Title 15 — Subtitle 01. Office of the Secretary

Chapter 01. Procedural Regulations

Regulation .01 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Contested case” means a proceeding before the Department as provided under the Administrative Procedure Act, State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland.

(2)

“Department” means the Maryland Department of Agriculture.

(3)

“Secretary” means:

(a)

The Secretary of Agriculture or the Secretary's designee; and

(b)

If a unit of the Department is authorized to conduct hearings, the head of that unit or the unit head's designee.

Regulation .02 Procedural Regulations — Promulgation of Regulations.Link Copy Citation

Unless otherwise designated by statute, these procedures will be followed with respect to the promulgation of all regulations.

Regulation Adoption and Declaratory Rulings.

(1)

Secretary of the Department. The Secretary of Agriculture is responsible for adopting the regulations of the Department. He shall review, and approve, disapprove, or revise the regulations of all units within the jurisdiction of the Department.

(2)

Adoption of Regulations. New, amended, revised, or repealed regulations shall be proposed and adopted on a regular or emergency basis, as prescribed by the State Documents Law and the Administrative Procedures Act.

(3)

Petition for the Adoption of Regulations.

(a)

Who May File. Any interested person may file a petition with the Secretary, requesting the promulgation, amendment, or repeal of any regulation.

(b)

Form. The petition shall be in writing and shall contain a brief statement of the regulation, or reference to the regulation, amendment, or repeal which is sought, and a statement of any proposed amendment. The petition should contain a brief statement of reasons in support of the proposed regulation or change and shall contain the name, address, and telephone number of the petitioner.

(c)

Submission, Consideration, and Disposition. The petition shall be filed with the Secretary for his consideration and disposition. The Secretary shall either deny the petition in writing, stating the reasons for his denial, or initiate appropriate regulation-making procedures according to his decision.

(4)

Petition for Declaratory Ruling.

(a)

Who May File. Any interested person may file with the Secretary a petition for a declaratory ruling with respect to the applicability to any person, corporation, property, or statement of facts of any statute or Departmental regulation pertaining to the Department's activities.

(b)

Form. The petition shall:

(i)

Be in writing:

(ii)

Contain a detailed statement of the facts which are applicable to the regulation or statute in question;

(iii)

Pose the question of whether, and in what manner, the stated regulation or statute applies to the facts contained in the petition;

(iv)

Contain the name, address, and telephone number of the petitioner; and

(v)

Contain a statement by the petitioner, under oath, that the facts contained in the petition are true to the best of his knowledge, information, and belief.

(c)

Submission, Consideration, and Disposition. The petition shall be filed with the Secretary for his consideration and disposition. The Secretary shall consider the petition and may issue the declaratory ruling requested. The Secretary shall notify the petitioner in writing of whatever action he may decide to take, stating the reasons for his decision.

(5)

The Secretary shall:

(a)

Set the date and place of all hearings;

(b)

Give notice as provided here;

(c)

Preside at all hearings;

(d)

Receive all views and data, either written or oral, pertaining to proposed action of the Department.

Regulation .03 Procedural Regulations — Contested Cases.Link Copy Citation

Notice of Agency Action.

(1)

In a contested case, the Department shall give reasonable notice of the agency's action.

(2)

The notice shall state:

(a)

The facts that are asserted or if they cannot be stated in detail when the notice is given, the issues that are involved;

(b)

The pertinent statutory and regulatory sections under which the Department is taking its action;

(c)

The sanction proposed or potential penalty, if any, as a result of the Department's action;

(d)

The opportunity of the recipient of the notice to request a hearing, specifying:

(i)

What, if anything, the person shall do to receive a hearing; and

(ii)

All relevant time requirements; and

(e)

The direct consequences, sanction, or potential penalty, if any, of the recipient's failure to exercise in a timely manner the opportunity for a hearing or, if a hearing is scheduled, the recipient's failure to appear at that hearing.

Request for Hearing.

(1)

A person may request a hearing by mailing or delivering a clear written request in the manner and within the time frame specified in the Notice of Agency Action.

(2)

A request for hearing shall be considered filed on the date that the request is actually received in any office of the Department.

Default.

(1)

The Department may issue a default order if:

(a)

The recipient of the notice fails to exercise in a timely manner the opportunity for a hearing; or

(b)

A hearing has been scheduled, and the recipient fails to appear at that hearing.

(2)

On motion filed within 15 days after the date of the default order, the Department may, on good cause shown, vacate or modify the default order and set the case in for further proceedings as appropriate.

(3)

The Department may issue a default decision and order, and impose the proposed sanction if:

(a)

The recipient fails to file a motion within the time frame specified in §C(2) of this regulation; or

(b)

The motion is denied.

Hearings.

(1)

The Secretary shall preside as hearing officer at all hearings.

(2)

Unless otherwise specified by law, the Department shall notify all parties to a contested hearing at least 10 days before the scheduled hearing.

(3)

Any party to a hearing may be represented by counsel. The party or his counsel shall notify the hearing officer of the name, address, and telephone number of the counsel at least 5 days before the date of the hearing.

(4)

Before the hearing and upon the specific request, in writing, of any party, or his counsel, the hearing officer may furnish at his office, for inspection or copying, any documents or other material relating to the matter at issue, or mail copies of the material upon request to the party. The cost shall be borne by the requesting party.

(5)

The hearing officer may provide a stenographer or furnish an electric transcription device for any hearing. Any party may request a copy of the proceedings of the hearing at his own expense.

(6)

At any contested hearing, a representative of the Department or other moving party shall present the case for the party first, and the other party or parties, or counsel for them, may cross-examine each witness for the Department or other moving party. The other party or parties to the hearing shall thereafter present evidence, subject to cross-examination. The parties and the Department shall be permitted to present additional evidence at any time during the hearing, and shall be permitted to present oral arguments at the close of all the evidence.

(7)

The hearing officer, at his discretion, may postpone the hearing for any reason upon request of any party, his counsel, or Department official.

(8)

Failure to appear at the hearing at the time and place designated in the notice, or designated by the hearing officer in the event of postponement, shall be deemed a default on the part of any party, other than the hearing officer, and the hearing officer may take the action set forth in the notice without further hearing.

(9)

Within 30 days after the hearing record is closed, the hearing officer shall prepare a written decision and mail it to the last known address of each party. The 30-day period provided in this subsection is directory and no penalty shall incur if this time limitation is not satisfied. The mailing date of the hearing officer’s decision to a party constitutes notice of the decision.

Review by the Secretary.

(1)

Except as provided by law, a person aggrieved by a decision of a position or unit within the Department after a contested case hearing or default decision that is subject to judicial review under the Administrative Procedure Act, may file a written statement with the Secretary requesting review of that decision setting forth the nature of the complaint and the relevant facts and argument.

(2)

The aggrieved person shall file the written statement with the Secretary within 30 days from either the date of the written decision issued under §D(9) of this regulation or any default decision. The time restrictions imposed by this subsection is mandatory and any written statement filed beyond 30 days may not be considered.

(3)

The Secretary may require the aggrieved person to pay the costs of compiling the record of the decision to be reviewed, including the cost to transcribe testimony, if any.

(4)

Within 90 days after receiving the complete record, the Secretary shall investigate any claim made in the written statement, review the record, issue a decision in writing, and send a copy to each party. The 90-day period provided in this subsection is not mandatory; however, any delay beyond the 90-day period operates as an automatic denial by the Secretary.

(5)

The Secretary may affirm, reverse, or modify any written decision issued by any position or unit within the Department, including any default decision. The decision of the Secretary shall be the final agency decision or action for purposes of judicial review under the Administrative Procedure Act.

(6)

A party aggrieved by the final decision of the Secretary may file a petition for judicial review with the appropriate circuit court as required by the Maryland Rules of Civil Procedure.

Administrative Procedure Act. In addition to the foregoing regulations, the Administrative Procedure Act in the State Government Article, Annotated Code of Maryland, shall govern the practice and procedure in all hearings and appeals.

Chapter 02. Distribution of Funds for the Maintenance of Drainage Systems for Agricultural Land

Regulation .01 Cost Sharing.Link Copy Citation

The Secretary of Agriculture may provide up to 50 percent of the cost necessary to maintain drainage outlet systems for the draining of agricultural land constructed pursuant to Article 25, §§52—59 (Public Drainage Associations) and §§169—218 (Public Watershed Associations), Annotated Code of Maryland.

Regulation .02 Requirements for Application for Cost Sharing.Link Copy Citation

An association wishing to be considered for cost sharing pursuant to this chapter shall make written application to the Secretary as provided by the Department and shall conform to the following requirements:

Each association shall be active with a currently elected board of managers.

Each association shall have adopted and implemented an operations and maintenance program which provides for the regular maintenance of that association's drainage outlet systems.

Each association, upon application for assistance, shall submit an operations and maintenance plan for the maintenance of drainage outlet systems, for which cost sharing is requested. This plan shall include cost estimates and shall have been approved by the local soil conservation district in the year of application.

Each association shall submit a written commitment indicating the source of the funds to be matched.

Each association shall have the continuing duty to keep all drainage improvements in good repair.

Regulation .03 Criteria for Allocation of Cost Sharing Funds.Link Copy Citation

Cost sharing for the maintenance of drainage outlet systems for agricultural land will be limited to the control of vegetation and removal of channel obstructions as follows:

(1)

Control of vegetation will be limited to control of herbaceous growth or removal of shrubs or small trees which do not exceed 4 inches in diameter at breast height.

(2)

Movement of earth will be limited to:

(a)

Cleaning of sediment traps or construction of sediment traps as is considered necessary by the soil conservation district.

(b)

Removal of material which does not change the original design of the channel, or constitute a major channel reconstruction or realignment. The original design shall be maintained and removal of material may not exceed 6 inches below the original design grade of the channel.

(c)

Placement of soil shall be as specified by the soil conservation district.

The Secretary may provide funds for use in each county based on the mileage of ditches in each county applied for by associations and approved by districts as compared to the total mileage applied for in the State.

Associations which have received funds in prior years will receive a lower priority for cost sharing purposes than those which have not. A higher priority may be given where other funds, above the required 50 percent, are available from other sources such as county cost sharing funds.

In establishing priorities for the purpose of cost sharing for drainage outlet systems, the Secretary may consider other criteria which will promote the control of vegetation, the removal of channel obstructions, and debris from drainage outlet systems for the draining of agricultural land.

The Secretary may provide funds through a soil conservation district.

Funds are allocated for use within 12 months of the date made available to the association. The association will verify to the Secretary the expenditure of State funds and the amount of local matching funds.

Work for which funds are provided shall be verified by the soil conservation district for compliance with the district approved operations and maintenance plan. Any change from the plan must be approved by the soil conservation district.

Chapter 03. Approval of the Secretary of Agriculture for the Giving Away of Live Animals as Prizes

Regulation .01 Permission of the Secretary.Link Copy Citation

The Secretary of Agriculture is responsible for approving the giving away of a live animal (vertebrate) in the following cases when given:

(1)

As a prize or an inducement to enter a contest, game, or other competition; or

(2)

As an inducement to enter a place of amusement;

(3)

As an incentive to enter into a business agreement when an animal is offered for the purpose of attracting trade.

Approval for giving away a live animal is not required when the animal is given away:

(1)

As an agricultural project;

(2)

For a conservation purpose;

(3)

For slaughter.

Regulation .02 Requests for Approval.Link Copy Citation

Requests for approval to give an animal away shall be submitted in writing to the Secretary and shall provide details which clearly describe the following:

(1)

The applicant's efforts to provide the animal with a sanitary environment;

(2)

The type of food the animal will be provided and at what intervals the animal will be fed and, when appropriate, watered;

(3)

What effort the applicant shall make to ensure that an animal is kept healthy and in good condition;

(4)

The locations and dates where the giveaway is to occur, for example, the location of the fair and when the fair will take place; and

(5)

When appropriate, a description of the container that the recipient will be provided to transport the animal.

Unless the applicant provides all of the details required under this regulation, the Secretary shall deny the request.

Regulation .03 Approval of Requests.Link Copy Citation

In deciding whether to give an applicant permission to give an animal away, the Secretary will judge each application on a case-by-case basis depending on the needs of each animal.

To receive the Secretary's approval of the request to give away live animals, the applicant shall comply with the following requirements:

(1)

The applicant shall treat humanely all animals to be given away;

(2)

The applicant may not give an animal to a person who does not want it;

(3)

The applicant shall take steps to ensure that the animal is kept healthy and in good condition, including but not limited to the following:

(a)

Provide the animal with a sanitary environment, for example, that the container holding the animal is cleaned regularly and maintained in a sanitary condition,

(b)

When appropriate, provide potable water to the animal, and

(c)

Feed the animal nutritious food in sufficient quantities;

(4)

The applicant may not give away an animal that is not in good health;

(5)

The applicant shall inform the recipient of an animal that the applicant will care for the animal until the recipient leaves the event in which the giveaway is occurring, for example, the fair;

(6)

The applicant shall give the recipient or winner a coupon which may be used to redeem the animal at the time the recipient or winner departs from the event, for example, the fair;

(7)

For each recipient of an animal, the applicant shall provide written instructions on how to care for the animal and, when appropriate, a suitable container to transport the animal; and

(8)

The applicant shall permit the Secretary or the Secretary's agent to examine an animal that is to be given away.

If the Secretary approves the giving away of an animal, the approval shall be in writing and retained on the premises where the animal is to be given away.

Violations.

(1)

Except as provided in §D(2) of this regulation, if a person violates the terms of an approval, or provides inaccurate information to the Secretary, an approval may be revoked after a hearing as provided by regulations of the Maryland Department of Agriculture.

(2)

The Department may summarily suspend its approval if it finds that the safety or welfare of an animal under the applicant's care requires emergency action and promptly gives the applicant:

(a)

Written notice of the suspension, the finding, and the reasons that support the finding; and

(b)

An opportunity to be heard.

Chapter 04. Public Information Act Requests

Regulation .01 Scope.Link Copy Citation

This chapter sets out procedures under the Public Information Act for filing and processing requests to the Department of Agriculture for the inspection and copying of public records of the Department.

Regulation .02 Policy.Link Copy Citation

It is the policy of the Department to facilitate access to the public records of the Department, when access is allowed by law, by minimizing costs and time delays to applicants.

Regulation .03 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Act” means the Public Information Act, General Provisions Article, §§4-101—4-601, Annotated Code of Maryland.

(2)

“Applicant” has the meaning stated in General Provisions Article, §4-101(b), Annotated Code of Maryland.

(3)

“Board” has the meaning stated in General Provisions Article, §4-101(c), Annotated Code of Maryland.

(4)

“Copy” means any form of reproduction using a photocopying machine or other reproduction technology, including a paper copy, an electronic copy, a printout, or an image.

(5)

“Custodian” has the meaning stated in General Provisions Article, §4-101(d), Annotated Code of Maryland.

(6)

“Department” means the Department of Agriculture.

(7)

“Indigent” has the meaning stated in General Provisions Article, §4-206(a)(2), Annotated Code of Maryland.

(8)

“Metadata” has the meaning stated in General Provisions Article, §4-205(a), Annotated Code of Maryland.

(9)

“Official custodian” has the meaning stated in General Provisions Article, §4-101(f), Annotated Code of Maryland.

(10)

“PIA Coordinator” means the Department employee who is responsible for accepting requests for public records.

(11)

“Public Access Ombudsman” means the official appointed under General Provisions Article, Title 4, Subtitle 1B, to resolve disputes under the Act.

(12)

“Public record” has the meaning stated in General Provisions Article, §4-101(j), Annotated Code of Maryland.

(13)

“Reasonable fee” has the meaning stated in General Provisions Article, §4-206(a)(3), Annotated Code of Maryland.

(14)

“Secretary” means the Secretary of Agriculture.

(15)

“Working day” means a day other than Saturday, Sunday, or a State holiday.

Regulation .04 Secretary as Official Custodian.Link Copy Citation

Unless otherwise provided by law, the Secretary is the official custodian of the public records of the Department.

Regulation .05 Who May Request Public Records.Link Copy Citation

Any person may request to inspect or copy public records of the Department.

Regulation .06 Necessity for Written Request.Link Copy Citation

Inspection.

(1)

Except as otherwise provided in this chapter, the custodian shall make public records of the Department available for inspection by an applicant without demanding a written request.

(2)

The custodian shall require a written request if the custodian reasonably believes that:

(a)

The Act or any other law may prevent the disclosure of one or more public records to the applicant; or

(b)

A written request will materially assist the Department in responding.

Copies. If the applicant requests one or more copies of any public records of the Department, the custodian may require a written request.

Regulation .07 Contents of Written Request.Link Copy Citation

A written request shall:

Contain the applicant’s name and address;

Be signed by the applicant; and

Reasonably identify, by brief description, the public record sought.

Regulation .08 Addressee.Link Copy Citation

A request to inspect or copy a public record of the Department shall be addressed to the custodian of the record. If the custodian is unknown, the request may be addressed to the Secretary or the PIA Coordinator.

Regulation .09 Response to Request.Link Copy Citation

Custodian’s Initial Responsibilities.

(1)

If the custodian decides to grant a request for inspection, the custodian shall produce the public record for inspection:

(a)

Immediately; or

(b)

Within a reasonable time period, not to exceed 30 days after the date of the request, if that period is needed to retrieve the public record and conduct any necessary review.

(2)

If the custodian reasonably believes that it will take more than 10 working days to produce the record, the custodian shall indicate in writing or by electronic mail within 10 working days after receipt of the request:

(a)

The amount of time that the custodian anticipates it will take to produce the public record;

(b)

An estimate of the range of fees that may be charged to comply with the request for public records; and

(c)

The reason why it will take more than 10 working days to produce the records.

If the custodian decides to deny a request for inspection, the custodian shall:

(1)

Deny the request within 30 days after the request; and

(2)

Immediately notify the applicant of the denial.

If a request is denied, the custodian shall provide the applicant, at the time of the denial or within 10 working days, a written statement that gives:

(1)

The reason for denial, including, for records denied under General Provisions Article, §4-343, Annotated Code of Maryland, a brief explanation of:

(a)

Why denial is necessary; and

(b)

Why the harm from disclosure of the public record would be greater than the public interest in providing access to the information in the public record such that disclosure of the public record would be contrary to the public interest;

(2)

The legal authority for the denial;

(3)

Without disclosing the protected information, a brief description of the undisclosed records that will enable the applicant to assess the applicability of the legal authority for the denial; and

(4)

Notice of the remedies available for review of the denial.

If a requested public record is not in the custody or control of the person to whom application is made, that person shall, within 10 working days after receipt of the request, notify the applicant:

(1)

That the person does not have custody or control of the requested public record; and

(2)

If the person knows, of:

(a)

The name of the custodian of the public record; and

(b)

The location or possible location of the public record.

Any time limit imposed by §§A—C of this regulation may be extended:

(1)

With the consent of the applicant, for an additional period of up to 30 days; and

(2)

For the period of time during which a dispute initiated by the applicant is pending before the Public Access Ombudsman.

Regulation .10 Notice to and Consideration of Views of Person Potentially Affected by Disclosure.Link Copy Citation

Unless prohibited by law, the custodian may provide notice of a request for inspection or copying of any public record of the Department to any person, who in the judgment of the custodian, could be adversely affected by disclosure of that public record.

The custodian may consider the views of the potentially affected person before deciding whether to disclose the public record to the applicant.

Regulation .11 Electronic Records.Link Copy Citation

Except as provided in §§C and D of this regulation, the custodian shall provide an applicant with a copy of the public record in a searchable and analyzable electronic format if:

(1)

The public record is in a searchable and analyzable electronic format;

(2)

The applicant requests a copy of the public record in a searchable and analyzable electronic format; and

(3)

The custodian is able to provide a copy of the public record, in whole or in part, in a searchable and analyzable electronic format that does not disclose information that is exempt from disclosure under the Act.

The custodian shall provide a portion of the public record in a searchable and analyzable electronic format if:

(1)

Requested by the applicant; and

(2)

The custodian is able to do so by using the existing functions of the database or software program that contains the searchable and analyzable data.

The custodian is not required to:

(1)

Create or reconstruct a public record in an electronic format if the public record is not available in an electronic format; or

(2)

Release an electronic record in a format that would jeopardize or compromise the security or integrity of the original record or of any proprietary software in which the record is maintained.

The custodian may remove metadata from an electronic document before providing the electronic record to an applicant by:

(1)

Using a software program or function; or

(2)

Converting the electronic record into a different searchable and analyzable format.

Regulation .12 Public Record Destroyed or Lost.Link Copy Citation

If the custodian knows that a requested public record has been destroyed or lost, the custodian shall promptly:

Notify the applicant that the public record is not available; and

Explain the reasons why the public record cannot be produced.

Regulation .13 Review of Denial.Link Copy Citation

If the custodian denies a request to inspect or copy a public record of the Department, the applicant may file an action for judicial enforcement under General Provisions Article, §4-362, Annotated Code of Maryland, without pursuing the remedies set forth in §§B and C of this regulation.

If the custodian charges a fee of more than $350 under Regulation .15 of this chapter, the applicant may, within 90 days after the date the fee is imposed, file a written complaint with the Board under General Provisions Article, §4-1A-05(a), Annotated Code of Maryland.

The applicant and the custodian each may contact the Public Access Ombudsman to resolve, under General Provisions Article, Title 4, Subtitle 1B, Annotated Code of Maryland, a dispute relating to requests for public records.

Regulation .14 Disclosure Against Public Interest.Link Copy Citation

Denial Pending Court Order.

(1)

If, in the opinion of the Secretary, disclosure of a public record of the Department otherwise subject to disclosure under the Act would do substantial injury to the public interest, the Secretary may temporarily deny the request and seek a court order allowing continued nondisclosure.

(2)

A temporary denial shall be in writing.

Circuit Court Review.

(1)

Within 10 working days after the denial, the Secretary shall apply to the appropriate circuit court for an order permitting continued denial or restriction of access.

(2)

Notice of the Secretary’s complaint shall be served on the applicant in the manner provided for service of process by the Maryland Rules.

Regulation .15 Fees.Link Copy Citation

The fee schedule for copying and certifying copies of public records of the Department is as follows:

(1)

Copies.

(a)

The fee for each copy made by a standard printer or photocopying or scanning machine with the Department is 25 cents per page.

(b)

The fee for each copy made otherwise shall be based on the actual cost of reproduction.

(2)

Certification of Copies. If a person requests that a copy of a public record be certified as a true copy, an additional fee of $1 per page (or if appropriate, per item) shall be charged.

(3)

Minimum Fee. No charge will be made if the total fee is $10 or less.

Notwithstanding §A of this regulation, if the fee for copies or certified copies of any public record of the Department is specifically set by a law other than the Act or this regulation, the custodian shall charge the prescribed fee.

If the custodian cannot copy a public record within the Department, the custodian shall make arrangements for the prompt reproduction of the record at public or private facilities outside the Department. The custodian shall:

(1)

Collect from the applicant a fee to cover the actual cost of reproduction; or

(2)

Direct the applicant to pay the cost of reproduction directly to the facility making the copy.

Before copying a public record of the Department, the custodian shall estimate the cost of reproduction and either:

(1)

Obtain the agreement of the applicant to pay the cost; or

(2)

Require prepayment of all or a portion of the cost.

