funds credited to the endangered species account under § 1-703 of this subtitle only to promote the conservation, propagation, and habitat protection of nongame, threatened or endangered species, including: The acquisition, through absolute purchase or the purchase of easements, of habitats necessary to conserve, protect, or propagate nongame, threatened or endangered species; The monitoring, surveying, and protection of nest sites of bald eagles, Delmarva fox squirrels, peregrine falcons, and piping plovers; The promotion of voluntary protection of habitat for threatened and endangered species by monitoring information and management assistance to private landowners; The initiation of surveys and recovery programs, including habitat restoration or protection, for other threatened or endangered species; The protection of threatened or endangered species in natural heritage areas identified under the Natural Heritage Program; The surveying of nongame birds, mammals, reptiles, and amphibians not currently receiving review, particularly those species whose population status is questionable, such as the bog turtle; The development and implementation of an urban wildlife program to provide individuals in urban and suburban areas the opportunity to observe wildlife; and The development and implementation of a public education and information program to educate the public and school children about wildlife and habitat conservation. In developing the wildlife conservation programs under this section, the Secretary shall solicit the advice of the Threatened and Endangered Species Committee established in the Department. The Secretary shall obtain recommendations from the Natural Heritage Program in the Department as to implementation of threatened and endangered species conservation programs under this section.

On or before September 30 of each year, the Secretary shall submit a report to the General Assembly, pursuant to § 2–1257 of the State Government Article, on the administration of the Chesapeake Bay and Endangered Species Fund. The report required under subsection (a) of this section shall include: The gross amount of donations to the Fund; The costs of administration by the Comptroller of the income tax checkoff system; A description of promotional efforts undertaken with money from the Fund; and A detailed accounting of the use of the Fund: By the Chesapeake Bay Trust; and For wildlife conservation.