EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0080*
HOUSE BILL 80
R2, Q8 5lr0208
(PRE–FILED) CF SB 190
By: Chair, Environment and Transportation Committee (By Request –
Departmental – Transportation)
Requested: October 9, 2024
Introduced and read first time: January 8, 2025
Assigned to: Environment and Transportation
A BILL ENTITLED
AN ACT concerning 1
Land Use – Transit–Oriented Development – Alterations 2
FOR the purpose of altering the authority of local legislative bodies to regulate land use 3
planning on certain land that is located within a certain radius of, or, under certain 4
circumstances, adjacent to, certain transit stations; exempting certain special taxes 5
for the benefit of transit–oriented development from any county tax limitation or 6
bond cap; exempting transit–oriented development from certain provisions of State 7
procurement law; authorizing the deposit of certain bond proceeds into the 8
Transit–Oriented Development Capital Grant and Revolving Loan Fund; repealing 9
a certain geographical limitation on the use of certain money in the Transit–Oriented 10
Development Capital Grant and Revolving Loan Fund; altering the authorized uses 11
of the Transit–Oriented Development Capital Grant and Revolving Loan Fund to 12
include certain planning and financing costs; authorizing the Maryland Department 13
of Transportation to establish transit–oriented development (TOD) corridor funds 14
financed by revenue from county special taxing districts to benefit transit–oriented 15
development; and generally relating to transit–oriented development. 16
BY repealing and reenacting, without amendments, 17
Article – Land Use 18
Section 1–101(a) and (g) 19
Annotated Code of Maryland 20
(2012 Volume and 2024 Supplement) 21
BY repealing and reenacting, with amendments, 22
Article – Land Use 23
Section 4–104 24
Annotated Code of Maryland 25
(2012 Volume and 2024 Supplement) 26
2 HOUSE BILL 80
BY repealing and reenacting, without amendments, 1
Article – Local Government 2
Section 21–508(a)(4) and (5) 3
Annotated Code of Maryland 4
(2013 Volume and 2024 Supplement) 5
BY repealing and reenacting, with amendments, 6
Article – Local Government 7
Section 21–508(c) 8
Annotated Code of Maryland 9
(2013 Volume and 2024 Supplement) 10
BY adding to 11
Article – State Finance and Procurement 12
Section 11–203(l) 13
Annotated Code of Maryland 14
(2021 Replacement Volume and 2024 Supplement) 15
BY repealing and reenacting, without amendments, 16
Article – Transportation 17
Section 7–101(a) and (p) 18
Annotated Code of Maryland 19
(2020 Replacement Volume and 2024 Supplement) 20
(As enacted by Chapter 512 of the Acts of the General Assembly of 2023) 21
BY repealing and reenacting, without amendments, 22
Article – Transportation 23
Section 7–1201(a) and (c) 24
Annotated Code of Maryland 25
(2020 Replacement Volume and 2024 Supplement) 26
BY repealing and reenacting, with amendments, 27
Article – Transportation 28
Section 7–1203(c) and 7–1204(a) 29
Annotated Code of Maryland 30
(2020 Replacement Volume and 2024 Supplement) 31
BY adding to 32
Article – Transportation 33
Section 7–1301 and 7–1302 to be under the new subtitle “Subtitle 13. TOD Corridor 34
Funds” 35
Annotated Code of Maryland 36
(2020 Replacement Volume and 2024 Supplement) 37
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 38
That the Laws of Maryland read as follows: 39
HOUSE BILL 80 3
Article – Land Use 1
1–101. 2
(a) In this division the following words have the meanings indicated. 3
(g) (1) “Legislative body” means the elected body of a local jurisdiction. 4
(2) “Legislative body” includes: 5
(i) the board of county commissioners; 6
(ii) the county council; and 7
(iii) the governing body of a municipal corporation. 8
4–104. 9
(a) In this section, “modular dwelling” means a building assembly or system of 10
building subassemblies designed for habitation as a dwelling for one or more individuals: 11
(1) that includes the necessary electrical, plumbing, heating, ventilating, 12
and other service systems; 13
(2) that is made or assembled by a manufacturer on or off the building site 14
for installation, or assembly and installation, on the building site; and 15
(3) installed and set up according to the manufacturer’s instructions on an 16
approved foundation and support system. 17
(b) The powers granted to a local jurisdiction under this subtitle do not: 18
(1) grant the local jurisdiction powers in any substantive area not 19
otherwise granted to the local jurisdiction by any other public general or public local law; 20
(2) restrict the local jurisdiction from exercising any power granted to the 21
local jurisdiction by any other public general or public local law or otherwise; 22
(3) authorize the local jurisdiction or its officers to engage in any activity 23
