EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*sb0506*
SENATE BILL 506
L3 3lr2874
CF HB 825
By: Senator Muse
Introduced and read first time: February 3, 2023
Assigned to: Finance
Committee Report: Favorable
Senate action: Adopted
Read second time: March 9, 2023
CHAPTER ______
AN ACT concerning 1
Town of Forest Heights (Prince George’s County) – Urban Renewal Authority 2
for Blight Clearance 3
FOR the purpose of granting the Town of Forest Heights in Prince George’s County the 4
authority to exercise urban renewal powers in areas zoned for commercial use for 5
blight clearance and redevelopment under Article III, Section 61 of the Maryland 6
Constitution; authorizing the municipality to levy certain taxes and issue general 7
obligation bonds and revenue bonds to carry out urban renewal powers; and 8
generally relating to urban renewal authority for blight clearance for the Town of 9
Forest Heights in Prince George’s County. 10
BY adding to 11
Chapter 33 – Charter of the Town of Forest Heights 12
Section A1–101 through A1–114 to be under the new heading “Appendix I – Urban 13
Renewal Authority for Blight Clearance” 14
Public Local Laws of Maryland – Compilation of Municipal Charters 15
(2015 Replacement Edition and 2021 Supplement) 16
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 17
That the Laws of Maryland read as follows: 18
Chapter 33 – Charter of the Town of Forest Heights 19
APPENDIX I – URBAN RENEWAL AUTHORITY FOR BLIGHT CLEARANCE 20
2 SENATE BILL 506
A1–101. DEFINITIONS. 1
(A) IN THIS APPENDIX THE FO LLOWING WORDS HAVE T HE MEANINGS 2
INDICATED. 3
(B) “BLIGHTED AREA ” MEANS AN AREA OR SIN GLE PROPERTY IN WHIC H 4
THE BUILDING OR BUIL DINGS HAVE DECLINED IN PRODUCTIVITY BY R EASON OF 5
OBSOLESCENCE , DEPRECIATION , OR OTHER CAUSES TO A N EXTENT THA T THEY NO 6
LONGER JUSTIFY FUNDA MENTAL REPAIRS AND A DEQUATE MAINTENANCE . 7
(C) “BONDS” MEANS ANY BONDS (INCLUDING REFUNDING BONDS), NOTES, 8
INTERIM CERTIFICATES , CERTIFICATES OF INDE BTEDNESS, DEBENTURES , OR 9
OTHER OBLIGATIONS . 10
(D) “FEDERAL GOVERNMENT ” MEANS THE UNITED STATES OF AMERICA OR 11
ANY AGENCY OR INSTRU MENTALITY, CORPORATE OR OTHERWI SE, OF THE UNITED 12
STATES OF AMERICA. 13
(E) “MUNICIPALITY” MEANS THE TOWN OF FOREST HEIGHTS, MARYLAND. 14
(F) “PERSON” MEANS ANY INDIVIDUAL , FIRM, PARTNERSHIP , 15
CORPORATION , COMPANY, ASSOCIATION, JOINT STOCK ASSOCIAT ION, OR BODY 16
POLITIC. IT INCLUDES ANY TRUST EE, RECEIVER, ASSIGNEE, OR OTHER PERSON 17
ACTING IN SIMILAR RE PRESENTATIVE CAPACIT Y. 18
(G) “URBAN RENEWAL AREA ” MEANS A BLIGHTED ARE A WHICH THE 19
MUNICIPALITY DESIGNA TES AS APPROPRIATE FOR AN URBAN RENEWAL PROJECT . 20
(H) “URBAN RENEWAL PLAN ” MEANS A PLAN , AS IT EXISTS FROM TI ME TO 21
TIME, FOR AN URBAN RENEWAL PROJECT. THE PLAN SHALL BE SUF FICIENTLY 22
COMPLETE TO INDICATE ANY LAND ACQUISITION , DEMOLITION, AND REMOVAL OF 23
STRUCTURES , REDEVELOPMENT , IMPROVEMENTS , AND REHABILITATION A S MAY BE 24
PROPOSED TO BE CARRI ED OUT IN THE URBAN RENEWAL AREA , ZONING AND 25
PLANNING CHANGES , IF ANY, LAND USES, MAXIMUM DENSITY , AND BUILDING 26
REQUIREMENTS . 27
(I) “URBAN RENEWAL PROJECT ” MEANS UNDERTAKINGS A ND ACTIVITIES 28
OF A MUNICIPALITY IN AN URBAN RENEWAL ARE A FOR THE ELIMINATIO N AND FOR 29
THE PREVENTION OF TH E DEVELOPMENT OR SPR EAD OF BLIGHT, AND MAY INVOLVE 30
CLEARANCE AND REDEVE LOPMENT IN AN URBAN RENEWAL AREA , OR 31
REHABILITATION OR CO NSERVATION IN AN URB AN RENEWAL AREA , OR ANY 32
COMBINATION OR PART OF THEM IN ACCORDANC E WITH AN URBAN RENE WAL PLAN. 33
THESE UNDERTAKINGS AN D ACTIVITIES MAY INC LUDE: 34 SENATE BILL 506 3
(1) ACQUISITION OF A BLIG HTED AREA OR PORTION OF THE 1
BLIGHTED AREA ; 2
(2) DEMOLITION AND REMOVA L OF BUILDINGS AND I MPROVEMENTS ; 3
(3) INSTALLATION , CONSTRUCTION OR RECO NSTRUCTION OF 4
