EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0483*
SENATE BILL 483
C8, C9 4lr4520
CF 4lr4521
By: The President (By Request – Administration) and Senators Beidle, Brooks,
Elfreth, Gile, Hettleman, Lam, Salling, Waldstreicher, M. Washington, and
West
Introduced and read first time: January 22, 2024
Assigned to: Education, Energy, and the Environment and Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Maryland Community Investment Corporation – Establishment 2
(Housing and Community Development Financing Act of 2024) 3
FOR the purpose of establishing the Maryland Community Investment Corporation as an 4
independent unit to make investments in certain low–income communities; 5
authorizing the Board of Directors of the Corporation to establish a certain advisory 6
committee and requiring the Corporation to establish an investment committee; 7
requiring the Corporation to apply for an allocation of federal new markets tax 8
credits; establishing eligible uses of money of the Corporation; expanding the eligible 9
uses of the Strategic Demolition and Smart Growth Impact Fund to include grants 10
and loans for debt payments and for credit enhancement for certain projects; and 11
generally relating to community investment, the Maryland Community Investment 12
Corporation, and the Strategic Demolition and Smart Growth Impact Fund. 13
BY repealing and reenacting, without amendments, 14
Article – Economic Development 15
Section 9–101(a), (c), and (e) 16
Annotated Code of Maryland 17
(2018 Replacement Volume and 2023 Supplement) 18
BY adding to 19
Article – Economic Development 20
Section 10–1101 through 10–1123 to be under the new subtitle “Subtitle 11. 21
Maryland Community Investment Corporation” 22
Annotated Code of Maryland 23
(2018 Replacement Volume and 2023 Supplement) 24
BY repealing and reenacting, with amendments, 25
Article – Housing and Community Development 26 2 SENATE BILL 483
Section 4–508 1
Annotated Code of Maryland 2
(2019 Replacement Volume and 2023 Supplement) 3
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 4
That the Laws of Maryland read as follows: 5
Article – Economic Development 6
9–101. 7
(a) In this division the following words have the meanings indicated. 8
(c) “Department” means the Department of Commerce. 9
(e) “Secretary” means the Secretary of Commerce. 10
SUBTITLE 11. MARYLAND COMMUNITY INVESTMENT CORPORATION . 11
10–1101. 12
(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 13
INDICATED. 14
(B) “BOARD” MEANS THE BOARD OF DIRECTORS OF THE CORPORATION . 15
(C) “CORPORATION ” MEANS THE MARYLAND COMMUNITY INVESTMENT 16
CORPORATION . 17
(D) “INVESTMENT COMMITTEE ” MEANS A COMMITTEE AP POINTED BY THE 18
BOARD TO ADVISE ON AN D APPROVE INVESTMENT S AS REQUIRED UNDER THIS 19
SUBTITLE. 20
(E) “LOW–INCOME COMMUNITY ” MEANS A COMMUNITY IN THE STATE THAT 21
MEETS THE DEFINITION OF A LOW–INCOME COMMUNITY UND ER 26 U.S.C. § 22
45D(E)(1). 23
(F) “NEW MARKETS TAX CREDI T” MEANS THE FEDERAL TA X CREDITS 24
ALLOCATED UNDER 26 U.S.C. § 45D. 25
(G) “QUALIFIED COMMUNITY D EVELOPMENT ENTITY ” MEANS AN ENTITY 26
