Code of Maryland Regulations
Title 14 - INDEPENDENT AGENCIES
Subtitle 26 - MARYLAND ENERGY ADMINISTRATION
Chapter 14.26.02 - Green Building Tax Credit Program
14.26.02.03 - Definitions
A. In this chapter, the following terms have the meanings indicated.
B. Terms Defined.
(1) "Administration" means the Maryland Energy Administration.
(2) Allowable costs.
(a) "Allowable costs" means amounts properly chargeable to a capital account, other than for land, that are paid or incurred on or after July 1, 2001, for construction or rehabilitation; commissioning; interest paid or incurred during the construction or rehabilitation period; architectural, engineering, and other professional fees allocable to construction or rehabilitation; closing costs for construction, rehabilitation, or mortgage loans; recording taxes and filing fees incurred with respect to construction or rehabilitation; energy management systems; and finishes and furnishings consistent with the regulations adopted by the Administration under this section, lighting, plumbing, electrical wiring, and ventilation.
(b) "Allowable costs" does not include the cost of telephone systems and computers, other than electrical wiring costs; legal fees allocable to construction or rehabilitation; site costs, including temporary electric wiring, scaffolding, demolition costs, and fencing and security facilities; finishes or furnishings that are not consistent with this chapter; or the cost of purchasing or installing fuel cells, wind turbines, or photovoltaic modules.
(3) "Applicable energy efficiency standards" means ANSI/ASHRAE/IESNA Energy Standard for Buildings Except Low-Rise Residential Buildings, 1-P Edition (American Society of Heating, Refrigerating and Air-Conditioning Engineers Standard 90.1-1999).
(4) "Base building" means all areas of a building not intended for occupancy by a tenant or owner, including the structural components of the building, exterior walls, floors, windows, roofs, foundations, chimneys and stacks, parking areas, mechanical rooms and mechanical systems, owner-controlled or owner-operated service spaces, sidewalks, main lobby, shafts, vertical transportation mechanisms, stairways, and corridors.
(5) "Commissioning" means:
(a) The testing and fine-tuning of heating, ventilating, and air-conditioning systems and other systems to assure proper functioning and adherence to design criteria;
(b) The preparation of system operation manuals; and
(c) The instruction of maintenance personnel.
(6) "Credit allowance year" means the later of:
(a) The taxable year during which:
(i) The property, construction, completion, or rehabilitation on which the credit allowed under this chapter is based is originally placed in service; or
(ii) A fuel cell, wind turbine, or photovoltaic module constitutes a qualifying alternate energy source and is fully operational; or
(b) The earliest taxable year for which the credit may be claimed according to the initial credit certificate.
(7) "Eligible building" means a building in Maryland that:
(a) Complies with one of the following:
(i) Is used primarily for nonresidential purposes if the building contains at least 20,000 square feet of interior space;
(ii) Is a residential multifamily building with at least 12 dwelling units that contains at least 20,000 square feet of interior space; or
(iii) Is a combination of the buildings described in § B(7) of this regulation;
(b) In the case of a newly constructed building for which a certificate of occupancy was not issued before July 1, 2001:
(i) Is located on a qualified brownfields site, as defined under Article 83A, § 5-1401, Annotated Code of Maryland; or
(ii) Is located in a priority funding area under State Finance and Procurement Article, § 5-7 B-02, Annotated Code of Maryland, and is not located on wetlands whose alteration requires a permit under Section 404 of the Federal Clean Water Act, 33 U.S.C. § 1344; and
(c) In the case of a rehabilitation of a building:
(i) Is located in a priority funding area under State Finance and Procurement Article, § 5-7 B-02, Annotated Code of Maryland or on a qualified brownfields site as defined under Article 83A, § 5-1401, Annotated Code of Maryland; or
(ii) Is not an increase of more than 25 percent in the square footage of the building.
(8) "Green base building" means a base building that is part of an eligible building and meets the requirements of this chapter.
(9) "Green tenant space" means tenant space in a building if a building is an eligible building and the tenant space meets the requirements of this chapter.
(10) "Green whole building" means a building for which the base building is a green base building and all tenant space is green tenant space.
(11) "LEED" means Leadership in Energy and Environmental Design.
(12) "Qualifying alternate energy sources" means building integrated and nonbuilding-integrated photovoltaic modules, wind turbines, and fuel cells installed to serve the base building or tenant space that:
(a) Have the capability to monitor their actual power output;
(b) Are fully commissioned upon installation, and annually thereafter, to ensure that the systems meet their design specifications; and
(c) In the case of wind turbines, meet any applicable noise ordinances.
(13) "Tenant improvements" means improvements necessary or appropriate to support or conduct the business of a tenant or occupying owner.
(14) "Tenant space" means the portion of a building intended for occupancy by a tenant or occupying owner.
(15) "USGBC" means the United States Green Building Council.