STREETS, UTILITIES, PARKS, PLAYGROUNDS , AND OTHER IMPROVEMEN TS 5
NECESSARY FOR CARRYI NG OUT THE URBAN REN EWAL OBJECTIVES OF T HIS 6
APPENDIX IN ACCORDAN CE WITH THE URBAN RE NEWAL PLAN; 7
(4) DISPOSITION OF ANY PROP ERTY ACQUIRED IN THE URBAN 8
RENEWAL AREA , INCLUDING SALE , INITIAL LEASING , OR RETENTION BY THE 9
MUNICIPALITY ITSELF , AT ITS FAIR VALUE FO R USES IN ACCORDANCE WITH THE 10
URBAN RENEWAL PLAN ; 11
(5) CARRYING OUT PLANS FO R A PROGRAM OF VOLUN TARY OR 12
COMPULSORY REPAIR AN D REHABILITATION OF BUILDINGS OR OTHER 13
IMPROVEMENTS IN ACCO RDANCE WITH THE URBA N RENEWAL PLAN ; 14
(6) ACQUISITION OF ANY OT HER REAL PROPERTY IN THE URBAN 15
RENEWAL AREA WHERE N ECESSARY TO ELIMINAT E UNHEALTHFUL , UNSANITARY, 16
OR UNSAFE CONDITIONS, LESSEN DENSITY , ELIMINATE OBSOLETE O R OTHER USES 17
DETRIMENTAL TO THE P UBLIC WELFARE , OR OTHERWISE TO REMO VE OR PREVENT 18
THE SPREAD OF BLIGHT OR DETERIORATION , OR TO PROVIDE LAND F OR NEEDED 19
PUBLIC FACILITIES ; AND 20
(7) THE PRESERVATION , IMPROVEME NT, OR EMBELLISHMENT OF 21
HISTORIC STRUCTURES OR MONUMENTS . 22
A1–102. POWERS. 23
(A) THE MUNICIPALITY MAY UNDERTAKE AND CARRY OUT URBAN RENEWAL 24
PROJECTS IN AREAS OF THE MUNICIPALITY THA T ARE ZONED FOR COMM ERCIAL 25
USE. 26
(B) THESE PROJECTS SHALL BE LIMITED: 27
(1) TO BLIGHT CLEARANCE I N BLIGHTED AREAS AND 28
REDEVELOPMENT OR THE REHABILITATION OF BL IGHTED AREAS ; 29
(2) TO ACQUIRE IN CONNECT ION WITH THOSE PROJE CTS, WITHIN 30
THE CORPORATE LIMITS OF THE MUNICIPALITY , LAND AND PROPERTY OF EVERY 31 4 SENATE BILL 506
KIND AND ANY RIGHT , INTEREST, FRANCHISE, EASEMENT, OR PRIVILEGE , 1
INCLUDING LAND OR PR OPERTY AND ANY RIGHT OR INTEREST ALREADY DEVOTED 2
TO PUBLIC USE, BY PURCHASE, LEASE, GIFT, CONDEMNATION , OR ANY OTHER LEGAL 3
MEANS; AND 4
(3) TO SELL, LEASE, CONVEY, TRANSFER, OR OTHERWISE DISPOSE OF 5
ANY OF THE LAND OR P ROPERTY, REGARDLESS OF WHETHE R OR NOT IT HAS BEEN 6
DEVELOPED , REDEVELOPED , ALTERED, OR IMPROVED AND IRRE SPECTIVE OF THE 7
MANNER OR MEANS IN O R BY WHICH IT MAY HA VE BEEN ACQUIRED , TO ANY PRIVATE, 8
PUBLIC, OR QUASI–PUBLIC CORPORATION , PARTNERSHIP, ASSOCIATION, PERSON, 9
OR OTHER LEGAL ENTIT Y. 10
(C) LAND OR PROPERTY TAKE N BY THE MUNICIPALIT Y FOR ANY OF THESE 11
PURPOSES OR IN CONNE CTION WITH THE EXERC ISE OF ANY OF THE PO WERS WHICH 12
ARE GRANTED BY THIS APPENDIX TO THE MUNI CIPALITY BY EXERCISI NG THE 13
POWER OF EMINENT DOM AIN MAY NOT BE TAKEN WITHOUT JUST COMPENS ATION, 14
AS AGREED ON BETWEEN THE PARTIES, OR AWARDED BY A JURY , BEING FIRST PAID 15
OR TENDERED TO THE P ARTY ENTITLED TO THE COMPENSATION . 16
(D) ALL LAND OR PROPERTY NEEDED OR TAKEN BY T HE EXERCISE OF THE 17
POWER OF EMINENT DOM AIN BY THE MUNICIPAL ITY FOR ANY OF THESE PURPOSES 18
OR IN CONNECTION WIT H THE EXERCISE OF AN Y OF THE POWERS GRAN TED BY THIS 19
APPENDIX IS DECLARED TO BE NEEDED OR TAKE N FOR PUBLIC USES AN D 20
PURPOSES. 21
(E) ANY OR ALL OF THE ACT IVITIES AUTHORIZED PURSUANT TO THIS 22
APPENDIX CONSTITUTE GOVERNMENTAL FUNCTIO NS UNDERTAKEN FOR PU BLIC 23
USES AND PURPOSES AN D THE POWER OF TAXAT ION MAY BE EXERCISED , PUBLIC 24
FUNDS EXPENDED , AND PUBLIC CREDIT EX TENDED IN FURTHERANC E OF THEM. 25
A1–103. ADDITIONAL POWERS . 26
THE MUNICIPALITY HAS THE FOLLOWING ADDITI ONAL POWERS . THESE 27
POWERS ARE DECLARED TO BE NECESSARY AND PROPER TO CARRY INTO FULL 28
FORCE AND EFFECT THE SPECIFIC POWERS GRAN TED IN THIS APPENDIX AND TO 29
FULLY ACCOMPLISH THE PURPOSES AND OBJECTS CONTEMPLATED BY THE 30
PROVISIONS OF THIS S ECTION: 31
(1) TO MAKE OR HAVE MADE ALL SURVEYS AND PLAN S NECESSARY TO 32
THE CARRYING OUT OF THE PURPOSES OF THIS APPENDIX AND TO ADOP T OR 33
APPROVE, MODIFY, AND AMEND THOSE PLAN S. THESE PLANS MAY INCLU DE, BUT 34
ARE NOT LIMITED TO : 35
SENATE BILL 506 5
