| Old | New | Differences | |
|---|---|---|---|
| 1 | 1 | ||
| 2 | 2 | ||
| 3 | 3 | EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LA W. | |
| 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 | *sb0327* | |
| 9 | 6 | ||
| 10 | 7 | SENATE BILL 327 | |
| 11 | 8 | Q1, C9 5lr2256 | |
| 12 | - | CF | |
| 9 | + | CF 5lr0894 | |
| 13 | 10 | By: Senator Hettleman | |
| 14 | 11 | Introduced and read first time: January 15, 2025 | |
| 15 | 12 | Assigned to: Budget and Taxation | |
| 16 | - | Committee Report: Favorable with amendments | |
| 17 | - | Senate action: Adopted | |
| 18 | - | Read second time: February 21, 2025 | |
| 19 | 13 | ||
| 20 | - | ||
| 14 | + | A BILL ENTITLED | |
| 21 | 15 | ||
| 22 | 16 | AN ACT concerning 1 | |
| 23 | 17 | ||
| 24 | 18 | Affordable Housing Payment In Lieu of Taxes Expansion Act 2 | |
| 25 | 19 | ||
| 26 | 20 | FOR the purpose of authorizing an owner of real property used for rental housing and the 3 | |
| 27 | 21 | governing body of a county to enter into a payment in lieu of taxes agreement for 4 | |
| 28 | 22 | maintaining at least a certain percentage of affordable dwelling units at the property 5 | |
| 29 | 23 | for at least a certain period of time; and generally relating to payment in lieu of taxes 6 | |
| 30 | 24 | agreements for affordable housing. 7 | |
| 31 | 25 | ||
| 32 | 26 | BY repealing and reenacting, without amendments, 8 | |
| 33 | 27 | Article – Land Use 9 | |
| 34 | 28 | Section 7–501(a), (b), (c), and (d) 10 | |
| 35 | 29 | Annotated Code of Maryland 11 | |
| 36 | 30 | (2012 Volume and 2024 Supplement) 12 | |
| 37 | 31 | ||
| 38 | 32 | BY adding to 13 | |
| 39 | 33 | Article – Tax – Property 14 | |
| 40 | 34 | Section 7–522 15 | |
| 41 | 35 | Annotated Code of Maryland 16 | |
| 42 | 36 | (2019 Replacement Volume and 2024 Supplement) 17 | |
| 43 | 37 | ||
| 44 | 38 | SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18 | |
| 45 | 39 | That the Laws of Maryland read as follows: 19 | |
| 46 | 40 | ||
| 47 | 41 | Article – Land Use 20 | |
| 48 | - | 2 SENATE BILL 327 | |
| 42 | + | ||
| 43 | + | 7–501. 21 | |
| 44 | + | ||
| 45 | + | (a) In this subtitle the following words have the meanings indicated. 22 | |
| 46 | + | ||
| 47 | + | (b) “Affordable” means that housing costs do not exceed 30% of a household’s 23 | |
| 48 | + | income. 24 2 SENATE BILL 327 | |
| 49 | 49 | ||
| 50 | 50 | ||
| 51 | - | 7–501. 1 | |
| 52 | 51 | ||
| 53 | - | (a) In this subtitle the following words have the meanings indicated. 2 | |
| 52 | + | (c) “Affordable dwelling unit” means a dwelling unit that is affordable to 1 | |
| 53 | + | households earning 60% or less of the area median income. 2 | |
| 54 | 54 | ||
| 55 | - | (b) “Affordable” means that housing costs do not exceed 30% of a household’s 3 | |
| 56 | - | income. 4 | |
| 55 | + | (d) “Area median income” means the median household income for the ar ea 3 | |
| 56 | + | adjusted for household size as published and annually updated by the U.S. Department of 4 | |
| 57 | + | Housing and Urban Development. 5 | |
| 57 | 58 | ||
| 58 | - | (c) “Affordable dwelling unit” means a dwelling unit that is affordable to 5 | |
| 59 | - | households earning 60% or less of the area median income. 6 | |