that is beyond their power under any other public general or public local law or otherwise; 24
or 25
(4) preempt or supersede the regulatory authority of any unit of the State 26
under any public general law. 27
4 HOUSE BILL 80
(c) (1) (I) If a legislative body regulates off–street parking, the legislative 1
body shall require space for the parking of bicycles in a manner that the legislative body 2
considers appropriate. 3
[(2)] (II) A legislative body may allow a reduction in the number of 4
required automobile parking spaces based on the availability of space for parking bicycles. 5
(2) A LEGISLATIVE BODY MAY NOT IMPOSE A MINIMUM OFF–STREET 6
PARKING REQUIREMENT ON A RESIDENTIAL OR MIXED–USE DEVELOPMENT THAT IS 7
LOCATED WITHIN 0.5 MILES OF A RAIL TRAN SIT STATION. 8
(d) A legislative body may not prohibit the placement of a new manufactured 9
home or modular dwelling in a zone that allows single–family residential uses if the home 10
or dwelling: 11
(1) (i) meets the definition of modular dwelling under subsection (a) of 12
this section; or 13
(ii) meets the definition of a manufactured home in § 9–102(a) of the 14
Commercial Law Article and is, or will be after purchase, converted to real property in 15
accordance with Title 8B, Subtitle 2 of the Real Property Article; or 16
(2) is located on land: 17
(i) currently or previously owned by the federal government; 18
(ii) greater than 80 acres in size; and 19
(iii) that was the site of a former U.S. military reservation. 20
(E) A LEGISLATIVE BODY MAY NOT TAKE AN ACTION T O PRECLUDE 21
MIXED–USE DEVELOPMENT THAT IS LOCATED WITHIN 0.5 MILES OF A RAIL TRAN SIT 22
STATION. 23
(F) FOR STATE–OWNED LAND IN USE FO R A TRANSPORTATION P URPOSE 24
ADJACENT TO A TRANSI T STATION, A LEGISLATIVE BODY M AY NOT IMPOSE LOCAL 25
ZONING RESTRICTIONS IF THE LAND IS SUBJE CT TO A TRANSIT –ORIENTED 26
DEVELOPMENT PLAN APP ROVED BY THE DEPARTMENT OF TRANSPORTATION . 27
Article – Local Government 28
21–508. 29
(a) The governing body of a county may provide for the imposition of an ad 30
valorem or special tax on all real and personal property in a special taxing district at a rate 31
or amount designed to provide adequate revenue: 32 HOUSE BILL 80 5
(4) to pay costs of infrastructure improvements located in or supporting a 1
transit–oriented development or a State hospital redevelopment; 2
(5) to pay costs of operating and maintaining infrastructure improvements 3
located in or supporting a transit–oriented development or a State hospital redevelopment; 4
or 5
(c) (1) As an alternative to imposing ad valorem taxes under this subtitle, the 6
governing body of a county may impose special taxes in accordance with this subsection on 7
property in a special taxing district. 8
(2) In determining the basis for and amount of a special tax, the cost of an 9
improvement may be calculated and imposed: 10
(i) equally per front foot, lot, parcel, dwelling unit, or square foot; 11
(ii) according to the value of the property, with or without regard to 12
improvements on the property; or 13
(iii) in any other reasonable manner that results in a fair allocation 14
of the cost of the infrastructure improvements. 15
(3) The governing body of a county may enact an ordinance or a resolution 16
for: 17
(i) the maximum amount of a special tax to be imposed on any 18
parcel; 19
(ii) the tax year or other date after which further special taxes under 20
this subtitle may not be imposed on a parcel; and 21
(iii) whether, and the circumstances under which, a special tax on a 22
parcel may be increased because of delinquency or default by the owner of that parcel or by 23
the owner of any other parcel. 24
(4) By ordinance or resolution, the governing body of a county may 25
establish procedures allowing for the prepayment of special taxes under this subtitle. 26
(5) A special tax imposed under this subtitle shall: 27
(i) unless otherwise provided in an ordinance or a resolution, be 28
collected and secured in the same manner as general ad valorem taxes; [and] 29
(ii) in the case of delinquency, be subject to the same penalties, 30
procedure, sale, and lien priority as general ad valorem taxes; AND 31
6 HOUSE BILL 80
(III) FOR A SPECIAL TAX IM POSED FOR THE BENEFI T OF 1
TRANSIT–ORIENTED DEVELOPMENT , BE EXEMPT FROM ANY C OUNTY TAX 2
LIMITATION OR BOND C AP. 3
(6) THE REVENUES GENERATE D BY A SPECIAL TAX IMPOSED FOR THE 4
BENEFIT OF TRANSIT –ORIENTED DEVELOPMENT BY A COUNTY UNDER PA RAGRAPH 5
(4) OR (5) OF THIS SUBSECTION M AY BE DISTRIBUTED TO A TOD CORRIDOR FUND 6
ESTABLISHED UNDER § 7–1302 OF THE TRANSPORTATION ARTICLE. 7
Article – State Finance and Procurement 8
11–203. 9
(L) THIS DIVISION II DOES NOT APPLY TO A TRANSIT–ORIENTED 10
DEVELOPMENT UNDER TITLE 7 OF THE TRANSPORTATION ARTICLE. 11