(I) PLANS FOR CARRYING OU T A PROGRAM OF VOLUN TARY OR 1
COMPULSORY REPAIR AN D REHABILITATION OF BUILDINGS AND IMPROV EMENTS; 2
(II) PLANS FOR THE ENFORCE MENT OF CODES AND 3
REGULATIONS RELATING TO THE USE OF LAND A ND THE USE AND OCCUP ANCY OF 4
BUILDINGS AND IMPROVEMENTS AND TO THE COMPULSORY REPAI R, 5
REHABILITATION , DEMOLITION, OR REMOVAL OF BUILDI NGS AND IMPROVEMENTS ; 6
AND 7
(III) APPRAISALS, TITLE SEARCHES , SURVEYS, STUDIES, AND 8
OTHER PLANS AND WORK NECESSARY TO PREPARE FOR THE UNDERTAKING OF 9
URBAN RENEWAL PROJECTS AND RELATED ACTIVITIES, AND TO APPLY FOR , 10
ACCEPT, AND UTILIZE GRANTS O F FUNDS FROM THE FED ERAL GOVERNMENT OR A NY 11
OTHER GOVERNMENTAL E NTITY FOR THOSE PURP OSES; 12
(2) TO PREPARE PLANS FOR THE RELOCATION OF PE RSONS 13
(INCLUDING FAMILIES , BUSINESS CONC ERNS, AND OTHERS ) DISPLACED FROM AN 14
URBAN RENEWAL AREA , AND TO MAKE RELOCATI ON PAYMENTS TO OR WI TH 15
RESPECT TO THOSE PER SONS FOR MOVING EXPE NSES AND LOSSES OF P ROPERTY 16
FOR WHICH REIMBURSEM ENT OR COMPENSATION IS NOT OTHERWISE MAD E, 17
INCLUDING THE MAKING OF PAYMENTS FINANCED BY T HE FEDERAL GOVERNMEN T; 18
(3) TO APPROPRIATE WHATEV ER FUNDS AND MAKE WH ATEVER 19
EXPENDITURES AS MAY BE NECESSARY TO CARR Y OUT THE PURPOSES O F THIS 20
APPENDIX, INCLUDING, BUT NOT LIMITED : 21
(I) TO THE PAYMENT OF ANY AND ALL COSTS AND EX PENSES 22
INCURRED IN CONNECTI ON WITH, OR INCIDENTAL TO , THE ACQUISITION OF L AND 23
OR PROPERTY , AND FOR THE DEMOLITI ON, REMOVAL, RELOCATION , RENOVATION , 24
OR ALTERATION OF LAN D, BUILDINGS, STREETS, HIGHWAYS, ALLEYS, UTILITIES, OR 25
SERVICES, AND OTHER STRUCTURES OR IMPROVEMENTS , AND FOR THE 26
CONSTRUCTION , RECONSTRUCTION , INSTALLATION, RELOCATION, OR REPAIR OF 27
STREETS, HIGHWAYS, ALLEYS, UTILITIES, OR SERVICES, IN CONNECTION WITH 28
URBAN RENEWAL PROJEC TS; 29
(II) TO LEVY TAXES AND ASS ESSMENTS FOR THOSE P URPOSES; 30
(III) TO BORROW MONEY AND T O APPLY FOR AND ACCE PT 31
ADVANCES, LOANS, GRANTS, CONTRIBUTIONS , AND ANY OTHER FORM O F FINANCIAL 32
ASSISTANCE FROM THE FEDERAL GOVERNMENT , THE STATE, COUNTY, OR OTHER 33
PUBLIC BODIES, OR FROM ANY SOURCES , PUBLIC OR PRIVATE , FOR THE PURPOSES 34
OF THIS APPENDIX , AND TO GIVE WHATEVER SECURITY AS MAY BE R EQUIRED FOR 35
THIS FINANCIAL ASSIS TANCE; AND 36 6 SENATE BILL 506
(IV) TO INVEST ANY URBAN R ENEWAL FUNDS HELD IN RESERVES 1
OR SINKING FUNDS OR ANY OF THESE FUNDS N OT REQUIRED FOR IMME DIATE 2
DISBURSEMENT IN PROP ERTY OR SECURITIES WHICH ARE LEGAL INVESTMENTS FO R 3
OTHER MUNICIPAL FUND S; 4
(4) (I) TO HOLD , IMPROVE, CLEAR, OR PREPARE FOR 5
REDEVELOPMENT ANY PR OPERTY ACQUIRED IN C ONNECTION WITH URBAN 6
RENEWAL PROJECTS ; 7
(II) TO MORTGAGE , PLEDGE, HYPOTHECATE , OR OTHERWISE 8
ENCUMBER THAT PROPERTY ; AND 9
(III) TO INSURE OR PROVIDE FOR THE INSURANCE OF THE 10
PROPERTY OR OPERATIO NS OF THE MUNICIPALI TY AGAINST ANY RISKS OR 11
HAZARDS, INCLUDING THE POWER TO PAY PREMIUMS ON A NY INSURANCE ; 12
(5) TO MAKE AND EXECUTE A LL CONTRACTS AND OTHER 13
INSTRUMENTS NECESSAR Y OR CONVENIENT TO T HE EXERCISE OF ITS P OWERS 14
UNDER THIS APPENDIX , INCLUDING THE POWER TO ENTER INTO AGREEM ENTS WITH 15
OTHER PUBLIC BODIES OR AGENCIES (THESE AGREEMENTS MAY EXTEND OVER ANY 16
PERIOD, NOTWITHSTANDING ANY PROVISION OR RU LE OF LAW TO THE CON TRARY), 17
AND TO INCLUDE IN AN Y CONTRACT FOR FINAN CIAL ASSISTANCE WITH THE 18
FEDERAL GOVERNMENT F OR OR WITH RESPECT T O AN URBAN RENEWAL P ROJECT 19
AND RELATED ACTIVITI ES ANY CONDITIONS IM POSED PURSUANT TO FE DERAL LAWS 20
AS THE MUNICIPALITY CONSIDERS REASONABLE AND APPROPRIATE ; 21
(6) TO ENTER INTO ANY BUI LDING OR PROPERTY IN ANY URBAN 22
RENEWAL AREA IN ORDE R TO MAKE INSPECTION S, SURVEYS, APPRAISALS, 23
SOUNDINGS, OR TEST BORINGS , AND TO OBTAIN AN ORD ER FOR THIS PURPOSE FROM 24
