Maryland 2023 Regular Session

Maryland House Bill HB80 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2
3	3	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4	[Brackets] indicate matter deleted from existing law.
5	5	hb0080
6	6
7	7	HOUSE BILL 80
8	8	C2, N1 3lr0426
9	9	HB 26/22 – ENT (PRE–FILED)
10	10	By: Delegate Holmes
11	11	Requested: September 20, 2022
12	12	Introduced and read first time: January 11, 2023
13	13	Assigned to: Environment and Transportation
14	14
15	15	A BILL ENTITLED
16	16
17	17	AN ACT concerning 1
18	18
19	19	Real Property – Regulation of Common Ownership Community Managers 2
20	20
21	21	FOR the purpose of creating the State Board of Common Ownership Community Managers 3
22	22	in the Maryland Department of Labor to oversee the licensing of community 4
23	23	managers who provide management services for common ownership communities; 5
24	24	requiring a common ownership community to register with the Board under certain 6
25	25	circumstances; imposing certain duties on a contracting party concerning a fidelity 7
26	26	bond or theft insurance under certain circumstances; requiring a contract to provide 8
27	27	management services to include certain provisions; making certain provisions of this 9
28	28	Act subject to the Maryland Program Evaluation Act; establishing the State Board 10
29	29	of Common Ownership Community Managers Fund as a special, nonlapsing fund; 11
30	30	requiring that certain interest earnings be credited to the Fund; requiring the 12
31	31	Secretary of Labor, in consultation with the Board, to calculate certain costs 13
32	32	annually; authorizing the Department of Budget and Management to advance 14
33	33	certain funds to the Board and requiring the Board to reimburse certain funds under 15
34	34	certain circumstances; and generally relating to the regulation of common ownership 16
35	35	community managers. 17
36	36
37	37	BY renumbering 18
38	38	Article – State Government 19
39	39	Section 8–403(13) through (63), 20
40	40	to be Section 8–403(14) through (64), respectively 21
41	41	Annotated Code of Maryland 22
42	42	(2021 Replacement Volume and 2022 Supplement) 23
43	43
44	44	BY adding to 24
45	45	Article – Business Occupations and Professions 25
46	46	Section 22–101 through 22–802 to be under the new title “Title 22. Common 26
47	47	Ownership Community Managers” 27
48	48	Annotated Code of Maryland 28 2 HOUSE BILL 80
49	49
50	50
51	51	(2018 Replacement Volume and 2022 Supplement) 1
52	52
53	53	BY adding to 2
54	54	Article – Business Regulation 3
55	55	Section 2–106.15, 2–106.16, and 2–108(a)(34) 4
56	56	Annotated Code of Maryland 5
57	57	(2015 Replacement Volume and 2022 Supplement) 6
58	58
59	59	BY adding to 7
60	60	Article – Corporations and Associations 8
61	61	Section 5–6B–12.1 9
62	62	Annotated Code of Maryland 10
63	63	(2014 Replacement Volume and 2022 Supplement) 11
64	64
65	65	BY adding to 12
66	66	Article – Real Property 13
67	67	Section 11–130.1 and 11B–115.2 14
68	68	Annotated Code of Maryland 15
69	69	(2015 Replacement Volume and 2022 Supplement) 16
70	70
71	71	BY repealing and reenacting, without amendments, 17
72	72	Article – State Finance and Procurement 18
73	73	Section 6–226(a)(2)(i) 19
74	74	Annotated Code of Maryland 20
75	75	(2021 Replacement Volume and 2022 Supplement) 21
76	76
77	77	BY repealing and reenacting, with amendments, 22
78	78	Article – State Finance and Procurement 23
79	79	Section 6–226(a)(2)(ii)170. and 171. 24
80	80	Annotated Code of Maryland 25
81	81	(2021 Replacement Volume and 2022 Supplement) 26
82	82
83	83	BY adding to 27
84	84	Article – State Finance and Procurement 28
85	85	Section 6–226(a)(2)(ii)172. 29
86	86	Annotated Code of Maryland 30
87	87	(2021 Replacement Volume and 2022 Supplement) 31
88	88
89	89	BY adding to 32
90	90	Article – State Government 33
91	91	Section 8–403(13) 34
92	92	Annotated Code of Maryland 35
93	93	(2021 Replacement Volume and 2022 Supplement) 36
94	94
95	95	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 37
96	96	That Section(s) 8–403(13) through (63) of Article – State Government of the Annotated 38
97	97	Code of Maryland be renumbered to be Section(s) 8–403(14) through (64), respectively. 39 HOUSE BILL 80 3
98	98
99	99
100	100
101	101	SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 1
102	102	as follows: 2
103	103
104	104	Article – Business Occupations and Professions 3
105	105
106	106	TITLE 22. COMMON OWNERSHIP COMMUNITY MANAGERS. 4
107	107
108	108	SUBTITLE 1. DEFINITIONS; GENERAL PROVISIONS. 5
109	109
110	110	22–101. 6
111	111
112	112	(A) IN THIS TITLE THE FOL LOWING WORDS HAVE TH E MEANINGS 7
113	113	INDICATED. 8
114	114
115	115	(B) “BOARD” MEANS THE STATE BOARD OF COMMON OWNERSHIP 9
116	116	COMMUNITY MANAGERS. 10
117	117
118	118	(C) (1) “COMMON OWNERSHIP COMM UNITY” MEANS: 11
119	119
120	120	(I) A CONDOMINIUM AS DEFINED IN § 11–101 OF THE REAL 12
121	121	PROPERTY ARTICLE THAT IS USED FOR RESIDENTIAL PURP OSES; 13
122	122
123	123	(II) A COOPERATIVE HOUSIN G CORPORATION AS DEF INED IN § 14
124	124	5–6B–01 OF THE CORPORATIONS AND ASSOCIATIONS ARTICLE; AND 15
125	125
126	126	(III) A HOMEOWNERS ASSOCIA TION AS DEFINED IN § 11B–101 OF 16
127	127	THE REAL PROPERTY ARTICLE. 17
128	128
129	129	(2) “COMMON OWNERSHIP COMM UNITY” DOES NOT INCLUDE A 18
130	130	TIME–SHARE PROJECT AS DEF INED IN § 11A–101 OF THE REAL PROPERTY 19
131	131	ARTICLE. 20
132	132
133	133	(D) “LICENSE” MEANS, UNLESS THE CONTEXT R EQUIRES OTHERWISE , A 21
134	134	LICENSE ISSUED BY TH E BOARD UNDER SUBTITLE 3 OF THIS TITLE THAT ALLOWS 22
135	135	AN INDIVIDUAL TO PRO VIDE MANAGEMENT SERV ICES FOR A COMMON OW NERSHIP 23
136	136	COMMUNITY . 24
137	137
138	138	(E) “LICENSED ASSOCIATE CO MMUNITY MANAGER ” MEANS, UNLESS THE 25
139	139	CONTEXT REQUIRES OTH ERWISE, AN INDIVIDUAL WHO IS ISSUED A LIMITED 26
140	140	LICENSE BY THE BOARD UNDER SUBTITLE 4 OF THIS TITLE TO PRO VIDE 27
141	141	MANAGEMENT SERVICES FOR A COMMON OWNERSH IP COMMUNITY UNDER T HE 28
142	142	SUPERVISION OF A LIC ENSED COMMUNITY MANA GER. 29
143	143	4 HOUSE BILL 80
144	144
145	145
146	146	(F) “LICENSED COMMUNITY MA NAGER” MEANS, UNLESS THE CONTEXT 1
147	147	REQUIRES OTHERWISE , AN INDIVIDUAL WHO IS IS SUED A LICENSE BY THE BOARD 2
148	148	UNDER SUBTITLE 3 OF THIS TITLE TO PROVIDE MANAGEMEN T SERVICES FOR A 3
149	149	COMMON OWNERSHIP COM MUNITY. 4
150	150
151	151	(G) “LIMITED LICENSE ” MEANS, UNLESS THE CONTEXT R EQUIRES 5
152	152	OTHERWISE, A LIMITED LICENSE IS SUED BY THE BOARD UNDER SUBTITLE 4 OF THIS 6
153	153	TITLE THAT ALLOWS TH E INDIVIDUAL TO PROV IDE MANAGEMENT SERVI CES FOR A 7
154	154	COMMON OWNERSHIP COM MUNITY UNDER THE SUP ERVISION OF A LICENS ED 8
155	155	COMMUNITY MANAGER . 9
156	156
157	157	(H) “PROVIDE MANAGEMENT SE RVICES” MEANS: 10
158	158
159	159	(1) TO ACT WITH THE AUTH ORITY OF THE COMMON OWNERSHIP 11
160	160	COMMUNITY IN ITS BUS INESS, LEGAL, FINANCIAL, OR OTHER TRANSACTION S WITH 12
161	161	MEMBERS AND NONMEMBE RS OF THE COMMON OWN ERSHIP COMMUNITY ; 13
162	162
163	163	(2) TO EXECUTE THE RESOL UTIONS AND DECISIONS OF A COMMON 14
164	164	OWNERSHIP COMMUNITY ; 15
165	165
166	166	(3) TO ENFORCE THE RI GHTS OF THE COMMON O WNERSHIP 16
167	167	COMMUNITY SECURED BY STATUTE , CONTRACT, COVENANT, RULE, OR BYLAW WITH 17
168	168	THE AUTHORITY OF THE COMMON OWNERSHIP COM MUNITY; 18
169	169
170	170	(4) TO NEGOTIATE CONTRAC TS OR OTHERWISE COOR DINATE OR 19
171	171	ARRANGE FOR SERVICES OR THE PURCHASE OF P ROPERTY AN D GOODS FOR OR ON 20
172	172	BEHALF OF A COMMON O WNERSHIP COMMUNITY ; 21
173	173
174	174	(5) TO COLLECT, DISBURSE, OR OTHERWISE EXERCIS E DOMINION OR 22
175	175	CONTROL OVER MONEY O R OTHER PROPERTY BEL ONGING TO A COMMON 23
176	176	OWNERSHIP COMMUNITY ; 24
177	177
178	178	(6) TO PREPARE BUDGETS , FINANCIAL STATEMENTS , OR OTHER 25
179	179	FINANCIAL REPORTS FO R A COMMON OWNERSHIP COMMUNITY ; 26