Article – Transportation 12
7–101. 13
(a) In this title the following words have the meanings indicated. 14
(p) “Transit–oriented development” means a mix of private or public parking 15
facilities, commercial and residential structures, and uses, improvements, and facilities 16
customarily appurtenant to such facilities and uses, that: 17
(1) Is part of a deliberate development plan or strategy involving: 18
(i) Property that is adjacent to the passenger boarding and alighting 19
location of a planned or existing transit station; 20
(ii) Property, any part of which is located within one–half mile of the 21
passenger boarding and alighting location of a planned or existing transit station; or 22
(iii) Property that is adjacent to a planned or existing transit corridor; 23
(2) Is planned to maximize the use of transit, walking, and bicycling by 24
residents and employees; and 25
(3) Is designated as a transit–oriented development by: 26
(i) The Smart Growth Subcabinet established under § 9–1406 of the 27
State Government Article; and 28
(ii) The local government or multicounty agency with land use and 29
planning responsibility for the relevant area applying for designation. 30 HOUSE BILL 80 7
7–1201. 1
(a) In this subtitle the following words have the meanings indicated. 2
(c) “Fund” means the Transit–Oriented Development Capital Grant and 3
Revolving Loan Fund. 4
7–1203. 5
(c) (1) The Fund consists of: 6
(i) Money appropriated in the State budget to the Fund; 7
(ii) Money made available for qualifying uses by the Fund from other 8
governmental sources, including eligible federal funding and the Transportation Trust 9
Fund; 10
(iii) Ground rents or land sale proceeds in accordance with § 11
10–306(c)(2) of the State Finance and Procurement Article; 12
(iv) Payments of principal of and interest on loans made under this 13
title; 14
(v) Investment earnings of the Fund; [and] 15
(vi) PROCEEDS FROM BONDS I SSUED BY THE DEPARTMENT 16
UNDER THIS TITLE ; AND 17
(VII) Any other money from any other source, public or private, 18
accepted for the benefit of the Fund. 19
(2) Contributions to the Fund under paragraph (1)(iii) of this subsection 20
shall[: 21
(i) Be] BE separately accounted for in the Fund[; and 22
(ii) Be used only for the benefit of transit–oriented developments in 23
the same county where the real property subject to the ground rent or land sale is located]. 24
7–1204. 25
(a) (1) The Fund may be used by the Department to provide financial 26
assistance to local jurisdictions for: 27
8 HOUSE BILL 80
(i) PLANNING EFFORTS FOR A SITE ADJACENT TO T RANSIT 1
THAT IS NOT DESIGNATED AS A TRAN SIT–ORIENTED DEVELOPMENT TO PREPARE 2
THAT SITE FOR SUCH D ESIGNATION; 3
(II) Design plans for a transit–oriented development, provided that 4
the transit–oriented development will be designed to meet equity goals established by the 5
Department; 6
[(ii)] (III) Public infrastructure improvements within a 7
transit–oriented development; or 8
[(iii)] (IV) Gap funding AND FINANCING for COSTS ASSOCIATED 9
WITH public or private development within a transit–oriented development. 10
(2) A private entity, including a nonprofit entity, participating in the 11
development of a transit–oriented development may partner with a local jurisdiction to 12
submit an application for financial assistance under paragraph [(1)(iii)] (1)(IV) of this 13
subsection. 14
SUBTITLE 13. TOD CORRIDOR FUNDS. 15
7–1301. 16
(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 17
INDICATED. 18
(B) “COUNTY SPECIAL TAXING DISTRICT” MEANS A TAXING DISTR ICT 19
ESTABLISHED BY THE G OVERNING BODY OF A C OUNTY UNDER TITLE 21, SUBTITLE 20
5 OF THE LOCAL GOVERNMENT ARTICLE. 21
(C) “TOD CORRIDOR FUND ” MEANS A FUND ESTABLI SHED AND 22
ADMINISTERED BY THE DEPARTMENT TO SUP PORT TRANSIT –ORIENTED 23
DEVELOPMENT ADJACENT TO A PLANNED OR EXIS TING TRANSIT CORRIDO R. 24
7–1302. 25
(A) THE DEPARTMENT MAY ESTABL ISH TOD CORRIDOR FUNDS TO 26
COLLECT REVENUES FRO M COUNTY SPECIAL TAX ING DISTRICTS ESTABL ISHED TO 27
BENEFIT TRANSIT –ORIENTED DEVELOPMEN T. 28
(B) A TOD CORRIDOR FUND MAY BE USED WITHIN APPLICAB LE SPECIAL 29
TAXING DISTRICTS TO : 30
HOUSE BILL 80 9
(1) SUPPORT THE ISSUANCE OF BONDS FOR TRANSIT –ORIENTED 1
DEVELOPMENT –RELATED ACTIVITIES ; 2
(2) PROVIDE A DEDICATED S OURCE OF REVENUES TO REPAY 3
FEDERAL LOANS FOR TR ANSIT–ORIENTED DEVELOPMENT ; AND 4
(3) SUPPORT OTHER FINANCI NG ACTIVITIES FOR TH E BENEFIT OF 5
TRANSIT–ORIENTED DEVELOPMENT . 6
SECTION 2. AND BE IT FURTHER ENACTED, That § 4 –104(e) of the Land Use 7
Article, as enacted by Section 1 of this Act, shall apply only to land use rezonings or actions 8
taken by a legislative body on or after the effective date of this Act. 9
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 10
October 1, 2025. 11