HARRY HUGHES, Governor

2649

(iii) The cost of implementing an appropriate
energy conservation project, a solar energy project, or both, and
the savings in energy costs which are likely to result from the
implementation of these projects.

[(P)] (Q) "Residential mortgage loan" means a loan of
money, including a temporary loan or advance, that is secured by
a mortgage of real property located in this State and improved by
a residential building or unimproved, if the proceeds of the loan
are to be used to erect a residential building.

[(q)] (R) (1) "Solar energy project" means, with respect to
any residential or commercial building, any addition, alteration,
or improvement that is designed to utilize wind energy, energy
produced by a wood burning appliance, or solar energy, either of
the active type based on mechanically forced energy transfer or
of the passive type based on convective, conductive, or radiant
energy transfer (or some combination of these types), to reduce
the energy requirements of the building.

(2) "Solar energy project" includes:

(i) A solar process heat device, solar electric
device, and any earth sheltered building in which the sheltering
substantially reduces the consumption of energy by the building;
and

(ii) Only those fireplaces that are integral
parts of a system that is designed to utilize passive type solar
energy.

266DD-4.

The Administration shall have the following functions and
responsibilities:

(16) (a) Administer a program of financial assistance
for HOME IMPROVEMENT PROJECTS, energy conservation projects and
solar energy projects. Financial assistance shall be provided
with funds and other moneys made available to the Administration
for such projects from sources including, but not limited to:
payments of financial assistance made to the Administration
pursuant to FEDERAL LAW, INCLUDING WITHOUT LIMITATION Title V of
the Energy Security Act (P.L. 96-294); bonds or notes issued by
the Administration pursuant to this subheading; or any bonds or
notes issued by the State of Maryland. ANY LOAN FOR A HOME
IMPROVEMENT PROJECT HAVING A PRINCIPAL BALANCE IN EXCESS OF
$5,000 SHALL BE SECURED BY A MORTGAGE. Subject to the provisions
of any contract with noteholders or bondholders, consent to the
modification, with respect to rate of interest, time of payments
of any installment of principal or interest, security, or any
other term, of any loan, loan commitment, contract or agreement
of any kind to which the Administration is a party. In
connection with any property on which the Administration holds a