180	180
181	181	(7) TO ARRANGE , CONDUCT, OR COORDINATE MEETIN GS OF A 27
182	182	COMMON OWNERSHIP COM MUNITY OR THE GOVERN ING BODY OF A COMMON 28
183	183	OWNERSHIP COMMUNITY ; OR 29
184	184
185	185	(8) TO OFFER OR SOLICIT TO PERFORM ANY OF TH E ACTS OR 30
186	186	SERVICES LISTED IN I TEMS (1) THROUGH (7) OF THIS SUBSECTION O N BEHALF OF A 31
187	187	COMMON OWNERSHIP COM MUNITY. 32
188	188	HOUSE BILL 80 5
189	189
190	190
191	191	(I) “RESPONSIBLE MANAGER ” MEANS A LICENSED COM MUNITY MANAGER 1
192	192	WHO HAS PRIMARY RESP ONSIBILITY FOR PROVI DING MANAGEMENT SERV ICES TO A 2
193	193	COMMON OWNERSHIP COM MUNITY UNDER THE TER MS OF A CONTRACT ENT ERED 3
194	194	INTO BY THE COMMON OWNERSHIP COMMUNITY . 4
195	195
196	196	22–102. 5
197	197
198	198	THE PROVISIONS OF THI S TITLE THAT REQUIRE AN INDIVIDUAL TO BE ISSUED 6
199	199	A LICENSE OR A LIMIT ED LICENSE DO NOT PROHIBIT: 7
200	200
201	201	(1) AN INDIVIDUAL WHO IS A REGULAR, SALARIED EMPLOYEE OF A 8
202	202	LICENSED COMMUNITY M ANAGER OR A SINGLE C OMMON OWNERSHIP COMM UNITY 9
203	203	FROM PERFORMING ADMI NISTRATIVE, INTERNAL, BOOKKEEPING , OR MINISTERIAL 10
204	204	FUNCTIONS IN SUPPORT OF THE LICENSED COMM UNITY MANAGER OR THE SINGLE 11
205	205	COMMON OWNERSHIP COM MUNITY; 12
206	206
207	207	(2) AN INDIVIDUAL WHO IS ADMINISTRATIVE SUPPO RT STAFF OR AN 13
208	208	ASSISTANT OF A LICEN SED COMMUNITY MANAGE R FROM INCIDENTALLY PROVIDING 14
209	209	MANAGEMENT SERVICES IF THE INDIVIDUAL IS SUPERVISED BY A LICE NSED 15
210	210	COMMUNITY MANAGER ; 16
211	211
212	212	(3) A RESIDENT OF A COMM ON OWNERSHI P COMMUNITY WHO ACTS 17
213	213	WITHOUT COMPENSATION FROM PROVIDING MANAG EMENT SERVICES FOR T HAT 18
214	214	COMMON OWNERSHIP COM MUNITY; 19
215	215
216	216	(4) A MEMBER OF THE GOVE RNING BODY OF A COMM ON OWNERSHIP 20
217	217	COMMUNITY WHO ACTS W ITHOUT COMPENSATION FROM PROVIDING MANAG EMENT 21
218	218	SERVICES FOR THA T COMMON OWNERSHIP C OMMUNITY; 22
219	219
220	220	(5) AN ATTORNEY AT LAW F ROM REPRESENTING A C OMMON 23
221	221	OWNERSHIP COMMUNITY , A LICENSED COMMUNITY MANAGER, OR A LICENSED 24
222	222	ASSOCIATE COMMUNITY MANAGER IN ANY BUSINESS THAT CONSTITUTES THE 25
223	223	PRACTICE OF LAW ; 26
224	224
225	225	(6) AN INDIVIDUAL LICEN SED UNDER THIS ARTIC LE AS A LICENSED 27
226	226	CERTIFIED PUBLIC ACC OUNTANT, A LICENSED REAL ESTA TE BROKER , OR A 28
227	227	LICENSED ASSOCIATE R EAL ESTATE BROKER FROM PROVIDING TO A COMMON 29
228	228	OWNERSHIP COMMUNITY THE SERVICES FOR WHI CH THE INDIVIDUAL IS LICENSED; 30
229	229
230	230	(7) AN INDIVIDU AL WHO ACTS AS A REC EIVER OR TRUSTEE IN 31
231	231	BANKRUPTCY IN THE PE RFORMANCE OF DUTIES OR AN INDIVIDUAL WHO ACTS 32
232	232	UNDER A COURT ORDER FROM PROVIDING MANAG EMENT SERVICES FOR A COMMON 33
233	233	OWNERSHIP COMMUNITY ; OR 34
234	234	6 HOUSE BILL 80
235	235
236	236
237	237	(8) AN INDIVIDUAL WHO IS AN EMPLOYEE OF A COM MON OWNERS HIP 1
238	238	COMMUNITY FROM PROVI DING MANAGEMENT SERV ICES ONLY TO THAT CO MMON 2
239	239	OWNERSHIP COMMUNITY OR TO AN AFFILIATED COMMON OWNERSHIP COM MUNITY. 3
240	240
241	241	SUBTITLE 2. STATE BOARD OF COMMON OWNERSHIP COMMUNITY MANAGERS. 4
242	242
243	243	22–201. 5
244	244
245	245	THERE IS A STATE BOARD OF COMMON OWNERSHIP COMMUNITY MANAGERS 6
246	246	IN THE DEPARTMENT . 7
247	247
248	248	22–202. 8
249	249
250	250	(A) (1) THE BOARD CONSISTS OF NIN E MEMBERS. 9
251	251
252	252	(2) OF THE NINE MEMBERS O F THE BOARD: 10
253	253
254	254	(I) FIVE SHALL BE LICENSED CO MMON OWNERSHIP 11
255	255	COMMUNITY MANAGERS ; 12
256	256
257	257	(II) ONE SHALL BE A LAWYE R, AS DEFINED IN § 10–101 OF THIS 13
258	258	ARTICLE, WHOSE PRIMARY PRACTI CE INCLUDES THE REPR ESENTATION OF 14
259	259	COMMON OWNERSHIP COM MUNITIES; AND 15
260	260
261	261	(III) THREE SHALL BE RESIDENT OW NERS IN A COMMON 16
262	262	OWNERSHIP COMMUNITY . 17
263	263
264	264	(3) THE GOVERNOR SHALL APPOIN T THE MEMBERS WITH T HE 18
265	265	ADVICE OF THE SECRETARY AND THE ADVICE AN D CONSENT OF THE SENATE. 19
266	266
267	267	(B) EACH MEMBER OF THE BOARD MUST BE A RESID ENT OF THE STATE. 20
268	268
269	269	(C) BEFORE TAKING OFFICE , EACH APPOINTEE TO TH E BOARD SHALL TAKE 21
270	270	THE OATH REQUIRED BY ARTICLE I, § 9 OF THE MARYLAND CONSTITUTION. 22
271	271
272	272	(D) (1) THE TERM OF A MEMBER IS 4 YEARS AND BEGINS JULY 1. 23
273	273
274	274	(2) THE TERMS OF THE MEMB ERS ARE STAGGERED AS REQUIRED BY 24
275	275	THE TERMS PROVIDED F OR MEMBERS OF THE BOARD ON OCTOBER 1, 2023. 25
276	276
277	277	(3) AT THE END OF A TERM , A MEMBER CONTINUES T O SERVE UNTIL 26
278	278	A SUCCESSOR IS APPOINTED AND QUALIF IES. 27
279	279	HOUSE BILL 80 7
280	280
281	281
282	282	(4) A MEMBER WHO IS APPOIN TED AFTER A TERM HAS BEGUN SERVES 1
283	283	ONLY FOR THE REST OF THE TERM AND UNTIL A SUCCESSOR IS APPOINT ED AND 2
284	284	QUALIFIES. 3
285	285
286	286	(5) A MEMBER MAY NOT SERVE MORE THAN TWO CONSEC UTIVE 4
287	287	TERMS. 5
288	288
289	289	(E) FOR FISCAL YEAR 2024, THE DEPARTMENT SHALL ALLO CATE NOT 6
290	290	MORE THAN $100,000 FOR THE ESTABLISHMEN T OF THE BOARD, INCLUDING 7
291	291	PERSONNEL EXPENSES . 8
292	292
293	293	22–203. 9
294	294
295	295	FROM AMONG THE MEMBER S OF THE BOARD, THE GOVERNOR SHALL 10
296	296	APPOINT A CHAIR AND A VICE CHAIR. 11
297	297
298	298	22–204. 12
299	299
300	300	(A) A MAJORITY OF THE MEMBERS THEN SER VING ON THE BOARD IS A 13
301	301	QUORUM. 14
302	302
303	303	(B) THE BOARD SHALL DETERMINE THE TIMES AND PLACES OF ITS 15
304	304	MEETINGS. 16
305	305
306	306	(C) A MEMBER OF THE BOARD: 17
307	307
308	308	(1) MAY NOT RECEIVE COMP ENSATION AS A MEMBER OF THE BOARD; 18
309	309	BUT 19
310	310
311	311	(2) IS ENTITLED TO REIMB URSEMENT FOR EXPENSES UNDER THE 20
312	312	STANDARD STATE TRAVEL REGULATIONS, AS PROVIDED IN THE STATE BUDGET . 21
313	313
314	314	(D) THE BOARD MAY EMPLOY STAF F IN ACCORDANCE WITH THE STATE 22
315	315	BUDGET. 23
316	316
317	317	22–205. 24
318	318
319	319	(A) IN ADDITION TO ANY PO WERS SET FORTH ELSEW HERE, THE BOARD 25
320	320	MAY: 26
321	321
322	322	(1) ADOPT BYLAWS AS NECESSARY TO DO THE BUSINESS OF THE 27
323	323	BOARD; AND 28
324	324
325	325	(2) ADOPT ANY REGULATION S TO CARRY OUT THIS TITLE. 29
326	326	8 HOUSE BILL 80
327	327
328	328
329	329	(B) IN ADDITION TO ANY DU TIES SET FORTH ELSEW HERE, THE BOARD 1
330	330	SHALL: 2
331	331
332	332	(1) ADOPT RULES OF PROFE SSIONAL CONDUCT AS A PPROPRIATE FOR 3
333	333	INDIVIDUALS ISSUED A LICENSE OR A LIMITED LICENSE UNDER THIS T ITLE; 4
334	334
335	335	(2) ESTABLISH CRITERIA A ND A PROCESS FOR CER TIFICATION OF A 5
336	336	VARIETY OF EDUCATION AL OFFERINGS AND TRA INING PROGRAMS FOR ISSUING 6
337	337	LICENSES OR LIMITED LICENSES UNDER THIS TITLE; 7
338	338
339	339	(3) ESTABLISH CONTINUING EDUCATION REQUIREMENTS F OR 8
340	340	INDIVIDUALS WHO HAVE BEEN ISSUED A LICENS E OR A LIMITED LICEN SE UNDER 9
341	341	THIS TITLE; AND 10
342	342
343	343	(4) KEEP A RECORD OF ITS PROCEEDINGS . 11
344	344
345	345	(C) THE BOARD MAY ESTABLISH B Y REGULATION : 12
346	346
347	347	(1) THE PROCESS OF RESOL VING DISCIPLINARY MA TTERS PENDING 13
348	348	BEFORE THE BOARD THROUGH NONJUDI CIAL DISPUTE RESOLUT ION PROCESSES ; 14
349	349
350	350	(2) EDUCATION AND TRAINI NG OPPORTUNITIES FOR GOVERNING 15
351	351	BODIES OF COMMON OWN ERSHIP COMMUNITIES ; AND 16
352	352
353	353	(3) ANY OTHER PROCEDURES OR STANDARDS CONSIST ENT WITH THE 17
354	354	MISSION OF THE BOARD. 18
355	355
356	356	22–206. 19
357	357
358	358	(A) THE BOARD SHALL MAINTAIN A PUBLIC LIST OF THE NAMES AND 20
359	359	MAILING ADDRESSES OF ALL INDIVIDUALS ISSU ED A LICENSE OR A LI MITED 21
360	360	LICENSE UNDER THIS T ITLE. 22
361	361
362	362	(B) EACH INDIVIDUAL ISSUE D A LICENSE OR A LIM ITED LICENSE UNDER 23
363	363	THIS TITLE SHALL: 24
364	364
365	365	(1) DESIGNATE A MAILING AD DRESS AT THE TIME OF ISSUANCE OF 25
366	366	THE ORIGINAL LICENSE OR LIMITED LICENSE A ND ON RENEWAL OF THE LICENSE OR 26
