In this section, “newly constructed dwelling” and “owner”have the meanings stated in <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(d)</cite>. There is established a property tax credit, as authorized in <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(d), </cite>against the property tax imposed on newly constructed dwellings that are owned by qualifying owners. The owner of a newly constructed dwelling may qualify for the tax credit authorized by this section by:purchasing a newly constructed dwelling; occupying that dwelling as his or her principal residence; filing an application for the credit either:within 90 days after settling on the purchase of the dwelling; or within 90 days after the owner first receives an assessment on the building; for each taxable year for which the credit is sought, filing a state income tax return as a resident of Baltimore City; and satisfying all other conditions imposed by the regulations of the Director of Finance. A property tax credit granted under this section may not exceed the amount of property tax imposed on the real property, less the amount on any other credit applicable in that year, multiplied by:50% for the 1st taxable year in which the property qualifies for the tax credit; 40% for the 2nd taxable year in which the property qualifies for the tax credit; 30% for the 3rd taxable year in which the property qualifies for the tax credit; 20% for the 4th taxable year in which the property qualifies for the tax credit; 10% for the 5th taxable year in which the property qualifies for the tax credit; and 0% for each taxable year thereafter. Subject to the approval of the Board of Estimates, and subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Director of Finance shall adopt regulations to carry out the provisions of this section. These regulations:shall include procedures necessary and appropriate for the submission of an application for and the granting of a property tax credit under this section; and may include procedures for granting partial credits for eligibility for less than a full taxable year. The estimated amount of all tax credits received by owners under this section in any fiscal year:shall be reported by the Director of Finance of Baltimore City as a “tax expenditure” for that fiscal year; and shall be included in the publication of the City’s budget for any subsequent fiscal year with the estimated or actual City property tax revenue for the applicable fiscal year. The Director of Finance shall develop by January 1, 1996, a method, which shall be approved by the Board of Estimates, for analysis of the public costs and benefits of the tax credits. The method will include development of baseline data to include new residential construction, new housing tenure, and net migration trends in the City. Measurement of the public costs and benefits of the tax credit will be made against baseline data and will include credit and administrative costs and estimates of benefits from property, income, and transfer tax revenues. The Director of Finance shall report annually to the Board of Estimates and to the Mayor and City Council the results and findings of that analysis, including the steps taken and proposed to be taken to promote and otherwise further the use of the tax credit program. After June 30, 2019, additional owners of newly constructed dwellings may not be granted a credit under this section. This subsection does not apply to an owner’s continuing receipt of a credit as allowed in subsection (d) with respect to a property for which a tax credit under this section was received for a taxable year ending on or before June 30, 2019. City Code, 1976/83, art. 28, §75D Ord. 95-464 Ord. 98-283 Ord. 00-097 Ord. 02-400 Ord. 05-057 Ord. 07-441 Ord. 09-197 Ord. 14-260 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

The definitions for “dwelling” and “homeowner” contained in <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(e) </cite>are incorporated into this section by this reference. There is established a property tax credit, as authorized in <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(e), </cite>against the property tax imposed on the increased value of the dwelling that is due to improvements made to the property that is owned by qualifying owners. The tax credit granted under the provisions of this section shall be applied against the property tax on a dwelling that:is owned by a homeowner; has been substantially improved since the last reassessment; and is reassessed at a higher value. The property tax credit may not apply to the value of the improvements to the dwelling that exceed $100,000. To receive the tax credit under this section, the homeowner shall have the burden of showing that the increase in assessment is due to the value of the improvements to the dwelling that were made since the last assessment of the dwelling. To continue eligibility for a tax credit under this section, a dwelling must remain in compliance with the City <cite data-path="|building-codes|VII">Property Maintenance Code</cite>. If a dwelling owned by a person who has received a tax credit under this section is found to be in violation of the City <cite data-path="|building-codes|VII">Property Maintenance Code</cite>, the property owner is not eligible for any further tax credit under this section until the dwelling is determined again to be in compliance with that Code. A dwelling that is again brought into compliance is eligible for a tax credit at the rate it would have been eligible before the violation of the <cite data-path="|building-codes|VII">Property Maintenance Code</cite>. In addition to compliance with the <cite data-path="|building-codes|VII">Property Maintenance Code</cite>, the homeowner shall comply with all other parts of the <cite data-path="|building-codes">City Building, Fire, and Related Codes Article</cite>, including their permit requirements for improvements. The tax credit provided under this section shall equal the amount of property tax imposed on the increased value of the dwelling that is due to the improvements made to the property, multiplied by:100% for the 1st taxable year following the 1st reassessment after the improvements are made; 80% for the 2nd taxable year following the 1st reassessment after the improvements are made; 60% for the 3rd taxable year following the 1st reassessment after the improvements are made; 40% for the 4th taxable year following the 1st reassessment after the improvements are made; 20% for the 5th taxable year following the 1st reassessment after the improvements are made; and 0% for each taxable year thereafter. If a dwelling that is eligible for a tax credit under this section is transferred, the grantee is eligible for the balance of the property tax credits under this section in the same manner and under the same conditions as the grantor of the property. The Director of Finance may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations necessary to implement the provisions of this section; settle disputed claims that may arise in connection with the credit authorized by this section; and delegate powers, duties, or functions in connection with the administration of the credit authorized by this section to the City Collector or any other employee of the City. City Code, 1976/83, art. 28, §75E Ord. 94-446 Ord. 02-475 Ord. 07-552 Ord. 15-427 Text Conformed 02/25/21 Cf. Editor’s Note to § 10-1.1.

