Some County-Backed Housing Bills Advance by Crossover, But Major Issues Still Pending

Several county-backed housing bills advance before the Crossover deadline, guaranteeing a near-record year for housing policy. 

For the 2024 legislative session, MACo designated Advancing Comprehensive Housing Solutions as one of counties’ top four legislative initiatives. As part of this effort, MACo staff has advocated for a broad-based approach to help Maryland address its housing concerns – supporting legislation that provides resources, tools, and guidance to benefit builders, homebuyers, and residential communities. Below is an overview of the current status of housing bills that MACo has weighed in on.

MACo-SUPPORTED Bills:

HB826/SB779 – Real Property – Taxation of Vacant Property, Certification of Company Representatives, and Short-Term Rentals (MACo Housing Initiative Bill)

Leading up to the 2024 legislative session, MACo spent several months working with county housing experts to identify significant factors constraining access to affordable housing in Maryland. HB826/SB779 is the culmination of that work and targets several key components of this crisis: vacancy disincentives, corporate owner transparency, and short-term rental oversight. While this legislation is no silver bullet, it is a major step in the right direction. Unfortunately, the bill itself failed to meet the crossover deadline. HB2/SB138, a bill authorizing Baltimore City to create a special vacant property tax, was expanded to include all counties statewide. 

 

HB7/SB203 –  Housing Innovation Pilot Program and Housing Innovation Fund – Establishment (Housing Innovation Pilot Program Act of 2024)

This bill would provide counties with additional resources through the Housing Innovation Pilot Program, incentivizing the development of countyowned affordable housing projects. The House advanced an amended version of the bill. It is inconclusive whether this bill is considered likely to pass. 

 

HB13/SB199 – Residential Property – Affordable Housing Land Trusts – Authority to Establish Condominium Regimes

This bill enables local Affordable Housing Land Trusts to establish condominium regimes. Both bills advanced with no amendments and are considered likely to pass. 

 

HB69 – Community Development Administration – Live Near Where You Teach Program – Establishment

This bill establishes the Live Near Where You Teach Program, which offers rental and homebuyer assistance for school staff. Unfortunately, the bill did not have a crossfile and failed to meet the crossover deadline. It is considered unlikely to pass. 

 

HB271 – Limited Liability Companies – Articles of Organization – Required Information

This bill will require LLCs to provide and maintain accurate contact information for members authorized to act on behalf of the entity. This information, specifically for corporate entities owning real property, could help accelerate efforts to target abandoned property and blight and expand housing options. Unfortunately, the bill did not have a crossfile and failed to meet the crossover deadline. It is considered unlikely to pass. 

 

HB401– Property Tax Exemption – Rental Income – Reporting Requirement

This bill would promote taxpayer equity by ensuring that tax-exempt treatment of specified real property is based on its actual use, rather than its nominal ownership. Unfortunately, the bill did not have a crossfile and failed to meet the crossover deadline. It is considered unlikely to pass. 

 

HB477/SB644 – Landlord and Tenant – Residential Leases and Holdover Tenancies – Local Just Cause Termination Provisions

This bill would authorize counties to establish laws preventing landlords from failing to renew or terminate leases without just cause.  The House passed the bill before the crossover deadline. It is inconclusive whether this bill is considered likely to pass. 

 

HB501/SB522 – Charter Counties – Enforcement of Local Laws

This bill increases the maximum fine that a charter county, through its “home rule” authority, may levy for a violation of a local ordinance. Additionally, it applies to charter county enforcement of the Fair Housing Act of 1988 and any local employment or public accommodation discrimination laws. Both bills advanced with no amendments and are considered likely to pass. 

 

HB599/SB483 – Maryland Community Investment Corporation – Establishment (Housing and Community Development Financing Act of 2024)

This bill, which is part of the Governor’s Housing package, establishes the Maryland Community Investment Corporation and expands the uses of the Strategic Demolition and Smart Growth Impact Fund. The House passed the bill before the crossover deadline. It is considered likely to pass. 

 

HB 751 – Sale of Residential Real Property – Offers to Purchase and Transfer Tax

This bill seeks to use multiple tools to curb institutional real estate investors from purchasing large volumes of housing stock quickly, artificially inflating the cost of housing. Unfortunately, the bill did not have a crossfile and failed to meet the crossover deadline. It is considered unlikely to pass. 

 

HB783/SB773 – Homeowners Associations – Restriction on Long-Term Rentals – Prohibition

This bill prohibits a homeowners association from restricting long-term rentals for periods of 6 months or longer. The House passed the bill before the crossover deadline. It is inconclusive whether this bill is considered likely to pass. 

