MD
Maryland Senate Bill SB191

Maryland 2022 Regular Session

Maryland Senate Bill SB191 Compare Versions

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1- LAWRENCE J. HOGAN, JR., Governor Ch. 116
21
3-– 1 –
4-Chapter 116
5-(Senate Bill 191)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ Italics indicate opposite chamber/conference committee amendments.
9+ *sb0191*
810
9-Maryland Department of Commerce – Transparency and Efficiency in
10-Reporting Act Requirements and Purple Line Construction Zone Grant Program
11-– Alterations
11+SENATE BILL 191
12+C8, Q3 (2lr0046)
13+ENROLLED BILL
14+— Finance/Ways and Means —
15+Introduced by Chair, Finance Committee (By Request – Departmental – Commerce)
1216
13-FOR the purpose of altering the definition of “economic development program” for purposes
14-of certain data collection, tracking, and reporting requirements of the Maryland Jobs
15-Development Act to include certain tax credit programs; altering certain information
16-that the Department of Commerce is required to report; altering certain information
17-that the Department is required to make available on the Department’s website
18-relating to certain economic development programs; altering certain reporting
19-requirements relating to certain economic development programs and income tax
20-credits administered by the Department; altering the purpose of the Purple Line
21-Construction Zone Grant Program; requiring the Department of Commerce to
22-distribute certain funds under the Grant Program in a certain manner; requiring a
23-county that receives funds under the Program to implement a process for awarding
24-grants to certain small businesses; and generally relating to the Maryland Jobs
25-Development Act and economic development programs administered by the
26-Department.
17+Read and Examined by Proofreaders:
2718
28-BY repealing and reenacting, with amendments,
29- Article – Economic Development
30-Section 2.5–109, 3–404(e), 5–419, 5–709, 5–1307, 5–1409, 5–1501(e), 6–307(a), and
31-6–809 6–809, and 16–102
32- Annotated Code of Maryland
33- (2018 Replacement Volume and 2021 Supplement)
19+_______________________________________________
20+Proofreader.
21+_______________________________________________
22+Proofreader.
3423
35-BY repealing and reenacting, without amendments,
36- Article – Economic Development
37-Section 3–402, 5–406(a), 5–1501(a), 5–1602(a), and 6–802 6–802, and 16–101
38- Annotated Code of Maryland
39- (2018 Replacement Volume and 2021 Supplement)
24+Sealed with the Great Seal and presented to the Governor, for his approval this
4025
41-BY repealing
42- Article – Economic Development
43-Section 5–1501(j) and 5–1606
44- Annotated Code of Maryland
45- (2018 Replacement Volume and 2021 Supplement)
26+_______ day of _______________ at ________________________ o’clock, ________M.
4627
47-BY adding to
48- Article – Economic Development
49-Section 5–1501(j) and 5–1606 Ch. 116 2022 LAWS OF MARYLAND
28+______________________________________________
29+President.
5030
51-– 2 –
52- Annotated Code of Maryland
53- (2018 Replacement Volume and 2021 Supplement)
31+CHAPTER ______
5432
55-BY repealing and reenacting, without amendments,
56- Article – Tax – General
57-Section 10–721(b)(1), 10–733(b)(1), and 10–733.1(b)(1)
58- Annotated Code of Maryland
59- (2016 Replacement Volume and 2021 Supplement)
33+AN ACT concerning 1
6034
61-BY repealing and reenacting, with amendments,
62- Article – Tax – General
63-Section 10–721(g), 10–725(h), 10–730(e), 10–733(h), and 10–733.1(f)
64- Annotated Code of Maryland
65- (2016 Replacement Volume and 2021 Supplement)
35+Maryland Department of Commerce – Transparency and Efficiency in 2
36+Reporting Act Requirements and Purple Line Construction Zone Grant Program 3
37+– Alterations 4
6638
67- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
68-That the Laws of Maryland read as follows:
39+FOR the purpose of altering the definition of “economic development program” for purposes 5
40+of certain data collection, tracking, and reporting requirements of the Maryland Jobs 6
41+Development Act to include certain tax credit programs; altering certain information 7
42+that the Department of Commerce is required to report; altering certain information 8
43+that the Department is required to make available on the Department’s website 9
44+relating to certain economic development programs; altering certain reporting 10
45+requirements relating to certain economic development programs and income tax 11
46+credits administered by the Department; altering the purpose of the Purple Line 12
47+Construction Zone Grant Program; requiring the Department of Commerce to 13
48+distribute certain funds under the Grant Program in a certain manner; requiring a 14
49+county that receives funds under the Program to implement a process for awarding 15 2 SENATE BILL 191
6950
70-Article – Economic Development
7151
72-2.5–109.
52+grants to certain small businesses; and generally relating to the Maryland Jobs 1
53+Development Act and economic development programs administered by the 2
54+Department. 3
7355
74- (a) In this section, “economic development program” means:
56+BY repealing and reenacting, with amendments, 4
57+ Article – Economic Development 5
58+Section 2.5–109, 3–404(e), 5–419, 5–709, 5–1307, 5–1409, 5–1501(e), 6–307(a), and 6
59+6–809 6–809, and 16–102 7
60+ Annotated Code of Maryland 8
61+ (2018 Replacement Volume and 2021 Supplement) 9
7562
76- (1) the Economic Development Op portunities Program Account
77-established under § 7–314 of the State Finance and Procurement Article;
63+BY repealing and reenacting, without amendments, 10
64+ Article – Economic Development 11
65+Section 3–402, 5–406(a), 5–1501(a), 5–1602(a), and 6–802 6–802, and 16–101 12
66+ Annotated Code of Maryland 13
67+ (2018 Replacement Volume and 2021 Supplement) 14
7868
79- (2) the Partnership for Workforce Quality Program established under Title
80-3, Subtitle 4 of this article;
69+BY repealing 15
70+ Article – Economic Development 16
71+Section 5–1501(j) and 5–1606 17
72+ Annotated Code of Maryland 18
73+ (2018 Replacement Volume and 2021 Supplement) 19
8174
82- (3) each of the economic development and financial assistance programs
83-established under Title 5 of this article; and
75+BY adding to 20
76+ Article – Economic Development 21
77+Section 5–1501(j) and 5–1606 22
78+ Annotated Code of Maryland 23
79+ (2018 Replacement Volume and 2021 Supplement) 24
8480
85- (4) each of the tax credit programs administered by the Department,
86-including:
81+BY repealing and reenacting, without amendments, 25
82+ Article – Tax – General 26
83+Section 10–721(b)(1), 10–733(b)(1), and 10–733.1(b)(1) 27
84+ Annotated Code of Maryland 28
85+ (2016 Replacement Volume and 2021 Supplement) 29
8786
88- (i) the Film Production Activity Tax Credit;
87+BY repealing and reenacting, with amendments, 30
88+ Article – Tax – General 31
89+Section 10–721(g), 10–725(h), 10–730(e), 10–733(h), and 10–733.1(f) 32
90+ Annotated Code of Maryland 33
91+ (2016 Replacement Volume and 2021 Supplement) 34
8992
90- (ii) the Job Creation Tax Credit;
93+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 35
94+That the Laws of Maryland read as follows: 36
9195
92- (iii) the One Maryland Economic Development Tax Credit;
96+Article – Economic Development 37
9397
94- (iv) the Biotechnology Investment Incentive Tax Credit;
98+2.5–109. 38 SENATE BILL 191 3
9599
96- (v) the Research and Development Tax Credit;
97- LAWRENCE J. HOGAN, JR., Governor Ch. 116
98100
99-– 3 –
100- (vi) the Security Clearance Administrative Expenses and
101-Construction and Equipment Costs Tax Credit;
102101
103- (vii) the Innovation Investment Incentive Tax Credit;
102+ (a) In this section, “economic development program” means: 1
104103
105- (viii) the More Jobs for Marylanders Tax Credit;
104+ (1) the Economic Development Opportunities Program Account 2
105+established under § 7–314 of the State Finance and Procurement Article; 3
106106
107- (ix) the Purchase of Cybersecurity Technology or Service Tax Credit;
107+ (2) the Partnership for Workforce Quality Program established under Title 4
108+3, Subtitle 4 of this article; 5
108109
109- (x) the Opportunity Zone Enhancement Tax Credit; [and]
110+ (3) each of the economic development and financial assistance programs 6
111+established under Title 5 of this article; and 7
110112
111- (xi) the Small Business Relief Tax Credit; AND
113+ (4) each of the tax credit programs administered by the Department, 8
114+including: 9
112115
113- (XII) ANY OTHER TAX CREDIT PROGRAM THAT IS ADMI NISTERED
114-BY THE DEPARTMENT UNDER :
116+ (i) the Film Production Activity Tax Credit; 10
115117
116- 1. TITLE 6 OF THIS ARTICLE; OR
118+ (ii) the Job Creation Tax Credit; 11
117119
118- 2. TITLE 10, SUBTITLE 7 OF THE TAX – GENERAL
119-ARTICLE.