367	367	LIMITED LICENSE ; AND 27
368	368
369	369	(2) NOTIFY THE BOARD OF A CHANGE OF ADDRESS WITHIN 30 DAYS 28
370	370	AFTER THE CHANGE . 29
371	371
372	372	22–207. 30 HOUSE BILL 80 9
373	373
374	374
375	375
376	376	(A) (1) THE BOARD MAY SET BY REGULATIO N REASONABLE FEES FO R ITS 1
377	377	SERVICES. 2
378	378
379	379	(2) THE FEES CHARGED SHAL L BE: 3
380	380
381	381	(I) SET SO AS TO PRODUCE FUNDS TO APPROXIMATE THE COST 4
382	382	OF MAINTAINING THE BOARD; 5
383	383
384	384	(II) BASED ON THE CALCULA TIONS PERFORMED BY T HE 6
385	385	SECRETARY UNDER § 2–106.16 OF THE BUSINESS REGULATION ARTICLE; AND 7
386	386
387	387	(III) CONSISTENT WITH OTHE R FEES FOR COMPARABL E 8
388	388	LICENSES ISSUED BY O THER BOARDS AND COMM ISSIONS IN THE STATE. 9
389	389
390	390	(B) THE BOARD SHALL PUBLISH T HE FEE SCHEDULE SET BY THE BOARD. 10
391	391
392	392	(C) (1) THE BOARD SHALL PAY ALL F EES COLLECTED UNDER THIS TITLE 11
393	393	TO THE COMPTROLLER . 12
394	394
395	395	(2) THE COMPTROLLER SHALL DIS TRIBUTE THE FEES TO THE STATE 13
396	396	BOARD OF COMMON OWNERSHIP COMMUNITY MANAGERS FUND ESTABLISHED 14
397	397	UNDER § 2–106.15 OF THE BUSINESS REGULATION ARTICLE. 15
398	398
399	399	22–208. 16
400	400
401	401	THE BOARD EXERCISES ITS POWERS, DUTIES, AND FUNCTIONS SUBJEC T TO 17
402	402	THE AUTHORITY OF THE SECRETARY. 18
403	403
404	404	22–209. 19
405	405
406	406	(A) IN ADDITION TO ANY OT HER REMEDY AUTHORIZE D UNDER THIS TITLE , 20
407	407	THE BOARD, WITH THE APPROVAL OF THE ATTORNEY GENERAL, MAY SUE IN THE 21
408	408	NAME OF THE STATE TO ENJOIN ANY ACT THAT IS PROHIBIT ED UNDER SUBTITLE 7 22
409	409	OF THIS TITLE. 23
410	410
411	411	(B) THE BOARD MAY TAKE APPROP RIATE ACTIONS TO : 24
412	412
413	413	(1) ASSIST A COMMON OWNE RSHIP COMMUNITY IN E XERCISING ANY 25
414	414	RIGHTS OF THE COMMON OWNERSHIP COMMUNITY UNDER THIS TITLE ; OR 26
415	415
416	416	(2) ENTER INTO COOPERATI VE AND INFORMATION –SHARING 27
417	417	AGREEMENTS WITH ANY UNIT OF LAW ENFORCEM ENT AS ALLOWED BY LA W. 28
418	418
419	419	SUBTITLE 3. LICENSED COMMUNITY MANAGERS. 29 10 HOUSE BILL 80
420	420
421	421
422	422
423	423	22–301. 1
424	424
425	425	(A) AN INDIVIDUAL MUST BE I SSUED A LICENSE BY THE BOARD BEFORE 2
426	426	THE INDIVIDUAL MAY P ROVIDE MANAGEMENT SE RVICES AS A LICENSED 3
427	427	COMMUNITY MANAGER FO R A COMMON OWNERSHIP COMMUNITY IN THE STATE. 4
428	428
429	429	(B) A LICENSED COMMUNITY M ANAGER MAY PROVIDE M ANAGEMENT 5
430	430	SERVICES FOR A COMMO N OWNERSHIP COMMUNIT Y ONLY UNDER THE TER MS OF A 6
431	431	CONTRACT ENTERED INT O BY THE COMMON OWNERSHIP COMMUNITY . 7
432	432
433	433	22–302. 8
434	434
435	435	(A) TO QUALIFY FOR A LICE NSE, AN APPLICANT MUST BE AN INDIVIDUAL 9
436	436	WHO MEETS: 10
437	437
438	438	(1) THE REQUIREMENTS OF THIS SECTION; AND 11
439	439
440	440	(2) ANY OTHER QUALIFICAT ION AS REQUIRED BY R EGULATION OF 12
441	441	THE BOARD. 13
442	442
443	443	(B) AN APPLICANT MUST BE A LICENSED ASSOCIATE COMMUNITY 14
444	444	MANAGER. 15
445	445
446	446	(C) AN APPLICANT SHALL : 16
447	447
448	448	(1) COMPLETE A TRAINING PROGRAM APPROVED BY THE BOARD; AND 17
449	449
450	450	(2) PASS AN EXAMINATION APPROVED BY THE BOARD THAT 18
451	451	INCLUDES TESTING OF KNOWLEDGE OF STATE LAWS AND REGULA TIONS 19
452	452	CONCERNING COMMON OW NERSHIP COMMUNITIES . 20
453	453
454	454	(D) AN APPLICANT MUST : 21
455	455
456	456	(1) BE ACTIVELY ENGAGED IN PROVIDING MANAGEM ENT SERVICES 22
457	457	FOR AT LEAST 5 YEARS AS A LICENSED ASSOCIATE COMMUNITY MANAGER BEFORE 23
458	458	APPLYING FOR A LICEN SE; OR 24
459	459
460	460	(2) HOLD AN ACTIVE PROFE SSIONAL DESIGNATION AS APPROVED B Y 25
461	461	THE BOARD. 26
462	462
463	463	22–303. 27
464	464
465	465	AN APPLICANT FOR A LI CENSE SHALL: 28
466	466	HOUSE BILL 80 11
467	467
468	468
469	469	(1) SUBMIT TO THE BOARD AN APPLICATION ON THE FORM THAT THE 1
470	470	BOARD PROVIDES ; AND 2
471	471
472	472	(2) PAY TO THE BOARD AN APPLICATION FEE SET BY THE BOARD. 3
473	473
474	474	22–304. 4
475	475
476	476	(A) IF AN APPLICANT QUALI FIES FOR A LICENSE UNDER THIS S UBTITLE, 5
477	477	THE BOARD SHALL SEND THE APPLICANT A NOTICE T HAT STATES THAT : 6
478	478
479	479	(1) THE APPLICANT HAS QU ALIFIED FOR A LICENS E; AND 7
480	480
481	481	(2) ON RECEIPT OF THE LI CENSE FEE SET BY THE BOARD, THE BOARD 8
482	482	WILL ISSUE A LICENSE TO THE APPLICANT . 9
483	483
484	484	(B) ON PAYMENT OF THE LIC ENSE FEE, THE BOARD SHALL ISSUE A L ICENSE 10
485	485	TO EACH APPLICANT WH O MEETS THE REQUIREM ENTS OF THIS SUBTITL E. 11
486	486
487	487	22–305. 12
488	488
489	489	WHILE IN EFFECT , A LICENSE AUTHORIZES THE LICENSED COMMUNI TY 13
490	490	MANAGER TO PROVIDE MANAGEMEN T SERVICES TO A COMM ON OWNERSHI P 14
491	491	COMMUNITY . 15
492	492
493	493	22–306. 16
494	494
495	495	(A) THE TERM OF A LICENSE IS 2 YEARS. 17
496	496
497	497	(B) AT LEAST 2 MONTHS BEFORE A LICE NSE EXPIRES, THE BOARD SHALL 18
498	498	SEND TO THE LICENSED COMMUNITY MANAGER , AT THE LAST KNOWN AD DRESS OF 19
499	499	THE LICENSED COMMUNI TY MANAGER: 20
500	500
501	501	(1) A RENEWAL APPLICATION FORM ; AND 21
502	502
503	503	(2) A NOTICE THAT STATES : 22
504	504
505	505	(I) THE DATE ON WHICH TH E CURRENT LICENSE EX PIRES; 23
506	506
507	507	(II) THE DATE BY WHICH TH E BOARD MUST RECEIVE TH E 24
508	508	RENEWAL APPLICATION FOR THE RENEWAL TO B E ISSUED AND MAILED BEFORE THE 25
509	509	LICENSE EXPIRES ; AND 26
510	510
511	511	(III) THE AMOUNT OF THE RE NEWAL FEE. 27
512	512	12 HOUSE BILL 80
513	513
514	514
515	515	(C) (1) THE BOARD SHALL RENEW THE LICENSE OF AND ISSUE A 1
516	516	RENEWAL CERTIFICATE TO EACH LICENSED COM MUNITY MANAGER WHO MEETS THE 2
517	517	REQUIREMENTS OF THIS SECTION. 3
518	518
519	519	(2) THE BOARD SHALL INCLUDE O N EACH RENEWAL CERTI FICATE 4
520	520	THE DATE ON WHICH THE CURRENT LICENSE EXPI RES. 5
521	521
522	522	22–307. 6
523	523
524	524	(A) THE BOARD SHALL REINSTATE THE LICENSE OF AN IN DIVIDUAL WHO 7
525	525	HAS FAILED TO RENEW THE LICENSE IF THE I NDIVIDUAL: 8
526	526
527	527	(1) APPLIES TO THE BOARD FOR REINSTATEME NT WITHIN 2 YEARS 9
528	528	AFTER THE LICENSE EX PIRES; 10
529	529
530	530	(2) MEETS THE RENEWAL RE QUIREMENTS OF § 22–306 OF THIS 11
531	531	SUBTITLE; AND 12
532	532
533	533	(3) PAYS TO THE BOARD A REINSTATEMENT FEE SET BY THE BOARD. 13
534	534
535	535	(B) (1) IF AN INDIVIDUAL HAS FAILED TO RENEW A LI CENSE AND THEN 14
536	536	APPLIES TO THE BOARD FOR REINSTATEME NT MORE THAN 2 YEARS AFTER THE 15
537	537	LICENSE HAS EXPIRED , THE BOARD: 16
538	538
539	539	(I) MAY REQUIRE THE INDI VIDUAL TO REAPPLY FO R A LICENSE 17
540	540	IN THE SAME MANNER A S AN APPLICANT APPLI ES FOR A LICENSE UND ER THIS 18
541	541	SUBTITLE; OR 19
542	542
543	543	(II) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , MAY 20
544	544	REINSTATE THE LICENSE. 21
545	545
546	546	(2) THE BOARD MAY REINSTATE A LICENSE UNDER PARAGR APH (1) 22
547	547	OF THIS SUBSECTION O NLY IF THE INDIVIDUA L: 23
548	548
549	549	(I) MEETS THE RENEWAL RE QUIREMENTS OF § 22–306 OF THIS 24
550	550	SUBTITLE; 25
551	551
552	552	(II) IF REQUIRED BY THE BOARD, STATES REASONS WHY 26
553	553	REINSTATEMENT SHOULD BE GRANTED ; AND 27
554	554
555	555	(III) PAYS TO THE BOARD A REINSTATEMENT FEE SET BY THE 28
556	556	BOARD. 29
557	557
558	558	22–308. 30 HOUSE BILL 80 13
559	559
560	560
561	561
562	562	(A) SUBJECT TO THE PROVIS IONS OF THIS SECTION , THE BOARD MAY ISSUE 1
563	563	BY RECIPROCITY A LIC ENSE TO AN INDIVIDUA L WHO HAS THE EQUIVA LENT LICENSE 2
564	564	IN ANOTHER STATE OR TERRITORY OF THE UNITED STATES. 3
565	565
566	566	(B) THE BOARD MAY ISSUE A LIC ENSE UNDER THIS SECT ION ONLY IF THE 4
567	567	APPLICANT: 5
568	568
569	569	(1) PAYS TO THE BOARD A LICENSE FEE S ET BY THE BOARD; AND 6
570	570
571	571	(2) PROVIDES ADEQUATE EV IDENCE THAT AT THE T IME OF 7
572	572	APPLICATION FOR LICE NSURE UNDER THIS SECTION T HE APPLICANT HAS MET 8
573	573	REQUIREMENTS THAT AR E SUBSTANTIALLY EQUI VALENT TO THE REQUIR EMENTS 9