THAT MEETS THE DEFIN ITION OF A QUALIFIED COMMU NITY DEVELOPMENT ENT ITY 27
UNDER 26 U.S.C. § 45D(C)(1). 28
SENATE BILL 483 3
(H) “QUALIFIED EQUITY INVE STMENT” MEANS AN INVESTMENT THAT 1
MEETS THE DEFINITION OF A QUALIFIED EQUIT Y INVESTMENT UNDER 26 U.S.C. § 2
45D(B)(1). 3
10–1102. 4
THIS SUBTITLE SHALL B E LIBERALLY CONSTRUE D TO CARRY OUT THE 5
PURPOSES OF THIS SUB TITLE. 6
10–1103. 7
(A) THERE IS A MARYLAND COMMUNITY INVESTMENT CORPORATION . 8
(B) THE CORPORATION IS A BODY POLITIC AND CORPORAT E AND IS AN 9
INSTRUMENTALITY OF T HE STATE. 10
10–1104. 11
THE PURPOSES OF THE CORPORATION ARE TO : 12
(1) DO ALL THINGS NECESS ARY TO QUALIFY AS A QUALIFIED 13
COMMUNITY DEVELOPMEN T ENTITY; 14
(2) APPLY TO THE U.S. DEPARTMENT OF THE TREASURY TO BE 15
DESIGNATED AS A QUAL IFIED COMMUNITY DEVE LOPMENT ENTITY; 16
(3) APPLY TO THE U.S. DEPARTMENT OF THE TREASURY FOR AN 17
ALLOCATION OF NEW MA RKETS TAX CREDITS; 18
(4) RECEIVE, MAKE, AND FACILITATE QUALI FIED EQUITY 19
INVESTMENTS AND FINA NCIAL ASSISTANCE AVA ILABLE IN LOW –INCOME 20
COMMUNITIES IN THE STATE; 21
(5) ALLOCATE ANY NEW MARKE TS TAX CREDITS RECEIVED BY THE 22
CORPORATION ; 23
(6) COORDINATE WITH OTHE R QUALIFIED COMMUNIT Y 24
DEVELOPMENT ENTITIES IN THE STATE TO HELP ENSURE THAT LOW–INCOME 25
COMMUNITIES ARE RECE IVING THE MAXIMUM BE NEFIT OF QUALIFIED E QUITY 26
INVESTMENTS ; 27
4 SENATE BILL 483
(7) MAKE INVESTMENTS AND FINANCIAL ASSISTANCE AVAILABLE TO 1
LOW–INCOME COMMUNITIES F ROM THE CORPORATION ’S MONEY OR FROM ANY 2
OTHER SOURCE ; 3
(8) BUILD A LONG –TERM FINANCIAL CAPAC ITY AND SUSTAINED 4
INVESTMENT IN LOW –INCOME COMMUNITIES I N THE STATE; 5
(9) COORDINATE AND CREAT E PATHWAYS TO FOLLOW –ON FINANCING 6
IN THE STATE; AND 7
(10) FOSTER INCLUSIVE AND DIVERSE ENTREPRENEUR SHIP AND 8
INNOVATION THROUGHOU T THE STATE, WHICH MAY INCLUDE IN ITIATIVES TO RAISE 9
AWARENESS OF PROGRAM S TO ASSIST LOW–INCOME COMMUNITIES . 10
10–1105. 11
(A) A BOARD OF DIRECTORS SHALL MANAG E THE CORPORATION AND ITS 12
UNITS AND EXERCISE I TS CORPORATE POWERS . 13
(B) THE BOARD CONSISTS OF THE FOLLOWING MEMBERS : 14
(1) THE COMPTROLLER OR THE COMPTROLLER ’S DESIGNEE; 15
(2) THE SECRETARY OR THE SECRETARY’S DESIGNEE; 16
(3) THE SECRETARY OF HOUSING AND COMMUNITY DEVELOPMENT 17
OR THE SECRETARY’S DESIGNEE; 18
(4) THE SECRETARY OF PLANNING OR THE SECRETARY’S DESIGNEE; 19
(5) THE SECRETARY OF GENERAL SERVICES OR THE SECRETARY’S 20
DESIGNEE; AND 21
(6) THE FOLLOWING MEMBERS APPOINTED BY THE GOVERNOR WITH 22
THE ADVICE AND CONSE NT OF THE SENATE: 23
(I) ONE REPRESENTATIVE OF NONPROFIT ENTITIES I N THE 24
STATE; AND 25
(II) ONE REPRESENT ATIVE OF LOW–INCOME COMMUNITIES . 26
(C) A MEMBER OF THE BOARD SHALL RESIDE IN THE STATE. 27
SENATE BILL 483 5
(D) IN MAKING APPOINTMENT S TO THE BOARD, THE GOVERNOR SHALL 1
CONSIDER: 2
(1) DIVERSITY; AND 3
(2) ALL GEOGRAPHIC REGIO NS OF THE STATE. 4
(E) A MEMBER OF THE BOARD: 5
(1) MAY NOT RECEIVE COMP ENSATION AS A MEMBER OF THE BOARD; 6
BUT 7
(2) IS ENTITLED TO REIMBURS EMENT FOR EXPENSES U NDER THE 8
