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<chapter num="02" heading="Maryland Strategic Energy Investment Program" title_num="14" subtitle_num="26">
  <regulation prefix="Regulation" num=".01" heading="Scope.">
    <text>These regulations establish procedures for the administration of a grant under the Strategic Energy Investment Program, established under State Government Article, §9-20B-02, Annotated Code of Maryland, and utilizing funds appropriated from the Strategic Energy Investment Fund under State Government Article, §9-20B-05, Annotated Code of Maryland, where no other law or regulation controls.</text>
  </regulation>
  <regulation prefix="Regulation" num=".02" heading="Definitions.">
    <paragraph num="A.">
      <text>In this chapter, the following terms have the meanings indicated.</text>
    </paragraph>
    <paragraph num="B.">
      <text>Terms Defined.</text>
      <paragraph num="(1)">
        <text>“Administration” means the Maryland Energy Administration.</text>
      </paragraph>
      <paragraph num="(2)">
        <text>“Applicant” means a person or entity that applies for a grant from the Administration.</text>
      </paragraph>
      <paragraph num="(3)">
        <text>“Application” means a request to receive a grant from the Administration.</text>
      </paragraph>
      <paragraph num="(4)">
        <text>“Competitive funding opportunity” means a funding opportunity for which the Administration considers all complete applications submitted and selects those applications that best meet the criteria in the relevant FOA as determined by the Administration.</text>
      </paragraph>
      <paragraph num="(5)">
        <text>“Complete application” means a timely application that includes all the information required by the FOA.</text>
      </paragraph>
      <paragraph num="(6)">
        <text>“Evaluation criteria” means factors identified in the FOA that the Administration uses to determine which applications submitted in response to a FOA best meet the Administration’s specified purpose.</text>
      </paragraph>
      <paragraph num="(7)">
        <text>“Fund availability” means the presence of monies that the Administration is authorized to expend for a particular purpose, such as the discretionary offering of grants.</text>
      </paragraph>
      <paragraph num="(8)">
        <text>“Funding opportunity announcement” or “FOA” means a notice to the public of a grant funding opportunity available for a specific period and purpose that includes the conditions, criteria, and guidelines developed by the Administration.</text>
      </paragraph>
      <paragraph num="(9)">
        <text>Grant.</text>
        <paragraph num="(a)">
          <text>“Grant” means the bestowing of a power, money, privilege, property, or other item of value that may be conditional, although without other consideration, by the Administration upon another party.</text>
        </paragraph>
        <paragraph num="(b)">
          <text>Grant includes a rebate, technical assistance, and the provision of a portion or all a grantee’s matching or cost sharing for a federal grant.</text>
        </paragraph>
      </paragraph>
      <paragraph num="(10)">
        <text>“Grant agreement” means a written agreement between the Administration and a grantee with respect to a grant.</text>
      </paragraph>
      <paragraph num="(11)">
        <text>“Noncompetitive funding opportunity” means a funding opportunity for which the Administration considers complete applications on a first-come, first-served basis.</text>
      </paragraph>
      <paragraph num="(12)">
        <text>Person.</text>
        <paragraph num="(a)">
          <text>“Person” means an individual, receiver, trustee, guardian, personal representative, fiduciary, representative of any kind, corporation, partnership, business trust, statutory trust, limited liability company, firm, association, or other nongovernmental entity.</text>
        </paragraph>
        <paragraph num="(b)">
          <text>“Person” includes a not-for-profit corporation, partnership, business trust, statutory trust, limited liability company, firm, or association that is in good standing with the State.</text>
        </paragraph>
      </paragraph>
      <paragraph num="(13)">
        <text>Project.</text>
        <paragraph num="(a)">
          <text>“Project” means an activity or undertaking that is consistent with the requirements of a FOA.</text>
        </paragraph>
        <paragraph num="(b)">
          <text>“Project” includes all activities and requirements specified in the FOA or grant agreement.</text>
        </paragraph>
      </paragraph>
      <paragraph num="(14)">
        <text>“Rebate” is a noncompetitive funding opportunity for a project that is complete at the time the application is submitted to the Administration.</text>
      </paragraph>
      <paragraph num="(15)">
        <text>“State” means the State of Maryland.</text>
      </paragraph>
      <paragraph num="(16)">
        <text>State Agency.</text>
        <paragraph num="(a)">
          <text>“State agency” means any administration, agency, association, authority, board, bureau, college, commission, committee, council, foundation, fund, department, institute, institution, public corporation, service, trust, university, or other unit of the Executive Branch of the State government and includes any subunit within any of these units.</text>
