MD
Maryland House Bill HB674

Maryland 2023 Regular Session

Maryland House Bill HB674 Compare Versions

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1- WES MOORE, Governor Ch. 204
21
3-– 1 –
4-Chapter 204
5-(House Bill 674)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MATTER ADDE D TO EXISTING 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+ *hb0674*
89
9-Maryland Historic Trust – Historic Preservation Partnership Program and
10-Fund – Established Loan Fund – Qualified Cooperating Nonprofit Organizations
11-– Transfers
10+HOUSE BILL 674
11+P1 3lr1972
12+ CF SB 425
13+By: Delegate Watson
14+Introduced and read first time: February 6, 2023
15+Assigned to: Appropriations
16+Committee Report: Favorable with amendments
17+House action: Adopted
18+Read second time: March 10, 2023
1219
13-FOR the purpose of altering the uses of the Historic Preservation Loan Fund; establishing
14-the Historic Preservation Partnership Program in authorizing the Maryland Historic
15-Trust to implement and encourage the preservation of historic properties in
16-partnership with transfer funds from the Fund to a qualified cooperating nonprofit
17-organization for certain purposes; establishing the Historic Preservation
18-Partnership Fund as a special, nonlapsing fund; requiring certain funds to be
19-transferred by the Trust to the qualified cooperating nonprofit organization by a
20-certain date each year; requiring the Governor to transfer certain funds to the
21-Partnership Fund by a certain date; transferring the funds of the Historic
22-Preservation Loan Fund to the Partnership Fund and dissolving the Historic
23-Preservation Loan Fund; and generally relating to the Historic Preservation
24-Partnership Program and Loan Fund.
20+CHAPTER ______
2521
26-BY repealing and reenacting, with amendments,
27- Article – State Finance and Procurement
28-Section 5A–327
29- Annotated Code of Maryland
30- (2021 Replacement Volume and 2022 Supplement)
22+AN ACT concerning 1
3123
32-BY adding to
33- Article – State Finance and Procurement
34- Section 5A–327 5A–331
35- Annotated Code of Maryland
36- (2021 Replacement Volume and 2022 Supplement)
24+Maryland Historic Trust – Historic Preservation Partnership Program and 2
25+Fund – Established Loan Fund – Qualified Cooperating Nonprofit Organizations 3
26+– Transfers 4
3727
38- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
39-That the Laws of Maryland read as follows:
28+FOR the purpose of altering the uses of the Historic Preservation Loan Fund; establishing 5
29+the Historic Preservation Partnership Program in authorizing the Maryland Historic 6
30+Trust to implement and encourage the preservation of historic properties in 7
31+partnership with transfer funds from the Fund to a qualified cooperating nonprofit 8
32+organization for certain purposes; establishing the Historic Preservation 9
33+Partnership Fund as a special, nonlapsing fund; requiring certain funds to be 10
34+transferred by the Trust to the qualified cooperating nonprofit organization by a 11
35+certain date each year; requiring the Governor to transfer certain funds to the 12
36+Partnership Fund by a certain date; transferring the funds of the Historic 13
37+Preservation Loan Fund to the Partnership Fund and dissolving the Historic 14
38+Preservation Loan Fund; and generally relating to the Historic Preservation 15
39+Partnership Program and Loan Fund. 16
4040
41-Article – State Finance and Procurement
41+BY repealing and reenacting, with amendments, 17
42+ Article – State Finance and Procurement 18
43+Section 5A–327 19
44+ Annotated Code of Maryland 20
45+ (2021 Replacement Volume and 2022 Supplement) 21
4246
43-[5A–327.
47+BY adding to 22
48+ Article – State Finance and Procurement 23 2 HOUSE BILL 674
4449
45- (a) (1) In this section the following words have the meanings indicated.
4650
47- (2) “MHT Loan Fund” means the Historic Preservation Loan Fund of the
48-Trust.
49- Ch. 204 2023 LAWS OF MARYLAND
51+ Section 5A–327 5A–331 1
52+ Annotated Code of Maryland 2
53+ (2021 Replacement Volume and 2022 Supplement) 3
5054
51-– 2 –
52- (3) “MHT Loan Program” means the Historic Preservation Loan Program
53-of the Trust.
55+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 4
56+That the Laws of Maryland read as follows: 5
5457
55- (b) (1) There is an MHT Loan Program in the Trust.
58+Article – State Finance and Procurement 6
5659
57- (2) The purpose of the MHT Loan Program is to implement and encourage
58-the preservation of historic properties.
60+[5A–327. 7
5961
60- (3) The Trust shall administer the MHT Loan Program and coordinate the
61-MHT Loan Program with federal and State programs that complement or facilitate
62-carrying out the MHT Loan Program.
62+ (a) (1) In this section the following words have the meanings indicated. 8
6363
64- (c) There is an MHT Loan Fund in the Trust.