STANDARD STATE TRAVEL REGULATIONS, AS PROVIDED IN THE STATE BUDGET . 9
(F) (1) THE TERM OF AN APPOIN TED MEMBER IS 4 YEARS. 10
(2) THE TERMS OF THE APPO INTED MEMBERS ARE ST AGGERED AS 11
REQUIRED BY THE TERM S PROVIDED FOR MEMBERS ON OCTOBER 1, 2024. 12
(3) AT THE END OF A TERM , AN APPOINTED MEMBER CONTINUES TO 13
SERVE UNTIL A SUCCES SOR IS APPOINTED AND QUALIFIES. 14
(4) A MEMBER WHO IS APPOIN TED AFTER A TERM HAS BEGUN SERVES 15
ONLY FOR THE REST OF THE TERM AND UNTIL A SUCCESSOR IS APPOINT ED AND 16
QUALIFIES. 17
(G) (1) THIS SUBSECTION APPLI ES TO A MEMBER WHO I S APPOINTED BY 18
THE GOVERNOR UNDER SUBSEC TION (B)(6) OF THIS SECTION. 19
(2) THE GOVERNOR MAY REMOVE A N APPOINTED MEMBER F OR 20
INCOMPETENCE , MISCONDUCT , OR FAILURE TO PERFORM THE DUTIES O F THE 21
POSITION. 22
10–1106. 23
THE BOARD SHALL ELECT A C HAIR FROM AMONG ITS MEMBERS. 24
10–1107. 25
(A) FOUR MEMBERS OF THE BOARD ARE A QUORUM . 26
6 SENATE BILL 483
(B) A MAJORITY VOTE OF THE MEMBERS PRESENT AT A MEETING HAVING A 1
QUORUM IS NEEDED FOR THE CORPORATION TO ACT . 2
10–1108. 3
(A) THE BOARD SHALL APPOINT M EMBERS OF AN ADVISOR Y COMMITTEE . 4
(B) THE MEMBERSHIP OF THE ADVISORY COMMITTEE S HALL BE COMPOSED 5
OF MEMBERS REQUIRED FOR THE CORPORATION TO QUALIF Y AS A QUALIFIED 6
COMMUNITY DEVELOPMEN T ENTITY UNDER 26 U.S.C. § 45D(C)(1). 7
(C) THE BOARD SHALL ADOPT POL ICIES ESTABLISHING T HE 8
RESPONSIBILITIES OF THE ADVISORY COMMITT EE. 9
10–1109. 10
(A) THE CORPORATION SHALL EST ABLISH AN INVESTMENT COMMITTEE. 11
(B) THE CORPORATION SHALL ADO PT REGULATIONS ESTABLISHING : 12
(1) THE RESPONSIBILITIES OF THE INVESTMENT CO MMITTEE; AND 13
(2) THE PROCEDURES FOR T HE APPOINTMENT OF IN VESTMENT 14
COMMITTEE MEMBERS . 15
10–1110. 16
(A) THE CORPORATION SHALL EMP LOY A CHIEF EXECUTIVE OFFICER. 17
(B) THE CHIEF EXECUTIVE OFFICER SHALL HAVE EXPERIENC E WITH AND 18
POSSESS QUALIFICATIO NS RELEVANT TO THE A CTIVITIES AND PURPOS ES OF THE 19
CORPORATION . 20
(C) THE CHIEF EXECUTIVE OFFICER MAY NOT BE A MEMBER OF THE 21
BOARD. 22
10–1111. 23
(A) THE ATTORNEY GENERAL IS THE LEGAL ADVISOR TO THE 24
CORPORATION. 25
(B) (1) THE ATTORNEY GENERAL SHALL ASSIGN TO THE CORPORATION 26
ASSISTANT ATTORNEYS GENERAL. 27 SENATE BILL 483 7
(2) THE ATTORNEY GENERAL SHALL DESIGNA TE ONE ASSISTANT 1
ATTORNEY GENERAL AS GENERAL CO UNSEL TO THE CORPORATION . 2
(3) (I) THE GENERAL COUNSEL T O THE CORPORATION SHALL : 3
1. ADVISE THE CHIEF EXECUTIVE OFFICER, THE 4
BOARD, AND ANY OTHER OFFICI AL OF THE CORPORATION AS REQUES TED BY THE 5
CORPORATION ; 6
2. SUPERVISE THE OTHER ASSISTANT ATTORNEYS 7
GENERAL ASSIGNED TO T HE CORPORATION ; AND 8
3. PERFORM FO R THE CORPORATION OTHER DUT IES 9
THE ATTORNEY GENERAL ASSIGNS . 10
(II) THE GENERAL COUNSEL M AY NOT PROVIDE ANY O THER 11
ASSISTANCE NOT SPECI FIED IN SUBPARAGRAPH (I) OF THIS PARAGRAPH . 12
(C) WITH THE APPROVAL OF THE ATTORNEY GENERAL, THE CORPORATION 13
MAY RETAIN ANY ADDIT IONAL NECESSARY ATTORNEYS. 14
10–1112. 15
(A) THE DEPARTMENT AND THE DEPARTMENT OF HOUSING AND 16
COMMUNITY DEVELOPMENT MAY PROVI DE STAFF TO THE CORPORATION AS 17
PROVIDED IN THE STATE BUDGET. 18
