EXPLANATION: CAPITALS INDICATE MATTER ADDE D TO EXISTING 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.
*hb1061*
HOUSE BILL 1061
P1, C9, M5 5lr0753
By: Delegate Moon
Introduced and read first time: February 5, 2025
Assigned to: Appropriations
Committee Report: Favorable with amendments
House action: Adopted
Read second time: March 1, 2025
CHAPTER ______
AN ACT concerning 1
State–Owned Property – Inventory and Disposition – Housing and Solar Energy 2
Production 3
FOR the purpose of requiring each unit of State government to submit to the Department 4
of Planning an inventory of State–owned property used or controlled by the unit; 5
requiring the Department of Planning to determine the suitability of each property 6
for use or redevelopment for housing or solar energy production; requiring a unit to 7
sell or donate certain State–owned property in a certain manner for certain uses 8
under certain circumstances; requiring the Department of Housing and Community 9
Development to set certain goals by a certain date; and generally relating to the use 10
and disposition of State–owned property. 11
BY repealing and reenacting, with amendments, 12
Article – Housing and Community Development 13
Section 2–203 14
Annotated Code of Maryland 15
(2019 Replacement Volume and 2024 Supplement) 16
BY repealing and reenacting, without amendments, 17
Article – State Finance and Procurement 18
Section 5–101 19
Annotated Code of Maryland 20
(2021 Replacement Volume and 2024 Supplement) 21
BY adding to 22 2 HOUSE BILL 1061
Article – State Finance and Procurement 1
Section 5–1001 and 5–1002 to be under the new subtitle “Subtitle 10. State–Owned 2
Real Property” 3
Annotated Code of Maryland 4
(2021 Replacement Volume and 2024 Supplement) 5
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAN D, 6
That the Laws of Maryland read as follows: 7
Article – Housing and Community Development 8
2–203. 9
(a) (1) In this section the following words have the meanings indicated. 10
(2) “Affordable housing” means residential property that is rented or sold 11
to the public as low–income housing or workforce housing. 12
(3) “Area median income” has the meaning stated in § 4–1801 of this 13
article. 14
(4) “Low–income housing” means housing that is affordable for a household 15
with an aggregate annual income that is below 60% of the area median income. 16
(5) “Workforce housing” has the meaning stated in § 4–1801 of this article. 17
(b) (1) (i) Not later than 60 days after the notice provided under § 5–310(d) 18
of the State Finance and Procurement Article, the Department shall, in consultation with 19
the unit of State government that controls the property, determine if the property is 20
suitable for use or redevelopment as affordable housing. 21
(ii) The Department may not identify a property as suitable for use 22
or redevelopment as affordable housing if the property: 23
1. is located outside an area designated as a priority funding 24
area under Title 5, Subtitle 7B of the State Finance and Procurement Article; or 25
2. belongs in a category of property listed in § 5–310(c)(1)(i) 26
of the State Finance and Procurement Article. 27
(iii) When determining if a property is suitable for use or 28
redevelopment as affordable housing, the Department shall consider whether the property: 29
