As used in this article, the following terms shall have the
meanings indicated:
CLEAN ENERGY LOAN
Any loan made by a private lender to a property owner under
the Clean Energy Loan Program.
CLEAN ENERGY LOAN OBLIGATION
All indebtedness and obligations of a property owner to a
clean energy lender under a clean energy financing agreement.
COMMERCIAL PROPERTY
Has the meaning stated in the Local Government Article of
the Annotated Code of Maryland, § 1-1101 et seq.
PROPERTY OWNER
An owner of commercial property as defined in this section.
There is a Clean Energy Loan Program to finance energy efficiency
projects and renewable energy projects.
The Director of Finance may adopt rules and regulations to administer
the Clean Energy Loan Program consistent with this article.
The County Commissioners of Allegany County may enter into an
agreement with a private entity to administer the Clean Energy Loan
Program.
Commercial property owners are eligible to participate in the
Clean Energy Loan Program for nonaccelerating loans greater than $25,000.
In order to be eligible for a clean energy loan, the property
owner shall:
A. Have an ownership interest of 100% in the property located in Allegany
County for which improvements are being made.
B. Demonstrate that the most recent property taxes, assessments, and
charges on the property have been paid.
C. Provide a copy of written notice to all current holders of a mortgage
or deed of trust who have a priority recorded lien on the property
and written proof of express consent to the clean energy loan as a
priority lien by all current holders of a mortgage or deed of trust
on the property.
D. Establish that the owner of the commercial property is able to repay
the loan provided under the Clean Energy Loan Program in a manner
substantially similar to that required for a mortgage loan under the
Commercial Law Article of the Annotated Code of Maryland.
The following improvements, either new or replacement, qualify
as energy efficiency or renewable energy projects under the Clean
Energy Loan Program:
B. Geothermal energy devices.
D. Water conservation devices not required by law.
E. Any construction, renovation or retrofitting of commercial property
to reduce energy consumption, including high efficiency lighting and
building systems, heating ventilation air-conditioning (HVAC) upgrades,
high efficiency boilers and furnaces, high efficiency hot-water heating
systems, combustion and burner upgrades, fuel switching, heat recovery
and steam traps, building shell or envelope improvements, fenestration
improvements, building energy management systems, and process equipment
upgrades.
F. Any other improvement approved by the County or the Clean Energy
Loan Program Administrator as qualifying as an energy efficiency project
or renewable energy project.
A clean energy loan may be used to pay for all costs incurred
by a property owner in connection with the qualifying improvements,
including the cost of the energy audit; feasibility studies and reports;
project management, design, installation, and construction of the
qualifying improvements; commissioning; energy savings or performance
guaranty or insurance; building accreditation; closing costs of the
clean energy loan; permitting fees; administrative fees; post-install
evaluation, measurement and verification; and building accreditation.
Clean energy loans may be provided by any private lender, and
a clean energy financing agreement may contain any terms agreed to
by the clean energy lender and the property owner, as permitted by
law, for the financing of clean energy loans. The County may not finance
or fund any loan under the program and shall serve only as a program
sponsor to facilitate loan repayment by including the surcharge on
the County real property tax bill for the property and shall incur
no liability for the loan.