120+ (iii) the One Maryland Economic Development Tax Credit; 12
120121
121- (b) The Department shall compile data in accordance with this section on the
122-economic development programs administered by the Department.
122+ (iv) the Biotechnology Investment Incentive Tax Credit; 13
123123
124- (c) On or before December 31, 2013, and each year thereafter, the Department
125-shall submit a report on the economic development programs that were administered by
126-the Department during the previous fiscal year to the Governor and, in accordance with §
127-2–1257 of the State Government Article, the General Assembly.
124+ (v) the Research and Development Tax Credit; 14
128125
129- (d) (1) The report required under this section shall include the following data,
130-if applicable, on the economic development programs administered by the Department:
126+ (vi) the Security Clearance Administrative Expenses and 15
127+Construction and Equipment Costs Tax Credit; 16
131128
132- (i) the number of jobs created;
129+ (vii) the Innovation Investment Incentive Tax Credit; 17
133130
134- (ii) the number of jobs retained;
131+ (viii) the More Jobs for Marylanders Tax Credit; 18
135132
136- (iii) the estimated amount of State revenue generated;
133+ (ix) the Purchase of Cybersecurity Technology or Service Tax Credit; 19
137134
138- (iv) the status of any special fund;
135+ (x) the Opportunity Zone Enhancement Tax Credit; [and] 20
139136
140- (v) for minority business enterprises, as defined in § 14–301 of the
141-State Finance and Procurement Article:
137+ (xi) the Small Business Relief Tax Credit; AND 21
142138
143- 1. the number of enterprises that received assistance from
144-each economic development program; and
145- Ch. 116 2022 LAWS OF MARYLAND
139+ (XII) ANY OTHER TAX CREDIT PROGRAM THAT IS ADMI NISTERED 22
140+BY THE DEPARTMENT UNDER : 23
146141
147-– 4 –
148- 2. the percentage of assistance distributed to each minority
149-business enterprise from each economic development program compared to the total
150-assistance distributed from each economic development program; [and]
142+ 1. TITLE 6 OF THIS ARTICLE; OR 24
151143
152- (VI) A STATEMENT INDICATI NG WHETHER , DURING THE
153-CURRENT REPORTING YE AR, THE DEPARTMENT REDUCED , REVOKED, OR
154-RECAPTURED A TAX CRE DIT OR ANY AMOUNT OF FINANCIAL ASSISTANCE FROM A
155-RECIPIENT AND , IF APPLICABLE:
144+ 2. TITLE 10, SUBTITLE 7 OF THE TAX – GENERAL 25
145+ARTICLE. 26
146+ 4 SENATE BILL 191
156147
157- 1. THE TOTAL AMOUNT REC OVERED AS A RESULT O F THE
158-REDUCTION, REVOCATION , OR RECAPTURE , AND ANY PENALTY ASSE SSED; AND
159148
160- 2. A JUSTIFICATION FOR THE REDUCTION , REVOCATION ,
161-OR RECAPTURE ; AND
149+ (b) The Department shall compile data in accordance with this section on the 1
150+economic development programs administered by the Department. 2
162151
163- [(vi)] (VII) any additional information required by the Department
164-through regulations.
152+ (c) On or before December 31, 2013, and each year thereafter, the Department 3
153+shall submit a report on the economic development programs that were administered by 4
154+the Department during the previous fiscal year to the Governor and, in accordance with § 5
155+2–1257 of the State Government Article, the General Assembly. 6
165156
166- (2) The report required under this section shall include data in the
167-aggregate and disaggregated by:
157+ (d) (1) The report required under this section shall include the following data, 7
158+if applicable, on the economic development programs administered by the Department: 8
168159
169- (i) each economic development program; and
160+ (i) the number of jobs created; 9
170161
171- (ii) each recipient of assistance from an economic development
172-program.
162+ (ii) the number of jobs retained; 10
173163
174- (3) The report required under this section shall include any additional
175-information required under the law authorizing the economic development program.
164+ (iii) the estimated amount of State revenue generated; 11
176165
177- (e) [On or before December 31, 2020, in addition to the report required under
178-subsection (c) of this section, the] THE Department shall establish, maintain, and update
179-annually a publicly available database on the Department’s website that:
166+ (iv) the status of any special fund; 12
180167
181- (1) provides information that is downloadable by the public in a common
182-machine–readable format; and
168+ (v) for minority business enterprises, as defined in § 14–301 of the 13
169+State Finance and Procurement Article: 14
183170
184- (2) includes, AS APPLICABL E[:
171+ 1. the number of enterprises that received assistance from 15
172+each economic development program; and 16
185173
186- (i) the name of each business entity that is a recipient of an
187-economic development program;
174+ 2. the percentage of assistance distributed to each minority 17
175+business enterprise from each economic development program compared to the total 18
176+assistance distributed from each economic development program; [and] 19
188177
189- (ii) the total amount of tax credits certified, financial assistance
190-paid, and loans forgiven or uncollectible by the Department, reported in the aggregate for
191-each economic development program and FOR each recipient of the tax credit or financial
192-assistance; LAWRENCE J. HOGAN, JR., Governor Ch. 116
178+ (VI) A STATEMENT INDICATI NG WHETHER , DURING THE 20
179+CURRENT REPORTING YE AR, THE DEPARTMENT REDUCED , REVOKED, OR 21
180+RECAPTURED A TAX CRE DIT OR ANY AMOUNT OF FINANCIAL ASSISTANCE FROM A 22
181+RECIPIENT AND , IF APPLICABLE: 23
193182
194-– 5 –
183+ 1. THE TOTAL AMOUNT REC OVERED AS A RESULT O F THE 24
184+REDUCTION, REVOCATION , OR RECAPTURE , AND ANY PENALTY ASSE SSED; AND 25
195185
196- (iii) 1. for any tax credit or financial assistance that is certified
197-or paid by the Department to incentivize job creation or retention:
186+ 2. A JUSTIFICATION FOR THE REDUCTION, REVOCATION , 26
187+OR RECAPTURE ; AND 27
198188
199- A. the number of jobs each recipient of the credit or
200-assistance claimed it would create or retain in its application for the credit or assistance;
189+ [(vi)] (VII) any additional information required by the Department 28
190+through regulations. 29
201191
202- B. (III) the number of jobs actually created or retained by
203-each recipient; and
192+ (2) The report required under this section shall include data in the 30
193+aggregate and disaggregated by: 31
194+ SENATE BILL 191 5
204195
205- C. (IV) the average salary of the jobs created or retained by
206-each recipient; and
207196
208- 2. for any tax credit or amount of financial assistance that is
209-certified or awarded by the Department to incentivize activities other than job creation or
210-retention, a description of how the credit or assistance benefits the State; and
197+ (i) each economic development program; and 1
211198
212- (V) THE AMOUNT OF CAPITA L INVESTMENT MADE OR PROJECT
213-COSTS INCURRED BY EA CH RECIPIENT; AND
199+ (ii) each recipient of assistance from an economic development 2
200+program. 3
214201
215- (iv) (VI) a statement indicating whether, during the current
216-reporting year, the Department reduced, revoked, or recaptured a tax credit or any amount
217-of financial assistance from a recipient and, if applicable:
202+ (3) The report required under this section shall include any additional 4
203+information required under the law authorizing the economic development program. 5
218204
219- 1. the total amount recovered as a result of the reduction,
220-revocation, or recapture, and any penalty assessed; and
205+ (e) [On or before December 31, 2020, in addition to the report required under 6
206+subsection (c) of this section, the] THE Department shall establish, maintain, and update 7
207+annually a publicly available database on the Department’s website that: 8
221208
222- 2. a justification for the reduction, revocation, or recapture]
223-DATA REPORTED IN CON NECTION WITH THE ECO NOMIC DEVELOPMENT PR OGRAMS
224-ADMINISTERED BY THE DEPARTMENT AS REQUIRE D UNDER THE PROVISIO NS OF
225-THIS SECTION.
