Maryland 2025 Regular Session

Maryland House Bill HB953 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3	3		EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	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	5		hb0953
9	6
10	7		HOUSE BILL 953
11	8		Q1 5lr2639
12	9
13	10		By: Delegates Kaiser, Feldmark, Pasteur, and Woorman
14	11		Introduced and read first time: January 31, 2025
15	12		Assigned to: Ways and Means
16		-	Committee Report: Favorable with amendments
17		-	House action: Adopted
18		-	Read second time: March 4, 2025
19	13
20		-	~~CHAPTER ______~~
	14	+	A BILL ENTITLED
21	15
22	16		AN ACT concerning 1
23	17
24	18		Tax Sales – Homeowner Protection Program – Funding and Alterations 2
25	19
26	20		FOR the purpose of requiring each collector of taxes that maintains a website to include on 3
27	21		the collector’s website certain information and a certain link relating to the 4
28	22		Homeowner Protection Program; altering the information the State Department of 5
29	23		Assessments and Taxation is required to obtain and include in a certain annual 6
30	24		report regarding tax sales; requiring the State Tax Sale Ombudsman to take certain 7
31	25		actions to maximize enrollment in the Homeowner Protection Program; prohibiting 8
32	26		the Department from charging interest on unpaid taxes owed to the Department by 9
33	27		homeowners enrolled in the Homeowner Protection Program; requiring the Governor 10
34	28		to include in the annual budget bill a certain appropriation for the Homeowner 11
35	29		Protection Fund; requiring county governments collectively to pay a certain amount 12
36	30		to the Homeowner Protection Fund each fiscal year; and generally relating to tax 13
37	31		sales and the Homeowner Protection Program. 14
38	32
39	33		BY repealing and reenacting, without amendments, 15
40	34		Article – Tax – Property 16
41	35		Section 4–201.1(a) and 14–884 17
42	36		Annotated Code of Maryland 18
43	37		(2019 Replacement Volume and 2024 Supplement) 19
44	38
45	39		BY adding to 20
46	40		Article – Tax – Property 21
47	41		Section 4–201.1(e) 22
48		-	Annotated Code of Maryland 23 2 HOUSE BILL 953
	42	+	Annotated Code of Maryland 23
	43	+	(2019 Replacement Volume and 2024 Supplement) 24
	44	+
	45	+	BY repealing and reenacting, with amendments, 25
	46	+	Article – Tax – Property 26
	47	+	Section 14–879(c) and (d), 14–880(a), 14–886(c), 14–887(e), 14–889, and 14–891 27
	48	+	Annotated Code of Maryland 28 2 HOUSE BILL 953
49	49
50	50
51	51		(2019 Replacement Volume and 2024 Supplement) 1
52	52
53		-	BY repealing ~~and reenacting, with amendments,~~ 2
	53	+	BY repealing 2
54	54		Article – Tax – Property 3
55		-	Section 14–~~879(c) and (d), 14–880(a), 14–886(c), 14–887~~(e)~~, 14–889, and 14–891~~ 4
	55	+	Section 14–885(e) 4
56	56		Annotated Code of Maryland 5
57	57		(2019 Replacement Volume and 2024 Supplement) 6
58	58
59		-	BY repealing 7
60		-	Article – Tax – Property 8
61		-	Section 14–885(e) 9
62		-	Annotated Code of Maryland 10
63		-	(2019 Replacement Volume and 2024 Supplement) 11
	59	+	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 7
	60	+	That the Laws of Maryland read as follows: 8
64	61
65		-	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 12
66		-	That the Laws of Maryland read as follows: 13
	62	+	Article – Tax – Property 9
67	63
68		-	~~Article – Tax – Property 14~~
	64	+	4–201.1. 10
69	65
70		-	4–201.1. 15
	66	+	(a) In this section, “Program” means the Homeowner Protection Program 11
	67	+	established under Title 14, Subtitle 8, Part VII of this article. 12
71	68
72		-	(a) ~~In this section,~~ ~~“Program” means~~ the ~~Homeowner Protection Pro gram 16~~
