HARRY HUGHES, Governor

3789

(1)  State financial assistance shall be made only to
state and local governmental entities for projects that meet the
requirements of all applicable State and federal legislation and
regulations, as amended from time to time. The Department of
Health and Mental Hygiene, with the approval of the Board of
Public Works, shall establish application procedures and criteria
for the use of State grants, loans, and loan guarantees under
this subsection. The criteria shall include, but not be limited
to, the water quality or public health impacts caused by existing
circumstances, previous efforts expended to correct the existing
problem, financial capacity of the applicant, the problem
prevention aspects of a proposed project, cost effectiveness of a
proposed project, and planning requirements.

(2)   If a federal grant offer is made for a sewage
treatment plant and related facility project, the State grant
offer shall be in an amount [up to one-half of the eligible cost
remaining after the maximum Federal grant has been applied] THAT
WHEN COMBINED WITH THE MAXIMUM FEDERAL GRANT, THE COMBINED GRANTS
SHALL NOT EXCEED 87 1/2 PERCENT OF TOTAL ELIGIBLE PROJECT COSTS
offer AFTER OCTOBER 1, 1984 shall be in an amount up to
[one-half] 72.22 PERCENT of the eligible cost remaining after the
maximum Federal grant has been applied OR UP TO 32.5 PERCENT OF
THE TOTAL ELIGIBLE PROJECT COSTS except that when the maximum
Federal grant offer for an innovative or alternative project as
defined by the Federal Environmental Protection Agency is greater
than 75 55 percent, the State grant offer shall be
three-quarters UP TO 85 PERCENT of the eligible cost remaining or
12 1/2 percent, whichever is least UP TO 21.25 PERCENT OF THE
TOTAL ELIGIBLE PROJECT COSTS. In the case of a project to be
operated by a State owned institution or facility, State
financial assistance shall equal the total cost of the project
less the amount of any Federal grant offer made therefor.

(3)  The Board of Public Works is authorized, in its
discretion and upon recommendation of the Department of Health
and Mental Hygiene, to approve a State grant, loan, or loan
guarantee not to exceed 87-1/2 percent of the eligible cost of a
project or part of a project, if the Board finds (a)(i) that the
project is of a regional nature or (ii) that the immediate
initiation or continuation of the project is critical to the
public health or to compliance with water quality standards of
the State, and (b) that a timely and sufficient Federal grant is
not available for the project or part of a project. In approving
such financial assistance, the Board of Public Works shall make
all reasonable efforts not to jeopardize Federal grants for the
remaining part of the projects.

(4)  Not more than 4 million dollars ($4,000,000) may
be used by the Board of Public Works to provide financial
assistance for solid waste processing or disposal facilities.

(5)  Not more than 5 million dollars ($5,000,000) may
be used by the Board of Public Works to provide financial
assistance for water supply facilities.