THE CIRCUIT COURT FO R THE COUNTY IN WHICH THE M UNICIPALITY IS SITUA TED IN 25
THE EVENT ENTRY IS D ENIED OR RESISTED ; 26
(7) TO PLAN, REPLAN, INSTALL, CONSTRUCT, RECONSTRUCT , 27
REPAIR, CLOSE, OR VACATE STREETS , ROADS, SIDEWALKS, PUBLIC UTILITIES , 28
PARKS, PLAYGROUNDS , AND OTHER PUBLIC IMP ROVEMENTS IN CONNECTION WITH 29
AN URBAN RENEWAL PRO JECT AND TO MAKE EXC EPTIONS FROM BUILDIN G 30
REGULATIONS ; 31
(8) TO GENERALLY ORGANIZE , COORDINATE , AND DIRECT THE 32
ADMINISTRATION OF TH E PROVISIONS OF THIS APPENDIX AS THEY APP LY TO THE 33
MUNICIPALITY IN ORDE R THAT THE OBJECTIVE OF REM EDYING BLIGHTED AREA S 34
AND PREVENTING ITS C AUSES WITHIN THE MUN ICIPALITY MAY BE PRO MOTED AND 35 SENATE BILL 506 7
ACHIEVED MOST EFFECT IVELY; AND 1
(9) TO EXERCISE ALL OR AN Y PART OR COMBINATIO N OF THE 2
POWERS GRANTED IN TH IS APPENDIX. 3
A1–104. ESTABLISHMENT OF URBAN RENEWAL AGE NCY. 4
(A) A MUNICIPALITY MAY ITS ELF EXERCISE ALL THE POWERS GRANTED BY 5
THIS APPENDIX , OR MAY, IF ITS LEGISLATIVE B ODY BY ORDINANCE DET ERMINES 6
THE ACTION TO BE IN THE PUBLIC INTEREST , ELECT TO HAVE THE PO WERS 7
EXERCISED BY A SEPAR ATE PUBLIC BODY OR AGENCY . 8
(B) IN THE EVENT THE LEGI SLATIVE BODY MAKES T HAT DETERMINATION , 9
IT SHALL PROCEED BY ORDINANCE TO ESTABLI SH A PUBLIC BODY OR AGENCY TO 10
UNDERTAKE IN THE MUN ICIPALITY THE ACTIVI TIES AUTHORIZED BY T HIS 11
APPENDIX. 12
(C) THE ORDINANCE SHALL INCLUDE PROVISIONS E STABLISHING THE 13
NUMBER OF MEMBERS OF THE PUBLIC BODY OR A GENCY, THE MANNER OF THEIR 14
APPOINTMENT AND REMO VAL, AND THE TERMS OF THE MEMBERS AND THEIR 15
COMPENSATION . 16
(D) THE ORDINANCE MAY INC LUDE WHATEVER ADDITI ONAL PROVISIONS 17
RELATING TO THE ORGANIZATION OF THE PUBLIC BODY OR A GENCY AS MAY BE 18
NECESSARY. 19
(E) IN THE EVENT THE LEGI SLATIVE BODY ENACTS THIS ORDINANCE , ALL 20
OF THE POWERS BY THI S APPENDIX GRANTED T O THE MUNICIPALITY , FROM THE 21
EFFECTIVE DATE OF TH E ORDINANCE, ARE VESTED IN THE P UBLIC BODY OR AGENCY 22
ESTABLISHED BY THE O RDINANCE. 23
A1–105. POWERS WITHHELD FROM THE AGENCY. 24
THE AGENCY MAY NOT : 25
(1) PASS A RESOLUTION TO INITIATE AN URBAN RE NEWAL PROJECT 26
PURSUANT TO SECTIONS A1–102 AND A1–103 OF THIS APPENDIX ; 27
(2) ISSUE GENERAL OBLIGAT ION BONDS PURSUANT T O SECTION 28
A1–111 OF THIS APPENDIX ; OR 29
(3) APPROPRIATE FUNDS OR LEVY TAXES AND ASSES SMENTS 30
PURSUANT TO SECTION A1–103(3) OF THIS APPENDIX . 31 8 SENATE BILL 506
A1–106. INITIATION OF PROJECT . 1
IN ORDER TO INITIATE AN URBAN RENEWAL P ROJECT, THE LEGISLATIVE 2
BODY OF THE MUNICIPA LITY SHALL ADOPT A R ESOLUTION WHICH : 3
(1) FINDS THAT ONE OR MOR E BLIGHTED AREAS EXI ST IN THE 4
MUNICIPALITY; 5
(2) LOCATES AND DEFINES T HE BLIGHTED AREA ; AND 6
(3) FINDS THAT THE REHABI LITATION, REDEVELOPMENT , OR A 7
COMBINATION OF THEM , OF THE AREA OR AREAS , IS NECESSARY AND IN THE 8
INTEREST OF THE PUBL IC HEALTH, SAFETY, MORALS, OR WELFARE OF THE 9
RESIDENTS OF THE MUN ICIPALITY. 10
A1–107. PREPARATION AND APPRO VAL OF PLAN FOR URBA N RENEWAL PROJECT . 11
(A) IN ORDER TO CARRY OUT THE PURPOS ES OF THIS APPENDIX , THE 12
MUNICIPALITY SHALL H AVE PREPARED AN URBA N RENEWAL PLAN FOR B LIGHTED 13
AREAS IN THE MUNICIP ALITY AND SHALL APPR OVE THE PLAN FORMALL Y. THE 14
MUNICIPALITY SHALL H OLD A PUBLIC HEARING ON AN URBAN RENEWAL PROJECT 15
AFTER PUBLIC NOTICE OF IT B Y PUBLICATION IN A N EWSPAPER HAVING A GE NERAL 16
CIRCULATION WITHIN T HE CORPORATE LIMITS OF THE MUNICIPALITY . THE NOTICE 17
SHALL DESCRIBE THE T IME, DATE, PLACE, AND PURPOSE OF THE H EARING, SHALL 18
GENERALLY IDENTIFY T HE URBAN RENEWAL ARE A COVERED BY THE PLAN , AND 19
SHALL OUTLINE THE GE NERAL SCOPE OF THE U RBAN RENEWAL PROJECT UNDER 20
CONSIDERATION . FOLLOWING THE HEARING , THE MUNICIPALITY MAY APPROVE AN 21
