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.
*sb0138*
SENATE BILL 138
Q2 4lr0818
(PRE–FILED) CF HB 2
By: Senator Hayes
Requested: October 3, 2023
Introduced and read first time: January 10, 2024
Assigned to: Budget and Taxation
Committee Report: Favorable with amendments
Senate action: Adopted
Read second time: February 29, 2024
CHAPTER ______
AN ACT concerning 1
Baltimore City – Property Taxes – Authority of Counties to Establish a Subclass 2
and Set a Special Rate for Vacant and Abandoned Property 3
FOR the purpose of authorizing the Mayor and City Council of Baltimore City or the 4
governing body of a county to establish, by law, a subclass of real property consisting 5
of vacant and abandoned property and to set a special property tax rate for certain 6
vacant and abandoned property; and generally relating to a special property tax rate 7
for vacant and abandoned property. 8
BY adding to 9
Article – Tax – Property 10
Section 6–202.1 11
Annotated Code of Maryland 12
(2019 Replacement Volume and 2023 Supplement) 13
BY repealing and reenacting, with amendments, 14
Article – Tax – Property 15
Section 6–302 16
Annotated Code of Maryland 17
(2019 Replacement Volume and 2023 Supplement) 18
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 19
That the Laws of Maryland read as follows: 20
2 SENATE BILL 138
Article – Tax – Property 1
6–202.1. 2
THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE GOVERNING 3
BODY OF A COUNTY MAY ESTABLISH, BY LAW, A SUBCLASS OF REAL P ROPERTY 4
CONSISTING OF V ACANT LOTS OR IMPROV ED PROPERTY CITED AS VACANT AND 5
UNFIT FOR HABITATION OR OTHER AUTHORIZED USE ON A HOUSING OR BUILDING 6
VIOLATION NOTICE . 7
6–302. 8
(a) Except as otherwise provided in this section and after complying with § 6–305 9
of this subtitle, in each year after the date of finality and before the following July 1, the 10
Mayor and City Council of Baltimore City or the governing body of each county annually 11
shall set the tax rate for the next taxable year on all assessments of property subject to that 12
county’s property tax. 13
(b) (1) Except as provided in subsection (c) of this section[,] AND §§ 6–305 and 14
6–306 of this subtitle [and § 6–203 of this title]: 15
(i) there shall be a single county property tax rate for all real 16
property subject to county property tax except for operating real property described in § 17
8–109(c) of this article; and 18
(ii) the county tax rate applicable to personal property and the 19
operating real property described in § 8–109(c) of this article shall be no more than 2.5 20
times the rate for real property. 21
(2) Paragraph (1) of this subsection does not affect a special rate prevailing 22
in a taxing district or part of a county. 23
[(c) (1) Intangible personal property is subject to county property tax as 24
otherwise provided in this title at a rate set annually, if: 25
(i) the intangible personal property has paid interest or dividends 26
during the 12 months that precede the date of finality; 27
(ii) interest or dividends were withheld on the intangible personal 28
property during the 12 months that precede the date of finality to avoid the tax under this 29
subsection; 30
(iii) the intangible personal property consists of newly issued bonds, 31
certificates of indebtedness, or evidences of debt on which interest is not in default; or 32
SENATE BILL 138 3
(iv) a stock dividend has been declared on the intangible personal 1
property during the 12 months that precede the date of finality. 2
(2) The county tax rate for the intangible personal property is 30 cents for 3
each $100 of assessment.] 4
(C) (1) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 5
GOVERNING BODY OF A COUNTY MAY SET A SPECIAL RATE FOR A VACANT LOT OR 6
IMPROVED PROPERTY CI TED AS VACANT AND UN FIT FOR HABIT ATION OR OTHER 7
AUTHORIZED USE ON A HOUSING OR BUILDING VIOLATION NOTICE . 8
(2) ON OR BEFORE DECEMBER 1 EACH YEAR, THE MAYOR AND CITY 9
COUNCIL OF BALTIMORE CITY OR THE GOVERNING BODY OF A COUNTY THA T 10
ENACTS A SPECIAL RAT E UNDER PARAGRAPH (1) OF THIS SUBSECT ION SHALL 11
REPORT TO THE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT AND , 12
IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, TO THE 13
GENERAL ASSEMBLY ON: 14
(I) THE SPECIAL RATE SET UNDER PARAGRAPH (1) OF THIS 15
SUBSECTION; 16
(II) THE NUMBER OF PROPER TIES TO WHICH THE SP ECIAL RATE 17
APPLIES; 18
(III) THE REVENUE CHANGE R ESULTING FROM THE SP ECIAL 19
RATE; 20
(IV) THE USE OF THE REVEN UE FROM THE SPECIAL RATE; AND 21
(V) WHETHER PROPERTIES S UBJECT TO THE SPECIA L RATE 22
ARE VIABLE FOR ADAP TIVE REUSE, AS DEFINED IN § 1–102 OF THE HOUSING AND 23
COMMUNITY DEVELOPMENT ARTICLE, AND PLANS TO CONVERT VIABLE 24
PROPERTIES. 25
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 26
1, 2024, and shall be applicable to all taxable years beginning after June 30, 2024. 27