73		-	~~established under Title~~ 14~~, Subtitle 8, Part VII of this article. 17~~
	69	+	(E) EACH COLLECTOR THAT M AINTAINS A WEBSITE S HALL INCLUDE ON THE 13
	70	+	COLLECTOR’S WEBSITE IN A CONSPICUOUS LOC ATION: 14
74	71
75		-	(E) EACH COLLECTOR THAT M AINTAINS A WEBSITE S HALL INCLUDE ON THE 18
76		-	COLLECTOR’S WEBSITE IN A CONSP ICUOUS LOCATION : 19
	72	+	(1) A CONCISE DESCRIPTIO N OF THE PROGRAM; AND 15
77	73
78		-	(1) A ~~CONCISE DESCRIPTIO N OF~~ THE PROGRAM~~; AND 20~~
	74	+	(2) A LINK TO THE APPLIC ATION FOR THE PROGRAM. 16
79	75
80		-	~~(2) A LINK TO THE APPLICATION FOR THE PROGRAM~~. 21
	76	+	14–879. 17
81	77
82		-	14–879. 22
	78	+	(c) The Department shall obtain the following information concerning each 18
	79	+	county’s tax sale process for the second immediately preceding taxable year: 19
83	80
84		-	(c) The Department shall obtain the following information concerning each 23
85		-	county’s tax sale process for the second immediately preceding taxable year: 24
	81	+	(1) each type of charge that the county collects through its tax sale process, 20
	82	+	including property taxes, water and sewer charges, environmental charges, and any other 21
	83	+	local government charges; 22
86	84
87		-	(1) each type of charge that the county collects through its tax sale process, 25
88		-	including property taxes, water and sewer charges, environmental charges, and any other 26
89		-	local government charges; 27
	85	+	(2) THE TOTAL NUMBER OF REAL PROPERTY TAX ACCOUNT S IN THE 23
	86	+	COUNTY DURING THE SECOND IM MEDIATELY PR ECEDING TAXABLE YEAR AND THE 24
	87	+	TOTAL NUMBER OF REAL PROPERTY TAX ACCOUNT S THAT BECAME DELINQ UENT 25
	88	+	DURING THE SECOND IMMEDIATELY P RECEDING TAXABLE YEAR ; 26
90	89
91		-	(2) THE TOTAL NUMBER OF REAL PROPERTY TAX AC COUNTS IN THE 28
92		-	COUNTY DURING THE SE COND IMMEDIATELY PRE CEDING TAXABLE YEAR AND THE 29
93		-	TOTAL NUMBER OF REAL PROPERTY TAX ACCOUNT S THAT BECAME DELINQ UENT 30
94		-	DURING THE SECOND IM MEDIATELY PRECEDING TAXABLE YEAR ; 31
	90	+	(3) THE TOTAL AMOUNT OF INTEREST ON OVERDUE COUNTY REAL 27
	91	+	PROPERTY TAXES COLLE CTED DURING THE SECOND IMMEDIATELY P RECEDING 28
	92	+	TAXABLE YEAR ; 29
	93	+
	94	+	[(2)] (4) the length of time the tax on a property is required to be overdue 30
	95	+	before the county begins the process to sell the property under Part III of this subtitle; 31
95	96		HOUSE BILL 953 3
96	97
97	98
98		-	(3) THE TOTAL AMOUNT OF INTEREST ON OVERDUE COUNTY REAL 1
99		-	PROPERTY TAXES COLLE CTED DURING THE SECO ND IMMEDIATELY PRECE DING 2
100		-	TAXABLE YEAR; 3
	99	+	[(3)] (5) how frequently the county conducts a tax sale and the time of 1
	100	+	year when the tax sale occurs; 2
101	101
102		-	[(2)] (4) the ~~length~~ of ~~time the tax on a property is required to be overdue 4~~
103		-	~~before~~ the county ~~begins the process to sell the property under Part III of this subtitle~~; 5
	102	+	[(4)] (6) whether the county conducts tax sales on behalf of municipal 3
	103	+	corporations in the county and, if applicable, which municipal corporations; 4
104	104
105		-	[(3)] (5) ~~how frequently~~ the county ~~conducts a tax sale and the time of 6~~
106		-	~~year when the tax sale occurs~~; 7
	105	+	[(5)] (7) the rate of interest the county charges on overdue property taxes 5
	106	+	under § 14–603 of this title; 6
107	107
108		-	[(4)] (6) ~~whether~~ the ~~county conducts tax sales on behalf~~ of ~~municipal 8~~
109		-	~~corporations in the county and,~~ ~~if applicable,~~ ~~which municipal corporations~~; 9
	108	+	[(6)] (8) the rate of redemption interest a property owner is required to 7
	109	+	pay to redeem a property after a tax sale under § 14–820 of this subtitle; 8
110	110