Search and Preparation Fee.

(1)

Except as provided in §F of this regulation, the custodian may charge a reasonable fee for time that an official employee of the Department spends:

(a)

To search for requested public records;

(b)

Review requested public records for inspection and copying; and

(c)

To prepare public records for inspection and copying.

(2)

The custodian shall determine the fee under §E(1) of this regulation by multiplying the employee’s salary, prorated to an hourly basis, by the actual time attributable to the search for, review of, and preparation of public records for inspection and copying.

The custodian may not charge a fee under §E of this regulation for the first 2 hours spent searching for and preparing a public record for inspection.

Waiver or Reduction of Fee.

(1)

The official custodian may waive or reduce any fee set under this regulation if:

(a)

The applicant requests a waiver; and

(b)

Either:

(i)

The custodian determines that the waiver or reduction is in the public interest; or

(ii)

The applicant is indigent and files an affidavit verifying the facts that support a claim of indigency.

(2)

In determining whether a fee is in the public interest, the custodian shall consider, among other relevant factors, the ability of the applicant to pay the fee.

If the applicant requests that copies of a public record be mailed or delivered to the applicant or to a third party, the custodian may charge the applicant for the cost of postage or delivery.

Regulation .16 Time and Place of Inspection.Link Copy Citation

An applicant may inspect any public record of the Department that the applicant is entitled to inspect during the normal working hours of the Department.

The inspection shall occur where the public record is located, unless the custodian, after taking into account the applicant’s express wish, determines that another place is more suitable and convenient.

Chapter 05. Cost Sharing — Water Pollution Control Program

Regulation .01 General.Link Copy Citation

This chapter explains the State's cost sharing program to assist eligible applicants in implementing certain agricultural practices which will lessen water pollution caused by nutrients, sediment, animal wastes, or agricultural chemicals. Under this program, grants are made to farmers for the primary purpose of conserving soil and water resources and for protecting or restoring the environment for the public benefit.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Best management practice” means a conservation or pollution control practice that manages soil loss due to farming practices or manages animal wastes or agricultural chemicals so as to minimize movement into the surface waters of the State.

(2)

“County Soil Survey” means a report developed by the United States Department of Agriculture, Natural Resource Conservation Service, for each county which identifies soil types.

(3)

“Critical condition” means a condition on land where there is or there may be a high potential for the movement of pollutants from nutrients, sediment, animal wastes, or agricultural chemicals into the waters of the State.

(4)

“Department” means the Maryland Department of Agriculture.

(5)

“District” means a soil conservation district.

(6)

“Eligible cost” means a capital expenditure for installing, purchasing, or constructing a best management practice or fixed natural filter practice, including, but not limited to, the cost of pollution control equipment, animal waste facilities, water control structures, diversion facilities, sediment basins or grade stabilization structures, establishing permanent vegetative cover, or a contour, strip-cropping, terrace, or conservation tillage system of farming. It does not include the cost of land or interests in land, or the costs of operating or maintaining best management practices.

(7)

“Fixed natural filter practice” means one of the following practices:

(a)

The planting of riparian forest buffers;

(b)

The planting of riparian herbaceous cover;

(c)

Tree plantings that are:

(i)

On agricultural land; or

(ii)

Outside a riparian buffer;

(d)

Wetland restoration; or

(e)

Pasture management, including rotational grazing systems such as livestock fencing and watering systems implemented as part of the conversion of cropland to pasture.

(8)

“Geographic area” means a watershed or major portion of a watershed which contains or has a high potential for containing priority areas.

(9)

“Improved conservation benefit” means an improvement in the condition of the soil, water, or other such natural resource of the State, and includes, among other beneficial effects, improved water quality, improved soil health, reduced soil loss, and restored wetlands.

(10)

“Natural resource concern” means the expected degradation of the soil, water, or other resource base to the extent that the sustainability or intended use of the resource is impaired, and includes, among other concerns, soil erosion, soil quality degradation, water quality degradation, and excess water.

(11)

“Nutrient management plan” means a plan prepared by a State-certified nutrient management consultant to manage the amount, placement, timing, and application of animal waste, fertilizer, biosolids, sewage sludge, or other plant nutrients in order to prevent pollution and to maintain the productivity of the soil. Requirements for plan content, recommendations, maintenance, updates, and record keeping are further defined under COMAR 15.20.08.

(12)

“Person” means an individual, partnership, corporation, trust, or other business enterprise which as an owner, landlord, or tenant, participates in the operation of a farm.

(13)

“Pooling agreement” means a written agreement between persons approved by the Secretary, to perform best management practices and which is intended to solve a mutual pollution problem on different farms.

(14)

“Priority area” means an area where a critical condition exists.

(15)

“Project” means a project to prevent or control agriculturally related nonpoint source water pollution by establishing best management practices on a farm.

(16)

“Secretary” means the Secretary of Agriculture or the Secretary’s designee.

(17)

“Waters of the State” means both surface and underground waters within the boundaries of the State subject to its jurisdiction, including that portion of the Atlantic Ocean within the boundaries of the State, the Chesapeake Bay and its tributaries, and all ponds, lakes, rivers, streams, public ditches, tax ditches, and public drainage systems within the State, other than those designed and used to collect, convey, or dispose of sanitary sewage.

Regulation .03 Program Eligibility — Priority and Geographic Areas for Water Pollution Control.Link Copy Citation

A person who operates a farm in a priority area as designated in this regulation is eligible to apply for financial assistance for one or more projects under the State's cost share program for water pollution control.

The following geographic areas within this State are identified by watershed name and watershed segment number because they are likely to contain priority areas for water pollution control:

(1)

The following watersheds in the Middle Potomac River Basin:

(a)

Double Pipe Creek (02-14-03-04);

(b)

Upper Monacacy River (02-14-03-03);

(c)

Catoctin Creek (02-14-03-05);

(d)

Lower Monacacy River (02-14-03-02);

(e)

Direct drainage to the Potomac River between the Monocacy and Shenandoah Rivers (02-14-03-01);

(2)

The following watersheds in the Upper Potomac River Basin:

(a)

Antietam Creek (02-14-05-02);

(b)

Conococheague Creek (02-12-05-04);

(3)

The Seneca Creek Watershed in the Potomac River Washington Metro Area (02-14-02-08);

(4)

The Deer Creek Watershed in the Lower Susquehanna River Basin (02-12-02-02);

(5)

The Sassafras River Watershed in the Elk River Basin (02-13-06-10);

(6)

The following watersheds in the Chester River Basin:

(a)

Miles River (02-13-05-02);

(b)

Wye River (02-13-05-03);

(c)

Middle Chester River (02-13-05-09);

(d)

Upper Chester River (02-13-05-10);

(7)

The following watersheds in the Pocomoke River Basin:

(a)

Nassawango Creek (02-13-02-05);

(b)

Lower Pocomoke River (02-13-02-02);

(c)

Manokin River (02-13-02-08);

(d)

Upper Pocomoke River (02-13-02-03);

(e)

Dividing Creek (2-13-02-04);

(8)

The following watersheds in the Choptank River Basin:

(a)

Upper Choptank (02-13-04-04);

(b)

Lower Choptank (02-13-04-03;

(c)

Tuckahoe Creek (02-13-04-05);

(9)

The following watersheds in the Nanticoke/Wicomico River Basin:

(a)

Lower Wicomico (02-13-03-01);

(b)

Nanticoke River (02-13-03-05);

(c)

Marshy Hope Creek (02-13-03-06);

(d)

Wicomico Creek (02-13-03-03);

(e)

Transquaking River (02-13-03-08);

(10)

The South Branch Patapsco Watershed in the Patapsco River Basin (02-13-09-08);

(11)

The following reservoir watersheds:

(a)

Loch Raven (02-13-08-05);

(b)

Prettyboy (02-13-08-06);

(c)

Liberty (02-13-09-07); and

(12)

All watersheds in the Patuxent River Basin (02-13-11-xx).

State Cost Share Funds Shall be Made Available Only in a Priority Area.

(1)

A priority area is an area:

(a)

Within a geographic area located within 1,000 feet of the surface waters of the State where critical conditions exist;

(b)

Within a geographic area located more than 1,000 feet from the surface waters of the State provided a severe agricultural pollution problem exists;

(c)

Outside a geographic area located within 1,000 feet of the surface waters of the State where critical conditions exist; or

(d)

Outside a geographic area located more than 1,000 feet from the surface waters of the State provided a severe agricultural pollution problem exists.

(2)

In determining the existence of critical conditions, the Department shall place emphasis on evidence that water runoff is carrying or has the potential to carry any pollutants from nutrients, sediment, animal wastes, or agricultural chemicals to the waters of the State. In addition, the Department shall consider the following criteria in designating a priority area:

(a)

Whether the area has a serious soil loss due to sheet, rill, gully, or wind erosion;

(b)

Whether the area has severely eroded soils as designated by erosion symbol 3 in the county soil survey;

(c)

Whether the area is designated as a land use capability class IIIe or higher, including all areas in class C slopes or greater, as designated by the county soil survey;

(d)

Whether the area is included in a land use capability subclass S, as designated by the county soil survey; and

(e)

Whether critical conditions exist near the surface waters of the State.

(3)

The following documents are incorporated by reference. They are available for review at each soil conservation district office. These documents are:

(a)

Soil Survey of Allegany County;

(b)

Soil Survey of Anne Arundel County;

(c)

Soil Survey of Baltimore County;

(d)

Soil Survey of Calvert County;

(e)

Soil Survey of Caroline County;

(f)

Soil Survey of Carroll County;

(g)

Soil Survey of Cecil County;

(h)

Soil Survey of Charles County;

(i)

Soil Survey of Dorchester County;

(j)

Soil Survey of Frederick County;

(k)

Soil Survey of Garrett County;

(l)

Soil Survey of Harford County;

(m)

Soil Survey of Howard County;

(n)

Soil Survey of Kent County;

(o)

Soil Survey of Montgomery County;

(p)

Soil Survey of Prince George's County;

(q)

Soil Survey of Queen Anne's County;

(r)

Soil Survey of St. Mary's County;

(s)

Soil Survey of Somerset County;

(t)

Soil Survey of Talbot County;

(u)

Soil Survey of Washington County;

(v)

Soil Survey of Wicomico County; and

(w)

Soil Survey of Worcester County.

A landowner who engages in an agricultural operation is eligible to receive cost share assistance for the preparation and the implementation of a nutrient management plan project provided that landowner is a State-certified nutrient management consultant or uses technical assistance from a private State-certified and licensed nutrient management consultant.

Any nutrient management plan project shall comply with the following:

(1)

If the person is using commercial fertilizer, as defined by Agriculture Article, §6-201(f), Annotated Code of Maryland, the plan shall be based on both nitrogen and phosphorus as limiting nutrients; or

(2)

If the person is using animal manure, the plan:

(a)

May be based on nitrogen as the only limiting nutrient if developed before July 1, 2004; and

(b)

Shall be based on phosphorus as the limiting nutrient in accordance with COMAR 15.20.07.

A person receiving cost share assistance for nutrient management plan development shall implement the plan in accordance with deadlines set forth in COMAR 15.20.07.04.

Regulation .04 Application Procedures.Link Copy Citation

A person may apply for cost sharing funds for a project on a Departmental request form provided by each local district.

Upon request by the applicant, the district shall complete a project technical determination form which shall include an approximate project cost figure. For projects other than nutrient management plans, the district shall recommend whether a critical condition exists on a farm. Cost figures for nutrient management plan development may be calculated by a State-certified and licensed nutrient management consultant using State-designated flat rates.

The district shall forward both forms to the Department for review.

Regulation .05 Application Review and Approval.Link Copy Citation

The Department to Approve or Disapprove an Application.

(1)

If the Department approves a project, it shall base the amount of State cost sharing on:

(a)

The existence of a critical condition;

(b)

Water quality improvements to be achieved, with consideration given to the cumulative effect of other projects on the same body of water;

(c)

Excepting riparian forest buffers, riparian herbaceous cover, wetland restoration, or pasture management, the estimated reduction of soil loss;

(d)

The estimated reduction of pollution from animal waste;

(e)

The estimated economic benefit to the participating farmer from use of the best management practice;

(f)

Use of the most cost-effective best management practice;

(g)

For pasture management, the applicable rate established by the U.S. Department of Agriculture’s Environmental Quality Incentives Program; and

(h)

For the planting of multiple species of cover crops, the rate shall equal or exceed the rates paid for the planting of a single species of cover crop.

(2)

The Department shall disapprove an application for any of the following reasons:

(a)

The applicant seeks to reestablish agricultural practices which have deteriorated due to the negligence or mismanagement of an applicant;

(b)

The applicant seeks funding for a conservation practice that does not:

(i)

Address a natural resource concern identified by the U.S. Department of Agriculture’s Natural Resources Conservation Service; or

(ii)

Result in an improved conservation benefit;

(c)

The application is incomplete or does not comply with these regulations;

(d)

The applicant's land is not a farm or is not used for agricultural purposes;

(e)

The application is for a farm where a critical condition does not exist;

(f)

The application is for a project which is already under construction; or

(g)

No available funds.

Within 30 days, the Department shall notify both the applicant and the district if an application is approved, and the applicant shall be notified of the estimated State cost sharing amount for the project and the applicant's required matching amount.

Regulation .06 Technical Assistance by the District.Link Copy Citation

Upon application approval and notice by the Department, the applicant shall request the district to prepare or approve all design, construction, maintenance, or other plans for the project. The district shall provide any necessary layout and construction supervision. The district shall prepare a technical report along with its final estimate of project cost and send it to the applicant and to the Department.

Regulation .07 Cost Sharing Agreement.Link Copy Citation

After a technical report of the project has been submitted to the Department by the district, the Department, with the approval of the Board of Public Works (when proceeds of State bonds are used to finance the State share), the district and the applicant shall execute an agreement. The agreement, among other things, shall obligate the applicant to:

(1)

Establish, construct, or install one or more best management practices in accordance with district technical specifications;

(2)

Maintain the best management practice for its expected life span;

(3)

Bind any successor in title for the life of the project as specified in the agreement;

(4)

Provide any required funds for the project; and

(5)

Grant the Department, if it requests, a security interest in any equipment, structures, or similar items purchased with State cost sharing funds.

Before the Department executes a cost sharing agreement with a farm tenant, it shall obtain the consent of the landlord to the terms and conditions of the agreement.

Regulation .08 Project Establishment.Link Copy Citation

After all parties execute a cost sharing agreement, and upon notice to the local district by the applicant, an applicant shall begin the approved project.

The applicant shall be responsible for all steps in completing the project, including, but not limited to, obtaining any necessary permits and the services of contractors, or obtaining any necessary materials or equipment to complete project construction.

The applicant shall provide the Department with a copy of the nutrient management plan immediately upon its final preparation when submitting a claim for payment for cost share assistance.

Regulation .09 Project Supervision.Link Copy Citation

A district shall periodically inspect the construction or installation of any project to ensure that it complies with district technical specifications.

An applicant shall agree to allow district, Department, and U.S. Department of Agriculture—Natural Resource Conservation Service representatives reasonable access to the project site for the purpose of site inspection and for reviewing the applicant's project records.

In order to verify implementation of the nutrient management plan project, the applicant shall agree to allow a Department representative access to the:

(1)

Project site; and

(2)

Applicant's project records.

Regulation .10 Distribution of Cost Sharing Funds.Link Copy Citation

A person who executes a cost sharing agreement shall do all of the following before making a claim for payment to the Department:

(1)

A person shall document all eligible costs on an itemized statement and submit it to the district for approval. Each itemized cost shall be supported by payment receipts or unpaid invoices from vendors. Each receipt shall be signed by the person who executes a cost share agreement and certified that each cost is true and correct to the best of that person's knowledge;

(2)

Each payment receipt or unpaid invoice shall show the following:

(a)

Vendor, or vendors names;

(b)

Type of material, labor, or equipment used on the project; and

(c)

The unit cost paid for the item, the total amount paid to the vendor, and the date payment was received.

(3)

The total amount of any claim for payment shall be shown clearly on a separate line on the face of the receipt. If receipts include items which were not used on the approved project, a person shall delete those items and adjust any total on the receipt.

After a project has been completed, a person shall complete a departmental claim for payment form, which is available from a district.

The district shall certify to the Department that the project meets all applicable standards and specifications. The district shall also certify to the Department that a person's claim for payment properly represents all eligible costs. Only a State-certified nutrient management consultant may certify that a nutrient management plan meets all applicable standards and specifications.

The Department shall distribute cost sharing funds only after it has determined that the project or best management practice has been established, or in the case of equipment, structures, or similar items, that it has been received and properly installed.

Distribution.

(1)

General Rule. The Department may distribute cost sharing funds for a project up to 100 percent of eligible costs, subject to the restrictions in §E(2)—(4) of this regulation.

(2)

Single Projects Other than Animal Waste Storage or Treatment Projects. The payment made under this program for a single non-waste storage or treatment project not covered by a pooling agreement may not exceed $150,000, and the payment for a single non-waste storage or treatment project covered by a pooling agreement may not exceed $200,000.

(3)

Animal Waste Storage or Treatment Projects.

(a)

The payment made under this program for a single animal waste storage or treatment project may not exceed $200,000.

(b)

The total payment made for all animal waste storage or treatment projects located on a farm or farms that a person owns or operates or in which the person has a controlling interest may not exceed $450,000 whether the person installed the project or a predecessor-in-title installed the project. This rule does not apply to an animal waste storage or treatment project that is no longer subject to an active agreement with the Department.

(c)

The payment for an animal waste storage or treatment project:

(i)

Shall address an existing resource concern; and

(ii)

If it is for a start-up poultry or livestock operation or the expansion of a poultry or livestock operation, may not exceed 50 percent of the eligible cost.

(4)

Nutrient Management Plans. The payment made under this program for a nutrient management plan may be for up to 87-1/2 percent of eligible costs which may include soil, plant tissue, and manure analysis. Payment made for the nutrient management plan project is not included in the maximum total cost share allowed per person.

If total cost sharing funds available from all sources exceed the State's maximum cost share rate for a project, the State's share shall be adjusted or prorated so as not to exceed the State's rate.

If actual costs are less than the estimated costs contained in the agreement, the payment may not exceed the cost share rate based on the actual costs.

If actual costs are more than the estimated costs contained in the agreement, the payment may be based on the actual cost if the Department approves the overrun and if funds are available.

Payment may be made either to the person when the person has advanced money, or directly to a vendor or contractor in accordance with the agreement.

Regulation .11 Project Monitoring.Link Copy Citation

After the Department has distributed cost sharing funds, the district or the Department shall monitor projects to see if they are maintained in accordance with the agreement. Any violations shall be reported by the district to the Department.

The district shall maintain a complete record of technical assistance provided to persons under the cost sharing program. These records will be available to the Department upon request.

Regulation .12 Failure to Establish or Maintain Best Management Practices.Link Copy Citation

If a person fails to establish, install, construct, or maintain a best management practice in accordance with any agreement executed with the Department, that person shall be liable for the full amount of State cost sharing funds paid for any practice that was not implemented or maintained. However, a person is not liable for inadequate maintenance or destruction of a best management practice if caused by an act of nature that could not be reasonably anticipated.

Chapter 06. Correction or Amendment of Public Records

Regulation .01 Scope.Link Copy Citation

This chapter sets out procedures under which a person in interest may request the correction or amendment of public records of the Maryland Department of Agriculture.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Act” means the Public Information Act, General Provisions Article, §§4-101—4-601, Annotated Code of Maryland.

(2)

“Applicant” has the meaning stated in General Provisions Article, §4-101(b), Annotated Code of Maryland.

(3)

“Custodian has the meaning stated in General Provisions Article, §4-101 (d), Annotated Code of Maryland.

(4)

“Department” means the Department of Agriculture.

(5)

“Person in interest” has the meaning stated in General Provisions Article, §4-101(g), Annotated Code of Maryland.

(6)

“Public record” has the meaning stated in General Provisions Article, §4-101(j), Annotated Code of Maryland.

(7)

“Secretary” means the Secretary of Agriculture.

Regulation .03 Who May Request.Link Copy Citation

A person in interest may request that the Department correct or amend any public record that:

The Department keeps; and

The person in interest is authorized to inspect.

Regulation .04 Contents of Request.Link Copy Citation

A person in interest shall make a request to correct or amend a public record in writing.

The request shall:

(1)

Identify the public record to be corrected or amended;

(2)

State the precise correction or amendment requested;

(3)

State the reason for the correction or amendment; and

(4)

Include a statement that, to the best of the requester’s belief, the public record is inaccurate or incomplete.

Regulation .05 Addressee.Link Copy Citation

A request to correct or amend a public record shall be addressed to the custodian of the record. If the custodian is unknown, the request may be addressed to the Secretary.

Regulation .06 Return of Nonconforming Request.Link Copy Citation

The Department shall accept a request to correct or amend a public record when it is received if it reasonably complies with Regulations .04 and .05 of this chapter.

If the request does not reasonably comply with Regulations .04 and .05 of this chapter, the Department shall return the request to the requester with:

(1)

An explanation of the reason for the return; and

(2)

A statement that, on receipt of a request that reasonably complies with Regulations .04 and .05 of this chapter, the request will be accepted.

Regulation .07 Response to Request.Link Copy Citation

Within 30 days after the Department receives a request for correction or amendment that reasonably complies with Regulations .04 and .05 of this chapter, the custodian shall:

Make the requested correction or amendment, and inform the requester in writing of the action; or

Inform the requester in writing that the Department will not:

(1)

Make the requested correction or amendment, and the reason for the refusal; or

(2)

Act on the request because:

(a)

The requester is not a person in interest;

(b)

The requestor is not authorized to inspect the record; or

(c)

Of any other reason authorized by law.

Regulation .08 Refusal of Request.Link Copy Citation

If the Department refuses to make a requested correction or amendment, a person in interest may file with the Department a concise statement of the reasons for:

The requested correction or amendment; and

The person’s disagreement with the refusal of the Department to make the correction or amendment.

Regulation .09 Requirements for Statement of Disagreement.Link Copy Citation

The statement submitted under Regulation .08 of this chapter shall:

Be on pages no larger than 8.5 x 11 inches in size;

Use only one side of each page; and

Consist of no more than five pages.

Regulation .10 Provide Statement of Disagreement.Link Copy Citation

If a person in interest files a statement of disagreement concerning a public record under Regulations .08 and .09 of this chapter, the Department shall provide a copy of the statement whenever the Department discloses the public record to a third party.

Regulation .11 Administrative Review.Link Copy Citation

person may request administrative review under this regulation if the Department:

(1)

Has refused the person’s request to correct or amend a public record under Regulation .07 of this chapter;

(2)

Has rejected the person’s statement of disagreement under Regulation .08 of this chapter; or

(3)

Has not provided a statement of disagreement to a third party under Regulation .10 of this chapter.

A request for review shall be filed with the Secretary within 30 days after the requester is advised of the Department’s action.

The review proceedings shall be conducted in accordance with State Government Article, Title 10, Subtitle 2, Annotated Code of Maryland, and the administrative hearing regulations of the Department.

Chapter 07. Aquaculture Grant Program

Regulation .01 General.Link Copy Citation

These regulations explain the Aquaculture Grant Program.

