# Natural Resources (GNR)

## Title 3. Environmental Programs

### Subtitle 2. Maryland Environmental Trust

#### Section 3-201

(a)

  (1) There is a Maryland Environmental Trust established to conserve, improve, stimulate, and perpetuate the aesthetic, natural, health and welfare, scenic, and cultural qualities of the environment, including, but not limited to land, water, air, wildlife, scenic qualities, open spaces, buildings or any interest therein, and other appurtenances pertaining in any way to the State.

  (2) Through educational and other means, the Trust shall encourage and motivate the populace of the State and others to do so and shall promote continuing interest in and the study of these matters.

  (3) The purpose of the Trust is of general benefit to the citizens of the State, and it is charitable in nature.

(b) The Trust has perpetual existence subject to modification or termination by the General Assembly if necessary to effectuate its purpose or when and if its substantial purpose ceases.

(c)

  (1) In this subsection, "ecosystem services" includes:

    (i) Climate resilience;

    (ii) Carbon sequestration;

    (iii) The provision of wildlife habitat;

    (iv) Contributions to forest health; and

    (v) The protection or restoration of wetlands.

  (2) An easement approved by the Trust may allow for the potential of economic return from the protection, management, maintenance, or improvement of ecosystem services provided by the property, so long as the Trust determines those uses do not impair or interfere with the conservation values and purposes of the easement and are otherwise consistent with the Trust's policies related to ecosystem services.

#### Section 3-202

(a)

  (1) A board of 19 trustees has and shall exercise the powers and duties of the Trust.

  (2) The Governor, the President of the Senate, and the Speaker of the House of Delegates are ex officio members of the board of trustees.

  (3)

    (i) Subject to subparagraphs (ii) and (iii) of this paragraph, beginning on June 1, 2017, of the remaining 16 trustees, four shall be elected each year for a term of four years at any regular or special meeting by a majority vote of the trustees present.

    (ii) In order to bring the composition of the board of trustees up to 16 elected trustees, four trustees shall be elected in October 2016.

    (iii) The trustees shall elect a trustee as follows:

      (1) The Governor shall submit three recommendations to the board of trustees, of which two shall be elected;

      (2) The President of the Senate shall submit three recommendations to the board of trustees, of which one shall be elected; and

      (3) The Speaker of the House of Delegates shall submit three recommendations to the board of trustees, of which one shall be elected.

    (iv) Insofar as is practicable and consistent with the purposes of the Trust, the recommendations for an elected trustee shall:

      (1) Represent a broad distribution of professions and geographies;

      (2) Reflect the diversity of the State; and

      (3) Represent individuals with experience in one or more of the following categories:

      (A) Conservation or preservation of parklands, agricultural land, forest land, historic and cultural properties, natural areas, or important recreational lands;

      (B) Agriculture, including the horse industry;

      (C) Community planning and land use policy, with an emphasis on community sustainability, health communities, community food systems, youth development and education, or green infrastructure;

      (D) Academic work in natural science, social science, or cultural science at the university level; and

      (E) Business leadership, governance, or fund-raising in any of the categories identified under this item.

    (v)

      (1) Except as provided under subsubparagraph 2 of this subparagraph, an elected trustee may not serve more than two consecutive terms.

      (2) The chair may serve a third consecutive term if elected as chair during or after the second year of the chair's second term.

      (3) The terms of elected trustees are staggered as required by the terms provided for trustees of the Trust on June 1, 2016.

      (4) A trustee who is elected to fill a vacancy that arises after a term has begun:

      (A) Shall be elected from recommendations submitted by the Governor, the President of the Senate, or the Speaker of the House of Delegates in accordance with subparagraph (iii) of this paragraph, as applicable; and

      (B) Serves only for the rest of the term and until a successor is elected.

(b) A trustee:

  (1) May not receive compensation as a trustee of the Trust; but

  (2) Is entitled to reimbursement for expenses under the Standard State Travel Regulations, as provided in the State budget.

