Jane E. Lawton Conservation Loan Program
Fiscal Year 2026 Application
For State Agency Applicants (only)
Thank you for submitting an application to the Jane E. Lawton Conservation Loan Program (“Lawton Loan Program” or “Program”) implemented by the Maryland Energy Administration (“MEA”). The Lawton Loan Program finances investments that improve the energy efficiency of stationary facilities and their operations.[1] State Agencies are eligible to apply under this Program for zero-interest loans.
Lawton Loans are structured so that repayment schedules are tied to actual savings generated by the energy efficiency improvements—known as energy conservation measures or “ECMs.” Eligible ECMs may include, but are not limited to: lighting retrofits; heating, ventilation, and air conditioning (HVAC) upgrades, and related mechanical measures and controls; building management information systems; and specialty equipment upgrades or replacements (such as lab hoods, refrigeration motors, etc.). The energy efficiency project may combine multiple ECMs so that a single bundle of projects demonstrates the capacity to pay for itself through reduced energy expenses within the expected useful life.[2] For multiple ECMs, MEA will then use the simple payback of all of the measures in aggregate to determine the term of the loan. Loan terms may not exceed 15 years. For a state agency, the measures in aggregate must also have a simple payback of 15 years or less. State agencies may also obtain a Lawton loan for financing that is incremental to an energy performance contract (EPC), thereby expanding the number and variety of projects provided by the EPC.
Lawton Loans can be made for ECMs that retrofit or replace existing equipment/fixtures in existing facilities, or for the installation of energy-efficient equipment/fixtures in facilities that have yet to be constructed. Replacement and retrofit projects can receive funding for up to 100% of the total project cost, less any applicable rebates, incentives, and other leveraged funding sources. New construction projects can receive funding for up to 100% of the incremental cost of the ECMs. “Incremental Project Cost” means the difference between the proposed project’s total cost, minus (1) all applicable rebates, incentives, and other leveraged funding sources, and (2) the total cost of a project that would have included code-minimum measures or other activities required by regulation or law.
New in FY26, no new fossil fuel systems will be financed, except on a case by case basis in situations where electrification cannot be utilized. Please contact MEA prior to applying to discuss any potential project that may involve this situation.
All applicants, including state agencies, must submit a complete application package. As application eligibility will be considered on a first-come, first-served basis based on the date the complete application is received by MEA, please carefully read the following pages of the application package and provide all required information. Incomplete or incorrect information will delay the review process, so be sure to check that all necessary fields are complete and that all required attachments are provided in the initial application package prior to submission. Reviews of the proposed project’s energy savings generally take approximately 45 days to complete, but this timeframe may vary based on the volume and complexity of loan applications. MEA may request additional or clarifying information during its review and will provide in writing its determination of whether or not the project will be funded with a Lawton Loan. State agencies do not bear an application fee, but will have a 1% administration fee folded into the first repayment made for any loan awarded under this Program.
**Before filling out an application, interested potential applicants should review the entire FY26 Jane E. Lawton Conservation Loan Program funding opportunity announcement to gain a complete understanding of how the Program operates, as well as all of the eligibility requirements.**
**To aid in the completion of this application, a checklist of application requirements is included on the last page of this document**
[1] Solar Array projects are not eligible.
[2] The expected useful life of an individual energy measure will typically be based on the most recent version of the Mid-Atlantic Technical Reference Manual (TRM) available at https://neep.org/mid-atlantic-technical-reference-manual-trm-v9.
Please carefully read the following sections and provide the requested information. If you are submitting an application electronically, please email all required documentation to Lawton.MEA@maryland.gov. Applications may also be submitted via USPS. If mailing a physical copy of the application, please forward the application package to the following address:
Project Eligibility
All proposed energy efficiency projects must meet the following criteria to be eligible for a Lawton Loan.
☐ The energy efficiency project will be installed on or in a facility owned or leased by the applicant Agency.
☐ The energy efficiency project will be located within the State of Maryland.
☐ The aggregate simple payback does not exceed 18 years.