URBAN RENEWAL PROJEC T AND THE PLAN THERE FOR IF IT FINDS THAT: 22
(1) A FEASIBLE METHOD EXIS TS FOR THE LOCATION OF ANY 23
FAMILIES OR NATURAL PERSONS WHO WILL BE DISPLACED FROM THE U RBAN 24
RENEWAL AREA IN DECE NT, SAFE, AND SANITARY DWELLIN G ACCOMMODATIONS 25
WITHIN THEIR MEANS A ND WITHOUT UNDUE HAR DSHIP TO THE FAMILIE S OR 26
NATURAL PERSONS ; 27
(2) THE URBAN RENEW AL PLAN CONFORMS SUB STANTIALLY TO THE 28
MASTER PLAN OF THE M UNICIPALITY AS A WHO LE; AND 29
(3) THE URBAN RENEWAL PLA N WILL AFFORD MAXIMU M 30
OPPORTUNITY , CONSISTENT WITH THE SOUND NEEDS OF THE M UNICIPALITY AS A 31
WHOLE, FOR THE REHABILITATI ON OR REDEVELOPMENT OF THE URBAN RENEWAL 32
AREA BY PRIVATE ENTE RPRISE. 33 SENATE BILL 506 9
(B) AN URBAN RENEWAL PLAN MAY BE MODIFIED AT A NY TIME. IF 1
MODIFIED AFTER THE L EASE OR SALE OF REAL PROPERTY IN THE URBA N RENEWAL 2
PROJECT AREA , THE MODIFICATION MAY BE CONDITIONED ON WH ATEVER 3
APPROVAL OF THE O WNER, LESSEE, OR SUCCESSOR IN INTE REST AS THE 4
MUNICIPALITY CONSIDE RS ADVISABLE. IN ANY EVENT, IT SHALL BE SUBJECT TO 5
WHATEVER RIGHTS AT L AW OR IN EQUITY AS A LESSEE OR PURCHASER , OR THE 6
SUCCESSOR OR SUCCESS ORS IN INTEREST , MAY BE ENTITLED TO A SSERT. WHERE 7
THE PROPOSED MODIFIC ATION WILL CHANGE SU BSTANTIALLY THE URBA N 8
RENEWAL PLAN AS APPR OVED PREVIOUSLY BY T HE MUNICIPALITY , THE 9
MODIFICATION SHALL B E APPROVED FORMALLY BY THE MUNICIPALITY , AS IN THE 10
CASE OF AN ORIGINAL PLAN. 11
(C) ON THE APPROVAL BY TH E MUNICIPALITY OF AN URBAN RE NEWAL PLAN 12
OR OF ANY MODIFICATI ON OF IT, THE PLAN OR MODIFICA TION SHALL BE 13
CONSIDERED TO BE IN FULL FORCE AND EFFEC T FOR THE RESPECTIVE URBAN 14
RENEWAL AREA . THE MUNICIPALITY MAY HAVE THE PLAN OR MOD IFICATION 15
CARRIED OUT IN ACCOR DANCE WITH ITS TERMS. 16
A1–108. DISPOSAL OF PROPERTY IN URBAN RENEWAL ARE A. 17
(A) THE MUNICIPALITY , BY ORDINANCE , MAY SELL, LEASE, OR OTHERWISE 18
TRANSFER REAL PROPER TY OR ANY INTEREST I N IT ACQUIRED BY IT FOR AN URBAN 19
RENEWAL PROJECT TO A NY PERSON FOR RESIDE NTIAL, RECREATIONAL, 20
COMMERCIAL , INDUSTRIAL, EDUCATIONAL , OR OTHER USES OR FOR PUBLIC USE, OR 21
IT MAY RETAIN THE PR OPERTY OR INTEREST F OR PUBLIC USE , IN ACCORDANCE 22
WITH THE URBAN RENEW AL PLAN AND SUBJECT TO WHATEVER COVENANT S, 23
CONDITIONS, AND RESTRICTIONS , INCLUDING COVENANTS RUNNING WI TH THE 24
LAND, AS IT CONSIDERS NECE SSARY OR DESIRABLE T O ASSIST IN PREVENTI NG THE 25
DEVELOPMENT OR SPREA D OF FUTURE BLIGHTED AREAS OR TO OTHERWIS E CARRY 26
OUT THE PURPOSES OF THIS APPENDIX. THE PURCHASERS OR LES SEES AND THEIR 27
SUCCESSORS AND ASSIGNS SHALL BE OBL IGATED TO DEVOTE THE REAL PROPERTY 28
ONLY TO THE USES SPE CIFIED IN THE URBAN RENEWAL PLAN AND MAY BE 29
OBLIGATED TO COMPLY WITH WHATEVER OTHER REQUIREMENTS THE 30
MUNICIPALITY DETERMI NES TO BE IN THE PUB LIC INTEREST, INCLUDING THE 31
OBLIGATION T O BEGIN WITHIN A REA SONABLE TIME ANY IMP ROVEMENTS ON THE 32
REAL PROPERTY REQUIR ED BY THE URBAN RENE WAL PLAN. THE REAL PROPERTY 33
OR INTEREST MAY NOT BE SOLD, LEASED, OTHERWISE TRANSFERRE D, OR RETAINED 34
AT LESS THAN ITS FAI R VALUE FOR USES IN ACCORDANCE WITH THE URBAN 35
RENEWAL PLAN . IN DETERMINING THE FA IR VALUE OF REAL PRO PERTY FOR USES 36
IN ACCORDANCE WITH T HE URBAN RENEWAL PLA N, THE MUNICIPALITY SHA LL TAKE 37
INTO ACCOUNT AND GIV E CONSIDERATION TO T HE USES PROVIDED IN THE PLAN, 38
THE RESTRICTIONS ON , AND THE COVENANTS , CONDITIONS, AND OBLIGATIONS 39 10 SENATE BILL 506
ASSUMED BY THE PURCH ASER OR LESSEE OR BY THE MUNICIPALITY RET AINING THE 1
PROPERTY, AND THE OBJECTIVES O F THE PLAN FOR THE P REVENTION OF THE 2
RECURRENCE OF BLIGHT ED AREAS. IN ANY INSTRUMENT OR CONVEYANCE TO A 3
PRIVATE PURCHASER OR LESSEE, THE MUNICIPALITY MAY PROVIDE THAT THE 4
PURCHASER OR LESSEE MAY NOT SELL, LEASE, OR OTHERWISE TRANSFE R THE REAL 5
