MD
Maryland Senate Bill SB14

Maryland 2024 Regular Session

Maryland Senate Bill SB14 Compare Versions

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1- WES MOORE, Governor Ch. 240
21
3-– 1 –
4-Chapter 240
5-(Senate Bill 14)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ *sb0014*
89
9-Economic Development – Tourism Zones – Designation and Benefits
10+SENATE BILL 14
11+C8, Q1, Q7 4lr1266
12+ (PRE–FILED) CF HB 1281
13+By: Senator Jackson
14+Requested: October 30, 2023
15+Introduced and read first time: January 10, 2024
16+Assigned to: Budget and Taxation
17+Committee Report: Favorable with amendments
18+Senate action: Adopted
19+Read second time: February 27, 2024
1020
11-FOR the purpose of authorizing the Mayor and City Council of Baltimore City or the
12-governing body of a county or municipality to designate, by law, an area within that
13-political subdivision as a tourism zone under certain circumstances; providing that
14-the designation of an area as a tourism zone may not preclude the area from also
15-being designated as a certain arts and entertainment district; authorizing Baltimore
16-City a county or a municipality to exempt from the admissions and amusement tax
17-gross receipts from certain admissions or amusement charges levied in a tourism
18-zone; authorizing the Mayor and City Council of Baltimore City or the governing
19-body of a county or municipality to grant, by law, a property tax credit against the
20-county or municipal property tax imposed on certain real property and certain
21-personal property located within a tourism zone; and generally relating to the
22-designation of tourism zones within Baltimore City counties and municipalities.
21+CHAPTER ______
2322
24-BY adding to
25- Article – Local Government
26-Section 18–401 through 18–403 to be under the new subtitle “Subtitle 4. Tourism
27-Zones”
28- Annotated Code of Maryland
29- (2013 Volume and 2023 Supplement)
23+AN ACT concerning 1
3024
31-BY adding to
32- Article – Tax – General
33-Section 4–104(g)
34- Annotated Code of Maryland
35- (2022 Replacement Volume and 2023 Supplement)
25+Economic Development – Tourism Zones – Designation and Benefits 2
3626
37-BY adding to
38- Article – Tax – Property
39-Section 9–268 and 9–269
40- Annotated Code of Maryland
41- (2019 Replacement Volume and 2023 Supplement)
27+FOR the purpose of authorizing the Mayor and City Council of Baltimore City or the 3
28+governing body of a county or municipality to designate, by law, an area within that 4
29+political subdivision as a tourism zone under certain circumstances; providing that 5
30+the designation of an area as a tourism zone may not preclude the area from also 6
31+being designated as a certain arts and entertainment district; authorizing Baltimore 7
32+City a county or a municipality to exempt from the admissions and amusement tax 8
33+gross receipts from certain admissions or amusement charges levied in a tourism 9
34+zone; authorizing the Mayor and City Council of Baltimore City or the governing 10
35+body of a county or municipality to grant, by law, a property tax credit against the 11
36+county or municipal property tax imposed on certain real property and certain 12
37+personal property located within a tourism zone; and generally relating to the 13
38+designation of tourism zones within Baltimore City counties and municipalities. 14
4239
43- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
44-That the Laws of Maryland read as follows:
40+BY adding to 15
41+ Article – Local Government 16
42+Section 18–401 through 18–403 to be under the new subtitle “Subtitle 4. Tourism 17
43+Zones” 18
44+ Annotated Code of Maryland 19
45+ (2013 Volume and 2023 Supplement) 20
4546
46-Article – Local Government
47+BY adding to 21
48+ Article – Tax – General 22 2 SENATE BILL 14
4749
48-SUBTITLE 4. TOURISM ZONES.
49- Ch. 240 2024 LAWS OF MARYLAND
5050
51-– 2 –
52-18–401.
51+Section 4–104(g) 1
52+ Annotated Code of Maryland 2
53+ (2022 Replacement Volume and 2023 Supplement) 3
5354
54- (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS
55-INDICATED.
55+BY adding to 4
56+ Article – Tax – Property 5
57+Section 9–268 and 9–269 6
58+ Annotated Code of Maryland 7
59+ (2019 Replacement Volume and 2023 Supplement) 8
5660
57- (B) “QUALIFYING TOURISM EN TERPRISE” MEANS A FOR –PROFIT OR
58-NONPROFIT ENTITY THA T CONDUCTS BUSINESS WITHIN A TOURISM ZON E, SUBJECT
59-TO THE LIMITATIONS S PECIFIED BY THE POLI TICAL SUBDIVISION WI THIN WHICH
60-THE TOURISM ZONE IS LOCATED.