(c)

  (1) An ex officio member of the board of trustees may delegate any of the powers or duties of the member to an authorized representative.

  (2)

    (i) The representative of the Governor shall be a member of the Executive Department of this State.

    (ii) The representative of the President of the Senate shall be a member of the Senate.

    (iii) The representative of the Speaker of the House shall be a member of the House of Delegates.

#### Section 3-203

The trustees have the powers and duties to:

(1) Receive annual appropriations as provided in the budget;

(2) Sponsor, assist, conduct, or otherwise cause to be undertaken, comprehensive programs of research and education pertaining to the aesthetic, natural, health and welfare, scenic, or cultural qualities of the State environment, including the provision of financial grants to public and private agencies, organizations, and persons engaged by the trustees for consulting and other special participation in these programs;

(3) Acquire and hold real and personal property, or any interest therein, of aesthetic, scenic, or cultural significance, or of significance to the health and welfare of the public, by lease, gift, purchase, devise, bequest, or by any other means, and conserve, improve, administer, invest, or dispose of the properties for the purposes of the Trust, and in the acquisition of these properties to acquire property adjacent thereto deemed necessary for the proper use and administration of the Trust;

(4) Accept any gift. The trustees may expend both principal and income of any gift of money or invest it in whole or in part in general obligations of the State or other securities in furtherance of the Trust, as decided at a regular or special meeting, if a quorum is present, by the affirmative vote of a minimum of seven elected trustees;

(5) Apply any money, assets, property or other things of value it may receive as an incident to its operation, to the general purposes of the Trust;

(6) Cooperate with and assist as far as practicable, any unit of the State, any political subdivision, and any private, public, or federal agency, foundation, or person, in furtherance of the purposes of the Trust;

(7) Take any action necessary or proper to effectuate the powers expressly conferred by this subtitle;

(8) Adopt, subject to the terms of this subtitle, rules and regulations necessary or proper for the regulation of their own government or to effectuate the purpose of the Trust;

(9) Delegate any of the powers conferred to any one or more of the trustees or the director of the Trust; and

(10) Report annually to the Governor and, subject to Sec. 2-1257 of the State Government Article, to the General Assembly on the Trust's activities during the preceding year together with any recommendations or requests deemed appropriate to further the purposes of the Trust.

#### Section 3-203.1

(a) When any person offers to donate a perpetual conservation easement to the Maryland Environmental Trust, notification shall be mailed by the Maryland Environmental Trust to the appropriate governing body in which the land is located, as specified in subsection (b) of this section.

(b) The appropriate governing body for the purposes of this section means:

  (1) The board of county commissioners in a commission county;

  (2) The county executive and county council in a charter home rule county;

  (3) The county commissioners in a Code home rule county; and

  (4) The Mayor and City Council in Baltimore City.

#### Section 3-204

(a) The trustees shall elect from among the elected membership a chair, secretary, and other officers as they determine.

(b) The trustees shall meet at least four times a year at places and on dates they determine.

(c) The chair may call other meetings, and must call one at the request of six or more trustees.

(d) The secretary shall notify in writing every trustee of the time and place of every meeting at least seven days in advance of the meeting, except that meetings may be held on shorter notice if all trustees agree.

(e) Ten trustees constitute a quorum to conduct business.

(f) If at any time there is no director, the chair shall assume the director's duties and powers.

(g) The chair with the consent of the trustees may appoint an advisory council.

#### Section 3-205

The trustees may appoint a director of the Trust to administer its activities subject to the trustees' supervision. They may employ other persons as necessary. The director and staff are employees of the State, but the director shall not be a member of the skilled service or professional service, with the exception of special appointments. The trustees may remove the director at their will.

#### Section 3-206

The trustees may request and shall receive from the Attorney General legal counsel and services necessary to carry out effectively the purposes of the Trust.