        </paragraph>
        <paragraph num="(b)">
          <text>“State agency” does not include a bicounty or multicounty government agency or political subdivision of the State, including a county, municipality, special tax district, sanitary district, drainage district, soil conservation district, water supply district, or any entity organized under the general corporation laws of the State.</text>
        </paragraph>
      </paragraph>
      <paragraph num="(17)">
        <text>“Strategic Energy Investment Fund” or “SEIF” has the meaning stated in State Government Article, §9-20B-05, Annotated Code of Maryland.</text>
      </paragraph>
      <paragraph num="(18)">
        <text>“Strategic Energy Investment Program” means the program established and described in State Government Article, Title 9, Subtitle 20B, Annotated Code of Maryland.</text>
      </paragraph>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".03" heading="Authority of Administration.">
    <text>The Administration may:</text>
    <paragraph num="A.">
      <text>Develop a FOA;</text>
    </paragraph>
    <paragraph num="B.">
      <text>Establish an application process, requirements, and criteria for each FOA;</text>
    </paragraph>
    <paragraph num="C.">
      <text>Receive and evaluate a grant application;</text>
    </paragraph>
    <paragraph num="D.">
      <text>Offer a grant;</text>
    </paragraph>
    <paragraph num="E.">
      <text>Receive and evaluate requests for cost sharing or matching to be used in a proposal for a federal grant;</text>
    </paragraph>
    <paragraph num="F.">
      <text>Offer a grant for all or a portion of a grantee’s cost sharing or matching for a federal grant;</text>
    </paragraph>
    <paragraph num="G.">
      <text>Terminate a grant; or</text>
    </paragraph>
    <paragraph num="H.">
      <text>Require repayment of a grant for noncompliance.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".04" heading="Funding Opportunity Announcement.">
    <paragraph num="A.">
      <text>The Administration shall publish on its website a FOA for each grant offered by the Administration.</text>
    </paragraph>
    <paragraph num="B.">
      <text>Each initial FOA shall include an application period of at least 30 calendar days.</text>
    </paragraph>
    <paragraph num="C.">
      <text>Each FOA shall explain each of the following when applicable:</text>
      <paragraph num="(1)">
        <text>Name and purpose;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Duration and schedule;</text>
      </paragraph>
      <paragraph num="(3)">
        <text>Requirements;</text>
      </paragraph>
      <paragraph num="(4)">
        <text>Deadlines;</text>
      </paragraph>
      <paragraph num="(5)">
        <text>Anticipated funding amount at the time the FOA is published;</text>
      </paragraph>
      <paragraph num="(6)">
        <text>Designation as a competitive or a noncompetitive grant;</text>
      </paragraph>
      <paragraph num="(7)">
        <text>Evaluation criteria;</text>
      </paragraph>
      <paragraph num="(8)">
        <text>Method for determining a grant amount under the FOA and whether an amount other than the requested amount may be offered;</text>
      </paragraph>
      <paragraph num="(9)">
        <text>The required form and manner in which to submit a complete application;</text>
      </paragraph>
      <paragraph num="(10)">
        <text>Limitations on the offer of a grant, including the amount for an individual grant or the number of grants an applicant may receive;</text>
      </paragraph>
      <paragraph num="(11)">
        <text>Evaluation process; and</text>
      </paragraph>
      <paragraph num="(12)">
        <text>Other information the Administration determines is appropriate.</text>
      </paragraph>
    </paragraph>
    <paragraph num="D.">
      <text>The Administration may modify a FOA by publishing a notice of the modified provision on its website no less than 10 business days prior to the application deadline and effective date of the modified provision.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".05" heading="Funding Opportunity Application and Review.">
    <paragraph num="A.">
      <text>The Administration shall review each complete application received using any method described in the FOA.</text>
    </paragraph>
    <paragraph num="B.">
      <text>After review of a complete application, the Administration may take any of the following actions:</text>
      <paragraph num="(1)">
        <text>Offer a grant;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Offer a partial grant;</text>
      </paragraph>
      <paragraph num="(3)">
        <text>Hold the application for further consideration during the same fiscal year;</text>
      </paragraph>
      <paragraph num="(4)">
        <text>Hold the application for further consideration in a succeeding fiscal year; or</text>
      </paragraph>
      <paragraph num="(5)">
        <text>Reject the application.</text>
      </paragraph>
    </paragraph>
    <paragraph num="C.">
      <text>The Administration may reject an application if:</text>