111		-	[(5)] (7) the rate of interest the county charges on overdue property taxes 10
112		-	under § 14–603 of this title; 11
	111	+	[(7)] (9) the minimum threshold amount of unpaid taxes on a residential 9
	112	+	property that will cause the county to put the property in tax sale under § 14–811(b) of this 10
	113	+	subtitle; 11
113	114
114		-	[(6)] (8) the ~~rate of redemption interest a property owner is~~ required to 12
115		-	~~pay to redeem~~ a property ~~after a tax sale under § 14–820 of this subtitle;~~ 13
	115	+	[(8)] (10) regarding bid balance money in excess of the amount required 12
	116	+	for the payment of taxes, interest, penalties, and costs of the sale of a property: 13
116	117
117		-	~~[(7)]~~ (9) the ~~minimum threshold~~ amount of ~~unpaid taxes on a residential~~ 14
118		-	~~property that will cause the county~~ to ~~put the~~ property ~~in tax sale~~ under § 14–~~811~~(b) of this 15
	118	+	(i) the total aggregate amount of all bid balance money held by the 14
	119	+	county in a special fund pending distribution to property owners under § 14–819(a) of this 15
119	120		subtitle; 16
120	121
121		-	~~[(8)]~~ (10) ~~regarding~~ bid balance money ~~in excess of the amount required~~ 17
122		-	~~for the payment~~ of ~~taxes, interest, penalties,~~ and ~~costs of the sale of a property:~~ 18
	122	+	(ii) the total aggregate amount of bid balance money distributed to 17
	123	+	property owners under § 14–819(a) of this subtitle; and 18
123	124
124		-	(i) the total aggregate amount of all bid balance money held by the 19
125		-	county in a special fund pending distribution to property owners under § 14–819(a) of this 20
126		-	subtitle; 21
	125	+	(iii) the total aggregate amount of bid balance money transferred to 19
	126	+	the county under § 14–819(b) and (c) of this subtitle; 20
127	127
128		-	(ii) the ~~total aggregate amount of bid balance money distributed to 22~~
129		-	~~property owners~~ under § 14–~~819~~(a) of this ~~subtitle~~; and 23
	128	+	[(9)] (11) whether the county has established a County Tax Sale 21
	129	+	Ombudsman under § 2–112(e) of this article; and 22
130	130
131		-	(~~iii~~) the ~~total aggregate amount of bid balance money transferred~~ to 24
132		-	~~the county~~ under § 14–~~819~~(b~~) and (c~~) of this subtitle~~; 25~~
	131	+	[(10)] (12) a copy of the separate insert required to be mailed to property 23
	132	+	owners under § 14–812(b) of this subtitle. 24
133	133
134		-	[(9)] (11) whether the county has established a County Tax Sale 26
135		-	Ombudsman under § 2–112(e) of this article; and 27
	134	+	(d) The Department shall obtain: 25
136	135
137		-	[(10)] (12) a copy of the separate insert required to be mailed to property 28
138		-	owners under § 14–812(b) of this subtitle. 29
	136	+	(1) the number of counties and municipal corporations that have withheld 26
	137	+	from sale under [§ 14–811(e)] § 14–811(H) of this subtitle a dwelling owned by a 27
	138	+	homeowner who is low–income, at least 65 years old, or disabled; 28
139	139
140		-	(d) The ~~Department shall obtain:~~ 30
141		-	4 ~~HOUSE BILL 953~~
	140	+	(2) the eligibility criteria used by each county and municipal corporation to 29
	141	+	withhold a dwelling from sale under [§ 14–811(e)] § 14–811(H) of this subtitle; and 30
142	142
143		-
144		-	(1) the number of counties and municipal corporations that have withheld 1
145		-	from sale under [§ 14–811(e)] § 14–811(H) of this subtitle a dwelling owned by a 2
146		-	homeowner who is low–income, at least 65 years old, or disabled; 3
147		-
148		-	(2) the eligibility criteria used by each county and municipal corporation to 4
149		-	withhold a dwelling from sale under [§ 14–811(e)] § 14–811(H) of this subtitle; and 5
