Bill Positions

Bill Number: SB 554

Bill Title: Chesapeake Bay Nitrogen Reduction Act of 2009

Bill Sponsor(s): Senator Lenett, et al.

Subject: Environment & Energy

Committee: EHE

Bill Summary: This bill prohibits both the installation of a new septic system, as well as the replacement of a failing septic system, within the Chesapeake and Atlantic Coastal Bays Critical Area unless the new or replaced system utilizes the best available technology for nitrogen removal. Financial assistance is provided with funding from the Septics Account as well as a tax deduction for those who do not receive such funding.

History: This bill was enacted as Chapter 280.

Chamber Position: Oppose

Position Summary: The Maryland Chamber supports the Bay Restoration Fund, and the proposed legislation is good from the perspective of requiring nitrogen removal and improving the quality of what is discharged from septic systems. However, the Chamber was concerned about the fiscal impact of the bill. The portion of the fund collected and set aside for septic system upgrades is roughly $7,200,000 per year, and the average cost to upgrade a septic system to BAT for nitrogen removal cost in excess of $10,000 per system and sometimes double that amount. The bill is unclear on exactly how much money will be reimbursed for each system, and there is a false expectation of funds for new systems that will now be required for all new installations or relacement systems. For these reasons, the Maryland Chamber opposed this bill.

Position Statement: Click here (pdf)

Chamber Staff: Allyson Black

General Assembly: Click here to view the bill on the Maryland General Assembly's website.