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<regulation prefix="Regulation" num=".10" citation="COMAR 26.11.34.10" title_num="26" subtitle_num="11" chapter_num="34" heading="Initial ZEV Credit Account Balances.">
  <paragraph num="A.">
    <text>Establishment of Credit Account Balances.</text>
    <paragraph num="(1)">
      <text>Upon request by a vehicle manufacturer, the Department shall establish ZEV credit account balances in Maryland that are:</text>
      <paragraph num="(a)">
        <text>For Type III ZEVS, equal to the Type III ZEV credit balance in California; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>For non-Type III ZEVs, proportionally equivalent to the ZEV credit balances of each of its ZEV credit accounts maintained in California.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(2)">
      <text>A manufacturer's Maryland ZEV credit account balance shall be determined as specified in §A(3) and (4) of this regulation only after all credit obligations for model years 2010 and earlier have been satisfied in California.</text>
    </paragraph>
    <paragraph num="(3)">
      <text>To determine Maryland ZEV credit account balances for non-Type III ZEVs, a manufacturer's California ZEV credit balances shall be multiplied in the following manner:</text>
      <paragraph num="(a)">
        <text>By the ratio of the average number of PCs, LDT1s, and applicable LDT2s produced and delivered for sale in Maryland in model years 2003 through 2005 to the average number of PCs, LDT1s, and applicable LDT2s produced and delivered for sale in California in model years 2003 through 2005; or</text>
      </paragraph>
      <paragraph num="(b)">
        <text>At the discretion of the vehicle manufacturer, by the ratio of the number of PCs, LDT1s, and applicable LDT2s produced and delivered for sale in Maryland in model year 2011 to the number of PCs, LDT1s, and applicable LDT2s produced and delivered for sale in California in model year 2011.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(4)">
      <text>The Maryland ZEV credit account balance for Type III ZEVs shall be set equal to the manufacturer's California Type III ZEV account balance.</text>
    </paragraph>
    <paragraph num="(5)">
      <text>The time period used by the manufacturer to determine the Maryland ZEV credit account balances in §A(3) of this regulation shall also be used to determine that manufacturer's model year 2011 ZEV sales requirements in Maryland under Regulation .09 of this chapter.</text>
    </paragraph>
    <paragraph num="(6)">
      <text>Manufacturers shall request the establishment of ZEV credit account balances under this regulation through written notification to the Department by May 1, 2011.</text>
    </paragraph>
    <paragraph num="(7)">
      <text>Manufacturers shall submit the required vehicle delivery data:</text>
      <paragraph num="(a)">
        <text>By September 1, 2011, if electing to utilize the methodology described in §A(3)(a) of this regulation; or</text>
      </paragraph>
      <paragraph num="(b)">
        <text>By March 1, 2012, if electing to utilize the methodology described in §A(3)(b) of this regulation.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(8)">
      <text>Nothing in this regulation shall affect the calculation of ZEV credits and debits earned under Regulation .09 of this chapter in model year 2011 in Maryland, which shall be treated as incremental to those established in this regulation.</text>
    </paragraph>
    <paragraph num="(9)">
      <text>If the validation of ZEV credit account balances under §B of this regulation extends beyond May 1, 2012:</text>
      <paragraph num="(a)">
        <text>The submittal deadline of May 1, 2012, for the California Zero Emissions Vehicle Requirements compliance report required under Regulation .13A(2)(c) of this chapter shall be waived; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>The manufacturer shall submit the California Zero Emissions Vehicle Requirements compliance report required under Regulation .13A(2)(c) of this chapter within 60 days of notification by the Department that the ZEV credit account balances have been validated.</text>
      </paragraph>
    </paragraph>
  </paragraph>
  <paragraph num="B.">
    <text>Validation of ZEV Credit Account Balances.</text>
    <paragraph num="(1)">
      <text>The establishment of ZEV credits into a manufacturer's Maryland ZEV credit account shall occur through consultation with the Department, the individual vehicle manufacturer and the Executive Officer or the Executive Officer's designee.</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Credits may not be established in a manufacturer's Maryland ZEV credit account until:</text>
      <paragraph num="(a)">
        <text>The Executive Officer or the Executive Officer's designee certifies to the Secretary or the Secretary's designee that the California credit balance upon which the Maryland credits will be determined is accurate; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>All outstanding debits for model years 2010 and earlier have been satisfied.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(3)">
      <text>As necessary, for purposes of this regulation, the manufacturer shall release the Executive Officer or the Executive Officer's designee from any confidentiality restrictions that would otherwise prohibit open consultation with the Secretary or the Secretary's designee.</text>
    </paragraph>
    <paragraph num="(4)">
      <text>The Secretary or the Secretary's designee shall be bound by the same confidentiality restrictions otherwise binding the Executive Officer or the Executive Officer's designee.</text>
    </paragraph>
  </paragraph>
</regulation>