| 59 | + | Article – Tax – Property 6 | |
| 60 | 60 | ||
| 61 | - | (d) “Area median income” means the median household income for the area 7 | |
| 62 | - | adjusted for household size as published and annually updated by the U.S. Department of 8 | |
| 63 | - | Housing and Urban Development. 9 | |
| 61 | + | 7–522. 7 | |
| 64 | 62 | ||
| 65 | - | Article – Tax – Property 10 | |
| 63 | + | (A) IN THIS SECTION, “AFFORDABLE DWELLING UNIT” HAS THE MEANING 8 | |
| 64 | + | STATED IN § 7–501 OF THE LAND USE ARTICLE. 9 | |
| 66 | 65 | ||
| 67 | - | 7–522. 11 | |
| 66 | + | (B) REAL PROPERTY THAT IS USED FOR RENTAL HOUS ING MAY BE EXEMPT 10 | |
| 67 | + | FROM COUNTY PROPERTY TAX IF: 11 | |
| 68 | 68 | ||
| 69 | - | (A) IN THIS SECTION, “AFFORDABLE DWELLING UNIT” HAS THE MEANING 12 | |
| 70 | - | STATED IN § 7–501 OF THE LAND USE ARTICLE. 13 | |
| 69 | + | (1) THE OWNER OF THE REA L PROPERTY AND THE G OVERNING B ODY 12 | |
| 70 | + | OF THE COUNTY AGREE THAT THE OWNER SHALL PAY A NEGOTIATED AMO UNT IN 13 | |
| 71 | + | LIEU OF THE COUNTY P ROPERTY TAX; AND 14 | |
| 71 | 72 | ||
| 72 | - | (B) REAL PROPERTY THAT IS USED FOR RENTAL HOUS ING MAY BE EXEMPT 14 | |
| 73 | - | FROM COUNTY PROP ERTY TAX IF: 15 | |
| 73 | + | (2) THE OWNER OF THE REA L PROPERTY ENTERS IN TO AN 15 | |
| 74 | + | AGREEMENT WITH THE G OVERNING BODY OF THE COUNTY TO MAINTAIN A T LEAST 16 | |
| 75 | + | 50% OF THE RENTAL HOUSIN G UNITS LOCATED AT T HE REAL PROPERTY AS 17 | |
| 76 | + | AFFORDABLE DWELLING UNITS FOR A PERIOD O F AT LEAST 15 YEARS. 18 | |
| 74 | 77 | ||
| 75 | - | (1) THE OWNER OF THE REA L PROPERTY AND THE G OVERNING BODY 16 | |
| 76 | - | OF THE COUNTY AGREE THAT THE OWNER SHALL PAY A NEGOTIATED AMO UNT IN 17 | |
| 77 | - | LIEU OF THE COUNTY P ROPERTY TAX; AND 18 | |
| 78 | + | (C) REAL PROPERTY DESCRIB ED IN SUBSECTION (B) OF THIS SECTION IS 19 | |
| 79 | + | EXEMPT WHEN THE REQU IREMENTS OF SUBSECTI ON (B) OF THIS SECTION ARE MET. 20 | |
| 78 | 80 | ||
| 79 | - | (2) THE OWNER OF THE REA L PROPERTY ENTERS IN TO AN 19 | |
| 80 | - | AGREEMENT WITH THE G OVERNING BODY OF THE COUNTY TO MAINTAIN A T LEAST 20 | |
| 81 | - | 50% 25% OF THE RENTAL HOUSIN G UNITS LOCATED AT T HE REAL PROPERTY AS 21 | |
| 82 | - | AFFORDABLE DWELLING UNITS FOR A PERIOD O F AT LEAST 15 YEARS. 22 | |
| 83 | - | ||
| 84 | - | (C) IN AN AGREEMENT UNDER THIS SECTION, THE GOVERNING BODY O F 23 | |
| 85 | - | THE COUNTY MAY REQUI RE THE OWNER OF REAL PROPERTY TO MAINTAIN A HIGHER 24 | |
| 86 | - | PERCENTAGE OF RENTAL HOUSING UNITS AS AFF ORDABLE DWELLING UNI TS THAN 25 | |
| 87 | - | THE MINIMUM PERCENTA GE SPECIFIED IN SUBS ECTION (B)(2) OF THIS SECTION. 26 | |
| 88 | - | ||
| 89 | - | (C) (D) REAL PROPERTY DESCRIB ED IN SUBSECTION (B) OF THIS 27 | |
| 90 | - | SECTION IS EXEMPT WH EN THE REQUIREMENTS OF SUBSECTION (B) OF THIS 28 | |
| 91 | - | SECTION ARE MET . 29 | |
| 92 | - | ||
| 93 | - | SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 30 | |
| 94 | - | 1, 2025, and shall be applicable to all taxable years beginning after June 30, 2025. 31 | |
| 81 | + | SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 21 | |
| 82 | + | 1, 2025, and shall be applicable to all taxable years beginning after June 30, 2025. 22 | |
| 95 | 83 |