Regulation .02 Purpose.Link Copy Citation

The purpose of the Aquaculture Grant Program is to provide matching funds for wastewater facilities for private aquaculture operations. This program will help Maryland aquafarmers design and construct devices that will reduce wastewater discharge or treat effluent to comply with water quality standards established by the Maryland Department of the Environment and the federal Environmental Protection Agency.

Regulation .03 Who May Apply.Link Copy Citation

A person with an aquaculture project that meets the program objectives as contained in this chapter may apply to the Department for a matching aquaculture grant.

Regulation .04 Application Contents.Link Copy Citation

An application shall contain the following, with each section beginning on a separate sheet of paper:

(1)

Title page, which shall contain the following:

(a)

The project title;

(b)

The requested grant amount;

(c)

A statement of the funding phase, that is, design and testing, or construction and use;

(d)

The county where the aquaculture project is located; and

(e)

The applicant's name and signature, address and phone number, or name and signature of the applicant's authorized representative, if any.

(2)

Project description, which shall include:

(a)

The project's objective;

(b)

A short, general summary, of approximately 300—400 words, of the proposed project;

(c)

The project's design description, including drawings, as appropriate;

(d)

How the project will be operated and tested to meet the program objective or objectives as provided in Regulation .05A(1)(c) of this chapter;

(e)

An identification of the way in which the wastewater will be discharged and where, including the body of water, if any, receiving the wastewater;

(f)

Any other information the applicant believes necessary for the Department's complete review of the proposed project.

(3)

Project Budget.

(a)

The applicant shall contribute at least 50 percent to the cost of any project.

(b)

The application shall contain a proposed budget for the project, identifying all sources and uses of money, and the estimated value of the applicant's other contributions to the cost of the project, such as goods and labor.

(c)

An applicant's labor contribution shall be based on the value of any salary paid for necessary labor, including benefits.

(d)

Any contribution of equipment shall be for equipment necessary for the project.

(e)

The applicant shall provide the Department with budget information in the following areas:

(i)

Labor;

(ii)

Travel;

(iii)

Equipment;

(iv)

Testing; and

(v)

Other necessary costs for the project.

(f)

The budget shall include a proposed beginning and an ending date for the project.

(4)

Resumes.

(a)

Each applicant shall include a resume, and resumes of key personnel involved in the project.

(b)

All resumes shall include the educational background and the experience of the applicant and key personnel as these relate to the project.

An applicant shall submit the application to the Maryland Department of Agriculture, Aquaculture Office, 50 Harry S Truman Parkway, Annapolis, Maryland 21401.

Regulation .05 Application Review and Approval.Link Copy Citation

The Department shall approve or disapprove an application as follows:

(1)

The Department shall approve projects in the order in which applications are received, if funds are available, and if in the Department's judgment:

(a)

The scientific and engineering objectives of the project are reasonable;

(b)

The technological aspects of the project are appropriate and feasible;

(c)

Project plans are adequate to fulfill one or more of the following grant program objectives:

(i)

Water conservation,

(ii)

Water recirculation,

(iii)

Nutrient discharge reduction,

(iv)

Solids reduction,

(v)

Thermal pollution abatement;

(d)

The applicant agrees to pay at least 50 percent of the cost of an aquaculture project.

(2)

The Department shall disapprove an application for any of the following reasons:

(a)

The application is incomplete or does not comply with these regulations.

(b)

Funds are not available. Any application disapproved for this reason may be held for consideration by the Department for the next fund cycle.

The Department shall notify the applicant if an application is approved or disapproved. If the application is approved, the applicant shall be notified of the amount of the State grant for the project and the applicant's required matching amount.

Regulation .06 Grant Agreement.Link Copy Citation

Upon approval of an application by the Department, the applicant shall execute an agreement. The agreement, among other things, shall obligate the applicant to:

Establish and operate an aquaculture project according to project specifications;

Provide any required funds for the project;

Bind any successor in title for the life of the project;

Maintain records as required;

Allow the Department to monitor the project to determine that the project is constructed and operated in accordance with any agreement.

Regulation .07 Distribution of Grant.Link Copy Citation

The Department may disburse funds for a project up to 50 percent of eligible costs or $15,000, whichever is less.

Grant funds shall be distributed as follows:

(1)

One third of the grant shall be awarded to the applicant following the execution of the cost-sharing agreement.

(2)

One third of the grant shall be awarded to the applicant when the project begins operation. The Department shall verify the operation before payment.

(3)

One third of the grant shall be awarded to the applicant following receipt of a project final report prepared by the applicant. The final report shall contain:

(a)

An evaluation of the degree to which the project meets grant program objectives as provided in Regulation .05A(1)(c), including test results;

(b)

An accounting of the disbursement of all funds with an itemized list of costs associated with the project;

(c)

The date and the signature of the applicant certifying that the information presented is true and correct to the best of that person's knowledge.

If actual costs are less than the estimated costs contained in the agreement, the payment may not exceed the cost share rate based on the actual costs.

If actual costs are more than the estimated costs contained in the agreement, the payment may be based on the actual cost if the Department approves the overrun and if funds are available.

Regulation .08 Project Monitoring.Link Copy Citation

After the Department has distributed funds, the Department shall monitor projects to see if the projects are in accordance with the agreement.

Regulation .09 Failure to Establish or Operate a Project.Link Copy Citation

If a person fails to establish or operate a project in accordance with any agreement executed with the Department, that person shall be liable for the full amount of State funds paid for any project that was not implemented.

Chapter 08. Conflicts of Interest Policy for Employees Who Own or Operate a Farm

Regulation .01 Scope.Link Copy Citation

The Maryland Department of Agriculture's State agriculture programs benefit from the specialized knowledge of employees who own or operate a farm. This chapter explains the Department's policy governing conflicts of interest relating to financial interest and secondary employment for employees who work for the Department and at the same time own or operate a farm that is subject to the Department's regulatory authority.

Regulation .02 Required Employee Disclosure.Link Copy Citation

An individual who applies for employment, or who is employed by the Department, shall disclose whether that individual or employee owns, has an ownership interest in, or operates a farm.

Regulation .03 Employment Participation Restrictions.Link Copy Citation

A Department employee may not participate, as a part of that employee's duties, in any of the following matters if that participation in any way affects the employee's farm, or a farm that directly competes for business with the employee's farm operation:

Any contract with the Department;

Any regulatory or enforcement action;

Any Department program that controls, or in any way regulates the employee's farm operation; or

Any matter that will have a direct and predictable effect on the employee's financial interest in the employee's farm operation, including such a matter involving:

(1)

The employees' spouse, or immediate family;

(2)

An outside employer or prospective employer of the employee;

(3)

An organization in which the employee serves as an officer, director, or general partner; or

(4)

Any person with whom the employee has or seeks a business, contractual, or other financial relationship.

Regulation .04 Ethics Law Restrictions.Link Copy Citation

Any Department employee who owns or operates a farm is subject to all applicable provisions of the Ethics Law.

For example, the Ethics Law, in part, prohibits employees from participating in matters in which the employee or a relative has a financial or other interest under State Government Article, §15-501, Annotated Code of Maryland.

The Ethics Law contains restrictions on:

(1)

Post-employment, under State Government Article, §15-504, Annotated Code of Maryland;

(2)

Gifts, under State Government Article, §15-505, Annotated Code of Maryland; and

(3)

Procurement, under State Government Article, §15-508, Annotated Code of Maryland.

The Ethics Law precludes employees from intentionally using the prestige of their position to benefit themselves or others, under State Government Article, §15-606, Annotated Code of Maryland, and State Government Article, §2-307, Annotated Code of Maryland.

The Ethics Law precludes disclosure or use of confidential information acquired by reason of the employee's public position and not yet available to the public:

(1)

For personal economic benefit; or

(2)

For the economic benefit of another, unless the confidential information is released in the discharge of an official duty, under State Government Article, §15-507, Annotated Code of Maryland.

In accordance with State Government Article, §15-601, Annotated Code of Maryland, employees may be subject to financial disclosure provisions and may be required to file annual statements if identified as being required to file under that section.

Regulation .05 Department Responsibilities.Link Copy Citation

The Department is responsible for:

Making each employee aware of the requirements of this chapter;

Ensuring that each employee who has an outside farm business acknowledges that the employee has read and agrees to be bound by the requirements of this chapter;

Ensuring that each employee subject to this chapter has executed a nonparticipation agreement with the Department that requires the employee to designate a representative to interact with the Department on matters involving the employee's farming business, and directs the employee to acknowledge that the employee may not participate in any way in any decision regarding any complaint or question regarding their farming business;

Keeping records for each employee who is subject to the requirements of this chapter; and

Monitoring and enforcing employee compliance with the requirements of this chapter.

Regulation .06 Noncompliance.Link Copy Citation

An employee who violates this chapter is subject to disciplinary action, including termination from State service.

Regulation .07 Reports to the Ethics Commission.Link Copy Citation

The Department shall provide copies of applicable nonparticipating agreements, and provide annual reports to the State Ethics Commission on the number of employees hired by the Department during any year who own or operate a farm that is subject to the Department's regulatory authority.

Regulation .08 Report to the General Assembly.Link Copy Citation

On or before December 31, 2010, the Maryland Department of Agriculture and the State Ethics Commission shall jointly prepare and submit a report to the General Assembly, in accordance with State Government Article, §2-1246, Annotated Code of Maryland that includes:

The number of employees hired by the Department, on or after October 1, 2007, who own or operate a farm;

The positions for which the employees identified in this regulation were hired; and

Information on how the Department addressed any conflict of interest or potential conflict of interest in hiring the employees identified in this regulation.

Chapter 09. Advertising Agricultural Products as Local or Locally Grown

Regulation .01 Purpose.Link Copy Citation

The purpose of this chapter is to require a person who advertises a particular agricultural product as local or locally grown to disclose certain information about the particular product. It applies to any person who, in advertising a particular agricultural product for sale in this State, represents the particular product to be local or locally grown, including, but not limited to, wholesalers, retail stores, farmers markets, and restaurants.

The purpose of the disclosure is to allow a consumer to make his or her own determination as to whether an agricultural product advertised as local conforms to the consumer’s own definition of local or locally grown.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Advertise” means to publish, circulate, disseminate, or place before the public in any way or through any medium.

(2)

“Agricultural product” means raw meat, eggs, fish, fruits, vegetables, shellfish, and processed dairy products, intended for human consumption..

(3)

“Person” includes an individual, association, partnership, corporation, or any other business entity, or an agent or employee of an individual or entity.

(4)

“Secretary” means the Secretary of Agriculture or the Secretary’s designee.

Regulation .03 Prohibition and Disclosure Statement.Link Copy Citation

A person may not advertise a particular agricultural product for sale as local or locally grown, or use any term that may lead a consumer to believe that the product is local or locally grown, including the term “regional”, unless the advertisement includes a disclosure of the place of origin, naming the state where the product was originally grown or raised, or in the case of fish or shellfish, the state where the product was raised or landed.

Regulation .04 Posting of Disclosure Statement.Link Copy Citation

A person who is subject to the requirements of this chapter shall post in a clear and conspicuous manner the disclosure statement required by Regulation .03 of this chapter so that it can be seen easily by the consumer before the consumer buys or consumes the product about which the disclosure is made.

A person subject to this chapter shall post the disclosure statement required by Regulation .03 of this chapter with or immediately adjacent to any advertisement representing that the product is local or locally grown.

If products sourced from different states of origin are intermingled for sale under a single advertisement, a person subject to this chapter shall post the disclosure statement required by Regulation .03 of this chapter for each state from which the intermingled products originated.

Regulation .05 Documentation Requirement.Link Copy Citation

Upon request by the Secretary, a person subject to the requirements of this chapter shall provide the Secretary with documentation that shows the state of origin for any agricultural product advertised for sale as local or locally grown.

Regulation .06 Penalty.Link Copy Citation

A person who knowingly violates this chapter is guilty of a misdemeanor and is subject to a penalty provided in Agriculture Article, Title 12, Annotated Code of Maryland.

Chapter 10. Spay/Neuter Grant Program

Regulation .01 Purpose.Link Copy Citation

This chapter explains the requirements of the Spay/Neuter Grant Program. The purpose of this program, administered by the Maryland Department of Agriculture, is to reduce animal shelter overpopulation and cat and dog euthanasia rates by financing grants to local governments and animal welfare organizations for programs that most efficiently and effectively facilitate and promote spay and neuter services for cats and dogs.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Animal welfare organization” means a not-for-profit organization established to promote animal welfare that has received tax exempt status under 501(c)(3) of the U.S. Internal Revenue Code and is registered to do business in Maryland.

(2)

“Department” means Maryland Department of Agriculture.

(3)

“Fund” means the Spay/Neuter Fund.

(4)

“Project” means an action plan that the applicant agrees to follow for spay and neuter services for cats and dogs.

(5)

“Spay/Neuter Advisory Board” means the Spay/Neuter Advisory Board of the Department.

Regulation .03 Who May Apply for Grants.Link Copy Citation

Only the following may apply for a grant under this chapter:

A municipal or county government; or

An animal welfare organization.

Regulation .04 Grant Application Contents.Link Copy Citation

A qualified applicant who applies for a grant shall apply on a departmental form that includes, among other things, the following:

The project title;

The applicant’s name and contact information;

The qualifications of the applicant and the personnel who will work on the project, including veterinary services, if applicable;

The amount of the grant requested; and

A project description, which shall include:

(1)

The project’s objectives and expected outcomes;

(2)

A work plan and budget summary of the proposed project;

(3)

How the project meets the purposes of the Fund and the requirements of the grant; and

(4)

Any additional information required by the Department.

Regulation .05 Application Review and Approval.Link Copy Citation

The Department shall solicit one or more times annually, depending on available funding, competitive grant proposals to facilitate the delivery of spay and neuter services. It is the Department’s intent to select the best proposals that most efficiently and effectively facilitate and promote the provision of those services and target low-income communities and populations to the maximum extent possible.

The Department shall provide guidelines and detailed instructions for submitting a proposal for the Department’s consideration.

The Department shall rank applications based on the following:

(1)

The Department shall rank eligible applications and select for funding those that most effectively and efficiently achieve the purpose of the Fund; and

(2)

In determining which projects to fund, the Department will consider:

(a)

How low-income communities and populations are targeted and how the goal of reaching those communities and populations will be accomplished;

(b)

How well the project proposal identifies and assesses the need for additional spay and neuter services in the targeted community or population, and how effectively and efficiently the project will meet that need;

(c)

Whether a proposal targeting feral cat populations violates local law;

(d)

How the project proposal identifies and meets the need to promote spay/neuter services to the targeted population or community through education and outreach;

(e)

The extent to which the project increases the number of spay/neuter procedures in Maryland and impacts animal shelter over-population and cat and dog euthanasia rates;

(f)

The expected project results relative to the amount of funds requested;

(g)

The qualifications and experience of the applicant and the individuals who will be responsible for implementing the project; and

(h)

The recommendations of the Spay Neuter Advisory Board.

Regulation .06 Grant Agreement.Link Copy Citation

Upon approval of a grant application by the Department, the applicant on a Departmental form, shall execute a grant agreement that, among other things, requires the applicant to:

Establish and operate the project according to the project description;

Maintain and provide records and reports as required to the Department; and

Use grant funds for only those activities provided in the approved project application.

Regulation .07 Distribution of Grant.Link Copy Citation

The Department shall distribute grants, unless otherwise provided in the grant agreement, as follows:

50 percent of the grant will be disbursed after receipt of an executed grant agreement and after receipt of any required documentation; and

The remaining 50 percent of the grant will be disbursed after receipt of the 2nd quarter report that is due 180 days after the grant cycle begins.

Regulation .08 Project Monitoring and Reporting.Link Copy Citation

The recipient of a spay/neuter grant shall:

(1)

Keep and maintain complete and accurate records of all activities connected with the grant;

(2)

Report relevant information to the Department on how the grant was used to date, including data on the number and type of spay or neuter procedures performed, and such other information as requested by the Department;

(3)

Submit a final report, to the Department, both narrative and financial, within 30 days after the conclusion of the grant cycle, or upon completion of the project, whichever comes first. The final report shall be in a form as required by the Department, and shall include:

(a)

Data on the number of spay and neuter procedures performed under the grant;

(b)

A description of any public education and outreach efforts implemented;

(c)

An evaluation of the degree to which the project’s objectives and expected outcomes were met;

(d)

A detailed accounting of the disbursement of all funds; and

(e)

Any other information required by the Department; and

(4)

Notify the Department in writing immediately of any significant change to the grant application or any funded grant activity.

Failure to report as required by this regulation may jeopardize future grants to the grant recipient, and may result in the grant recipient being required to repay current grant funds.

Regulation .09 Penalties.Link Copy Citation

If the Department determines that the grant recipient has violated the grant agreement or that grant funds have not been used for their intended purpose as provided in the grant agreement, the Department may:

Discontinue any future grant payments;

Require the grant recipient to repay immediately to the Department the full amount of the grant, or a portion of the grant; and

Deny any future grant eligibility to the grant recipient.

Regulation .10 Spay/Neuter Fund.Link Copy Citation

Any person who registers a commercial feed under Agriculture Article, §6-107, Annotated Code of Maryland, that is prepared and distributed for consumption by a cat or dog shall:

(1)

Pay to the Department for use in the spay/neuter fund, the following fees for each registered brand or product:

(a)

From October 1, 2013, through September 30, 2014, inclusive — $50;

(b)

From October 1, 2014, through September 30, 2015, inclusive — $75; and

(c)

After September 30, 2015 — $100; and

(2)

Declare on each application for registration that the product is prepared and distributed for consumption by a cat or dog.

Any person who fails to pay any fees required by this regulation is subject to the standards, policies, and procedures for the collection of claims of the State pursuant to COMAR 17.01.01.

Chapter 11. Animal Shelters — Minimum Standards of Care

Regulation .01 Purpose.Link Copy Citation

The purpose of this chapter is to set forth minimum standards of care for the following animal shelters that keep dogs and cats:

A shelter that is owned by a county or municipality;

A shelter that a county or municipality contracts with for animal control services; or

A shelter that has received a grant from the Maryland Spay and Neuter Grants Program during the previous year.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Animal” means a dog or a cat that is kept temporarily or permanently at an animal shelter.

(2)

“Animal enrichment” means providing an animal with social contact, mental stimulation, physical activity and other activities that allow the animal to demonstrate species typical behavior and enhanced well-being.

(3)

“Animal shelter” or “shelter” means a physical structure that provides temporary or permanent housing for animals and is owned by a local government, or by an organization that counties or municipalities contract with for animal control services, or by an organization that shelters animals and received a grant from the Maryland Spay and Neuter Grants Program during the previous year.

(4)

“Department” means Maryland Department of Agriculture.

(5)

“Drop box” means an unattended receptacle where live animals can be placed by the public for later shelter intake.

(6)

“Fully clean” means to disinfect an area or an item with chemical agents that kill harmful micro-organisms.

(7)

“Primary animal enclosure” means any structure used consistently to restrict an animal to a limited amount of space, such as a room, pen, crate, cage, kennel, or compartment.

(8)

“Responsible individual” means the shelter’s responsible individual as defined by COMAR 15.14.04.06.

(9)

“Run” or “dog run” means a dedicated area, either indoors or outdoors, that is enclosed by a fence or gate, where dogs may move about untethered and unleashed.

(10)

“Spot clean” means to clean only a stain or spot and generally involves using mild cleaning agents, such as soaps and detergents.

(11)

“Transport carrier” means a portable enclosure designed to temporarily contain an animal that is being transported from one location to another.

(12)

“Veterinarian” means a veterinarian who is licensed, registered and in good standing with the Maryland State Board of Veterinary Medical Examiners.

Regulation .03 Animal Shelter Buildings.Link Copy Citation

The responsible individual shall ensure that the shelter is a safe, structurally sound, and sanitary building that meets the following standards:

A shelter may not have any structural defects that could cause injury to animals or staff members handling animals;

Surfaces in animal areas, such as floors, junctions, walls, doors, shall be made of nonporous material that can easily be disinfected;

Ceilings shall be kept in good condition without leaks;

All areas where animals are present shall have adequate ventilation and be kept between 60—80 degrees F;

By July 1, 2019, all rooms where animals are housed shall have a fire alarm system that will alert authorities of fire or heavy smoke;

A shelter shall have written policies and protocols in place to maintain adequate capacity to prevent and eliminate overcrowding; and

Upon request, a shelter shall allow the Department to inspect the premises for compliance with this chapter.

Regulation .04 Primary Animal Enclosures.Link Copy Citation

The responsible individual shall ensure that any primary animal enclosure is structurally sound and maintained in a safe, working condition at all times; and that it enables animals to remain dry, clean, and shielded from extreme temperatures and weather conditions.

A primary animal enclosure shall meet the following standards:

(1)

A primary animal enclosure shall provide sufficient space to allow each animal, regardless of size, to:

(a)

Hold their tails erect and their heads high when in a normal standing position;

(b)

Turn freely and easily stand, sit, stretch, and move their head, without touching the top of the enclosure;

(c)

Lie in a resting position with limbs extended; and

(d)

Move about and assume a comfortable posture for feeding, drinking, urinating, or defecating;

(2)

Food, water bowls, and any other items in the primary animal enclosure may not impede the animal’s ability to stretch out;

(3)

A primary enclosure shall allow any animal to sit, sleep, and eat away from areas of its enclosure where it may defecate or urinate;

(4)

Latches or other closing devices on a primary animal enclosure shall be secure enough to keep the animal in the enclosure, keep other animals out of the enclosure, and prevent injury, while allowing personnel to easily open the enclosure from the outside and, where applicable, from inside the enclosure;

(5)

A primary enclosure, temporary enclosure, and transport carriers that compromise the safety of animals or that have been identified as needing repair are prohibited from being used for permanent or temporary animal housing;

(6)

Transport carriers may not be used as a primary enclosure;

(7)

All animals housed in outdoor areas, or allowed exercise time in outdoor areas, shall be provided with appropriate shelter from the elements; and

(8)

Drop boxes are prohibited except under the following conditions:

(a)

Each drop box shall have automatic locking doors that allow only one animal drop-off to be made at each box;

(b)

Bedding and shelter from the weather shall be provided in each drop box, and bedding shall be fully cleaned before and after every use;

(c)

Fresh food and water shall be provided in each drop box every night, and food bowls and water bowls must be fully cleaned before and after every use;

(d)

Security cameras shall be installed and periodically monitored by staff;

(e)

The shelter shall have written protocols in place to ensure that dropped off animals that appear to need medical treatment are examined by a veterinarian immediately; and

(f)

An animal may not remain in a drop box for more than 12 hours.