1. is adequately sized for any type of residential use; 30
2. has access to public utilities; 31
HOUSE BILL 1061 3
3. has access to feasible ingress and egress points; and 1
4. meets any other factors determined by the Department 2
that are necessary for the property to be used or redeveloped as affordable housing. 3
(2) The Department shall compile and regularly update a list of properties 4
it has determined are suitable for use or redevelopment as affordable housing. 5
(3) For each property included in the list required under paragraph (2) of 6
this subsection, the Department shall: 7
(i) give notice of the determination to: 8
1. the unit of State government that controls the property; 9
and 10
2. the State Treasurer; and 11
(ii) advise the unit of State government of the requirements of 12
subsection (c) of this section. 13
(4) The list required under paragraph (2) of this subsection shall be made 14
available to the public. 15
(c) (1) (i) Except as provided in paragraphs (4) and (5) of this subsection, 16
on receipt of the notice required under subsection (b)(3) of this section, the unit of State 17
government shall, in consultation with the Department and the Department of Planning, 18
develop a proposal to donate or sell the listed property by: 19
1. donating or selling the property to a nonprofit 20
organization that contracts to use or redevelop the property, IN WHOLE OR IN PART , as 21
affordable housing OR A MIXED –USE DEVELOPMENT CONT AINING AFFORDABLE 22
HOUSING; or 23
2. SELLING THE PROPERTY TO A BUYER THAT 24
CONTRACTS TO USE OR REDEVELOP THE PROPER TY AS AFFORDABLE HOU SING; OR 25
3. selling the property to a buyer that contracts to use or 26
redevelop the property as [affordable] housing OR A MIXED –USE DEVELOPMENT 27
CONTAINING HOUSING . 28
(ii) 1. If, after reasonable effort, the unit is unable to identify a 29
suitable nonprofit organization or buyer in accordance with subparagraph (i) of this 30
paragraph, EXCEPT AS PROVIDED I N SUBSUBPARAGRAPH 2 OF THIS SUBPARAGRAPH , 31
the unit shall develop a proposal to sell the property at auction. 32
4 HOUSE BILL 1061
2. IF, AFTER REASONABLE EFF ORT, THE UNIT IS UNABLE 1
TO IDENTIFY A SUITAB LE NONPROFIT ORGANIZ ATION OR BUYER IN AC CORDANCE 2
WITH SUBPARAGRAPH (I) OF THIS PARAGRAPH AN D IF THE DEPARTMENT OF 3
PLANNING HAS DETERMIN ED THAT THE PROPERTY IS SUITABLE FOR USE FOR 4
SOLAR ENERGY PRODUCT ION UNDER § 5–1002 OF THE STATE FINANCE AND 5
PROCUREMENT ARTICLE, THE UNIT SHALL DEVEL OP A PROPOSAL TO FIR ST 6
ATTEMPT TO LEASE THE PROPERTY FOR SOLAR E NERGY PRODUCTION AND IF THE 7
UNIT IS UNABLE TO LE ASE THE PROPERTY , THEN SELL THE PROPER TY AT AUCTION. 8
(iii) A proposal developed under this paragraph shall be submitted to 9
the Board of Public Works for consideration in accordance with § 10–305 of the State 10
Finance and Procurement Article. 11
(2) The unit of State government shall consider the proposed period of 12
affordability, the number of affordable housing units created, and the viability of an offer 13
when evaluating offers from multiple nonprofit organizations or buyers under this 14
subsection. 15
(3) When a property is donated or sold in accordance with a proposal 16
developed under this subsection, the unit shall give notice of the disposition to the 17
Department. 18