209+ (1) provides information that is downloadable by the public in a common 9
210+machine–readable format; and 10
226211
227- (f) If a recipient of assistance from an economic development program is not
228-meeting the requirements of the economic development program, the Department shall
229-implement a process to assist the recipient in meeting the program requirements.
212+ (2) includes, AS APPLICABLE[: 11
230213
231-3–402.
214+ (i) the name of each business entity that is a recipient of an 12
215+economic development program; 13
232216
233- There is a Partnership for Workforce Quality Program in the Department.
217+ (ii) the total amount of tax credits certified, financial assistance 14
218+paid, and loans forgiven or uncollectible by the Department, reported in the aggregate for 15
219+each economic development program and FOR each recipient of the tax credit or financial 16
220+assistance; 17
234221
235-3–404.
222+ (iii) 1. for any tax credit or financial assistance that is certified 18
223+or paid by the Department to incentivize job creation or retention: 19
236224
237- (e) [(1)] In accordance with § 2.5–109 of this article, the Secretary shall submit
238-a report on the operation and performance of the Program.
239- Ch. 116 2022 LAWS OF MARYLAND
225+ A. the number of jobs each recipient of the credit or 20
226+assistance claimed it would create or retain in its application for the credit or assistance; 21
240227
241-– 6 –
242- [(2) In addition to the requirements under § 2.5–109(c) of this article, the
243-report required under this subsection shall be submitted to:
228+ B. (III) the number of jobs actually created or retained by 22
229+each recipient; and 23
244230
245- (i) the Governor’s Workforce Development Board; and
231+ C. (IV) the average salary of the jobs created or retained by 24
232+each recipient; and 25
246233
247- (ii) the Maryland Economic Development Commission.]
234+ 2. for any tax credit or amount of financial assistance that is 26
235+certified or awarded by the Department to incentivize activities other than job creation or 27
236+retention, a description of how the credit or assistance benefits the State; and 28
248237
249-5–406.
238+ (V) THE AMOUNT OF CAPITA L INVESTMENT MADE OR PROJECT 29
239+COSTS INCURRED BY EACH RECIPIENT ; AND 30
240+ 6 SENATE BILL 191
250241
251- (a) There is a Maryland Industrial Development Financing Authority in the
252-Department.
253242
254-5–419.
243+ (iv) (VI) a statement indicating whether, during the current 1
244+reporting year, the Department reduced, revoked, or recaptured a tax credit or any amount 2
245+of financial assistance from a recipient and, if applicable: 3
255246
256- [(a)] In accordance with § 2.5–109 of this article, the Authority shall submit a
257-report on its condition and operations.
247+ 1. the total amount recovered as a result of the reduction, 4
248+revocation, or recapture, and any penalty assessed; and 5
258249
259- [(b) In addition to the requirements under § 2.5–109(c) of this article, the report
260-required under this section shall be submitted to the chair of the Joint Audit and
261-Evaluation Committee.]
250+ 2. a justification for the reduction, revocation, or recapture] 6
251+DATA REPORTED IN CON NECTION WITH THE ECO NOMIC DEVELOPMENT PR OGRAMS 7
252+ADMINISTERED BY THE DEPARTMENT AS REQUIRE D UNDER THE PROVISIO NS OF 8
253+THIS SECTION. 9
262254
263-5–709.
255+ (f) If a recipient of assistance from an economic development program is not 10
256+meeting the requirements of the economic development program, the Department shall 11
257+implement a process to assist the recipient in meeting the program requirements. 12
264258
265- [(a) The Department and the Comptroller jointly shall assess each year the
266-effectiveness of the tax credits provided to business entities in enterprise zones and focus
267-areas in enterprise zones, including:
259+3–402. 13
268260
269- (1) the number and amounts of credits granted each year; and
261+ There is a Partnership for Workforce Quality Program in the Department. 14
270262
271- (2) the success of the tax credits in attracting and retaining business
272-entities in enterprise zones and focus areas.
263+3–404. 15
273264
274- (b) On or before December 15 of each year, the Department and the Comptroller
275-shall submit to the Governor and, in accordance with § 2–1257 of the State Government
276-Article, the General Assembly a report outlining the findings of the Department and the
277-Comptroller and any other information of value in determining] IN ACCORDANCE WITH §
278-2.5–109 OF THIS ARTICLE , THE DEPARTMENT SHALL SUBM IT A REPORT ON the
279-effectiveness of the tax credits provided under § 5–707(b) of this subtitle.
265+ (e) [(1)] In accordance with § 2.5–109 of this article, the Secretary shall submit 16
266+a report on the operation and performance of the Program. 17
280267
281-5–1307.
268+ [(2) In addition to the requirements under § 2.5–109(c) of this article, the 18
269+report required under this subsection shall be submitted to: 19
282270
283- (a) On or before October 15 of each year, a political subdivision with a BRAC
284-Revitalization and Incentive Zone designation shall submit a report to the Department that
285-assesses the effectiveness of the benefits provided to the BRAC Revitalization and Incentive LAWRENCE J. HOGAN, JR., Governor Ch. 116
271+ (i) the Governor’s Workforce Development Board; and 20
286272
287-– 7 –
288-Zone in attracting and retaining businesses within the BRAC Revitalization and Incentive
289-Zone.
273+ (ii) the Maryland Economic Development Commission.] 21
290274
291- (b) [On or before December 15 of each year] IN ACCORDANCE WITH § 2.5–109
292-OF THIS ARTICLE , the Department shall[:
275+5–406. 22
293276
294- (1) assess the effectiveness of the benefits provided to the BRAC
295-Revitalization and Incentive Zones in attracting and retaining businesses within BRAC
296-Revitalization and Incentive Zones; and
277+ (a) There is a Maryland Industrial Development Financing Authority in the 23
278+Department. 24
297279
298- (2) submit to the Governor and, in accordance with § 2–1257 of the State
299-Government Article, the General Assembly a report outlining the findings of the
300-Department and any other information of value in determining] SUBMIT A REPORT ON
301-the effectiveness of the benefits under this subtitle.
280+5–419. 25
302281
303-5–1409.