(B) THE CORPORATION MAY RETAI N ANY NECESSARY ACCO UNTANTS, 19
ENGINEERS, FINANCIAL ADVISORS , OR OTHER CONSULTANTS . 20
10–1113. 21
(A) EXCEPT AS PROVIDED IN SUBSECTIONS (B), (C), AND (E) OF THIS 22
SECTION, THE CORPORATION IS EXEMPT FROM TITLE 10 AND DIVISION II OF THE 23
STATE FINANCE AND PROCUREMENT ARTICLE. 24
(B) THE CORPORATION IS SUBJEC T TO THE PUBLIC INFORMATION ACT. 25
(C) THE BOARD, THE OFFICERS AND EMP LOYEES OF THE CORPORATION , 26
MEMBERS OF THE INVES TMENT COMMITTEE , AND MEMBERS OF ANY A DVISORY 27
COMMITTEE APPOINTED ARE S UBJECT TO THE PUBLIC ETHICS LAW. 28
8 SENATE BILL 483
(D) THE OFFICERS AND EMPL OYEES OF THE CORPORATION ARE NOT 1
SUBJECT TO THE PROVI SIONS OF DIVISION I OF THE STATE PERSONNEL AND 2
PENSIONS ARTICLE THAT GOVERN T HE STATE PERSONNEL MANAGEMENT SYSTEM. 3
(E) (1) THE CORPORATION , THE BOARD, AND EMPLOYEES OF THE 4
CORPORATION ARE SUBJECT TO TITLE 12, SUBTITLE 4 OF THE STATE FINANCE AND 5
PROCUREMENT ARTICLE. 6
(2) THE BOARD, THE OFFICERS AND EMP LOYEES OF THE 7
CORPORATION , THE MEMBERS OF THE I NVESTMENT COMMITTEE , AND THE 8
MEMBERS OF ANY ADVIS ORY COMMITTEE APPOIN TED SHALL DISCLOSE T O THE 9
STATE ETHICS COMMISSION WHETHER TH EY ARE EMPLOYED BY O R HAVE A 10
FINANCIAL INTEREST I N AN ENTITY THAT CUR RENTLY HAS OR WILL A PPLY FOR 11
FUNDS OR AN INVESTME NT IN A PROGRAM ADMI NISTERED BY THE CORPORATION . 12
(F) FOR PURPOSES OF THE OPEN MEETINGS ACT, A PROJECT SITE VISIT OR 13
EDUCATIONAL FIELD TO UR MAY NOT BE CONSID ERED A MEETING OF TH E 14
CORPORATION IF NO ORG ANIZATIONAL BUSINESS IS CONDUCTED . 15
10–1114. 16
(A) THE CORPORATION SHALL EST ABLISH A SYSTEM OF FINANCIAL 17
ACCOUNTING , CONTROLS, AUDITS, AND REPORTS . 18
(B) THE FISCAL YEAR OF TH E CORPORATION BEGINS ON JULY 1 AND ENDS 19
ON THE FOLLOWING JUNE 30. 20
10–1115. 21
(A) THE CORPORATION MAY CREAT E AND ADMINISTER THE ACCOUNTS 22
THAT IT REQUIRES . 23
(B) THE CORPORATION SHALL DEP OSIT ITS MONEY INTO A STATE OR 24
NATIONAL BANK OR A F EDERALLY INSURED SAV INGS AND LOAN ASSOCI ATION THAT 25
HAS A TOTAL PAID–IN CAPITAL OF AT LEA ST $1,000,000. 26
(C) THE CORPORATION MAY DESIG NATE THE TRUST DEPAR TMENT OF A 27
STATE BANK , NATIONAL BANK, OR SAVINGS AND LOAN ASSOCIATION AS A 28
DEPOSITORY TO RECEIV E SECURITIES THAT TH E CORPORATION OWNS OR 29
ACQUIRES. 30
(D) UNLESS AN AGREEMENT O R COVENANT BETWEEN T HE CORPORATION 31
AND THE HOLDERS OF I TS OBLIGATIONS LIMIT S CLASSES OF INVESTM ENTS, THE 32 SENATE BILL 483 9
CORPORATION MAY INVEST ITS MONEY IN BONDS OR OT HER OBLIGATIONS OF , OR 1
GUARANTEED AS TO PRI NCIPAL AND INTEREST BY, THE UNITED STATES, THE 2
STATE, OR A GOVERNMENTAL UN IT. 3
(E) ANY INCOME FROM THE I NVESTMENT OF MONEY O F THE CORPORATION , 4
INCLUDING INVESTMENT PROCEEDS AND EARNINGS , SHALL BE CREDITED TO THE 5
CORPORATION . 6
10–1116. 7
THE CORPORATION MAY : 8
(1) ADOPT BYLAWS FOR THE CONDUCT OF ITS BUSIN ESS; 9
(2) ADOPT A SEAL; 10
(3) MAINTAIN OFFICES AT A PLACE IT DESIGNATE S IN THE STATE; 11
(4) ACCEPT LOANS , GRANTS, INVESTMENTS , OR ASSISTANCE OF ANY 12
KIND FROM THE FEDERA L OR STATE GOVERNMENT , A LOCAL GOVERNMENT , A 13
