Public Utilities - Street Lighting Equipment - Acquisitions and Reporting (County and Municipal Street Lighting Investment Act)

EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
*hb0950*

HOUSE BILL 950
L6, C5 6lr3237
HB 459/23 – ECM
By: Delegates Behler and Kaufman
Introduced and read first time: February 5, 2026
Assigned to: Environment and Transportation

A BILL ENTITLED

AN ACT concerning 1

Public Utilities – Street Lighting Equipment – Acquisitions and Reporting 2
(County and Municipal Street Lighting Investment Act) 3

FOR the purpose of authorizing a certain county or municipality to acquire certain street 4
lighting equipment by purchase or condemnation, convert its street lighting service 5
to a customer –owned street lighting tariff, enter into an agreement to purchase 6
electricity, and contract with an electric company for the mainten ance of the street 7
lighting equipment; authorizing certain disputes to be submitted to the Public 8
Service Commission for resolution; and generally relating to the purchase of street 9
lighting equipment by a county or municipality from an electric company and tariffs 10
for street lighting. 11

BY repealing and reenacting, with amendments, 12
Article – Local Government 13
Section 1–1309 14
Annotated Code of Maryland 15
(2013 Volume and 2025 Supplement) 16

BY adding to 17
Article – Public Utilities 18
Section 4–215 19
Annotated Code of Maryland 20
(2025 Replacement Volume and 2025 Supplement) 21

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 22
That the Laws of Maryland read as follows: 23

Article – Local Government 24

1–1309. 25
2 HOUSE BILL 950

(a) (1) In this section [, “electric ] THE FOLLOWING WORDS HAVE THE 1
MEANINGS INDICATED. 2

(2) “ELECTRIC company” has the meaning stated in § 1–101 of the Public 3
Utilities Article. 4

(3) “MAKE READY WORK” MEANS ANY STREET LIGHTING EQUIPMENT 5
INFRASTRUCTURE MODIFICATIONS: 6

(I) REQUIRED TO FACILIT ATE A TRANSFER OF ST REET 7
LIGHTING EQUIPMENT F ROM AN ELECTRIC COMP ANY TO A COUNTY OR 8
MUNICIPALITY; AND 9

(II) THAT COMPLY WITH ALL APPLICABLE SAFETY AN D 10
ELECTRIC CODES. 11

(4) “NET BOOK VALUE ” MEANS THE NET BOOK V ALUE OF THE 12
PROPERTY, CALCULATED USING FEDERAL ENERGY REGULATORY COMMISSION 13
(FERC) ACCOUNTING METHODS, AND NOT USING METHOD S OTHER THAN THOSE 14
USED FOR STANDARD RA TE SETTING, AS THE ORIGINAL COST OF THE PROPERTY , 15
LESS DEPRECIATION AN D ANY CONTRIBUTION A LREADY PAID TO AN EL ECTRIC 16
COMPANY BY A COUNTY OR MUNICIPALITY FOR ACTIVITIES ASSOCIATED WITH THE 17
INSTALLATION OF STRE ET LIGHTING EQUIPMEN T, OF ANY ACTIVE OR INA CTIVE 18
EXISTING STREET LIGH TING EQUIPMENT INSTA LLED IN THE COUNTY O R 19
MUNICIPALITY AS OF T HE DATE THE COUNTY O R MUNICIPALITY ENTER S INTO AN 20
AGREEMENT TO PURCHAS E THE PROPERTY , EXERCISES ITS RIGHT OF 21
CONDEMNATION, OR REQUESTS THE REMOVAL OF THE EQUIPMENT. 22

(5) “STREET LIGHT SERVICE POINT” MEANS THE POINT OF 23
INTERCONNECTION ON A STREET LIGHTING CIRCUIT WHERE OWNERSHIP CHANGES 24
FROM AN ELECTRIC COMPANY TO A COUNTY OR MUNICIPALITY. 25

(6) (I) “STREET LIGHTING EQUIP MENT” MEANS ALL EQUIPMENT 26
OWNED BY AN ELECTRIC COMPANY USED SOLELY TO LIGHT STREETS IN THE COUNTY 27
OR MUNICIPALITY. 28