574	574	OF THE STATE. 10
575	575
576	576	(C) THE BOARD SHALL ESTABLISH STANDARDS FOR THE IS SUANCE OF A 11
577	577	LICENSE UNDER THIS S ECTION. 12
578	578
579	579	22–309. 13
580	580
581	581	(A) SUBJECT TO THE HEARIN G PROVISIONS OF § 22–311 OF THIS SUBTITLE, 14
582	582	THE BOARD MAY DENY A LICE NSE TO ANY APPLICANT , REPRIMAND ANY LICENS ED 15
583	583	COMMUNITY MANAGER , OR SUSPEND OR REVOKE A LICENSE IF THE APP LICANT OR 16
584	584	LICENSED COMMUNITY M ANAGER: 17
585	585
586	586	(1) FRAUDULENTLY OR DECE PTIVELY OBTAINS OR A TTEMPTS TO 18
587	587	OBTAIN A LICENSE FOR THE APPLICANT OR LIC ENSED COMMUNITY MANA GER OR 19
588	588	FOR ANOTHER ; 20
589	589
590	590	(2) FRAUDULENTLY OR DECE PTIVELY USES A LICEN SE; 21
591	591
592	592	(3) UNDER THE LAWS OF TH E UNITED STATES OR OF ANY STAT E, IS 22
593	593	CONVICTED OF : 23
594	594
595	595	(I) A FELONY; OR 24
596	596
597	597	(II) A MISDEMEANOR THAT IS DIRECTLY RELATED TO THE 25
598	598	FITNESS AND QUALIFIC ATIONS OF THE APPLIC ANT OR LICENSED COMM UNITY 26
599	599	MANAGER TO PROVIDE MANAGEMEN T SERVICES; 27
600	600
601	601	(4) ENGAGES IN CONDUCT T HAT DEMONSTRATES BAD FAITH, 28
602	602	INCOMPETENCY , OR UNTRUSTWORTHINESS OR THAT CONSTITU TES DISHONEST , 29
603	603	FRAUDULENT , OR IMPROPER DEALINGS ; 30
604	604	14 HOUSE BILL 80
605	605
606	606
607	607	(5) FAILS TO HANDLE THE FUNDS OF A COMMON OW NERSHIP 1
608	608	COMMUNITY IN ACCORDA NCE WITH THE PROVISI ONS OF THIS TITLE; 2
609	609
610	610	(6) FAILS TO ACCOUNT IN A TIMELY MANNER FOR ALL MONEY AND 3
611	611	PROPERTY RECEIVED ON BEHALF OF A COMMON OWNERSHIP COM MUNITY; 4
612	612
613	613	(7) WILLFULLY FAILS TO DISCLOSE TO A COMMON OWNERSHIP 5
614	614	COMMUNITY MATERIAL F ACTS THAT RELATE TO THE PROPERTY OF THE COMMON 6
615	615	OWNERSHIP COMMUNITY OR CONCERN MANAGEMEN T SERVICES OF WHICH THE 7
616	616	LICENSED COMMUNITY M ANAGER HAS ACTUAL KNOWLEDGE ; 8
617	617
618	618	(8) IS GUILTY OF GROSS N EGLIGENCE, INCOMPETENCE THAT IS 9
619	619	PROVEN TO HAVE BEEN DETRIMENTAL TO A COM MON OWNERSHIP COMMUN ITY, OR 10
620	620	MISCONDUCT IN PROVID ING MANAGEMENT SERVI CES; 11
621	621
622	622	(9) HAS BEEN SANCTIONED IN ANOTHER STATE IN A MATTER 12
623	623	RELATING TO PROVI DING MANAGEMENT SERV ICES; 13
624	624
625	625	(10) VIOLATES ANY OTHER P ROVISION OF THIS TIT LE; OR 14
626	626
627	627	(11) VIOLATES ANY REGULAT ION ADOPTED BY THE BOARD UNDER 15
628	628	THIS TITLE. 16
629	629
630	630	(B) (1) INSTEAD OF OR IN ADDI TION TO REPRIMANDING THE LICENSED 17
631	631	COMMUNITY MANAGER OR SUSPENDING OR REV OKING A LICENSE UNDER THIS 18
632	632	SECTION, THE BOARD MAY IMPOSE A PE NALTY NOT EXCEEDING $5,000 FOR EACH 19
633	633	VIOLATION. 20
634	634
635	635	(2) TO DETERMINE THE AMOU NT OF THE PENALTY IM POSED UNDER 21
636	636	THIS SUBSECTION , THE BOARD SHALL CONSIDER : 22
637	637
638	638	(I) THE SERIOUSNESS OF T HE VIOLATION; 23
639	639
640	640	(II) THE HARM CAUSED BY T HE VIOLATION; 24
641	641
642	642	(III) THE GOOD FAITH OF TH E LICENSED COMMUNITY MANAGER; 25
643	643	AND 26
644	644
645	645	(IV) ANY HISTORY OF PREVI OUS VIOLATIONS BY TH E LICENSED 27
646	646	COMMUNITY MANAGER . 28
647	647
648	648	(3) THE BOARD SHALL PAY ANY P ENALTY COLLECTED UND ER THIS 29
649	649	SUBSECTION INTO THE GENERAL FUND OF THE STATE. 30
650	650	HOUSE BILL 80 15
651	651
652	652
653	653	(C) THE BOARD SHALL CONSIDER THE FOLLOWING FACTS IN THE 1
654	654	GRANTING, DENIAL, RENEWAL, SUSPENSION, OR REVOCATION OF A L ICENSE OR THE 2
655	655	REPRIMAND OF A LICEN SED COMMUNITY MANAGE R WHEN AN APPLICANT OR A 3
656	656	LICENSED COMMUNITY M ANAGER IS CONVICTED OF A FE LONY OR MISDEMEANOR 4
657	657	DESCRIBED IN SUBSECT ION (A)(3) OF THIS SECTION: 5
658	658
659	659	(1) THE NATURE OF THE CR IME; 6
660	660
661	661	(2) THE RELATIONSHIP OF THE CRIME TO THE ACT IVITIES 7
662	662	AUTHORIZED BY THE LI CENSE; 8
663	663
664	664	(3) WITH RESPECT TO A FE LONY, THE RELEVANCE OF THE 9
665	665	CONVICTION TO THE FI TNESS AND QUALIFICAT ION OF THE APPLICANT OR LICENSED 10
666	666	COMMUNITY MANAGER TO PROVIDE MANAGEMEN T SERVICES; 11
667	667
668	668	(4) THE LENGTH OF TIME S INCE THE CONVICTION ; AND 12
669	669
670	670	(5) THE BEHAVIOR AND ACT IVITIES OF THE APPLI CANT OR LICENSED 13
671	671	COMMUNITY MAN AGER BEFORE AND AFTER THE CONVICTION. 14
672	672
673	673	22–310. 15
674	674
675	675	ON ITS OWN INITIATIVE OR ON A WRITTEN COMP LAINT MADE TO THE BOARD 16
676	676	BY ANY PERSON , THE BOARD MAY COMMENCE PR OCEEDINGS UNDER § 22–311 OF 17
677	677	THIS SUBTITLE. 18
678	678
679	679	22–311. 19
680	680
681	681	(A) EXCEPT AS OTHERWISE P ROVIDED IN § 10–226 OF THE STATE 20
682	682	GOVERNMENT ARTICLE, BEFORE THE BOARD TAKES ANY FINAL ACTION UNDER § 21
683	683	22–309 OF THIS SUBTITLE , THE BOARD SHALL GIVE THE INDIVIDUAL AGAINST 22
684	684	WHOM THE ACTION IS C ONTEMPLATED AN OPPOR TUNITY FOR A HEARING BEFORE 23
685	685	THE BOARD. 24
686	686
687	687	(B) THE BOARD SHALL GIVE NOTICE AND HOLD THE HEARING IN 25
688	688	ACCORDANCE WITH TITLE 10, SUBTITLE 2 OF THE STATE GOVERNMENT ARTICLE. 26
689	689
690	690	(C) THE BOARD MAY ADMINISTER OATHS IN CONNECTION WITH ANY 27
691	691	PROCEEDING UNDER THI S SECTION. 28
692	692
693	693	(D) (1) THE BOARD MAY ISSUE A SUB POENA FOR THE ATTEND ANCE OF A 29
694	694	WITNESS TO TESTIFY O R THE PRODUCTION OF EVIDENCE IN CONNECTI ON WITH ANY 30
695	695	PROCEEDING UNDER THI S SECTION. 31
696	696	16 HOUSE BILL 80
697	697
698	698
699	699	(2) IF A PERSON FAILS TO COMPLY WITH A SUBPOE NA ISSUED UNDER 1
700	700	THIS SUBSECTION , ON PETITION OF THE BOARD, A CIRCUIT COURT MAY COMPEL 2
701	701	COMPLIANCE WITH TH E SUBPOENA. 3
702	702
703	703	(E) IF, AFTER DUE NOTICE , THE INDIVIDUAL AGAIN ST WHOM THE ACTION I S 4
704	704	CONTEMPLATED FAILS O R REFUSES TO APPEAR , THE BOARD MAY HEAR AND 5
705	705	DETERMINE THE MATTER . 6
706	706
707	707	22–312. 7
708	708
709	709	ANY PERSON AGGRIEVED BY A FINAL DECISION OF THE BOARD IN A 8
710	710	CONTESTED CASE , AS DEFINED IN § 10–202 OF THE STATE GOVERNMENT ARTICLE, 9
711	711	IS ENTITLED TO JUDIC IAL REVIEW AS PROVID ED IN §§ 10–222 AND 10–223 OF THE 10
712	712	STATE GOVERNMENT ARTICLE. 11
713	713
714	714	22–313. 12
715	715
716	716	THE BOARD MAY REINSTATE , IN ACCORDANCE WITH T HE PROCEDURES OF 13
717	717	THE BOARD: 14
718	718
719	719	(1) A LICENSE THAT HAS BEEN REVOKED ; OR 15
720	720
721	721	(2) BEFORE FULFILLMENT O F THE CONDITIONS OF THE SUSPENSION , 16
722	722	ANY LICENSE THAT HAS BEEN SUSPENDED . 17
723	723
724	724	SUBTITLE 4. LICENSED ASSOCIATE COMMUNITY MANAGERS. 18
725	725
726	726	22–401. 19
727	727
728	728	(A) AN INDIVIDUAL MUST BE I SSUED A LIMITED LICE NSE BY THE BOARD 20
729	729	BEFORE THE INDIVIDUA L MAY PROVIDE MANAGE MENT SERVICES AS A L ICENSED 21
730	730	ASSOCIATE COMMUNITY MANAGER FOR A COMMON OWNERSHIP COMMUNITY IN THE 22
731	731	STATE. 23
732	732
733	733	(B) A LICENSED ASSOCIATE C OMMUNITY MANAGER MAY PROVIDE 24
734	734	MANAGEMENT SERVICES FOR A COMMON OWNERSH IP COMMUNITY ONL Y WHILE 25
735	735	UNDER THE GENERAL SU PERVISION OF A LICEN SED COMMUNITY MANAGE R. 26
736	736
737	737	22–402. 27
738	738
739	739	(A) TO QUALIFY FOR A LIMI TED LICENSE, AN APPLICANT MUST BE AN 28
740	740	INDIVIDUAL WHO MEETS : 29
741	741
742	742	(1) THE REQUIREMENTS OF THIS SECTION; AND 30 HOUSE BILL 80 17
743	743
744	744
745	745
746	746	(2) ANY OTHER QUALIFICAT ION REQUIRED BY REGULATION OF THE 1
747	747	BOARD. 2
748	748
749	749	(B) AN APPLICANT MUST BE AT LEAST 18 YEARS OLD. 3
750	750
751	751	(C) AN APPLICANT SHALL : 4
752	752
753	753	(1) COMPLETE A TRAINING PROGRAM APPROVED BY THE BOARD; AND 5
754	754
755	755	(2) PASS AN EXAMINATION APPROVED BY THE BOARD. 6
756	756
757	757	22–403. 7
758	758
759	759	AN APPLICANT FOR A LI MITED LICEN SE SHALL: 8
760	760
761	761	(1) SUBMIT TO THE BOARD AN APPLICATION ON THE FORM THAT THE 9
762	762	BOARD PROVIDES ; AND 10
763	763
764	764	(2) PAY TO THE BOARD AN APPLICATION FEE SET BY THE BOARD. 11
