On Apr. 22, 2025, MD LEG reported gov approved bill, Ch 106, effective Jun. 1, 2025.
On Apr. 7, MD LEG passed bill on affordable housing pay in lieu of tax.
MD LEG passed SB 327 related to affordable housing payment in lieu of property tax.
Amendments to Annotated code of Maryland, under Land use MD LEG 7-I-7-5-501(a), (b), (c), (d); and addition of new section under Tax-PropertyMD LEG 7-5-522.
Legislative Provisions
Authorized owner of real property for rental housing and governing body of county to enter into agreement that owner pay negotiated payment in lieu of property taxes.
If maintain at least 25% of affordable dwelling units at property for at least 15 years.
In agreement, governing body of county may require owner of real property maintain a higher percentage of rental housing units as affordable dwelling units than specified.
Legislative History
On Jan. 15, 2025, bill introduced in Senate; on Mar. 12, 2025, bill passed in Senate.
On Mar. 13, 2025, bill introduced in House; on Apr. 7, 2025, bill was passed in House.
Effectiveness
Act effective Jun. 1, 2025, applicable to all taxable years beginning after Jun. 30, 2025
Apr. 2025 MD LEG Governor Approval
On Apr. 22, 2025, MD LEG reported gov approved bill, Ch 106, effective Jun. 1, 2025.