64+ (2) “MHT Loan Fund” means the Historic Preservation Loan Fund of the 9
65+Trust. 10
6566
66- (d) The MHT Loan Fund may be used:
67+ (3) “MHT Loan Program” means the Historic Preservation Loan Program 11
68+of the Trust. 12
6769
68- (1) to pay administrative costs directly related to the MHT Loan Program;
70+ (b) (1) There is an MHT Loan Program in the Trust. 13
6971
70- (2) to pay for the Trust to acquire historic properties or interests in historic
71-properties for its authorized purposes or for resale or lease subject to appropriate
72-preservation covenants;
72+ (2) The purpose of the MHT Loan Program is to implement and encourage 14
73+the preservation of historic properties. 15
7374
74- (3) to pay costs, including preparation costs, to restore or rehabilitate
75-historic properties owned by the Trust for:
75+ (3) The Trust shall administer the MHT Loan Program and coordinate the 16
76+MHT Loan Program with federal and State programs that complement or facilitate 17
77+carrying out the MHT Loan Program. 18
7678
77- (i) the Trust’s authorized purposes; or
79+ (c) There is an MHT Loan Fund in the Trust. 19
7880
79- (ii) resale or lease subject to appropriate preservation covenants; or
81+ (d) The MHT Loan Fund may be used: 20
8082
81- (4) to make loans to nonprofit organizations, political subdivisions,
82-business entities, and individuals to:
83+ (1) to pay administrative costs directly related to the MHT Loan Program; 21
8384
84- (i) acquire, rehabilitate, restore, or refinance historic properties; or
85+ (2) to pay for the Trust to acquire historic properties or interests in historic 22
86+properties for its authorized purposes or for resale or lease subject to appropriate 23
87+preservation covenants; 24
8588
86- (ii) provide short–term financing for costs, including preparation
87-costs, directly related to work that the Trust or the State Historic Preservation Officer
88-requires or recommends to be undertaken before a construction project financed with
89-federal or State money is begun or continued; OR
89+ (3) to pay costs, including preparation costs, to restore or rehabilitate 25
90+historic properties owned by the Trust for: 26
9091
91- (5) TO MAKE A TRANSFER T O A QUALIFIED COOPER ATING NONPROFIT
92-ORGANIZATION AS PROV IDED FOR UNDER § 5A–331 OF THIS PART.
92+ (i) the Trust’s authorized purposes; or 27
9393
94- (e) (1) The MHT Loan Fund is a continuing, nonlapsing special fund that is
95-not subject to § 7–302 of this article.
96- WES MOORE, Governor Ch. 204
94+ (ii) resale or lease subject to appropriate preservation covenants; or 28
9795
98-– 3 –
99- (2) The State Treasurer shall hold and the Comptroller shall account for
100-the MHT Loan Fund.
96+ (4) to make loans to nonprofit organizations, political subdivisions, 29
97+business entities, and individuals to: 30 HOUSE BILL 674 3
10198
102- (f) The MHT Loan Fund consists of:
10399
104- (1) money appropriated in the State budget to the MHT Loan Program;
105100
106- (2) money received as interest or repayment of principal on loans made
107-under the MHT Loan Program or the Capital Revolving Fund for Historic Preservation;
101+ (i) acquire, rehabilitate, restore, or refinance historic properties; or 1
108102
109- (3) the proceeds from the resale or lease of property originally acquired by
110-the Trust with money from the MHT Loan Fund or the Capital Revolving Fund for Historic
111-Preservation;
103+ (ii) provide short–term financing for costs, including preparation 2
104+costs, directly related to work that the Trust or the State Historic Preservation Officer 3
105+requires or recommends to be undertaken before a construction project financed with 4
106+federal or State money is begun or continued; OR 5
112107
113- (4) money received from other public or private sources for the benefit of
114-the MHT Loan Fund; and
108+ (5) TO MAKE A TRANSFER T O A QUALIFIED COOPER ATING NONPROFIT 6
109+ORGANIZATION AS PROV IDED FOR UNDER § 5A–331 OF THIS PART. 7
115110
116- (5) money received from the sale of general obligation bonds.
111+ (e) (1) The MHT Loan Fund is a continuing, nonlapsing special fund that is 8
112+not subject to § 7–302 of this article. 9
117113
118- (g) Money in the MHT Loan Fund shall be invested in the same manner as other
119-State money.
114+ (2) The State Treasurer shall hold and the Comptroller shall account for 10
115+the MHT Loan Fund. 11
120116
121- (h) (1) The Department shall adopt regulations to carry out the purposes of
122-the MHT Loan Program.
117+ (f) The MHT Loan Fund consists of: 12
123118
124- (2) The regulations shall include:
119+ (1) money appropriated in the State budget to the MHT Loan Program; 13
125120
126- (i) application procedures;
121+ (2) money received as interest or repayment of principal on loans made 14
122+under the MHT Loan Program or the Capital Revolving Fund for Historic Preservation; 15
127123
128- (ii) procedures to give adequate notice to the public of assistance
129-available under the MHT Loan Program;
124+ (3) the proceeds from the resale or lease of property originally acquired by 16
125+the Trust with money from the MHT Loan Fund or the Capital Revolving Fund for Historic 17
126+Preservation; 18
130127
131- (iii) provisions for the review of plans and specifications;
128+ (4) money received from other public or private sources for the benefit of 19
129+the MHT Loan Fund; and 20
132130
133- (iv) provisions for the inspection of projects during construction; and
131+ (5) money received from the sale of general obligation bonds. 21
134132
135- (v) selection criteria the Trust must consider in evaluating loan
136-applications, including:
133+ (g) Money in the MHT Loan Fund shall be invested in the same manner as other 22
134+State money. 23
137135
138- 1. the relative historical or cultural significance of, and the
139-urgency of need for, the project to be financed by the loan;
136+ (h) (1) The Department shall adopt regulations to carry out the purposes of 24
137+the MHT Loan Program. 25
140138
141- 2. any proposed contribution by the appropriate political
142-subdivision to the project;
143- Ch. 204 2023 LAWS OF MARYLAND
139+ (2) The regulations shall include: 26
144140
145-– 4 –
146- 3. the geographic distribution of loan assistance from the
147-MHT Loan Fund; and
141+ (i) application procedures; 27
148142
149- 4. other relevant factors.
