The General Assembly finds and declares that the increasing energy requirements of the State and nation continue to exceed domestic sources of energy supply and that demand must be met, at least in the near future, by imported oil. Construction of deepwater ports in waters adjacent to the continental shelf of the United States could accommodate oil tenders too large for present ports and port facilities. As compared to smaller tanker systems, transfer of oil to the United States by these large tankers may have certain advantages, including assured access to the world’s total petroleum shipping fleet, a reduction in economic costs and safety hazards, increased transportation efficiency, and reduced environmental hazards to harbors and shorelines. The legislature, in recognition of these objectives and those of protecting the coastal environment, regulating growth and determining land use, and in order to carry out its delegated responsibilities under the federal Deepwater Port Act of 1974, hereby defines the policy and procedure to advance and protect the interests of the people of the State of Maryland in the location, construction and operation of deepwater ports in the waters beyond the State.

In this subtitle the following words have the meanings indicated. “Adjacent coastal state” means any coastal state which: Would be connected directly by pipeline to a deepwater port, as proposed in an application; Would be located within 15 miles of any proposed deepwater port; or Is so designated by the federal Secretary in accordance with § 9(a)(2) of the federal act. “Application” means any application submitted under the federal act for: A license for the ownership, construction, and operation of a deepwater port; Transfer of any license; or Any substantial change in any of the conditions and provisions of any license. “Coastal environment” means the State’s navigable waters and the adjacent shorelines. The term includes transitional and intertidal areas, bays, lagoons, salt marshes, estuaries, and beaches and their fish, wildlife and other living resources, and the recreational and scenic values of the lands, waters and resources. “Deepwater port” means any fixed or floating manmade structure other than a vessel, or any group of structures, located beyond territorial waters of a state and off the coast of the United States and which are used or intended for use as a port or terminal for the loading or unloading and further handling of hydrocarbons and their products for transportation to any state, except as otherwise provided in § 23 of the federal act. A deepwater port is a “new source” for purposes of the federal Clean Air Act and the Federal Water Pollution Control Act. “Federal act” means the federal Deepwater Port Act of 1974. “Federal Secretary” means the Secretary of the United States Department of Transportation. “Hydrocarbon” means petroleum, crude oil, any substance refined from petroleum or crude oil and natural gas. “Marine environment” means the coastal environment, State waters of the contiguous zone, and State waters of the high seas; the fish, wildlife, and other living resources of the waters; and the recreational and scenic values of the waters and resources.

The Governor, a State agency or official may not represent the State, individually or by joint agreements and compacts, as an applicant under the federal act without express authorization under State law.

In order to carry out the policy of this subtitle, the Secretary of Natural Resources shall: On his or the Governor’s determination that the State’s interest should be considered in an application proceeding under the federal act, request the federal Secretary to designate the State of Maryland as an “adjacent coastal state”. The request shall be communicated only with the approval of the Governor and shall include evidence to support the conclusion that there is a risk of damage to the coastal environment of the State equal to or greater than the risk posed to a state directly connected by pipeline to the proposed deepwater port. A request shall be communicated in accordance with § 9(a)(2) of the federal act; Determine and collect reimbursement for those costs to the State associated with the processing of an application for which the applicant is responsible to the State under the federal act; Present the views of the State to the federal Secretary, other than those required under item (1) of this section, regarding the location, construction and operation of a deepwater port; Request all documents, reports or other information from the federal Secretary under the federal act which are necessary to assist the State in the processing of an application; Set reasonable fees permitted under the federal act for the use of a deepwater port facility and State land–based facilities directly related to a deepwater port facility; and Obtain the suggestions and comments of those departments having responsibility associated with the duties enumerated in this section.

If the State has qualified as an adjacent coastal state under the federal act, the Governor preliminarily shall determine the State’s decision on the pending application, and submit his recommendation to the legislature, under subsection (d) of this section. The State’s decision shall consist of one of the following: Approval of the application; Disapproval of the application; or Conditional approval of the application, under which approval would be granted if the application were amended to remove certain inconsistencies with State programs relating to environmental protection, land and water use, or coastal zone management. In the preliminary determination of the State’s decision, the Governor shall consider factors, including: Environmental review criteria, including: The effect on the marine environment; The effect on oceanographic currents and wave patterns; The effect on alternate uses of the oceans and navigable waters, including scientific study, fishing, and exploration of other living and nonliving resources; The effect of land–based developments related to deepwater port development; The effect on human health and welfare; The effect on the State’s coastal zone management program under § 301(a) and (b) of the federal Coastal Zone Management Act of 1972; and Other considerations the federal Secretary may deem necessary and appropriate; Economic, social, and cultural impacts; Impacts on existing and future State and local public facilities and services; Evidence presented at public hearings held within the State either required under the federal act or conducted by the State; The findings of any statement prepared under § 14–506 of the Environment Article, and the status of any permit action under Title 14, Subtitle 5 of the Environment Article; Views of all interested county or local governments; and Views of the Secretaries of Agriculture, Natural Resources, Transportation, the Environment, and Commerce and the Secretary of Planning. Within 30 days after the last public hearing mandated by § 9(b)(1) of the federal act, the Governor shall submit a recommendation for the State’s decision to the legislature in the following manner: If the legislature is convened in regular or special session, the Governor shall submit a recommendation to the legislature for appropriate legislative action. If the legislature is not convened in regular or special session, the Governor shall submit a recommendation to the Administrative, Executive, and Legislative Review Committee. Within five days of receipt of the Governor’s recommendation and after a public hearing, the Committee shall recommend to the President of the Senate and the Speaker of the House whether the Governor’s recommendation should represent the State’s decision or whether the legislature should convene in special session to review the Governor’s recommendation for appropriate legislative action. However, failure of the Committee to recommend review by the full legislature may not preclude convening of the legislature. When the full legislature reviews the Governor’s recommendation under paragraph (1)(i) or (ii) of this subsection, the legislature, after a public hearing, may take appropriate legislative action to approve, disapprove, or conditionally approve the pending application. In order to modify the Governor’s recommendation in any way, the legislature shall take action by joint resolution requiring at least three–fifths vote of each house. The joint resolution shall constitute the State’s decision on the pending application. If the legislature fails to modify the Governor’s recommendation by the 44th day after the last public hearing mandated by the federal act, the Governor’s recommendation shall constitute the State’s decision on the pending application. The Governor shall send the State’s decision to the federal Secretary no later than 45 days after the last public hearing mandated by the federal act.