150		-
151		-	(3) the number of dwellings withheld from sale by each county and 6
152		-	municipal corporation under [§ 14–811(e)] § 14–811(H) of this subtitle. 7
153		-
154		-	14–880. 8
155		-
156		-	(a) Each year, the Department shall issue a report that includes: 9
157		-
158		-	(1) an analysis and summary of the information collected through the 10
159		-	survey under § 14–879 of this subtitle; and 11
160		-
161		-	(2) the following information concerning the activities of the State Tax Sale 12
162		-	Ombudsman established under § 2–112 of this article in the preceding taxable year: 13
163		-
164		-	(i) the number of homeowners who contacted the Ombudsman; 14
165		-
166		-	(ii) the number of homeowners assisted by the Ombudsman to apply 15
167		-	for each of the tax credits under § 9–104 or § 9–105 of this article; 16
168		-
169		-	(iii) the number of homeowners assisted by the Ombudsman to apply 17
170		-	for other discount programs or public benefits and a brief summary of those programs and 18
171		-	benefits; 19
172		-
173		-	(iv) the number of homeowners referred by the Ombudsman to legal 20
174		-	services, housing counseling, and other social services, and a brief summary of those 21
175		-	services; 22
176		-
177		-	(v) the number of homeowners enrolled in the Homeowner 23
178		-	Protection Program under Part VII of this subtitle; 24
179		-
180		-	(vi) a summary of the implementation of the Homeowner Protection 25
181		-	Program under Part VII of this subtitle, including outreach to homeowners under § 26
182		-	14–886(d) of this subtitle; 27
183		-
184		-	(VII) THE TOTAL NUMBER OF PERSONS MAKING A VOL UNTARY 28
185		-	DONATION TO THE HOMEOWNER PROTECTION PROGRAM UNDER PART VII OF THIS 29
186		-	SUBTITLE THROUGH THE WEBSITE UNDER § 4–201.1 OF THIS ARTICLE; 30
187		-	HOUSE BILL 953 5
188		-
189		-
190		-	(VIII) THE TOTAL AMOUNT OF VOLUNTARY DONATIONS MADE TO 1
191		-	THE HOMEOWNER PROTECTION PROGRAM UNDER PART VII OF THIS SUBTITLE 2
192		-	THROUGH THE WEBSITE UNDER § 4–201.1 OF THIS ARTICLE; 3
193		-
194		-	(IX) THE BALANCE OF FU NDS IN THE HOMEOWNER PROTECTION 4
195		-	FUND ESTABLISHED UNDE R § 14–891 OF THIS SUBTITLE AS OF THE DATE OF THE 5
196		-	REPORT, AND A DETAILED ACCOU NTING OF REVENUES RE CEIVED BY THE 6
197		-	HOMEOWNER PROTECTION FUND AND EXPENDITURES MADE FROM THE 7
198		-	HOMEOWNER PROTECTION FUND IN THE PRECEDING TAXABLE YEA R; 8
199		-
200		-	[(vii)] (IX) (X) any statutory or administrative changes the 9
201		-	Ombudsman recommends to improve the administration of the Homeowner Protection 10
202		-	Program under Part VII of this subtitle; and 11
203		-
204		-	[(viii)] (X) (XI) any other relevant information. 12
205		-
206		-	14–884. 13
207		-
208		-	(a) There is a Homeowner Protection Program administered by the Ombudsman 14
209		-	in the Department. 15
210		-
211		-	(b) The purpose of the Program is to divert vulnerable homeowners from the 16
212		-	private tax lien sale process under Part III of this subtitle into an alternative program with 17
213		-	the primary purpose of: 18
214		-
215		-	(1) minimizing tax collection costs to homeowners; 19
216		-
217		-	(2) assisting homeowners to pay their taxes; and 20
218		-
219		-	(3) allowing homeowners to remain in their homes. 21
220		-
221		-	14–885. 22
222		-
223		-	[(e) County or municipal governments may not be required to pay any costs of the 23
224		-	Program.] 24
225		-
226		-	14–886. 25
227		-
228		-	(c) The Ombudsman shall PRIORITIZE MAXIMIZIN G ENROLLMENT IN THE 26
229		-	PROGRAM BY : 27
230		-
231		-	(1) prominently [advertise] ADVERTISING the Program and [make] 28
232		-	MAKING applications available on the Ombudsman’s website; [and] 29