“Project Area” means the neighborhood preservation and stabilization demonstration project area designated by the Mayor in accordance with <cite data-doc="Md. Code" data-path="gtp|9-326">State Tax-Property Article § 9-326 </cite>for participation in a demonstration project for neighborhood preservation and stabilization. In accordance with § 9-326 of the State Tax-Property Article, a property tax credit is established against the property tax imposed on owner-occupied residential real property that is purchased on or after July 1, 1996, and on or before June 30, 2001, in the area designated as the neighborhood preservation and stabilization demonstration project area. The tax credit granted under this section applies only if, for the 12-month period immediately prior to purchasing the property, the applicant’s principal residence was neither in the project area nor in the corresponding area of Baltimore County, unless the applicant was not an owner of the property that was the applicant’s principal residence. To qualify for a tax credit under this section, an individual must apply for the credit:within 6 months after title to the property was transferred to the individual; or for property purchased before June 1, 1999, on or before December 1, 1999. The property tax credit shall equal:40% of the property tax for each of the first 5 taxable years after the purchase of the real property; 35% of the property tax for the 6th taxable year after the purchase of the real property; 30% of the property tax for the 7th taxable year after the purchase of the real property; 25% of the property tax for the 8th taxable year after the purchase of the real property; 20% of the property tax for the 9th taxable year after the purchase of the real property; 15% of the property tax for the 10th taxable year after the purchase of the real property; and 0% of the property tax for each subsequent taxable year. The property tax credit shall first apply to the taxable year beginning after the date of the purchase of the eligible real property. On an annual basis, the Director of Finance shall provide to each individual qualifying for the tax credit under this section a statement certifying qualification for the tax credit and the amount of the tax credit being granted. The statement may be provided on or with the annual property tax bill or in another manner chosen by the Director of Finance. Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Director of Finance may adopt rules and regulations to carry out the provisions of this section. Any person who makes a false statement for the purpose of obtaining a tax credit under this section is guilty of a misdemeanor and, on conviction, is subject to a fine of not more than $1,000 or imprisonment for not more than 6 months, or both. City Code, 1976/83, art. 28, §75F Ord. 96-049 Ord. 99-588 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following words have the meanings indicated. “CHAP” means the Commission for Historical and Architectural Preservation or the Commission’s designee. “Eligible improvements” means significant improvements to an historic property that have been approved by CHAP as meeting local preservation standards. “Historic property” means a property:individually listed on the National Register of Historic Places; individually listed on the City Landmark List; located within a National Register Historic or Landmark District and certified by CHAP as contributing to the historic significance of that district; located within a City Historical and Architectural Preservation District or within a Historical Conservation District and certified by CHAP as contributing to the historic significance of that district; or included within the boundaries of a certified heritage area. “Significant improvements” means improvements, restoration, or rehabilitation for which the total documented construction cost equals or exceeds 25% of a property’s full cash value before commencement of the improvements, restoration, or rehabilitation. The goal of this program is to help preserve and revitalize Baltimore’s neighborhoods by encouraging home and business owners to make special efforts to restore or rehabilitate historic buildings. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-204">State Tax-Property Article § 9-204</cite>.1, a 10-year tax credit is granted against the City real property tax attributable to eligible improvements of historic properties. The tax credit granted by this section applies only to eligible improvements that, before the improvements are begun, have been preliminarily approved by CHAP as meeting local historic preservation standards. The calculations specified in paragraphs (2) and (3) of this subsection are subject to:the reduction required by paragraph (5) of this subsection; and the limitations imposed by subsections (f) and (f-2) of this section. For credits initially granted under this section before October 1, 2014, and for the duration of the credit, the credit is equal to the difference between:the real property tax on the most recent full cash value of the property before the commencement of eligible improvements; and the real property tax on the most recent full cash value of the property after completion of the eligible improvements. For purposes of this calculation, the full cash value of the property is the full cash value before phase in, as determined by the State Department of Assessments and Taxation through the assessment procedures established under <cite data-doc="Md. Code" data-path="gtp">Tax-Property Article, Title 8, of the Maryland Code</cite>. For credits initially granted under this section on or after October 1, 2014, and for the duration of the credit, the credit is equal to the difference between:the real property tax on the full cash value of the property before the commencement of eligible improvements; and the real property tax on the full cash value of the property after completion of the eligible improvements. For purposes of this calculation, the full cash value of the property shall be determined by an appraisal of the property before commencement and after completion of eligible improvements by a professional appraiser selected by the City and licensed under <cite data-doc="Md. Code" data-path="gbo">Business Occupations and Professions Article, Title 16, Subtitle 3, of the Maryland Code</cite>. Notwithstanding paragraph (3) of this subsection, if a property received preliminary approval under subsection (d) of this section before October 1, 2014, the credit shall be calculated in accordance with paragraph (2) of this subsection. The credit calculated under this subsection shall be reduced by the amount of the credit, if any, for which the property is eligible under the Maryland Enterprise Zone Tax Credit Program. For development projects exceeding $5 million in documented construction costs, the tax credit is limited to the following percentages of the amount computed under subsection (e) of this section: <table class="layout-table"> <tbody> <tr> <td> (1) in years 1 through 5 </td> <td> - </td> <td> 80% </td> </tr> <tr> <td> (2) in year 6 </td> <td> - </td> <td> 70% </td> </tr> <tr> <td> (3) in year 7 </td> <td> - </td> <td> 60% </td> </tr> <tr> <td> (4) in year 8 </td> <td> - </td> <td> 50% </td> </tr> <tr> <td> (5) in year 9 </td> <td> - </td> <td> 40% </td> </tr> <tr> <td> (6) in year 10 </td> <td> - </td> <td> 30%. </td> </tr> </tbody> </table> This subsection applies only to development projects exceeding $3.5 million in documented construction costs, For a project subject to this subsection to be eligible for any tax credit under this section:the developer must:submit all documents requested by the Finance Director; and submit documentation reviewed by the developer with the State Department of Assessments and Taxation to support a preliminary estimate of value for tax purposes based on construction costs and projected income; and either:the existing building in question must have been at least 75% vacant for at least 3 years; the project is a high-performance market-rate rental housing project, as these terms are defined in § 10-18 (a)(2) {“Definitions: High-performance”} and (a)(3) {“Definitions: Market-rate rental housing project”} of this subtitle; or the developer must otherwise demonstrate to the Finance Director that the credit is necessary in order for the project to proceed. When a project subject to this subsection applies for the credit, the developer must submit a statement of projected economic impact and public benefits for the project. 