A. CLEAN ENERGY LENDER CLEAN ENERGY LOAN CLEAN ENERGY LOAN FINANCING AGREEMENT CLEAN ENERGY LOAN OBLIGATION CLEAN ENERGY LOAN PROGRAM CLEAN ENERGY LOAN PROGRAM ADMINISTRATOR or PROGRAM ADMINISTRATOR COMMERCIAL PROPERTY DEPARTMENT PROPERTY OWNER SURCHARGE SURCHARGE LIEN
Definitions. In this chapter, the following words have the meanings indicated:
A private lender providing a clean energy loan.
Any loan made by a private lender to a property owner under the Clean Energy Loan Program.
An agreement between a property owner and a clean energy lender providing for the terms and conditions of a clean energy loan.
[Amended 4-25-2023 by Bill No. 2023-02]
All indebtedness and obligations of a property owner to a clean energy lender under a clean energy financing agreement.
The Clean Energy Loan Program authorized by Title 1, Subtitle 11, of the Local Government Article of the Annotated Code of Maryland, the purpose of which is to provide loans to property owners to finance qualifying improvements to commercial property.
[Added 4-25-2023 by Bill No. 2023-02]
Any person or entity selected by the County to manage the Clean Energy Loan Program.
Has the meaning stated in Title 1, Subtitle 11, of the Local Government Article of the Annotated Code of Maryland.
The Charles County Department of Fiscal and Administrative Services.
An owner of commercial property as defined in this subsection.
The assessment levied by the County on a property owner's property tax bill to collect clean energy loan payments owed to a clean energy lender by the property owner and costs of administering the Clean Energy Loan Program in accordance with this chapter.
[Added 4-25-2023 by Bill No. 2023-02]
The lien automatically established upon the County's levy of the surcharge on the property tax bill.
[Added 4-25-2023 by Bill No. 2023-02]
B.
Program established; administration.
(1)
There is a Clean Energy Loan Program to finance qualifying improvements as described in this section in accordance with Title 1, Subtitle 11, of the Local Government Article of the Annotated Code of Maryland.
[Amended 4-25-2023 by Bill No. 2023-02]
(2)
Rules and regulations, guidelines. The Department may adopt rules and regulations, or guidelines, to administer the Clean Energy Loan Program consistent with this subtitle.
(3)
Program administrator. The County Commissioners of Charles County may enter into an agreement with a public or private entity to administer the Clean Energy Loan Program.
C.
Scope. Commercial property owners are eligible to participate in the Clean Energy Loan Program for nonaccelerating loans greater than $25,000.
D.
Eligibility. In order to be eligible for a clean energy loan, the property owner shall:
(1)
Have a 100% ownership interest in the property located in Charles County for which improvements are proposed;[1]
[1]
Editor's Note: Former Subsection D(2), regarding obtaining an energy audit, which immediately followed, was repealed 2-7-2024 by Bill No. 2023-15. Said ordinance also renumbered former Subsection D(3) through (5) as Subsection D(2) through (4), respectively.
(2)
Demonstrate that the most recent property taxes, liens, special assessments, and charges on the property have been paid;
(3)
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; and
(4)
Establish that the property owner 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 according to the Commercial Law Article of the Annotated Code of Maryland and any additional criteria and methods required by the clean energy lender.
E.
Qualifying improvements. The following improvements, either new or replacement, qualify for the Clean Energy Loan Program:
[Amended 4-25-2023 by Bill No. 2023-02]
(1)
Energy and water efficiency projects;
(2)
Renewable energy projects, including but not limited to solar energy equipment, geothermal energy devices, and wind energy systems;
(3)
Environmental remediation projects, which means a project intended to remove environmental or health hazards, and including projects that promote indoor air and water quality, asbestos remediation, lead paint removal, and mold remediation;
(4)
Resiliency projects, which means a project intended to increase the capacity of a property to withstand natural disasters and the effects of climate change, including flood mitigation, stormwater management, a project to increase fire or wind resistance, a project to increase the capacity of a natural system, an inundation adaptation project, alternative vehicle charging infrastructure, and energy storage;
(5)
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; and
(6)
Any other improvement approved by the County as qualifying as an energy efficiency project or renewable energy project.
F.
Qualifying costs. A clean energy loan may be used to pay for all costs incurred by a property owner in connection with the qualifying improvements, including, but not limited to, the cost of an 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.
[Amended 4-25-2023 by Bill No. 2023-02; 2-7-2024 by Bill No. 2023-15]