233		-	6 HOUSE BILL 953
234		-
235		-
236		-	(2) [collaborate] COLLABORATING with local governments, community 1
237		-	organizations, and public and private providers of social services and benefits to raise 2
238		-	awareness of the Program and disseminate applications; 3
239		-
240		-	(3) STRONGLY ENCOURAGING ALL HOME OWNERS WHO MEET THE 4
241		-	ELIGIBILITY REQUIREM ENTS TO ENROLL IN TH E PROGRAM; AND 5
242		-
243		-	(4) SCREENING EACH HOMEO WNER WHO CONTACTS TH E 6
244		-	OMBUDSMAN FOR ELIGIBI LITY FOR THE PROGRAM AND , IF THE HOMEOWNER 7
245		-	APPEARS TO BE ELIGIB LE, STRONGLY ENCOURAGING THE HOMEOWNER TO 8
246		-	COMPLETE AN APPLICAT ION FOR THE PROGRAM. 9
247		-
248		-	14–887. 10
249		-
250		-	(e) If a homeowner’s enrollment in the Program is canceled under [§ 14–886(d)] 11
251		-	§ 14–886(E) of this subtitle, the Department shall retain a lien on the homeowner’s 12
252		-	dwelling for the taxes owed to the Department but may not initiate any collection efforts or 13
253		-	otherwise act to enforce the lien until ownership of the dwelling is transferred. 14
254		-
255		-	14–889. 15
256		-
257		-	(a) [(1) The Department may charge interest on unpaid taxes owed to the 16
258		-	Department at a rate not exceeding 6%. 17
259		-
260		-	(2) The Ombudsman may set a lower interest rate or waive interest 18
261		-	entirely at the Ombudsman’s discretion.] THE DEPARTMENT MAY NOT CH ARGE 19
262		-	INTEREST ON UNPAID T AXES OWED TO THE DEPARTMENT . 20
263		-
264		-	(b) [Other than the interest specified in subsection (a) of this section, the] THE 21
265		-	Department may not impose any fees or costs on a homeowner in addition to the taxes 22
266		-	owed. 23
267		-
268		-	14–891. 24
269		-
270		-	(a) In this section, “Fund” means the Homeowner Protection Fund. 25
271		-
272		-	(b) There is a Homeowner Protection Fund. 26
273		-
274		-	(c) The purpose of the Fund is to finance the Program. 27
275		-
276		-	(d) The Department shall administer the Fund. 28
277		-
278		-	(e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 29
279		-	the State Finance and Procurement Article. 30
280		-	HOUSE BILL 953 7
281		-
282		-
283		-	(2) The State Treasurer shall hold the Fund separately, and the 1
284		-	Comptroller shall account for the Fund. 2
285		-
286		-	(f) The Fund consists of: 3
287		-
288		-	(1) tax and interest payments made to the Department by homeowners 4
289		-	enrolled in the Program; 5
290		-
291		-	(2) voluntary donations to the Fund under § 4–201.1 of this article; 6
292		-
293		-	(3) money appropriated in the State budget to the Fund; 7
294		-
295		-	(4) MONEY PAID BY COUNTY GOVERNMENTS UNDER SU BSECTION (H) 8
296		-	OF THIS SECTION; 9
297		-
298		-	[(4)] (5) interest earnings; and 10
299		-
300		-	[(5)] (6) any other money from any other source accepted for the benefit 11
301		-	of the Fund. 12
302		-
303		-	(g) For each [of] fiscal [years 2023, 2024, and 2025] YEAR, the Governor shall 13
304		-	include in the annual budget bill an appropriation of [$750,000] $500,000 $250,000 OF 14
305		-	THE INTEREST ON OVER DUE STATE PROPERTY TAX to the Fund. 15
306		-
307		-	(H) (1) FOR EACH F ISCAL YEAR , COUNTY GOVERNMENTS S HALL 16
308		-	COLLECTIVELY PAY $1,000,000 $500,000 TO THE FUND. 17
309		-
310		-	(2) THE AMOUNT REQUIRED T O BE PAID UNDER PARA GRAPH (1) OF 18
311		-	THIS SUBSECTION SHAL L BE ALLOCATED AMONG THE COUNTIES BASED O N THE 19
312		-	NUMBER OF REAL PROPE RTY ACCOUNTS IN EACH COUNTY AS A PERCENTA GE OF THE 20
313		-	TOTAL NUMBER OF REAL PROPERTY ACCOUNTS ST ATEWIDE AS OF JULY 1 OF THE 21
314		-	PRECEDING FISCAL YEA R. 22
315		-
316		-	(3) THE AMOUNT PAID BY EA CH COUNTY UNDER THIS SUBSECTION 23
