EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
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SENATE BILL 289
L2 CONSTITUTIONAL AMENDMENT 5lr0703
By: Senator McCray
Introduced and read first time: January 10, 2025
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Baltimore City – Removal of Debt Ballot Questions 2
FOR the purpose of removing the requirement that certain debt created by the Mayor and 3
City Council of Baltimore be approved by the legal voters of the City of Baltimore 4
through a majority vote at a certain election; and generally relating to the removal 5
of debt ballot questions in Baltimore City. 6
BY proposing an amendment to the Maryland Constitution 7
Article XI – City of Baltimore 8
Section 7 9
BY repealing and reenacting, without amendments, 10
The Charter of Baltimore City 11
Article II – General Powers 12
Section (62)(a)(1) and (62A)(g)(3)(i) 13
(2007 Replacement Volume, as amended) 14
BY repealing and reenacting, with amendments, 15
The Charter of Baltimore City 16
Article II – General Powers 17
Section (62)(f)(2) and (62A)(g)(3)(ii) 18
(2007 Replacement Volume, as amended) 19
BY repealing and reenacting, with amendments, 20
The Public Local Laws of Baltimore City 21
Section 25–7 and 25–16 22
Article 4 – Public Local Laws of Maryland 23
(1979 Edition and 1997 Supplement, and 2000 Supplement, as amended) 24
2 SENATE BILL 289
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1
(Three–fifths of all the members elected to each of the two Houses concurring), That it be 2
proposed that the Maryland Constitution read as follows: 3
Article XI – City of Baltimore 4
7. 5
From and after the adoption of this Constitution, no debt except as hereinafter 6
provided in this section, shall be created by the Mayor and City Council of Baltimore; nor 7
shall the credit of the Mayor and City Council of Baltimore be given, or loaned to, or in aid 8
of any individual, association, or corporation; nor shall the Mayor and City Council of 9
Baltimore have the power to involve the City of Baltimore in the construction of works of 10
internal improvement, nor in granting any aid thereto, which shall involve the faith and 11
credit of the City, nor make any appropriation therefor, unless the debt or credit is 12
authorized by an ordinance of the Mayor and City Council of Baltimore[, submitted to the 13
legal voters of the City of Baltimore, at such time and place as may be fixed by the 14
ordinance, and approved by a majority of the votes cast at that time and place]. An 15
ordinance for the authorization of debt or credit as aforesaid [may not be submitted to the 16
legal voters of Baltimore City unless the proposed creation of debt or extension of credit is] 17
SHALL BE either (1) presented to and approved by a majority of the members of the General 18
Assembly representing Baltimore City [no later than the 30th day of the regular session of 19
the General Assembly immediately preceding its submission to the voters], or (2) 20
authorized by an act of the General Assembly. The ordinance shall provide for the discharge 21
of any such debt or credit within the period of 40 years from the time of contracting the 22
same. The Mayor and City Council may, temporarily, borrow any amount of money to meet 23
any deficiency in the City treasury, and may borrow any amount at any time to provide for 24
any emergency arising from the necessity of maintaining the police, or preserving the 25
health, safety and sanitary condition of the City, and may make due and proper 26
arrangements and agreements for the renewal and extension, in whole or in part, of any 27
and all debts and obligations created according to law before the adoption of this 28
Constitution. 29
The General Assembly may, from time to time, fix a limit upon the aggregate amount 30
of bonds and other evidences of indebtedness of the City outstanding at any one time to the 31
same extent as it fixes such a limit upon the indebtedness of the chartered counties. 32
SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 33
as follows: 34
The Charter of Baltimore City 35
Article II – General Powers 36
The Mayor and City Council of Baltimore shall have full power and authority to 37
exercise all of the powers heretofore or hereafter granted to it by the Constitution of 38 SENATE BILL 289 3
Maryland or by any Public General or Public Local Laws of the State of Maryland; and in 1
particular, without limitation upon the foregoing, shall have power by ordinance, or such 2
other method as may be provided for in its Charter, subject to the provisions of said 3
Constitution and Public General Laws: 4
(62) 5
(a) (1) To borrow money by issuing and selling bonds, at any time and from 6
time to time, for the purpose of financing and refinancing the development of an industrial, 7
commercial, or residential area in Baltimore City. Such bonds shall be payable from and 8
secured by a pledge of the special fund described in subsection (d)(3)(ii) of this section and 9
the Mayor and City Council of Baltimore may also establish sinking funds, establish debt 10
service reserve funds, or pledge other assets and revenues towards the payments of the 11
principal and interest, including revenues received by the Mayor and City Council of 12
Baltimore pursuant to a development agreement. 13
(f) (2) The ordinance, if such bonds constitute debt of the Mayor and City 14
Council of Baltimore [under], SHALL COMPLY WITH Section 7 of Article XI of the State 15
Constitution[, shall be submitted to the legal voters of the City of Baltimore at the time 16
and place specified therein. Such ordinance shall become effective only if it is approved by 17
the majority of the votes cast at the time and place specified in such ordinance]. Except as 18
otherwise provided herein, this section may not be construed as requiring the submission 19
to the legal voters of the City of Baltimore of any ordinance creating a development district 20
pursuant to subsection (d) of this section. 21
(62A) 22
(g) (3) (i) Before the ordinance that designates a special taxing district, 23
authorizes the issuance of bonds, or levies ad valorem taxes or special taxes under the 24
provisions of this section may be finally enacted, the Mayor and City Council of Baltimore 25
shall hold a public hearing after giving not less than 10–days notice in a newspaper of 26
general circulation in the City of Baltimore. 27
(ii) The ordinance enacted pursuant to this subsection, if such bonds 28