COLLEGE OR UNIVERSIT Y, OR A PRIVATE SOURCE ; 14
(5) ENTER INTO CONTRACTS AND OTHER LEGAL INST RUMENTS; 15
(6) SUE OR BE SUED; 16
(7) ACQUIRE, PURCHASE, HOLD, LEASE AS LESSEE, AND USE: 17
(I) A FRANCHISE, PATENT, OR LICENSE; 18
(II) ANY REAL, PERSONAL, MIXED, TANGIBLE, OR INTANGIBLE 19
PROPERTY; OR 20
(III) AN INTEREST IN THE P ROPERTY LISTED IN TH IS ITEM; 21
(8) SELL, LEASE AS LESSOR , TRANSFER, LICENSE, ASSIGN, OR 22
DISPOSE OF PROPERTY OR A PROPERTY INTERE ST THAT IT ACQUIRES ; 23
(9) FIX AND COLLECT RATE S, RENTALS, FEES, ROYALTIES, AND 24
CHARGES FOR SERVICES AND RESOURCES IT PRO VIDES OR MAKES AVAIL ABLE; 25
10 SENATE BILL 483
(10) CREATE, OWN, CONTROL, OR BE A MEMBER OF A CORPORATION , 1
LIMITED LIABILITY COMP ANY, PARTNERSHIP , OR OTHER ENTITY , WHETHER 2
OPERATED FOR PROFIT OR NOT FOR PROFIT ; 3
(11) EXERCISE POWER USUAL LY POSSESSED BY A PR IVATE 4
CORPORATION IN PERFO RMING SIMILAR FUNCTI ONS UNLESS TO DO SO WOULD 5
CONFLICT WITH STATE LAW; AND 6
(12) DO ALL THINGS NECESS ARY OR CONVENIENT TO CARRY OUT THIS 7
SUBTITLE. 8
10–1117. 9
THE BOARD SHALL: 10
(1) DEVELOP A PUBLIC AND INTERNAL STRATEGIC P LAN THAT 11
INCLUDES: 12
(I) PERFORMANCE GOALS AN D MEASURES; 13
(II) A MISSION STATEMENT AN D CORE VALUES ; 14
(III) AN ANALYSIS OF STREN GTHS, WEAKNESSES , 15
OPPORTUNITIES , AND THREATS ; 16
(IV) ACTION PLANS; AND 17
(V) YEARLY AND LONG –TERM GOALS AND OBJEC TIVES; 18
(2) REVIEW STRATEGIC PLA NS AND UPDATE THE PLANS ANNUALLY 19
TO MEASURE PERFORMAN CE; 20
(3) APPROVE COMPENS ATION PLANS FOR THE CHIEF EXECUTIVE 21
OFFICER AND EMPLOYEES OF THE CORPORATION ; 22
(4) DESIGNATE A PERSON T O REVIEW AND APPROVE EXPENSE 23
REIMBURSEMENTS OF TH E CHIEF EXECUTIVE OFFICER AND EMPLOYEES OF THE 24
CORPORATION IN ACCORD ANCE WITH STANDARDS ESTABLISHED BY THE BOARD; 25
(5) DESIGNATE A PERSON T O RECEIVE ETHICS COMPLAINTS AND ANY 26
COMPLAINTS INVOLVING THE BOARD, THE CHIEF EXECUTIVE OFFICER, AND 27
EMPLOYEES OF THE CORPORATION ; 28
SENATE BILL 483 11
(6) ESTABLISH POLICIES T HAT GOVERN: 1
(I) SEVERANCE PACKAGES F OR EMPLOYEES THAT 2
INVOLUNTARILY LEAVE E MPLOYMENT ; 3
(II) TUITION REIMBURSEMEN T AND LIMITS FOR EMP LOYEES; 4
(III) ELIGIBLE EXPENSE REI MBURSEMENT REQUIREMENT S 5
THAT INCLUDE : 6
1. THE TYPES OF EXPENSES THAT ARE CONSIDERED 7
PART OF CORPORATION FUNCTIONS ; 8
2. LIMITS ON REIMBURSEMENTS AND T IME FRAMES FOR 9
SUBMISSION; AND 10
3. ALLOWABLE TRAVEL EXPENSES INCL UDING ANY 11
OUT–OF–STATE TRAVEL; 12
(IV) THE USE OF ALL CORPORATION EQUIPMENT , PERSONAL 13
PROPERTY, AND REAL PROPERTY AN D WHETHER ANY PROPER TY MAY BE 14
TRANSFERRED TO A DEP ARTING EMPLOYEE ; AND 15
(V) WHISTLEBLOWER COMPLA INTS AND PROTECTIONS FOR 16
THOSE FILING COMPLAI NTS; AND 17
(7) CONDUCT AN ANNUAL PE RFORMANCE REVIEW OF THE CHIEF 18
OPERATING OFFICER. 19
10–1118. 20
(A) EXCEPT AS PROVIDED IN SUBSECTION (C) OF THIS SECTION , THE 21
CORPORATION MAY MAKE QUALIFIED EQUITY INV ESTMENTS AND OTHER F INANCIAL 22
ASSISTANCE AVAILABLE TO PROJECT S IN LOW–INCOME COMMUNITIES IF THE 23
INVESTMENTS ARE MADE ON REVIEW AND APPROV AL OF A WRITTEN APPL ICATION 24