Regulation .05 Sanitation Practices.Link Copy Citation

The responsible individual shall ensure that the shelter building, primary animal enclosures, and all other areas where animals are kept are sanitary and regularly cleaned to reduce disease transmission among animals, protect public human health, increase animal comfort, and meet the following standards:

All primary animal enclosures, food bowls, and water bowls shall be fully cleaned before a new animal is placed in enclosures;

All animal bedding shall be fully cleaned before being used by a new animal and subsequently fully cleaned, as often as necessary;

All cages, food bowls, and water bowls shall be spot-cleaned daily and fully cleaned as necessary;

All floors, junctions, walls, doors, and drains shall be immediately sanitized and fully cleaned after coming into contact with feces, urine, vomit, or an animal known or suspected of having an infectious disease;

Only cleaners that are safe for animals shall be used to clean primary enclosures, transport carriers, exercise areas, or any area of the shelter where animals are present or likely to be present;

All chemicals shall be removed from the enclosure prior to placing an animal in the enclosure;

No animal or animal’s drinking water or water bowl shall be left in an enclosure while cleaning chemicals are being used;

The shelter building and runs shall be kept reasonably free of flies, fleas, mosquitoes, rats, mice, and other vectors or nuisance species;

All trash cans in areas of a shelter where animals are located shall have lids; and

Relevant shelter staff shall be trained in the shelters’ sanitation protocols, and a written record of that training shall be kept on-site and available for inspection.

Regulation .06 Medical Standards.Link Copy Citation

The responsible individual shall ensure that all animals are monitored, assessed, examined, and treated for medical conditions in a timely manner as follows:

A veterinarian shall supervise the medical care and medical treatment of all animals in an animal shelter;

Any surgeries shall be performed in accordance with the Maryland Veterinary Practice Act and in a facility currently licensed and registered by the State Board of Veterinary Medical Examiners;

Animal shelter staff shall observe animals daily for signs of illness or injury, and obtain treatment, as appropriate;

Clean water shall be provided to all animals at all times unless otherwise directed by a veterinarian;

All animals with parasites shall be treated immediately unless otherwise directed by a veterinarian;

Any animal appearing to be experiencing pain, suffering distress, rapidly deteriorating health, life-threatening problems, or suspected zoonotic disease shall be assessed by a veterinarian as soon as possible or euthanized to prevent further distress or suffering;

Any animal with a suspected zoonotic disease that does not appear to be experiencing pain, distress, or deteriorating health, but that poses a threat to human health and safety, shall be isolated by the shelter to limit exposure to other animals and people, and shall be assessed by a veterinarian immediately or as soon as possible;

Any animal that is observed to be experiencing mental suffering, distress, or behavioral deterioration shall be assessed and appropriately treated by a veterinarian in a timely manner or humanely euthanized by the shelter;

Animals that can be handled safely shall be provided with animal enrichment activities, whenever possible; and

Animal food that is more than 6 months past the “sell by” date shall not be provided to an animal.

Regulation .07 Equipment.Link Copy Citation

The responsible individual shall ensure that anyone working with animals, including a volunteer, has the equipment necessary to handle all situations in a safe and humane manner, including the following:

(1)

Adequate ear protection, gloves, and other safety equipment to all staff members who handle animals or clean cages; and

(2)

Equipment that allows staff to restrain animals as humanely as possible while ensuring the safety of both the animal and the handler.

Scanners and Microchip Readers. All animals shall be scanned within 24 hours of arrival at the shelter for microchips unless it is unsafe to do so. Scans shall also be performed prior to surgery, adoption, release to an owner, release to a rescue, and euthanasia.

Regulation .08 Record Keeping.Link Copy Citation

The responsible individual shall ensure that records are kept for each animal entering the shelter. Information shall include:

(1)

The animal’s species and unique identification number;

(2)

The estimated age of the animal;

(3)

Date of entry into the shelter;

(4)

Date and explanation of all treatments and medical procedures; and

(5)

Final disposition (date and type).

All shelters shall have active adoption programs with written protocols available for inspection, as defined in Agriculture Article, §2-1704, Annotated Code of Maryland.

Regulation .09 Civil Penalty.Link Copy Citation

The Department may impose a civil penalty on a shelter that violates the requirements of this chapter or Agriculture Article, §2-1704, Annotated Code of Maryland, which requires shelters to adopt a written protocol for reclaiming animals, up to $500 for each violation.

Before imposing any civil penalty under this chapter, the Department shall consider the following:

(1)

The nature and gravity of each violation;

(2)

The willfulness of the violation and the extent to which the existence of the violation was known to the shelter but uncorrected by the shelter; and

(3)

A history of prior violations, if any.

The Department shall issue a written notice of violation to the shelter owner upon finding that a violation has occurred or is ongoing. The written notice of violation shall include:

(1)

A statement of the regulation violated by the shelter;

(2)

A description of the evidence of a violation;

(3)

A statement informing the shelter of the right to an informal meeting with the Department;

(4)

The amount of the proposed civil penalty;

(5)

A statement of the remedial action necessary to bring the shelter into compliance; and

(6)

A reasonable amount of time, as determined by the Department, to correct a violation.

A shelter may petition the Department for a contested case hearing on a violation and penalty within 30 calendar days of the issuance of the notice of violation by the Department.

Unless a shelter requests a contested case hearing, the shelter shall promptly pay the penalty. Payment of a penalty is not a substitute for compliance. If the shelter continues to violate this chapter, the Department may impose additional civil penalties.

Chapter 12. Food Donation Program

Regulation .01 Purpose.Link Copy Citation

In cooperation with the Comptroller, this chapter explains the Secretary of Agriculture’s Food Donation Program, which provides a tax credit against the State income tax for eligible food donations made by a farm located in Maryland.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Certified organic produce” means an eligible food donation that is certified under Title 10, Subtitle 14 of the Agriculture Article as an organically produced commodity.

(2)

“Eligible food donation” means fresh farm products for human consumption.

(3)

“Qualified farm” means a farm business that is located in Maryland.

(4)

“Secretary” means the Secretary of Agriculture or the Secretary’s designee.

(5)

“Tax Credit Certificate Administrator” or “TCCA” means a person or an organization that is authorized under this chapter to receive eligible food donations.

Regulation .03 Income Tax Credit Limitations.Link Copy Citation

Subject to the limitations of this chapter, a qualified farm may claim a credit against State income tax for an eligible food donation in the amount stated on any tax credit certificate issued to a qualified farm by a qualified tax credit certificate administrator (TCCA).

The amount of tax credit claimed by a qualified farm is controlled by Tax-General Article, §10-745, Annotated Code of Maryland.

Unless increased by the Secretary, the aggregate amount of credits for any taxable year for a qualified farm may not exceed $5,000.

Regulation .04 Tax Credit Certificate Administrator.Link Copy Citation

General Requirements.

(1)

Unless certified by the Secretary, a person or organization may not act as a TCCA. A certified TCCA shall agree in writing with the Secretary to comply with requirements of this chapter.

(2)

A TCCA certified by the Secretary that receives an eligible food donation from a qualified farm shall issue the qualified farm a tax credit certificate (the Secretary, in consultation with the Comptroller, is required to prepare tax certificate forms) that provides the following information:

(a)

The date of donation;

(b)

The identity of the qualified farm;

(c)

The type of donation;

(d)

The weight of the donation;

(e)

The value of the donation;

(f)

The maximum amount of the tax credit for which the qualified farm is eligible; and

(g)

Any other information the State Department of Agriculture or Comptroller requires.

(3)

Within 30 calendar days after issuing a tax credit certificate, the certified TCCA shall provide a copy of the tax credit certificate to the Secretary and the Comptroller.

(4)

When notified by the Secretary, the TCCA shall stop issuing tax credit certificates as required by Tax-General Article, §10-745(e)(6)(i)1, Annotated Code of Maryland.

(5)

Procedures for Issuing a Fiscal Year's Remaining Tax Credit Certificates.

(a)

After the Secretary notifies each TCCA to stop issuing tax credit certificates when the total amount of the tax credit certificates issued during the fiscal year equals or exceeds $50,000, the Secretary may authorize the issuance of any remaining credits as provided in this regulation.

(b)

Within 20 days from receipt of the Secretary's notification, a TCCA may request written permission from the Secretary to issue additional tax credit certificates during the current fiscal year, specifying the dollar amount in additional tax credits it seeks to issue and the basis for that request (e.g., to support its request, the TCCA may be requested by MDA to provide information indicating the amount of food donations by type that it has received and is likely to receive from qualified farms during the current fiscal year, and other such records showing that its request is reasonable).

(c)

The Secretary shall review each timely request from a TCCA in conjunction with other timely requests and assess whether the basis for the request is reasonable.

(d)

If the total dollar amount of the requests received from all TCCAs does not exceed $50,000, the Secretary may permit each TCCA to issue tax credits up to the amount specified in its request and will notify each TCCA of its determination in writing.

(e)

If the total dollar amount of the requests received from all TCCAs exceeds $50,000, the Secretary shall strive to distribute the additional tax credits to each TCCA for food donations from qualified farms in a fair and equitable manner.

(f)

If a TCCA recognizes that it will be unable to issue the tax credits that the Secretary has authorized under either §A(5)(d) or (e) of this regulation, it shall immediately notify the Secretary who will strive to distribute these certificates in a fair and equitable manner to those TCCAs still in need of additional tax credits.

Tax Credit Value. The TCCA shall determine the value of the tax credit as follows:

(1)

A qualified farm that makes eligible food donations is eligible for a tax credit certificate with a stated tax credit amount equal to 100 percent of the value of eligible food donation.

(2)

A qualified farm that makes a donation of certified organic produce is eligible for a tax credit certificate with a stated tax credit amount equal to 100 percent of the value of the donated certified organic produce.

(3)

The TCCA shall determine the value of any eligible food donations based on the Secretary's weekly published categories and values of certified organic produce and food donations as required by Tax-General Article, §10-745(d), Annotated Code of Maryland.

Record Requirement.

(1)

The TCCA shall maintain any records relating to the issuance of any tax credit certificate to any qualified farm.

(2)

Any record shall be maintained for 3 years and shall be available to the Secretary or the Comptroller upon request.

Conflicts of Interest. A TCCA may not issue a tax credit certificate to any person who owns or operates a qualified farm if the TCCA has a business interest or is a family member of the owner or operator in the farm.

Regulation .05 Certification of Tax Credit Certificate Administrator.Link Copy Citation

An applicant who applies to serve as a Tax Credit Certificate Administrator shall apply to the Secretary on a departmental form and shall have the following qualifications:

Be a 501c3 nonprofit;

Have record-keeping capabilities (information systems) that include the date of the donation, farm name/farmer, type of fresh farm product, and volume in pounds of produce received;

Be certified in and comply with safe food handling practices and have been reviewed by an outside organization (i.e. health inspector, AIB certified);

Possess a scale certified by the Maryland Department of Agriculture that is calibrated on a quarterly basis;

Follow food safety regulations regarding storage and inventory; and

Have an established partner network for quick food distribution or distribute directly to clients.

Regulation .06 Application Review and Approval.Link Copy Citation

The Secretary shall review each application and certify the most qualified applicants who will best promote the objectives of the Food Donation Pilot Program as described in this chapter.

Upon approval of an application for certification, the certified applicant shall execute an agreement with the Secretary that describes the duties and responsibilities of a person or organization acting as a Tax Credit Certificate Administrator.

Regulation .07 Penalty.Link Copy Citation

Upon notice and an opportunity to be heard, for any violation of this chapter, the Secretary may revoke or suspend the authority of any TCCA to issue a tax credit certificate for any qualified farm.

Chapter 13. Supervision and Review of Decisions and Actions of Units Within the Department

Regulation .01 Purpose.Link Copy Citation

This chapter is adopted in response to the U.S. Supreme Court’s decision in North Carolina Board of Dental Examiners v. Federal Trade Commission.

The purpose of this chapter is to provide for active supervision of certain units within the Department to:

(1)

Prevent unreasonable anticompetitive actions; and

(2)

Ensure that anticompetitive actions are consistent with affirmatively expressed and clearly articulated State policies to displace competition.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Department” means Maryland Department of Agriculture.

(2)

“Secretary” means the Secretary of Agriculture or the Secretary’s designee.

(3)

“Secretary’s designee” means the Assistant Secretary who is responsible for actively supervising a unit’s operation.

(4)

“Unit” means a regulatory board or commission composed in whole or in part of individuals participating in the occupation or profession regulated by that board or commission.

Regulation .03 Secretary’s Supervision Responsibilities.Link Copy Citation

The Secretary is responsible for supervising each unit within the Department that is composed in whole or in part of individuals participating in the occupation or profession regulated by the unit to:

(1)

Prevent unreasonable anticompetitive actions by the unit; and

(2)

Determine whether the decisions and actions of the unit with anticompetitive effect further an affirmatively expressed and clearly articulated State policy to displace competition in the unit’s regulated market (as opposed to serving the private interests of the market participant regulators).

For purposes of the Secretary’s responsibilities under this chapter, the following types of decisions and actions of a unit generally are not unreasonable anticompetitive actions by the unit:

(1)

Ministerial or nondiscretionary acts undertaken in good faith implementation of the unit’s enabling legislation;

(2)

An investigation, charge, or disposition of a disciplinary charge against a single individual subject to the regulatory authority of a unit involving an issue such as standard of care; and

(3)

The initiation and prosecution of a lawsuit by a regulatory board unless it falls within the “sham exception.” Professional Real Estate Investors v. Columbia Pictures Industries, 508 U.S. 49 (1993); California Motor Transport Co. v. Trucking Unlimited, 404 U.S. 508 (1972).

For purposes of the Secretary’s responsibilities under this chapter, the types of decisions and actions for which anticompetitive consequences should be evaluated, include, but are not limited to:

(1)

Decisions or actions governing the scope of a licensed individual’s practice;

(2)

Requirements for granting a license;

(3)

Pricing regulations;

(4)

Restrictions on advertising or soliciting customers;

(5)

Territorial allocations;

(6)

Restrictions on market participation or actions against nonlicensees;

(7)

Restrictions on competitive bidding; and

(8)

Patterns of disciplinary action by a unit against similarly situated licensees.

Regulation .04 Secretary’s Designee Responsibilities.Link Copy Citation

Each Assistant Secretary at the Department is designated as responsible for supervising each unit in the Assistant Secretary’s section that is composed in whole or in part of individuals participating in the occupation or profession regulated by the unit to:

(1)

Prevent unreasonable anticompetitive actions by the unit; and

(2)

Determine whether an anticompetitive decision or action of the unit furthers a clearly articulated State policy to displace competition in the unit’s regulated market.

Each Assistant Secretary is responsible for keeping fully informed of all proposed anticompetitive actions and decisions of any unit subject to this chapter by consulting with both the unit’s Executive Director and legal advisor from the Office of the Attorney General.

If the Secretary or the Secretary’s designee finds that a proposed decision or action of the unit with anticompetitive effect may result in an unreasonable restraint on competition or may not further a clearly articulated State policy to displace competition in the regulated marketplace, the Secretary or the Secretary’s designee shall:

(1)

Immediately notify the unit not to make a final decision or take the proposed action;

(2)

Review the evidentiary record created by the unit, and, if necessary, supplement the evidentiary record of the unit;

(3)

Conduct a substantive review of the merits of the unit’s proposed decision or action to consider the anticompetitive consequences of the proposed decision or action as well as any State policy advanced;

(4)

Assess whether the unit’s proposed decision or action furthers a clearly articulated State policy to displace competition in the regulated market; and

(5)

Issue expeditiously a written decision approving, disapproving, or modifying the proposed decision or action or remanding the proposed decision or action back to the unit for further review before:

(a)

A final decision is issued; or

(b)

The proposed action is implemented.

(6)

A written decision approving an anticompetitive decision or action of a unit shall identify any clearly articulated and affirmatively expressed State policy to displace competition in the regulated market advanced by the proposed decision or action and explain why the decision or action should be approved, notwithstanding the anticompetitive effect.

(7)

A written statement disapproving an anticompetitive decision or action shall explain the reasons supporting the decision not to approve the proposed decision or action.

The Secretary or the Secretary’s designee may not approve an anticompetitive decision or action of a unit that does not further a clearly articulated State policy to displace competition in the regulated market.

Regulation .05 Unit’s Responsibilities.Link Copy Citation

Upon notice to the unit by the Secretary or the Secretary’s designee as provided in Regulation .04C of this chapter, a unit may not make any decision or take any action on any proposal.

A decision or action of a unit may not constitute a final decision or action of the unit until after the Secretary or the Secretary’s designee has conducted the review required under Regulation .04C of this chapter.

The final decision or action of a unit shall comply with the written decision of the Secretary or the Secretary’s designee issued in accordance with Regulation .04C of this chapter.

Chapter 14. Seafood Marketing

Regulation .01 True Blue Marketing Program.Link Copy Citation

Definition.

(1)

In this chapter, the following term has the meaning indicated.

(2)

Term Defined. “True Blue” means a certification from the Department verifying that a food service establishment is selling blue crab product harvested or processed in Maryland.

Application. Any food service establishment selling blue crab product harvested or processed in Maryland may apply to the Department to receive a True Blue certification by submitting the appropriate forms provided by the Department.

Approval. Any approved food service establishment may market or advertise blue crab product that is harvested or processed in Maryland as True Blue certified.

Validation. Any participating food service establishment shall provide any required documentation to the Department to show proof of the source of blue crab product.

Penalties. A food service establishment that violates the terms of the program may have its certification revoked.

Chapter 15. Use of Antimicrobial Drugs

Regulation .01 Purpose.Link Copy Citation

The purpose of this chapter is to describe the restrictions on the use of medically important antimicrobial drugs in the production of cattle, swine and poultry.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Administered in a regular pattern” means used:

(a)

For multiple courses of therapy in the same animal or group of animals; or

(b)

As a standard operating procedure, including:

(i)

In correspondence with a particular life stage of an animal, such as in ovo, at birth or hatch, or at weaning;

(ii)

As an ongoing management strategy or tool, such as in correspondence with a particular age or weight of an animal, time of the week, month, or year, or season; or

(iii)

When moving animals from one location to another.

(2)

“Animal” means cattle, swine or poultry.

(3)

“Dry cycle” means a period of time when a cow is not lactating.

(4)

Elevated Risk.

(a)

“Elevated risk” means a risk that is significantly higher than that present under normal or standard operating conditions.

(b)

“Elevated risk” does not include a risk typically or frequently present under normal or standard operating conditions.

(5)

“Prophylaxis” or “Prophylactic” means the prevention of disease or infection in the absence of documented clinical signs of disease or infection.

(6)

“Medically important antimicrobial drug” means any drug from a class of drug or a derivative of a class of drug that is either:

(a)

Made from a mold or bacterium that kills or slows the growth of other microbes, specifically bacteria, and used in human beings or intended for use in human beings to treat or prevent disease or infection; or

(b)

Listed in:

(i)

Appendix A of the federal Food and Drug Administration’s Guidance for Industry #152, including critically important, highly important, or important antimicrobial drugs; or

(ii)

A subsequent guidance document created by the federal Food and Drug Administration that ranks the medical importance of antimicrobial drugs.

Regulation .03 When Permitted.Link Copy Citation

Except as provided in this regulation, a person may administer a medically important antimicrobial drug to cattle, swine, or poultry if, in the professional judgment of a licensed veterinarian, the medically important antimicrobial drug is necessary:

(1)

To treat a disease or infection;

(2)

To control the spread of a disease or infection; or

(3)

For a surgery or medical procedure.

A person may administer a medically important antimicrobial drug to cattle, swine, or poultry if, in the professional judgment of a licensed veterinarian, the medically important antimicrobial drug is necessary for prophylaxis to address an elevated risk of contraction of a particular disease or infection.

Unless administration of a medically important antimicrobial drug is consistent with §A of this regulation, a person may not administer a medically important antimicrobial drug in a regular pattern to cattle, swine, or poultry.

A person may not administer a medically important antimicrobial drug to cattle, swine, or poultry solely for the purpose of:

(1)

Promoting weight gain; or

(2)

Improving feed efficiency.

Dry Cow Treatment.

(1)

General Rule Requiring Assessment. The administration of a medically important antimicrobial drug to a cow entering a dry cycle is prohibited except when the cow is diagnosed with a bacterial intramammary infection (mastitis).

(2)

Methods of Assessing Mastitis in an Individual Cow.

(a)

Tests. A person may assess the presence of mastitis in an individual cow through one or more of the following tests:

(i)

A positive bacterial culture test;

(ii)

A positive California Mastitis Test;

(iii)

A somatic cell count for an individual cow greater than 200,000 cells per milliliter in the most recent lactation; and

(iv)

Any other assessment method approved by the Secretary generally recognized by the American Association of Bovine Practitioners.

(b)

Signs of Mastitis. A person may assess the presence of mastitis in an individual cow using one or more of the following indicators:

(i)

Visibly abnormal milk including the presence of clots, blood, or discoloration; or

(ii)

Heat, pain, tenderness, or swelling of a gland.

(c)

A licensed veterinarian may assess the presence of mastitis in an individual cow through the observation of clinical signs of mastitis.

Regulation .04 Applicability.Link Copy Citation

Except as otherwise provided in federal law or regulation, this chapter does not apply to antimicrobial use in:

Cattle on a farm operation that sells fewer than 200 cattle per year;

Dairy cattle on a farm operation with a herd size of fewer than 300 dairy cattle;

Swine on a farm operation that sells fewer than 200 swine per year; or

Poultry on a farm operation that sells fewer than 60,000 birds per year.

Regulation .05 Civil Penalty.Link Copy Citation

The Department may impose a civil penalty on any person who violates the requirements of this chapter up to $2,000 for each violation.

Before imposing any civil penalty under this chapter, the Department shall consider the following:

(1)

The nature and gravity of each violation;

(2)

The willfulness of the violation and the extent to which the existence of the violation was known to the person but uncorrected by the person; and

(3)

A history of prior violations, if any.

The Department shall issue a written notice of violation to the person subject to this chapter upon finding that a violation has occurred or is ongoing. The written notice of violation shall include:

(1)

A statement of the regulation violated by the person;

(2)

A description of the evidence of a violation;

(3)

A statement informing the person of the right to an informal meeting with the Department;

(4)

The amount of the proposed civil penalty;

(5)

A statement of the remedial action necessary to bring the person into compliance; and

(6)

A reasonable amount of time, as determined by the Department, to correct a violation.

A person may petition the Department for a contested case hearing on the violation and penalty within 30 calendar days of the issuance of the notice of violation by the Department.

Unless a person requests a contested case hearing, the person shall promptly pay the penalty. Payment of a penalty is not a substitute for compliance. If the person continues to violate this chapter, the Department may impose additional civil penalties.

Chapter 16. Industrial Hemp Pilot Program

Regulation .01 Purpose.Link Copy Citation

This chapter establishes the Maryland Department of Agriculture’s Industrial Hemp Pilot Program, including the requirement for the registration and the certification of a site that will be used to grow or cultivate industrial hemp to further agricultural or academic research purposes.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated:

Terms Defined.

(1)

“Authorized holder” or “holder” means an institution of higher education or a person who has contracted with an institution or the Department to grow or cultivate industrial hemp for agricultural research or academic research purposes as authorized by this chapter.

(2)

“Certified site” means any property site certified by and registered with the Department as a site where industrial hemp may be grown or cultivated for agricultural or academic research purposes.

(3)

“Department” means Maryland Department of Agriculture.

(4)

“Independent testing laboratory” has the meaning stated in Health-General Article, §13-3301, Annotated Code of Maryland.

(5)

Industrial Hemp.

(a)

“Industrial hemp” means the plant Cannabis sativa L. and any part of such plant, whether growing or not, with a delta-9-tetrahydrocannabinol concentration that does not exceed 0.3 percent on a dry weight basis.