765	765
766	766	22–404. 12
767	767
768	768	(A) IF AN APPLICANT QUALI FIES FOR A LIMITED L ICENSE UNDER THIS 13
769	769	SUBTITLE, THE BOARD SHALL SEND THE APPLICANT A NOTICE THAT STATES T HAT: 14
770	770
771	771	(1) THE APPLICANT HAS QU ALIFIED FOR A LIMITE D LICENSE; AND 15
772	772
773	773	(2) ON RECEIPT OF THE LI MITED LICENSE FEE SE T BY THE BOARD, 16
774	774	THE BOARD WILL ISSUE A LIMITED LICE NSE IN THE NAME OF THE A PPLICANT. 17
775	775
776	776	(B) ON PAYMENT OF THE LIMITED LICENSE FEE, THE BOARD SHALL ISSUE 18
777	777	A LIMITED LICENSE IN THE NAME OF EACH APPLICANT WH O MEETS THE 19
778	778	REQUIREMENTS OF THIS SUBTITLE. 20
779	779
780	780	(C) THE BOARD SHALL DELIVER A LIMITED LICENSE ISSU ED BY THE BOARD 21
781	781	TO THE LICENSED COMM UNITY MANAGER WHO WI LL BE SUPERVISING THE 22
782	782	LICENSED ASSOCIATE C OMMUNITY MANAGER , AT THE ADDRESS OF TH E LICENSED 23
783	783	COMMUNITY MANAGER TH AT IS INDICATED IN T HE APPLICATION FOR A LIMITED 24
784	784	LICENSE. 25
785	785
786	786	22–405. 26
787	787
788	788	WHILE IN EFFECT , A LIMITED LICENSE AUTHORIZES THE LICEN SED 27
789	789	ASSOCIATE COMMUNITY MANAGER TO PROVIDE MANAGEMEN T SERVICES FOR A 28 18 HOUSE BILL 80
790	790
791	791
792	792	COMMON OWNERSHIP COM MUNITY ONLY WHILE UN DER THE GENERAL SUPE RVISION 1
793	793	OF A LICENSED COMMUN ITY MANAGER. 2
794	794
795	795	22–406. 3
796	796
797	797	(A) THE TERM OF A LIMITED LICENSE IS 2 YEARS. 4
798	798
799	799	(B) AT LEAST 2 MONTHS BEFORE A LIMI TED LICENSE EXPIRES, THE BOARD 5
800	800	SHALL SEND TO THE LI CENSED ASSOCIATE COM MUNITY MANAGER , AT THE LAST 6
801	801	KNOWN ADDRESS OF THE LICENSED ASSOCIATE C OMMUNITY MANAGER : 7
802	802
803	803	(1) A RENEWAL APPLICATIO N FORM; AND 8
804	804
805	805	(2) A NOTICE THAT STATES : 9
806	806
807	807	(I) THE DATE ON WHICH TH E CURRENT LIMITED LI CENSE 10
808	808	EXPIRES; 11
809	809
810	810	(II) THE DATE BY WHICH TH E BOARD MUST RECEIVE TH E 12
811	811	RENEWAL APPLICATION FOR THE RENEWAL TO B E ISSUED AND MAILED BEFORE THE 13
812	812	LIMITED LICENSE EXPIRES; AND 14
813	813
814	814	(III) THE AMOUNT OF THE RE NEWAL FEE. 15
815	815
816	816	(C) (1) THE BOARD SHALL RENEW THE LIMITED LICENSE OF A ND ISSUE 16
817	817	A RENEWAL CERTIFICAT E TO EACH LICENSED A SSOCIATE COMMUNITY M ANAGER 17
818	818	WHO MEETS THE REQUIR EMENTS OF THIS SECTI ON. 18
819	819
820	820	(2) THE BOARD SHALL INCLUDE O N EACH RENEWAL CERTI FICATE 19
821	821	THE DATE ON WHICH TH E CURRENT LIMITED LICEN SE EXPIRES. 20
822	822
823	823	22–407. 21
824	824
825	825	(A) THE BOARD SHALL REINSTATE THE LIMITED LICENSE OF AN 22
826	826	INDIVIDUAL WHO HAS F AILED TO RENEW THE L IMITED LICENSE IF THE INDIVIDUAL: 23
827	827
828	828	(1) APPLIES TO THE BOARD FOR REINSTATEME NT WITHIN 2 YEARS 24
829	829	AFTER THE LIMITED LI CENSE EXPIRES; 25
830	830
831	831	(2) MEETS THE RENEWAL RE QUIREMENTS OF § 22–406 OF THIS 26
832	832	SUBTITLE; AND 27
833	833
834	834	(3) PAYS TO THE BOARD A REINSTATEMENT FEE SET BY THE BOARD. 28
835	835	HOUSE BILL 80 19
836	836
837	837
838	838	(B) (1) IF AN INDIVIDUAL HAS FAILED TO RENEW A LI MITED LICENSE AND 1
839	839	THEN APPLIES TO THE BOARD FOR REINSTATE MENT MORE THAN 2 YEARS AFTER 2
840	840	THE LIMITED LICENSE HAS EXPIRED, THE BOARD: 3
841	841
842	842	(I) MAY REQUIRE THE INDI VIDUAL TO REAPPLY FO R A LIMITED 4
843	843	LICENSE IN THE SAME MANNER A S AN APPLICANT APPLI ES FOR AN ORIGINAL 5
844	844	LIMITED LICENSE UNDER THIS SUBTITLE ; OR 6
845	845
846	846	(II) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , MAY 7
847	847	REINSTATE THE LIMITE D LICENSE. 8
848	848
849	849	(2) THE BOARD MAY REINSTATE A LIMITED LICENSE UNDER 9
850	850	PARAGRAPH (1) OF THIS SUBSECTION O NLY IF THE INDIVIDUA L: 10
851	851
852	852	(I) MEETS THE RENEWAL RE QUIREMENTS OF § 22–406 OF THIS 11
853	853	SUBTITLE; 12
854	854
855	855	(II) IF REQUIRED BY THE BOARD, STATES REASONS WHY 13
856	856	REINSTATEMENT SHOULD BE GRANTED; AND 14
857	857
858	858	(III) PAYS TO THE BOARD A REINSTATEMENT FEE SET BY THE 15
859	859	BOARD. 16
860	860
861	861	22–408. 17
862	862
863	863	(A) SUBJECT TO THE HEARIN G PROVISIONS OF § 22–410 OF THIS SUBTITLE, 18
864	864	THE BOARD MAY DENY A L IMITED LICENSE TO AN Y APPLICANT, REPRIMAND ANY 19
865	865	LICENSED ASSOCIATE C OMMUNITY MANAGER , OR SUSPEND OR REVOKE A LIMITED 20
866	866	LICENSE IF THE APPLI CANT OR LICENSED ASS OCIATE COMMUNITY MAN AGER: 21
867	867
868	868	(1) FRAUDULENTLY OR DECE PTIVELY OBTAINS OR A TTEMPTS TO 22
869	869	OBTAIN A LIMITE D LICENSE FOR THE AP PLICANT OR LICENSED ASSOCIATE 23
870	870	COMMUNITY MANAGER OR FOR ANOTHER ; 24
871	871
872	872	(2) FRAUDULENTLY OR DECE PTIVELY USES A LIMIT ED LICENSE; 25
873	873
874	874	(3) UNDER THE LAWS OF TH E UNITED STATES OR OF ANY STAT E, IS 26
875	875	CONVICTED OF : 27
876	876
877	877	(I) A FELONY; OR 28
878	878
879	879	(II) A MISDEMEANOR THAT IS DIRECTLY RELATED TO THE 29
880	880	FITNESS AND QUALIFIC ATIONS OF THE APPLIC ANT OR LICENSED ASSO CIATE 30
881	881	COMMUNITY MANAGER TO PROVIDE MANAGEMENT S ERVICES; 31 20 HOUSE BILL 80
882	882
883	883
884	884
885	885	(4) ENGAGES IN CONDUCT T HAT DEMONSTRATES BAD FAITH, 1
886	886	INCOMPETENCY , OR UNTRUSTWORTHINESS OR THAT CONSTITUTES DIS HONEST, 2
887	887	FRAUDULENT , OR IMPROPER DEALINGS ; 3
888	888
889	889	(5) FAILS TO HANDLE THE FUNDS OF A COMMON OW NERSHIP 4
890	890	COMMUNITY IN ACCORDA NCE WITH THE PROVISI ONS OF THIS TITLE; 5
891	891
892	892	(6) FAILS TO ACCOUNT IN A TIMELY MANNER FOR ALL MONEY AND 6
893	893	PROPERTY RECEIVED O N BEHALF OF A COMMON OWNERSHIP COMMUNITY ; 7
894	894
895	895	(7) WILLFULLY FAILS TO D ISCLOSE TO A COMMON OWNERSHIP 8
896	896	COMMUNITY MATERIAL F ACTS THAT RELATE TO THE PROPERTY OF THE COMMON 9
897	897	OWNERSHIP COMMUNITY OR CONCERN MANAGEMEN T SERVICES OF WHICH THE 10
898	898	LICENSED ASSOCIATE COMMUNITY MANAGER HA S ACTUAL KNOWLEDGE ; 11
899	899
900	900	(8) IS GUILTY OF GROSS N EGLIGENCE, INCOMPETENCE THAT IS 12
901	901	PROVEN TO HAVE BEEN DETRIMENTAL TO A COM MON OWNERSHIP COMMUN ITY, OR 13
902	902	MISCONDUCT IN PROVID ING MANAGEMENT SERVI CES; 14
903	903
904	904	(9) HAS BEEN SANCTIONED IN ANOTHER STATE IN A MATTER 15
905	905	RELATING TO PROVIDIN G MANAGEMENT SERVICE S; 16
906	906
907	907	(10) VIOLATES ANY OTHER P ROVISION OF THIS TIT LE; OR 17
908	908
909	909	(11) VIOLATES ANY REGULAT ION ADOPTED BY THE BOARD UNDER 18
910	910	THIS TITLE. 19
911	911
912	912	(B) (1) INSTEAD OF OR IN ADDI TION TO REPRIMANDING THE LICENSED 20
913	913	ASSOCIATE COMMUNITY MANAGER OR SUSPENDING OR REV OKING A LIMITED 21
914	914	LICENSE UNDER THIS S ECTION, THE BOARD MAY IMPOSE A PE NALTY NOT 22
915	915	EXCEEDING $5,000 FOR EACH VIOLATION . 23
916	916
917	917	(2) TO DETERMINE THE AMOU NT OF THE PENALTY IM POSED UNDER 24
918	918	THIS SUBSECTION , THE BOARD SHALL CONSID ER: 25
919	919
920	920	(I) THE SERIOUSNESS OF T HE VIOLATION; 26
921	921
922	922	(II) THE HARM CAUSED BY T HE VIOLATION; 27
923	923
924	924	(III) THE GOOD FAITH OF TH E LICENSED ASSOCIATE COMMUNITY 28
925	925	MANAGER; AND 29
926	926	HOUSE BILL 80 21
927	927
928	928
929	929	(IV) ANY HISTORY OF PREVI OUS VIOLATIONS BY TH E LICENSED 1
930	930	ASSOCIATE COMMUNITY MANAGER. 2
931	931
932	932	(3) THE BOARD SHALL PAY ANY P ENALTY COLLECTED UND ER THIS 3
933	933	SUBSECTION INTO THE GENERAL FUND OF THE STATE. 4
934	934
935	935	(C) THE BOARD SHALL CONSIDER THE FOLLOWING FACTS IN THE 5
936	936	GRANTING, DENIAL, RENEWAL, SUSPENSION, OR REVOCATION OF A L IMITED 6
937	937	LICENSE OR THE REPRI MAND OF A LICENSED ASSOCI ATE COMMUNITY MANAGE R 7
938	938	WHEN AN APPLICANT OR A LICENSED ASSOCIATE COMMUNITY MANAGER IS 8
939	939	CONVICTED OF A FELON Y OR MISDEMEANOR DES CRIBED IN SUBSECTION (A)(3) OF 9
940	940	THIS SECTION: 10
941	941
942	942	(1) THE NATURE OF THE CR IME; 11
943	943
944	944	(2) THE RELATIONSHIP OF THE CRIME TO THE ACTIVIT IES 12
945	945	AUTHORIZED BY THE LI MITED LICENSE; 13
