(a)    It is the policy of the State to authorize each county and municipality to displace or limit competition in the area of water and sewerage systems to:
        (1)    assure delivery of adequate, economical, and efficient water and sewerage services;
        (2)    avoid duplication of water and sewerage facilities;
        (3)    control disease and provide for the public health and safety;
        (4)    prevent environmental degradation;
        (5)    protect natural resources;
        (6)    use the public right–of–way efficiently; and
        (7)    promote the general welfare by providing adequate water and sewerage systems.
    (b)    (1)    Notwithstanding any anticompetitive effect, a county or municipality may:
            (i)    grant one or more franchises or enter into contracts for water or sewerage systems on an exclusive or nonexclusive basis;
            (ii)    impose franchise fees;
            (iii)    establish charges and rates applicable to the franchise; and
            (iv)    adopt rules, regulations, and licensing requirements for the operation of the franchise.
        (2)    If another law grants a county or municipality the authority to operate water and sewerage systems, the county or municipality shall operate the systems without regard to any anticompetitive effect.
Structure Maryland Statutes
Division I - Definitions; General Provisions
Title 1 - Definitions; General Provisions
Subtitle 7 - Limits on Competition; Franchises
Section 1-701 - Scope of Subtitle
Section 1-702 - Authority to Grant Franchises
Section 1-703 - Public Transportation
Section 1-704 - Water and Sewerage Systems
Section 1-705 - Waste Collection and Disposal
Section 1-706 - Concessions and Leases for Public Property
Section 1-707 - Port Regulation