HARRY HUGHES, Governor                                    1831

(c) "Solid wastes" has the meaning stated in Natural
Resources Article, § 3-101(n) of the Code, as amended.

(5) The expenditure of funds under this Act is subject to
the following conditions and limitations:

(a)  Not more than $500,000 may be used to provide
State grants to assist in the conduct of engineering and
financial analyses for, and in the preliminary design of
facilities or systems.

(i) Eligible costs under this subsection (5)(a)
include expenses incurred for financial, engineering, and legal
analyses necessary or incidental to determining the practicality
of a facility or system, and costs of plans, preliminary designs
and specifications, surveys, investigations, demonstrations, and
permit applications. Staff and operating costs shall not be
considered eligible costs.

(ii) Except as provided in subsection
(5)(a)(iii) below, a State grant under this subsection (5)(a) may
not exceed 50% of the eligible costs of the work proposed in the
grant application.

(iii) A State grant to the Maryland
Environmental Service for a facility or system that will serve a
State correctional, health, educational, or other institution or
agency, that will serve regional needs, or that will incorporate
a waste-to-energy component may cover 100% of the eligible costs
of the work proposed.

(iv) Total grants under this subsection (5)(a)
for a single facility or system may not exceed $200,000, except
that total grants for a facility or system that will serve
regional needs or that will incorporate a waste-to-energy
component may not exceed $350,000.

(b)  Not more than $250,000 may be used to provide
State grants or loans (or a combination thereof) to assist in the
detailed design, construction, enlargement, rehabilitation,
improvement, and equipping of facilities or systems.

(i) Eligible costs under this subsection (5)(b)
include expenses incurred for the detailed design, construction,
enlargement, improvement, rehabilitation, or equipping of a
facility or system, costs of land, easements, rights-of-way,
machinery, and equipment. Staff and operating costs shall not be
considered eligible costs.

(ii) Except as provided in subsection
(5)(b)(iii) below, a State grant or loan under this subsection
(5)(b) may not exceed 50% of the eligible costs of the work
proposed in the application for financial assistance.