143+ (ii) procedures to give adequate notice to the public of assistance 28
144+available under the MHT Loan Program; 29
150145
151- (i) (1) With the approval of the Secretary, for each loan the Trust may set:
146+ (iii) provisions for the review of plans and specifications; 30 4 HOUSE BILL 674
152147
153- (i) the principal amount;
154148
155- (ii) the maturity;
156149
157- (iii) the repayment terms; and
150+ (iv) provisions for the inspection of projects during construction; and 1
158151
159- (iv) an interest rate that complies with applicable federal regulations
160-governing State borrowing.
152+ (v) selection criteria the Trust must consider in evaluating loan 2
153+applications, including: 3
161154
162- (2) A loan from the MHT Loan Fund may be granted at an interest rate
163-lower than rates on other loans from the MHT Loan Fund if:
155+ 1. the relative historical or cultural significance of, and the 4
156+urgency of need for, the project to be financed by the loan; 5
164157
165- (i) the loan recipient is a nonprofit organization or a political
166-subdivision; or
158+ 2. any proposed contribution by the appropriate political 6
159+subdivision to the project; 7
167160
168- (ii) the Secretary of Housing and Community Development
169-determines under § 4–212 of the Housing and Community Development Article that after
170-restoration or rehabilitation, the historic property will be wholly or partly occupied by
171-individuals or families of limited income.
161+ 3. the geographic distribution of loan assistance from the 8
162+MHT Loan Fund; and 9
172163
173- (3) A loan from the MHT Loan Program may be secured by:
164+ 4. other relevant factors. 10
174165
175- (i) a mortgage lien, which may be subordinate to other mortgage
176-liens;
166+ (i) (1) With the approval of the Secretary, for each loan the Trust may set: 11
177167
178- (ii) a guarantee of repayment; or
168+ (i) the principal amount; 12
179169
180- (iii) another form of collateral acceptable to the Trust.
170+ (ii) the maturity; 13
181171
182- (4) Without approval or execution by the Board of Public Works, the Trust
183-may take title to a mortgaged property by foreclosure or by deed in lieu of foreclosure and:
172+ (iii) the repayment terms; and 14
184173
185- (i) convey title to a buyer; and
174+ (iv) an interest rate that complies with applicable federal regulations 15
175+governing State borrowing. 16
186176
187- (ii) obtain and seek enforcement of a deficiency judgment.
177+ (2) A loan from the MHT Loan Fund may be granted at an interest rate 17
178+lower than rates on other loans from the MHT Loan Fund if: 18
188179
189- (5) An individual or business entity may receive a loan only if the recipient
190-can document that private financing is unavailable.
191- WES MOORE, Governor Ch. 204
180+ (i) the loan recipient is a nonprofit organization or a political 19
181+subdivision; or 20
192182
193-– 5 –
194- (6) The Trust shall ensure that no loan is made under the MHT Loan
195-Program to acquire, restore, or rehabilitate a historic property unless the historic property
196-is listed in or eligible to be listed in the Historic Register.
183+ (ii) the Secretary of Housing and Community Development 21
184+determines under § 4–212 of the Housing and Community Development Article that after 22
185+restoration or rehabilitation, the historic property will be wholly or partly occupied by 23
186+individuals or families of limited income. 24
197187
198- (j) (1) The Trust shall require the recipient of a loan from the MHT Loan
199-Program to enter into an agreement to preserve and maintain the property.
188+ (3) A loan from the MHT Loan Program may be secured by: 25
200189
201- (2) If the property is real property, the agreement shall be a recordable
202-historic preservation easement.
190+ (i) a mortgage lien, which may be subordinate to other mortgage 26
191+liens; 27
203192
204- (3) The Secretary may waive the agreement requirement if the Secretary
205-finds that an agreement is impracticable.
193+ (ii) a guarantee of repayment; or 28
206194
207- (k) The trustees shall review and make recommendations to the Secretary about
208-loans and expenditures from the MHT Loan Fund, and the Secretary shall approve each
209-loan and expenditure from the MHT Loan Fund.
195+ (iii) another form of collateral acceptable to the Trust. 29 HOUSE BILL 674 5
210196
211- (l) (1) To the extent required by regulations adopted by the Secretary and
212-approved by the Board of Public Works, the Secretary shall submit to the Board of Public
213-Works for approval a proposed loan or expenditure from the MHT Loan Fund that will be
214-financed through the sale of State general obligation bonds.
215197
216- (2) Except for an expenditure under subsection (d)(2) or (3) of this section,
217-a loan or expenditure from the MHT Loan Fund is not subject to Titles 4 and 5 of this
218-article.
219198
220- (m) On or before December 31 of each year, the Trust shall report to the Governor
221-and, in accordance with § 2–1257 of the State Government Article, to the General Assembly
222-on the financial status and the activities of the MHT Loan Program for the preceding fiscal
223-year.
199+ (4) Without approval or execution by the Board of Public Works, the Trust 1
200+may take title to a mortgaged property by foreclosure or by deed in lieu of foreclosure and: 2
224201
225- (n) (1) A person may not knowingly make or cause to be made a material false
226-statement of fact, including an understatement or overstatement of financial condition, in
227-a statement or report in or regarding an application for a loan or affecting an existing loan.
202+ (i) convey title to a buyer; and 3
228203
229- (2) A person who violates this subsection is guilty of a misdemeanor and
230-on conviction is subject to imprisonment not exceeding 2 years or a fine not exceeding
231-$5,000 or both.]
204+ (ii) obtain and seek enforcement of a deficiency judgment. 4
232205
233-5A–327. 5A–331.
206+ (5) An individual or business entity may receive a loan only if the recipient 5
207+can document that private financing is unavailable. 6
234208
235- (A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS
236-INDICATED.