3 years from the date an application is accepted, the developer must submit statements of actual economic impact and public benefits for the project. Public benefit measures include neighborhood revitalization impact, job creation, tax generation, and minority business development. If a project subject to this subsection is located in a Maryland Enterprise Zone, the credit under this section may be taken only for those parts of the property that have been rejected as ineligible for the enterprise zone tax credit. No part of any credit calculated under this section may be applied in any tax year:to reduce the property’s tax liability for that tax year, after application of any other applicable credit, to less than the tax liability to which the property was subject, after application of any other applicable tax credit, before commencement of the eligible improvements; or in any case in which the property’s tax liability for that tax year, after application of any other applicable credit, is less than the tax liability to which the property was subject, after application of any other applicable tax credit, before commencement of the eligible improvements. A credit under this section:is subject to eligibility requirements no less stringent than those applicable to credits authorized under <cite data-doc="Md. Code" data-path="gtp|9-204">Tax-Property Article § 9-204, of the Maryland Code</cite>; is limited to a period of 10 consecutive tax years (or portion of a tax year), beginning with the first billing period that occurs after CHAP and the Finance Director have issued their final approvals; is fully transferrable to a new owner for the remaining life of the credit; and terminates if the property is converted so as to no longer meet established historic preservation standards. During the credit period, the property owner shall:maintain the major historic features of the property; ensure that the property for which the credit was granted is in full compliance with the <cite data-path="|building-codes">City Building, Fire, and Related Codes Article</cite>; and submit all statements required by subsection (f-1)(3) of this section. Except for the Maryland State Enterprise Zone Tax Credit Program, the credit authorized by this section does not apply to any property for which any other tax subsidy from the City, whether in the form of a tax credit, payment in lieu of taxes, or otherwise, is being received or has been applied for. A property owner seeking this credit shall:file an application with CHAP; and pay the application fee set by the Board of Estimates. The application shall contain the information, including identification of major historic features, that CHAP considers necessary for determining the eligibility of the applicant. The Finance Director, after consultation with the Director of Planning, may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section; settle any disputed claims that may arise in connection with the credit authorized by this section; and delegate his or her powers and duties to administer this section to any employee or agency of the City. CHAP, in coordination with the Department of Finance, shall establish review procedures for the credit program established by this section. The Department of Finance shall analyze the data submitted under subsection (f)(3) of this section. Applications for a credit under this section may not be accepted after December 31, 2027. Any person who knowingly makes a false statement on or in connection with an application for a tax credit under this section or in connection with any report or statement supporting a property’s continued eligibility for a tax credit granted under this section is guilty of a misdemeanor and, on conviction, is subject to a fine of not more than $1,000 or to imprisonment for not more than 12 months or to both fine and imprisonment for each offense. City Code, 1976/83, art. 28, §75G Ord. 95-668 Ord. 97-183 Ord. 99-416 Ord. 00-103 Ord. 02-475 Ord. 06-184 Ord. 07-439 Ord. 07-552 Ord. 09-140 Ord. 14-194 Ord. 14-288 Ord. 15-427 Ord. 16-454 Ord. 16-503 Ord. 20-414 Text Conformed 02/25/21 Ord. 21-105 Ord. 23-192 Ord. 23-253 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following words have the meanings indicated. “Market-rate rental housing project” means a multifamily dwelling containing 5 or more units in which none of the units are subject to government restrictions on the amount of rent charged or the income level of the tenant. “Newly constructed” means:newly erected on a vacant lot; converted from non-residential use, provided the conversion/ construction costs exceed $60,000 per unit; or substantially rehabilitated, provided the structure was a dwelling identified by the Commissioner of Housing, through issuance of a “vacant house notice” or otherwise, as having been vacant and unfit for human habitation for a period of at least 1 year prior to issuance of a construction permit for the project, and provided the rehabilitation/construction costs exceed $60,000 per unit; for which, in each case, a first occupancy permit following construction is issued after January 1, 1996. In accordance with the provisions of <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(f), </cite>there is established a tax credit against the Baltimore City real property tax imposed on newly constructed market-rate rental housing projects. The amount of a property tax credit granted under this section shall be the amount of City real property tax imposed on a market-rate rental housing project, less the amount of any other credit applicable in that year, multiplied by:50% for the 1st taxable year in which the property qualifies for the tax credit; 40% for the 2nd taxable year in which the property qualifies for the tax credit; 30% for the 3rd taxable year in which the property qualifies for the tax credit; 20% for the 4th taxable year in which the property qualifies for the tax credit; 10% for the 5th taxable year in which the property qualifies for the tax credit; and 0% for each taxable year thereafter. A newly constructed market-rate rental housing project qualifies for a tax credit under this section when an occupancy permit is first issued for the project following construction. A newly constructed market-rate rental housing project with an occupancy permit issued after June 30, 2001 shall not qualify for a tax credit under this section. The owner of a newly constructed market-rate rental housing project shall file an application for a tax credit under this section with the Director of Finance on or before September 1 of the 1st taxable year in which the property qualifies and shall file an application annually thereafter for each year in which the credit is sought. The application shall contain all information that the Director of Finance considers necessary for determining the eligibility of the applicant. Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Director of Finance may adopt rules and regulations to implement the provisions of this section. The Director of Finance shall analyze the public costs and benefits of the credits granted under this section and shall report annually the findings of the analysis to the Board of Estimates. The method of analysis developed by the Director of Finance shall be approved by the Board of Estimates prior to its use. City Code, 1976/83, art. 28, §75H Ord. 95-680 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following words have the meanings indicated. “Brownfields Incentive Fund” means the Brownfields Revitalization Incentive Fund established under <cite data-doc="Md. Code" data-path="83A|3-904">Article 83A, § 3-904 of the Maryland Code</cite>. “Brownfields Incentive Program” means the Brownfields Revitalization Incentive Program established under “Economic Development Article, § 5-335 of the Maryland Code”. “Brownfields site” means a qualified Brownfields site, as defined in “Economic Development Article, § 5-301(i) of the Maryland Code”. “Increased property tax liability” means the remaining property tax liability, after first applying all other property tax credits applicable to the site, attributable to the increase in the assessment of a Brownfields site, including improvements added to the site within the tax-credit period provided for in this section, over the assessment of the Brownfields site before its voluntary cleanup. Pursuant to § 9-229 of the State Tax-Property Article, the City of Baltimore elects to participate in the Brownfields Incentive Program and to provide the tax credits authorized by this section. The credit granted by this section applies in each of the taxable years immediately following the 1st revaluation of the Brownfields site after completion of a voluntary cleanup or corrective action plan, for a total of:5 taxable years; or if the site is in a designated State Enterprise Zone, 10 taxable years. The amount of the tax credit is 50% of the Brownfields site’s increased property tax liability. An additional credit of 20% of a Brownfields site’s increased property tax liability shall be granted if the aggregate cost of the site’s purchase and the voluntary cleanup or corrective action plan efforts equals or exceeds $250,000. For each year of the tax-credit period specified in subsection (c) of this section, the City shall contribute to the Brownfields Incentive Fund an amount equal to 30% of a Brownfields site’s increased property tax liability. The credits provided for in subsections (d) and (e) of this section may be transferred to a purchaser of the property for the remaining term of the credit. The tax credit granted under this section terminates if:the recipient of the credit withdraws from the voluntary cleanup program under § 7-512(a) or (b) of the Environment Article; the Department of the Environment withdraws approval of a response action plan or a certificate of completion under § 7-512(e) and (f) of the Environment Article; or the recipient of the credit otherwise ceases to qualify for the credit under this section or the rules and regulations adopted under this section. An application for a tax credit under this section must be filed in the 1st taxable year in which the property qualifies. The application must be made on the form and contain the information that the Director of Finance specifies. Before a credit may be granted, the applicant must provide satisfactory evidence of:completion of a voluntary cleanup or corrective action plan approved by the State Department of the Environment; and for the additional credit provided under subsection (e) of this section, the cost of the site’s purchase and of the voluntary cleanup or corrective action plan. The Director of Finance may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out the provisions of this section; settle any disputed claims arising in connection with the credit authorized by this section; and delegate his or her powers and duties to administer this section to any employee or agency of the City. City Code, 1976/83, art. 28, §75I Ord. 98-248 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations. For subsection (a)(2), The Brownfields Incentive Fund is incorporated into the Maryland Economic Development Assistance Fund, as established under Economic Development Article, § 5-310 of the Maryland Code. The purpose of the Maryland Economic Development Assistance Fund includes “provide[ing] financial assistance for the redevelopment of qualified browfields sites”. Economic Development Article, § 5-311 of the Maryland Code. See also Economic Development Article, Part VI. Brownfields Revitalization Incentive Program of the Maryland Code.

Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Director of Finance may adopt rules and regulations to carry out this section. A tax credit is granted against the City property tax imposed on the property located at 1101 E. Fort Avenue. The tax credit applies only as long as the property is owned by the South Baltimore Little League and used by the League for amateur sports. The amount of the tax credit equals 100% of the City property tax imposed on the property. City Code, 1976/83, art. 28, §75J Ord. 98-282 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Director of Finance may adopt rules and regulations to carry out this section. A tax credit is granted against the City property tax imposed on the personal property owned by the Northwest Family Sport Center, Inc. The amount of the tax credit equals 100% of the City property tax imposed on the Center’s personal property. City Code, 1976/83, art. 28, §75K Ord. 98-284 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “Eligible area” means any area that is eligible for designation as an eligible neighborhood under <cite data-doc="Md. Code" data-path="83B">Article 83B, §§ 4-201 through 4-208 of the Maryland Code</cite>. “Qualifying renovations” means infrastructure renovations to accommodate advanced computer and telecommunications systems, including the installation of fiber-optic cable, emergency electrical capacity, emergency back-up power, fiber-optic risers, internal/external network cabling, information outlets, and other specialized equipment. “State-of-the-art communications and utility standards” means the communication and utility standards published by the Electrical Industry Association and the Telecommunications Industry Association as EIA/TIA Standard 568, generally referred to as “Class 5” Installations. A real property tax credit is granted against the City property tax imposed on a commercial (including commercial-residential) building:that is in an eligible area; and to which qualifying renovations have been made to meet state-of-the-art communications and utility standards. The tax credit granted under this section for any 1 taxable year shall equal 7.5% of the cost of qualifying renovations, subject to a maximum cumulative credit of $750,000 for the 10-year credit period. The credit shall be applied only to that part of the taxes due that exceed the tax calculated on the fully phased-in pre-improvement value of the property. A tax credit may be granted under this section only for 10 years or until the maximum credit amount of $750,000 is reached, whichever is first. The 10-year credit period begins after:the qualifying renovations have been completed; the Building Official gives final approval to the project; and the State Department of Assessments and Taxation completes an assessment review. The credit will be first applied to the tax bill generated after the State Department of Assessments and Taxation has issued a revised assessment notice on a part- or full-year basis. The credit authorized by this section does not apply to any property for which any other tax subsidy from the City, whether in the form of a tax credit, payment in lieu of taxes, or otherwise, is being received or has been applied for. The person responsible for paying property taxes should file an initial application for the credit concurrently with the application for building permits for the renovation work. In no event, however, may any application for a credit be accepted after a building permit is issued. The application shall estimate