PROPERTY WITHOUT THE PRIOR WRITTEN CONSEN T OF THE MUNICIPALIT Y UNTIL 6
THE PURCHASER OR LES SEE HAS COMPLETED TH E CONSTRUCTION OF AN Y OR ALL 7
IMPROVEMENTS WHICH T HE PURCHASER OR LESS EE HAS BEEN OBLIGATE D TO 8
CONSTRUCT ON THE PRO PERTY. REAL PROPERTY ACQUIRE D BY THE MUNICIPALIT Y 9
WHICH, IN ACCORDANCE WITH T HE PROVISIONS OF THE URBAN RENEWAL PLAN , IS 10
TO BE TRANSFERRED , SHALL BE TRANSFERRED AS RAPIDLY AS FEASIBLE IN THE 11
PUBLIC INTEREST CONS ISTENT WITH THE CARR YING OUT OF THE PROV ISIONS OF 12
THE URBAN RENEWAL PL AN. ANY CONTRACT FOR THE TRANSFER AND THE URB AN 13
RENEWAL PLAN (OR ANY PART OR PARTS OF THE CONTRACT OR P LAN AS THE 14
MUNICIPALITY DETERMI NES) MAY BE RECORDED IN THE LAND RECORDS OF THE 15
COUNTY IN WHICH THE MUNICIPALITY IS SITU ATED IN A MANNER SO AS TO AFFORD 16
ACTUAL OR CONSTRUCTI VE NOTICE OF IT. 17
(B) THE MUNICIPALITY , BY ORDINANCE , MAY DISPOSE OF REAL PROPERTY 18
IN AN URBAN RENEWAL AREA TO PRIVATE PERS ONS. THE MUNICIPALITY MAY , BY 19
PUBLIC NOTICE BY PUB LICATION IN A NEWSPA PER HAVING A GENERAL 20
CIRCULATION IN THE C OMMUNITY, INVITE PROPOSALS FRO M AND MAKE AVAILABLE 21
ALL PERTINENT INFORM ATION TO PRIVATE RED EVELOPERS OR ANY PER SONS 22
INTERESTED IN UNDERT AKING TO RE DEVELOP OR REHABILIT ATE AN URBAN 23
RENEWAL AREA , OR ANY PART THEREOF . THE NOTICE SHALL IDEN TIFY THE AREA, 24
OR PORTION THEREOF , AND SHALL STATE THAT PROPOSALS SHALL BE M ADE BY 25
THOSE INTERESTED WIT HIN A SPECIFIED PERI OD. THE MUNICIPALITY SHAL L 26
CONSIDER ALL REDE VELOPMENT OR REHABIL ITATION PROPOSALS AN D THE 27
FINANCIAL AND LEGAL ABILITY OF THE PERSO NS MAKING PROPOSALS TO CARRY 28
THEM OUT, AND MAY NEGOTIATE WI TH ANY PERSONS FOR P ROPOSALS FOR THE 29
PURCHASE, LEASE, OR OTHER TRANSFER OF ANY REAL PROPERTY AC QUIRED BY 30
THE MUNICIPALITY IN THE UR BAN RENEWAL AREA . THE MUNICIPALITY MAY ACCEPT 31
ANY PROPOSAL AS IT D EEMS TO BE IN THE PU BLIC INTEREST AND IN FURTHERANCE 32
OF THE PURPOSES OF T HIS APPENDIX. THEREAFTER , THE MUNICIPALITY MAY 33
EXECUTE AND DELIVER CONTRACTS, DEEDS, LEASES, AND OTHER INSTRUMENTS 34
AND TAKE ALL STEPS N ECESSARY TO EFFECTUA TE THE TRANSFERS . 35
(C) THE MUNICIPALITY MAY OPERATE TEMPORARILY AND MAINTAIN REAL 36
PROPERTY ACQUIRED BY IT IN AN URBAN RENEW AL AREA FOR OR IN CO NNECTION 37
WITH AN URBAN RENEWA L PROJECT PENDING TH E DISPOSITION OF THE PROP ERTY 38
AS AUTHORIZED IN THI S APPENDIX, WITHOUT REGARD TO TH E PROVISIONS OF 39
SUBSECTION (A) OF THIS SECTION , FOR USES AND PURPOSE S CONSIDERED 40
DESIRABLE EVEN THOUG H NOT IN CONFORMITY WITH THE URBAN RENEW AL PLAN. 41 SENATE BILL 506 11
(D) ANY INSTRUMENT EXECUT ED BY THE MUNICIPALITY AND PURPORTING 1
TO CONVEY ANY RIGHT , TITLE, OR INTEREST IN ANY P ROPERTY UNDER THIS 2
APPENDIX SHALL BE PR ESUMED CONCLUSIVELY TO HAVE BEEN EXECUTE D IN 3
COMPLIANCE WITH THE PROVISIONS OF THIS A PPENDIX INSOFAR AS T ITLE OR 4
OTHER INTEREST OF AN Y BONA FIDE PURCHASE RS, LESSEES, OR TRANSFEREES OF 5
THE PROPERTY IS CONC ERNED. 6
A1–109. EMINENT DOMAIN . 7
CONDEMNATION OF LAND OR PROPERTY UNDER TH E PROVISIONS OF THIS 8
APPENDIX SHALL BE IN ACCORDANCE WITH THE PROCEDURE PROVIDED I N THE 9
REAL PROPERTY ARTICLE OF THE ANNOTATED CODE OF MARYLAND. 10
A1–110. ENCOURAGEMENT OF PRIV ATE ENTERPRISE . 11
THE MUNICIPALITY , TO THE EXTENT IT DET ERMINES TO BE FEASIB LE IN 12
CARRYING OUT THE PRO VISIONS OF THIS APPE NDIX, SHALL AFFORD MAXIMUM 13
OPPORTUNITY TO THE R EHABILITATION OR RED EVELOPMENT OF ANY URBA N 14
RENEWAL AREA BY PRIV ATE ENTERPRISE CONSI STENT WITH THE SOUND NEEDS OF 15
THE MUNICIPALITY AS A WHOLE. THE MUNICIPALITY SHAL L GIVE CONSIDERATION 16
TO THIS OBJECTIVE IN EXERCISING ITS POWER S UNDER THIS APPENDI X. 17
A1–111. GENERAL OBLIGATION B ONDS. 18
FOR THE PURPOSE OF FI NANCING AND CARRYING OUT AN URBAN RENEWAL 19