209+ (6) The Trust shall ensure that no loan is made under the MHT Loan 7
210+Program to acquire, restore, or rehabilitate a historic property unless the historic property 8
211+is listed in or eligible to be listed in the Historic Register. 9
237212
238- (2) “PARTNERSHIP FUND” MEANS THE HISTORIC PRESERVATION
239-PARTNERSHIP FUND OF THE TRUST. Ch. 204 2023 LAWS OF MARYLAND
213+ (j) (1) The Trust shall require the recipient of a loan from the MHT Loan 10
214+Program to enter into an agreement to preserve and maintain the property. 11
240215
241-– 6 –
216+ (2) If the property is real property, the agreement shall be a recordable 12
217+historic preservation easement. 13
242218
243- (3) “PARTNERSHIP PROGRAM” MEANS THE HISTORIC
244-PRESERVATION PARTNERSHIP PROGRAM OF THE TRUST.
219+ (3) The Secretary may waive the agreement requirement if the Secretary 14
220+finds that an agreement is impracticable. 15
245221
246- (4) “QUALIFIED, A “QUALIFIED COOPERATING NONPROFI T
247-ORGANIZATION ” MEANS A NONPROFIT OR GANIZATION IN GOOD S TANDING WITH THE
248-STATE DEPARTMENT OF ASSESSMENTS AND TAXATION THAT:
222+ (k) The trustees shall review and make recommendations to the Secretary about 16
223+loans and expenditures from the MHT Loan Fund, and the Secretary shall approve each 17
224+loan and expenditure from the MHT Loan Fund. 18
249225
250- (I) (1) IS BASED IN THE STATE;
226+ (l) (1) To the extent required by regulations adopted by the Secretary and 19
227+approved by the Board of Public Works, the Secretary shall submit to the Board of Public 20
228+Works for approval a proposed loan or expenditure from the MHT Loan Fund that will be 21
229+financed through the sale of State general obligation bonds. 22
251230
252- (II) (2) OPERATES STATEWIDE; AND
231+ (2) Except for an expenditure under subsection (d)(2) or (3) of this section, 23
232+a loan or expenditure from the MHT Loan Fund is not subject to Titles 4 and 5 of this 24
233+article. 25
253234
254- (III) (3) HAS DEMONSTRATED EXP ERIENCE:
235+ (m) On or before December 31 of each year, the Trust shall report to the Governor 26
236+and, in accordance with § 2–1257 of the State Government Article, to the General Assembly 27
237+on the financial status and the activities of the MHT Loan Program for the preceding fiscal 28
238+year. 29
255239
256- 1. (I) REHABILITATING HISTO RIC STRUCTURES ;
240+ (n) (1) A person may not knowingly make or cause to be made a material false 30
241+statement of fact, including an understatement or overstatement of financial condition, in 31
242+a statement or report in or regarding an application for a loan or affecting an existing loan. 32
243+ 6 HOUSE BILL 674
257244
258- 2. (II) MANAGING PRESERVATIO N FUNDS; AND
259245
260- 3. (III) HOLDING PRESERVATION EASEMENTS.
246+ (2) A person who violates this subsection is guilty of a misdemeanor and 1
247+on conviction is subject to imprisonment not exceeding 2 years or a fine not exceeding 2
248+$5,000 or both.] 3
261249
262- (B) (1) THERE IS A PARTNERSHIP PROGRAM IN THE TRUST.
250+5A–327. 5A–331. 4
263251
264- (2) THE PURPOSE OF THE PARTNERSHIP PROGRAM IS TO
265-IMPLEMENT AND ENCOUR AGE THE PRESERVATION OF HISTORIC PROPERTI ES BY
266-PARTNERING WITH A QU ALIFIED COOPERATING NONPROFIT ORGANIZATI ON THAT
267-WILL ADMINISTER FLEX IBLE FINANCIAL ASSIS TANCE FOR COMPLEX PR ESERVATION
268-PROJECTS AROUND THE STATE.
252+ (A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS 5
253+INDICATED. 6
269254
270- (C) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE A
271-QUALIFIED COOPERATIN G NONPROFIT ORGANIZA TION MAY USE FUNDS P ROVIDED
272-BY THE TRUST ONLY:
255+ (2) “PARTNERSHIP FUND” MEANS THE HISTORIC PRESERVATION 7
256+PARTNERSHIP FUND OF THE TRUST. 8
273257
274- (I) TO PAY FOR THE QUALI FIED COOPERATING NON PROFIT
275-ORGANIZATION TO ACQU IRE HISTORIC PROPERTIES OR INTERESTS IN HIST ORIC
276-PROPERTIES FOR RESAL E OR LEASE;
258+ (3) “PARTNERSHIP PROGRAM” MEANS THE HISTORIC 9
259+PRESERVATION PARTNERSHIP PROGRAM OF THE TRUST. 10
277260
278- (II) TO PAY COSTS , INCLUDING PREPARATIO N AND
279-ADMINISTRATIVE COSTS , TO RESTORE OR REHABI LITATE HISTORIC PROP ERTIES
280-OWNED BY THE QUALIFI ED COOPERATING NONPR OFIT ORGANIZATION FO R RESALE
281-OR LEASE;
261+ (4) “QUALIFIED, A “QUALIFIED COOPERATING NONPROFI T 11
262+ORGANIZATION ” MEANS A NONPROFIT OR GANIZATION IN GOOD S TANDING WITH THE 12
263+STATE DEPARTMENT OF ASSESSMENTS AND TAXATION THAT: 13
282264
283- (III) TO MAKE LOANS TO OTH ER NONPROFIT ORGANIZ ATIONS,
284-POLITICAL SUBDIVISIO NS, AND BUSINESS ENTITIE S TO ACQUIRE, REHABILITATE ,
285-RESTORE, OR REFINANCE HISTORI C PROPERTIES; WES MOORE, Governor Ch. 204
265+ (I) (1) IS BASED IN THE STATE; 14
286266
287-– 7 –
267+ (II) (2) OPERATES STATEWIDE ; AND 15
288268
289- (IV) TO MAKE LOANS TO IND IVIDUALS TO REHABILI TATE OR
290-RESTORE HISTORIC PROPERTIES RECOGNIZED BY THE NATIONAL PARK SERVICE AS
291-NATIONAL HISTORIC LANDMARKS; OR
269+ (III) (3) HAS DEMONSTRATED EXP ERIENCE: 16
292270
293- (V) FOR NECESSARY ADMINI STRATIVE AND PROGRAM MATIC
294-EXPENSES ASSOCIATED WITH CARRYING OUT TH E GOALS OF THE PARTNERSHIP
295-PROGRAM TRANSFER OF FUNDS .