317		-	SHALL BE DERIVED FRO M INTEREST ON OVERDU E COUNTY PROPERTY TA X. 24
318		-
319		-	(4) EACH COUNTY SHALL REMIT T O THE DEPARTMENT THE COUNTY ’S 25
320		-	SHARE OF THE AMOUNT REQUIRED UNDER PARAG RAPH (1) OF THIS SUBSECTION O N 26
321		-	OR BEFORE THE FIRST DAY OF EACH FISCAL Y EAR. 27
322		-
323		-	[(h)] (I) (1) The Fund may be used only for any expenses associated with the 28
324		-	Program. 29
325		-
326		-	(2) The Fund may not be used for any expenses of the office of the State 30
327		-	Tax Sale Ombudsman that are not directly related to the Program. 31 8 HOUSE BILL 953
	143	+	(3) the number of dwellings withheld from sale by each county and 31
	144	+	municipal corporation under [§ 14–811(e)] § 14–811(H) of this subtitle. 32 4 HOUSE BILL 953
328	145
329	146
330	147
331		-	[(i)] (J) (1) The State Treasurer shall invest the money of the Fund in the 1
332		-	same manner as other State money may be invested. 2
	148	+	14–880. 1
333	149
334		-	(2) ~~Any interest earnings of~~ the ~~Fund~~ shall ~~be credited to the Fund.~~ 3
	150	+	(a) Each year, the Department shall issue a report that includes: 2
335	151
336		-	~~[(j)]~~ (K) ~~Expenditures from~~ the ~~Fund may be made only in accordance with~~ the 4
337		-	~~State budget.~~ 5
	152	+	(1) an analysis and summary of the information collected through the 3
	153	+	survey under § 14–879 of this subtitle; and 4
338	154
339		-	[(k)] (L) The Fund is the exclusive source of funding for the Program. 6
	155	+	(2) the following information concerning the activities of the State Tax Sale 5
	156	+	Ombudsman established under § 2–112 of this article in the preceding taxable year: 6
340	157
341		-	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 7
342		-	1, 2025. 8
	158	+	(i) the number of homeowners who contacted the Ombudsman; 7
	159	+
	160	+	(ii) the number of homeowners assisted by the Ombudsman to apply 8
	161	+	for each of the tax credits under § 9–104 or § 9–105 of this article; 9
	162	+
	163	+	(iii) the number of homeowners assisted by the Ombudsman to apply 10
	164	+	for other discount programs or public benefits and a brief summary of those programs and 11
	165	+	benefits; 12
	166	+
	167	+	(iv) the number of homeowners referred by the Ombudsman to legal 13
	168	+	services, housing counseling, and other social services, and a brief summary of those 14
	169	+	services; 15
	170	+
	171	+	(v) the number of homeowners enrolled in the Homeowner 16
	172	+	Protection Program under Part VII of this subtitle; 17
	173	+
	174	+	(vi) a summary of the implementation of the Homeowner Protection 18
	175	+	Program under Part VII of this subtitle, including outreach to homeowners under § 19
	176	+	14–886(d) of this subtitle; 20
	177	+
	178	+	(VII) THE TOTAL NUMBER OF PERSONS MA KING A VOLUNTARY 21
	179	+	DONATION TO THE HOMEOWNER PROTECTION PROGRAM UNDER PART VII OF THIS 22
	180	+	SUBTITLE THROUGH THE WEBSITE UNDER § 4–201.1 OF THIS ARTICLE; 23
	181	+
	182	+	(VIII) THE TOTAL AMOUNT OF VOLUNTARY DONATIONS MADE TO 24
	183	+	THE HOMEOWNER PROTECTION PROGRAM UNDER PART VII OF THIS SUBTITLE 25
	184	+	THROUGH THE WEBSITE UN DER § 4–201.1 OF THIS ARTICLE; 26
	185	+
	186	+	[(vii)] (IX) any statutory or administrative changes the Ombudsman 27
	187	+	recommends to improve the administration of the Homeowner Protection Program under 28
	188	+	Part VII of this subtitle; and 29
	189	+
	190	+	[(viii)] (X) any other relevant information. 30
	191	+
	192	+	14–884. 31 HOUSE BILL 953 5
343	193
344	194
345	195
	196	+	(a) There is a Homeowner Protection Program administered by the Ombudsman 1
	197	+	in the Department. 2
346	198
347		-	Approved:
348		-	________________________________________________________________________________
349		-	Governor.