946	946
947	947	(3) WITH RESPECT TO A FE LONY, THE RELEVANCE OF THE 14
948	948	CONVICTION TO THE FI TNESS AND QUALIFICAT ION OF THE APPLICANT OR LICENSED 15
949	949	ASSOCIATE COMMUNITY MANAGER TO PROVIDE M ANAGEMENT SERVICES ; 16
950	950
951	951	(4) THE LENGTH OF TIME SINCE THE CONVICTION ; AND 17
952	952
953	953	(5) THE BEHAVIOR AND ACT IVITIES OF THE APPLI CANT OR LICENSED 18
954	954	ASSOCIATE COMMUNITY MANAGER BEFORE AND A FTER THE CONVICTION . 19
955	955
956	956	22–409. 20
957	957
958	958	ON ITS OWN INITIATIVE OR ON A WRITTEN COMP LAINT MADE TO THE BOARD 21
959	959	BY ANY PERSO N, THE BOARD MAY COMMENCE PR OCEEDINGS UNDER § 22–410 OF 22
960	960	THIS SUBTITLE. 23
961	961
962	962	22–410. 24
963	963
964	964	(A) EXCEPT AS OTHERWISE P ROVIDED IN § 10–226 OF THE STATE 25
965	965	GOVERNMENT ARTICLE, BEFORE THE BOARD TAKES ANY FINAL ACTION UNDER § 26
966	966	22–408 OF THIS SUBTITLE , THE BOARD SHALL GIVE TH E INDIVIDUAL AGAINST 27
967	967	WHOM THE ACTION IS C ONTEMPLATED AN OPPOR TUNITY FOR A HEARING BEFORE 28
968	968	THE BOARD. 29
969	969
970	970	(B) THE BOARD SHALL GIVE NOTI CE AND HOLD THE HEAR ING IN 30
971	971	ACCORDANCE WITH TITLE 10, SUBTITLE 2 OF THE STATE GOVERNMENT ARTICLE. 31
972	972	22 HOUSE BILL 80
973	973
974	974
975	975	(C) THE BOARD MAY ADMINIST ER OATHS IN CONNECTI ON WITH ANY 1
976	976	PROCEEDING UNDER THI S SECTION. 2
977	977
978	978	(D) (1) THE BOARD MAY ISSUE A SUB POENA FOR THE ATTEND ANCE OF A 3
979	979	WITNESS TO TESTIFY O R THE PRODUCTION OF EVIDENCE IN CONNECTI ON WITH ANY 4
980	980	PROCEEDING UNDER THI S SECTION. 5
981	981
982	982	(2) IF A PERSON FAILS TO COMPLY WITH A SUB POENA ISSUED UNDER 6
983	983	THIS SUBSECTION , ON PETITION OF THE BOARD, A CIRCUIT COURT MAY COMPEL 7
984	984	COMPLIANCE WITH THE SUBPOENA. 8
985	985
986	986	(E) IF, AFTER DUE NOTICE , THE INDIVIDUAL AGAIN ST WHOM THE ACTION I S 9
987	987	CONTEMPLATED FAILS O R REFUSES TO APPEAR , THE BOARD MAY HEAR AND 10
988	988	DETERMINE THE MATTER . 11
989	989
990	990	22–411. 12
991	991
992	992	ANY PERSON AGGRIEVED BY A FINAL DECISION OF THE BOARD IN A 13
993	993	CONTESTED CASE , AS DEFINED IN § 10–202 OF THE STATE GOVERNMENT ARTICLE, 14
994	994	IS ENTITLED TO JUDIC IAL REVIEW AS PROVID ED IN §§ 10–222 AND 10–223 OF THE 15
995	995	STATE GOVERNMENT ARTICLE. 16
996	996
997	997	22–412. 17
998	998
999	999	THE BOARD MAY REINSTATE , IN ACCORDANCE WITH T HE PROCEDURES OF 18
1000	1000	THE BOARD: 19
1001	1001
1002	1002	(1) A LIMITED LICENSE TH AT HAS BEEN REVOKED ; OR 20
1003	1003
1004	1004	(2) BEFORE FULFILLMENT O F THE CONDITIONS OF THE SUSPENSION , 21
1005	1005	ANY LIMITED LICENSE THAT HAS BEEN SUSPENDED . 22
1006	1006
1007	1007	SUBTITLE 5. REGISTRATION OF COMMON OWNERSHIP COMMUNITIES . 23
1008	1008
1009	1009	22–501. 24
1010	1010
1011	1011	(A) ON OR BEFORE JANUARY 1 EACH YEAR , A COMMON OWNERSHIP 25
1012	1012	COMMUNITY SHALL REGISTER WITH THE BOARD. 26
1013	1013
1014	1014	(B) IF A COMMON OWNERSHIP COMMUNITY CONTRACTS FOR MANAGEMENT 27
1015	1015	SERVICES, THE RESPONSIBLE MANAG ER SHALL BE RESPONSI BLE FOR THE 28
1016	1016	REGISTRATION OF THE COMMON OWNERSHIP COM MUNITY. 29
1017	1017
1018	1018	22–502. 30 HOUSE BILL 80 23
1019	1019
1020	1020
1021	1021
1022	1022	EACH COMMON OWNERSHIP COMMUNITY SHALL PROV IDE THE BOARD THE 1
1023	1023	FOLLOWING INFORMATIO N: 2
1024	1024
1025	1025	(1) THE NAME AND ADDRESS OF THE COMMON OWNERS HIP 3
1026	1026	COMMUNITY ; 4
1027	1027
1028	1028	(2) THE COUNTY IN WHICH THE COMMON OWNERSHIP COMMUNITY IS 5
1029	1029	LOCATED; 6
1030	1030
1031	1031	(3) THE NAME AND CONTACT INFORMATION OF EACH OFFICER AND 7
1032	1032	MEMBER OF THE BOARD OF DIRECTORS OR GOVE RNING BODY OF THE CO MMON 8
1033	1033	OWNERSHIP COMMUNITY ; 9
1034	1034
1035	1035	(4) THE NAME AND ADDRESS OF THE LICENSED COMMUNITY 10
1036	1036	MANAGER, IF ANY, FOR THE COMMON OWNER SHIP COMMUNITY ; AND 11
1037	1037
1038	1038	(5) ANY OTHER INFORMATIO N REQUIRED BY THE BOARD. 12
1039	1039
1040	1040	SUBTITLE 6. MISCELLANEOUS PROVISIONS. 13
1041	1041
1042	1042	22–601. 14
1043	1043
1044	1044	(A) IN THIS SECTION , “CONTRACTING PARTY ” MEANS A LICENSED 15
1045	1045	COMMUNITY MANAGER OR A PERSON UNDER THE D IRECTION OF A LICENS ED 16
1046	1046	COMMUNITY MANAGER TH AT CONTRACTS TO PROV IDE MANAGEMENT SERVI CES FOR 17
1047	1047	A COMMON OWNERSHIP C OMMUNITY. 18
1048	1048
1049	1049	(B) A CONTRACTING PARTY SHALL FILE WITH THE SECRETARY PROOF AS 19
1050	1050	REQUIRED BY THE BOARD OF A FIDELITY B OND OR THEFT INSURANCE, OR OTHER 20
1051	1051	COMPARABLE WRITTEN I NSURANCE AS REQUIRED BY THE BOARD, THAT COVERS: 21
1052	1052
1053	1053	(1) ANY PERSON THAT PROV IDES MANAGEMENT SERV ICES FOR A 22
1054	1054	COMMON OWNERSHIP COM MUNITY UNDER THE TER MS OF A CONTRACT ; AND 23
1055	1055
1056	1056	(2) ANY INDIVIDUAL WORKI NG UNDER THE DIRECTI ON OF A PERSON 24
1057	1057	DESCRIBED IN ITEM (1) OF THIS SUBSECTION . 25
1058	1058
1059	1059	(C) (1) A FIDELITY BOND OR INS URANCE FOR WHICH PRO OF IS FILED 26
1060	1060	UNDER THIS SECTION S HALL PROVIDE COVERAG E IN AN AMOUNT EQUAL TO THE 27
1061	1061	LESSER OF: 28
1062	1062
1063	1063	(I) $2,000,000; OR 29
1064	1064	24 HOUSE BILL 80
1065	1065
1066	1066
1067	1067	(II) THE HIGHEST AGGREGAT E AMOUNT OF THE OPERATIN G 1
1068	1068	AND RESERVE BALANCES OF ALL COMMON OWNERS HIP COMMUNITIES UNDE R 2
1069	1069	CONTRACT WITH THE CO NTRACTING PARTY IN THE PRIOR 3 MONTHS. 3
1070	1070
1071	1071	(2) THE TOTAL LIABILITY O F THE INSURANCE TO A LL INSURED 4
1072	1072	PERSONS UNDER A FIDE LITY BOND OR INSURAN CE MAY NOT EXCEED THE SUM OF 5
1073	1073	THE FIDELITY BOND OR INSURANCE. 6
1074	1074
1075	1075	(3) THE SECRETARY, OR THE SECRETARY’S DESIGNEE, SHALL BE 7
1076	1076	NAMED AS A CERTIFICA TE HOLDER FOR ANY FI DELITY BOND OR INSUR ANCE 8
1077	1077	REQUIRED UNDER THIS SECTION. 9
1078	1078
1079	1079	(D) IF THE FIDELITY BOND OR INSURANCE IS CANC ELED, FORFEITED, OR 10
1080	1080	TERMINATED , THE CONTRACTING PART Y IMMEDIATELY SHALL NO TIFY THE 11
1081	1081	SECRETARY. 12
1082	1082
1083	1083	(E) IF THE FIDELITY BOND OR INSURANCE IS CANC ELED, FORFEITED, OR 13
1084	1084	TERMINATED , OR THE CONTRACTING P ARTY FAILS TO NOTIFY THE SECRETARY OF 14
1085	1085	ANY CHANGE TO THE FI DELITY BOND OR INSURANCE , THE SECRETARY: 15
1086	1086
1087	1087	(1) SHALL SUSPEND ANY LI CENSE OF ANY INDIVID UAL PROVIDING 16
1088	1088	MANAGEMENT SERVICES COVERED BY THE FIDEL ITY BOND OR INSURANC E; AND 17
1089	1089
1090	1090	(2) MAY NOT REINSTATE A LICENSE UNTIL PROOF OF COMPLIANCE 18
1091	1091	WITH THIS SECTION IS PROVIDED TO THE SECRETARY. 19
1092	1092
1093	1093	22–602. 20
1094	1094
1095	1095	(A) A LICENSED COMMUNITY M ANAGER SHALL DEPOSIT ALL MO NEY 21
1096	1096	RECEIVED IN CONNECTI ON WITH THE PROVISIO N OF MANAGEMENT SERV ICES IN 22
1097	1097	ONE OR MORE OF THE F INANCIAL INSTITUTION ACCOUNTS OF A COMMON 23
1098	1098	OWNERSHIP COMMUNITY . 24
1099	1099
1100	1100	(B) A LICENSED COMMUNIT Y MANAGER WHO PROVIDES MANAGEM ENT 25
1101	1101	SERVICES FOR MORE TH AN ONE COMMON OWNERS HIP COMMUNITY SHALL 26
1102	1102	MAINTAIN SEPARATE FI NANCIAL INSTITUTION ACCOUNTS FOR EACH CO MMON 27
1103	1103	OWNERSHIP COMMUNITY . 28
1104	1104
1105	1105	(C) THE FUNDS IN EACH FIN ANCIAL INSTITUTION A CCOUNT OF A COMMON 29
1106	1106	OWNERSHIP COMMUNITY MAY NOT BE COMMINGLED WITH THE FUNDS OF THE 30
1107	1107	LICENSED COMMUNITY M ANAGER OR ANOTHER COMMON OW NERSHIP COMMUNITY . 31
1108	1108	HOUSE BILL 80 25
1109	1109
1110	1110
1111	1111	(D) THE MAINTENANCE OF FI NANCIAL INSTITUTION ACCOUNTS BY A 1
1112	1112	LICENSED COMMUNITY M ANAGER SHALL BE CUSTODIAL A ND PROVIDED IN THE 2
1113	1113	NAME OF THE COMMON OWNERSHIP COMMUNITY . 3
1114	1114
1115	1115	(E) THE RECORDS OF EACH FINANCIAL INSTITUTIO N ACCOUNT OF A 4
1116	1116	COMMON OWNERSHIP COM MUNITY SHALL BE ACCESSIBLE FOR REVIE W DIRECTLY 5
1117	1117	FROM THE FINANCIAL I NSTITUTION TO THE GO VERNING BODY OF THE COMMON 6