(b)

“Industrial hemp” does not include any plant or part of a plant intended for a use that is regulated under Health-General Article, Title 13, Subtitle 33, Annotated Code of Maryland.

(6)

“Institution of higher education” or “institution” has the meaning stated in the federal Higher Education Act of 1965.

(7)

“Person” means an individual, partnership, corporation, limited liability company, association, or any business entity, by whatever name designated and whether or not incorporated, unless the context clearly indicates otherwise.

Regulation .03 Authorization to Grow and Cultivate Industrial Hemp.Link Copy Citation

Only an institution of higher education within Maryland may submit an application to the Department for authorization to grow, cultivate, harvest, process, manufacture, transport, market or sell industrial hemp for agricultural, industrial, or commercial purposes to further agricultural or academic research purposes.

Only a person contracting with the Department or an approved institution of higher education as provided in this regulation may possess, grow, cultivate, harvest, process, manufacture, transport, market, or sell industrial hemp for commercial purposes as part of the Pilot Program to further agricultural or academic research purposes.

Industrial hemp may only be grown or cultivated at a registered site or premises owned or controlled by an institution of higher education or by a person who contracts with an institution to grow and cultivate it.

A person who contracts with an institution to grow and cultivate industrial hemp shall:

(1)

Be at least 18 years old;

(2)

Pass a criminal background test with no felony convictions in the past 10 years;

(3)

Own or lease, with the approval of the owner, the property used to grow and cultivate hemp;

(4)

Have the site registered and approved with the Department before contracting to grow or cultivate hemp;

(5)

Grant the Department permission to enter and inspect the property to ensure compliance with the requirements of this chapter.

(6)

Only grow hemp on land that is at least 1,000 feet from a school or public recreation area when the hemp is being grown in an outdoor field or an outdoor site;

(7)

Post a sign on the certified site that notifies the public that the site is used to grow hemp as part of the Pilot Program; and

(8)

Attend an orientation session by the Department, in cooperation with the institution, that explains the requirements of this chapter before contracting to grow or cultivate hemp.

It is the sole responsibility of any institution or person qualifying under this chapter to hold any required federal permit to possess, grow, or cultivate industrial hemp.

Regulation .04 Application Review and Approval.Link Copy Citation

An application to grow, cultivate, harvest, process, manufacture, transport, market, or sell industrial hemp to further agricultural research or academic research purposes shall be made on a Departmental form. Each application shall provide the following information, including, but not limited to:

A description of each site where industrial hemp will be grown or cultivated, either by the institution of higher education or by an authorized person who contracts with the institution by physical address with a map clearly showing the location of the site with GPS coordinates;

A diagram for each site that visually depicts the buildings, structures, and improvements on the premises, and identifies their use, and that sets forth the relevant activities conducted at the site;

A detailed summary of the issues and matters that the applicant intends to study in conjunction with growing, cultivating, processing, manufacturing, transporting, marketing, or selling industrial hemp; and

Payment of a $250 fee to certify and register each site used to grow or cultivate industrial hemp either by the institution or the person who contracts with the institution.

Regulation .05 Rejection of Application or Revocation of Authority.Link Copy Citation

The Department may reject any application to grow or cultivate industrial hemp, and may revoke an authorization to grow and cultivate industrial hemp, if the Department determines that:

The application is incomplete or does not provide the information required pursuant to Regulation .04 of this chapter; or

The authorized holder has failed to comply with the requirements of this chapter or the terms of the holder’s application.

Regulation .06 Hemp Seeds.Link Copy Citation

A person or institution that grows or cultivates industrial hemp as authorized by this chapter may purchase or otherwise obtain seeds or a plant or plant part that can be utilized to grow a new plant that produce plants that meet the definition of industrial hemp as provided in this chapter.

Regulation .07 Hemp Verification and Reports.Link Copy Citation

In accordance with this regulation, a person who grows or cultivates industrial hemp as authorized by this chapter shall:

(1)

Verify that the plants grown or cultivated by the person meet the definition of industrial hemp under this chapter;

(2)

Maintain all records of verification at the site that is used to grow or cultivate industrial hemp; and

(3)

Make all records available for inspection by:

(a)

The Department; or

(b)

The institution of higher education that contracted with the person under this chapter to grow or cultivate industrial hemp.

The verification required under this regulation shall include:

(1)

Documentation from an independent testing laboratory registered as defined by this chapter; or

(2)

Documentation from the institution of higher education that contracted with the person under this chapter to grow or cultivate industrial hemp.

An independent testing laboratory or an institution of higher education that provides verification documentation under this chapter shall conduct on-site inspections to perform the testing necessary for the verification.

If it is determined that the industrial hemp exceeds a delta-9-tetrahydrocannabnol concentration that exceeds 0.3 percent on a dry weight basis, it shall be destroyed by the authorized holder within 7 days under the supervision of the institution of higher education.

The frequency of the verification required under this subsection shall be determined by:

(1)

The Department; or

(2)

The institution of higher education that contracted with a person under this chapter to grow or cultivate industrial hemp.

Chapter 17. Hemp Farming Program

Regulation .01 Purpose.Link Copy Citation

This chapter explains the Maryland Department of Agriculture’s Hemp Farming Program, which licenses and regulates the production of hemp in the State. This chapter does not apply to an institution of higher education or a person who produces hemp under the Hemp Research Pilot Program. As required by State law, the Program has been approved by the United States Department of Agriculture.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Acceptable hemp THC level” means the application of the measurement uncertainty to the reported total delta-9 tetrahydrocannabinol content concentration level on a dry weight basis producing a distribution or range that includes 0.3 percent or less total THC.

(2)

“Applicant” means a person, or for a business entity, a person authorized to act on behalf of the business entity, who applies to the Department to become a licensed hemp grower in the State.

(3)

“Authorized agent” means a sampling agent who has received a certificate of completion of training from USDA or the Department and has been approved by the Department to sample hemp under the Program.

(4)

“Authorized laboratory” means a laboratory that is:

(a)

DEA registered; or

(b)

Accredited to ISO17025:2017.

(5)

Cannabis.

(a)

“Cannabis” means a genus of flowering plants in the family Cannabaceae of which Cannabis sativa is a species, and Cannabis indicia and Cannabis ruderalis are subspecies thereof.

(b)

“Cannabis” includes any form of the plant in which the delta-9-tetrahydrocannabinol concentration on a dry weight basis has not yet been determined.

(6)

“CBD” means cannabidiol.

(7)

“Conviction” means any plea of guilty or nolo contendere, or any finding of guilt, except when the finding of guilt is subsequently overturned on appeal, pardoned, or expunged.

(8)

“Culpable mental state greater than negligence” means to act intentionally, knowingly, willfully, or recklessly.

(9)

“Cultivate” means to plant, water, grow, or harvest a plant or crop.

(10)

“DEA” means the United States Drug Enforcement Administration.

(11)

“Decarboxylated” means the completion of the chemical reaction that converts THC-A into delta-9-THC, the intoxicating component of cannabis. The decarboxylated value may also be calculated using a conversion formula that sums delta-9-THC and THC-A.

(12)

“Decarboxylation” means the removal or elimination of a carboxyl group from a molecule or organic compound.

(13)

“Delta-9-THC” or “THC” means delta-9-tetrahydrocannabinol concentration, the primary intoxicating component of cannabis.

(14)

“Department” means the Maryland Department of Agriculture.

(15)

“Disposal” or “destruction” means the procedure to render a plant or a product derived from such plant unusable by burning, incorporating with other materials, or other methods approved by the Department consistent with USDA guidelines.

(16)

“Dry weight basis” means the ratio of the amount of dry solid in a sample after drying to the total mass of the sample before drying, including the moisture in a sample.

(17)

“GPS” means Global Positioning System.

(18)

“Growing area” means either an outdoor or an enclosed indoor area where hemp is cultivated.

(19)

“Hemp” means the plant Cannabis sativa L. and any part of that plant, including all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a total delta-9-tetrahydrocannabinol concentration that does not exceed 0.3 percent on a dry weight basis.

(20)

“Hemp greens” means hemp leaves from immature plants that are no more than 10 inches tall and are not flowering.

(21)

“Hemp microgreens” means immature hemp seedlings for human consumption that are:

(a)

Cut off above the soil or substrate line and harvested before flowering and not more than 14 days after germination; and

(b)

Typically, between 2 and 3 inches in height, but not taller than 5 inches.

(22)

“Hemp transplants” means nonflowering hemp seedlings, rooted cuttings, immature plants produced from tissue culture, or other means of reproduction, which are not harvested but transplanted into a large container or field to mature for harvest.

(23)

Key Participant.

(a)

“Key participant” means a sole proprietor, a partner in partnership, or a person with executive managerial control in a corporation, such as a chief executive officer or chief operating officer.

(b)

“Key participant” does not include a nonexecutive manager, such as a farm, field, or shift manager.

(24)

“Law enforcement agency” means the Maryland State Police, DEA, or other federal, state, or local law enforcement agency or drug suppression unit.

(25)

“License” means written authorization by the Department permitting a person to cultivate, store, handle, or market hemp in the State.

(26)

Licensed Area.

(a)

“Licensed area” means the land area shown in an approved licensing application, or, subsequently, in an approved site modification plan, on which a hemp grower plans to cultivate, store, or handle hemp.

(b)

“Licensed area” includes growing areas, storage facilities, and other areas that are to be used in the grower’s hemp operation.

(27)

“Licensed grower” means a person possessing a license issued by the Department under the authority of this chapter to cultivate, store, handle, or market hemp.

(28)

“Lot” means a contiguous area in a field, greenhouse, or indoor facility growing the same variety or strain of hemp that was planted at the same time throughout this area.

(29)

“Map” means a diagram depicting all borders of the hemp operation, including the nearest roads to aid in orientation, the cardinal direction north, and the boundaries of the legally described parcel on which the hemp operation is located.

(30)

“Measurement uncertainty” or “MU” means the parameter associated with the result of a measurement that characterizes the dispersion of the values that could be reasonably attributed to the measurement.

(31)

Negligent Violation.

(a)

“Negligent violation” means a failure to exercise the level of care that a reasonably prudent person would exercise in complying with the requirements of this chapter.

(b)

“Negligent violation” does not include intentional misconduct.

(32)

“Nonmarketable hemp” means hemp that exceeds the acceptable hemp THC level.

(33)

“Official sample” means the pre-harvest hemp sample collected by the Department, in accordance with Department policy, which is used to assess the THC concentration of a single lot of hemp.

(34)

“Person” means an individual, partnership, corporation, limited liability company, association, or any business entity by whatever name designated and whether or not incorporated unless the context clearly indicates otherwise.

(35)

“Program” means the Hemp Farming Program established under this chapter.

(36)

“Propagule” means a plant or plant part that can be utilized to grow a new plant.

(37)

“THC-A” means tetrahydrocannabinolic acid, a precursor to THC.

(38)

“USDA” means the U.S. Department of Agriculture.

(39)

“Variety” means a group of plants or an individual plant that exhibits a distinctive observable physical characteristic or has a distinct genetic composition.

(40)

“Volunteer plant” means a hemp plant that was not intentionally planted by the person licensed to grow hemp, but results from a previous crop, growing on its own accord from seeds or roots in the years following an intentionally planted hemp crop.

Regulation .03 Prohibition Against Growing or Producing Hemp Without a License.Link Copy Citation

A person may not cultivate or produce hemp under the Program unless the person is licensed by the Department in accordance with this chapter.

Regulation .04 Contents of Application and Licensing Terms.Link Copy Citation

Contents. To obtain a license to cultivate or produce hemp under the Program, a person shall annually submit a signed, complete, accurate, and legible Departmental application that provides:

(1)

The applicant’s full name, business or residential address, telephone number, and email address (if the applicant is a business entity, the full name of the business, the address of the principal business location, the full name and title of key participants, the email address of that business, and EIN number of the business);

(2)

The legal description of the land on which the hemp operation is proposed;

(3)

The GPS coordinates for the land on which the hemp operation is proposed;

(4)

A map of the land owned or controlled by the person to be licensed, showing the location, boundaries, and dimensions (in acres or square feet) of:

(a)

If hemp is grown indoors, the green house or indoor facility used to grow hemp;

(b)

If hemp is grown outdoors, each field (by field number) where hemp will be grown (clearly indicating the names or lot numbers of all lots and planning locations) and the entrance to each field;

(c)

The facility used to store hemp post-harvest; and

(d)

Others fields or facilities to be used in the hemp operation;

(5)

The portion or portions of the hemp plant or flower that the applicant intends to market, that is, seed, grain, fiber, hurd, or CBD;

(6)

A certification that the applicant is at least 18 years of age;

(7)

A criminal background report of the applicant and other key participants, prepared by the Federal Bureau of Investigation, dated no more than 60 days before the date of the applicant’s application; and

(8)

Documentation showing that the applicant has the legal right to cultivate hemp on the land (the proposed licensed area) and the legal authority to grant the Department access for inspection and sampling, including deeds, leasing agreements, written agreements by a landowner, or other appropriate documentation.

The Department shall provide the applicant a reasonable opportunity to amend an application that is insufficient or to resolve any minor violations of this chapter.

Site Modification. A licensed grower may apply to the Department to alter the approved licensed area. To accomplish this, the licensed grower shall pay the site modification fee and submit a signed, complete, accurate, and legible Departmental application at least 15 days before the proposed modification that includes:

(1)

An updated legal description of the land that will comprise the hemp operation;

(2)

Updated GPS coordinates that will comprise the hemp operation; and

(3)

An updated map providing the information required under §A(4) of this regulation.

Licensing Terms. By signing and submitting the application, the applicant agrees to abide by the following licensing terms:

(1)

The licensed grower shall fully cooperate and assist the Department with all aspects of the administration and enforcement of the Program, including, but not limited to, the application, license, reporting, inspection, and sampling processes;

(2)

The licensed grower shall permit the Department or any other law enforcement agency to enter the property for the purpose of collecting, sampling, or inspecting hemp plants in the licensed area, whether in the field or in storage, during the licensing period or in the immediate 30-day time period after the license has expired or is suspended or surrendered;

(3)

If hemp plants test greater than the acceptable hemp THC level or otherwise do not comply with this chapter, the licensed grower shall inspect the property post-harvest and, for the following growing season, pre-harvest, and destroy, as directed by the Department, any volunteer plants;

(4)

The licensed grower shall maintain all records pertaining to hemp production for a minimum period of 3 years, including, but not limited to, the following records:

(a)

Planting records;

(b)

Harvesting records;

(c)

Sampling and testing records; and

(d)

Records pertaining to the disposal of noncompliant hemp;

(5)

The licensed grower shall keep the records required under §D(4) of this regulation in the State and make them available during normal business hours for copying and inspection by the Department or other law enforcement agencies;

(6)

The licensed grower shall submit all required reports by the applicable due dates specified by the Department;

(7)

The licensed grower shall name an in-State agent for the receipt of notices in enforcement actions for records and other matters;

(8)

The licensed grower shall notify the Department within 15 days of any changes to the hemp grower’s operation, including planting, harvesting, testing, or sampling, or any changes to the license holder’s address or other contact information; and

(9)

The licensed grower shall pay any fees as required by this chapter.

Required Certification. The applicant shall certify that the contents of the application are true and correct and that, when licensed, the grower will comply with all of the Department’s reporting requirements and those of USDA and all other regulatory and statutory requirements for producing hemp under the Program.

Grounds for Denying Licensure. The Department may not issue a license to a person to grow hemp under the Program if the person:

(1)

Has a felony conviction under state or federal law related to a controlled substance during the 10-year period preceding the date of application;

(2)

Provides materially false or misleading information in the application; or

(3)

Has not met the requirements of this chapter.

Regulation .05 Licensing Period.Link Copy Citation

A person may apply to become a licensed grower at any time during a calendar year. Unless suspended or revoked, a license to grow hemp under the Program is valid from the date it was issued through December 31 of the same year. To ensure continuity of the license, a licensed grower shall submit to the Department an application to renew the person’s license no later than December 1 of the year that the license is due to expire. A license issued under this chapter may not be assigned or transferred to another person under any circumstances.

Regulation .06 Fees.Link Copy Citation

The following nonrefundable fees apply to hemp growers:

An annual application fee — $50;

An annual license fee — $500;

A fee for each additional location owned or controlled by a grower with a different mailing address — $500;

A fee each time that the Department samples and tests official samples for THC — $250; and

A site modification fee if the GPS coordinates listed in the application are changed — $250.

Regulation .07 Prohibited Acts.Link Copy Citation

A licensed grower may not:

(1)

Grow or store hemp in a structure that is used for residential purposes;

(2)

Plant, grow, or store hemp on any site that is not located within the licensed area;

(3)

Display or exhibit live hemp plants, viable seeds, or floral materials at trade shows, county fairs, or educational or other similar events without written permission from the organizer of the event;

(4)

Allow unsupervised public access to hemp plots or plantings;

(5)

Sell, transfer, or permit the sale or transfer of living hemp plants or viable hemp seeds to any person in the State who does not hold a license issued by the Department;

(6)

Sell, transfer, or permit the sale or transfer of living plants, viable seeds, leaf material, or floral material to any person in another state who is not authorized by the laws of that state to own or otherwise possess such products;

(7)

Comingle hemp plant material from one lot with hemp plant material from other lots unless the lots have been tested and deemed compliant with this chapter;

(8)

Place in the stream of commerce any hemp grown in a lot that has a noncompliant THC level;

(9)

Provide false or misleading information in any report, record, or other document required under this chapter or during the course of an inspection conducted under this chapter;

(10)

Hinder or obstruct an authorized agent of the Department or any other law enforcement officer from entering the licensed area for the purpose of collecting, sampling, or inspecting hemp;

(11)

Violate any of the provisions of this chapter, including, but not limited to, the licensing terms set forth in Regulation .04 of this chapter; or

(12)

Violate any applicable laws and regulations relating to the use and development of the land for hemp production.

There is no distance requirement, limitation, or buffer zone between licensed growers and between licensed growers and medical cannabis growers licensed under Health-General Article, §13-3306, Annotated Code of Maryland. No rule may establish such a distance requirement, limitation, or buffer zone without the Department’s evaluation, in consultation with the Natalie M. LaPrade Medical Cannabis Commission, of sufficient scientific data showing impacts to either crop as a result of cross-pollination.

Regulation .08 Grower Reporting Requirements.Link Copy Citation

Field Planting Report.

(1)

Within 10 days after planting, a licensed grower shall submit to the Department a signed, complete, accurate, and legible Departmental Field Planting Report that includes:

(a)

The licensed grower's full name and contact information;

(b)

The license number;

(c)

The planting date and anticipated harvest date;

(d)

The hemp's variety name;

(e)

The field location ID listed in the application;

(f)

An updated detailed map depicting any changes; and

(g)

The primary intended use of the harvested hemp for each planting.

(2)

A licensed grower who does not plant hemp in an approved outdoor growing area listed in the application shall submit a Field Planting Report on or before July 31, stating that hemp has not and will not be planted at that site.

(3)

If a replanting of seeds or propagules occurs, the licensed grower shall complete and submit to the Department a new Field Planting Report within 10 days after the planting, providing the information required under this section.

Indoor Planting Report.

(1)

Within 10 days after establishing plants at an indoor location, a licensed grower shall submit to the Department a signed, complete, accurate, and legible Departmental Greenhouse/Indoor Planting Report that includes:

(a)

The licensed grower's full name and contact information;

(b)

The license number;

(c)

The planting date and anticipated harvest date;

(d)

The hemp's variety name; and

(e)

The primary intended use of the harvested hemp of each planting.

(2)

The licensed grower shall submit this report each time hemp is planted in, moved within, or moved into a licensed area, except for replanting into a larger container within the same indoor location.

(3)

In addition to completing the initial Greenhouse/Indoor Planting Report, the licensed grower shall submit to the Department quarterly reports for each location ID to the Department no later than March 31, June 30, September 30, and December 31.

Destruction Report. Within 48 hours after crop destruction or as ordered by the Department, the licensed grower shall submit to the Department a signed, complete, accurate, and legible Departmental Destruction Report that includes:

(1)

The licensed grower's full name and contact information;

(2)

The license number;

(3)

The disposal date of each lot destroyed; and

(4)

The method of destruction.

Annual Production Report. A licensed grower shall submit to the Department a signed, complete, accurate, and legible Departmental Annual Production Report by December 1 of each year that provides the following information:

(1)

The licensed grower's full name and contact information;

(2)

The license number;

(3)

The acreage or amount of greenhouse space planted, the planting date, the harvest date, and the varieties grown; and

(4)

The weight and type of plant material harvested and the plant material being stored and the location of its storage as of the date of the report.

Hemp Crop Acreage Report to Farm Service Agency. A licensed grower shall report information pertaining to the grower's hemp operation with USDA, Farm Service Agency, as required under federal law. This information may include:

(1)

The license number that the Department issued to the licensed grower;

(2)

The street address where licensed grower is producing hemp;

(3)

The geospatial location of each lot or greenhouse where hemp will be produced;

(4)

If hemp is grown outdoors, the hemp crop acreage, including the total acreage planted and harvested, and, if any portion of the crop is disposed of, the amount;

(5)

If hemp is grown indoors, the indoor square footage or acreage dedicated to the production of hemp; and

(6)

If the licensed area is altered in accordance with Regulation .04, updated information pertaining to the site modification.

Drug Felony Conviction Report.

(1)

Within 15 days of conviction of a disqualifying felony offense, a licensed grower shall inform any co-licensees and submit to the Department a signed, complete, accurate, and legible Departmental Drug Felony Conviction Report that includes:

(a)

The license number;

(b)

The date of conviction; and

(c)

An acknowledgement that all co-licensees have been informed of the disqualifying offense, if applicable, and the co-licensees have assumed full responsibility for the hemp crop.

(2)

Failure to report the disqualifying offense may result in an order of destruction.

Record-Keeping Requirements. A licensed grower shall keep and maintain for at least 3 years all information that supports, verifies, or documents all reports required under this regulation.

Regulation .09 Regulatory Inspections of Hemp Operations.Link Copy Citation

Annual Inspections. The Department shall conduct annual inspections of, at a minimum, a random sample of licensed growers and collect regulatory samples of hemp to verify that hemp is not being produced in violation of this chapter. The Department shall conduct these inspections during normal business hours. The Department may conduct these inspections without notice.

Additional Inspections. If the Department has reason to believe that a violation of the Program is occurring, it may conduct such additional regulatory inspections of a licensed grower’s operation and sampling of hemp it deems appropriate. The Department shall conduct these inspections during normal business hours. It may conduct these operations without notice.

Sampling and Testing Regulatory Samples. When conducting regulatory sampling and testing of hemp under §§A and B of this regulation, the Department shall follow the official sampling methodology and testing requirements set forth in Regulation .10 of this chapter.

Regulation .10 Sampling and Testing for THC.Link Copy Citation

A licensed grower may request the Department or an authorized agent to collect official samples of hemp for testing under §D of this regulation.