282+ [(a)] In accordance with § 2.5–109 of this article, the Authority shall submit a 26
283+report on its condition and operations. 27
304284
305- [(a) The Department and the Comptroller jointly shall assess each year the
306-effectiveness of the tax incentives provided to business entities in RISE zones, including:
285+ [(b) In addition to the requirements under § 2.5–109(c) of this article, the report 28
286+required under this section shall be submitted to the chair of the Joint Audit and 29
287+Evaluation Committee.] 30
288+ SENATE BILL 191 7
307289
308- (1) the number and amounts of tax incentives granted each year; and
309290
310- (2) the success of the tax incentives in attracting and retaining business
311-entities in RISE zones.
291+5–709. 1
312292
313- (b) On or before December 15 of each year, the Department and the Comptroller
314-shall submit to the Governor and, in accordance with § 2–1257 of the State Government
315-Article, the Senate Budget and Taxation Committee and the House Committee on Ways
316-and Means a report outlining the findings of the Department and the Comptroller and any
317-other information of value in determining] IN ACCORDANCE WITH § 2.5–109 OF THIS
318-ARTICLE, THE DEPARTMENT SHALL SUBM IT A REPORT ON the effectiveness of the tax
319-incentives authorized under this subtitle.
293+ [(a) The Department and the Comptroller jointly shall assess each year the 2
294+effectiveness of the tax credits provided to business entities in enterprise zones and focus 3
295+areas in enterprise zones, including: 4
320296
321- [(c) On or before December 15 each year, the Department shall submit to the
322-Governor and, in accordance with § 2–1257 of the State Government Article, the Senate
323-Budget and Taxation Committee and the House Committee on Ways and Means a report
324-detailing with respect to each RISE zone in which a rental assistance program has been
325-established:
297+ (1) the number and amounts of credits granted each year; and 5
326298
327- (1) the entity administering the rental assistance program;
299+ (2) the success of the tax credits in attracting and retaining business 6
300+entities in enterprise zones and focus areas. 7
328301
329- (2) the amount of funds received during the previous fiscal year;
302+ (b) On or before December 15 of each year, the Department and the Comptroller 8
303+shall submit to the Governor and, in accordance with § 2–1257 of the State Government 9
304+Article, the General Assembly a report outlining the findings of the Department and the 10
305+Comptroller and any other information of value in determining] IN ACCORDANCE WITH § 11
306+2.5–109 OF THIS ARTICLE , THE DEPARTMENT SHALL SUBM IT A REPORT ON the 12
307+effectiveness of the tax credits provided under § 5–707(b) of this subtitle. 13
330308
331- (3) the cumulative amount of funds received; and
332- Ch. 116 2022 LAWS OF MARYLAND
309+5–1307. 14
333310
334-– 8 –
335- (4) the amount of funds remaining unspent at the end of the previous fiscal
336-year.]
311+ (a) On or before October 15 of each year, a political subdivision with a BRAC 15
312+Revitalization and Incentive Zone designation shall submit a report to the Department that 16
313+assesses the effectiveness of the benefits provided to the BRAC Revitalization and Incentive 17
314+Zone in attracting and retaining businesses within the BRAC Revitalization and Incentive 18
315+Zone. 19
337316
338-5–1501.
317+ (b) [On or before December 15 of each year] IN ACCORDANCE WI TH § 2.5–109 20
318+OF THIS ARTICLE , the Department shall[: 21
339319
340- (a) There is a Small, Minority, and Women–Owned Businesses Account under the
341-authority of the Department.
320+ (1) assess the effectiveness of the benefits provided to the BRAC 22
321+Revitalization and Incentive Zones in attracting and retaining businesses within BRAC 23
322+Revitalization and Incentive Zones; and 24
342323
343- (e) Fund managers receiving grants under this section shall:
324+ (2) submit to the Governor and, in accordance with § 2–1257 of the State 25
325+Government Article, the General Assembly a report outlining the findings of the 26
326+Department and any other information of value in determining] SUBMIT A REPORT ON 27
327+the effectiveness of the benefits under this subtitle. 28
344328
345- (1) keep proper records of funds and accounts;
329+5–1409. 29
346330
347- (2) provide an annual report to the [Governor and, in accordance with §
348-2–1257 of the State Government Article, the General Assembly] DEPARTMENT on
349-investment capital and loans made pursuant to subsection (c) of this section; and
331+ [(a) The Department and the Comptroller jointly shall assess each year the 30
332+effectiveness of the tax incentives provided to business entities in RISE zones, including: 31
350333
351- (3) be subject to audit by the Office of Legislative Audits of the Department
352-of Legislative Services.
334+ (1) the number and amounts of tax incentives granted each year; and 32
335+ 8 SENATE BILL 191
353336
354- [(j) (1) On or before October 1 each year, the Department shall submit a report
355-on the status of money received from the Strategic Energy Investment Fund under
356-subsection (d) of this section to the Senate Finance Committee and the House Economic
357-Matters Committee, in accordance with § 2–1257 of the State Government Article.
358337
359- (2) With respect to the preceding fiscal year and each relevant prior fiscal
360-year, the report shall include:
338+ (2) the success of the tax incentives in attracting and retaining business 1
339+entities in RISE zones. 2
361340
362- (i) the amounts received from the Fund;
341+ (b) On or before December 15 of each year, the Department and the Comptroller 3
342+shall submit to the Governor and, in accordance with § 2–1257 of the State Government 4
343+Article, the Senate Budget and Taxation Committee and the House Committee on Ways 5
344+and Means a report outlining the findings of the Department and the Comptroller and any 6
345+other information of value in determining] IN ACCORDA NCE WITH § 2.5–109 OF THIS 7
346+ARTICLE, THE DEPARTMENT SHALL SUBM IT A REPORT ON the effectiveness of the tax 8
347+incentives authorized under this subtitle. 9
363348
364- (ii) the amounts placed as grants with eligible fund managers; and
349+ [(c) On or before December 15 each year, the Department shall submit to the 10
350+Governor and, in accordance with § 2–1257 of the State Government Article, the Senate 11
351+Budget and Taxation Committee and the House Committee on Ways and Means a report 12
352+detailing with respect to each RISE zone in which a rental assistance program has been 13
353+established: 14
365354
366- (iii) with respect to each eligible fund manager:
355+ (1) the entity administering the rental assistance program; 15
367356
368- 1. the identity of the manager;
357+ (2) the amount of funds received during the previous fiscal year; 16
369358
370- 2. the money provided to the manager;
359+ (3) the cumulative amount of funds received; and 17
371360
372- 3. the investments made by the manager;
361+ (4) the amount of funds remaining unspent at the end of the previous fiscal 18
362+year.] 19
373363
374- 4. the amounts retained by the manager as expenses and
375-management fees;
364+5–1501. 20
376365
377- 5. the small, minority, women–owned, and veteran–owned
378-businesses receiving the investments; and
379- LAWRENCE J. HOGAN, JR., Governor Ch. 116
366+ (a) There is a Small, Minority, and Women–Owned Businesses Account under the 21
367+authority of the Department. 22
380368
381-– 9 –
382- 6. the status of the investments listed under item 5 of this
383-item, along with any return made on each investment.]
369+ (e) Fund managers receiving grants under this section shall: 23
384370
385- (J) IN ACCORDANCE WITH § 2.5–109 OF THIS ARTICLE, THE DEPARTMENT
386-SHALL SUBMIT A REPOR T ON AMOUNTS RECEIVE D BY AND EXPENDED BY THE
387-STRATEGIC ENERGY INVESTMENT FUND.
371+ (1) keep proper records of funds and accounts; 24
388372
389-5–1602.