constitute debt of the Mayor and City Council of Baltimore [under], SHALL COMPLY WITH 29
Article XI, § 7 of the Maryland Constitution[, shall be submitted to the legal voters of the 30
City of Baltimore at the time and place specified therein. Such ordinance shall become 31
effective only if it is approved by the majority of the votes cast at the time and place 32
specified in such ordinance]. 33
Article 4 – Baltimore City 34
25–7. 35
Immediately upon the approval of the loan of $5,000,000, hereinafter mentioned, [by 36
the legal voters of Baltimore City, but not otherwise] IN ACCORDANCE WITH SECTION 7 37 4 SENATE BILL 289
OF ARTICLE XI OF THE CONSTITUTION OF MARYLAND, the Mayor and City Council of 1
Baltimore shall pay to the treasurer of Baltimore County, out of the proceeds of said loan, 2
the sum of thirty–five thousand dollars, in lieu, and release of, and, as full compensation 3
for, all county taxes due, or to become due, on any and all land, property, or things, acquired 4
or held, or thereafter to be acquired or held, by said Mayor and City Council of Baltimore, 5
under the loan hereinafter provided for and under the provisions of this subheading, or in 6
connection with the work herein contemplated, and thereafter such land, property, or 7
things, when so held or acquired by said city, shall be exempt from taxation for county 8
purposes; all laws, or parts of laws, inconsistent herewith being hereby repealed to the 9
extent of such inconsistency. The object of this section is to indemnify Baltimore County 10
against all loss in taxes, immediate or prospective, that may be entailed upon it by the 11
appropriation for public use, by the Mayor and City Council of Baltimore, of any and all 12
such land, property or things. 13
25–16. 14
In order to provide money to defray the cost of carrying all or any of the purposes of 15
the provisions of this subheading into execution, the Mayor and City Council of Baltimore 16
is hereby authorized to issue the stock of said corporation for a sum not exceeding Five 17
Millions of Dollars; said stock to be issued from time to time as the Mayor and City Council 18
of Baltimore shall by ordinance prescribe, and to be issued for such amounts, and to be 19
payable at such time and to bear such rate of interest as the Mayor and City Council of 20
Baltimore shall by ordinance provide; said stock shall be sold and issued by the 21
Commissioners of Finance of the City of Baltimore at the best prices obtainable in their 22
judgment therefor, and any premiums derived from the sale thereof shall remain in their 23
hands as part of the sinking fund hereinafter mentioned for the redemption of said stock at 24
maturity. 25
The residue of the money received from the sale of said stock shall be turned over by 26
them to the Comptroller to be by him deposited with the City Register, and to be placed to 27
the credit of a fund to be known as the “Gunpowder Reservoir Fund,” which shall be 28
exclusively applicable to the cost of carrying the purposes and provisions of this subheading 29
into execution, and shall be chargeable with no other items of cost or expense whatsoever, 30
and appropriation to defray said cost, based upon the estimate of the person charged with 31
the duty of doing the work contemplated by this subheading shall be annually included by 32
the Board of Estimates in the usual way in the Ordinance of Estimates, but said stock shall 33
not be issued in whole or in part unless the ordinance of the Mayor and City Council of 34
Baltimore providing for the issuance [thereof, shall be submitted to the legal voters of the 35
City of Baltimore at such time and place as may be fixed by said ordinance and approved 36
by a majority of votes cast at such time and place as required by] COMPLIES WITH Section 37
7 of Article XI of the Constitution of Maryland; if issued [pursuant to such approval], the 38
Mayor and City Council of Baltimore shall levy in each and every year upon all property 39
liable to taxation in the City of Baltimore, a sum sufficient to pay the interest accruing on 40
said stock, and to create a sinking fund sufficient, with the aid of any premiums on the sale 41
thereof to redeem said stock at its maturity. 42
SENATE BILL 289 5
SECTION 3. AND BE IT FURTHER ENACTED, That the General Assembly 1
determines that the amendment to the Maryland Constitution proposed by Section 1 of this 2
Act affects only the City of Baltimore and that the provisions of Article XIV, § 1 of the 3
Maryland Constitution concerning local approval of constitutional amendments apply. 4
SECTION 4. AND BE IT FURTHER ENACTED, That : 5
(a) The amendment to the Maryland Constitution proposed by Section 1 of this 6
Act shall be submitted to the qualified voters of the State at the next general election to be 7
held in November 2026 for adoption or rejection in accordance with Article XIV of the 8
Maryland Constitution. 9
(b) (1) At that general election, the vote on the proposed amendment to the 10
Constitution shall be by ballot, and on each ballot there shall be printed the words “For the 11
Constitutional Amendment” and “Against the Constitutional Amendment”, as now 12
provided by law. 13
(2) At that general election, a question substantially similar to the 14
following shall be submitted to the qualified voters of the State: 15
“Question ____ – Constitutional Amendment 16
The proposed amendment removes the requirement that debt or credit created by the 17
Mayor and City Council of Baltimore be approved by the legal voters of the City of 18
Baltimore through a majority of the votes cast at the appropriate election.”. 19
(c) Immediately after the election, all returns shall be made to the Governor of 20
the vote for and against the proposed amendment, as directed by Article XIV of the 21
Maryland Constitution, and further proceedings had in accordance with Article XIV. 22
SECTION 5. AND BE IT FURTHER ENACTED, That Section 2 of this Act is 23
contingent on the passage of Section 1 of this Act, a constitutional amendment, and its 24
ratification by the voters of the State. 25
SECTION 6. AND BE IT FURTHER ENACTED, That, subject to the provisions of 26
Section 5 of this Act, Section 2 of this Act shall take effect on the proclamation of the 27
Governor that the constitutional amendment, having received a majority of the votes cast 28
at the general election, has been adopted by the people of Maryland. 29