THAT CONTAINS: 25
(1) SUFFICIENT INFORMATI ON TO VERIFY THAT TH E PROJECT IS IN 26
THE STATE; AND 27
(2) A CERTIFICATION OF T HE VERACITY OF THE I NFORMATION BY AN 28
AUTHORIZED SIGNATORY OF THE APPLICANT . 29
12 SENATE BILL 483
(B) IN REGARD TO ANY AND ALL PROGRAMS OF THE CORPORATION , EXCEPT 1
AS OTHERWISE PR OVIDED IN THIS SUBTI TLE, THE CORPORATION SHALL ADO PT 2
REGULATIONS TO GOVER N INVESTMENTS UNDER THIS SUBSECTION THAT SPECIFY: 3
(1) THE TYPES OF BUSINES SES AND PROJECTS IN WHICH AN 4
INVESTMENT MAY BE MA DE; 5
(2) THE BASIC STANDARDS AN ENTERPRISE SHALL MEET TO QUALIFY 6
FOR AN INVESTMENT ; 7
(3) THE AMOUNT OF MONEY AVAILABLE FOR INVEST MENT; 8
(4) THE INVESTMENT POLIC Y STATEMENT OF THE CORPORATION 9
THAT DESCRIBES THE P ROCEDURES , CRITERIA, INVESTMENT PHILOSOPH Y, AND 10
GUIDELINES FOR HOW T HE CORPORATION ’S INVESTMENT DECISIONS WILL BE 11
MADE; AND 12
(5) A PROCESS FOR CONSID ERING WHETHER INVESTMENTS HELP TO 13
FOSTER INCLUSIVE AND DIVERSE ENTREPRENEUR SHIP, INCLUDING THE 14
CORPORATION ’S SUPPORT FOR LOW –INCOME COMMUNITIES . 15
(C) THE CORPORATION MAY MAKE INVESTMENTS UNDER AN AGREEMENT 16
WITH THE BOARD OF TRUSTEES FOR THE STATE RETIREMENT AND PENSION 17
SYSTEM UNDER § 21–123.2 OF THE STATE PERSONNEL AND PENSIONS ARTICLE. 18
10–1119. 19
THE CORPORATION MAY : 20
(1) PROVIDE EQUITY INVES TMENT TO A QUALIFIED BUSINESS OR 21
PROJECT IN THE FORM OF A GRANT, LOAN, TAX CREDIT ALLOCATIO N, OR ANY OTHER 22
FORM OF FINANCIAL AS SISTANCE TO CARRY OU T ITS PURPOSES; 23
(2) ACQUIRE, DEVELOP, IMPROVE, MANAGE, MARKET, LICENSE, 24
SUBLICENSE, MAINTAIN, LEASE AS LESSOR OR L ESSEE, OR OPERATE A PROJECT IN 25
THE STATE TO CARR Y OUT ITS PURPOSES ; AND 26
(3) ACQUIRE, DIRECTLY OR INDIRECT LY, FROM A PERSON OR 27
POLITICAL SUBDIVISIO N, BY PURCHASE , GIFT, OR DEVISE, ANY PROPERTY , 28
RIGHTS–OF–WAY, FRANCHISES, EASEMENTS, OR OTHER INTERESTS I N LAND, 29
INCLUDING SUBMERGED LAND AND RIPARIAN RI GHTS: 30
SENATE BILL 483 13
(I) AS NECESSARY OR CONV ENIENT TO IMPROVE OR OPERATE 1
A PROJECT TO CARRY O UT ITS PURPOSES ; AND 2
(II) ON THE TERMS AND AT THE PRICES THAT THE 3
CORPORATION CONSIDERS REASONABLE . 4
10–1120. 5
A DEBT, CLAIM, OBLIGATION, OR LIABILITY OF THE CORPORATION OR ANY 6
SUBSIDIARY IS NOT : 7
(1) A DEBT, CLAIM, OBLIGATION, OR LIABILITY OF THE STATE, A UNIT 8
OR INSTRUMENTALITY O F THE STATE, OR OF A STATE OFFICER OR STATE 9
EMPLOYEE; OR 10
(2) A PLEDGE OF THE CRED IT OF THE STATE. 11
10–1121. 12
THE CORPORATION IS EXEMPT FROM STATE AND LOCAL TAXES . 13
10–1122. 14
(A) THE BOOKS AND RECORDS OF THE CORPORATION ARE SUBJE CT TO 15
AUDIT: 16
(1) AT ANY TIME BY THE STATE; AND 17
(2) EACH YEAR BY AN INDE PENDENT AUDITOR , INCLUDING AN 18
ANNUAL FINANCIAL STA TEMENT UNDER GENERAL LY ACCEPTED ACC OUNTING 19
PRINCIPLES. 20
(B) THE CORPORATION SHALL CON DUCT AN INDEPENDENT ASSESSMENT 21
OF THE BOARD AND THE CORPORATION EVERY 5 YEARS. 22
10–1123. 23
(A) (1) ON OR BEFORE OCTOBER 1 EACH YEAR, THE CORPORATION 24
SHALL REPORT TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE 25