373+ (2) provide an annual report to the [Governor and, in accordance with § 25
374+2–1257 of the State Government Article, the General Assembly] DEPARTMENT on 26
375+investment capital and loans made pursuant to subsection (c) of this section; and 27
390376
391- (a) There is a Make Office Vacancies Extinct Program in the Department.
377+ (3) be subject to audit by the Office of Legislative Audits of the Department 28
378+of Legislative Services. 29
392379
393-[5–1606.
380+ [(j) (1) On or before October 1 each year, the Department shall submit a report 30
381+on the status of money received from the Strategic Energy Investment Fund under 31
382+subsection (d) of this section to the Senate Finance Committee and the House Economic 32
383+Matters Committee, in accordance with § 2–1257 of the State Government Article. 33 SENATE BILL 191 9
394384
395- (a) At least once every 3 years, the Secretary shall review and evaluate the
396-Program, including the number of participating counties with comparable support
397-programs and the number and size of eligible businesses that receive support from the
398-Program.
399385
400- (b) Based on the review and evaluation, the Secretary may submit
401-recommendations to the Governor and, subject to § 2–1257 of the State Government Article,
402-the General Assembly on the continued effectiveness of the Program and the level of
403-matching funding that should be provided to participating counties under the Program.]
404386
405-5–1606.
387+ (2) With respect to the preceding fiscal year and each relevant prior fiscal 1
388+year, the report shall include: 2
406389
407- IN ACCORDANCE WITH § 2.5–109 OF THIS ARTICLE, THE DEPARTMENT SHALL
408-SUBMIT A REPORT ON T HE EFFECTIVENESS OF THE PROGRAM.
390+ (i) the amounts received from the Fund; 3
409391
410-6–307.
392+ (ii) the amounts placed as grants with eligible fund managers; and 4
411393
412- (a) In accordance with § 2.5–109 of this article, the Department shall submit a
413-report on[:
394+ (iii) with respect to each eligible fund manager: 5
414395
415- (1) each business entity certified as eligible for job creation tax credits in
416-the preceding taxable year;
396+ 1. the identity of the manager; 6
417397
418- (2) whether the credits for which the business entity was certified resulted
419-from the entity’s establishment, expansion, or relocation;
398+ 2. the money provided to the manager; 7
420399
421- (3) whether the business entity had a presence in the State before claiming
422-the credit;
400+ 3. the investments made by the manager; 8
423401
424- (4) the total number of employees of the business entity; and
425- Ch. 116 2022 LAWS OF MARYLAND
402+ 4. the amounts retained by the manager as expenses and 9
403+management fees; 10
426404
427-– 10 –
428- (5) the total number of years that the business entity has been in business]
429-THE JOB CREATION TAX CREDITS AUTHORIZED U NDER THIS SUBTITLE .
405+ 5. the small, minority, women–owned, and veteran–owned 11
406+businesses receiving the investments; and 12
430407
431-6–802.
408+ 6. the status of the investments listed under item 5 of this 13
409+item, along with any return made on each investment.] 14
432410
433- There is a More Jobs for Marylanders Program in the Department.
411+ (J) IN ACCORDANCE WITH § 2.5–109 OF THIS ARTICLE, THE DEPARTMENT 15
412+SHALL SUBMIT A REPOR T ON AMOUNTS RECEIVE D BY AND EXPENDED BY THE 16
413+STRATEGIC ENERGY INVESTMENT FUND. 17
434414
435-6–809.
415+5–1602. 18
436416
437- [On or before December 1 each year, the Department shall report to the General
438-Assembly, in accordance with § 2–1257 of the State Government Article,] IN ACCORDANCE
439-WITH § 2.5–109 OF THIS ARTICLE , THE DEPARTMENT SHALL SUBM IT A REPORT on
440-the qualified business entities receiving final certification in the preceding fiscal year.
417+ (a) There is a Make Office Vacancies Extinct Program in the Department. 19
441418
442-16–101.
419+[5–1606. 20
443420
444- (a) In this title the following words have the meanings indicated.
421+ (a) At least once every 3 years, the Secretary shall review and evaluate the 21
422+Program, including the number of participating counties with comparable support 22
423+programs and the number and size of eligible businesses that receive support from the 23
424+Program. 24
445425
446- (b) “Grant Program” means the Purple Line Construction Zone Grant Program.
426+ (b) Based on the review and evaluation, the Secretary may submit 25
427+recommendations to the Governor and, subject to § 2–1257 of the State Government Article, 26
428+the General Assembly on the continued effectiveness of the Program and the level of 27
429+matching funding that should be provided to participating counties under the Program.] 28
447430
448- (c) “Qualified small business” means a sole proprietorship, a partnership, a
449-limited partnership, a limited liability partnership, a limited liability company, or a
450-corporation that:
431+5–1606. 29 10 SENATE BILL 191
451432
452- (1) employs 20 or fewer employees;
453433
454- (2) is independently owned and operated;
455434
456- (3) is not a subsidiary of another business;
435+ IN ACCORDANCE WITH § 2.5–109 OF THIS ARTICLE, THE DEPARTMENT SHALL 1
436+SUBMIT A REPORT ON THE EFFECTI VENESS OF THE PROGRAM. 2
457437
458- (4) is not dominant in its field of operation; and
438+6–307. 3
459439
460- (5) is impacted by the construction of the Purple Line light rail project in
461-Montgomery County and Prince George’s County.
440+ (a) In accordance with § 2.5–109 of this article, the Department shall submit a 4
441+report on[: 5
462442
463-16–102.
443+ (1) each business entity certified as eligible for job creation tax credits in 6
444+the preceding taxable year; 7
464445
465- (a) (1) There is a Purple Line Construction Zone Grant Program.
446+ (2) whether the credits for which the business entity was certified resulted 8
447+from the entity’s establishment, expansion, or relocation; 9
466448
467- (2) The purpose of the Grant Program is to provide funds to MONTGOMERY
468-COUNTY AND PRINCE GEORGE’S COUNTY TO PROVIDE ASS ISTANCE TO qualified
469-small businesses to assist in offsetting business revenue lost as a result of the construction
470-of the Purple Line light rail project in [Montgomery County and Prince George’s County]
471-THOSE COUNTIES .
472- LAWRENCE J. HOGAN, JR., Governor Ch. 116
449+ (3) whether the business entity had a presence in the State before claiming 10
450+the credit; 11
473451
474-– 11 –
475- (3) In each of fiscal years 2023 and 2024, the Department of Commerce shall
476-provide $1,000,000 in general funds to the Grant Program to assist qualified small
477-businesses.
452+ (4) the total number of employees of the business entity; and 12
478453
479- (b) (1) The Department of Commerce shall implement [and administer] the
480-Grant Program.
454+ (5) the total number of years that the business entity has been in business] 13
455+THE JOB CREATION TAX CREDITS AUTHORIZED U NDER THIS SUBTITLE . 14
481456
482- (2) THE DEPARTMENT SHALL DIST RIBUTE FUNDS PROVIDE D FOR THE
483-GRANT PROGRAM BASED ON THE NUMBER OF QUALIFIED SMALL BUSINESSES
484-LOCATED IN MONTGOMERY COUNTY AND PRINCE GEORGE’S COUNTY.
457+6–802. 15
485458
486- [(c) (1) Subject to paragraph (2) of this subsection, the Department of
487-Commerce, in consultation with the Department of Transportation, shall adopt regulations
488-to implement this section, including regulations to establish:
459+ There is a More Jobs for Marylanders Program in the Department. 16
489460
490- (i) eligibility and grant application requirements; and
461+6–809. 17
491462
492- (ii) a process for reviewing grant applications and awarding grants
493-to eligible qualified small businesses.
