LAWRENCE J. HOGAN, JR., Governor Ch. 636 – 1 – Chapter 636 (Senate Bill 869) AN ACT concerning Baltimore City – Small Box Discount Stores – Zoning Requirements and Community Agreements FOR the purpose of requiring authorizing the Mayor and City Council of Baltimore City to establish certain requirements and take certain actions with regard to the location of and use of a property as a small box discount store; requiring the Baltimore Planning Department Mayor and City Council to conduct a small box discount store diversity study; and generally relating to zoning requirements in Baltimore City. BY repealing and reenacting, without amendments, Article – Land Use Section 10–201, 10–202, and 10–302(2)(ii) and (3) Annotated Code of Maryland (2012 Volume and 2021 Supplement) BY adding to Article – Land Use Section 10–306 Annotated Code of Maryland (2012 Volume and 2021 Supplement) SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, That the Laws of Maryland read as follows: Article – Land Use 10–201. (a) It is the policy of the State that: (1) the orderly development and use of land and structures requires comprehensive regulation through the implementation of planning and zoning controls; and (2) planning and zoning controls shall be implemented by local government. (b) To achieve the public purposes of this regulatory scheme, the General Assembly recognizes that local government action will limit free business enterprise and competition by owners and users of property through the planning and zoning controls set forth in this title and elsewhere in the public general and public local laws. Ch. 636 2022 LAWS OF MARYLAND – 2 – 10–202. To promote the health, safety, and general welfare of the community, the Mayor and City Council of Baltimore City may regulate: (1) the height, number of stories, and size of buildings and other structures; (2) the percentage of a lot that may be occupied; (3) off–street parking; (4) the size of yards, courts, and other open spaces; (5) population density; and (6) the location and use of buildings, signs, structures, and land. 10–302. Zoning regulations adopted by the Mayor and City Council of Baltimore City under this subtitle shall: (2) be designed to: (ii) promote health, public safety, and general welfare; (3) include reasonable consideration for: (i) the character of the district or zone and its suitability for particular uses; (ii) the conservation of the value of buildings and other structures; and (iii) encouragement for orderly development and the most appropriate use of land throughout Baltimore City. 10–306. (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS INDICATED. (2) “COMMUNITY BENEFITS AG REEMENT” MEANS A CONTRACT SIGNED BY RECOGNIZED COMMUNITY ASSOCIATIO NS AND AN APPLICANT FOR A ZONING PERMIT THAT R EQUIRES THE APPLICAN T TO PROVIDE SPECIFI C AMENITIES, LAWRENCE J. HOGAN, JR., Governor Ch. 636 – 3 – SIGNAGE, MITIGATIONS, ECONOMIC IMPACTS , AND REQUIREMENTS REL ATING TO THE DIVERSITY , BALANCE, AND CHARACTER OF THE LOCA L COMMUNITY OR NEIGHBORHOOD DEFINED IN THE AGREEMENT . (3) “DISPERSAL REGULATION ” MEANS A ZONING REGUL ATION THAT REQUIRES A MINIMUM D ISTANCE BETWEEN QUAL IFYING USES, MEASURED IN A STRAIGHT LINE FROM T HE NEAREST POINT ON A LOT LINE OF THE PROPERTY OCCUPIED BY ONE QUAL IFYING USE TO THE NE AREST POINT ON A LOT LINE OF THE OTHER PROPERTY OCCUP IED BY A QUALIFYING USE. (3) (4) “GROCERY STORE ” HAS THE MEANING STAT ED IN § 9–254 OF THE TAX – PROPERTY ARTICLE. (4) (5) “PHARMACY” HAS THE MEA NING