1118	1118	OWNERSHIP COMMUNITY . 7
1119	1119
1120	1120	(F) A LICENSED COMMUNITY M ANAGER WHO WILLFULLY VIOLAT ES ANY 8
1121	1121	PROVISION OF THIS SE CTION IS GUILTY OF A MISDEMEANOR AND ON C ONVICTION IS 9
1122	1122	SUBJECT TO A FINE NO T EXCEEDING $25,000 OR IMPRISONMENT NOT EXCEEDING 5 10
1123	1123	YEARS OR BOTH . 11
1124	1124
1125	1125	22–603. 12
1126	1126
1127	1127	IF A COMMON OWNERSHIP COMMUNITY CONTRACTS WITH A PERSON OTHER 13
1128	1128	THAN A LICENSED COMM UNITY MANAGER TO PRO VIDE MANAGEMENT SERV ICES, 14
1129	1129	THE CONTRACT SHALL R EQUIRE THAT ONLY A L ICENSED COMMUNITY MA NAGER 15
1130	1130	PROVIDE THE MANAGEME NT SERVICES FOR THE COMMON OWNERSHIP COMMUNITY . 16
1131	1131
1132	1132	SUBTITLE 7. PROHIBITED ACTS; PENALTIES. 17
1133	1133
1134	1134	22–701. 18
1135	1135
1136	1136	EXCEPT AS OTHERWISE P ROVIDED IN THIS TITL E, AN INDIVIDUAL MAY NO T 19
1137	1137	PROVIDE, ATTEMPT TO PROVIDE , OR OFFER TO PROVIDE MANAGEMENT SERVICES 20
1138	1138	FOR A COMMON OWNERSHIP C OMMUNITY IN THE STATE UNLESS ISSUED A LICENSE 21
1139	1139	OR A LIMITED LICENSE BY THE BOARD. 22
1140	1140
1141	1141	22–702. 23
1142	1142
1143	1143	UNLESS AUTHORIZED UND ER THIS TITLE TO PRO VIDE MANAGEMENT 24
1144	1144	SERVICES TO A COMMON OWNERSHIP COMMUNITY , A PERSON MAY NOT REP RESENT 25
1145	1145	TO THE PUBLIC BY USE OF A TITLE, INCLUDING “LICENSED COMMUNITY M ANAGER”, 26
1146	1146	“LICENSED ASSOCIATE C OMMUNITY MANAGER ”, OR “COMMON OWNERSHIP 27
1147	1147	COMMUNITY MANAGEMENT ”, BY USE OF AN ABBREVIATION , BY DESCRIPTION OF 28
1148	1148	SERVICES, METHODS, OR PROCEDURES , OR OTHERWISE THAT TH E PERSON IS 29
1149	1149	AUTHORIZED TO PROVID E MANAGEMENT SERVICE S FOR A COMMON OWNERSHIP 30
1150	1150	COMMUNITY IN THE STATE. 31
1151	1151
1152	1152	22–703. 32
1153	1153
1154	1154	AN INDIVIDUAL MAY NOT : 33 26 HOUSE BILL 80
1155	1155
1156	1156
1157	1157
1158	1158	(1) USE OR ATTEMPT TO US E THE LICENSE OR LIM ITED LICENSE OF 1
1159	1159	ANOTHER INDIVIDUAL ; OR 2
1160	1160
1161	1161	(2) IMPERSONATE ANOTHER INDIVIDUAL WHO HOLDS A LICENSE OR 3
1162	1162	A LIMITED LICENSE . 4
1163	1163
1164	1164	22–704. 5
1165	1165
1166	1166	AN INDIVIDUAL MAY NOT GIVE FALSE INFORMATI ON TO THE BOARD IN AN 6
1167	1167	ATTEMPT TO OBTAIN A LICENSE OR A LIMITED LICENSE. 7
1168	1168
1169	1169	22–705. 8
1170	1170
1171	1171	AN INDIVIDUAL WHOSE L ICENSE OR LIMITED LI CENSE HAS BEEN SUSPENDED 9
1172	1172	OR REVOKED UNDER THI S TITLE MAY NOT PROV IDE MANAGEMENT SERVI CES FOR A 10
1173	1173	COMMON OWNERSHIP COM MUNITY IN ANY MANNER AS: 11
1174	1174
1175	1175	(1) AN ASSOCIATE , AN AGENT, AN EMPLOYEE , OR ANY OTHER 12
1176	1176	SUBORDINATE OF A LIC ENSED COMMUNITY MANA GER; OR 13
1177	1177
1178	1178	(2) A PRINCIPAL, AN ASSOCIATE, AN AGENT, AN EMPLOYEE , OR ANY 14
1179	1179	OTHER SUBORDINATE OF A CORPORATION , PARTNERSHIP , OR LIMITED LIABILITY 15
1180	1180	COMPANY THAT PROVIDES MANA GEMENT SERVICES . 16
1181	1181
1182	1182	22–706. 17
1183	1183
1184	1184	(A) A PERSON THAT VIOLATES ANY PROVISION OF THI S TITLE IS GUILTY OF 18
1185	1185	A MISDEMEANOR AND ON CONVICTION IS SUBJEC T TO A FINE NOT EXCE EDING 19
1186	1186	$5,000 OR IMPRISONMENT NOT EXCEEDING 3 YEARS OR BOTH . 20
1187	1187
1188	1188	(B) (1) THE BOARD MAY IMPOSE ON A PERS ON THAT VIOLATES ANY 21
1189	1189	PROVISION OF THIS TI TLE A PENALTY NOT EX CEEDING $5,000 FOR EACH VIOLATION . 22
1190	1190
1191	1191	(2) IN SETTING THE AMOUNT OF THE PENALTY , THE BOARD SHALL 23
1192	1192	CONSIDER: 24
1193	1193
1194	1194	(I) THE SERIOUSNESS OF T HE VIOLATION; 25
1195	1195
1196	1196	(II) THE HARM CAUSED BY THE VIOLATION ; 26
1197	1197
1198	1198	(III) THE GOOD FAITH OF TH E VIOLATOR; 27
1199	1199
1200	1200	(IV) ANY HISTORY OF PREVI OUS VIOLATIONS BY TH E VIOLATOR; 28
1201	1201	AND 29 HOUSE BILL 80 27
1202	1202
1203	1203
1204	1204
1205	1205	(V) ANY OTHER RELEVANT F ACTORS. 1
1206	1206
1207	1207	(C) THE BOARD SHALL PAY ANY P ENALTY COLLECTED UND ER THIS 2
1208	1208	SECTION INTO THE GENERAL FUND OF THE STATE. 3
1209	1209
1210	1210	SUBTITLE 8. SHORT TITLE; TERMINATION OF TITLE. 4
1211	1211
1212	1212	22–801. 5
1213	1213
1214	1214	THIS TITLE MAY BE CIT ED AS THE MARYLAND COMMON OWNERSHIP 6
1215	1215	COMMUNITY MANAGERS ACT. 7
1216	1216
1217	1217	22–802. 8
1218	1218
1219	1219	SUBJECT TO THE EVALUA TION AND REESTABLISH MENT PROVISIONS OF T HE 9
1220	1220	MARYLAND PROGRAM EVALUATION ACT, THIS TITLE AND ALL REGULATIONS 10
1221	1221	ADOPTED UNDER THIS T ITLE SHALL TERMINATE AND BE OF NO EFFECT AFTER JULY 11
1222	1222	1, 2030. 12
1223	1223
1224	1224	Article – Business Regulation 13
1225	1225
1226	1226	2–106.15. 14
1227	1227
1228	1228	(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 15
1229	1229	INDICATED. 16
1230	1230
1231	1231	(2) “BOARD” MEANS THE STATE BOARD OF COMMON OWNERSHIP 17
1232	1232	COMMUNITY MANAGERS. 18
1233	1233
1234	1234	(3) “FUND” MEANS THE STATE BOARD OF COMMON OWNERSHIP 19
1235	1235	COMMUNITY MANAGERS FUND. 20
1236	1236
1237	1237	(B) THERE IS A STATE BOARD OF COMMON OWNERSHIP COMMUNITY 21
1238	1238	MANAGERS FUND IN THE DEPARTMENT . 22
1239	1239
1240	1240	(C) THE PURPOSE OF THE FUND IS TO COVER THE AC TUAL DOCUMENTED 23
1241	1241	DIRECT AND INDIRECT COSTS OF FULFILLING THE STATUTORY AND RE GULATORY 24
1242	1242	DUTIES OF THE BOARD. 25
1243	1243
1244	1244	(D) THE SECRETARY OR THE SECRETARY’S DESIGNEE SHALL ADM INISTER 26
1245	1245	THE FUND. 27
1246	1246
1247	1247	(E) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 28
1248	1248	SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 29 28 HOUSE BILL 80
1249	1249
1250	1250
1251	1251
1252	1252	(2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , 1
1253	1253	AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 2
1254	1254
1255	1255	(F) THE FUND CONSISTS OF : 3
1256	1256
1257	1257	(1) FEES COLLECTED BY TH E BOARD AND DISTRIBUTED TO THE 4
1258	1258	FUND UNDER § 22–207 OF THE BUSINESS OCCUPATIONS AND PROFESSIONS 5
1259	1259	ARTICLE; 6
1260	1260
1261	1261	(2) INTEREST EARNINGS OF THE FUND; 7
1262	1262
1263	1263	(3) MONEY APPROPRIATED I N THE STATE BUDGET TO THE FUND; AND 8
1264	1264
1265	1265	(4) ANY OTHER MONEY FROM ANY OTHER SOURCE ACC EPTED FOR 9
1266	1266	THE BENEFIT OF THE FUND. 10
1267	1267
1268	1268	(G) THE FUND MAY BE USED ONLY TO COVER THE ACTUAL DOCUMENTED 11
1269	1269	DIRECT AND INDIRECT COSTS OF FULFILLING THE STATUTORY AND RE GULATORY 12
1270	1270	DUTIES OF THE BOARD. 13
1271	1271
1272	1272	(H) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND 14
1273	1273	IN THE SAME MANNER AS OTHER STATE MONEY MAY BE IN VESTED. 15
1274	1274
1275	1275	(2) ANY INTEREST EARNINGS OF THE FUND SHALL BE CREDITE D TO 16
1276	1276	THE FUND. 17
1277	1277
1278	1278	(I) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN ACCORDANCE 18
1279	1279	WITH THE STATE BUDGET . 19
1280	1280
1281	1281	(J) THE LEGISLATIVE AUDITOR SHALL AUDIT T HE ACCOUNTS AND 20
1282	1282	TRANSACTIONS OF THE FUND, AS PROVIDED IN § 2–1220 OF THE STATE 21
1283	1283	GOVERNMENT ARTICLE. 22
1284	1284
1285	1285	2–106.16. 23
1286	1286
1287	1287	(A) IN THIS SECTION , “BOARD” MEANS THE STATE BOARD OF COMMON 24
1288	1288	OWNERSHIP COMMUNITY MANAGERS. 25
1289	1289
1290	1290	(B) IN CONSULTATION WITH THE BOARD, THE SECRETARY SHALL 26
1291	1291	CALCULATE ANNUALLY THE DIRECT AND INDIRECT COSTS A TTRIBUTABLE TO THE 27
1292	1292	BOARD. 28
1293	1293	HOUSE BILL 80 29
1294	1294
1295	1295
1296	1296	(C) THE BOARD SHALL ESTABLISH FEES BASED ON THE CA LCULATIONS 1
1297	1297	PROVIDED BY THE SECRETARY UNDER THIS SECTION. 2
1298	1298
1299	1299	(D) EACH FEE ESTABLISHED BY THE BOARD MAY NOT BE INCR EASED 3
1300	1300	ANNUALLY BY MORE THA N 12.5% OF THE EXISTING AND CORRESPONDING FEE OF 4
1301	1301	THE BOARD. 5
1302	1302
1303	1303	2–108. 6
1304	1304
1305	1305	(a) The following units are in the Department: 7
1306	1306
1307	1307	(34) THE STATE BOARD OF COMMON OWNERSHIP COMMUNITY 8
1308	1308	MANAGERS. 9
1309	1309