350		-	________________________________________________________________________________
351		-	Speaker of the House of Delegates.
352		-	________________________________________________________________________________
353		-	President of the Senate.
	199	+	(b) The purpose of the Program is to divert vulnerable homeowners from the 3
	200	+	private tax lien sale process under Part III of this subtitle into an alternative program with 4
	201	+	the primary purpose of: 5
	202	+
	203	+	(1) minimizing tax collection costs to homeowners; 6
	204	+
	205	+	(2) assisting homeowners to pay their taxes; and 7
	206	+
	207	+	(3) allowing homeowners to remain in their homes. 8
	208	+
	209	+	14–885. 9
	210	+
	211	+	[(e) County or municipal governments may not be required to pay any costs of the 10
	212	+	Program.] 11
	213	+
	214	+	14–886. 12
	215	+
	216	+	(c) The Ombudsman shall PRIORITIZE MAXIMIZIN G ENROLLMENT IN THE 13
	217	+	PROGRAM BY : 14
	218	+
	219	+	(1) prominently [advertise] ADVERTISING the Program and [make] 15
	220	+	MAKING applications available on the Ombudsman’s website; [and] 16
	221	+
	222	+	(2) [collaborate] COLLABORATING with local governments, community 17
	223	+	organizations, and public and private providers of social services and benefits to raise 18
	224	+	awareness of the Program and disseminate applications; 19
	225	+
	226	+	(3) STRONGLY ENCOURAG ING ALL HOMEOWNERS WHO MEET THE 20
	227	+	ELIGIBILITY REQUIREM ENTS TO ENROLL IN THE PROGRAM; AND 21
	228	+
	229	+	(4) SCREENING EACH HOMEOWNER WHO C ONTACTS THE 22
	230	+	OMBUDSMAN FOR ELIGIBI LITY FOR THE PROGRAM AND , IF THE HOMEOWNER 23
	231	+	APPEARS TO BE ELIGIB LE, STRONGLY ENCOURAG ING THE HOMEOWNER TO 24
	232	+	COMPLETE AN APPLICAT ION FOR THE PROGRAM. 25
	233	+
	234	+	14–887. 26
	235	+
	236	+	(e) If a homeowner’s enrollment in the Program is canceled under [§ 14–886(d)] 27
	237	+	§ 14–886(E) of this subtitle, the Department shall retain a lien on the homeowner’s 28
	238	+	dwelling for the taxes owed to the Department but may not initiate any collection efforts or 29
	239	+	otherwise act to enforce the lien until ownership of the dwelling is transferred. 30 6 HOUSE BILL 953
	240	+
	241	+
	242	+
	243	+	14–889. 1
	244	+
	245	+	(a) [(1) The Department may charge interest on unpaid taxes owed to the 2
	246	+	Department at a rate not exceeding 6%. 3
	247	+
	248	+	(2) The Ombudsman may set a lower interest rate or waive interest 4
	249	+	entirely at the Ombudsman’s discretion.] THE DEPARTMENT MAY NOT CH ARGE 5
	250	+	INTEREST ON UNPAID T AXES OWED TO THE DEPARTMENT . 6
	251	+
	252	+	(b) [Other than the interest specified in subsection (a) of this section, the] THE 7
	253	+	Department may not impose any fees or costs on a homeowner in addition to the taxes 8
	254	+	owed. 9
	255	+
	256	+	14–891. 10
	257	+
	258	+	(a) In this section, “Fund” means the Homeowner Protection Fund. 11
	259	+
	260	+	(b) There is a Homeowner Protection Fund. 12