      <paragraph num="(1)">
        <text>The application is not a complete application;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>The application is inconsistent with law;</text>
      </paragraph>
      <paragraph num="(3)">
        <text>For a competitive funding opportunity, the Administration has not selected the application for a grant;</text>
      </paragraph>
      <paragraph num="(4)">
        <text>The Administration determines that sufficient funding is not available; or</text>
      </paragraph>
      <paragraph num="(5)">
        <text>The Director of the Administration determines that offering a grant is not in the best interest of the State.</text>
      </paragraph>
    </paragraph>
    <paragraph num="D.">
      <text>The Administration shall provide written notice of the action taken under §B of this regulation within 30 days, and, if the application is rejected, the basis for the action taken under §C of this regulation.</text>
    </paragraph>
    <paragraph num="E.">
      <text>For reconsideration of an action by the Administration under §B or C of this regulation, the applicant shall submit a written request to the Administration within 14 business days of receiving the written notice under §D of this regulation.</text>
    </paragraph>
    <paragraph num="F.">
      <text>The written decision by the Director, or the Director’s designee, on the request for reconsideration shall be the final decision of the Administration.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".06" heading="Grant Evaluation.">
    <text>The Administration may offer a grant for the value it determines is appropriate after considering any requirements and evaluation criteria specified in the FOA, fund availability, or any other factor the Administration determines appropriate.</text>
  </regulation>
  <regulation prefix="Regulation" num=".07" heading="Grant to Provide a Cost Sharing or Matching for a Federal Grant.">
    <paragraph num="A.">
      <text>The Administration may offer an applicant all or part of the applicant’s cost sharing or matching for a federal grant if:</text>
      <paragraph num="(1)">
        <text>The project is within the scope of this chapter as specified in Regulation .01;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>The project directly benefits the State; and</text>
      </paragraph>
      <paragraph num="(3)">
        <text>The applicant complies with all the requirements for the federal grant.</text>
      </paragraph>
    </paragraph>
    <paragraph num="B.">
      <text>The Administration shall cancel a grant offer made pursuant to §A of this regulation if the applicant does not receive the federal grant.</text>
    </paragraph>
    <paragraph num="C.">
      <text>The Administration may offer a grant to an applicant that submits an unsolicited request for cost sharing or matching for a federal grant consistent with this regulation.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".08" heading="Grant Agreements.">
    <paragraph num="A.">
      <text>To be eligible to receive a grant from the Administration, the applicant shall execute a grant agreement provided by the Administration prior to any distribution of funds.</text>
    </paragraph>
    <paragraph num="B.">
      <text>A grant agreement shall, if applicable:</text>
      <paragraph num="(1)">
        <text>Identify each party and any authorized representative;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Describe the project;</text>
      </paragraph>
      <paragraph num="(3)">
        <text>Specify the value of the grant;</text>
      </paragraph>
      <paragraph num="(4)">
        <text>Specify terms of the grant agreement;</text>
      </paragraph>
      <paragraph num="(5)">
        <text>Set forth each requirement for receiving a grant, including any reporting, invoicing, or project compliance verification requirements;</text>
      </paragraph>
      <paragraph num="(6)">
        <text>Specify each condition under which noncompliance may require repayment of a grant;</text>
      </paragraph>
      <paragraph num="(7)">
        <text>Require certification of the applicant’s good standing with the State;</text>
      </paragraph>
      <paragraph num="(8)">
        <text>Provide the Administration or its designee the right to access the project site for verification or any other relevant purpose;</text>
      </paragraph>
      <paragraph num="(9)">
        <text>Provide the right of the Administration to utilize project information for any relevant purpose; and</text>
      </paragraph>
      <paragraph num="(10)">
        <text>Include any other applicable provision required in a State financial agreement.</text>
      </paragraph>
    </paragraph>
    <paragraph num="C.">
      <text>A grant agreement may contain any additional provision deemed appropriate by the Administration.</text>
    </paragraph>
    <paragraph num="D.">
      <text>For a rebate, a grant application that meets the requirements set forth in §B of this regulation may serve as the grant agreement.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".09" heading="Applicant Responsibilities.">
    <paragraph num="A.">
      <text>An applicant shall timely provide any information concerning an application, request, or proposal as requested by the Administration.</text>