the costs of the proposed qualifying renovations, separately from all other costs. Before renovations begin, the applicant must file renovation plans with the City Building Official and obtain preliminary approval that the plans meet state-of-the-art communication and utility standards. During construction and on completion of the renovations, the applicant must obtain certification from the Building Official that the renovations conform to the approved plans. On completion of the renovations, the applicant must provide documented evidence of the costs of the qualifying renovations. The use of the credit in any year is conditioned on the taxpayer’s:maintaining the property in compliance with all City housing, building, health, fire, and other applicable City Code requirements; and remaining current on all payments due to the City. The Director of Finance may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section; settle disputed claims that may arise in connection with the credit authorized by this section; and delegate powers, duties, or functions in connection with the administration of this credit to the City Collector or any other City employee. The Director of Finance shall report the estimated cost of all tax credits granted under this section in any fiscal year as a tax expenditure for that fiscal year and shall include that cost in the Ordinance of Estimates for that fiscal year. City Code, 1976/83, art. 28, §75L Ord. 98-350 Ord. 02-475 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “Arts and entertainment district” has the meaning stated in <cite data-doc="Md. Code" data-path="gec|4-701">State Economic Development Article, § 4-701</cite>. “Arts and entertainment enterprise” has the meaning stated in <cite data-doc="Md. Code" data-path="gec|4-701">State Economic Development Article, § 4-701</cite>. “Director” means the Director of Finance or designee. “Eligible assessment” means the phased-in value, as applied by the State Department of Assessments and Taxation in the 1st, 2nd, or 3rd year in a 3-year cycle under <cite data-doc="Md. Code" data-path="gtp|8-103">State Tax-Property Article § 8-103, </cite>attributable to the qualifying renovations, as determined by the State Department of Assessments and Taxation. “Qualifying renovations” means renovations that are made:to a manufacturing, commercial, or industrial building located in a State-designated arts and entertainment district; and for use by a qualifying residing artist or an arts and entertainment enterprise. “Qualifying residing artist” has the meaning stated in <cite data-doc="Md. Code" data-path="gec|4-701">State Economic Development Article, § 4-701</cite>. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-240">State Tax-Property Article § 9-240, </cite>a real property tax credit is granted against the City property tax imposed on a manufacturing, commercial, or industrial building that:is located in a State-designated arts and entertainment district; and is wholly or partially renovated for use by a qualifying residing artist or an arts and entertainment enterprise. The credit is prorated to reflect the proportion of the building used by a qualifying residing artist or an arts and entertainment enterprise. A tax credit may be taken under this section for up to 10 years, as provided in subsection (d) of this section, subject to compliance with the continuing eligibility requirements of subsection (j) of this section. Except for properties eligible for a Maryland Enterprise Zone Tax Credit, the amount of the credit granted under this section is the amount of property tax imposed on the eligible assessment of the property, multiplied by:80% for the first 5 taxable years; 70% for the 6th taxable year; 60% for the 7th taxable year; 50% for the 8th taxable year; 40% for the 9th taxable year; 30% for the 10th taxable year; and 0% for each subsequent taxable year. For properties eligible for a Maryland Enterprise Zone Tax Credit, the amount of the credit granted under this section is the amount of property tax imposed on the eligible assessment of the property, multiplied by:20% for the first 5 taxable years; 30% for the 6th taxable year; 40% for the 7th taxable year; 50% for the 8th taxable year; 60% for the 9th taxable year; 70% for the 10th taxable year; and 0% for each subsequent taxable year. The credit period begins after the first reassessment of the property by the State after the completion of qualifying renovations. The credit will first be applied to the tax bill generated after the State has issued a revised assessment notice, on a part- or full-year basis. Improvements made before July 1, 2002, do not qualify for a tax credit under this section. The tax credit granted by this section may be transferred to a purchaser of the property for the remaining term of the credit, subject to compliance with the continuing eligibility requirements of subsection (j) of this section. The property owner must apply to the Director for a tax credit under this section within 90 days of receipt of an assessment notice reflecting the eligible assessment. The credit granted under this section does not apply to any property for which any other tax subsidy from the City, other than a Maryland Enterprise Zone Tax Credit, is being received or has been applied for, whether in the form of a tax credit, payment in lieu of taxes, or otherwise. The use of the credit in any year is conditioned on:the property’s compliance with all City housing, building, health, fire, and other applicable code requirements; the taxpayer’s remaining current on all payments due to the City; the continued use of the property or eligible portion of the property by a qualifying residing artist or an arts and entertainment enterprise; and the taxpayer’s providing to the Director an annual certification of that continued use. The Director may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to implement the provisions of this section; settle disputed claims that may arise in connection with the credit authorized by this section; and delegate powers, duties, or functions in connection with the administration of the credit authorized by this section to any employee of the City. Ord. 02-462 Ord. 16-534 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “Director” means the Director of Finance or designee. “Dwelling” means real property that is occupied by not more than 2 families. “Dwelling” includes the lot or curtilage and structures necessary to use the real property as a residence. “Fallen hero” means, except as specified in subparagraph (ii) of this paragraph, any individual who dies:as a result of or in the course of employment as a Baltimore City law enforcement officer; or while in the active service of a Baltimore City fire, rescue, or emergency-medical service. “Fallen hero” does not include any individual whose death was the result of his or her willful misconduct or his or her abuse of alcohol or drugs. A real property tax credit is granted against the City property tax imposed on a dwelling if:the dwelling is owned by the surviving spouse of a fallen hero; the dwelling is the surviving spouse’s legal residence; the surviving spouse has not remarried; and either:the dwelling was owned by the fallen hero at the time of his or her death; the fallen hero or the surviving spouse was domiciled in the State at the time the fallen hero died and the dwelling was acquired by the surviving spouse within 2 years of the death; or the dwelling was acquired after the surviving spouse qualified for a credit under item (4)(i) or (ii) of this subsection for a former dwelling, to the extent of the previous credit. The credit granted under this section continues from year to year, without further application by the surviving spouse. The amount of the credit granted under this section is 100% of the City property tax imposed on the dwelling. The Director