463+ [On or before December 1 each year, the Department shall report to the General 18
464+Assembly, in accordance with § 2–1257 of the State Government Article,] IN ACCORDANCE 19
465+WITH § 2.5–109 OF THIS ARTICLE , THE DEPARTMENT SHALL SUBM IT A REPORT on 20
466+the qualified business entities receiving final certification in the preceding fiscal year. 21
494467
495- (2) In developing the regulations required under paragraph (1) of this
496-subsection, the Department of Commerce and the Maryland Transit Administration shall
497-consult qualified small businesses to ensure that the eligibility and application requirements
498-for the Grant Program are not overly burdensome to qualified small businesses.
468+16–101. 22
499469
500- (3) The Department of Commerce shall make the application developed for
501-purposes of the Grant Program available to qualified small businesses as soon as
502-practicable.]
470+ (a) In this title the following words have the meanings indicated. 23
503471
504- (C) A COUNTY THAT RECEIVES FUNDS UNDER THIS SEC TION SHALL
505-IMPLEMENT A PROCESS FOR AWARDING GRANTS TO ELIGIBLE QUALIFIE D SMALL
506-BUSINESSES.
472+ (b) “Grant Program” means the Purple Line Construction Zone Grant Program. 24
507473
508- [(d) (1) (i) Subject to the limitations of this paragraph, the Department of
509-Commerce shall establish, by regulation, guidelines to calculate the amount of a grant
510-awarded under this section.
474+ (c) “Qualified small business” means a sole proprietorship, a partnership, a 25
475+limited partnership, a limited liability partnership, a limited liability company, or a 26
476+corporation that: 27
511477
512- (ii) In establishing guidelines under subparagraph (i) of this
513-paragraph, the Department of Commerce may use a 12–month projection of the difference
514-between the business revenue of a qualified small business during the 3–month period
515-immediately preceding the start of the Purple Line construction compared to the 3–month
516-period immediately following the start of the Purple Line construction.
478+ (1) employs 20 or fewer employees; 28
479+ SENATE BILL 191 11
517480
518- (iii) A grant awarded under the Grant Program may not exceed
519-$50,000.
520- Ch. 116 2022 LAWS OF MARYLAND
521481
522-– 12 –
523- (2) Subject to the eligibility requirements established under subsection (d)
524-of this section, if a qualified small business is required to be registered with the State and is
525-registered, the qualified small business may apply for a grant under the Grant Program
526-regardless of ownership or location.]
482+ (2) is independently owned and operated; 1
527483
528- [(3)] (D) (1) [(i) Subject to subparagraph (ii) of this paragraph, the]
529-THE Department of Commerce MAY DISTRIBUTE FUNDI NG IN ACCORDANCE WIT H
530-SUBSECTION (B) OF THIS SECTION AND A COUNTY may award grants until all the money
531-allotted for the Grant Program has been DISTRIBUTED OR awarded or until December 31,
532-2024, whichever occurs first.
484+ (3) is not a subsidiary of another business; 2
533485
534- [(ii) The Department of Commerce may not award more than one
535-grant to the same qualified small business in a 12–month period.]
486+ (4) is not dominant in its field of operation; and 3
536487
537- [(4)] (2) Any money that has not been DISTRIBUTED OR awarded on or
538-before December 31, 2024, shall revert to the Maryland Economic Development Assistance
539-Fund.
488+ (5) is impacted by the construction of the Purple Line light rail project in 4
489+Montgomery County and Prince George’s County. 5
540490
541-Article – Tax – General
491+16–102. 6
542492
543-10–721.
493+ (a) (1) There is a Purple Line Construction Zone Grant Program. 7
544494
545- (b) (1) The purpose of the Research and Development Tax Credit Program is
546-to foster increased research activities and expenditures in Maryland.
495+ (2) The purpose of the Grant Program is to provide funds to MONTGOMERY 8
496+COUNTY AND PRINCE GEORGE’S COUNTY TO PROVIDE ASS ISTANCE TO qualified 9
497+small businesses to assist in offsetting business revenue lost as a result of the construction 10
498+of the Purple Line light rail project in [Montgomery County and Prince George’s County] 11
499+THOSE COUNTIES . 12
547500
548- (g) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the
549-Department shall report on the credits approved under this section.
501+ (3) In each of fiscal years 2023 and 2024, the Department of Commerce shall 13
502+provide $1,000,000 in general funds to the Grant Program to assist qualified small 14
503+businesses. 15
550504
551- [(2) The report required under paragraph (1) of this subsection shall include
552-for each individual or corporation approved to receive a credit under this section in the prior
553-calendar year:
505+ (b) (1) The Department of Commerce shall implement [and administer] the 16
506+Grant Program. 17
554507
555- (i) the individual’s or corporation’s name and address; and
508+ (2) THE DEPARTMENT SHALL DIST RIBUTE FUNDS PROVIDE D FOR THE 18
509+GRANT PROGRAM BASED ON THE NUMBER OF QUALIFIED SMALL BUSINESSES 19
510+LOCATED IN MONTGOMERY COUNTY AND PRINCE GEORGE’S COUNTY. 20
556511
557- (ii) the amount of the credit approved.
512+ [(c) (1) Subject to paragraph (2) of this subsection, the Department of 21
513+Commerce, in consultation with the Department of Transportation, shall adopt regulations 22
514+to implement this section, including regulations to establish: 23
558515
559- (3) The report required under paragraph (1) of this subsection shall include
560-the name of the individual or corporation and the aggregate amount of credits approved in
561-all calendar years for each individual or corporation under this section.
516+ (i) eligibility and grant application requirements; and 24
562517
563- (4) The report required under paragraph (1) of this subsection shall
564-summarize for the credits approved under this section:
518+ (ii) a process for reviewing grant applications and awarding grants 25
519+to eligible qualified small businesses. 26
565520
566- (i) the total number of applicants for credits under this section in
567-each calendar year; LAWRENCE J. HOGAN, JR., Governor Ch. 116
521+ (2) In developing the regulations required under paragraph (1) of this 27
522+subsection, the Department of Commerce and the Maryland Transit Administration shall 28
523+consult qualified small businesses to ensure that the eligibility and application requirements 29
524+for the Grant Program are not overly burdensome to qualified small businesses. 30
525+ 12 SENATE BILL 191
568526
569-– 13 –
570527
571- (ii) the number of applications for which a tax credit was approved
572-in each calendar year; and
528+ (3) The Department of Commerce shall make the application developed for 1
529+purposes of the Grant Program available to qualified small businesses as soon as 2
530+practicable.] 3
573531
574- (iii) the total credits authorized under this section for all calendar
575-years under this section.]
532+ (C) A COUNTY THAT RECEIVES FUNDS UNDER THIS SEC TION SHALL 4
533+IMPLEMENT A PROCESS FOR AWARDING GRANTS TO ELIGIBLE QUALIFIE D SMALL 5
534+BUSINESSES. 6
576535
577-10–725.