Official Sampling Methodology. To ensure a confidence level of 95 percent that no more than 1 percent of the plants in a lot exceeds the acceptable hemp THC level, official samples collected by the Department or an authorized agent shall be done in accordance with the Department's sampling methodology, which requires that:

(1)

Samples shall be collected by the Department or an authorized agent;

(2)

Samples selected shall be solely determined by the Department or authorized agent;

(3)

Samples shall be from the [flower material of the hemp plant;] flowering tops of plants which shall be approximately 5 to 8 inches in length from:

(a)

The main stem (that includes the leaves and flowers);

(b)

The terminal bud (that occurs at the end of a stem); or

(c)

The central cola (cut stem that could develop into a bud);

(4)

Samples shall represent a homogeneous composition of the lot being collected, and a minimum of two samples from each lot shall be collected (the number of plants selected for sampling will be dependent on the size of the growing area);

(5)

Samples of hemp plant material from one lot may not be commingled with hemp plant material from other lots;

(6)

Samples shall be collected during the growing season and before harvest;

(7)

When a scheduled sampling occurs, the grower or an authorized grower representative shall be present at the growing site;

(8)

The grower shall provide the Department or an authorized agent complete and unrestricted access to all hemp plants and all locations listed in the application;

(9)

The grower or authorized agent shall take any other action that the Department deems necessary to ensure that the stated confidence level is met;

(10)

If the licensed grower fails to complete the harvest within 30 days, a new sample of the lot shall be collected for testing purposes following the procedures set forth in this regulation;

(11)

The Department or authorized agent shall place the composite representative sample in a properly labeled paper bag, seal the bag, and place the following information on the bag or otherwise include it with the sample:

(a)

License number;

(b)

Name and contact information of the sampling agent;

(c)

Name and contact information of the licensee;

(d)

Date sample was taken;

(e)

Sample identification number for the lot;

(f)

Field identification number listed in the application; and

(g)

Any other information that may be required by the Department; and

(12)

The sample and sampling report shall be hand-delivered or placed in a box, sealed with security tape, and shipped overnight to the Department or authorized laboratory.

All hemp samples collected become the property of the Department without cost to it and are nonrefundable.

Testing Requirements. The Department or an authorized laboratory shall test hemp for prohibited THC levels by performing a quantitative laboratory determination of the total delta-9 THC concentration on a dry weight basis. In conducting this work, the following standards shall be met:

(1)

Laboratory quality assurance shall ensure the quality and validity of the test results and that the testing method used is appropriate;

(2)

An appropriate chain of custody shall be maintained at all times;

(3)

The official samples shall be dried, the stem and seed shall be separated from floral material and discarded, and the floral material shall be ground;

(4)

The ground floral material shall be tested for THC content;

(5)

The THC testing procedure shall include a valid testing methodology that uses post-decarboxylation or other similarly reliable methods, including, but not limited to, gas chromatography with flame ionization detection, or liquid chromatography with ultraviolet detection (The testing methodology shall consider the potential conversion of THCA in hemp into THC and the test result shall measure total available THC derived from the sum of the THC and THC-A content. The total THC concentration level shall be determined and reported on a dry weight basis. MU shall be used in determining the range of the result found.); and

(6)

A sample test result with a delta-9 THC concentration on a dry weight basis greater than the acceptable hemp THC level is conclusive evidence that the lot represented by the sample contains a delta-9 THC concentration on a dry weight basis of more than 0.3 percent and that the hemp is therefore not in compliance with this chapter.

Test Results Report. If an authorized laboratory conducts the testing, the hemp grower shall direct the laboratory to report the test results for all samples tested to the Department and USDA. The test results report shall contain the information below for each sample tested:

(1)

Hemp grower's license or authorization identifier;

(2)

Name of hemp grower;

(3)

Business address of hemp grower;

(4)

Lot identification number for the sample;

(5)

Name and address of laboratory;

(6)

Date of test and report;

(7)

Identification of a retest; and

(8)

Test result.

Regulation .11 Hemp Greens, Hemp Microgreens, and Hemp Transplants.Link Copy Citation

Performance-Based Sampling Protocol. For hemp plants that are not intended to be produced to a mature, flowering state (for example, hemp greens, hemp microgreens, and hemp transplants), the Department may utilize a performance-based sampling protocol to determine THC crop compliance. This protocol, which has been approved by USDA, includes seed certification processes and other processes that identify varieties that have consistently resulted in compliant hemp plants.

Notice to the Department. At planting, the licensed grower shall notify the Department of the grower’s intent and plans for producing hemp greens, hemp microgreens, or hemp transplants, including the grower’s intent to harvest these plants.

If the licensed grower is intending to produce hemp greens, hemp microgreens, or hemp transplants, the grower may only use hemp seeds or propagules that originate from THC compliant hemp plants. To ensure this, the licensed grower may only use:

(1)

Seeds originating from THC compliant hemp plants that have been certified by a member agency of the Association of Official Seed Certifying Agencies;

(2)

Seeds derived from hemp plants that were tested during the preceding 2-year period and, for each of these 2 years, deemed THC compliant by the Department, an authorized laboratory, or other USDA-approved hemp program; and

(3)

Propagules from hemp plants that were tested by the Department, an authorized agency, or other USDA-approved program and deemed THC compliant.

If the licensed grower is using certified seeds, the grower shall provide the Department copies of the seed tags. If the licensed grower is using propagules, the grower shall provide the Department the test results of the hemp plants.

The Department may conduct random testing of hemp greens, hemp microgreens, and hemp transplants produced by licensed growers. The Department may collect samples for determining the total THC concentration. The licensed grower shall have an authorized representative on-site during the site inspection conducted by the Department. If the crop does not meet the protocol for determining crop compliance under this regulation, the licensed grower shall hold the harvest lot until notified by the Department of the grower’s options.

Hemp Microgreens Verification. The Department shall verify that the producer:

(1)

Obtained and used only authorized hemp seed or propagules;

(2)

Harvested the crop no more than 14 days after planting;

(3)

Only grew hemp plants that were no more than 5 inches in height; and

(4)

Did not grow hemp plants to a flowering state.

Hemp Greens Verification. The Department shall verify that the producer:

(1)

Obtained and used only authorized hemp seed or propagules;

(2)

Harvested the crop prior to the plants being 10 inches in height; and

(3)

Did not produce a flowering crop.

Hemp Transplants Verification. The Department shall verify that the producer:

(1)

Obtained and used only authorized hemp seed or propagules;

(2)

Only grew plants that were no more than 12 inches in height; and

(3)

Did not grow plants to a flowering state.

If the licensed grower produces a crop that does not meet the protocol for determining THC crop compliance under this regulation, the grower shall:

(1)

Follow the compliance, sampling, and testing requirements set forth in Regulation .10 of this chapter; or

(2)

Dispose of the crop.

Records.

(1)

Proof of THC Compliance. A licensed grower producing hemp greens, hemp microgreens, or hemp transplants shall maintain for 3 years records showing proof of THC compliance of seeds or propagules used to produce these crops.

(2)

Sales Records. A licensed grower producing hemp transplants shall maintain for 3 years records showing the name and address of persons to whom the transplants were sold or transferred.

Regulation .12 Prerequisites for Placing Hemp in Commerce.Link Copy Citation

A licensed grower may not co-mingle, transport, transfer, sell, market, process, or otherwise dispose of hemp pending a THC analysis by the Department or an authorized laboratory.

To place hemp in the stream of commerce, test results shall confirm that the final product batch hemp contains no more than a total 0.3 percent delta-9 THC on a dry weight basis using the method’s determined measurement uncertainty, and all such testing results shall be retained by the grower and made available to the Department upon demand for a minimum of 3 years.

Hemp samples with a post-decarboxylated THC level equal to or below the acceptable hemp THC level require no further action by the Department. The area or harvested plant material from which the sample was obtained that was harvested within 30 days of the date of sampling may be marketed or further processed.

Regulation .13 Nonmarketable Hemp.Link Copy Citation

Upon receipt of a failing test result, a licensed grower may request resampling and retesting of the varieties in question. If no retest is requested, or the retested sample is greater than 0.3 percent THC, the area represented by the sample, or any harvested hemp from the area represented by the sample, shall be disposed of as provided in Regulation .14 of this chapter. The grower shall retain all such testing results and make them available to the Department upon demand for a minimum of 3 years.

Hemp plants from lots determined to be nonmarketable (that is, the plants exceed the acceptable hemp THC level) and products derived from such plants may not be further handled, processed, or enter the stream of commerce.

If a grower comingles hemp from a lot with hemp from another lot before the test results from any of the comingled lots are made known, the grower shall dispose of all of the hemp if the test results from just one of these lots is subsequently found to be nonmarketable.

Regulation .14 Grower’s Duty to Dispose of Nonmarketable Hemp.Link Copy Citation

The costs of disposal of nonmarketable hemp plants and products derived from such plants are the responsibility of the grower.

The grower shall notify the Department immediately upon receipt of a test report determining that any portion of the crop tests positive for a prohibited amount of THC.

If hemp is deemed nonmarketable (that is, the plants exceed the acceptable hemp THC level), the Department shall:

(1)

Notify the grower to stop the harvest and shipment of any plants or plant material harvested from the tested area;

(2)

Send a representative from the Department to conduct an inventory of the harvested and unharvested plants from the area that was tested;

(3)

Offer options for retesting and remediation consistent with remediation guidelines approved by U.S. Domestic Hemp Production Program; and

(4)

Offer options for disposal.

The disposal of hemp deemed noncompliant with this chapter shall render a plant or a product derived from such plant unusable by burning, incorporating with other materials, or other methods approved by the Department consistent with USDA guidelines.

The grower shall notify the Department of the grower’s intent to dispose of nonconforming plants.

A representative from the Department or a law enforcement official shall supervise the disposal of any noncompliant hemp plants or plant materials.

The grower shall verify disposal by submitting required documentation to the Department and retain a copy of the disposal record for 3 years.

Regulation .15 Sanctions for Violating the Department’s Hemp Farming Program.Link Copy Citation

Except as provided in §C of this regulation, the Department, upon notice and an opportunity to be heard, may deny a license application or suspend or revoke a license to produce hemp under the Program, if the person:

(1)

Fails to comply with the Department's plan for monitoring and regulating the production of hemp;

(2)

Misrepresents the legal description of land on which hemp is produced;

(3)

Produces hemp without a valid license;

(4)

Produces plants, or any part of a plant, that exceeds a delta-9-tetrahydrocannabinol concentration of 0.3 percent on a dry weight basis;

(5)

Violates the licensing terms set forth in Regulation .04D of this chapter;

(6)

Provides false or misleading information in any report, record, or other document required under this chapter or during the course of an inspection conducted under this chapter;

(7)

Hinders or obstructs an authorized agent of the Department or any other law enforcement officer from entering the licensed area for the purpose of collecting, sampling, or inspecting hemp;

(8)

Fails to maintain all records pertaining to hemp production required by this chapter and to make these records available during normal business hours for copying and inspection by the Department or other law enforcement agency;

(9)

Fails to submit complete, signed, and accurate reports required under Regulation .08 of this chapter;

(10)

Fails to dispose of hemp as directed by the Department;

(11)

Is found to be growing or in possession of hemp not in compliance with these regulations;

(12)

Is convicted of a felony related to a controlled substance under state or federal law;

(13)

Cultivates or stores hemp on any site not listed in the application;

(14)

Represents hemp seeds which are indistinguishable by the plant's characteristics to be of a recognized variety, without having adequate information for such variety representation; or

(15)

Violates any provision of this chapter.

The Department shall deny a license application or suspend or revoke a license to produce hemp under the Program if the person provides false or misleading information in the application for a licensee to grow hemp as provided in this chapter.

Negligent Violations.

(1)

If it determines that a violation is a negligent violation, the Department, in lieu of sanctioning the person as provided in §A of this regulation, may issue a corrective action plan, affording the person an opportunity to correct that violation and come into compliance. A person may not have more than one negligent violation per growing season. A negligent action includes, but is not limited to, the following:

(a)

The failure to provide a legal description of the land;

(b)

The failure to obtain a license;

(c)

The production of cannabis with the total THC concentration exceeding the acceptable hemp THC level (0.3 percent with MU) unless the person has made reasonable efforts to grow hemp and the cannabis does not have a total delta-9-THC concentration of more than 1 percent on a dry weight basis.

(2)

The corrective action plan issued by the Department shall include the following:

(a)

A date by which the person shall correct the violation;

(b)

The action that the person shall take to come into compliance;

(c)

To ensure compliance, a requirement that the person shall report to the Department at a frequency determined by the Department for a period of not less than 2 calendar years from the date of the violation the compliance measures it is taking; and

(d)

Inspection requirements as determined by the Department.

(3)

If the person fails to implement or comply with the corrective action plan, the Department may proceed to suspend or revoke the grower's license to produce hemp as provided in §A of this regulation.

(4)

If the Department determines that a person has violated this chapter three times in a 4-year period, that person is banned from producing hemp for a period of 5 years beginning on the date of the third violation.

Violations Exceeding Negligence — Immediate Suspension.

(1)

If the Department determines that a person has violated the Program with a culpable mental state greater than negligence, the Department shall:

(a)

Send a Notice of Suspension to the person, ordering the person to suspend all hemp operations immediately; and

(b)

Refer the matter to the United States Attorney General, the Maryland Attorney General, or State's Attorney, as appropriate, to enforce the requirements of this chapter.

(2)

If the Department issues a Notice of Suspension, the grower may not harvest or remove cannabis from the premises where hemp or other cannabis was located at the time the Department issued this notice.

(3)

As soon as possible after the Notification of the Suspension, the Department shall inspect the grower's premises and perform an inventory of all hemp and hemp products that are in the grower's possession.

(4)

The Department shall schedule a license revocation hearing for a date as soon as practicable after the Notification of Suspension, but in any event not later than 60 days following the notification of suspension.

Regulation .16 Notice, Hearings, and Appeals.Link Copy Citation

Notice. If it determines that sanctions are warranted against a person under Regulation .15 of this chapter, the Department shall provide the person written notice of the violation via regular mail, certified mail, or personal service that includes:

(1)

The facts that are asserted pertaining to the violation;

(2)

The pertinent statutory and regulatory sections under which the Department is taking its action;

(3)

The Department's determination whether the person's conduct constitutes a negligent violation or a violation with a culpable mental state greater than negligence;

(4)

A statement explaining whether the Department has informed law enforcement of the violation;

(5)

The sanction proposed, if any, as a result of the Department's action; and

(6)

Unless a hearing is automatically scheduled, notice that the person may request a hearing within 20 days from receiving the notice of the violation; what, if anything, the person shall do to receive a hearing; and the direct consequences, including sanctions, if any, of the person's failure to exercise in a timely manner the opportunity for a hearing or to appear for a scheduled hearing.

To receive a hearing on the matter set forth in the Notice of Violation, the person shall submit a written request for a hearing to the Maryland Department of Agriculture, Hemp Farming Program, 50 Harry S. Truman Parkway, Annapolis, Maryland 21401. If the person fails to submit a written request in a timely manner, the notice of violation shall become final and the Department may impose the proposed sanction stated in the notice.

Hearings. Hearings under this regulation shall be in accordance with the Maryland Administrative Procedure Act and COMAR 15.01.01.

Appeals. A person aggrieved by a decision of the Department under this chapter, including a decision to deny an application for a license, or to suspend or revoke a license, may appeal the decision to the circuit court pursuant to the Maryland Rules of Civil Procedure.

Regulation .17 Department Reports to USDA.Link Copy Citation

By the first of each month, the Department shall file with USDA a report on each licensed grower with the following information:

(1)

For each new licensee that is an individual, the report shall include:

(a)

The full name of the individual;

(b)

The license number and status;

(c)

The business address;

(d)

Telephone number and email address (if applicable); and

(e)

A legal description and GPS coordinates for each field, greenhouse, indoor growing structure, or site where industrial hemp will be cultivated, handled, or stored.

(2)

For each new licensee that is a business entity, the report shall include:

(a)

The full name of the business entity;

(b)

The license number and status;

(c)

The principal business location address;

(d)

The full name, title, and email address (if applicable) of each person for whom the entity is required to submit a criminal background check; and

(e)

A legal description and GPS coordinates for each field, greenhouse, indoor growing structure, or site where industrial hemp will be cultivated, handled or stored.

(3)

For each licensee that was included in a previous report and whose reported information has changed, the report shall include the previously reported information and the new information, including the following:

(a)

The status of each grower and seed producer's license;

(b)

The period covered by the report; and

(c)

Indication whether there were changes during the current reporting cycle if applicable.

By the first of each month, the Department shall file with USDA a report of any occurrence among licensed hemp growers where hemp plants or plant parts have exceeded the acceptable THC levels as provided in this chapter with the following information:

(1)

The name and address of the licensee;

(2)

Producer license number;

(3)

Location information, such as a lot number, location type, and GPS coordinates or other location descriptor for the production area subject to hemp disposal;

(4)

Information on the agent handling the disposal; and

(5)

Documentation or traceability from seed acquisition to harvest or crop termination.

In addition to the hemp disposal report described in §B of this regulation, the Department shall promptly notify USDAs Agricultural Marketing Service of any occurrence of hemp plants that do not meet the definition of hemp as provided in this chapter or products derived from such plants. Records shall be attached to the report demonstrating that the proper disposal methods were followed.

By December 15 of each year, the Department shall submit an annual report to USDA that provides the following information under the Program:

(1)

Total planted acreage;

(2)

Total harvested acreage; and

(3)

Total acreage disposed.

Any report filed by the Department with USDA shall be submitted using a digital form compatible with USDAs sharing systems, whenever possible.

Regulation .18 Public Records.Link Copy Citation

Any public record held by the Department is subject to inspection and release only as provided by the Maryland Public Information Act.

The Department shall release to USDA record information about each hemp grower in a timely manner, as required by the United States Secretary of Agriculture.

Regulation .19 Criminal Penalties.Link Copy Citation

In addition to any other penalty provided by law, a person who violates this chapter may be subject to criminal penalties under Agriculture Article, §12-101 et seq., Annotated Code of Maryland.

Regulation .20 Enforcement.Link Copy Citation

The Department shall report a person to the United States Attorney General and the Maryland Attorney General who knowingly:

Fails to comply with the Department's plan for monitoring and regulating the production of hemp;

Misrepresents the legal description of land on which hemp is produced;

Produces hemp without a valid license;

Produces plants, or any part of a plant, that exceeds a delta-9-tetrahydrocannabinol concentration of 0.3 percent on a dry weight basis; or

Knowingly violates any provisions of Agriculture Article, Title 14, Subtitle 3, Annotated Code of Maryland.

Regulation .21 Sampling Guidelines.Link Copy Citation

For purposes of determining the number of individual plants to select for sampling, the size of the growing area set forth in the chart below shall be followed. For sampling purposes, samples from separate lots shall be kept separate and may not be comingled.

The authorized agent shall walk at right angles to the rows of plants, if possible, beginning at one point of the lot and walking towards another point on the opposite side of the lot. If the lot is too dense for this to be possible, the authorized agent shall take all reasonable steps to ensure that a sample is collected that represents a homogeneous composition of the lot by avoiding edges and thoroughfares.

While walking through the growing area, the authorized agent shall cut the number of inflorescences (the flower or bud of a plant) based on the acreage of the growing area at random but convenient distances, and avoid collecting sample specimens from the borders of the field/greenhouse.

The cut shall be obtained from the flowering tops of plants when flowering tops are present and shall be approximately 5 to 8 inches in length from the “main stem” (that includes the leaves and flowers), “terminal bud” (that occurs at the end of a stem), or “central cola” (cut stem that develops into a bud) of the flowering top of the plant.

Chapter 18. Farmers' Market Nutrition Program — Appeal Procedure

Regulation .01 Purpose.Link Copy Citation

This chapter sets forth the appeal procedure for the Senior Farmers’ Market Nutrition Program (SFMNP) and the WIC Farmers’ Market Nutrition Program (WIC FMNP). The SFMNP and the WIC FMNP are segments of the Farmers’ Market Nutrition Program (FMNP). The Maryland Department of Agriculture administers SFMNP in the State. The Maryland Department of Health assists the Department in administering the WIC FMNP in the State. The FMNP, a federal-State partnership with USDA, is designed to:

(1)

Provide FMNP recipients with access to locally grown fruits, vegetables, honey, and herbs; and

(2)

Increase the domestic consumption of agricultural commodities through farmers’ markets, roadside stands, and community supported agricultural programs.

This chapter, as required under 7 CFR §248.16 for the WIC FMNP and 7 CFR §249.16 for the SFMNP, establishes a procedure for the following persons to appeal certain adverse actions of the Maryland Department of Agriculture in its administration of the FMNP:

(1)

SFMNP applicants and recipients;

(2)

Local agencies assisting in implementing the SFMNP; and

(3)

Farmers participating in the SFMNP and the WIC FMNP and who have applied to participate in these programs.

The Maryland Department of Health has adopted a procedure for the following persons to appeal certain adverse actions it takes in administering its portion of the WIC FMNP:

(1)

WIC FMNP recipients; and

(2)

Local agencies assisting in distribution of the WIC FMNP.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Department” means the Maryland Department of Agriculture.

(2)

“Farmers’ Market Nutrition Program” or “FMNP” means the Senior FMNP and the WIC FMNP.

(3)

“Local agency” means a nonprofit entity or local government agency that certifies eligible SFMNP recipients, issues SFMNP coupons, or provides nutrition education or information on operational aspects of the SFMNP to SFMNP recipients.

(4)

“Secretary” means the Secretary of the Maryland Department of Agriculture.

(5)

“Senior Farmers’ Market Nutrition Program” or “SFMNP” means the Federal-State partnership between USDA and the Department in which USDA provides federal funds to the Department to administer a program designed to:

(a)

Provide SFMNP recipients access to locally grown fruits, vegetables, honey, and herbs; and

(b)

Increase the domestic consumption of agricultural commodities through farmers’ markets, roadside stands, and community supported agricultural programs.

(6)

“SFMNP recipient” means an individual, as defined under 7 CFR §249.6, as amended, who is eligible to receive benefits under the SFMNP.

(7)

“USDA” means the United States Department of Agriculture, Food and Nutrition Service.

(8)

“WIC FMNP” means a Federal-State partnership that USDA has with the Department in which USDA provides federal funds to the Department to administer a program designed to:

(a)

Provide WIC FMNP recipients access to locally grown fruits, vegetables, and herbs; and

(b)

Increase the domestic consumption of agricultural commodities through farmers’ markets, roadside stands, and community supported agricultural programs.

(9)

“WIC FMNP recipient” means a pregnant woman, breastfeeding woman, postpartum woman, infant, or child who is receiving benefits under the Program, and the breastfed infant of a breastfeeding woman participant under the WIC Program authorized under §17 of the Child Nutrition Act of 1966, as amended.

Regulation .03 Appealing Adverse Actions to the Secretary.Link Copy Citation

SFMNP applicants. An SFMNP applicant may appeal the denial of certification of SFMNP benefits unless the denial is solely because of the lack of sufficient funding to provide SFMNP benefits to all eligible applicants. While awaiting the hearing, the SFMNP applicant may not receive SFMNP benefits.

SFMNP Participants.

(1)

An SFMNP recipient may appeal the disqualification or suspension of SFMNP benefits.

(2)

Excepting an SFMNP recipient whose certification period has already expired or who become otherwise ineligible for SFMNP benefits, an SFMNP recipient who appeals the termination of benefits within the period of time provided under Regulation .05 of this chapter shall continue to receive SFMNP benefits until the Secretary reaches a decision or the certification period expires, whichever occurs first.