(II) “STREET LIGHTING EQUIPMENT” INCLUDES: 29

1. ALL CAPITAL EQUIPMENT AS DEFINED UNDER FERC 30
ACCOUNT 373; 31

2. LIGHTING BALLASTS , LUMINAIRES, MAST ARMS , 32
PHOTOCELLS, CIRCUITS AND EQUIPMENT FROM THE STREET LIGHT SERVICE POINT 33
HOUSE BILL 950 3

TERMINATING AT THE L UMINAIRE, AND ANY OTHER EQUIPM ENT NECESSARY FOR 1
THE CONVERSION OF ELECTRIC ENERGY INTO STREET LIGHTING; 2

3. DECORATIVE STREET AND AREA LIGHTING; 3

4. SOLID–STATE LED LAMPS; 4

5. INDUCTION LAMPS; AND 5

6. OLDER LAMP TYPES SUC H AS HIGH –PRESSURE 6
SODIUM, MERCURY VAPOR, METAL HALIDE, OR INCANDESCENT. 7

(III) “STREET LIGHTING EQUIPMENT ” DOES NOT INCLUDE 8
JOINT–USE UTILITY POLES ON WHICH THE EQUIPMENT IS FIXED. 9

(B) THE GENERAL ASSEMBLY FINDS AND DECLARES THAT: 10

(1) LOCAL GOVERNMENTS PA Y ELECTRIC COMPANIES LARGE SUMS 11
EVERY YEAR TO LIGHT STREETS IN COUNTIES AND MUNICIPALITIES; 12

(2) COUNTIES AND MUNICIP ALITIES ARE LIMITED IN HOW THIS 13
PUBLIC SAFETY RESOUR CE CAN BE MANAGED BE CAUSE THE COUNTIES A ND 14
MUNICIPALITIES OFTEN DO NOT OWN OR CONTRO L THE STREET LIGHTIN G 15
EQUIPMENT WITHIN THE JURISDICTIONS OF THE COUNTIES AND MUNICIPALITIES; 16

(3) EFFICIENCY UPGRADES TO STREET LIGHTING E QUIPMENT 17
PRESENT AN OPPORTUNI TY FOR COMMUNITIES T O REDUCE THE CARBON 18
FOOTPRINT OF THE COMMUNITIES AND ADDRESS CLIMATE CHANGE THROUGH 19
EFFICIENCY UPGRADES; 20

(4) THERE IS OFTEN INSUF FICIENT INCENTIVE IN THE APPLICA BLE 21
ELECTRIC RATE TARIFF FOR INSTALLING ENERG Y EFFICIENT LIGHTING 22
TECHNOLOGIES THAT MAY REDUCE BOTH POWER AND MAINTENANCE EXPENSES; 23

(5) COUNTIES AND MUNICIP ALITIES AROUND THE C OUNTRY HAVE 24
SAVED CONSIDERABLE R ESOURCES BY PURCHASI NG TH E STREET LIGHTING 25
EQUIPMENT FROM ELECT RIC COMPANIES AND CO NTRACTING FOR THE 26
MAINTENANCE INDEPENDENTLY; AND 27

(6) STREET LIGHTING COST S SHOULD BE REDUCED AND SERVICE 28
SHOULD BE IMPROVED BY: 29

(I) IMPROVING PUBLIC SAF ETY WITH STREET LIGH TS THAT 30
4 HOUSE BILL 950

PROVIDE BETTER DURABILITY; 1

(II) REDUCING MAINTENANCE COSTS BY ALLOWING CO UNTIES 2
AND MUNICIPALITIES T O OWN THE STREET AND AREA LIGHTING WITHIN THE 3
JURISDICTIONS OF THE COUNTIES AND MUNICIPALITIES AND TO ENTER INTO 4
REGIONAL MAINTENANCE SERVICE CONTRACTS; 5