536+ [(d) (1) (i) Subject to the limitations of this paragraph, the Department of 7
537+Commerce shall establish, by regulation, guidelines to calculate the amount of a grant 8
538+awarded under this section. 9
578539
579- (h) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the
580-Department shall report on[:
540+ (ii) In establishing guidelines under subparagraph (i) of this 10
541+paragraph, the Department of Commerce may use a 12–month projection of the difference 11
542+between the business revenue of a qualified small business during the 3–month period 12
543+immediately preceding the start of the Purple Line construction compared to the 3–month 13
544+period immediately following the start of the Purple Line construction. 14
581545
582- (i) the initial tax credit certificates awarded under this section for
583-the calendar year, including the number of initial tax credit certificates awarded to
584-qualified investors for investments in qualified Maryland biotechnology companies that
585-were not certified by the Department in the previous calendar year; and
546+ (iii) A grant awarded under the Grant Program may not exceed 15
547+$50,000. 16
586548
587- (ii) for each qualified Maryland biotechnology company that receives
588-an investment for which an initial tax credit certificate is awarded under this section for
589-the calendar year:
549+ (2) Subject to the eligibility requirements established under subsection (d) 17
550+of this section, if a qualified small business is required to be registered with the State and is 18
551+registered, the qualified small business may apply for a grant under the Grant Program 19
552+regardless of ownership or location.] 20
590553
591- 1. the number of years that the company has been in active
592-business; and
554+ [(3)] (D) (1) [(i) Subject to subparagraph (ii) of this paragraph, the] 21
555+THE Department of Commerce MAY DISTRIBUTE FUNDI NG IN ACCORDANCE WIT H 22
556+SUBSECTION (B) OF THIS SECTION AND A COUNTY may award grants until all the money 23
557+allotted for the Grant Program has been DISTRIBUTED OR awarded or until December 31, 24
558+2024, whichever occurs first. 25
593559
594- 2. the number of years that qualified investors in the
595-company have received tax credits under this section] THE INITIAL TAX CRED IT
596-CERTIFICATES AWARDED FOR THE CALENDAR YEA R AND THE QUALIFIED
597-MARYLAND BIOTECHNOLOG Y COMPANIES THAT REC EIVED AN INVESTMENT FOR
598-WHICH AN INITIAL TAX CREDIT CERTIFICATE W AS AWARDED .
560+ [(ii) The Department of Commerce may not award more than one 26
561+grant to the same qualified small business in a 12–month period.] 27
599562
600- [(2) The report required under paragraph (1) of this subsection shall include
601-for each initial tax credit certificate awarded:
563+ [(4)] (2) Any money that has not been DISTRIBUTED OR awarded on or 28
564+before December 31, 2024, shall revert to the Maryland Economic Development Assistance 29
565+Fund. 30
602566
603- (i) the name of the qualified investor and the amount of credit
604-awarded or allocated to each investor;
567+Article – Tax – General 31
605568
606- (ii) the name and address of the qualified Maryland biotechnology
607-company that received the investment giving rise to the credit under this section and the
608-county where the qualified Maryland biotechnology company is located; and
569+10–721. 32
609570
610- (iii) the dates of receipt and approval by the Department of all
611-applications for initial tax credit certificates.
571+ (b) (1) The purpose of the Research and Development Tax Credit Program is 33
572+to foster increased research activities and expenditures in Maryland. 34
573+ SENATE BILL 191 13
612574
613- (3) The report required under paragraph (1) of this subsection shall
614-summarize for the category of qualified investors:
615- Ch. 116 2022 LAWS OF MARYLAND
616575
617-– 14 –
618- (i) the total number of applicants for initial tax credit certificates
619-under this section in each calendar year;
576+ (g) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the 1
577+Department shall report on the credits approved under this section. 2
620578
621- (ii) the number of applications for which initial tax credit certificates
622-were issued in each calendar year; and
579+ [(2) The report required under paragraph (1) of this subsection shall include 3
580+for each individual or corporation approved to receive a credit under this section in the prior 4
581+calendar year: 5
623582
624- (iii) the total initial tax credit certificates authorized under this
625-section for all calendar years under this section.]
583+ (i) the individual’s or corporation’s name and address; and 6
626584
627-10–730.
585+ (ii) the amount of the credit approved. 7
628586
629- (e) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the
630-Department shall submit a report [that includes:
587+ (3) The report required under paragraph (1) of this subsection shall include 8
588+the name of the individual or corporation and the aggregate amount of credits approved in 9
589+all calendar years for each individual or corporation under this section. 10
631590
632- (i) the number of film production entities submitting applications
633-under subsection (c) of this section;
591+ (4) The report required under paragraph (1) of this subsection shall 11
592+summarize for the credits approved under this section: 12
634593
635- (ii) the number and amount of tax credit certificates issued under
636-subsection (d) of this section;
594+ (i) the total number of applicants for credits under this section in 13
595+each calendar year; 14
637596
638- (iii) the number of local technicians, actors, and extras hired for film
639-production activity during the reporting period;
597+ (ii) the number of applications for which a tax credit was approved 15
598+in each calendar year; and 16
640599
641- (iv) a list of companies doing business in the State, including hotels,
642-that directly provided goods or services for film production activity during the reporting
643-period;
600+ (iii) the total credits authorized under this section for all calendar 17
601+years under this section.] 18
644602
645- (v) a list of companies doing business in the State that directly
646-provided goods or services for film production activity during the reporting period that
647-qualified during the reporting period as minority business enterprises under § 14–301(f) of
648-the State Finance and Procurement Article;
603+10–725. 19
649604
650- (vi) a list of companies doing business in the State that directly
651-provided goods or services for film production activity during the reporting period that, as
652-determined by the Department, are considered small businesses; and
605+ (h) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the 20
606+Department shall report on[: 21
653607
654- (vii) any other information that indicates] ON FILM PRODUCTION
655-ACTIVITY IN THE STATE AND the economic benefits to the State resulting from film
656-production activity during the reporting period.
608+ (i) the initial tax credit certificates awarded under this section for 22
609+the calendar year, including the number of initial tax credit certificates awarded to 23
610+qualified investors for investments in qualified Maryland biotechnology companies that 24
611+were not certified by the Department in the previous calendar year; and 25
657612
658- [(2) On or before July 1 of each year, the Department shall report to the
659-Governor and, subject to § 2–1257 of the State Government Article, the General Assembly
660-on:
613+ (ii) for each qualified Maryland biotechnology company that receives 26
614+an investment for which an initial tax credit certificate is awarded under this section for 27
615+the calendar year: 28
661616
662- (i) the amount of tax credits necessary to maintain the current level
663-of film production activity in the State; and LAWRENCE J. HOGAN, JR., Governor Ch. 116
617+ 1. the number of years that the company has been in active 29
618+business; and 30
664619
665-– 15 –
620+ 2. the number of years that qualified investors in the 31
621+company have received tax credits under this section] THE INITIAL TAX CRED IT 32 14 SENATE BILL 191
666622
667- (ii) the amount of tax credits necessary to attract new film
668-production activity to the State.]
669623
670-10–733.
624+CERTIFICATES AWARDED FOR THE CALENDAR YEA R AND THE QUALIFIED 1
625+MARYLAND BIOTECHNOLOG Y COMPANIES THAT REC EIVED AN INVESTMENT FOR 2
626+WHICH AN INITIAL TAX CREDIT CERTIFICATE W AS AWARDED . 3
671627
672- (b) (1) The Innovation Investment Incentive Tax Credit is intended to foster
673-the growth of Maryland’s technology sectors by incentivizing investment in early–stage
674-companies with the goal of increasing the number of companies developing innovative
675-technologies in Maryland, increasing overall investments in current and emerging
676-technology sectors, and increasing the number of individual investors actively investing in
677-Maryland’s technology companies.
628+ [(2) The report required under paragraph (1) of this subsection shall include 4
629+for each initial tax credit certificate awarded: 5
678630
679- (h) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the
680-Department shall submit a report on the initial tax credit certificates awarded under this
681-section for the calendar year.