61+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 9
62+That the Laws of Maryland read as follows: 10
6163
62- (C) “TOURISM ZONE ” MEANS A DEVELOPED ZO NE OF PUBLIC AND PRI VATE
63-USES THAT IS DESIGNA TED BY A POLITICAL S UBDIVISION FOR THE DEVELOPMENT
64-OF TRAVEL AND TOURIS M AND LOCATED WITHIN THAT POLITICAL SUBDI VISION.
64+Article – Local Government 11
6565
66-18–402.
66+SUBTITLE 4. TOURISM ZONES. 12
6767
68- (A) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE
69-GOVERNING BODY OF A COUNTY OR MUNICIPALITY MAY DES IGNATE, BY LAW, AN
70-AREA WITHIN THE POLI TICAL SUBDIVISION AS A TOURISM ZONE .
68+18–401. 13
7169
72- (B) IN DESIGNATING A TOUR ISM ZONE UNDER SUBSE CTION (A) OF THIS
73-SECTION, THE POLITICAL SUBDIV ISION MAY PROVIDE , BY LAW, FOR:
70+ (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 14
71+INDICATED. 15
7472
75- (1) THE DURATION OF THE DESIGNATION; AND
73+ (B) “QUALIFYING TOURISM EN TERPRISE” MEANS A FOR –PROFIT OR 16
74+NONPROFIT ENTITY THA T CONDUCTS BUSINESS WITHIN A TOURISM ZONE , SUBJECT 17
75+TO THE LIMITATIONS S PECIFIED BY THE POLI TICAL SUBDIVISION WI THIN WHICH 18
76+THE TOURISM ZONE IS LOCATED. 19
7677
77- (2) ELIGIBILITY CRITERIA TO QUALIFY AS A QUAL IFYING TOURISM
78-ENTERPRISE.
78+ (C) “TOURISM ZONE ” MEANS A DEVELOPED ZO NE OF PUBLIC AND PRI VATE 20
79+USES THAT IS DESIGNA TED BY A POLITICAL S UBDIVISION FOR THE D EVELOPMENT 21
80+OF TRAVEL AND TOURIS M AND LOCATED WITHIN THAT POLITICAL SUBDI VISION. 22
7981
80- (C) THE DESIGNATION OF AN AREA AS A TOURISM ZO NE DOES NOT
81-PRECLUDE THE AREA FR OM ALSO BEING DESIGN ATED AS AN ARTS AND
82-ENTERTAINMENT DISTRI CT UNDER TITLE 4, SUBTITLE 7 OF THE ECONOMIC
83-DEVELOPMENT ARTICLE.
82+18–402. 23
8483
85-18–403.
84+ (A) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 24
85+GOVERNING BODY OF A COUNTY OR MUNICIPALITY MAY DES IGNATE, BY LAW, AN 25
86+AREA WITHIN THE POLI TICAL SUBDIVISION AS A TOURISM ZONE . 26
8687
87- (A) IN A TOURISM ZONE :
88+ (B) IN DESIGNATING A TOUR ISM ZONE UNDER SUBSE CTION (A) OF THIS 27
89+SECTION, THE POLITICAL SUBDIV ISION MAY PROVIDE , BY LAW, FOR: 28
8890
89- (1) THE EXEMPTION FROM TH E ADMISSIONS AND AMU SEMENT TAX
90-UNDER § 4–104(G) OF THE TAX – GENERAL ARTICLE APPLIES TO QUALIFYING
91-TOURISM ENTERPRISES ; AND
91+ (1) THE DURATION OF THE DESIGNATION; AND 29
9292
93- (2) THE PROPERTY TAX CRE DITS UNDER §§ 9–268 AND 9–269 OF THE
94-TAX – PROPERTY ARTICLE APPLY.
95- WES MOORE, Governor Ch. 240
93+ (2) ELIGIBILITY CRITERIA TO QUALIFY AS A QUAL IFYING TOURISM 30
94+ENTERPRISE. 31
95+ SENATE BILL 14 3
9696
97-– 3 –
98- (B) ON OR BEFORE JULY 1 PRECEDING THE EFFECT IVE DATE OF ITS
99-ESTABLISHMENT , THE POLITICAL JURISD ICTION SHALL NOTIFY THE COMPTROLLER
100-THAT A TOURISM DISTR ICT IS ESTABLISHED .