(III) REDUCING WHOLE –SYSTEM COST THROUGH COUNTY OR 6
MUNICIPAL OWNERSHIP AND MAINTENANCE AND BY ADOPTING TARIFFS THAT 7
INCLUDE DISTRIBUTION SERVICE COSTS, THE COSTS OF ANY MAK E–READY WORK 8
PERFORMED BY AN ELEC TRIC COMPANY , AND OPTIONAL ELECTRI C 9
COMPANY–PROVIDED MAINTENANCE AND REPAIR COSTS; 10

(IV) PROVIDING FOR THE US E OF INNOVATIVE TECH NOLOGIES 11
FOR MORE EFFICIENT LIGHTING; AND 12

(V) PROVIDING MORE RESPO NSIVE SERVICE FOR LI GHTING 13
REPAIRS. 14

[(b)] (C) (1) [This] EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS 15
SUBSECTION, THIS section applies to all counties and municipalities. 16

(2) THIS SECTION DOES NOT APPLY TO STREET LIGH TING 17
EQUIPMENT OWNED BY A MUNICIPAL ELECTRIC UTILITY. 18

[(c) On written request by a county or municipality, an electric company shall sell 19
to the county or municipality some or all of the electric company’s existing street lighting 20
equipment that is located in the county or municipality.] 21

(D) (1) AFTER GIVING WRITTEN NOTICE TO THE ELECTRIC COMPANY AND 22
THE PUBLIC SERVICE COMMISSION, A COUNTY OR MUNICIPALITY THAT RECEIVES 23
STREET LIGHTING SERVICE FROM AN ELECTRIC COMPANY IN ACCORDANCE WITH A 24
TARIFF PROVIDING FOR THE USE BY THE COUNT Y OR MUNICIPALITY OF STREET 25
LIGHTING EQUIPMENT OWNED BY THE ELECTRIC COMPANY MAY: 26

(I) SUBMIT A REQUEST TO ACQUIRE THE STREET LIGHTING 27
EQUIPMENT FROM THE E LECTRIC COMPANY AT S OME OR ALL LOCATIONS WITHIN 28
THE COUNTY OR MUNICIPALITY; 29

(II) AFTER ACQUISITION , CONVERT ITS STREET L IGHTING 30
SERVICE TO A CUSTOME R–OWNED STREET LIGHTING TARIFF SET IN ACCO RDANCE 31
WITH § 4–215 OF THE PUBLIC UTILITIES ARTICLE; AND 32

(III) ENTER INTO AN AGREEM ENT TO PURCHASE ELEC TRICITY 33
HOUSE BILL 950 5

FROM A RETAIL SUPPLI ER LICENSED UNDER § 7–507 OF THE PUBLIC UTILITIES 1
ARTICLE OR THE ELECTRIC COMPANY. 2

(2) IF THE COUNTY OR MUNICIPALITY AND THE ELECTRIC COMPANY 3
FAIL TO AGREE ON THE PURCHASE PRICE OR CO NDITIONS OF PURCHASE OF THE 4
STREET LIGHTING EQUIPMENT, THE COUNTY OR MUNICIPALITY MAY ACQUIRE THE 5
EQUIPMENT BY CONDEMN ATION IN ACCORDANCE WITH TITLE 12 OF THE REAL 6
PROPERTY ARTICLE. 7

[(d)] (E) If the county or m unicipality [purchases] ACQUIRES street lighting 8
equipment from an electric company AND CONVERTS THE STREET LIGHTING SERVICE 9
TO A CUSTOMER –OWNED STREET LIGHTIN G TARIFF IN ACCORDAN CE WITH 10
SUBSECTION (D) OF THIS SECTION, the county or municipality shall pay to the electric 11
company the [fair market] NET BOOK value of the street lighting equipment AND THE 12
COST OF ALL MAKE–READY WORK PERFORMED BY THE ELECTRIC COMPANY. 13

[(e)] (F) A county or municipality that [purchases] ACQUIRES street lighting 14
equipment in accordance with SUBSECTION (D) OF this section: 15

(1) shall be responsible for the maintenance of the street lighting 16
equipment; [and] 17

