SECTION 4. 6. AND BE IT FURTHER ENACTED, That Section 2 4 of this Act
shall take effect on the later of July 1, 2000, and the initial implementation date that
the Public Service Commission determines for investor owned utilities under §
7-510(b)(1) of the Public Utility Companies Article, as enacted by this Act.

SECTION 7. AND BE IT FURTHER ENACTED, That on or before February 1,
2000, the Commission, in consultation with the Maryland Energy Administration,
shall report to the Governor and, subject to § 2-1246 of the State Government Article,
to the General Assembly on the feasibility of requiring a renewables portfolio
standard and the estimated costs and benefits of establishing this requirement.

SECTION 8. AND BE IT FURTHER ENACTED, That the Commission shall
report to the General Assembly by January 1, 2000, regarding: (1) the statue of
implementation of the regulations or orders required under this Act; (2) the projected
population and needs served by the Universal Service Program under this Act; (3) the
final report of the Commission's roundtables; and (4) any recommendations as to
legislation which may be necessary to ensure a smooth transition for customers into a
competitive retail electricity market.

SECTION 5. 9. AND BE IT FURTHER ENACTED, That Sections 1, 3, and 4 5,
and 6 of this Act shall take effect July 1, 1999.

Approved April 8, 1999.

CHAPTER 5
(Senate Bill 344)

AN ACT concerning

Electric and Gas Utility Tax Reform

FOR the purpose of altering the public service company franchise tax for a public
service company engaged in an electric or gas business in the State; altering the
definition of gross receipts subject to the tax for a public service company
engaged in an electric or gas business in the State; altering the definition of a
public service company for purposes of the public service company franchise tax;
imposing a tax on certain public service companies based on kilowatt hours of
electricity or dekatherms therms of natural gas delivered; setting the rate of the
tax; allowing a public service company to surcharge its customers for certain tax
imposed; providing a credit against the public service company franchise tax in
a certain amount for certain kilowatt hours of electricity delivered to certain
customers for certain uses in excess of certain amounts; providing a credit
against the tax for certain tax imposed for dekatherms therms of natural gas
delivered to certain customers for certain uses or delivered to certain customers
who receive the natural—gas on a certain basis; providing an addition
modification under the corporate income tax in the amount of certain credits;
repealing a certain subtraction modification under the income tax for gross
receipts derived by a public service company; providing certain modifications