may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section; settle disputed claims that arise in connection with the credit granted by this section; and delegate powers, duties, or functions in connection with the administration of the credit to any employee of the City. Ord. 04-664 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In accordance with <cite data-doc="Md. Code" data-path="gtp|9-221">State Tax-Property Article § 9-221, </cite>a Targeted Homeowner’s Tax Credit is granted against the City property tax imposed on owner-occupied property that has qualified for the Homestead Tax Credit under State Property-Tax Article § 9-105. The credit is calculated by multiplying credit rate by the assessed value of the improved portion of the property. The credit shall be granted annually on the initial July tax bill. No partial year credits may be granted. A homeowner is entitled to the credit granted under this section regardless of the amount of the Homestead Tax Credit to which the homeowner is entitled. The rate of the credit for each tax year shall be set by the Board of Estimates on or before the date on which the Board of Estimates states the rate for the levy of full rate property taxes in that tax year. A property tax credit granted under this section, when combined with other tax credits, may not exceed the amount of property tax imposed on the property. Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Director of Finance shall adopt rules and regulations necessary or appropriate to carry out the provisions of this section. The Director of Finance may:settle disputed claims that arise in connection with the credit authorized by this section; and delegate his or her powers or duties to administer this section to any agency or employee of the City. Ord. 12-009 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “High-performance” means a high performance building as defined in <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242</cite>. “Market-rate rental housing project” means a multi-family dwelling:that contains 50 or more rental units; and in which dwelling, except to the extent specifically required by City Code <cite data-path="|13">Article 13</cite>, Subtitle 2B {“Inclusionary Housing Requirements”}, none of the rental units are subject to governmental restrictions on the amount of rent charged or on the tenant’s income level. “Newly constructed or converted” means a high-performance market-rate rental housing project that:was either:newly constructed on a vacant lot, cleared site, or parking lot; or converted from a non-residential use; and for which:the cost of the construction or conversion exceeds $60,000 per rental unit; and a first occupancy permit following the construction or conversion is issued after January 1, 2013. The goal of this program is to help grow Baltimore’s residential population in an environmentally sensitive manner, by encouraging the construction or conversion of new high-performance market-rate rental housing projects. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242, </cite>a High-Performance Market-Rate Rental Housing Tax Credit is granted against the City property tax imposed on eligible newly constructed or converted high-performance market-rate rental housing projects. The amount of the credit shall equal a percentage, as specified in paragraph (2) of this subsection, of 1 or another of the following:if the property is still in the assessment cycle of the first assessment of the completed project following the issuance of an occupancy permit, the difference between the property tax liability that, but for the tax credit, is owed in the current year of the assessment cycle, and the total property tax liability on the assessed value of the property prior to the commencement of the project; or if the property is no longer in the assessment cycle of the first assessment of the completed project following the issuance of an occupancy permit, the difference between the property tax liability that, but for the tax credit, was owed in the final year of that assessment cycle, and the total property tax liability on the assessed value of the property prior to the commencement of the project. The credit is limited to the following percentages of the amount computed under paragraph (1) of this subsection: <table class="layout-table"> <tbody> <tr> <td> (i) in years 1 and 2 </td> <td> 100% </td> </tr> <tr> <td> (ii) in years 3, 4, and 5 </td> <td> 80% </td> </tr> <tr> <td> (iii) in year 6 </td> <td> 70% </td> </tr> <tr> <td> (iv) in year 7 </td> <td> 60% </td> </tr> <tr> <td> (v) in years 8, 9, and 10 </td> <td> 50% </td> </tr> <tr> <td> (vi) in year 11 </td> <td> 40% </td> </tr> <tr> <td> (vii) in year 12 </td> <td> 30% </td> </tr> <tr> <td> (viii) in years 13, 14, and 15 </td> <td> 20% </td> </tr> </tbody> </table> In no event, however, may the tax credit granted under this section, alone or combined with the State Enterprise Zone Tax Credit, exceed the amount of the property tax imposed on the property. The property tax credit granted under this section applies only to eligible improvements that are located within the following areas:Downtown Area, within the area that is common to both the Downtown Management Authority District and the Maryland Enterprise Zone; Reservoir Hill Area, within Census Tract 130100, Census Blocks 2001 and 3000; Jonestown Area, within Census Tract 030200, Census Blocks 1000-1002 and 1014-1016; W. Cold Spring Lane Area, within Census Tract 130806, Census Blocks 1002-1004 and 1006; Poppleton Area, within:Census Tract 180100, Census Blocks 1016, 2015-2017, and 2021; and Census Tract 180300, Census Blocks 1001-1002 and 1004-1006; York Road Area, within:Census Tract 271002, Census Blocks 2003, 2006, 3002-3003, 3007, 3011, 4001, 4004-4005, 5002, and 5005-5006; and Census Tract 271101, Census Blocks 1000, 1005, 3000, 3005-3006, 3009-3010, 3017-3018; Bel Air Road Area, within:Census Tract 260101, Census Blocks 1000-1003, 1005-1009, 1011-1012, 1015, 1017, 4002, 5002, 5010-5011, 5017-5018, and 5021; Census Tract 260102, Census Blocks 4000-4002, 5000, 5002, and 5005- 5008; Census Tract 270401, Census Blocks 1015-1018, 1026-1028, 1031-1034, 2012, 3002, 3004-3005, and 3010-3013; and Station North Area, within:Census Tract 110200, Census Block 1000; Census Tract 120400, Census Block 1010; Census Tract 120500, Census Blocks 1001-1005, 1010-1012, 1017-1027, 1030-1031, 2016-2017, 2022, 2024-2025; Census Tract 120600, Census Blocks 3012-3022; and Census Tract 120700, Census Blocks 3026-3027. A property tax credit granted under this section shall:be subject to eligibility requirements no less stringent than those applicable to credits authorized under <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242</cite>; be for a period of 15 years for each property, starting with the first assessment after issuance of an occupancy permit for the completed project; be fully transferrable to a new owner for the remaining life of the credit; and terminate if, during the credit period, the project:fails to maintain its high-performance rating; or no longer qualifies as a market-rate rental housing project, as defined in this section. The property owner shall ensure that, during the credit period, the project for which the credit was granted is:in full compliance with the <cite data-path="|building-codes">City Building, Fire, and Related Codes Article</cite>; maintains its high-performance rating; and continues to be used for market-rate rental housing. At the time of application for the credit, the property owner must submit a statement of projected economic impact and public benefits for the project. 