1. (a)

   1. (1) In this section the following words have the meanings indicated.
   2. (2) “Grant” means a medium-duty or heavy-duty zero-emission vehicle grant issued by the Administration under this section for up to 75% of the incremental cost of a qualified medium-duty or heavy-duty zero-emission vehicle or zero-emission heavy equipment property.

   3. (3) “Incremental cost” means the difference in price of:

      1. (i) a conventional model vehicle and a zero-emission model that is attributable to the functional features of the vehicle; or
      2. (ii) conventional heavy equipment property and zero-emission heavy equipment property that is attributable to the functional features of the equipment.
   4. (4) “Program” means the Medium-Duty and Heavy-Duty Zero-Emission Vehicle Grant Program.

   5. (5) “Qualified medium-duty or heavy-duty zero-emission vehicle” means a motor vehicle that is:

      1. (i) rated at more than 10,000 pounds gross vehicle weight; and
      2. (ii) powered by electricity that is stored in a battery or produced by a hydrogen fuel cell.
   6. (6) “Qualified medium-duty or heavy-duty zero-emission vehicle supply equipment” means property in the State that is used for recharging or refueling medium-duty or heavy-duty zero-emission vehicles or zero-emission heavy equipment property.

   7. (7)

      1. (i) “Zero-emission heavy equipment property” means construction, earthmoving, or industrial heavy equipment, including any attachment for the equipment, that:

         1. 1. is mobile; and
         2. 2. does not use an internal combustion engine.

      2. (ii) “Zero-emission heavy equipment property” includes:

         1. 1. a self-propelled vehicle that is not designed to be driven on a highway; and
         2. 2. industrial electrical generation equipment, industrial lift equipment, industrial material handling equipment, or other similar industrial equipment.

2. (b)

   1. (1) There is a Medium-Duty and Heavy-Duty Zero-Emission Vehicle Grant Program.
   2. (2) The Program applies only to vehicles and equipment intended for commercial or industrial use.
   3. (3) The Administration shall administer the Program.

3. (c)

   1. (1) For each of fiscal years 2024 through 2027, a person or a unit of local government may apply to the Administration for a grant under the Program.
   2. (2) For the purpose of calculating the amount of a grant, the Administration may allow an applicant to include reasonable installation costs in the cost of qualified medium-duty or heavy-duty zero-emission vehicle supply equipment.

   3. (3) In issuing Program grants, the Administration shall give preference to:

      1. (i) qualified medium-duty or heavy-duty zero-emission vehicles that are:

         1. 1. expected to be primarily domiciled and operated in the State; and
         2. 2. to be owned or operated by an entity engaged in business activity that impacts public health, the environment, or infrastructure in an overburdened or underserved community, as defined in § 1-701 of the Environment Article; and
      2. (ii) zero-emission heavy equipment property that is expected to be used primarily at locations in the State.
4. (d) Program grants are subject to available funding and § 9-20B-05(j)(4) of this title.
5. (e) Notwithstanding § 9-20B-05(g) of this title, in each of fiscal years 2024 through 2027, the Governor shall include in the annual budget bill an appropriation of at least $10,000,000 from the Strategic Energy Investment Fund for grants for qualified newly manufactured medium-duty or heavy-duty zero-emission vehicles or zero-emission heavy equipment property under the Program.

Added by Acts 2022, c. 234, § 1, eff. July 1, 2022. Amended by Acts 2023, c. 96, § 1, eff. June 1, 2023; Acts 2023, c. 97, § 1, eff. June 1, 2023; Acts 2023, c. 98, § 1, eff. July 1, 2023.