10197
102- (C) A POLITICAL SUBDIVISIO N THAT ESTABLISHES A TOURISM ZONE SHALL
103-NOTIFY THE COMPTROLLER OF :
98+ (C) THE DESIGNATION OF AN AREA AS A TOURISM ZO NE DOES NOT 1
99+PRECLUDE THE AREA FR OM ALSO BEING DESIGN ATED AS AN ARTS AND 2
100+ENTERTAINMENT DISTRI CT UNDER TITLE 4, SUBTITLE 7 OF THE ECONOMIC 3
101+DEVELOPMENT ARTICLE. 4
104102
105- (1) ANY QUALIFYING TOURI SM ENTERPRISES TO WH ICH THE
106-EXEMPTION FROM THE A DMISSIONS AND AMUSEM ENT TAX UNDER § 4–104(G) OF
107-THE TAX – GENERAL ARTICLE APPLIES; AND
103+18–403. 5
108104
109- (2) THE DATE ON WHICH TH E QUALIFYING TOURISM ENTERPRISE
110-QUALIFIED FOR THE EX EMPTION; AND
105+ (A) IN A TOURISM ZONE : 6
111106
112- (3) THE DATE, IF ANY, ON WHICH THE EXEMPTI ON FOR THE
113-QUALIFYING TOURISM E NTERPRISE EXPIRES .
107+ (1) THE EXEMPTION FROM THE A DMISSIONS AND AMUSEM ENT TAX 7
108+UNDER § 4–104(G) OF THE TAX – GENERAL ARTICLE APPLIES TO QUALIFYING 8
109+TOURISM ENTERPRISES ; AND 9
114110
115-Article – Tax – General
111+ (2) THE PROPERTY TAX CRE DITS UNDER §§ 9–268 AND 9–269 OF THE 10
112+TAX – PROPERTY ARTICLE APPLY. 11
116113
117-4–104.
114+ (B) ON OR BEFORE JULY 1 PRECEDING THE EFFECT IVE DATE OF ITS 12
115+ESTABLISHMENT , THE POLITICAL JURISD ICTION SHALL NOTIFY THE COMPTROLLER 13
116+THAT A TOURISM DISTR ICT IS ESTABLISHED . 14
118117
119- (G) (1) IN THIS SUBSECTION , “QUALIFYING TOURISM E NTERPRISE” AND
120-“TOURISM ZONE ” HAVE THE MEANINGS ST ATED IN § 18–401 OF THE LOCAL
121-GOVERNMENT ARTICLE.
118+ (C) A POLITICAL SUBDIVISIO N THAT ESTABLISHES A TOURISM ZONE SHALL 15
119+NOTIFY THE COMPTROLLER OF : 16
122120
123- (2) BALTIMORE CITY
121+ (1) ANY QUALIFYING TOURIS M ENTERPRISES TO WHI CH THE 17
122+EXEMPTION FROM THE A DMISSIONS AND AMUSEM ENT TAX UNDER § 4–104(G) OF 18
123+THE TAX – GENERAL ARTICLE APPLIES; AND 19
124124
125- (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , A
126-COUNTY OR A MUNICIPAL CORPO RATION MAY EXEMPT FR OM THE ADMISSIONS AN D
127-AMUSEMENT TAX GROSS RECEIPTS FROM ANY AD MISSIONS OR AMUSEMEN T CHARGE
128-LEVIED BY A QUALIFYING TOURISM E NTERPRISE IN A TOURI SM ZONE.
125+ (2) THE DATE ON WHICH TH E QUALIFYING TOURISM ENTERPRISE 20
126+QUALIFIED FOR THE EX EMPTION; AND 21
129127
130- (II) THE EXEMPTION AUTHORI ZED UNDER SUBPARAGRA PH (I)
131-OF THIS PARAGRAPH DO ES NOT APPLY TO THE STATE ADMISSIONS AND AMUSEMENT
132-TAX IMPOSED UNDER § 4–102(D) AND (E) OF THIS TITLE.