PROJECT AND RELATED ACTIVITIES, THE MUNICIPALITY MAY ISSUE AND SELL ITS 20
GENERAL OBLIGATION B ONDS. ANY BONDS ISSUED BY T HE MUNICIPALITY 21
PURSUANT TO THIS SEC TION SHALL BE ISSUED IN THE MANNER AND WITHIN THE 22
LIMITATIONS PRESCRIB ED BY APPLICABLE LAW FOR THE ISSUANCE AND 23
AUTHORIZATION OF GEN ERAL OBLIGATION BOND S BY THE MUNICIPALIT Y, AND 24
ALSO WITHIN LIMITATI ONS DETERMINED BY TH E MUNICIPALITY. 25
A1–112. REVENUE BONDS . 26
(A) IN ADDITION TO THE AU THORITY CONFERRED BY SECTION A1–111 OF 27
THIS APPENDIX, THE MUNICIPALITY MAY ISSUE REVENUE BONDS TO FINANCE THE 28
UNDERTAKING OF ANY U RBAN RENEWAL PROJECT AND RELATED ACTIVITI ES. ALSO, 29
IT MAY ISSUE REFUNDI NG BONDS FOR THE PAY MENT OR RETIREMENT O F THE 30
BONDS ISSUED PREVIOUSLY BY IT . THE BONDS SHALL BE MA DE PAYABLE, AS TO 31
BOTH PRINCIPAL AND I NTEREST, SOLELY FROM THE INCO ME, PROCEEDS, 32
REVENUES, AND FUNDS OF THE MUN ICIPALITY DERIVED FR OM OR HELD IN 33
CONNECTION WITH THE UNDERTAKING AND CARR YING OUT OF URBAN RE NEWAL 34 12 SENATE BILL 506
PROJECTS UNDER THIS AP PENDIX. HOWEVER, PAYMENT OF THE BONDS , BOTH AS 1
TO PRINCIPAL AND INT EREST, MAY BE FURTHER SECUR ED BY A PLEDGE OF AN Y 2
LOAN, GRANT, OR CONTRIBUTION FROM THE FEDERAL GOVERNME NT OR OTHER 3
SOURCE, IN AID OF ANY URBAN RENEWAL PROJECTS OF THE MUNICIPALITY UNDER 4
THIS APPENDIX, AND BY A MORTGAGE OF ANY URBAN RENEWAL PR OJECT, OR ANY 5
PART OF A PROJECT , TITLE TO WHICH IS IN THE MUNICIPALITY . IN ADDITION, THE 6
MUNICIPALITY MAY ENT ER INTO AN INDENTURE OF TRUST WITH ANY PR IVATE 7
BANKING INSTITUTION OF THIS STATE HAVING TRUST PO WERS AND MAY MAKE IN 8
THE INDENTURE OF TRU ST COVENANTS AND COM MITMENTS REQUIRED BY ANY 9
PURCHASER FOR THE AD EQUATE SECURITY OF T HE BONDS. 10
(B) BONDS ISSUED UNDER TH IS SECTION DO NOT CO NSTITUTE AN 11
INDEBTEDNESS WITHIN THE MEANING OF ANY CONSTITUTIONAL OR ST ATUTORY 12
DEBT LIMITATION OR R ESTRICTION, ARE NOT SUBJECT TO T HE PROVISIONS OF ANY 13
OTHER LAW OR CHARTER RELATING TO THE AUTH ORIZATION, ISSUANCE, OR SALE 14
OF BONDS , AND ARE EXEMPTED SPE CIFICALLY FROM THE R ESTRICTIONS 15
CONTAINED IN §§ 19–205 AND 19–206 OF THE LOCAL GOVERNMENT ARTICLE OF 16
THE ANNOTATED CODE OF MARYLAND. BONDS ISSUED UNDER TH E PROVISIONS OF 17
THIS APPENDIX ARE DE CLARED TO BE ISSUED FOR AN ESSENTIAL PUB LIC AND 18
GOVERNMENTAL PURPOSE AND, TOGETHER WITH INTERE ST ON THEM AND INCOM E 19
FROM THEM, ARE EXEMPT FROM ALL TAXES. 20
(C) BONDS ISSUED UNDER TH IS SECTION SHALL BE AUTHORIZED BY 21
RESOLUTION OR ORDINA NCE OF THE LEGISLATI VE BODY OF THE MUNIC IPALITY. 22
THEY MAY BE ISSUED IN ONE OR MORE SERIES A ND SHALL: 23
(1) BEAR A DATE OR DATES ; 24
(2) MATURE AT A TIME OR T IMES; 25
(3) BEAR INTEREST AT A RA TE OR RATES; 26
(4) BE IN A DENOMINATION OR DENOMINATIONS ; 27
(5) BE IN A FORM EITHER W ITH OR WITHOUT COUPO N OR 28
REGISTERED; 29
(6) CARRY A CONVERSION OR REGISTRATION PRIVILE GE; 30
(7) HAVE A RANK OR PRIORITY; 31
(8) BE EXECUTED IN A MANN ER; 32
SENATE BILL 506 13
(9) BE PAYABLE IN A MEDIU M OF PAYMENT , AT A PLACE OR PLACES , 1
AND BE SUBJECT TO TE RMS OF REDEMPTION (WITH OR WITHOUT PREM IUM); 2
(10) BE SECURED IN A MANNE R; AND 3
(11) HAVE OTHER CHARACTERI STICS, AS ARE PROVID ED BY THE 4
RESOLUTION, TRUST INDENTURE , OR MORTGAGE ISSUED P URSUANT TO IT. 5
(D) THESE BONDS MAY NOT B E SOLD AT LESS THAN PAR VALUE AT PUBLIC 6
SALES WHICH ARE HELD AFTER NOTICE IS PUBL ISHED PRIOR TO THE S ALE IN A 7
NEWSPAPER HAVING A G ENERAL CIRCULATION I N THE AREA IN WHICH THE 8
MUNICIPALITY IS LOCA TED AND IN WHATEVER OTHER MEDIUM OF PUBL ICATION AS 9
THE MUNICIPALITY MAY DETERMINE. THE BONDS MAY BE EXCH ANGED ALSO FOR 10
OTHER BONDS ON THE B ASIS OF PAR. HOWEVER, THE BONDS MAY NOT BE SOLD TO 11
THE FEDERAL GOVERNME NT AT PRIVATE SALE AT LESS THAN PAR, AND, IN THE 12