 

HB1090 Revitalizing Neighborhoods Through Homeownership Program and Fund – Established

This bill would provide counties with additional resources through the Revitalizing Neighborhoods Through Homeownership Program, opening access to low-cost capital to help revitalize homes purchased under the federal Department of Housing and Urban Development (HUD) Dollar Homes Program. Unfortunately, the bill did not have a crossfile and failed to meet the crossover deadline. It is considered unlikely to pass. 

 

HB1203 – Economic Development – Strategic Infrastructure Revolving Loan Program and Tax Increment Financing

This bill establishes the Strategic Infrastructure Revolving Loan Program. The program would provide loans for targeted investments in real estate and infrastructure, ultimately providing additional resources to communities looking to redevelop and attract further investment. The House passed an amended version of the bill before the crossover deadline, but there is no crossfile. It is inconclusive whether this bill is considered likely to pass. 

 

HB1224/SB953This bill would provide an additional $5 million to the Community Development Program (CDP), a critical tool in county efforts to enable more affordable housing and neighborhood revitalization. Neither the House nor Senate advanced the bill before the crossover deadline, amidst larger fiscal concerns in and around the State budget. It is now considered unlikely to pass. 

 

MACo SUPPORTED WITH AMENDMENT Bills:

HB538/SB484 – Land Use – Affordable Housing – Zoning Density and Permitting (Housing Expansion and Affordability Act of 2024)

This bill, part of the Governor’s housing package, makes several changes to the land use article, enabling higher density bonuses under three different scenarios, authorizing the use of manufactured housing, and loosening restrictions related to adequate public facility ordinances. Counties are pleased to join this policy discussion and offer amendments to help implement these goals most effectively. While neither the House nor Senate version made the crossover deadline, this legislation is still considered likely to pass in some form, and work continues on this far-ranging legislation. 

 

HB3/SB356 – Land Use – Expedited Development Review Processes for Affordable Housing – Requirements

This bill would require counties to establish and implement an expedited development review process for nonprofit and local housing authority projects which meet certain conditions. MACo amendments would ensure the legislation is implementable. Neither the House nor Senate advanced the bill before the crossover deadline. It is is considered unlikely to pass. 

 

HB131 – Housing Development Permit Applications – Local Reporting Requirements

As amended, this bill will require the largest counties above 150,000 population to comply with certain reporting requirements related to residential permitting applications. MACo offered amendments to ensure the legislation is implementable. The House passed an amended version of the bill before the crossover deadline, but there is no crossfile. It is inconclusive whether this bill is considered likely to pass. 

 

HB535 – Maryland Task Force on Educator Housing

This bill establishes a task force to examine the need for educator housing for teachers. MACo amendments requested that counties be granted three representatives on the task force, selected to reflect different county compositions: rural, suburban, and urban. Unfortunately, the bill did not have a crossfile and failed to meet the crossover deadline. It is considered unlikely to pass. 

 

HB692/SB985 – Economic Development – County or Municipality Economic Development Authority – Powers and Use of Proceeds

This bill expands the scope of certain economic and industrial development authorities established by county governments. MACo offered a friendly amendment to buttress a county’s oversight and auditing authority over the economic and industrial development authorities. Neither the House nor Senate advanced the bill before the crossover deadline. It is is considered unlikely to pass. 

 

SB906 – Housing and Community Development – Conversion of Commercial Buildings for Residential Use – Report

This bill would require counties to inventory vacant commercial properties and then develop a plan for converting those properties to residential use. Counties believe the language as introduced is too broad and costly, but have multiple suggestions to refine the idea to enhance effectiveness and viability. The Senate passed an amended version of the bill before the crossover deadline, but there is no crossfile. It is inconclusive whether this bill is considered likely to pass. 

 

MACo OPPOSED Bills: 

HB1101/SB653 – Standing – Environmental and Natural Resources Protection Proceedings (Clean Water Justice Act of 2024)

As initially drafted, this bill would, among other actions, enshrine in state law a dramatic new right for residents to sue certain parties for not only water violations, but also for other nonwaterrelated environmental violations. The House passed an amended version of the bill which was considerably trimmed down and placed some guardrails around permits housing development. The amended bill is considered likely to pass. Read Conduit Street‘s complete coverage here: Revised Standing on Water Quality Lawsuits Heavily Amended/Narrowed, but Still Alive

HB1449/SB1045 – Zoning – Board of Appeals Decisions or Zoning Actions – Judicial Review

This bill broadly expands the universe of certain individuals who may seek judicial review of zoning actions, including comprehensive planning or rezoning actions. Granting overbroad standing into land use decisions invites litigation and delay, and frustrates the most essential efforts underway to boost housing stock. Neither the House nor Senate advanced the bill before the crossover deadline. It is considered unlikely to pass.