(2) may contract with THE ELECTRIC COMPANY OR an outside entity for 18
the maintenance of the street lighting equipment; AND 19

(3) SHALL NOTIFY THE ELECTRIC COMPANY OF ANY CHANGE TO THE 20
COUNTY’S OR MUNICIPALITY ’S STREET LIGHTING EQ UIPMENT INVENTORY WI THIN 21
30 DAYS AFTER THE ALTERATION. 22

[(f)] (G) (1) Any person who controls the right to use space on any pole, 23
lamppost, or other mounting surface previously used in the county or municipality by the 24
electric company for street lighting equipment shall allow a county or municipality that 25
has purchased the street lighting equipment to assume the rights and obligations of the 26
electric company with respect to the space for the unexpired term of any lease or other 27
agreement under which the electric company used the space. 28

(2) Notwithstanding paragraph (1) of this subsection, the county or 29
municipality may not restrict or prohibit universal access for electricity or any other service 30
by assuming the rights and obligations of an electric company as to space on any pole, 31
lamppost, or other mounting surface used for street lighting equipment. 32

(H) ANY AGREEMENT OR CONT RACT FOR SALE O R LICENSE AGREEMENT 33
THAT APPLIES TO EQUI PMENT MOUNTED ON JOI NT–USE POLES MAY NOT IN CLUDE 34
ANY FEES OR OTHER CO STS NOT INCLUDED IN THE CUSTOMER –OWNED STREET 35
LIGHTING TARIFF UNDER § 4–215 OF THE PUBLIC UTILITIES ARTICLE. 36
6 HOUSE BILL 950

(I) AN ELECTRIC COMPANY M AY NOT REQUIRE FROM A COUNT Y OR 1
MUNICIPALITY ACQUIRING STREET LIGHTING EQUIPMENT UNDER SUBSECTION (D) 2
OF THIS SECTION: 3

(1) ANY PROTECTIONS OR INDEMNIFICATIONS; OR 4

(2) ANY STANDARDS THE ELECTRIC COMPANY DOES NOT CURRENTLY 5
PROVIDE OR REQUIRE O F THE ELECTRIC C OMPANY IN THE OPERAT ION AND 6
MAINTENANCE OF STREET LIGHTING EQUIPMENT UNLESS REQUIRED BY STATE LAW 7
OR REGULATION. 8

(J) ALL WORKERS EMPLOYED BY A COUNTY OR MUNICIPALITY TO OPERATE 9
AND MAINTAIN STREET LIGHTING EQUIPMENT S HALL BE FULLY QUALIF IED AND 10
MEET ANY FEDERAL AND STATE REQUIREMENTS. 11

[(3)] (K) (1) [Any] EXCEPT AFTER A COUNTY OR MUNICIPALITY 12
INITIATES A CONDEMNATION PROCEEDING, ANY dispute between an electric company 13
and a county or municipality [arising under this subsection shall] REGARDING THE NET 14
BOOK VALUE OF THE STR EET LIGHTING EQUIPME NT OR ANY OTHER MATT ER 15
ARISING IN CONNECTION WITH THE ACQUISITION OF STREET LIGHTING EQUIPMENT 16
IN ACCORDANCE WITH SUBSECTION (D)(1) OF THIS SECTION MAY be submitted to the 17
Public Service Commission for resolution. 18

(2) A DISPUTE SUBMITTED IN ACCORDANCE WITH PARAGRAPH (1) OF 19
THIS SUBSECTION SHALL BE CONSIDERED BY THE PUBLIC SERVICE COMMISSION IN 20
ACCORDANCE WITH THE COMPLAINT PROCEDURES ESTABLISHED UNDER § 3–102 OF 21
THE PUBLIC UTILITIES ARTICLE. 22

(L) IF STREET LIGHTING EQUIPMENT IS THE SUBJECT OF A CONDEMNATION 23
PROCEEDING BROUGHT UNDER THIS SECTION, A JURY IN THE PROCEE DING SHALL 24
DETERMINE THE NET BOOK VALUE AS PROVIDED FOR IN THIS SECTION. 25