(4) A unit may not propose to donate or sell a property under this 19
subsection if the donation or sale would: 20
(i) violate any covenant or applicable federal law; or 21
(ii) in the opinion of the State Treasurer, adversely affect the 22
tax–exempt status of an outstanding State bond, the proceeds of which were allocated to 23
purchase or improve the property. 24
(5) Nothing in this subsection shall be construed to supersede the right of 25
a person from whom real property was acquired or their successor in interest to reacquire 26
the property under § 8–309 of the Transportation Article. 27
(d) On or before December 31, 2024, and each December 31 thereafter, the 28
Department shall report to the General Assembly, in accordance with § 2–1257 of the State 29
Government Article: 30
(1) the number of proposals submitted to the Board of Public Works under 31
this section; 32
(2) the number of properties that were donated pursuant to proposals 33
developed under this section; and 34
HOUSE BILL 1061 5
(3) the number of properties that were sold pursuant to proposals 1
developed under this section. 2
Article – State Finance and Procurement 3
5–101. 4
(a) In this title the following words have the meanings indicated. 5
(b) “Department” means the Department of Planning. 6
(c) “Secretary” means the Secretary of Planning. 7
SUBTITLE 10. STATE–OWNED REAL PROPERTY. 8
5–1001. 9
(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 10
INDICATED. 11
(B) “AFFORDABLE HOUSING ” MEANS RESIDENTIAL PROPERTY THAT IS 12
RENTED OR SOLD TO TH E PUBLIC AS LOW –INCOME HOUSING OR WO RKFORCE 13
HOUSING. 14
(C) “AREA MEDIAN INCOME ” HAS THE MEANING STAT ED IN § 4–1801 OF THE 15
HOUSING AND COMMUNITY DEVELOPMENT ARTICLE. 16
(D) “LOW–INCOME HOUSING ” MEANS HOUSING THAT I S AFFORDABLE FOR A 17
HOUSEHOLD WITH AN AG GREGATE ANNUAL INCOM E THAT IS BELOW 60% OF THE 18
AREA MEDIAN INCOME . 19
(E) “WORKFORCE HOUSING ” HAS THE MEANING STAT ED IN § 4–1801 OF THE 20
HOUSING AND COMMUNITY DEVELOPMENT ARTICLE. 21
5–1002. 22
(A) (1) ON OR BEFORE DECEMBER 31, 2027, AND EVERY 5 YEARS 23
THEREAFTER , EACH UNIT OF STATE GOVERNMENT SHAL L PROVIDE TO THE 24
DEPARTMENT AN INVENTO RY OF ALL STATE–OWNED REAL PROPERTY USED BY OR 25
UNDER THE CONTROL OF THE UNIT. 26
(2) THE INVENTORY SHALL C ONTAIN A DESCRIPTION OF EACH 27
PROPERTY AND H OW IT IS USED BY THE UNIT. 28
6 HOUSE BILL 1061
(3) IN CONSULTATION WITH THE DEPARTMENT OF HOUSING AND 1
COMMUNITY DEVELOPMENT AND THE MARYLAND ENERGY ADMINISTRATION , THE 2
DEPARTMENT SHALL DETE RMINE THE SUITABILIT Y OF EACH PROPERTY I N THE 3
INVENTORY FOR USE OR REDEVELOPMENT FOR : 4
(I) 1. AFFORDABLE HOUSING , IN WHOLE OR IN PART ; OR 5
2. (II) A MIXED–USE DEVELOPMENT CONT AINING AFFORDABLE 6
HOUSING; OR 7
(II) SOLAR ENERGY PRODUCT ION. 8
(4) PROPERTY IN THE INVEN TORY MAY BE DETERMIN ED TO BE 9
SUITABLE FOR USE OR REDEVELOPMENT AS HOUSING ONLY IF THE PROPERTY IS 10
LOCATED IN AN AREA Z ONED FOR RESIDENTIAL OR MIXED USE. 11
(5) WHEN DETERMINING IF A PROPERTY IS SUITABLE FOR USE OR 12
REDEVELOPMENT AS HOU SING, THE DEPARTMENT SHALL CONS IDER WHETHER THE 13
PROPERTY: 14
(I) IS ADEQUATELY SIZED FOR ANY TYPE OF RESI DENTIAL USE; 15
(II) HAS ACCESS TO PUBLIC UTILITIES; 16
(III) HAS ACCESS TO FEASIB LE INGRESS AND EGRES S POINTS; 17
AND 18
(IV) MEETS ANY OTHER FACT ORS DETERMINED BY TH E 19
