HB 135 allows local governments in Maryland to designate *noncontiguous* areas as development districts for tax increment financing (TIF). This means political subdivisions (like counties or cities) can now create TIF zones that include separate, disconnected parcels of land - not just connected areas - under new provisions in Section 12-201(i)(1). The bill modifies existing law to explicitly permit this by redefining "development district" to include noncontiguous areas and updating related sections (e.g., 12-203). It directly affects local governments seeking to use TIF for economic development projects across multiple, non-adjacent sites. The law takes effect October 1, 2026.
This bill amends existing state debt authorizations to update grant details for various community projects across Maryland. It directly affects multiple local organizations and municipalities that have received state funding for construction, renovation, and infrastructure improvements. The key provision allows the state to change grantee names, modify authorized project uses, and extend termination dates for several grants without requiring new legislation for each change. Specific projects include facilities for the National Road Museum, Harford Crisis Center, Imagination Stage, and various community centers, with funding amounts and deadlines being adjusted accordingly.
SB 599 establishes two grant programs to reduce wasted food and promote organics recycling. The On-Farm Organics Diversion Grant Program (starting July 2028) provides funding for farmers, urban agricultural producers, nonprofits, and businesses to develop composting, food rescue, and wasted food prevention projects on farms. The Wasted Food Reduction Grant Program (under the Environment Department) funds infrastructure, education, and community projects statewide to redirect edible food, recover waste for animal feed, and create compost. Eligible projects must reduce food waste, support community needs, prioritize underserved areas, and create jobs with fair wages. The bill specifically prioritizes projects that minimize contamination in compost and meet U.S. composting standards.
SB 468 authorizes Maryland counties to create their own local child tax credits against county income tax for qualifying families. It allows counties to provide credits for each "qualified child" (defined as a dependent under age 6, or under 17 with a disability) to households with federal adjusted gross income below $15,000. The credit amount is set by the county, but must follow income phaseout rules ($50 reduction per $1,000 of income over $15,000) and requires county notification to the Comptroller. This bill does not create a state-level credit but gives counties the option to implement this local tax benefit for low-income families.
HB 1279 modifies Maryland's Catalytic Revitalization Project Tax Credit program to expand eligibility and adjust credit calculations. It updates definitions to include properties formerly owned by the federal government or state, or those formerly used as schools/hospitals, and clarifies income thresholds for "workforce housing" (e.g., 60-150% area median income in designated areas). The bill changes how tax credits are claimed: for workforce housing projects, 50% of the credit applies to workforce units in the first year, with 33% of non-workforce costs spread over three subsequent years. This directly affects developers and property owners rehabilitating qualifying properties seeking state tax credits. The changes aim to simplify claiming while expanding opportunities for projects in targeted communities.
HB 927 authorizes Carroll County to borrow up to $27 million through general obligation bonds to fund public infrastructure projects, including water and sewer systems, volunteer fire department equipment/buildings, and other facilities like parks, roads, and agricultural land preservation. The bonds would be tax-exempt at state and local levels, with annual property taxes levied to repay them. This bill directly affects Carroll County residents through future tax-funded projects and volunteer fire departments receiving loan access for equipment and facilities. The county retains full discretion over bond terms, including interest rates, maturity dates (up to 30 years), and specific project allocations within the $27 million limit.
HB 1139 clarifies that local governments (such as counties, cities, and special agencies) must have all their employees join specific state pension systems - Employees’, Law Enforcement Officers’, or Correctional Officers’ - rather than allowing partial participation. It requires governments seeking to join these systems to submit properly completed election forms showing employee consent and ensures local retirement plans match state contribution rates or eliminate employer-paid contributions. The bill affects over 25 types of Maryland governmental units currently operating pension systems, including fire departments, transit authorities, and community action agencies. These changes aim to standardize participation requirements across the State Retirement and Pension System.
HB 1346 establishes new fees for documents processed by Maryland's State Department of Assessments and Taxation. It sets specific fees for business filings, including $100 for articles of incorporation, amendments, or mergers, $300 for annual reports (except family farms, which are $100), and $25 for address changes. The bill requires the Department to process certain documents within defined timeframes but does not specify exact deadlines. This directly affects businesses and entities filing corporate, LLC, partnership, or foreign entity documents with the Department. The bill amends Maryland's Corporations and Associations law to standardize these fees and processing requirements.
SB 638 amends Maryland law to adjust funding rules for the Maryland Heritage Areas Authority. It removes previous limits on grant coverage (previously capping at 50% of project costs), allowing the Authority to fund more of certified heritage area management projects. The bill also reduces the portion of Program Open Space funds that can cover the Authority’s operating expenses from 10% to 7%, while increasing the maximum transferable funding to the Authority’s Financing Fund. This directly affects local jurisdictions, heritage area management entities, and the Authority itself by changing how they access and use state funds for preservation and development.
HB 972 establishes the Maryland Fair and Agricultural Education Promise Fund, a permanent fund to provide annual grants supporting agricultural fairs and education. The fund will receive lottery proceeds (before allocation to the general fund) and replace previous requirements for horse racing fund allocations. It directs specific annual grants: $825,000 to the Maryland Agricultural Fair Board, $75,000 to the Maryland Agricultural Education Foundation, $550,000 to the Maryland State Fair Society (for youth programs like 4-H and FFA), and $50,000 to the Maryland FFA Association. These grants aim to advance agricultural fairs, education, and youth programs across Maryland.