#### Section 3-207

The State may pay money or transfer property to the Trust to carry out the purposes of the Trust. The Trust may receive, manage, expend, and dispose of grants, money, and property from the federal government or political subdivision of the State.

#### Section 3-208

Subject to the limitations of Sec. 3-207 of this subtitle, the Trust may improve, sell, convey, assign, lease, or otherwise transfer or dispose of any property, or interest in property, it holds, and enter into any contract, easement, or other legal arrangement incident thereto, including but not limited to, the authority to lease properties for various commercial and residential uses consistent with the purposes of the Trust on terms and conditions the trustees deem appropriate. Any lease the trustees make shall be in immediate furtherance of the purposes of the Trust and not merely for investment purposes. Notwithstanding any provision of law to the contrary, a lease the Trust makes may not be subject to redemption at the option of the tenant, unless expressly provided.

#### Section 3-209

Each State political subdivision, by appropriate action of its respective legislative body, may appoint a subcommittee to cooperate with, and work under, the guidance and control of the trustees of the Trust to further the objectives of the Trust at the local level.

#### Section 3-210

(a)

  (1) Any function or activity of the Governor's Committee to Keep Maryland Beautiful is transferred to the Trust.

  (2) These functions and activities include, by way of enumeration and not limitation:

    (i) Educating Maryland citizens and visitors in their individual responsibility in litter prevention and care of the out-of-doors through a two-fold approach:

      (1) Awareness-publicity through radio, TV, newspapers, and other public media; and

      (2) Action-cleanup and beautification projects carried out by civic organizations, county committees, and community groups in cooperation with public agencies;

    (ii) Efficient use of public and private funds spent on cleaning up highways, parks, beaches, and other public and private property;

    (iii) Increasing beauty through stimulation of private business, community, and public planting projects; and

    (iv) Stimulating pride and appreciation for home, community, and State.

(b)

  (1) In fiscal year 2025 and each fiscal year thereafter, the Governor may include in the annual budget bill an appropriation of $235,000 to the Trust, to be used in the following amounts for the following purposes:

    (i) $50,000 per year to provide land stewardship capacity-building grants of up to $10,000 to land trusts to support monitoring and stewardship scholarships, land monitoring and stewardship equipment, or organizational accreditation and certification trainings;

    (ii) $50,000 per year to provide land stewardship improvement grants of up to $10,000 to land trusts to support improved monitoring and stewardship of agricultural lands, forest lands, or lands facing a high degree of threat from invasive species or the effects of climate change; and

    (iii) $135,000 per year to provide citizen stewardship grants of up to $5,000 to nonprofit organizations, community organizations, schools, and municipal corporations to engage community members, especially children and young adults, in environmental education and stewardship.

  (2) Funds provided to the Trust under paragraph (1) of this subsection are supplemental to and are not intended to take the place of funding that would otherwise be appropriated to the Trust for grants administered under the Keep Maryland Beautiful Program.

#### Section 3-211

The provisions relating to the Trust do not limit the power or activity of any unit of the State, any political subdivision, any private unit, or person interested in the aesthetic, natural, health and welfare, scenic, and cultural qualities of the environment of the State.

#### Section 3-214

(a) In this part the following words have the meanings indicated.

(b) "Advisory Committee" means the Land Preservation Rapid Response Advisory Committee.

(c) "Board of Trustees" means the Board of Trustees of the Maryland Environmental Trust.

(d) "Executive Committee" means the Executive Committee of the Maryland Environmental Trust.

(e) "Fund" means the Local Land Trust Revolving Loan Fund.

(f) "Land trust" has the meaning stated in Sec. 3-2A-01 of this article.

(g) "Program" means the Local Land Trust Revolving Loan Program.

(h) "Trust" means the Maryland Environmental Trust.

#### Section 3-215

(a) There is a Local Land Trust Revolving Loan Program.

(b) The purpose of the Program is to:

  (1) Support the efforts of local land trusts that work with State and local governmental entities; and

  (2) Provide revolving loans to land trusts on a rolling basis to assist the land trusts to purchase fee simple or easement interests in real property for conservation purposes.