DEPARTMENT THAT ARE N ECESSARY FOR THE PRO PERTY TO BE USED OR 20
REDEVELOPED AS HOUSING . 21
(6) THE DEPARTMENT MAY CONSID ER THE SUITABILITY O F 22
PROPERTY TO BE : 23
(I) LEASED FOR SOLAR ENE RGY PRODUCTION ; AND 24
(II) USED FOR SOLAR ENERG Y PRODUCTION CONCURR ENTLY 25
WITH A SEPARATE USE OF THE PROPERTY BY T HE UNIT. 26
(7) FOR EACH PROPERTY, THE DEPARTMENT SHALL SPEC IFY: 27
(I) WHETHER THE PROPERTY IS APPROPRIATE FOR O NE OF 28
THE USES SPECIFIED I N PARAGRAPH (3) OF THIS SUBSECTION ; AND 29
HOUSE BILL 1061 7
(II) WHICH USE IS APPROPR IATE FOR EACH PROPER TY ON THE 1
LIST, IF ANY. 2
(8) (7) ON OR BEFORE JULY 1, 2028, AND EVERY 5 YEARS 3
THEREAFTER , THE DEPARTMENT SHALL SEND THE INVENTORY TO THE GOVERNOR 4
AND, IN ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE 5
GENERAL ASSEMBLY. 6
(B) (1) NOT LATER THAN 60 DAYS AFTER THE NOTIC E PROVIDED UNDER 7
§ 5–310(D) OF THIS TITLE , THE DEPARTMENT , IN CONSULTATION WITH THE 8
DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT AND THE MARYLAND 9
ENERGY ADMINISTRATION , SHALL IDENTIFY WHICH RELEVANT PROPERTIES IN THE 10
INVENTORY ARE SUITAB LE FOR USE OR REDEVE LOPMENT FOR HOUSING OR SOLAR 11
ENERGY PRODUCTION . 12
(2) FOR EACH PROPERTY IDE NTIFIED UNDER PARAGR APH (1) OF 13
THIS SUBSECTION AS S UITABLE FOR USE OR R EDEVELOPMENT FOR HOU SING OR 14
SOLAR ENERGY PRODUCT ION, THE DEPARTMENT SHALL : 15
(I) GIVE NOTICE OF THE D ETERMINATION TO : 16
1. THE UNIT OF STATE GOVERNMENT THAT CONTROLS 17
THE PROPERTY ; AND 18
2. THE STATE TREASURER; AND 19
(II) ADVISE THE UNIT OF STATE GOVERNMENT OF T HE 20
REQUIREMENTS OF SUBS ECTION (C) OF THIS SECTION. 21
(3) THE LIST OF PROPERTIE S IDENTIFIED UNDER P ARAGRAPH (1) OF 22
THIS SUBSECTION AS S UITABLE FOR USE OR R EDEVELOPMENT FOR HOU SING SHALL 23
BE MADE AVAILABLE TO THE PUBLIC. 24
(C) (1) (I) EXCEPT AS PROVIDED IN SUBSECTIONS (D) AND (E) 25
SUBSECTION (D) OF THIS SECTION , AND ON RECEIPT OF TH E NOTICE REQUIRED 26
UNDER SUBSECTION (B)(2) OF THIS SECTION , THE UNIT OF STATE GOVERNMENT 27
SHALL, IN CONSULTATION WITH THE DEPARTMENT , DEVELOP A PROPOSAL T O 28
DONATE OR SELL THE R ELEVANT PROPERTY AS FOLLOWS: 29
1. IF THE PROPERTY HAS BEEN DETERMINED TO B E 30
SUITABLE FOR HOUSING , INCLUDING AFFORDABLE HOUSING , BY: 31
A. 1. DONATING OR SELLING THE PROPERTY TO A 32
NONPROFIT ORGANIZATI ON THAT CONTRACTS TO USE OR REDEVELOP THE 33 8 HOUSE BILL 1061
PROPERTY IN WHOLE OR IN PART FOR HOUSING , WITH A PRIORITY FOR USE AS 1
AFFORDABLE HOUSING ; OR 2
B. 2. SELLING THE PROPER TY TO A BUYER THAT 3
CONTRACTS TO USE OR REDEVELOP THE PROPER TY IN WHOLE OR IN PA RT AS 4
HOUSING, WITH A PRIORITY FOR USE AS AFFORDABLE HO USING; OR 5
2. IF THE PROPERTY HAS BEEN DETERMINED TO B E 6
SUITABLE FOR SOLAR E NERGY PRODUCTION , BY SELLING THE PROPE RTY TO A 7
PERSON THAT CONTRACT S TO USE OR REDEVELO P THE PROPERTY FOR S OLAR 8
ENERGY PRODUCTION . 9
(II) IF THE PROPERTY HAS B EEN DETERMINED TO BE SUITABLE 10
FOR MORE THAN ONE US E UNDER SUBPARAGRAPH (I) OF THIS PARAGRAPH , THE 11
PROPERTY SHALL BE OF FERED FOR DONATION OR SALE FOR A USE LI STED IN 12
SUBPARAGRAPH (I) OF THIS PARAGRAPH IN THE ORDER THAT THE U SES ARE LISTED. 13
(III) IF, AFTER REASONABLE EFF ORT, THE UNIT IS UNABLE T O 14
IDENTIFY A SUITABLE NONPROFIT ORGANIZATI ON OR BUYER IN ACCOR DANCE WITH 15