631+ (i) the name of the qualified investor and the amount of credit 6
632+awarded or allocated to each investor; 7
682633
683- [(2) The report required under paragraph (1) of this subsection shall include
684-for each initial tax credit certificate awarded:
634+ (ii) the name and address of the qualified Maryland biotechnology 8
635+company that received the investment giving rise to the credit under this section and the 9
636+county where the qualified Maryland biotechnology company is located; and 10
685637
686- (i) the name of the qualified investor and the amount of credit
687-awarded or allocated to each qualified investor;
638+ (iii) the dates of receipt and approval by the Department of all 11
639+applications for initial tax credit certificates. 12
688640
689- (ii) the name and address of the qualified Maryland technology
690-company that received the investment giving rise to the credit under this section and the
691-county where the qualified Maryland technology company is located; and
641+ (3) The report required under paragraph (1) of this subsection shall 13
642+summarize for the category of qualified investors: 14
692643
693- (iii) the dates of receipt and approval by the Department of all
694-applications for initial tax credit certificates.
644+ (i) the total number of applicants for initial tax credit certificates 15
645+under this section in each calendar year; 16
695646
696- (3) The report required under paragraph (1) of this subsection shall
697-summarize for the categories of qualified investors:
647+ (ii) the number of applications for which initial tax credit certificates 17
648+were issued in each calendar year; and 18
698649
699- (i) the total number of applicants for initial tax credit certificates
700-under this section in each calendar year;
650+ (iii) the total initial tax credit certificates authorized under this 19
651+section for all calendar years under this section.] 20
701652
702- (ii) the number of applications for which initial tax credit certificates
703-were issued in each calendar year; and
653+10–730. 21
704654
705- (iii) the total initial tax credit certificates authorized under this
706-section for all calendar years under this section.]
655+ (e) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the 22
656+Department shall submit a report [that includes: 23
707657
708-10–733.1.
658+ (i) the number of film production entities submitting applications 24
659+under subsection (c) of this section; 25
709660
710- (b) (1) Subject to paragraphs (2) and (3) of this subsection, a qualified buyer
711-may claim a credit against the State income tax in an amount equal to 50% of the cost Ch. 116 2022 LAWS OF MARYLAND
661+ (ii) the number and amount of tax credit certificates issued under 26
662+subsection (d) of this section; 27
712663
713-– 16 –
714-incurred during the taxable year to purchase cybersecurity technology or a cybersecurity
715-service from one or more qualified sellers.
664+ (iii) the number of local technicians, actors, and extras hired for film 28
665+production activity during the reporting period; 29
716666
717- (f) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the
718-Department shall submit a report on the credit certificates awarded under this section for
719-the calendar year.
667+ (iv) a list of companies doing business in the State, including hotels, 30
668+that directly provided goods or services for film production activity during the reporting 31
669+period; 32 SENATE BILL 191 15
720670
721- [(2) The report required under paragraph (1) of this subsection shall include
722-for each credit certificate awarded:
723671
724- (i) the names of the qualified buyer and the qualified seller and the
725-amount of the credit certificate approved for each qualified buyer;
726672
727- (ii) the name and address of the qualified buyer that received the
728-credit under this section and the county where the qualified buyer is located; and
673+ (v) a list of companies doing business in the State that directly 1
674+provided goods or services for film production activity during the reporting period that 2
675+qualified during the reporting period as minority business enterprises under § 14–301(f) of 3
676+the State Finance and Procurement Article; 4
729677
730- (iii) the dates of receipt and approval by the Department of all
731-applications for credit certificates.
678+ (vi) a list of companies doing business in the State that directly 5
679+provided goods or services for film production activity during the reporting period that, as 6
680+determined by the Department, are considered small businesses; and 7
732681
733- (3) The report required under paragraph (1) of this subsection shall
734-summarize for the categories of qualified buyers:
682+ (vii) any other information that indicates] ON FILM PRODUCTION 8
683+ACTIVITY IN THE STATE AND the economic benefits to the State resulting from film 9
684+production activity during the reporting period. 10
735685
736- (i) the total number of applicants for credit certificates under this
737-section in each calendar year;
686+ [(2) On or before July 1 of each year, the Department shall report to the 11
687+Governor and, subject to § 2–1257 of the State Government Article, the General Assembly 12
688+on: 13
738689
739- (ii) the number of applications for which credit certificates were
740-issued in each calendar year; and
690+ (i) the amount of tax credits necessary to maintain the current level 14
691+of film production activity in the State; and 15
741692
742- (iii) the total amount of credit certificates authorized under this
743-section for all calendar years under this section.]
693+ (ii) the amount of tax credits necessary to attract new film 16
694+production activity to the State.] 17
744695
745- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July
746-1, 2022.
696+10–733. 18
747697
748-Approved by the Governor, April 12, 2022.
698+ (b) (1) The Innovation Investment Incentive Tax Credit is intended to foster 19
699+the growth of Maryland’s technology sectors by incentivizing investment in early–stage 20
700+companies with the goal of increasing the number of companies developing innovative 21
701+technologies in Maryland, increasing overall investments in current and emerging 22
702+technology sectors, and increasing the number of individual investors actively investing in 23
703+Maryland’s technology companies. 24
704+
705+ (h) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the 25
706+Department shall submit a report on the initial tax credit certificates awarded under this 26
707+section for the calendar year. 27
708+
709+ [(2) The report required under paragraph (1) of this subsection shall include 28
710+for each initial tax credit certificate awarded: 29
711+
712+ (i) the name of the qualified investor and the amount of credit 30
713+awarded or allocated to each qualified investor; 31
714+
715+ (ii) the name and address of the qualified Maryland technology 32
716+company that received the investment giving rise to the credit under this section and the 33
717+county where the qualified Maryland technology company is located; and 34 16 SENATE BILL 191
718+
719+
720+
721+ (iii) the dates of receipt and approval by the Department of all 1
722+applications for initial tax credit certificates. 2
723+
724+ (3) The report required under paragraph (1) of this subsection shall 3
725+summarize for the categories of qualified investors: 4
726+
727+ (i) the total number of applicants for initial tax credit certificates 5
728+under this section in each calendar year; 6
729+
730+ (ii) the number of applications for which initial tax credit certificates 7
731+were issued in each calendar year; and 8
732+
733+ (iii) the total initial tax credit certificates authorized under this 9
734+section for all calendar years under this section.] 10
735+
736+10–733.1. 11
737+
738+ (b) (1) Subject to paragraphs (2) and (3) of this subsection, a qualified buyer 12
739+may claim a credit against the State income tax in an amount equal to 50% of the cost 13
740+incurred during the taxable year to purchase cybersecurity technology or a cybersecurity 14
741+service from one or more qualified sellers. 15
742+
743+ (f) [(1)] In accordance with § 2.5–109 of the Economic Development Article, the 16
744+Department shall submit a report on the credit certificates awarded under this section for 17
745+the calendar year. 18
746+
747+ [(2) The report required under paragraph (1) of this subsection shall include 19
748+for each credit certificate awarded: 20
749+
750+ (i) the names of the qualified buyer and the qualified seller and the 21
751+amount of the credit certificate approved for each qualified buyer; 22
752+
753+ (ii) the name and address of the qualified buyer that received the 23
754+credit under this section and the county where the qualified buyer is located; and 24
755+
756+ (iii) the dates of receipt and approval by the Department of all 25
757+applications for credit certificates. 26
758+
759+ (3) The report required under paragraph (1) of this subsection shall 27
760+summarize for the categories of qualified buyers: 28
761+
762+ (i) the total number of applicants for credit certificates under this 29
763+section in each calendar year; 30
764+ SENATE BILL 191 17
765+
766+
767+ (ii) the number of applications for which credit certificates were 1
768+issued in each calendar year; and 2
769+
770+ (iii) the total amount of credit certificates authorized under this 3
771+section for all calendar years under this section.] 4
772+
773+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 5
774+1, 2022. 6
775+
776+
777+
778+
779+
780+Approved:
781+________________________________________________________________________________
782+ Governor.
783+________________________________________________________________________________
784+ President of the Senate.
785+________________________________________________________________________________
786+ Speaker of the House of Delegates.