STATE GOVERNMENT ARTICLE, THE GENERAL ASSEMBLY. 26
(2) THE REPORT REQUIRED U NDER THIS SUBSECTION SHALL 27
INCLUDE: 28 14 SENATE BILL 483
(I) A COMPLETE OPERATING AND FINANCIAL STATEM ENT 1
COVERING THE CORPORATION ’S OPERATIONS; 2
(II) A SUMMARY OF THE CORPORATION ’S ACTIVITIES DURING 3
THE PRECEDING FISCAL YEAR; 4
(III) INFORMATION ON ALL S ALARIES AND ANY INCE NTIVES 5
APPROVED BY THE BOARD FOR CORPORATION EMPLOYEES ; 6
(IV) INFORMATION ON OUTRE ACH, TRAINING, MENTORSHIP , 7
SUPPORT, AND INVESTMENT IN MI NORITY– AND WOMEN –OWNED QUALIFIED 8
BUSINESSES, INCLUDING SUPPORT FO R MARKETING BY THE MARYLAND SMALL 9
BUSINESS DEVELOPMENT FINANCING AUTHORITY; 10
(V) INFORMATION ON ENTIT IES THAT HAVE CURREN T 11
INVESTMENTS AND ENTI TIES THAT RECEIVED F UNDING OR INVESTMENT S IN THE 12
CURRENT YEAR O N: 13
1. THE PRINCIPAL BUSINESS O PERATIONS; 14
2. THE NUMBER OF EMPLOYEES IN THE STATE AND THE 15
NUMBER OF EMPLOYEES OUTSIDE THE STATE; 16
3. THE CAPITAL OR OTHER INV ESTMENTS MADE IN THE 17
STATE; AND 18
4. THE PROPOSED AND ACTUAL JOB CREATION OR 19
CAPITAL INVESTMENT I N THE STATE AS A RESULT OF THE INVESTMENT OR 20
SUPPORT; 21
(VI) INFORMATION ON THE C REATION OF AND APPOI NTMENTS 22
MADE TO AN ADVISORY COMMITTEE AND THE RE SPONSIBILITIES OF TH E ADVISORY 23
COMMITTEE AND MEMBER S OF THE COMMITTEE ; AND 24
(VII) THE POLICIES OF THE BOARD AND ANY CHANGES TO 25
EXISTING POLICIES . 26
(B) (1) ON A QUARTERLY BASIS , THE CORPORATION SHALL REP ORT TO 27
THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT 28
ARTICLE, THE JOINT AUDIT AND EVALUATION COMMITTEE AND THE GENERAL 29
ASSEMBLY. 30
SENATE BILL 483 15
(2) THE REPORT REQUIRED U NDER THIS SUBSECTION SHALL 1
INCLUDE A LIST OF TH E BUSINESSES AND PRO JECTS RECEIVING SUPP ORT THROUGH 2
PROGRAMS ADMINISTERE D BY THE CORPORATION , INCLUDING THOSE RECE IVING 3
INVESTMENTS MADE UND ER § 21–123.2 OF THE STATE PERSONNEL AND PENSIONS 4
ARTICLE. 5
(3) THE LIST OF BUSINESSE S AND PROJECTS RECEI VING SUPPORT 6
SHALL INCLUDE FOR EA CH: 7
(I) THE NUMBER OF EMPLOY EES IN THE STATE; 8
(II) THE NUMBER OF EMPLOY EES OUTSIDE THE STATE; 9
(III) THE CAPITAL OR OTHER INVESTMENTS MA DE IN THE STATE; 10
AND 11
(IV) PROPOSED JOB CREATIO N OR CAPITAL INVESTM ENT IN THE 12
STATE AS A RESULT OF THE INVESTMENT OR SU PPORT. 13
(C) THE CORPORATION SHALL PUB LISH ANNUAL FINANCIA L STATEMENTS , 14
AUDIT REPORTS , AND POLICIES OF THE BOARD VISIBLY ON ITS WEBSIT E. 15
Article – Housing and Community Development 16
4–508. 17
(a) In this section, “Fund” means the Strategic Demolition and Smart Growth 18
Impact Fund. 19
(b) There is a Strategic Demolition and Smart Growth Impact Fund. 20
(c) The purpose of the Fund is to provide grants and loans to assist in 21
predevelopment activities, including interior and exterior demolition, land assembly, 22
architecture and engineering, [and] site development, DEBT PAYMENTS , AND CREDIT 23
ENHANCEMENT for revitalization projects in designated areas of the State. 24
(d) The Department shall administer the Fund. 25
(e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 26