271+ 1. (I) REHABILITATING HISTO RIC STRUCTURES ; 17
296272
297- (2) (I) THE TRUST A QUALIFIED COOPERATIN G NONPROFIT
298-ORGANIZATION SHALL DEVELOP A COMP ETITIVE PROCESS FOR MAKING AWARDS OF
299-FINANCIAL ASSISTANCE UNDER THE PARTNERSHIP PROGRAM WITH FUNDS
300-RECEIVED FROM THE TRUST.
273+ 2. (II) MANAGING PRESERVATIO N FUNDS; AND 18
301274
302- (II) THE QUALIFIED COOPERA TING NONPROFIT ORGANIZATION
303-SHALL AWARD FINANCIA L ASSISTANCE UNDER T HE PARTNERSHIP PROGRAM IN A
304-MANNER CONSISTENT WI TH THE PROCESS DEVEL OPED BY THE TRUST IN
305-SUBPARAGRAPH (I) OF THIS PARAGRAPH .
275+ 3. (III) HOLDING PRESERVATION EASEMENTS. 19
306276
307- (D) (1) THERE IS A PARTNERSHIP FUND.
277+ (B) (1) THERE IS A PARTNERSHIP PROGRAM IN THE TRUST. 20
308278
309- (2) THE PURPOSE OF THE PARTNERSHIP FUND IS TO PROVIDE FU NDS
310-IN THE FORM OF A GRA NT OR COOPERATIVE AG REEMENT TO A QUALIFI ED
311-COOPERATING NONPROFI T ORGANIZATION TO AD MINISTER THE PARTNERSHIP
312-PROGRAM.
279+ (2) THE PURPOSE OF THE PARTNERSHIP PROGRAM IS TO 21
280+IMPLEMENT AND ENCOUR AGE THE PRESERVATION OF HISTORIC PROPERTI ES BY 22
281+PARTNERING WITH A QU ALIFIED COOPERATING NONPROFIT ORGANIZATI ON THAT 23
282+WILL ADMINISTER FLEX IBLE FINANCIAL ASSIS TANCE FOR COMPLEX PR ESERVATION 24
283+PROJECTS AROUND THE STATE. 25
313284
314- (3) THE TRUST SHALL ADMINISTE R THE PARTNERSHIP FUND.
285+ (C) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE A 26
286+QUALIFIED COOPERATIN G NONPROFIT ORGANIZA TION MAY USE FUNDS P ROVIDED 27
287+BY THE TRUST ONLY: 28
288+ HOUSE BILL 674 7
315289
316- (4) (I) THE PARTNERSHIP FUND IS A SPECIAL, NONLAPSING FUND
317-THAT IS NOT SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT
318-ARTICLE.
319290
320- (II) THE STATE TREASURER SHALL HOLD THE FUND
321-SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND.
291+ (I) TO PAY FOR THE QUALI FIED COOPERATING NON PROFIT 1
292+ORGANIZATION TO ACQU IRE HISTORIC PROPERTIES OR INTERE STS IN HISTORIC 2
293+PROPERTIES FOR RESAL E OR LEASE; 3
322294
323- (5) THE PARTNERSHIP FUND CONSISTS OF :
295+ (II) TO PAY COSTS , INCLUDING PREPARATIO N AND 4
296+ADMINISTRATIVE COSTS , TO RESTORE OR REHABI LITATE HISTORIC PROP ERTIES 5
297+OWNED BY THE QUALIFI ED COOPERATING NONPR OFIT ORGANIZATION FO R RESALE 6
298+OR LEASE; 7
324299
325- (I) MONEY RECEIVED AS IN TEREST OR REPAYMENT OF
326-PRINCIPAL ON LOANS M ADE UNDER THE PARTNERSHIP PROGRAM OR THE CAPITAL
327-REVOLVING FUND FOR HISTORIC PRESERVATION ;
300+ (III) TO MAKE LOANS TO OTH ER NONPROFIT ORGANIZ ATIONS, 8
301+POLITICAL SUBDIVISIO NS, AND BUSINESS ENTITIE S TO ACQUIRE, REHABILITATE , 9
302+RESTORE, OR REFINANCE HISTORI C PROPERTIES; 10
328303
329- (II) THE PROCEEDS FROM TH E RESALE OR LEASE OF PROPERTY
330-ORIGINALLY ACQUIRED BY THE QUALIFIED CO OPERATING NONPROFIT Ch. 204 2023 LAWS OF MARYLAND
304+ (IV) TO MAKE LOANS TO IND IVIDUALS TO REHABILI TATE OR 11
305+RESTORE HISTORI C PROPERTIES RECOGNI ZED BY THE NATIONAL PARK SERVICE AS 12
306+NATIONAL HISTORIC LANDMARKS; OR 13
331307
332-– 8 –
333-ORGANIZATION WITH MO NEY FROM THE PARTNERSHIP FUND OR THE CAPITAL
334-REVOLVING FUND FOR HISTORIC PRESERVATION ;
308+ (V) FOR NECESSARY ADMINI STRATIVE AND PROGRAM MATIC 14
309+EXPENSES ASSOCIATED WITH CARRYING OUT TH E GOALS OF THE PARTNERSHIP 15
310+PROGRAM TRANSFER OF FUNDS . 16
335311
336- (III) MONEY RECEIVED FROM OTHER PUBLIC OR PRIV ATE
337-SOURCES FOR THE BENE FIT OF THE PARTNERSHIP FUND; AND
312+ (2) (I) THE TRUST A QUALIFIED COOPERATIN G NONPROFIT 17
313+ORGANIZATION SHALL DEVELOP A COMP ETITIVE PROCESS FOR MAKING AWARDS OF 18
314+FINANCIAL ASSISTANCE UNDER THE PARTNERSHIP PROGRAM WITH FUNDS 19
315+RECEIVED FROM THE TRUST. 20
338316
339- (IV) MONEY RECEIVE D FROM THE SALE OF G ENERAL
340-OBLIGATION BONDS .