3 years from the date an application is accepted, the owner must submit statements of actual economic impact and public benefits for the project. Public benefit measures include neighborhood revitalization impact, job creation, tax generation, and minority business development. Except for the Maryland State Enterprise Zone Tax Credit Program, the tax credit authorized by this section does not apply to any property for which any other tax subsidy from the City, whether in the form of a tax credit, payment in lieu of taxes, tax incremental financing, or otherwise, is being received or has been applied for. The owner shall submit the application for the tax credit to the Finance Department, with a copy to the Office of Sustainability, and pay the application fee set by the Board of Estimates. If the property is transferred at any time, the new owner shall file an application to continue the credit. The Director of Finance may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out the provisions of this section, including procedures for granting partial credits for eligibility for less than a full taxable year; settle disputed claims arising in connection with the credit authorized by this section; and delegate powers, duties, or functions in connection with the administration of the credit authorized by this section to any employee or agency of the City. The Department of Finance shall establish review procedures for the program. The Department of Finance shall analyze data submitted under subsection (f)(2) of this section. Applications for the credit may not be accepted after December 31, 2017. Ord. 13-112 Ord. 13-175 Ord. 14-278 Ord. 15-427 Ord. 16-554 Ord. 17-068 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “High-performance” means a high performance building as defined in <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242</cite>. “Market-rate rental housing project” means a multi-family dwelling:that contains 10 or more rental units; and in which dwelling, except to the extent specifically required by City Code <cite data-path="|13">Article 13</cite>, Subtitle 2B {“Inclusionary Housing Requirements”}, none of the rental units are subject to governmental restrictions on the amount of rent charged or on the tenant’s income level. “Newly constructed or converted” means a high-performance market-rate rental housing project:that is either:newly constructed on a vacant lot, cleared site, or parking lot; converted from a non-residential use; or a wholly renovated structure; and for which:the cost of the construction or conversion exceeds $60,000 per rental unit; and a first occupancy permit following substantial completion of the construction or conversion is issued after January 1, 2014, and on or before June 30, 2029. The goal of this program is to help grow Baltimore’s residential population in an environmentally sensitive manner, by encouraging the construction or conversion of new high-performance market-rate rental housing projects. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242, </cite>a High-Performance Market-Rate Rental Housing Tax Credit is granted against the City property tax imposed on eligible newly constructed or converted high-performance market-rate rental housing projects. The amount of the credit shall equal a percentage, as specified in paragraph (2) of this subsection, of 1 or another of the following:if the property is still in the assessment cycle of the first assessment of the completed project following the issuance of an occupancy permit, the difference between the property tax liability that, but for the tax credit, is owed in the current year of the assessment cycle, and the total property tax liability on the assessed value of the property prior to the commencement of the project; or if the property is no longer in the assessment cycle of the first assessment of the completed project following the issuance of an occupancy permit, the difference between the property tax liability that, but for the tax credit, was owed in the final year of that assessment cycle, and the total property tax liability on the assessed value of the property prior to the commencement of the project. The credit is limited to the following percentages of the amount computed under paragraph (1) of this subsection: <table class="layout-table"> <tbody> <tr> <td> (i) in years 1 through 5 </td> <td> 80% </td> </tr> <tr> <td> (ii) in year 6 </td> <td> 70% </td> </tr> <tr> <td> (iii) in year 7 </td> <td> 60% </td> </tr> <tr> <td> (iv) in year </td> <td> 50% </td> </tr> <tr> <td> (v) in year 9 </td> <td> 40% </td> </tr> <tr> <td> (vi) in year 10 </td> <td> 30% </td> </tr> <tr> <td> (vii) in years 11 and after </td> <td> 0% </td> </tr> </tbody> </table> In no event, however, may the tax credit granted under this section, alone or combined with the State Enterprise Zone Tax Credit, exceed the amount of the property tax imposed on the property. The tax credit granted under this section does not apply to:any project that involves improvements eligible for a tax credit under <cite data-path="|28|§10-8">§ 10-8 {“Historic restorations and rehabilitations”} of this subtitle</cite>; or any project that involves modifications to or affecting a property listed individually on the National Register of Historic Places or located within a National Register Historic District, if the City’s Commission for Historical and Architectural Preservation determines that the modifications are incompatible with local historic preservation standards. A property tax credit granted under this section shall:be subject to eligibility requirements no less stringent than those applicable to credits authorized under <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242</cite>; be for a period of 10 years for each property, starting with the first assessment after issuance of an occupancy permit for the completed project; be fully transferrable to a new owner for the remaining life of the credit; and terminate if, during the credit period, the project:fails to maintain its high-performance rating; or no longer qualifies as a market-rate rental housing project, as defined in this section. The property owner shall ensure that, during the credit period, the project for which the credit was granted is:in full compliance with the <cite data-path="|building-codes">City Building, Fire, and Related Codes Article</cite>; maintains its high-performance rating; and continues to be used for market-rate rental housing. At the time of application for the credit, the property owner must submit a statement of projected economic impact and public benefits for the project. 3 years from the date an application is accepted, the owner must submit statements of actual economic impact and public benefits for the project. Public benefit measures include neighborhood revitalization impact, job creation, tax generation, and minority business development. Except for the Maryland State Enterprise Zone Tax Credit Program and the High-Performance Inclusionary Housing Tax Credit, the tax credit authorized by <cite data-path="|28|II|10|10-18">this section</cite> does not apply to any property for which any other tax subsidy from the City, whether in the form of a tax credit, payment in lieu of taxes, tax incremental financing, or otherwise, is being received or has been applied for. The owner shall submit the application for the tax credit to the Finance Department, with a copy to the Office of Sustainability, and pay the application fee set by the Board of Estimates. If the property is transferred at any time, the new owner shall file an application to continue the credit. The Department of Finance shall establish general review procedures for the program. The Commission for Historical and Architectural Preservation, in coordination with the Department of Finance, shall establish specific procedures for determining whether the criteria of subsection (e) of this section apply to a project so as to render it ineligible for the credit authorized by this section. The Department of Finance shall analyze data submitted under subsection (f)(2) of this section. The Director of Finance may:subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out