1310	1310	Article – Corporations and Associations 10
1311	1311
1312	1312	5–6B–12.1. 11
1313	1313
1314	1314	A COOPERATIVE HOUSING CORPORATION SHALL REGISTER ANNUA LLY WITH 12
1315	1315	THE STATE BOARD OF COMMON OWNERSHIP COMMUNITY MANAGERS IN THE 13
1316	1316	MARYLAND DEPARTMENT OF LABOR AS REQUIRED UND ER TITLE 22, SUBTITLE 5 14
1317	1317	OF THE BUSINESS OCCUPATIONS AND PROFESSIONS ARTICLE. 15
1318	1318
1319	1319	Article – Real Property 16
1320	1320
1321	1321	11–130.1. 17
1322	1322
1323	1323	A CONDOMINIUM THAT IS USED FOR RESIDENTIAL PURPOSES SHALL 18
1324	1324	REGISTER ANNUALLY WI TH THE STATE BOARD OF COMMON OWNERSHIP 19
1325	1325	COMMUNITY MANAGERS IN THE MARYLAND DEPARTMENT OF LABOR AS REQUIRED 20
1326	1326	UNDER TITLE 22, SUBTITLE 5 OF THE BUSINESS OCCUPATIONS AND PROFESSIONS 21
1327	1327	ARTICLE. 22
1328	1328
1329	1329	11B–115.2. 23
1330	1330
1331	1331	A HOMEOWNERS ASSOCIATI ON SHALL REGISTER AN NUALLY WITH THE STATE 24
1332	1332	BOARD OF COMMON OWNERSHIP COMMUNITY MANAGERS IN THE MARYLAND 25
1333	1333	DEPARTMENT OF LABOR AS REQUIRED UND ER TITLE 22, SUBTITLE 5 OF THE 26
1334	1334	BUSINESS OCCUPATIONS AND PROFESSIONS ARTICLE. 27
1335	1335
1336	1336	Article – State Finance and Procurement 28
1337	1337
1338	1338	6–226. 29
1339	1339	30 HOUSE BILL 80
1340	1340
1341	1341
1342	1342	(a) (2) (i) Notwithstanding any other provision of law, and unless 1
1343	1343	inconsistent with a federal law, grant agreement, or other federal requirement or with the 2
1344	1344	terms of a gift or settlement agreement, net interest on all State money allocated by the 3
1345	1345	State Treasurer under this section to special funds or accounts, and otherwise entitled to 4
1346	1346	receive interest earnings, as accounted for by the Comptroller, shall accrue to the General 5
1347	1347	Fund of the State. 6
1348	1348
1349	1349	(ii) The provisions of subparagraph (i) of this paragraph do not apply 7
1350	1350	to the following funds: 8
1351	1351
1352	1352	170. the Cannabis Public Health Fund; [and] 9
1353	1353
1354	1354	171. the Community Reinvestment and Repair Fund; AND 10
1355	1355
1356	1356	172. THE STATE BOARD OF COMMON OWNERSHIP 11
1357	1357	COMMUNITY MANAGERS FUND. 12
1358	1358
1359	1359	Article – State Government 13
1360	1360
1361	1361	8–403. 14
1362	1362
1363	1363	This subtitle applies only to the following governmental activities and units: 15
1364	1364
1365	1365	(13) COMMON OWNERSHIP COMMUNITY MANAGERS, STATE BOARD 16
1366	1366	OF (§ 22–201 OF THE BUSINESS OCCUPATIONS AND PROFESSIONS ARTICLE); 17
1367	1367
1368	1368	SECTION 3. AND BE IT FURTHER ENACTED, That the terms of the initial 18
1369	1369	members of the State Board of Common Ownership Community Managers shall expire as 19
1370	1370	follows: 20
1371	1371
1372	1372	(1) three members in 2026; 21
1373	1373
1374	1374	(2) three members in 2027; and 22
1375	1375
1376	1376	(3) three members in 2028. 23
1377	1377
1378	1378	SECTION 4. AND BE IT FURTHER ENACTED, That the State Board of Common 24
1379	1379	Ownership Community Managers, when adopting regulations concerning the training and 25
1380	1380	examination requirements for an applicant for a license or a limited license under this Act, 26
1381	1381	may take into consideration the following training and examination standards: 27
1382	1382
1383	1383	(1) for a limited license: 28
1384	1384
1385	1385	(i) courses that include topics such as: 29
1386	1386	HOUSE BILL 80 31
1387	1387
1388	1388
1389	1389	1. the responsibilities of managers and members of 1
1390	1390	community governing bodies; 2
1391	1391
1392	1392	2. management ethics; 3
1393	1393
1394	1394	3. community rules; 4
1395	1395
1396	1396	4. community meetings and other communications; 5
1397	1397
1398	1398	5. assessments collections; 6
1399	1399
1400	1400	6. financial management; 7
1401	1401
1402	1402	7. risk management; 8
1403	1403
1404	1404	8. facilities management; and 9
1405	1405
1406	1406	9. personnel management; and 10
1407	1407
1408	1408	(ii) examinations that may be in a classroom or online; and 11
1409	1409
1410	1410	(2) for a license: 12
1411	1411
1412	1412	(i) courses that include topics such as: 13
1413	1413
1414	1414	1. high–rise maintenance and management; 14
1415	1415
1416	1416	2. advanced insurance and risk management; 15
1417	1417
1418	1418	3. management of large–scale communities; 16
1419	1419
1420	1420	4. legal considerations in community management; and 17
1421	1421
1422	1422	5. contemporary issues in community management; and 18
1423	1423
1424	1424	(ii) examinations that include a case study of an existing common 19
1425	1425	ownership community. 20
1426	1426
1427	1427	SECTION 5. AND BE IT FURTHER ENACTED, That: 21
1428	1428
1429	1429	(a) Until the time that the State Board of Common Ownership Community 22
1430	1430	Managers adopts regulations concerning the training and examination requirements for an 23
1431	1431	applicant for a license or a limited license under this Act, passing an examination that 24
1432	1432	meets the requirements listed in subsection (b) of this section shall be deemed adequate for 25
1433	1433	satisfying the requirements of § 22–302(c) or § 22–402(c) of the Business Occupations and 26
1434	1434	Professions Article, as enacted by Section 2 of this Act. 27
1435	1435	32 HOUSE BILL 80
1436	1436
1437	1437
1438	1438	(b) The examination specified under subsection (a) of this section shall be: 1
1439	1439
1440	1440	(1) a nationally prepared and administered standardized examination for 2
1441	1441	the community association management profession; and 3
1442	1442
1443	1443	(2) developed according to the basic principles of professional testing 4
1444	1444	standards that utilize psychometric measurement. 5
1445	1445
1446	1446	SECTION 6. AND BE IT FURTHER ENACTED, That the State Board of Common 6
1447	1447	Ownership Community Managers shall grant a waiver of the training and examination 7
1448	1448	requirements for a license issued under § 22–304 or a limited license issued under § 8
1449	1449	22–404 of the Business Occupations and Professions Article, as enacted by Section 2 of this 9
1450	1450	Act, to any applicant who presents to the Board not later than October 1, 2025, satisfactory 10
1451	1451	evidence that the applicant provided management services in the State for the 2 years 11
1452	1452	immediately before the date of application. 12
1453	1453
1454	1454	SECTION 7. AND BE IT FURTHER ENACTED, That, on or before December 1, 13
1455	1455	2023, the Maryland Department of Labor shall report to the General Assembly, in 14
1456	1456	accordance with § 2–1257 of the State Government Article, on the imposition of a 15
1457	1457	registration fee on common ownership communities, including the necessity for and amount 16
1458	1458	of a registration fee on common ownership communities in relation to the license fees and 17
1459	1459	limited license fees required under this Act and the size of a common ownership community 18
1460	1460	to which a registration fee would apply. 19
1461	1461
1462	1462	SECTION 8. AND BE IT FURTHER ENACTED, That the Department of Budget 20
1463	1463	and Management, by budget amendment, may advance sufficient funds to the State Board 21
1464	1464	of Common Ownership Community Managers to allow the Board to commence operations 22
1465	1465	on October 1, 2023, so that the functions of issuing licenses and limited licenses and 23
1466	1466	registering common ownership communities can be in place before October 1, 2024. The 24
1467	1467	Board shall reimburse any funds that have been advanced after the license fees and limited 25
1468	1468	license fees have been received and deposited into the State Board of Common Ownership 26
1469	1469	Community Managers Fund. 27
1470	1470
1471	1471	SECTION 9. AND BE IT FURTHER ENACTED, That this Act shall take effect 28
1472	1472	October 1, 2023. 29
1473	1473