SB 121
Department of Legislative Services
Maryland General Assembly
2021 Session
FISCAL AND POLICY NOTE
Third Reader - Revised
Senate Bill 121 (Senators Patterson and Benson)
Education, Health, and Environmental Affairs Environment and Transportation
Zoning - Environmental Justice Considerations
This bill authorizes a local governing body to require a detailed statement and analysis of
environmental and public health impacts to be prepared, upon receipt of an initial
application for a special exception (or an application to extend or renew a special
exception), to construct or operate a “permitted facility” in an area zoned for residential
use. The statement and analysis is prepared at the expense of the applicant. A local
governing body may deny or condition the approval of an application based on the actual
or anticipated environmental or health impacts of the permitted facility on the surrounding
community. The bill also requires the Commission on Environmental Justice and
Sustainable Communities (CEJSC) to undertake a specified study and make specified
recommendations by June 1, 2022. The provisions related to the study and
recommendations take effect June 1, 2021.
Fiscal Summary
State Effect: The bill’s provisions relating to special exception applications do not directly
affect State finances but may have an indirect effect, as discussed below. The Maryland
Department of the Environment (MDE), which staffs CEJSC, advises that the study,
development of recommendations, and reporting of the study’s findings and
recommendations can be handled with existing resources.
Local Effect: The bill’s provisions relating to special exception applications do not
directly affect local government finances but may have an indirect effect, as discussed
below.
Small Business Effect: Potential meaningful.
Analysis
Bill Summary: “Permitted facility” means a facility for which any of the following
environmental permits is required: (1) an air quality permit to construct or permit to
operate issued under Title 2, Subtitle 4 of the Environment Article; (2) a refuse disposal
permit issued under § 9-204 of the Environment Article; or (3) a controlled hazardous
substance facility permit issued under § 7-232 of the Environment Article.
Detailed Statement and Analysis of Environmental and Public Health Impacts
Upon receipt of an initial application for a special exception to construct or operate a
permitted facility in an area zoned for residential use, or an application to extend or renew
such a special exception, a local governing body may require the preparation, at the expense
of the applicant, of a detailed statement and analysis of the environmental and public health
impacts of the permitted facility on the surrounding community. A local governing body
may deny or condition the approval of an application based on the actual or anticipated
environmental or health impacts of the permitted facility on the surrounding community.
Study and Recommendations
CEJSC must study and make recommendations regarding strategies for increasing State
support of local governments and communities in addressing environmental justice
concerns. The commission must report its findings and recommendations to the Governor
and the General Assembly by June 1, 2022. CEJSC’s report must include specific
recommendations regarding (1) regulatory, policy, and legislative changes necessary to
authorize MDE to address environmental justice concerns in collaboration with local
governments and communities and (2) options and strategies, including the identification
of model ordinances, for incorporating environmental justice considerations into local land
use and zoning decisions.
Current Law:
Definition of “Special Exception”
Under Division I of the Land Use Article of the Maryland Code (to which the bill’s
provisions regarding special exception applications are added), “special exception” means
a grant of a specific use that:
would not be appropriate generally or without restriction; and
must be based on a finding that (1) the requirements of the zoning law governing
the special exception on the subject property are satisfied and (2) the use on the
subject property is consistent with the jurisdiction’s land use, transportation, and
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community facilities policies/plans and is compatible with the existing
neighborhood.
Air Quality Permits to Construct and Permits to Operate
Title 2, Subtitle 4 of the Environment Article authorizes MDE to adopt regulations that
require a person to obtain a permit or registration before the construction, modification,
operation, or use of a source that may cause or control emissions into the air. MDE
regulations define the types of sources that are subject to the permit requirements. MDE
advises that various facilities can be subject to the requirements, ranging from industrial
facilities to hospital, academic, and government facilities. Title 2, Subtitle 4 includes a
requirement applicable to specified permits to construct a new source or significantly
modify (or replace components of) an existing permitted source that documentation be
submitted, which demonstrates compliance with all applicable local zoning and land use
requirements.
Refuse Disposal Permits
Under § 9-204 of the Environment Article, a person must obtain a refuse disposal permit
from MDE before installing, materially altering, or materially extending a refuse disposal
system, which includes an incinerator, a transfer station, a landfill, a solid waste processing
facility, and any other solid waste acceptance facility. MDE may not issue a permit to
install, materially alter, or materially extend a refuse disposal system until, among other
things, the county has completed its review of the proposed system and has provided to
MDE a written statement that the refuse disposal system meets all applicable county zoning
and land use requirements and conforms with the county solid waste plan.
Controlled Hazardous Substance Facility Permits
Section 7-232 of the Environment Article requires a person to hold a controlled hazardous
substance facility permit before the person may own, establish, operate, or maintain a
controlled hazardous substance facility in the State. “Controlled hazardous substance”
means (1) any hazardous substance MDE identifies as a controlled hazardous substance or
(2) low-level nuclear waste. “Controlled hazardous substance facility” means a disposal
structure, system, or geographic area, designated by MDE for treatment, storage related to
treatment or disposal, or disposal of controlled hazardous substances.
State/Local Fiscal Effect: The bill’s provisions relating to special exception applications
do not directly affect State finances (since they apply to a local governing body) or local
government finances (since the statements and analyses that local governments are
authorized to require are prepared at the expense of the applicant). However, to the extent
that statements and analyses prepared pursuant to the bill and/or the bill’s authorization for
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denial of an application contribute to or result in a local government’s denial of an initial
application for a special exception, or an application to extend or renew a special exception,
there may be indirect effects on the State and local governments.
For example, in the event an application to extend or renew a special exception for an
existing landfill is denied as a result of the bill, MDE would need to review closure and
post-closure plans for a landfill required to cease operations. In addition, MDE may need
to review and approve an amended solid waste management plan for the affected county.
An affected county likewise may need to amend its solid waste management plan, and any
affected local governments may experience fiscal impacts associated with the closing of a
landfill (e.g., any increased costs incurred as a result of alternative solid waste management
options).
Small Business Effect: To the extent that any small business is, or will be, involved in
the construction or operation of a permitted facility in an area zoned for residential use and
is responsible for the expense of a detailed statement and analysis of environmental and
public health impacts, as the applicant, its costs increase. Costs may further increase to the
extent that an application for a special exception is denied (or made conditional) as a result
of the bill’s provisions and more expensive construction or operations become necessary
(e.g., installing an alternative heating source that does not require an air quality permit from
MDE). Any small business involved in the development of a detailed statement and
analysis benefits from a potential increase in the demand for its services.
Additional Information
Prior Introductions: None.
Cross File: HB 51 (Delegate Turner) - Environment and Transportation.
Information Source(s): Anne Arundel, Garrett, and Montgomery counties; City of
Laurel; Maryland Department of the Environment; Department of Legislative Services
Fiscal Note History: First Reader - January 19, 2021
rh/sdk Third Reader - April 1, 2021
Revised - Amendment(s) - April 1, 2021
Analysis by: Tyler Allard Direct Inquiries to:
(410) 946-5510
(301) 970-5510
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Statutes affected: Text - First - Zoning - Environmental Justice Considerations: 1-401 Land Use, 4-215 Land Use, 10-103 Land Use
Text - Third - Zoning - Environmental Justice Considerations: 1-401 Land Use, 4-215 Land Use, 10-103 Land Use