SUBPARAGRAPH (I) OF THIS PARAGRAPH , THE UNIT SHALL DEVEL OP A PROPOSAL 16
TO SELL THE PROPERTY AT AUCTION. 17
(IV) A PROPOSAL DEVELOPED U NDER THIS PARAGRAPH SHALL 18
BE SUBMITTED TO THE BOARD OF PUBLIC WORKS FOR CONSIDERATI ON IN 19
ACCORDANCE WITH § 10–305 OF THIS ARTICLE. 20
(2) IF THE PROPERTY SHALL BE US ED OR REDEVELOPED , IN WHOLE 21
OR IN PART , FOR AFFORDABLE HOUSI NG, THE UNIT SHALL CONSI DER THE 22
PROPOSED PERIOD OF A FFORDABILITY , THE NUMBER OF AFFORD ABLE HOUSING 23
UNITS CREATED , AND THE VIABILITY OF AN OFFER WHEN EVALUA TING OFFERS 24
FROM MUL TIPLE NONPROFIT ORGA NIZATIONS OR BUYERS UNDER PARAGRAPH 25
(1)(I)1A (1)(I)1 OF THIS SUBSECTION . 26
(3) WHEN A PROPERTY IS DO NATED OR SOLD IN ACC ORDANCE WITH 27
A PROPOSAL DEVELOPED UNDER THIS SUBSECTIO N, THE UNIT SHALL GIVE NOTICE 28
OF THE DISPOSITION T O THE DEPARTMENT . 29
(D) IF THE DEPARTMENT HAS DETERM INED THAT A PROPERTY IS NOT 30
SUITABLE FOR USE AS HOUSING BUT IS SUITA BLE FOR USE FOR SOLA R ENERGY 31
PRODUCTION , THE UNIT, IN CONSULTATION WITH THE DEPARTMENT , MAY 32
CONSIDER: 33
(1) LEASING THE PROPERTY FOR SOLAR ENERGY PRODUCTION ; OR 34
HOUSE BILL 1061 9
(2) USING THE PROPERTY F OR SOLAR ENERGY PROD UCTION 1
CONCURRENTLY WITH A SEPARATE USE OF THE PROPERTY BY THE UNIT . 2
(E) (1) A UNIT MAY NOT PROPOSE TO DONATE OR SELL A PROPERTY 3
UNDER THIS SECTION I F THE DONATION OR SA LE WOULD: 4
(I) VIOLATE ANY COVENANT OR APPLICABLE FEDERA L LAW; OR 5
(II) IN THE OPINION OF TH E STATE TREASURER, ADVERSELY 6
AFFECT THE TAX –EXEMPT STATUS OF AN OUTSTANDING STATE BOND , THE 7
PROCEEDS OF WHICH WE RE ALLOCATED TO PURC HASE OR IMPROVE THE 8
PROPERTY. 9
(2) NOTHING IN THIS SECTION S HALL BE CONSTRUED TO SUPERSEDE 10
THE RIGHT OF A PERSO N FROM WHOM REAL PRO PERTY WAS ACQUIRED O R THE 11
PERSON’S SUCCESSOR IN INTER EST TO REACQUIRE THE PROPERTY UNDER § 8–309 12
OF THE TRANSPORTATION ARTICLE. 13
(F) (E) ON OR BEFORE DECEMBER 31, 2025, AND EACH DECEMBER 31 14
THEREAFTER , THE DEPARTMENT SHALL REPO RT TO THE GENERAL ASSEMBLY, IN 15
ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE: 16
(1) THE NUMBER OF PROPOS ALS SUBMITTED TO THE BOARD OF 17
PUBLIC WORKS UNDER SUBSECTIO N (C) OF THIS SECTION; 18
(2) THE NUMBER OF PROPER TIES THAT WERE DONAT ED IN 19
ACCORDANCE WITH PROP OSALS DEVELOPED UNDE R SUBSECTION (C) OF THIS 20
SECTION; AND 21
(3) THE NUMBER OF PROPER TIES THAT WERE SOLD IN ACCORDANCE 22
WITH PROPOSALS DEVEL OPED UNDER SUBSECTIO N (C) OF THIS SECTION; AND 23
(4) THE NUMBER OF PROPER TIES LEASED OR USED CONCURRENTLY 24
WITH A UNIT UNDER SU BSECTION (D) OF THIS SECTION. 25
SECTION 2. AND BE IT FURTHER ENACTED, That, on or before December 31, 26
2030: 27
(1) at least 10,000 housing units shall be constructed on land that was 28
owned by the State on the effective date of this Act; and 29
(2) at least 55 megawatts of solar energy shall be produced on land that 30
was owned by the State on the effective date of this Act. 31
10 HOUSE BILL 1061
SECTION 2. AND BE IT FURTHER ENACTED, That, on or before December 31, 1
2030, the Department of Housing and Community Development shall set goals for the 2
construction of housing units on land that was owned by the State on the effective date of 3
this Act. 4
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 5
October 1, 2025. 6
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.