(c)

  (1) The Trust shall:

    (i) Administer the Program; and

    (ii) Establish application procedures and eligibility criteria for Program loans.

  (2) If the Trust approves an applicant's request for a Program loan, the Trust shall:

    (i) Prepare the loan documents; and

    (ii) Establish the terms and conditions for the loan.

(d) A land trust that receives a Program loan to purchase property in accordance with subsection (b) of this section shall repay the Fund:

  (1) At a rate to be determined by the Trust, not to exceed one point below the prime interest rate; and

  (2) After the property is:

    (i) Placed under a conservation easement; or

    (ii) Transferred to a State or local governmental entity.

(e) Nothing in this section obligates a State or local government entity to accept or purchase from a land trust a conservation easement or transferred property purchased with a Program loan.

(f) Notwithstanding subsection (d)(2) of this section, a land trust shall repay a Program loan and any accrued interest within 5 years after receiving the Program loan, unless the Board of Trustees approves an extension of time based on extenuating circumstances.

(g) If a land trust violates any provision of the loan documents or ceases to meet the requirements of this subtitle, on reasonable notice to the land trust, the Trust may exercise any remedy available under law, including any remedies provided for in the loan documents.

(h)

  (1) A person may not knowingly make or cause to be made any false statement or report, including any understatement or overstatement of financial condition for a new loan or affecting a loan already made under this subtitle:

    (i) In any application or in any document furnished to the Trust; or

    (ii) For the purpose of influencing the action of the Trust on an application for financial assistance or for the purpose of influencing any action of the Trust affecting financial assistance whether or not such assistance may have already been extended.

  (2) Any person, aider, or abettor who violates any provision of this subtitle is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $50,000 or imprisonment not exceeding 5 years or both.

#### Section 3-216

(a) There is a Land Preservation Rapid Response Advisory Committee.

(b) The purpose of the Advisory Committee is to:

  (1) Review and prioritize Program loan applications for consideration by the Board of Trustees; and

  (2) Make recommendations to the Board of Trustees on:

    (i) Which projects to fund, whether in whole or in part; and

    (ii) The funding to be allocated to each project.

(c) The Advisory Committee consists of:

  (1) A representative of the Department, selected by the Secretary; and

  (2) The following members, selected by the Board of Trustees:

    (i) A representative of the Trust that is not a member of the Executive Committee;

    (ii) A representative of a nonprofit land conservation organization in the State;

    (iii) A representative of a local parks and recreation department in the State; and

    (iv) An individual with experience in loan underwriting.

#### Section 3-217

(a) There is a Local Land Trust Revolving Loan Fund.

(b) The purpose of the Fund is to finance the Program.

(c) The Trust shall administer the Fund.

(d)

  (1) The Fund is a special, nonlapsing fund that is not subject to Sec. 7-302 of the State Finance and Procurement Article.

  (2) The State Treasurer shall hold the Fund separately, and the Comptroller shall account for the Fund.

(e) The Fund consists of:

  (1) Money appropriated in the State budget to the Fund;

  (2) Interest earnings;

  (3) Repayments of principal and interest from loans made under the Program; and

  (4) Any other money from any other source accepted for the benefit of the Fund.

(f) The Governor may include in the annual budget bill an appropriation to the Fund.

(g) The Fund may be used only to provide funding for the Program.

(h)

  (1) The State Treasurer shall invest the money of the Fund in the same manner as other State money may be invested.

  (2) Any interest earnings of the Fund shall be credited to the Fund.

(i) Expenditures from the Fund may be made only in accordance with the State budget.

(j) Money expended from the Fund for the Program is supplemental to and is not intended to take the place of funding that otherwise would be appropriated for the Program.

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Md. Code Ann., Nat. Res. (as displayed at mgaleg.maryland.gov, October 16, 2026)