317+ (II) THE QUALIFIED COOPERA TING NONPROFIT ORGAN IZATION 21
318+SHALL AWARD FINANCIAL ASSI STANCE UNDER THE PARTNERSHIP PROGRAM IN A 22
319+MANNER CONSISTENT WI TH THE PROCESS DEVEL OPED BY THE TRUST IN 23
320+SUBPARAGRAPH (I) OF THIS PARAGRAPH . 24
341321
342- (6) THE PARTNERSHIP FUND MAY BE USED FOR THE PURPOSE
343-IDENTIFIED IN PARAGR APH (2) OF THIS SUBSECTION .
322+ (D) (1) THERE IS A PARTNERSHIP FUND. 25
344323
345- (7) THE STATE TREASURER SHALL INVES T THE MONEY OF THE
346-PARTNERSHIP FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE
347-INVESTED.
324+ (2) THE PURPOSE OF THE PARTNERSHIP FUND IS TO PROVIDE F UNDS 26
325+IN THE FORM OF A GRA NT OR COOPERATIVE AG REEMENT TO A QUALIFI ED 27
326+COOPERATING NONPROFI T ORGANIZATION TO AD MINISTER THE PARTNERSHIP 28
327+PROGRAM. 29
348328
349- (8) FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER ,
350-THE GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIA TION
351-TO THE PARTNERSHIP PROGRAM TRANSFERRING THE AMOUNT OF
352-UNENCUMBERED AND UNA PPROPRIATED FUNDS IN THE PARTNERSHIP FUND TO
353-THE QUALIFIED COOPER ATING NONPROFIT ORGA NIZATION FOR THE PUR POSE
354-IDENTIFIED IN PARAGR APH (2) OF THIS SUBSECTION .
329+ (3) THE TRUST SHALL ADMINISTE R THE PARTNERSHIP FUND. 30
355330
356- (E) (1) (I) ON OR BEFORE OCTOBER 1 EACH YEAR, THE TRUST SHALL
357-TRANSFER TO THE QUAL IFIED COOPERATING NO NPROFIT ORGANIZATIO N THE
358-FUNDS APPROPRIATED T O THE PARTNERSHIP PROGRAM FOR THE CURRE NT FISCAL
359-YEAR.
331+ (4) (I) THE PARTNERSHIP FUND IS A SPECIAL, NONLAPSING F UND 31
332+THAT IS NOT SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT 32
333+ARTICLE. 33
334+ 8 HOUSE BILL 674
360335
361- (II) TO THE EXTENT POSSIBL E, THE GOAL WILL BE TO
362-PRESERVE THE CORPUS OF THE PARTNERSHIP FUND AS A REVOLVING F UND.
363336
364- (2) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS
365-PARAGRAPH , THE QUALIFIED COOPER ATING NONPROFIT ORGA NIZATION SHALL
366-MAINTAIN A SEPARATE INTERNAL ACCOUNT FOR FUNDS PROVIDED FROM THE
367-PARTNERSHIP FUND.
337+ (II) THE STATE TREASURER SHALL HOLD THE FUND 1
338+SEPARATELY, AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 2
368339
369- (II) SUBJECT TO THE APPROV AL OF THE QUALIFIED
370-COOPERATING NONPROFI T ORGANIZATION ’S INVESTMENT POL ICY BY THE BOARD
371-OF DIRECTORS OF THE QUALIFIED COOPERATIN G NONPROFIT ORGANIZA TION,
372-FUNDS MAY BE COMMING LED WITH OTHER FUNDS OF THE ORGANIZATION IF THE
373-FUNDS CAN BE ACCOUNT ED FOR INDEPENDENTLY OF OTHER FUNDS .
374- WES MOORE, Governor Ch. 204
340+ (5) THE PARTNERSHIP FUND CONSISTS OF : 3
375341
376-– 9 –
377- (3) ON THE TRANSFER OF FU NDS TO THE PARTNERSHIP FUND, THE
378-USE OF FUNDS IS NO L ONGER SUBJECT TO § 5A–325 OF THIS SUBTITLE.
342+ (I) MONEY RECEIVED AS INTEREST OR REPAY MENT OF 4
343+PRINCIPAL ON LOANS M ADE UNDER THE PARTNERSHIP PROGRAM OR THE CAPITAL 5
344+REVOLVING FUND FOR HISTORIC PRESERVATION ; 6
379345
380- (F) (C) THE A QUALIFIED COOPERATIN G NONPROFIT ORGANIZA TION
381-SELECTED TO ADMINISTER THE PARTNERSHIP PROGRAM RECEIVING FUNDS FROM
382-THE TRUST, IN COORDINATION WITH THE DIRECTOR, SHALL ADOPT APPROPRI ATE
383-GUIDELINES TO CARRY OUT THE PURPOSES OF THE PARTNERSHIP PROGRAM
384-ENUMERATED IN SUBSEC TION (B) OF THIS SECTION.
