Bill > HB1088

This bill establishes a Coal Transportation Fee and creates a Fossil Fuel Mitigation Fund in Maryland, designed to address environmental and climate-related challenges. The bill imposes a $13 per short ton fee on carriers transporting coal in the state, with an exemption for coal solely used on farms. The collected fees will be directed to the newly created Fossil Fuel Mitigation Fund, which aims to support activities that reduce greenhouse gas emissions. The fund will allocate money across various programs, including home energy efficiency (up to 23%), reducing emissions in buildings (up to 23%), electric vehicle and charging infrastructure (up to 22%), mass transit improvements (up to 20%), and specific initiatives like asthma treatment in coal-impacted communities (up to 2%). Importantly, at least 40% of the funding must address climate change impacts in overburdened and underserved communities, which are defined by specific environmental health and demographic indicators. The Maryland Department of the Environment and the Maryland Clean Energy Center will administer the fund, with provisions for investing the money and using it to supplement, not replace, existing environmental mitigation efforts. The bill is set to take effect on July 1, 2025.

Transportation and Infrastructure

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB1088?ys=2025RS