Program Overview

Program Overview

Implementing Sector: Local
Category: Financial Incentive
State: Maryland
Incentive Type: Property Tax Incentive
Administrator: Baltimore County Office of Budget and Finance
Counties: Baltimore County
Eligible Renewable/Other Technologies: Solar Water Heat, Solar Space Heat, Solar Photovoltaics, Geothermal Heat Pumps, Geothermal Direct-Use
Applicable Sectors: Residential, Multifamily Residential
Incentive Amount: Allocated budget for these credits has been met. New applications will be placed on a wait list that extends to at least July 2024.

50% of eligible costs

Maximum Incentive: Heating System: $5,000 Hot Water Supply System: $1,500 Electricity Generation: $5,000 Cooling: $5,000
Equipment Requirements: Systems must meets national safety and performance standards set by a nationally recognized testing laboratory for that type of device
Baltimore County Code: § 11-2-203.3
Date Enacted: 11/19/2010

Summary

The total volume of credits awarded through this program has exceeded the annual budget of $250,000. There is a wait list for new applicants seeking credits that extends until at least July 2024.

The state of Maryland permits local governments (Md Code: Property Tax § 9-203) to offer property tax credits for energy conservation devices if they choose to do so. In November 2010 Baltimore County enacted legislation offering property tax credits for solar and geothermal energy conservation devices installed in residential buildings. Eligible solar devices include that those heat or cool a structure, generate electricity for use in a structure, or provide hot water for use in a structure. Eligible geothermal devices may be used to heat or cool a structure or provide hot water for use in a structure.

The amount of the property tax credit is set at the lesser of 50% of the cost of the system or $5,000 for heating devices and $1,500 for devices which supply hot water. The authorizing legislation does not specify the maximum credit for devices which generate electricity (i.e., photovoltaic systems) or which provide energy for cooling needs. The credit claimed during any year may not exceed the amount of county property taxes owed during that year, and excess credits may be carried forward for up to 2 additional years.

Costs must have been incurred during the 12 months prior to the initial application for the credit. The total volume of credits granted during any fiscal year may not exceed $250,000. If successful applications exceed this aggregate limit during a given fiscal year, they will be granted during the next fiscal year or years in the order received. Applications must be filed on or before June 1 of the year immediately preceding the first taxable year for which the property tax credit is sought.

View Maryland’s Incentives for Renewables & Efficiency