EVENT LESS THAN ALL OF THE AUTHORIZED PR INCIPAL AMOUNT OF TH E BONDS IS 13
SOLD TO THE FEDERAL GOVERNMENT , THE BALANCE MAY NOT BE SOLD AT PRIVATE 14
SALE AT LESS THAN PA R AT AN INTEREST COS T TO THE MUNICIPALIT Y WHICH DOES 15
NOT EXCEED THE INTER EST COST TO THE MUNI CIPALITY OF THE PORT ION OF THE 16
BONDS SOLD TO THE FE DERAL GOVERNMENT . 17
(E) IN CASE ANY OF THE PU BLIC OFFICIALS OF TH E MUNICIPALITY WHOSE 18
SIGNATURES APPEAR ON ANY BONDS OR COUPONS ISSUED UNDER THIS AP PENDIX 19
CEASE TO BE OFFICIALS OF THE MUNICIPALITY BEFORE THE DELIVERY OF THE 20
BONDS OR IN THE EVEN T ANY OF THE OFFICIA LS HAVE BECOME SUCH AFTER THE 21
DATE OF ISSUE OF THE M, THE BONDS ARE VALID AND BINDING OBLIGATI ONS OF THE 22
MUNICIPALITY IN ACCO RDANCE WITH THEIR TE RMS. ANY PROVISION OF ANY LAW 23
TO THE CONTRARY NOTW ITHSTANDING, ANY BONDS ISSUED PUR SUANT TO THIS 24
APPENDIX ARE FULLY N EGOTIABLE. 25
(F) IN ANY SUIT, ACTION, OR PROCEEDING INVOLV ING THE VALIDITY OR 26
ENFORCEABILITY OF AN Y BOND ISSUED UNDER THIS APPENDIX, OR THE SECURITY 27
FOR IT, ANY BOND WHICH RECIT ES IN SUBSTANCE THAT IT HAS BEEN ISSUED B Y THE 28
MUNICIPALITY IN CONN ECTION WITH AN URBAN RENEWAL PROJECT SHAL L BE 29
CONSIDERED CONCLUSIV ELY TO HAVE BEEN ISS UED FOR THAT PURPOSE , AND THE 30
PROJECT SHALL BE CON SIDERED CONCLUSIVELY TO HAVE BEEN PLANNED , 31
LOCATED, AND CARRIED OUT IN A CCORDANCE WITH THE P ROVISIONS OF THIS 32
APPENDIX. 33
(G) ALL BANKS, TRUST COMPANIES , BANKERS, SAVINGS BANKS , AND 34
INSTITUTIONS, BUILDING AND LOAN AS SOCIATIONS, SAVINGS AND LOAN 35
ASSOCIATIONS, INVESTMENT COMPANIES , AND OTHER PERSONS CARR YING ON A 36
BANKING OR INVESTMEN T BUSINESS; ALL INSURANCE COMPAN IES, INSURANCE 37 14 SENATE BILL 506
ASSOCIATIONS, AND OTHER PERSONS CA RRYING ON AN INSURAN CE BUSINESS; AND 1
ALL EXECUTORS , ADMINISTRATORS , CURATORS, TRUSTEES, AND OTHER 2
FIDUCIARIES, MAY LEGALLY IN VEST ANY SINKING FUN DS, MONEYS, OR OTHER 3
FUNDS BELONGING TO T HEM OR WITHIN THEIR CONTROL IN ANY BONDS OR OTHER 4
OBLIGATIONS ISSUED B Y THE MUNICIPALITY P URSUANT TO THIS APPE NDIX. 5
HOWEVER, THE BONDS AND OTHER OBLIGATIONS SHALL BE SECURED BY AN 6
AGREEMENT BETWE EN THE ISSUER AND TH E FEDERAL GOVERNMENT IN WHICH THE 7
ISSUER AGREES TO BOR ROW FROM THE FEDERAL GOVERNMENT AND THE F EDERAL 8
GOVERNMENT AGREES TO LEND TO THE ISSUER , PRIOR TO THE MATURIT Y OF THE 9
BONDS OR OTHER OBLIG ATIONS, MONEYS IN AN AMOUNT WHICH (TOGETHER WITH 10
ANY OTHER MONEYS COM MITTED IRREVOCABLY T O THE PAYMENT OF PRI NCIPAL 11
AND INTEREST ON THE BONDS OR OTHER OBLIG ATIONS) WILL SUFFICE TO PAY THE 12
PRINCIPAL OF THE BON DS OR OTHER OBLIGATI ONS WITH INTEREST TO MATURITY 13
ON THEM. THE MONEYS UNDER THE TERMS OF THE AGREEMENT SHALL BE 14
REQUIRED TO BE USED FOR THE PURPOSE OF P AYING THE PRINCIPAL OF AND THE 15
INTEREST ON THE BOND S OR OTHER OBLIGATIO NS AT THEIR MATURITY . THE BONDS 16
AND OTHER OBLIGATION S SHALL BE AUTHORIZE D SECURITY FOR ALL P UBLIC 17
DEPOSITS. THIS SECTION AUTH ORIZES ANY PERSONS O R PUBLIC OR PRIVATE 18
POLITICAL SUBDIVISIO NS AND OFFICERS TO U SE ANY FUNDS OWNED O R 19
CONTROLLED BY THEM F OR THE PURCHASE OF A NY BONDS OR OTHER 20
OBLIGATIONS. WITH REGARD TO LEGAL INVESTMENTS , THIS SECTION MAY NOT BE 21
CONSTRUED TO RELIEVE ANY PERSON OF ANY DUTY O F EXERCISING REASONA BLE 22
CARE IN SELECTING SE CURITIES. 23
A1–113. SHORT TITLE. 24
THIS APPENDIX SHALL B E KNOWN AND MAY BE C ITED AS THE FOREST 25
HEIGHTS URBAN RENEWAL AUTHORITY FOR BLIGHT CLEARANCE ACT. 26
A1–114. AUTHORITY TO AMEND OR REPEAL. 27
THIS APPENDIX, ENACTED PURSUANT TO ARTICLE III, SECTION 61 OF THE 28
MARYLAND CONSTITUTION, MAY BE AMENDED OR RE PEALED ONLY BY THE 29
GENERAL ASSEMBLY OF MARYLAND. 30
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 31
October 1, 2023. 32