the State Finance and Procurement Article. 27
(2) The State Treasurer shall hold the Fund separately, and the 28
Comptroller shall account for the Fund. 29
(f) The Fund consists of: 30 16 SENATE BILL 483
(1) money appropriated in the State budget to the Fund; 1
(2) repayments of loans made from the Fund; 2
(3) interest earnings of the Fund; and 3
(4) any other money from any other source accepted for the benefit of the 4
Fund. 5
(g) (1) The Fund may be used only to provide grants and loans to government 6
agencies and community development organizations for interior and exterior demolition, 7
land assembly, architecture and engineering, [and] site development, DEBT PAYMENTS , 8
AND CREDIT ENHANCEME NT for revitalization projects in an area designated as: 9
(i) a Sustainable Community; or 10
(ii) a qualified opportunity zone designated under § 1400Z–1 of the 11
Internal Revenue Code in Allegany County, Garrett County, Somerset County, or Wicomico 12
County. 13
(2) (i) For fiscal years 2017 through 2019, to be eligible for a grant or 14
loan from the Fund, a government agency or community development organization shall 15
provide evidence of a matching fund that is equal to $1 for every $4 in State funding that 16
the agency or organization is applying for from the Fund. 17
(ii) The matching fund required under subparagraph (i) of this 18
paragraph may include: 19
1. money from the federal government, local government, or 20
any other public or private source; 21
2. real property; 22
3. in–kind contributions; and 23
4. funds expended before the date the grant or loan is 24
awarded. 25
(3) For fiscal year 2020 and each fiscal year thereafter, to be eligible for a 26
grant or loan from the Fund, a government agency or community development organization 27
is not required to provide evidence of a matching fund. 28
(4) The Department shall award grants and loans from the Fund on a 29
competitive basis. 30
(h) (1) The State Treasurer shall invest the money of the Fund in the same 31 SENATE BILL 483 17
manner as other State money may be invested. 1
(2) Any interest earnings of the Fund shall be credited to the Fund. 2
(i) Expenditures from the Fund may be made only in accordance with the State 3
budget. 4
(j) (1) For fiscal year 2018, the Governor shall include in the annual budget 5
bill or capital budget bill an appropriation of $25,625,000 from general funds or the 6
proceeds from the sale of State general obligation bonds to the Fund, which shall be 7
allocated as follows: 8
(i) $22,125,000 for projects in Baltimore City; and 9
(ii) $3,500,000 for projects throughout the State. 10
(2) For fiscal year 2019, the Governor shall include in the annual budget 11
bill or capital budget bill an appropriation of $28,500,000 from general funds or the 12
proceeds from the sale of State general obligation bonds to the Fund, which shall be 13
allocated as follows: 14
(i) $25,000,000 for projects in Baltimore City; and 15
(ii) $3,500,000 for projects throughout the State. 16
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 17
1, 2024. 18