128+ (3) THE DATE, IF ANY, ON WHICH THE EXEMPTI ON FOR THE 22
129+QUALIFYING TOURISM E NTERPRISE EXPIRES . 23
133130
134- SECTION 2. AND BE IT FUR THER ENACTED, That the Laws of Maryland read
135-as follows:
131+Article – Tax – General 24
136132
137-Article – Tax – Property
133+4–104. 25
138134
139-9–268.
140- Ch. 240 2024 LAWS OF MARYLAND
135+ (G) (1) IN THIS SUBSECTION , “QUALIFYING TOURISM E NTERPRISE” AND 26
136+“TOURISM ZONE ” HAVE THE MEANINGS ST ATED IN § 18–401 OF THE LOCAL 27
137+GOVERNMENT ARTICLE. 28
141138
142-– 4 –
143- (A) IN THIS SECTION, “QUALIFYING TOURISM E NTERPRISE” AND “TOURISM
144-ZONE” HAVE THE MEANINGS ST ATED IN § 18–401 OF THE LOCAL GOVERNMENT
145-ARTICLE.
139+ (2) BALTIMORE CITY 29
140+ 4 SENATE BILL 14
146141
147- (B) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE
148-GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY GRANT, BY LAW,
149-A PROPERTY TAX CREDI T AGAINST THE COUNTY OR MUNICIPAL CORPORA TION
150-PROPERTY TAX IMPOSED ON A BUILDING THAT :
151142
152- (1) IS LOCATED IN A TOURISM ZONE ; AND
143+ (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , A 1
144+COUNTY OR A MUNICIPAL CORPO RATION MAY EXEMPT FR OM THE ADMISSIONS AN D 2
145+AMUSEMENT TAX GROSS RECEIPTS FROM ANY AD MISSIONS OR AMUSEMEN T CHARGE 3
146+LEVIED BY A QUALIFYING TOURISM E NTERPRISE IN A TOURI SM ZONE. 4
153147
154- (2) IS OWNED BY A QUALIF YING TOURISM ENTERPR ISE.
148+ (II) THE EXEMPTION AUTHORI ZED UNDER SUBPARAGRA PH (I) 5
149+OF THIS PARAGRAPH DO ES NOT APPLY TO THE STATE ADMISSIONS AND AMUSEMENT 6
150+TAX IMPOSED UNDER § 4–102(D) AND (E) OF THIS TITLE. 7
155151
156- (C) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE
157-GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY PROVIDE , BY
158-LAW, FOR:
152+ SECTION 2. AND BE IT FUR THER ENACTED, That the Laws of Maryland read 8
153+as follows: 9
159154
160- (1) THE AMOUNT AND DURAT ION OF THE TAX CREDI T UNDER THIS
161-SECTION;
155+Article – Tax – Property 10
162156
163- (2) ADDITIONAL ELIGIBILI TY CRITERIA FOR THE TAX CREDIT UNDER
164-THIS SECTION;
157+9–268. 11
165158
166- (3) REGULATIONS AND PROC EDURES FOR THE APPLI CATION AND
167-UNIFORM PROCESSING O F REQUESTS FOR THE T AX CREDIT; AND
159+ (A) IN THIS SECTION, “QUALIFYING TOURISM E NTERPRISE” AND “TOURISM 12
160+ZONE” HAVE THE MEANINGS ST ATED IN § 18–401 OF THE LOCAL GOVERNMENT 13
161+ARTICLE. 14
168162
169- (4) ANY OTHER PROVISION NECESSARY TO CARRY OUT THE TAX
170-CREDIT UNDER THIS SE CTION.
163+ (B) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 15
164+GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY GRANT, BY LAW, 16
165+A PROPERTY TAX CREDI T AGAINST THE COUNTY OR MUNICIPAL CORPORA TION 17
166+PROPERTY TAX IMPOSED ON A BUILDING THAT : 18
171167
172-9–269.
168+ (1) IS LOCATED IN A TOUR ISM ZONE; AND 19
173169
174- (A) IN THIS SECTION, “QUALIFYING TOURISM E NTERPRISE” AND “TOURISM
175-ZONE” HAVE THE MEANINGS ST ATED IN § 18–401 OF THE LOCAL GOVERNMENT
176-ARTICLE.
170+ (2) IS OWNED BY A QUALIF YING TOURISM ENTERPR ISE. 20
177171
178- (B) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE
179-GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY GRANT, BY LAW,
180-A PROPERTY TAX CREDI T AGAINST THE COUNTY OR MUNICIPAL CORPORA TION
181-PROPERTY TAX IMPOSED ON PERSONAL PROPERTY OF A QUALIFYING TOUR ISM
182-ENTERPRISE THAT IS L OCATED WITHIN A TOUR ISM ZONE.
