(b) (1) The Secretary, in consultation with the. Director of the Maryland
Energy Administration, annually shall coordinate the preparation of a budget
required to carry out the provisions of this subtitle. Upon approval of the budget by the
General Assembly, the Public Service Commission shall establish the amount of the
surcharge per kilowatt hour for the fiscal year beginning July 1, 1972, and for each
subsequent fiscal year.

(2) Notwithstanding any other provisions of this subtitle, the amount of
the surcharge for each account FOR EACH RETAIL ELECTRIC CUSTOMER may not
exceed the lesser of 0.15 [mil] MILL per kilowatt hour or $1,000 per month and the
surcharge may not continue beyond Fiscal Year [2000] 2005.

(3) The Comptroller shall maintain the method of collection of the
surcharge from the companies and the collections shall accrue to the Fund. The
Department shall credit against the amount required to be paid into the
Environmental Trust Fund by each electric company an amount equal to 1 1/2% of the

total surcharge attributed to each company on the basis of the electricity [generated]
DISTRIBUTED within Maryland.

(c) The Secretary shall administer the Fund. The Fund is subject to the
provisions for financial management and budgeting established by the Department of
Budget and Management. The moneys in the Fund shall be used to carry out the
provisions of this subtitle as provided for in the budget, except that 10% of all moneys
accruing to the Fund from July 1, 1978 through June 30, 1983 shall be used to
supplement funds necessary to carry out the duties of the People's Counsel of the Public
Service Commission. The People's Counsel shall submit an annual budget of necessary
supplemental funds to the Department to be incorporated in the Department's budget.
For the purposes of this subtitle, the Secretary, in consultation with the Director of the
Maryland Energy Administration, may execute appropriate contracts with any State
or federal agency, research organization, industry, or academic institution to conduct
the necessary research, construct or acquire, or both, real property including physical
predictive models, laboratories, buildings, land, and appurtenances, or support the
technological development of extraordinary systems related to power plants designed to
minimize environmental impact. [He] THE SECRETARY may utilize available
expertise in any other State unit in the development, execution, and management of
contracts and agreements on projects relating to their areas of prime responsibility.

(d) (1) The Maryland Energy Administration shall receive administrative
and fiscal support from the Fund for studies relating to the conservation or production
of electric energy.

(2) Fiscal support to the Maryland Energy Administration from the Fund
may not exceed $250,000 in any fiscal year.

(e) The Legislative Auditor shall conduct post audits of a fiscal and
compliance nature of the Fund and of the appropriations and expenditures made for
the purposes of this subtitle. The cost of the fiscal portion of the post audit
examinations shall be an operating cost of the Fund.