Article – Public Utilities 26

4–215. 27

(A) IN THIS SECTION, “STREET LIGHTING EQUIPMENT” HAS THE MEANING 28
STATED IN § 1–1309 OF THE LOCAL GOVERNMENT ARTICLE. 29

(B) THIS SECTION DOES NOT APPLY TO MUNICIPAL ELECTRIC UTILITIES. 30

(C) (1) ON OR BEFORE OCTOBER 1, 2026, EACH ELECTRIC COMPAN Y 31
SHALL FILE WITH THE COMMISSION A CUSTOMER –OWNED STREET LIGHTING 32
HOUSE BILL 950 7

TARIFF FOR STREET LI GHTING THAT INCLUDES ELECTRIC DISTRIBUTION SERVICE 1
COSTS AND THE COSTS OF ANY APPLICABLE MA KE–READY WORK PERFORMED BY 2
THE ELECTRIC COMPANY. 3

(2) (I) THE CUSTOMER–OWNED STREET LIGHTIN G TARIFF SHALL 4
PROVIDE FOR MONTHLY BILLS FOR STREET LIGH TING THAT SHALL INCL UDE A 5
SCHEDULE OF ELECTRIC ITY CHARGES BASED ON A DETERMINATION OF 6
KILOWATT–HOUR USAGE PER LUMEN RATING OR NOMINAL WATTAGE OF ALL TYPES 7
OF STREET LIGHTING E QUIPMENT BUT MAY NOT INCLUDE MANDATORY ST REET 8
LIGHTING FACIL ITY, SUPPORT, REACTIVE OR PREVENTI VE MAINTENANCE , FIXED 9
MAINTENANCE, OR ACCESSORY CHARGES. 10

(II) THE DETERMINATION IN SUBPARAGRAPH (I) OF THIS 11
PARAGRAPH SHALL BE MADE: 12

1. IN ACCORDANCE WITH A PPROVED METHODS OF 13
DETERMINATION FOR UNMETERED STREET LIGHTS; OR 14

2. BASED ON INFORMATION RECEIVED FROM LIGHTING 15
CONTROLS THAT MEASURE USAGE AND COMPLY W ITH ANSI C12.20.5 STANDARDS 16
FOR ACCURACY. 17

(3) THE CUSTOMER –OWNED STREET LIGHTIN G TARIFF SHALL 18
PROVIDE FOR OPTIONS FOR VARIOUS STREET LIGHTING CONTROLS, INCLUDING: 19

(I) CONVENTIONAL DUSK /DAWN OPERATION USING 20
PHOTOCELL TECHNOLOGY OR SCHEDULING CONTROLS; 21

(II) SCHEDULE–BASED DIMMING OR ON /OFF CONTROLS THAT 22
DIM OR TURN OFF STREET LIGHTS DURING PERIODS OF LOW ACTIVITY; AND 23

(III) ACTUAL USAGE AS PROVIDED BY CONTROLS THAT PROVIDE 24
THAT INFORMATION AND COMPLY WITH ANSI C12.20.5 STANDARDS FOR 25
ACCURACY. 26

(D) AFTER RECEIVING A CUS TOMER–OWNED STREET LIGHTIN G TARIFF 27
FROM AN ELECTRIC COM PANY, THE COMMISSION SHALL ISSU E A DECISION 28
REGARDING THE ADOPTION OF THE CUSTOMER–OWNED STREET LIGHTING TARIFF. 29

(E) THE COMMISSION SHALL ISSUE A FINAL DETERMINATION ON A DISPUTE 30
REGARDING THE TERMS OF A CUSTOMER –OWNED STREET LIGHTIN G TARIFF 31
ADOPTED IN ACCORDANC E WITH THIS SECTION THAT IS SUBMITTED IN 32
ACCORDANCE WITH THE COMPLAINT PROCEDURES ES TABLISHED IN § 3–102 OF 33
8 HOUSE BILL 950

THIS ARTICLE. 1

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 2
1, 2026. 3