346+ (II) THE PROCEEDS FROM TH E RESALE OR LEASE OF PROPERTY 7
347+ORIGINALLY ACQUIRED BY THE QUALIFIED COO PERATING NONPROFIT 8
348+ORGANIZATION WITH MO NEY FROM THE PARTNERSHIP FUND OR THE CAPITAL 9
349+REVOLVING FUND FOR HISTORIC PRESERVATION ; 10
385350
386- (G) (D) THE A QUALIFIED COOPERATIN G NONPROFIT ORGANIZA TION
387-SHALL MAKE THE FOLLO WING INFORMATION AVA ILABLE ON ITS WEBSITE:
351+ (III) MONEY RECEIVED FROM OTHER PUBLIC OR PRIV ATE 11
352+SOURCES FOR THE BENE FIT OF THE PARTNERSHIP FUND; AND 12
388353
389- (1) THE GUIDELINES ESTAB LISHED UNDER SUBSECT ION (F) (C) OF
390-THIS SECTION;
354+ (IV) MONEY RECEIVED FROM THE SALE OF GENERAL 13
355+OBLIGATION BONDS . 14
391356
392- (2) THE AVAILABILITY OF PARTNERSHIP PROGRAM FUNDS; AND
357+ (6) THE PARTNERSHIP FUND MAY BE USED FOR THE PURPOSE 15
358+IDENTIFIED IN PARAGR APH (2) OF THIS SUBSECTION . 16
393359
394- (3) INFORMATION ON PROJE CTS RECEIVING FINANC IAL ASSISTANCE
395-FROM THE PARTNERSHIP FUND TRANSFERRED FUNDS .
360+ (7) THE STATE TREASURER SHALL INVES T THE MONEY OF THE 17
361+PARTNERSHIP FUND IN THE SAME MANN ER AS OTHER STATE MONEY MAY BE 18
362+INVESTED. 19
396363
397- (H) (E) (1) ON OR BEFORE JUNE 30 EACH YEAR, THE A QUALIFIED
398-COOPERATING NONPROFI T ORGANIZATION SHALL PROVIDE AN ANNUAL RE PORT TO
399-THE TRUST OUTLINING THE USE, ACCOUNTING , AND SUCCESS OF THE
400-PARTNERSHIP FUND ALL FUNDS RECEIVED .
364+ (8) FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER , 20
365+THE GOVERNOR SHALL INCLUD E IN THE ANNUAL BUDG ET BILL AN APPROPRIA TION 21
366+TO THE PARTNERSHIP PROGRAM TRANSFERRING THE AMOUNT OF 22
367+UNENCUMBERED AND UNA PPROPRIATED FUNDS IN THE PARTNERSHIP FUND TO 23
368+THE QUALIFIED COOPER ATING NONPROFIT ORGA NIZATION FOR THE PUR POSE 24
369+IDENTIFIED IN PARAGR APH (2) OF THIS SUBSECTION . 25
401370
402- (2) THE ANNUAL FINANCIAL REVIEW OR AUDIT OF T HE
403-ORGANIZATION SHALL B E PROVIDED AT THE RE QUEST OF THE TRUST TO CONFIRM
404-THE INTENDED USE OF THE PARTNERSHIP FUND TRANSFERRED FUNDS .
371+ (E) (1) (I) ON OR BEFORE OCTOBER 1 EACH YEAR, THE TRUST SHALL 26
372+TRANSFER TO THE QUAL IFIED COOPERATING NO NPROFIT ORGANIZATION THE 27
373+FUNDS APPROPRI ATED TO THE PARTNERSHIP PROGRAM FOR THE CURRE NT FISCAL 28
374+YEAR. 29
405375
406- SECTION 2. AND BE IT FURTHER ENACTED, That, notwithstanding any other
407-provision of law, on or before July 31, 2023, the Governor shall transfer the funds
408-appropriated in fiscal year 2024 for the Historic Preservation Loan Program established
409-under § 5A–327 of the State Finance and Procurement Article to the Historic Preservation
410-Partnership Program established under § 5A–327 of the State Finance and Procurement
411-Article, as enacted by Section 1 of this Act.
376+ (II) TO THE EXTENT POSSIBL E, THE GOAL WILL BE TO 30
377+PRESERVE THE CORPUS OF THE PARTNERSHIP FUND AS A REVOLVING F UND. 31
412378
413- SECTION 3. AND BE IT FURTHER ENACTED, That:
379+ (2) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 32
380+PARAGRAPH , THE QUALIFIED COOPERATING N ONPROFIT ORGANIZATIO N SHALL 33 HOUSE BILL 674 9
414381
415- (a) After June 30, 2023, the State Treasurer shall credit any funds received for
416-the benefit of the Historic Preservation Loan Fund established under § 5A–327 of the State
417-Finance and Procurement Article to the Historic Preservation Partnership Fund
418-established under § 5A–327 of the State Finance and Procurement Article, as enacted by
419-Section 1 of this Act.
420- Ch. 204 2023 LAWS OF MARYLAND
421382
422-– 10 –
423- (b) On or before July 31, 2023, all funds remaining in the Historic Preservation
424-Loan Fund established under § 5A–327 of the State Finance and Procurement Article shall
425-be transferred to the Historic Preservation Partnership Fund established under § 5A–327
426-of the State Finance and Procurement Article, as enacted by Section 1 of this Act, and shall
427-be used only in accordance with the provisions of § 5A–327 of the State Finance and
428-Procurement Article, as enacted by Section 1 of this Act.