(3)

An SFMNP recipient who becomes ineligible during a certification, or whose certification period expires, may appeal the termination. While awaiting the hearing, the SFMNP recipient may not receive new benefits.

A local agency may appeal an action disqualifying it from participating in the SFMNP.

A farmer may appeal an action:

(1)

Denying that person’s application to participate in the WIC FMNP or SFMNP;

(2)

Imposing a sanction under the WIC FMNP or SFMNP; or

(3)

Disqualifying that person from participating in the WIC FMNP or SFMNP.

Regulation .04 Matters Not Subject to Appeal.Link Copy Citation

A farmer or local agency may not appeal the expiration of a contract or agreement with the Department in connection with the WIC FMNP or SFMNP under this chapter.

Regulation .05 Time Limit for Requesting a Hearing.Link Copy Citation

Except a farmer participating in the WIC FMNP, a person who is the subject of an adverse action listed in Regulation .03 of this chapter (for example, the SFMNP applicant or recipient, a local agency, or a farmer participating in the SFMNP) shall file a written request for a hearing with the Department within 30 days from the date that the Department mails or otherwise issues the notice of the action.

A farmer participating in the WIC FMNP shall file a written request for a hearing with the Maryland Department of Health within 10 days from the date that the Department mails or otherwise issues the notice of action.

The Department shall consider a request for a hearing filed on the earlier of the dates it is:

(1)

Received by the Department, such as by delivery by the person; or

(2)

Postmarked by the United States Postal Service.

Regulation .06 Postponement Pending Decision.Link Copy Citation

If the Department finds that an adverse action that affects a local agency or farmer may unduly inconvenience SFMNP or WIC FMNP recipients, the Department may postpone the action until a decision in the appeal is rendered.

Regulation .07 Procedure.Link Copy Citation

If the Department takes one of the adverse actions listed in Regulation .03 of this chapter, it shall provide the person affected (for example, the SFMNP applicant or recipient, a local agency, or a farmer) with the following:

15 calendar days in advance of the effective date of the adverse action, written notification of the adverse action, the cause for the action, and the effective date of the action, including the Department’s determination of whether the action shall be postponed under Regulation .06 of this chapter if it is appealed, and the opportunity for a hearing;

The opportunity to appeal the Department’s action within the time limits set forth in Regulation .05 of this chapter;

10 business days advance notice of the time and place of the hearing to provide all parties involved sufficient time to prepare for the hearing;

The opportunity to present the person’s case and at least one opportunity to reschedule the hearing date upon specific request;

The opportunity to confront and cross-examine adverse witnesses;

The opportunity to be represented by counsel or, in the case of an SFMNP recipient, by a representative designated by the recipient, if desired;

The opportunity to review the case record before the hearing; and

Written notification of the decision in the appeal, within 60 days from the date of receipt of the request for a hearing by the Department.

Regulation .08 Department’s Decision.Link Copy Citation

The Department’s action shall rest solely on the evidence presented at the hearing and the statutory and regulatory provisions governing such hearings. The basis for the Department’s decision shall be stated in writing.

Regulation .09 Continuing Responsibilities.Link Copy Citation

When a farmer or local agency appeals an adverse action and is permitted to continue in the FMNP while the appeal is pending, the farmer or local agency continues to be responsible for compliance with all FMNP regulations and the terms of the written agreement or contract with the Department.

Regulation .10 Judicial Review.Link Copy Citation

An SFMNP applicant or recipient, a local agency, or a farmer affected by an adverse decision of the Secretary may file a petition for judicial review in the appropriate circuit court as required by the Maryland Rules of Procedure.

Regulation .11 Mediation.Link Copy Citation

If a person affected by an adverse action of the Department has filed an appeal with the Secretary, the person may request that the appeal process be paused for 60 days to attempt to resolve the matter through the Department’s Mediation Program. If the matter is not resolved through mediation by the end of the 60-day period, the appeal process shall resume.

Chapter 19. Certified Local Farm Enterprise Program

Regulation .01 General — Purpose.Link Copy Citation

Each procurement agency shall structure its procurement procedures for food to try to achieve an overall goal of 20 percent of the unit’s total dollar value of all such procurement contracts made directly or indirectly from Certified Local Farm Enterprises.

Regulation .02 Scope.Link Copy Citation

This chapter applies to every procurement of food by a procurement agency.

Regulation .03 Definitions.Link Copy Citation

In this chapter, the following terms have the meanings indicated.

Terms Defined.

(1)

“Certification” means a determination by the Office for the Certified Local Farm Enterprise Program through the procedures outlined in this chapter that a legal entity is a Certified Local Farm Enterprise for purposes of these regulations.

(2)

“Certified Local Farm Enterprise” means a local farm enterprise that holds a certification issued by the Office for the Certified Local Farm Enterprise Program.

(3)

“Department” means the Maryland Department of Agriculture.

(4)

“Food” or “food product” means any locally grown agricultural, horticultural, vegetable, or fruit product of the soil, including livestock, meats, poultry, eggs, dairy products, nuts, honey, and every food product of a farm, a forest, an orchard, a garden or water.

(5)

“Locally grown” means food grown in Maryland or within 50 miles of the Maryland State border.

(6)

“Office” means the Office for the Certified Local Farm Enterprise Program.

(7)

“Procurement agency” means a principal department or independent unit of the Executive Branch of the State, not otherwise exempted from application of this chapter, that is authorized under State law to procure food.

(8)

“Program” means the Certified Local Farm Enterprise Program.

(9)

“Solicitation” means public notice of a solicitation for bids, offers, or expressions of interest which contains the nature of the procurement, relevant dates, the availability of solicitation documents, if any, and other pertinent information. The notice may consist of, but is not limited to:

(a)

Legal advertisement;

(b)

Newspaper notice;

(c)

Bid board notice;

(d)

Bid or proposal documents including the invitation for bids or request for proposals; or

(e)

eMaryland Marketplace notice.

Regulation .04 Criteria to Become a Certified Local Farm Enterprise.Link Copy Citation

To become a Certified Local Farm Enterprise, the Office need only determine that a local farm enterprise meets the nutrient management requirements established under Agriculture Article, Title 8, Subtitle 8, Annotated Code of Maryland. No other criteria shall be required for certification.

The Office shall certify and decertify local farm enterprises through a single process, which may occur by mail, hand-delivery, or electronic application on a form created by the Office. The Office may decertify a local farm enterprise that no longer meets the nutrient management requirements established under Agriculture Article, Title 8, Subtitle 8, Annotated Code of Maryland.

The Office may consider initial applications for certification at any time. The Office shall re-certify local farm enterprises on an annual basis in January of each year.

The Office may decertify any local farm enterprise if the Department determines that a local farm enterprise does not meet the nutrient management requirements established under Agriculture Article, Title 8, Subtitle 8, Annotated Code of Maryland.

Regulation .05 Central Directory.Link Copy Citation

The Office shall publish and maintain in an electronic format available to the general public through the internet a Central Directory of local farm enterprises it has certified under this chapter. The Central Directory shall specify the type of food primarily provided by and the date of certification of the Certified Local Farm Enterprise and shall include the address, phone number, and contact person for the Certified Local Farm Enterprise.

The Central Directory shall include all contract information available to the Office for the Certified Local Farm Enterprise, except when disclosure is prohibited by State Government Article, Title 10, Subtitle 6, Part III, Annotated Code of Maryland, and the certification number of the local farm enterprise.

The Central Directory may include other information the Office considers necessary or appropriate to encourage participation in the procurement process by Certified Local Farm Enterprises.

The Central Directory:

(1)

Shall be continuously updated each year;

(2)

Shall identify the date of certification for each local farm enterprise that has obtained certification during the previous calendar year;

(3)

Shall include a list of all local farm enterprises that have become ineligible to participate in the Program in the previous calendar year because they have been decertified; and

(4)

May not include any local farm enterprise that has a pending certification application.

Regulation .06 Procurement Solicitations.Link Copy Citation

To attain the Certified Local Farm Enterprise purpose under Regulation .01 of this chapter, a procurement agency shall set an overall Certified Local Farm Enterprise participation goal of 20 percent of the unit's total dollar value of all procurement contracts for food.

Prebid and Preproposal Conferences. When prebid or preproposal conferences are held, the procurement agency shall explain the Certified Local Farm Enterprise provisions of the solicitation, the documentation required, and their relationship to the determinations that will be made in connection with the evaluation process.

Regulation .07 Waiver.Link Copy Citation

An agency head may waive any of the provisions of Regulation .06 of this chapter for a sole-source, expedited, or emergency procurement in which the public interest cannot reasonably accommodate use of those procedures.

If, for good reason, the apparent successful bidder or offeror is unable to achieve the overall Certified Local Farm Enterprise contract goal, the bidder or offeror shall submit to the procurement agency the following documentation in support of a waiver request:

(1)

A detailed statement of the efforts made to utilize Certified Local Farm Enterprises;

(2)

A detailed statement of the efforts made to contact and negotiate with Certified Local Farm Enterprises, including:

(a)

The names, addresses, dates, and telephone and certification numbers of Certified Local Farm Enterprises contacted;

(b)

A description of the information provided to Certified Local Farm Enterprises contacted regarding any solicitation; and

(3)

A list of Certified Local Farm Enterprises found to be unavailable.

A procurement agency may only grant a waiver of a Certified Local Farm Enterprise contract goal upon a reasonable demonstration by the bidder or offeror that Certified Local Farm Enterprise participation was unable to be obtained, or was unable to be obtained at a reasonable price, and if the agency head or designee determines that the public interest is served by a waiver. In making a determination under this section, the agency head or designee may consider supply estimates, food prices, general market availability, and availability of Certified Local Farm Enterprises in the area where the food is to be supplied, other bids or offers substantiating significant variances between Certified Local Farm Enterprises and noncertified suppliers, and their impact on the overall cost of the contract to the State and any other relevant factor.

The Office may waive any of the requirements of this chapter for a sole-source, expedited, or emergency procurement in which the public interest cannot reasonably accommodate use of the requirements in this chapter.

When a waiver is granted, one copy of the waiver determination and the reasons for the determination shall be kept by the Office.

Not later than July 31 of each year, the Office shall submit directly to the Board of Public Works an Annual Report of Waivers Granted under this regulation.

The report required under §F of this regulation shall contain the following information on those contracts where Certified Local Farm Enterprise goals are present and one or more waiver requests have been approved:

(1)

The contract titles, numbers, and dates;

(2)

The number of waiver requests received;

(3)

The number of waiver requests granted; and

(4)

Any other information specifically requested by the Board of Public Works.

The Board of Public Works shall:

(1)

Retain a copy of the Annual Report of Waivers Granted; and

(2)

Forward a copy of the Annual Report of Waivers Granted to the Senate Education, Health and Environmental Affairs Committee and the House Health and Government Operations Committee on or before October 1 of each year.

Regulation .08 Amendment of Procurement Bid.Link Copy Citation

If, at any time after submission of a bid or proposal and before execution of a contract, a bidder or offeror determines that a Certified Local Farm Enterprise listed on the Certified Local Farm Enterprise participation schedule has become or will become unavailable or ineligible to provide the food products required under the contract, then the bidder or offeror:

(1)

Within 72 hours of making the determination, shall provide written notice to the procurement officer; and

(2)

Within 5 business days of making the determination, may make a written request to the procurement officer to amend the Certified Local Farm Enterprise participation portion of the bid.

For purposes of this regulation, “ineligible” means a farm enterprise may not be counted toward meeting the goal of 20 percent of the unit's total dollar value of a procurement contract because the farm enterprise is no longer certified by the Office.

The request to amend the Certified Local Farm Enterprise participation shall include:

(1)

An explanation of the reason for excluding the ineligible supplier;

(2)

The name of each Certified Local Farm Enterprise that will substitute for the ineligible supplier; and

(3)

A full description of the bidder's or offeror's efforts to substitute another Certified Local Farm Enterprise to supply the food that the unavailable or ineligible Certified Local Farm Enterprise would have supplied.

If a bidder or offeror cannot designate a substitute Certified Local Farm Enterprise for an ineligible supplier, the bidder or offeror’s bid may be disqualified.

If, during the term of a procurement contract, a Certified Local Farm Enterprise becomes decertified, the bidder or offeror shall designate within 30 calendar days a substitute Certified Local Farm Enterprise to complete the contract obligations.

Regulation .09 Compliance.Link Copy Citation

Each procurement agency is responsible for ensuring compliance with Certified Local Farm Enterprise participation goals.

To ensure compliance with Certified Local Farm Enterprise participation goals, each procurement agency shall:

(1)

Verify that the Certified Local Farm Enterprises listed in the Certified Local Farm Enterprise participation contract are actually providing farm products and receiving required compensation; and

(2)

Monitor and collect data on contractor compliance with Certified Local Farm Enterprise participation goals.

The contractor shall permit the procurement agency to inspect any relevant matter, including records.

Upon determining that a contractor did not make good faith efforts to comply with Certified Local Farm Enterprise participation goals, the procurement agency shall notify the contractor in writing of its findings and shall specify what corrective actions are required. The contractor shall initiate the corrective actions within 10 calendar days and complete them within the time specified by the procurement agency.

If a procurement agency determines that material noncompliance with local farm enterprise contract provisions exists and that the contractor refuses or fails to take the corrective action required by the procurement agency, then the following sanctions may be invoked:

(1)

Termination of the contract;

(2)

Referral to the Office of the Attorney General for appropriate action; or

(3)

Initiation of any other specific remedy identified by contract.

Upon completion of any contract, the procurement agency shall:

(1)

Prepare a report that compares the dollar value of the payments actually received by Certified Local Farm Enterprises with the dollar value of the amount that Certified Local Farm Enterprises were intended to have received under the contract's Certified Local Farm Enterprise participation goal; and

(2)

Include in the report an explanation of any discrepancy.

A procurement agency may use any other compliance mechanism authorized by contract or this chapter.

Regulation .10 Reporting.Link Copy Citation

Within 90 days after the end of each fiscal year, each procurement agency shall report to the Office.

A report under this regulation for the preceding fiscal year shall:

(1)

State the total number and value of procurement contracts for food, as applicable, between the procurement agency; and

(a)

A Certified Local Farm Enterprise; or

(b)

A primary contractor, showing the number and value of contracts that the primary contractor has with Certified Local Farm Enterprises;

(2)

State the percentage that those procurement contracts for food in §B(1) of this regulation represents of the total number and value of procurement contracts for food awarded by the procurement agency;

(3)

State the total number and the names of Certified Local Farm Enterprises that participated in procurement contracts for food awarded by the procurement agency; and

(4)

For each Certified Local Farm Enterprise included in the report under §B(3) of this regulation, list all procurement contracts for food awarded by the procurement agency to the Certified Local Farm Enterprise or a vendor who has contracted with a Certified Local Farm Enterprise, including a description of the contract.

Reports required by this regulation shall be:

(1)

In a form prescribed by the Office; and

(2)

Approved by the Board of Public Works.

Chapter 20. Urban Agriculture Water and Power Infrastructure Grant Program

Regulation .01 General.Link Copy Citation

This chapter establishes the Urban Agriculture Water and Power Infrastructure Grant Program. The purpose of the Program is to increase the viability of urban farming and community and to improve access to urban-grown foods.

Regulation .02 Definitions.Link Copy Citation

A In this chapter, the following terms have the meaning indicated.

B Terms Defined.

(1)

“Department” means Maryland Department of Agriculture.

(2)

“Eligible cost” means a cost that the Department determines is necessary for the purchase and installation of:

(a)

Water meters;

(b)

Water pipes;

(c)

Irrigation hoses;

(d)

Electric meters;

(e)

Electric lines; or

(f)

Any other equipment associated with water supply and irrigation or electric power access that may be required to provide water or electrical power to operation.

(3)

“Farm product” means:

(a)

Any agricultural, horticultural, vegetable, or fruit product of the soil, whether raw or canned, frozen, dried, pickled, or otherwise processed;

(b)

Livestock, meats, marine food products, poultry, eggs, or dairy products;

(c)

Wool, hides, feathers, nuts, or honey; or

(d)

Any product of farm, forest, orchard, garden, or water.

(4)

“Program” means the Urban Agriculture Water and Power Infrastructure Grant Program.

(5)

“Project” means the installation of equipment associated with water supply and irrigation or electric power access to provide water or electrical power to a farm or community garden in an urban area.

(6)

“Qualified nonprofit organization” means a nonprofit organization that is organized and operated exclusively for exempt purposes under §501(c)(3) of the Internal Revenue Code and operates a farm or community garden in an urban area.

(7)

“Urban agricultural producer” means any person that:

(a)

Annually produces farm products in an urban area; and

(b)

Sells, plans to sell, or normally would have sold at least $1,000 annually of farm products produced from a farming operation.

(8)

“Urban area” means an area of the State delineated as an urban area by the U.S. Census Bureau set forth in “Urban Area Criteria for the 2020 Census—Final Criteria”, at 87 Federal Register 16706 (March 24, 2022).

Regulation .03 Eligibility.Link Copy Citation

An urban agricultural producer or qualified nonprofit organization is eligible to apply for financial assistance under the Program to install equipment associated with water supply and irrigation or electric power access to provide water or electrical power to a farm or community garden in an urban area.

Regulation .04 Application Procedures.Link Copy Citation

A person who applies for cost-sharing funds under the Program shall submit to the Department the following:

An application on a Department form, including a project narrative describing the proposed project, which shall include an approximate total project cost figure based on all eligible costs;

A map identifying the project location, street address and parcel boundaries of the operation;

For a nonprofit organization:

(1)

A favorable determination letter from the Internal Revenue Service that the organization meets the requirements of §501(c)(3) of the Internal Revenue Code; and

(2)

A letter of good standing with the State of Maryland Department of Assessments and Taxation;

Documentation supporting the sale or anticipated sale of at least $1,000 annually of farm products from the farming operation in the State;

Except for an individual applying on the individual’s own behalf, documentation establishing that person’s authority to sign on behalf of the organization on all matters related to the Program; and

A completed Current Nutrient Management Plan Certification form or Nutrient Management Plan Waiver, as applicable.

Regulation .05 Application Review and Approval.Link Copy Citation

Department Approval or Disapproval of Application.

(1)

If the Department approves a project, it shall base the amount of State cost-sharing funds on:

(a)

The eligibility of the applicant; and

(b)

The lack of existing water or power infrastructure to the operation.

(2)

Department shall disapprove an application for any of the following reasons:

(a)

The application is incomplete or does not comply with these regulations;

(b)

The applicant’s land is not used for agricultural purposes;

(c)

The application is for a project which is already under construction; or

(d)

No funds are available.

Within 30 days, the Department shall notify the applicant if an application is approved. If the application has been approved, the Department shall inform the applicant of the estimated State cost-sharing amount for the project and the applicant’s required matching amount. If the application has not been approved, the Department shall inform the applicant of the reason it has been denied.

Regulation .06 Cost-Sharing Agreement.Link Copy Citation

The Department and the applicant shall execute an agreement. The agreement, among other things, shall obligate the applicant to:

(1)

Establish, construct, or install utilities in accordance with the jurisdictions permit specifications;

(2)

Maintain the utility for at least five years from date of completion;

(3)

Bind any successor in title for the life of the project as specified in the agreement; and

(4)

Provide any required funds for the project.

Before the Department executes a cost-sharing agreement with a farm tenant, it shall obtain the consent of the landlord to the terms and conditions of the agreement.

Regulation .07 Project Establishment.Link Copy Citation

After all parties execute a cost-sharing agreement, an applicant shall begin the approved project.

The applicant shall be responsible for all steps in completing the project, including, but not limited to, obtaining any necessary permits and the services of contractors or obtaining any necessary materials or equipment to complete project construction.

Regulation .08 Distribution of Cost-Sharing Funds.Link Copy Citation

The applicant who executes a cost-sharing agreement shall be paid in accordance with the following payment schedule:

(1)

Upon receipt of all required construction permits, up to 25 percent of the estimated costs as outlined in the cost-sharing agreement;

(2)

Upon commencement of construction, up to 50 percent of estimated costs as outlined in the cost-sharing agreement minus any payment made previously; and

(3)

Upon completion of project and satisfactory final inspection, 87.5 percent of realized eligible costs minus any payments made previously.

Except for payments described in §A(1) and (2) of this regulation, the applicant shall document all eligible costs on an itemized statement. Each itemized cost shall be supported by payment receipts or unpaid invoices from vendors. Each receipt shall be signed by the person who executes a cost-sharing agreement and certified that each cost is true and correct to the best of that person's knowledge. Each payment receipt or unpaid invoice shall show the following:

(1)

Vendor names;

(2)

Type of material, labor, or equipment used on the project; and

(3)

The unit cost paid for the item, the total amount paid to the vendor, and the date payment was received.

The applicant shall complete and submit to the Department a departmental claim for payment form for each scheduled payment outlined in §A of this regulation.

Regulation .09 Project Monitoring.Link Copy Citation

After the Department has distributed cost-sharing funds, the Department shall monitor projects to see if they are maintained in accordance with the agreement. Any violations shall be documented on a departmental form, a copy of which shall be provided to the applicant.

Regulation .10 Failure to Establish or Maintain Project or to Have or Comply with Nutrient Management Plan.Link Copy Citation

If the applicant fails to establish, install, construct, or maintain the project in accordance with any agreement executed with the Department, that applicant shall be liable for the full amount of State cost-sharing funds paid for any practice that was not implemented or maintained. However, the applicant is not liable for inadequate maintenance or destruction of a best management practice if caused by an act of nature that could not be reasonably anticipated.

If the applicant is required to have a nutrient management plan under Agriculture Article, Title 8, Subtitle 8, Annotated Code of Maryland, and fails to obtain a nutrient management plan or to comply with this plan, the Department may require repayment of the cost-sharing funds it paid towards installation of the project.

Regulation .11 Administrative Reporting.Link Copy Citation

The Department shall submit a report to the Governor, the Senate Budget and Taxation Committee, and the House Appropriations Committee on the effectiveness of the funding provided for the Program by October 15 of each year.

Chapter 21. Urban Agriculture Grant Program

Regulation .01 General.Link Copy Citation

This chapter establishes the Urban Agriculture Grant Program. The purpose of the Program is to:

Increase the viability of urban farming; and

Improve access to urban-grown foods.

Regulation .02 Definitions.Link Copy Citation

In this chapter, the following terms have the meaning indicated.

Terms Defined.

(1)

“Department” means Maryland Department of Agriculture.

(2)

“Eligible Cost” means a cost:

(a)

To secure real property, limited to 20 percent of the grant amount;

(b)

To make capital improvements;

(c)

For operating expenses, limited to 15 percent of the amount of the grant; or

(d)

That maintains safe, environmentally sustainable, and socially responsible practices.

(3)

“Farm product” means:

(a)

Any agricultural, horticultural, vegetable, or fruit product of the soil, whether raw or canned, frozen, dried, pickled, or otherwise processed;

(b)

Livestock, meats, marine food products, poultry, eggs, or dairy products;

(c)

Wool, hides, feathers, nuts, or honey; and

(d)

Every product of farm, forest, orchard, garden, or water.