	261	+
	262	+	(c) The purpose of the Fund is to finance the Program. 13
	263	+
	264	+	(d) The Department shall administer the Fund. 14
	265	+
	266	+	(e) (1) The Fund is a special, nonlapsing fund that is not subject to § 7–302 of 15
	267	+	the State Finance and Procurement Article. 16
	268	+
	269	+	(2) The State Treasurer shall hold the Fund separately, and the 17
	270	+	Comptroller shall account for the Fund. 18
	271	+
	272	+	(f) The Fund consists of: 19
	273	+
	274	+	(1) tax and interest payments made to the Department by homeowners 20
	275	+	enrolled in the Program; 21
	276	+
	277	+	(2) voluntary donations to the Fund under § 4–201.1 of this article; 22
	278	+
	279	+	(3) money appropriated in the State budget to the Fund; 23
	280	+
	281	+	(4) MONEY PAID BY COUNTY GOVER NMENTS UNDER SUBSECT ION (H) 24
	282	+	OF THIS SECTION; 25
	283	+
	284	+	[(4)] (5) interest earnings; and 26
	285	+
	286	+	[(5)] (6) any other money from any other source accepted for the benefit 27
	287	+	of the Fund. 28 HOUSE BILL 953 7
	288	+
	289	+
	290	+
	291	+	(g) For each [of] fiscal [years 2023, 2024, and 2025] YEAR, the Governor shall 1
	292	+	include in the annual budget bill an appropriation of [$750,000] $500,000 OF THE 2
	293	+	INTEREST ON OVERDUE STATE PROPERTY TAX to the Fund. 3
	294	+
	295	+	(H) (1) FOR EACH FISCAL YEAR , COUNTY GOVERNMENTS S HALL 4
	296	+	COLLECTIVELY PAY $1,000,000 TO THE FUND. 5
	297	+
	298	+	(2) THE AMOUNT REQUIRED T O BE PAID UNDER PARA GRAPH (1) OF 6
	299	+	THIS SUBSECTION SHAL L BE ALLOCATED AMONG THE COUNTIES BASED O N THE 7
	300	+	NUMBER OF REAL PROPE RTY ACCOUNTS IN EACH COUNTY AS A PERCENTA GE OF THE 8
	301	+	TOTAL NUMBER OF REAL PROPERTY ACCOUNTS ST ATEWIDE AS OF JULY 1 OF THE 9
	302	+	PRECEDING FISCAL YEA R. 10
	303	+
	304	+	(3) THE AMOUNT PAID BY EACH COUNTY UNDER THIS SUBSECTIO N 11
	305	+	SHALL BE DERIVED FROM INTERES T ON OVERDUE COUNTY PROPERTY TAX . 12
	306	+
	307	+	(4) EACH COUNTY SHALL REM IT TO THE DEPARTMENT THE COUNTY’S 13
	308	+	SHARE OF THE AMOUNT REQUIRED UNDER PARAGRAP H (1) OF THIS SUBSECTION O N 14
	309	+	OR BEFORE THE FIRST DAY OF EACH FISCAL YEAR. 15
	310	+
	311	+	[(h)] (I) (1) The Fund may be used only for any expenses associated with the 16
	312	+	Program. 17
	313	+
	314	+	(2) The Fund may not be used for any expenses of the office of the State 18
	315	+	Tax Sale Ombudsman that are not directly related to the Program. 19
	316	+
	317	+	[(i)] (J) (1) The State Treasurer shall invest the money of the Fund in the 20
	318	+	same manner as other State money may be invested. 21
	319	+
	320	+	(2) Any interest earnings of the Fund shall be credited to the Fund. 22
	321	+
	322	+	[(j)] (K) Expenditures from the Fund may be made only in accordance with the 23
	323	+	State budget. 24
	324	+
	325	+	[(k)] (L) The Fund is the exclusive source of funding for the Program. 25
	326	+
	327	+	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 26
	328	+	1, 2025. 27