STATED IN § 12–101 OF THE HEALTH OCCUPATIONS ARTICLE. (5) (6) (I) “SMALL BOX DISCOUNT ST ORE” MEANS A RETAIL STORE THAT HAS A FLOOR ARE A OF MORE THAN 5,000 SQUARE FEET AND LESS THAN 12,000 SQUARE FEET AND THAT OFFERS FOR SALE : 1. A COMBINATION AND VARIETY OF CONVE NIENCE SHOPPING GOODS AND C ONSUMER SHOPPING GOO DS; AND 2. WHERE THE MAJORITY OF THE ITEMS IN THE INVENTORY ARE OFFERED FOR SALE AT A PRICE NOT TO EX CEED $5. (II) “SMALL BOX DISCOUNT ST ORE” DOES NOT INCLUDE : 1. A GROCERY ST ORE; 2. A STORE THAT CONTAIN S A PHARMACY WHERE PRESCRIPTION DRUGS A RE COMPOUNDED , DISPENSED, OR DISTRIBUTED ; 3. A STORE THAT OFFERS FOR SALE GASOLINE , DIESEL FUEL, OR ON–SITE ELECTRIC CHARGI NG CAPABILITIES FOR VEHICLES; 4. A RETAIL STORE WHERE THE MAJORITY O F THE PRODUCTS SOLD ARE PE RSONAL HYGIENE PRODU CTS OR COSMETICS ; OR 5. A STORE THAT PRIMARI LY ENGAGES IN THE RE SALE OF USED CONSUMER GOO DS. Ch. 636 2022 LAWS OF MARYLAND – 4 – (B) THE IN ACCORDANCE WITH §§ 10–201 AND 10–202 OF THIS TITLE AND §§ 10–301 AND 10–302 OF THIS SUBTITLE, THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY SHALL MAY ENACT PLANNING AND Z ONING CONTROLS THAT : (1) ESTABLISH A DISPERSA L REGULATION THAT PR OVIDES FOR A MINIMUM DISTANCE BET WEEN SMALL BOX DISCO UNT STORES OF 1 MILE; (2) ESTABLISH THE DEVELO PMENT OF A SMALL BOX DISCOUNT STORE AS A CONDITION AL USE DEPENDENT ON WHETHER THE PROPOSED SMALL BOX DISCOUNT STORE I S LIKELY TO HAVE A D ETRIMENTAL IMPACT ON : (I) EXISTING LOCAL RETAI L AND GROCERY STORES ; AND (II) THE DEVELOPMEN T OF GROCERY STORES AND OTHER STORES OFFERING HEAL THY FOOD OPTIONS ; (3) IMPLEMENT , AS PART OF THE APPRO VAL OF A ZONING PERM IT APPLICATION FOR A SM ALL BOX DISCOUNT STO RE, A REQUIREMENT THAT T HE APPLICANT, INCLUDING THE OPERAT OR OR OWNER OF THE B UILDING IF THAT INDIVIDUAL IS NOT TH E SAME PERSON AS THE OWNER OR OPERATOR OF THE PROPOSED SMALL BOX D ISCOUNT STORE , EXECUTE A COMMUNITY AGREEMENT WITH THE ADJACENT CO MMUNITIES WITHIN A 0.5–MILE RADIUS OF THE P ROPOSED SITE FOR THE SMALL B OX DISCOUNT STORE ; (4) NOTIFY THE ADJACENT C OMMUNITIES WITHIN A 0.5–MILE RADIUS OF THE PROPOSED SITE FOR THE SMALL BOX DI SCOUNT STORE OF THE EXISTENCE OF A ZONING PERMIT A PPLICATION NOT LATER THAN 15 BUSINESS DAYS AFTER SUBMISSION OF THE AP PLICATION; AND (3) AS PART OF THE APPRO VAL PROCESS FOR THE CONDITIONAL USE , AUTHORIZE THE CONSID ERATION OF WHETHER T HE PROPOSED CONDITIO NAL USE IS LIKELY TO: (I) HAVE ANY DETRIMENTAL IMPACTS ON THE ECONO MY, DIVERSITY, OR PUBLIC SAFETY OF THE NEIGHBORHOOD WHE RE THE PROPO SED CONDITIONAL USE IS L OCATED; (II) HAVE ANY DETRIMENTAL IMPACTS ON EXISTING LOCAL RETAIL AND GROCERY S TORES; OR (III) IMPEDE THE ENTRY OR PRESERVATION OF FULL –SERVICE GROCERY STORES ; LAWRENCE J. HOGAN, JR., Governor Ch. 636 – 5 – (4) (I) ESTABLISH A MECHANIS M FOR THE ADOPTION A ND APPROVAL OF A COMMUN ITY BENEFITS AGREEME NT BETWEEN THE APPLI CANT, ALONG WITH THE OWNER OR OPERATOR OF THE B UILDING IN WHICH THE SMALL BOX DISCOUNT STORE W ILL BE LOCATED IF TH E APPLICANT IS NOT T HE OWNER OR OPERATOR OF THE BUIL DING, AND RECOGNIZED COMMU NITY ASSOCIATIONS; LOCATED WITHIN A 0.5–MILE RADIUS OF THE P ROPOSED SITE ; (II) REQUIRE THE APPLICAN T TO: 1. ENTER INTO AN APPROV ED COMMUNITY BENEFIT S AGREEMENT IN ACCORDA NCE WITH ITEM (I) OF THIS ITEM; OR 2. DEMONSTRATE TO THE BALTIMORE CITY ZONING ADMINISTRATOR THAT TH E APPLICANT HAS USED THE APPLICANT ’S BEST EFFORTS TO NEGOTIATE A COMMU NITY BENEFITS AGREEM ENT IN ACCORDANCE WI TH ITEM (I) OF THIS ITEM; AND (III) IF THE BALTIMORE CITY ZONING ADMINISTRATOR DETERMINES THAT THE APPLICANT HAS N OT USED BEST EFFORTS TO NEGOTIATE A COMMUNITY BENEFITS A GREEMENT IN ACCORDAN CE WITH ITEM (II)2 OF THIS ITEM, REQUIRE THAT THE APP LICATION’S APPROVAL BE DELAYE D UNTIL THE APPLICAN T HAS MET EITHER REQUI REMENT OF ITEM (II) OF THIS ITEM; (5) REQUIRE THE NOT ICE OF A ZONING APPL ICATION FOR A SMALL BOX DISCOUNT STORE T O BE GIVEN TO THE RE SIDENTS AND OWNERS O F PROPERTY THAT IS LOCATED WITH IN A 0.5–MILE RADIUS OF THE P ROPOSED SITE : (I) WITHIN 21 BUSINESS DAYS AFTER THE APPLICATION IS FILED; AND (II) BEFORE A HEARING ON THE A PPLICATION IS SCHEDU LED; AND (5) (6) ESTABLISH A MECHANIS M FOR THE ENFORCEMEN T OF COMMUNITY BENEFITS AGREEMENTS EXECUTED UNDER ITEM (3) APPROVED IN ACCORDANCE WITH ITEM (4) OF THIS SUBSECTION . (C) A REGULATION ESTABLISH ED IN ACCORDANCE WITH SUBS ECTION (B)(1) OF THIS SECTION SHAL L APPLY TO PERMITS F OR ALL USES, STRUCTURES, BUILDING ALTERATIONS , OR SITE MODIFICATION S. SECTION 2. AND BE IT FURTHER ENACTED, That Baltimore City shall implement the provisions of Section 1 of this Act on or before September 1, 2022. Ch. 636 2022 LAWS OF MARYLAND – 6 – SECTION 3. AND BE IT FURTHER ENACTED, That a small box discount store in Baltimore City that is in existence or that has received all necessary zoning permits before the implementation of the provisions of Section 1 of this Act shall execute a community agreement with the adjacent communities within a 0.5–mile radius of the small box discount store not later than 60 days after the implementation of the provisions of Section 1 of this Act. SECTION 2. AND BE IT FURTHER ENACTED, That: (a) The Baltimore City Planning Department Mayor and City Council of Baltimore City shall conduct a comprehensive small box discount store diversity study. (b) The study shall: (1) be completed by a qualified analyst selected by the Planning Department Mayor and City Council; and (2) appropriately classify, define, and regulate small box discount stores along a number of economic, demographic, and public health dimensions, including: (i) a list of the number and distribution of small box discount stores in Baltimore City; (ii) a description of the environmental, public safety, and economic impact of a representative sample of existing stores; and (iii) recommendations for changes to the establishment of small box discount stores as a conditional use, including restrictions, standards, enforcement procedures, and regulations. (c) The Planning Department Mayor and City Council shall hold stakeholder meetings and solicit public comments on the study. (d) On or before November 30, 2022, the Planning Department Mayor and City Council shall report its findings and recommendations to the Mayor and City Council of Baltimore City and the members of the Baltimore City House and Senate delegations to the General Assembly, in accordance with § 2–1257 of State Government Article. SECTION 3. AND BE IT FURTHER ENACTED, That, on or before September 1, 2022, the Mayor and City Council of Baltimore City shall report to the members of the Baltimore City House and Senate delegations to the General Assembly, in accordance with § 2–1257 of the State Government Article, on the implementation of the provisions of Section 1 of this Act. SECTION 4. AND BE IT FURTHER ENACTED, That this Act shall take effect June July 1, 2022. LAWRENCE J. HOGAN, JR., Governor Ch. 636 – 7 – Enacted under Article II, § 17(c) of the Maryland Constitution, May 29, 2022.