(4)

“Healthy Food Priority Area” means a census tract in which:

(a)

At least 25 percent of the residents qualify as low-income according to the most recent U.S. Census Bureau survey; or

(b)

Accessibility to supermarkets, grocery stores, or other sources of healthy affordable food, including fresh fruits and vegetables, is limited (which may be determined using measurements and indicators that can be found in the Food Access Research Atlas published by the USDA Economic Research Service).

(5)

“Program” means the Urban Agriculture Grant Program.

(6)

“Qualified nonprofit organization” means a nonprofit organization that is organized and operated exclusively for exempt purposes under §501(c)(3) of the United States Code and operates a farm or community garden in an urban area.

(7)

“Safe, environmentally sustainable, and socially responsible practices” include those that:

(a)

Aim to minimize negative impacts on the environment such as practices that:

(i)

Promote soil health;

(ii)

Prevent soil erosion; and

(iii)

Manage water resources (e.g., utilize efficient irrigation techniques such as drip irrigation);

(b)

Ensure fair treatment of workers; and

(c)

Support local communities by providing locally produced fruits and vegetables.

(8)

“Socially disadvantaged urban farmer” means an urban agricultural producer who is a limited resource farmer (e.g., a farmer who has low household income and low gross farm sales), and may include a beginning farmer who is similarly situated.

(9)

“Steward” means the owner of the land or a person who has control and possession of the land through a written lease.

(10)

“Urban agricultural producer” means any person that annually sells, or normally would have sold, $1,000 or more of farm products in an urban area.

(11)

“Urban area” means an area of the State that is:

(a)

Delineated as an urban area by the U.S. Census Bureau; or

(b)

Within the boundaries of a municipal corporation.

Regulation .03 Eligibility.Link Copy Citation

An urban agricultural producer is eligible to apply for financial assistance under the program provided the person:

(1)

Is in compliance with the State’s Nutrient Management Law under Agriculture Article, §§8-801 et seq., Annotated Code of Maryland; and

(2)

Agrees to complete a new farming training course, provides documentation of having completed a new farming training course, or participates in Department-approved continuing education programs.

A nonprofit organization or an institute of higher education is qualified to receive a grant if the Department determines that:

(1)

With respect to a nonprofit organization, the nonprofit organization is incorporated in or maintains its principal place of business in an urban area;

(2)

The entity will provide urban agricultural producers who receive grants under this Program direct training and ongoing technical assistance in accordance with a program certified by the U.S. Department of Agriculture or the Department; and

(3)

The entity works to increase the viability of urban farming and improve access to urban-grown foods.

Regulation .04 Application Procedures.Link Copy Citation

A qualified applicant that applies for grant funds under the program shall submit to the Department the following:

(1)

If the applicant is an urban agricultural producer:

(a)

An application on a Department-produced form which shall include a budget estimate of the overall eligible costs;

(b)

A map identifying the location of the operation including its street address and the parcel boundaries of the land on which the operation is situated;

(c)

Documentation showing that the person annually sells, or would normally have sold, in an urban area at least $1,000 of farm products from the person’s farming operation;

(d)

Except for an individual applying on the individual’s own behalf, documentation proving the applicant’s authority to sign on behalf of the organization on all matters related to the program;

(e)

A completed Current Nutrient Management Plan Certification form or Nutrient Management Plan Waiver, as applicable; and

(f)

A completed IRS Tax Form W-9.

(2)

If the applicant is a non-profit organization or institution of higher education:

(a)

An application based on a Department-approved form which shall include a budget estimate of the overall eligible costs; and

(b)

For qualified nonprofit organizations:

(i)

A current IRS Determination Letter indicating its §501(c)3 status under Title 26 of the United States Code; and

(ii)

Evidence of good standing with the State of Maryland;

Use of Grant Funds.

(1)

Limitations. A grant recipient may use a grant under this program to:

(a)

Secure real property:

(i)

That has established the necessary infrastructure to grow food;

(ii)

For which the grantee is the steward of the real property; and

(iii)

For which no more than 20 percent of the grant money will be used to secure property;

(b)

Maintain safe, environmentally sustainable, and socially responsible practices; and

(c)

Make capital improvements to support viable urban agriculture enterprises.

(2)

To receive a grant under this program, the applicant shall demonstrate that the funds the person receives will provide a measurable community benefit including, but not limited to, improving local food access; and

(3)

A grant recipient may not use more than 15 percent of the amount of the grant for operating expenses.

Regulation .05 Application Review and Approval.Link Copy Citation

The Department to Approve or Disapprove an Application.

(1)

If the Department approves a project, it shall base the amount of State grant funds on:

(a)

The eligibility of the applicant;

(b)

Whether, and the degree to which, the project provides a benefit to socially disadvantaged urban farmers;

(c)

Whether, and the degree to which, the project increases the viability of urban farming;

(d)

Whether, and the degree to which, the project improves access to urban-grown foods; and

(e)

Whether, and the degree to which, the project provides urban grown foods to urban areas designated as a Healthy Food Priority Area.

(2)

The Department shall disapprove an application for any of the following reasons:

(a)

The application is incomplete or does not comply with these regulations;

(b)

The applicant’s land is not used for agricultural purposes;

(c)

The application is for a project which is already under construction; or

(d)

The Department has no available funds.

Within 30 days from receipt of an application, the Department shall notify the applicant whether the application has been approved and the amount of the grant funds awarded.

Regulation .06 Grant Agreement.Link Copy Citation

Urban Agricultural Producer.

(1)

The Department and the applicant shall execute an agreement that, among other things, obligates the applicant to:

(a)

Institute or install the project and to maintain it for the life of the project, that being, 5 years from the date of purchase or installation;

(b)

Use, follow, or maintain items acquired under the grant as recommended by the manufacturer to promote safe, environmentally sustainable, and socially responsible practices;

(c)

Maintain capital improvements as constructed or installed under the grant based on manufacturer’s recommendations for the life of the project as specified within this Agreement;

(d)

Demonstrate that the project provides a measurable community benefit including, but not limited to, improving local food access; and

(e)

If necessary, provide additional funds on balances to institute or install the project beyond the awarded funding.

(2)

Before the Department executes a grant agreement with a farm tenant, the farm tenant shall obtain the landowner’s consent to proceed with the project as specified under the terms and conditions of the grant agreement.

Non-Profit Organization and Institutes of Higher Education. The Department and the applicant shall execute an agreement, that among other things, requires the entity to:

(1)

Outline the curriculum for each course being offered;

(2)

Outline each course being administered in-person, virtually, or combination of both; and

(3)

Indicate the number of attendees that have received the Program’s assistance.

(4)

Provide a final report to the Department within 90 days after the end of the grant cycle.

Regulation .07 Project Establishment.Link Copy Citation

After all parties execute a grant agreement, an applicant shall begin the approved project.

The applicant shall be responsible for all steps in completing the project, including, but not limited to, obtaining any necessary:

(1)

Permits;

(2)

The services of contractors to install or complete the project; or

(3)

Materials or equipment to install or complete the project.

Regulation .08 Distribution of Grant Funds.Link Copy Citation

The applicant who executes a grant agreement shall be paid in accordance with the following payment schedule:

(1)

Upon receipt of the approval letter, the person may request up to 50 percent of the award as outlined in the grant agreement;

(2)

Upon submitting a Progress Report on a Departmental form as set forth in §B(1) of this regulation, the person may request up to 40 percent of the award as outlined in the grant agreement;

(3)

Upon completion of the Final Progress Report on a Departmental form as set forth in §B(2) of this regulation, the remaining 10 percent of the award as outlined in the grant agreement can be requested for payment.

Reports.

(1)

Progress Report. The Progress Report shall contain the following at a minimum:

(a)

A narrative describing the work that has been completed thus far;

(b)

A plan for remaining work to be completed;

(c)

A summary of the project budget and schedule;

(d)

A list of action items; and

(e)

A narrative identifying any issues and risks, and what is being done to rectify them.

(2)

Final Report. The Final Report shall contain the following at a minimum:

(a)

A project summary narrative;

(b)

A summary of how the project budget was utilized;

(c)

Project Outputs (training events, outreach, sales of farm products and location of sales, etc.);

(d)

Project Impacts (number of people benefitted/trained); and

(e)

Any additional information requested by the Department.

The applicant shall document all eligible costs on an itemized statement. Each itemized cost shall be supported by payment receipts or unpaid invoices from vendors. Each receipt shall be signed by the person who executes a cost share agreement and certified that each cost is true and correct to the best of that person's knowledge. Each payment receipt or unpaid invoice shall show the following:

(1)

Vendor, or vendors names and addresses;

(2)

Type of material, labor, equipment, or item purchased; and

(3)

The unit cost for the item, the total amount per item, and any payments made to the vendor.

The applicant shall complete and submit to the Department, utilizing a departmental claim for payment form, each scheduled payment outlined in §A of this regulation.

Regulation .09 Project Monitoring—Violations of Agreement.Link Copy Citation

After the Department has distributed grant funds, the Department shall monitor that purchases are utilized and maintained in accordance with the agreement. Any violations shall be documented on a departmental form, a copy of which shall be provided to the applicant.

If the applicant fails to comply with any portion of the agreement executed with the Department, that applicant shall be liable for the full amount of State grant funds paid. However, the applicant is not liable for inadequate maintenance or destruction of the items purchased if caused by an act of nature that could not be reasonably anticipated.

Regulation .10 Administrative Reporting.Link Copy Citation

The Department shall submit a report to the Governor, the Senate Budget and Taxation committee, and the House Appropriations Committee on the effectiveness of the funding provided for this Program by December 30 of each year.

Chapter 22. Class 4 Limited Winery License Exemption for Maryland-Grown Agricultural Products

Regulation .01 Purpose.Link Copy Citation

This chapter establishes the criteria and procedure for the Secretary to grant exemptions to Class 4 Limited Winery License applicants from the ingredient percentage requirement set forth in Alcoholic Beverages and Cannabis Article, §2-206(c)(2)(ii), Annotated Code of Maryland.

Regulation .02 Definitions.Link Copy Citation

The following terms have the meanings indicated.

Terms Defined.

(1)

“Class 4 Limited Winery License holder” means a person who holds a Class 4 Limited Winery License that owns or has under contract less than 20 acres of Maryland-grown agricultural products in cultivation.

(2)

“Maryland-grown agricultural product” means any product produced or cultivated on a farm or vineyard in the State other than cannabis or any other product containing tetrahydrocannabinol as defined in Alcoholic Beverages and Cannabis Article, §36-1102, Annotated Code of Maryland.

(3)

“Secretary” means the Secretary of Agriculture.

Regulation .03 Application for Exemption.Link Copy Citation

Time of Application. A Class 4 Limited Winery License holder may submit a written application to the Secretary requesting a 1-year exemption from the requirement set forth in Alcoholic Beverages and Cannabis Article, §2-206(c)(2)(ii), Annotated Code of Maryland, that at least 51 percent of the ingredients used in the annual production of the license holder’s wine are Maryland-grown agricultural products.

Decision on Application. Within 30 days after a completed exemption application is received pursuant to §A of this regulation, the Secretary shall issue a decision granting or denying the application.

Duration of Exemption. An exemption granted by the Secretary under this chapter shall be valid for 1 year following the date the application is granted by the Secretary.

Regulation .04 Criteria and Basis for Granting Exemption.Link Copy Citation

Criteria. In deciding whether to grant a Class 4 Limited Winery holder’s request for an exemption under Regulation .03 of this chapter, the Secretary shall consider how the following events or factors may have affected the person within the year before filing the application:

(1)

Weather disasters, including but not limited to excessive moisture, frost, winter kill, or hurricanes;

(2)

Disease;

(3)

Pest pressure;

(4)

Chemical damage;

(5)

Steps taken by the applicant to minimize the need for the requested exemption; and

(6)

Any other event or factor that the Secretary deems relevant for deciding whether to grant an applicant’s request for a 1-year exemption from the ingredient percentage requirement set forth in Alcoholic Beverages and Cannabis Article, §2-206(c)(2)(ii), Annotated Code of Maryland, including, but not limited to, whether the Secretary:

(a)

Determines that the event or factor is deemed to be one that was outside the control of the applicant; or

(b)

Has previously granted the Class 4 Limited Winery License holder an exemption from the ingredient percentage requirement set forth in Alcoholic Beverages and Cannabis Article, §2-206(c)(2)(ii), Annotated Code of Maryland, and, if so, the number of times that the person has been granted this exemption.

Basis for Exemption. The Secretary may grant the Class 4 Limited Winery License holder’s request for an exemption if the person can demonstrate that:

(1)

The failure to meet the ingredient percentage requirement set forth in Alcoholic Beverages and Cannabis Article, §2-206(c)(2)(ii), Annotated Code of Maryland, resulted from at least one of the events or factors identified in §A of this regulation; and

(2)

Despite having taken reasonable steps to secure at least 51 percent of the ingredients used in the annual production of the licensed holder’s wine are Maryland-grown agricultural products, the Class 4 Limited Winery License holder is unable to meet the statutory percentage requirement.

The Secretary may deny a Class 4 Limited Winery License holder’s request for an exemption if the person has been granted an exemption for each of the previous 4 years.

Title 15 — Subtitle 01. Office of the Secretary

Chapter 01. Procedural Regulations

Regulation .01 Definitions.LinkCopy Citation

Regulation .02 Procedural Regulations — Promulgation of Regulations.LinkCopy Citation

Regulation .03 Procedural Regulations — Contested Cases.LinkCopy Citation

Chapter 02. Distribution of Funds for the Maintenance of Drainage Systems for Agricultural Land

Regulation .01 Cost Sharing.LinkCopy Citation

Regulation .02 Requirements for Application for Cost Sharing.LinkCopy Citation

Regulation .03 Criteria for Allocation of Cost Sharing Funds.LinkCopy Citation

Chapter 03. Approval of the Secretary of Agriculture for the Giving Away of Live Animals as Prizes

Regulation .01 Permission of the Secretary.LinkCopy Citation

Regulation .02 Requests for Approval.LinkCopy Citation

Regulation .03 Approval of Requests.LinkCopy Citation

Chapter 04. Public Information Act Requests

Regulation .01 Scope.LinkCopy Citation

Regulation .02 Policy.LinkCopy Citation

Regulation .03 Definitions.LinkCopy Citation

Regulation .04 Secretary as Official Custodian.LinkCopy Citation

Regulation .05 Who May Request Public Records.LinkCopy Citation

Regulation .06 Necessity for Written Request.LinkCopy Citation

Regulation .07 Contents of Written Request.LinkCopy Citation

Regulation .08 Addressee.LinkCopy Citation

Regulation .09 Response to Request.LinkCopy Citation

Regulation .10 Notice to and Consideration of Views of Person Potentially Affected by Disclosure.LinkCopy Citation

Regulation .11 Electronic Records.LinkCopy Citation

Regulation .12 Public Record Destroyed or Lost.LinkCopy Citation

Regulation .13 Review of Denial.LinkCopy Citation

Regulation .14 Disclosure Against Public Interest.LinkCopy Citation

Regulation .15 Fees.LinkCopy Citation

Regulation .16 Time and Place of Inspection.LinkCopy Citation

Chapter 05. Cost Sharing — Water Pollution Control Program

Regulation .01 General.LinkCopy Citation

Regulation .02 Definitions.LinkCopy Citation

Regulation .03 Program Eligibility — Priority and Geographic Areas for Water Pollution Control.LinkCopy Citation

Regulation .04 Application Procedures.LinkCopy Citation

Regulation .05 Application Review and Approval.LinkCopy Citation

Regulation .06 Technical Assistance by the District.LinkCopy Citation

Regulation .07 Cost Sharing Agreement.LinkCopy Citation

Regulation .08 Project Establishment.LinkCopy Citation

Regulation .09 Project Supervision.LinkCopy Citation

Regulation .10 Distribution of Cost Sharing Funds.LinkCopy Citation

Regulation .11 Project Monitoring.LinkCopy Citation

Regulation .12 Failure to Establish or Maintain Best Management Practices.LinkCopy Citation

Chapter 06. Correction or Amendment of Public Records

Regulation .01 Scope.LinkCopy Citation

Regulation .02 Definitions.LinkCopy Citation

Regulation .03 Who May Request.LinkCopy Citation

Regulation .04 Contents of Request.LinkCopy Citation

Regulation .05 Addressee.LinkCopy Citation

Regulation .06 Return of Nonconforming Request.LinkCopy Citation

Regulation .07 Response to Request.LinkCopy Citation

Regulation .08 Refusal of Request.LinkCopy Citation

Regulation .09 Requirements for Statement of Disagreement.LinkCopy Citation

Regulation .10 Provide Statement of Disagreement.LinkCopy Citation

Regulation .11 Administrative Review.LinkCopy Citation

Chapter 07. Aquaculture Grant Program

Regulation .01 General.LinkCopy Citation

Regulation .02 Purpose.LinkCopy Citation

Regulation .03 Who May Apply.LinkCopy Citation

Regulation .04 Application Contents.LinkCopy Citation

Regulation .05 Application Review and Approval.LinkCopy Citation

Regulation .06 Grant Agreement.LinkCopy Citation

Regulation .07 Distribution of Grant.LinkCopy Citation

Regulation .08 Project Monitoring.LinkCopy Citation

Regulation .09 Failure to Establish or Operate a Project.LinkCopy Citation

Chapter 08. Conflicts of Interest Policy for Employees Who Own or Operate a Farm

Regulation .01 Scope.LinkCopy Citation

Regulation .02 Required Employee Disclosure.LinkCopy Citation

Regulation .03 Employment Participation Restrictions.LinkCopy Citation

Regulation .04 Ethics Law Restrictions.LinkCopy Citation

Regulation .05 Department Responsibilities.LinkCopy Citation

Regulation .06 Noncompliance.LinkCopy Citation

Regulation .07 Reports to the Ethics Commission.LinkCopy Citation

Regulation .08 Report to the General Assembly.LinkCopy Citation

Chapter 09. Advertising Agricultural Products as Local or Locally Grown

Regulation .01 Purpose.LinkCopy Citation

Regulation .02 Definitions.LinkCopy Citation

Regulation .03 Prohibition and Disclosure Statement.LinkCopy Citation

Regulation .04 Posting of Disclosure Statement.LinkCopy Citation

Regulation .05 Documentation Requirement.LinkCopy Citation

Regulation .01 Definitions.Link Copy Citation

Regulation .02 Procedural Regulations — Promulgation of Regulations.Link Copy Citation

Regulation .03 Procedural Regulations — Contested Cases.Link Copy Citation

Regulation .01 Cost Sharing.Link Copy Citation

Regulation .02 Requirements for Application for Cost Sharing.Link Copy Citation

Regulation .03 Criteria for Allocation of Cost Sharing Funds.Link Copy Citation

Regulation .01 Permission of the Secretary.Link Copy Citation

Regulation .02 Requests for Approval.Link Copy Citation

Regulation .03 Approval of Requests.Link Copy Citation

Regulation .01 Scope.Link Copy Citation

Regulation .02 Policy.Link Copy Citation

Regulation .03 Definitions.Link Copy Citation

Regulation .04 Secretary as Official Custodian.Link Copy Citation

Regulation .05 Who May Request Public Records.Link Copy Citation

Regulation .06 Necessity for Written Request.Link Copy Citation

Regulation .07 Contents of Written Request.Link Copy Citation

Regulation .08 Addressee.Link Copy Citation

Regulation .09 Response to Request.Link Copy Citation

Regulation .10 Notice to and Consideration of Views of Person Potentially Affected by Disclosure.Link Copy Citation

Regulation .11 Electronic Records.Link Copy Citation

Regulation .12 Public Record Destroyed or Lost.Link Copy Citation

Regulation .13 Review of Denial.Link Copy Citation

Regulation .14 Disclosure Against Public Interest.Link Copy Citation

Regulation .15 Fees.Link Copy Citation

Regulation .16 Time and Place of Inspection.Link Copy Citation

Regulation .01 General.Link Copy Citation

Regulation .02 Definitions.Link Copy Citation

Regulation .03 Program Eligibility — Priority and Geographic Areas for Water Pollution Control.Link Copy Citation

Regulation .04 Application Procedures.Link Copy Citation

Regulation .05 Application Review and Approval.Link Copy Citation

Regulation .06 Technical Assistance by the District.Link Copy Citation

Regulation .07 Cost Sharing Agreement.Link Copy Citation

Regulation .08 Project Establishment.Link Copy Citation

Regulation .09 Project Supervision.Link Copy Citation

Regulation .10 Distribution of Cost Sharing Funds.Link Copy Citation

Regulation .11 Project Monitoring.Link Copy Citation

Regulation .12 Failure to Establish or Maintain Best Management Practices.Link Copy Citation

Regulation .01 Scope.Link Copy Citation

Regulation .02 Definitions.Link Copy Citation

Regulation .03 Who May Request.Link Copy Citation

Regulation .04 Contents of Request.Link Copy Citation

Regulation .05 Addressee.Link Copy Citation

Regulation .06 Return of Nonconforming Request.Link Copy Citation

Regulation .07 Response to Request.Link Copy Citation

Regulation .08 Refusal of Request.Link Copy Citation

Regulation .09 Requirements for Statement of Disagreement.Link Copy Citation

Regulation .10 Provide Statement of Disagreement.Link Copy Citation

Regulation .11 Administrative Review.Link Copy Citation

Regulation .01 General.Link Copy Citation

Regulation .02 Purpose.Link Copy Citation

Regulation .03 Who May Apply.Link Copy Citation

Regulation .04 Application Contents.Link Copy Citation

Regulation .05 Application Review and Approval.Link Copy Citation

Regulation .06 Grant Agreement.Link Copy Citation

Regulation .07 Distribution of Grant.Link Copy Citation

Regulation .08 Project Monitoring.Link Copy Citation

Regulation .09 Failure to Establish or Operate a Project.Link Copy Citation

Regulation .01 Scope.Link Copy Citation

Regulation .02 Required Employee Disclosure.Link Copy Citation

Regulation .03 Employment Participation Restrictions.Link Copy Citation

Regulation .04 Ethics Law Restrictions.Link Copy Citation

Regulation .05 Department Responsibilities.Link Copy Citation

Regulation .06 Noncompliance.Link Copy Citation

Regulation .07 Reports to the Ethics Commission.Link Copy Citation

Regulation .08 Report to the General Assembly.Link Copy Citation

Regulation .01 Purpose.Link Copy Citation

Regulation .02 Definitions.Link Copy Citation

Regulation .03 Prohibition and Disclosure Statement.Link Copy Citation

Regulation .04 Posting of Disclosure Statement.Link Copy Citation

Regulation .05 Documentation Requirement.Link Copy Citation

Regulation .06 Penalty.Link Copy Citation

Regulation .01 Purpose.Link Copy Citation

Regulation .02 Definitions.Link Copy Citation

Regulation .03 Who May Apply for Grants.Link Copy Citation

Regulation .04 Grant Application Contents.Link Copy Citation

Regulation .05 Application Review and Approval.Link Copy Citation

Regulation .06 Grant Agreement.Link Copy Citation

Regulation .07 Distribution of Grant.Link Copy Citation

Regulation .08 Project Monitoring and Reporting.Link Copy Citation

Regulation .09 Penalties.Link Copy Citation