383+MAINTAIN A SEPARATE INTERNAL ACCOUNT FOR FUNDS PROVIDED FROM THE 1
384+PARTNERSHIP FUND. 2
429385
430- (c) After July 31, 2023, the Historic Preservation Loan Fund established under §
431-5A–327 of the State Finance and Procurement Article shall be dissolved and no new
432-appropriations shall be made to the Historic Preservation Loan Fund.
386+ (II) SUBJECT TO THE APPROV AL OF THE QUALIFIED 3
387+COOPERATING NONPROFI T ORGANIZATION ’S INVESTMENT POLICY BY THE BOARD 4
388+OF DIRECTORS OF THE QUALIF IED COOPERATING NONP ROFIT ORGANIZATION , 5
389+FUNDS MAY BE COMMING LED WITH OTHER FUNDS OF THE ORGANIZATION IF THE 6
390+FUNDS CAN BE ACCOUNT ED FOR INDEPENDENTLY OF OTHER FUNDS . 7
433391
434- SECTION 4. 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
435-July 1, 2023.
392+ (3) ON THE TRANSFER OF FU NDS TO THE PARTNERSHIP FUND, THE 8
393+USE OF FUNDS IS NO LONGER S UBJECT TO § 5A–325 OF THIS SUBTITLE. 9
436394
437-Approved by the Governor, April 24, 2023.
395+ (F) (C) THE A QUALIFIED COOPERATIN G NONPROFIT ORGANIZA TION 10
396+SELECTED TO ADMINISTER THE PARTNERSHIP PROGRAM RECEIVING FUNDS FROM 11
397+THE TRUST, IN COORDINATION WITH THE DIRECTOR, SHALL ADOPT APPROPRI ATE 12
398+GUIDELINES TO CARRY OUT THE PURPOSES OF THE PARTNERSHIP PROGRAM 13
399+ENUMERATED IN SUBSEC TION (B) OF THIS SECTION. 14
400+
401+ (G) (D) THE A QUALIFIED COOPERATIN G NONPROFIT ORGANIZA TION 15
402+SHALL MAKE THE FOLLO WING INFORMATION AVA ILABLE ON ITS WEBSIT E: 16
403+
404+ (1) THE GUIDELINES ESTAB LISHED UNDER SUBSECT ION (F) (C) OF 17
405+THIS SECTION; 18
406+
407+ (2) THE AVAILABILITY OF PARTNERSHIP PROGRAM FUNDS; AND 19
408+
409+ (3) INFORMATION ON PROJE CTS RECEIVING FINANC IAL ASSISTANCE 20
410+FROM THE PARTNERSHIP FUND TRANSFERRED FUNDS . 21
411+
412+ (H) (E) (1) ON OR BEFORE JUNE 30 EACH YEAR, THE A QUALIFIED 22
413+COOPERATING NONPROFI T ORGANIZATION SHALL PROVIDE AN ANNUAL RE PORT TO 23
414+THE TRUST OUTLINING THE USE, ACCOUNTING , AND SUCCESS OF THE 24
415+PARTNERSHIP FUND ALL FUNDS RECEIVED . 25
416+
417+ (2) THE ANNUAL FINANCIAL REVIEW OR AUD IT OF THE 26
418+ORGANIZATION SHALL B E PROVIDED AT THE RE QUEST OF THE TRUST TO CONFIRM 27
419+THE INTENDED USE OF THE PARTNERSHIP FUND TRANSFERRED FUNDS . 28
420+
421+ SECTION 2. AND BE IT FURTHER ENACTED, That, notwithstanding any other 29
422+provision of law, on or before July 31, 2023, the Governor shall transfer the funds 30
423+appropriated in fiscal year 2024 for the Historic Preservation Loan Program established 31
424+under § 5A–327 of the State Finance and Procurement Article to the Historic Preservation 32
425+Partnership Program established under § 5A–327 of the State Finance and Procurement 33
426+Article, as enacted by Section 1 of this Act. 34
427+ 10 HOUSE BILL 674
428+
429+
430+ SECTION 3. AND BE IT FURTHER ENACTED, That: 1
431+
432+ (a) After June 30, 2023, the State Treasurer shall credit any funds received for 2
433+the benefit of the Historic Preservation Loan Fund established under § 5A–327 of the State 3
434+Finance and Procurement Article to the Historic Preservation Partnership Fund 4
435+established under § 5A–327 of the State Finance and Procurement Article, as enacted by 5
436+Section 1 of this Act. 6
437+
438+ (b) On or before July 31, 2023, all funds remaining in the Historic Preservation 7
439+Loan Fund established under § 5A–327 of the State Finance and Procurement Article shall 8
440+be transferred to the Historic Preservation Partnership Fund established under § 5A–327 9
441+of the State Finance and Procurement Article, as enacted by Section 1 of this Act, and shall 10
442+be used only in accordance with the provisions of § 5A–327 of the State Finance and 11
443+Procurement Article, as enacted by Section 1 of this Act. 12
444+
445+ (c) After July 31, 2023, the Historic Preservation Loan Fund established under § 13
446+5A–327 of the State Finance and Procurement Article shall be dissolved and no new 14
447+appropriations shall be made to the Historic Preservation Loan Fund. 15
448+
449+ SECTION 4. 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 16
450+July 1, 2023. 17
451+
452+
453+
454+
455+Approved:
456+________________________________________________________________________________
457+ Governor.
458+________________________________________________________________________________
459+ Speaker of the House of Delegates.
460+________________________________________________________________________________
461+ President of the Senate.