    </paragraph>
    <paragraph num="B.">
      <text>A person that provides a statement or report in any document required to be furnished to the Administration by any agreement relating to a grant, loan, or other financial assistance is subject to the provisions of State Government Article, §9–20B–11, Annotated Code of Maryland.</text>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".10" heading="Inter-Agency Agreements.">
    <paragraph num="A.">
      <text>A State agency other than the Administration may submit a funding request to the Administration for a project, activity, or investment designed to advance a purpose of the Strategic Energy Investment Program and intended for implementation in a subsequent fiscal year.</text>
    </paragraph>
    <paragraph num="B.">
      <text>To request funding from the SEIF, a State agency shall submit a written proposal to the Administration, including the following:</text>
      <paragraph num="(1)">
        <text>A description of the project, activity, or investment;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>The requested amount of funding in the relevant fiscal year to implement the project, activity, or investment;</text>
      </paragraph>
      <paragraph num="(3)">
        <text>A description of how the proposed project, activity, or investment is consistent with the Strategic Energy Investment Program and will further State policy goals;</text>
      </paragraph>
      <paragraph num="(4)">
        <text>A description of anticipated impacts, how they advance the State’s policy goals, and how the impacts are measured and verified;</text>
      </paragraph>
      <paragraph num="(5)">
        <text>An implementation timeline for the project, activity, or investment; and</text>
      </paragraph>
      <paragraph num="(6)">
        <text>Any other information the Administration requests for the purpose of evaluating the proposal.</text>
      </paragraph>
    </paragraph>
    <paragraph num="C.">
      <text>In response to such a request from a State agency, the Administration may:</text>
      <paragraph num="(1)">
        <text>Review the funding request to determine whether it is consistent with the Strategic Energy Investment Program, the requirements of any existing FOA, or State policy;</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Consider the funding request in the context of any existing or anticipated FOA, fund availability, forecasted revenue, and fund balances; or</text>
      </paragraph>
      <paragraph num="(3)">
        <text>Make recommendations for inclusion of the funding request in the State’s operating budget for a new energy-related project, activity, or investment found to be consistent with State Government Article, Title 9, Subtitle 20B, Annotated Code of Maryland, as well as broader State policy goals.</text>
      </paragraph>
    </paragraph>
    <paragraph num="D.">
      <text>Each State agency that receives funding from the SEIF under this regulation shall:</text>
      <paragraph num="(1)">
        <text>Utilize funding from the SEIF in a manner consistent with a memorandum of understanding executed between the State agency and the Administration; and</text>
      </paragraph>
      <paragraph num="(2)">
        <text>Comply with all reporting requirements as determined by the Administration.</text>
      </paragraph>
    </paragraph>
  </regulation>
  <regulation prefix="Regulation" num=".11" heading="Unavailability of Funds.">
    <text>Notwithstanding any applicable law or regulation, the Administration may suspend or cancel any FOA, grant, or agreement due to unavailability of funds.</text>
  </regulation>
  <regulation prefix="Regulation" num=".12" heading="Waiver.">
    <text>The Director may waive or modify a provision of this chapter that is inconsistent with the Strategic Energy Investment Program or other law or regulation.</text>
  </regulation>
  <annotations>
    <annotation type="Authority">State Government Article, §§9-20B-01and 9-20B-12, Annotated Code of Maryland</annotation>
    <annotation type="History" subtype="Administrative History">Effective date: March 3, 2003 (30:4 Md. R. 318)</annotation>
    <annotation type="History" subtype="Administrative History">Chapter revised effective August 29, 2005 (32:17 Md. R. 1440)</annotation>
    <annotation type="History" subtype="Administrative History">Regulation .02B amended effective February 12, 2007 (34:3 Md. R. 300)</annotation>
    <annotation type="History" subtype="Administrative History">Regulation .04A amended effective February 12, 2007 (34:3 Md. R. 300)</annotation>
    <annotation type="History" subtype="Administrative History">Regulation .05 amended effective February 12, 2007 (34:3 Md. R. 300)</annotation>
    <annotation type="History" subtype="Administrative History">Chapter revised as an emergency provision effective October 20, 2011 (38:24 Md. R. 1496); emergency status expired December 31, 2011</annotation>
    <annotation type="History" subtype="Administrative History">Regulations .01—.10 under Green Building Tax Credit Program repealed and new Regulations .01—.12 under Maryland Strategic Energy Investment Program adopted effective July 1, 2024 (51:7 Md. R. 333)</annotation>
  </annotations>
</chapter>