183- WES MOORE, Governor Ch. 240
172+ (C) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 21
173+GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY PROVIDE , BY 22
174+LAW, FOR: 23
184175
185-– 5 –
186- (C) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE
187-GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY PROVIDE , BY
188-LAW, FOR:
176+ (1) THE AMOUNT AND DURAT ION OF THE TAX CREDI T UNDER THIS 24
177+SECTION; 25
189178
190- (1) THE AMOUNT AND DURAT ION OF THE TAX CREDI T UNDER THIS
191-SECTION;
179+ (2) ADDITIONAL ELIGIBILI TY CRITERIA FOR THE TAX CREDIT UNDER 26
180+THIS SECTION; 27
192181
193- (2) ADDITIONAL ELIGIBILI TY CRITERIA FOR THE TAX CREDIT UNDER
194-THIS SECTION;
182+ (3) REGULATIONS AND PROC EDURES FOR THE APPLI CATION AND 28
183+UNIFORM PROCESSING O F REQUESTS FOR THE T AX CREDIT; AND 29
195184
196- (3) REGULATIONS AND PROC EDURES FOR THE APPLI CATION AND
197-UNIFORM PROCESSING O F REQUESTS FOR THE T AX CREDIT; AND
185+ (4) ANY OTHER PROVISION NECESSARY TO CARRY O UT THE TAX 30
186+CREDIT UNDER THIS SECTION . 31
187+ SENATE BILL 14 5
198188
199- (4) ANY OTHER PROVISION NECESSARY TO CARRY O UT THE TAX
200-CREDIT UNDER THIS SE CTION.
201189
202- SECTION 3. AND BE IT FURTHER ENACTED, That Section 2 of this Act shall be
203-applicable to all taxable years beginning after June 30, 2024.
190+9–269. 1
204191
205- SECTION 4. AND BE IT FURTHER ENACTED, That this Act shall take effect June
206-1, 2024.
192+ (A) IN THIS SECTION, “QUALIFYING TOURISM E NTERPRISE” AND “TOURISM 2
193+ZONE” HAVE THE MEANINGS ST ATED IN § 18–401 OF THE LOCAL GOVERNMENT 3
194+ARTICLE. 4
207195
208-Approved by the Governor, April 25, 2024.
196+ (B) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 5
197+GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY GRANT, BY LAW, 6
198+A PROPERTY TAX CREDI T AGAINST THE COUNTY OR MUNICIPAL CORPORA TION 7
199+PROPERTY TAX IMPOSED ON PERSONAL PROPERTY OF A QUALIFYING TOUR ISM 8
200+ENTERPRISE THAT IS L OCATED WITHIN A TOUR ISM ZONE. 9
201+
202+ (C) THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY OR THE 10
203+GOVERNING BODY OF A COUNTY OR MUNICIPAL CORPORATIO N MAY PROVIDE , BY 11
204+LAW, FOR: 12
205+
206+ (1) THE AMOUNT AND DURAT ION OF THE TAX CREDI T UNDER THIS 13
207+SECTION; 14
208+
209+ (2) ADDITIONAL ELIGIBILI TY CRITERIA FOR THE TAX CREDIT UNDER 15
210+THIS SECTION; 16
211+
212+ (3) REGULATIONS AND PROC EDURES FOR THE APPLI CATION AND 17
213+UNIFORM PROCESSING O F REQUESTS FOR THE T AX CREDIT; AND 18
214+
215+ (4) ANY OTHER PROVISION NECESSARY TO CARRY O UT THE TAX 19
216+CREDIT UNDER THIS SE CTION. 20
217+
218+ SECTION 3. AND BE IT FURTHER ENACTED, That Section 2 of this Act shall be 21
219+applicable to all taxable years beginning after June 30, 2024. 22
220+
221+ SECTION 4. AND BE IT FURTHER ENACTED, That this Act shall take effect June 23
222+1, 2024. 24
223+
224+
225+
226+
227+Approved:
228+________________________________________________________________________________
229+ Governor.
230+________________________________________________________________________________
231+ President of the Senate.
232+________________________________________________________________________________
233+ Speaker of the House of Delegates.