(a) Definitions. In this subtitle, the following words have the meanings indicated:
(1) "Clean Energy Financing Agreement" means an agreement between a property owner and a Clean Energy Lender providing for the terms and conditions of a Clean Energy Loan.
(2) "Clean Energy Lender" means a private lender providing a Clean Energy Loan.
(3) "Clean Energy Loan" means any loan made by a private lender to a property owner under the Clean Energy Program.
(4) "Clean Energy Loan Program Administrator" means any person or entity selected by the County to manage the Clean Energy Loan Program.
(5) "Clean Energy Loan Obligation" means all indebtedness and obligations of a property owner to a Clean Energy Lender under a Clean Energy Financing Agreement.
(6) "Commercial property" has the meaning stated in the Local Government Article, § 1-1101, of the State Code.
(7) "Property owner" means an owner of commercial property as defined in this subsection.
(b) Program. There is a Clean Energy Loan Program to finance energy efficiency projects and renewable energy projects, as provided in the Local Government Article, §§1-1101 et seq., of the State Code.
(c) Rules and regulations. The Controller may adopt rules and regulations to administer the Clean Energy Loan Program consistent with this subtitle.
(d) Program Administrator. The County Executive may enter into an agreement with a private entity to administer the Clean Energy Loan Program.
(e) Scope. Commercial property owners are eligible to participate in the Clean Energy Loan Program for loans greater than $25,000 for a term of up to 20 years.
(f) 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 Anne Arundel County for which improvements are proposed;
(2) obtain an energy audit approved under program guidelines demonstrating that the savings projected to be obtained from the improvements over the life of the Clean Energy Loan equal or exceed the principal and aggregate interest to be paid over the term of the loan;
(3) demonstrate that the most recent property tax bill has been paid for the property;
(4) 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 loan as a priority lien by all current holders of a mortgage or deed of trust on the property; and
(5) establish that the owner of the commercial property is able to repay the loan based on criteria and methods set forth in §§ 12-127, 12-311, 12-409.1, 12-925, and 12-1029 of the Commercial Law Article of the State Code.
(g) Qualifying improvements. The following improvements, either new or replacement, qualify as energy efficiency or renewable energy projects under the Clean Energy Loan Program:
(1) solar energy equipment;
(2) geothermal energy devices;
(3) wind energy systems;
(4) water conservation devices not required by law; and
(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.
(h) 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 the cost of the energy audit; the design, installation, and construction of the qualifying improvements; energy savings or performance guaranty or insurance; and closing costs of the Clean Energy Loan.
(Bill No. 68-14; Bill No. 80-19)