the provisions of this section, including procedures for granting partial credits for eligibility for less than a full taxable year; settle disputed claims arising in connection with the credit authorized by this section; and delegate powers, duties, or functions in connection with the administration of the credit authorized by this section to any employee or agency of the City. Applications for the credit may not be accepted after December 31, 2027. Ord. 14-278 Ord. 15-427 Ord. 16-554 Ord. 17-022 Ord. 17-068 19-331 Text Conformed 02/25/21 Ord. 21-104 Ordinance 19-331, enacted December 18, 2019, amended subsection (a)(3)(i) to reduce the required number of rental units from 20 units to 10 units. Section 2 of Ord. 19-331 states that the amendment “shall apply retroactively to all projects under construction pursuant to a building permit that is valid as of the date this Ordinance is enacted, provided that: (i) the project has not received a final occupancy permit prior to the date this Ordinance is enacted; and (ii) an Initial Application has been submitted to the Department of Finance within 90 days of the date this Ordinance is enacted.” By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “High-performance” means meeting the performance standards set forth in <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242(a) </cite>{“‘High performance building’ defined”}. “Newly constructed dwelling” means residential real property:that has not been previously occupied since its construction; and for which the building permit for construction was issued on or after October 1, 1994. “Newly constructed dwelling” includes a vacant dwelling that:has been rehabilitated in compliance with applicable local laws and regulations; and has not been previously occupied since the rehabilitation. “Owner” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(d) </cite>{“Newly constructed dwellings”}. “Vacant dwelling” means residential real property that:contains no more than 4 dwelling units as defined in § 202.2 of the Baltimore City <cite data-path="|building-codes|II">Building Code</cite>; and either:had been cited with a vacant building notice that remained unabated until the rehabilitation described in paragraph (3)(ii)(A); or has been owned by the Mayor and City Council of Baltimore City for 1 year and is in need of substantial repair to comply with applicable City codes. There is established a property tax credit, as authorized in <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242, </cite>against the property tax imposed on high-performance newly constructed dwellings that are owned by qualifying owners. The owner of a high-performance newly constructed dwelling may qualify for the tax credit authorized by this section by:purchasing a high-performance newly constructed dwelling; occupying that dwelling as his or her principal residence; filing an application for the credit within 90 days after settling on the purchase of the dwelling; for each taxable year for which the credit is sought, filing a state income tax return as a resident of Baltimore City; satisfying all other conditions imposed by the regulations of the Director of Finance; and not currently receiving the credit authorized by <cite data-path="|28|§10-5">§ 10-5 of this subtitle</cite> {“Newly constructed dwellings”}. A property tax credit granted under this section shall equal the amount of City property tax imposed on the real property, less the amount of any other credit applicable in that year, multiplied by:50% for the 1st full taxable year in which the property qualifies for the tax credit; 40% for then 2nd full taxable year in which the property qualifies for the tax credit; 30% for the 3rd full taxable year in which the property qualifies for the tax credit; 20% for the 4th full taxable year in which the property qualifies for the tax credit; 10% for the 5th full taxable year in which the property qualifies for the tax credit; and 0% for each taxable year thereafter. Subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, the Director of Finance shall adopt rules and regulations to carry out the provisions of this section. These regulations shall include procedures necessary and appropriate for the submission of an application for and the granting of a property tax credit under this section. The estimated amount of all tax credits received by owners under this section in any fiscal year:shall be reported by the Director of Finance of Baltimore City as a “tax expenditure” for that fiscal year; and shall be included in the publication of the City’s budget for any subsequent fiscal year with the estimated or actual City property tax revenue for the applicable fiscal year. The Director of Finance shall report annually to the Board of Estimates and to the Mayor and City Council any results and findings of any analysis of the tax credit, including the steps taken and proposed to be taken to promote and otherwise further the use of the tax credit program. Notwithstanding any other provision of this section, additional owners whose settlement on the purchase of a high-performance newly constructed dwelling occurs after June 30, 2027, may not apply for a credit under this section. Ord. 19-290 Ord. 19-317 Ord. 19-332 Text Conformed 02/25/21 Ord. 21-027 Ord. 21-106 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations. This section was amended by Ordinance 21-027, effective June 14, 2021, among other things, to revise the definition of “newly constructed dwelling” and to clarify and extend the credit qualification deadlines for certain high-performance newly constructed dwellings. Section 3 of that Ordinance provides: “[I]f settlement on the purchase of the high-performance newly constructed dwelling occurred prior to the enactment of this Ordinance {i.e., June 14, 2021} and if the building permit for the construction of the ... dwelling was issued on or after July 1, 2019, but before July 1, 2020, an application for a tax credit under ... this Ordinance must be filed no later than December 31, 2021.” This section was enacted by Ordinance 19-290 and became effective on August 29, 2019. Ord. 19-290 proposed to codify this section as a new § 10-31 but, for various reasons, the section is better codified here, adjacent to two preexisting tax credits for “high-performance” structures.

In <cite data-path="|28|II|10|10-18.2">this section</cite>, the following terms have the meanings indicated. “Affordable unit” means a dwelling unit that is required by City Code <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite> to be provided to a family earning an income that is either:low income; moderate income; very low income; or extremely low income. “AMI” means the area median income for the metropolitan region that encompasses Baltimore City, as published and annually updated by the United States Department of Housing and Urban Development. “Extremely low income” means a household income below 30% AMI. “High-performance” means a high-performance building as defined in <cite data-doc="Md. Code" data-path="gtp|9-242">State Tax-Property Article § 9-242 </cite>{“High performance buildings”}. “Low income” means a household income at or below 60% AMI. “Market-rate rental housing project” means a multi-family dwelling:that contains 20 or more rental units; and in which none of the rental units are subject to governmental restrictions on the amount of rent charged or on the tenant’s income level, except to the extent specifically required by City Code <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite>. “Moderate income” means a household income at or below 80% AMI. “Newly constructed or converted” means a high-performance market-rate rental housing project:that is either:newly constructed on a vacant lot, cleared site, or parking lot; converted from a non-residential use; or a wholly renovated structure; and for which:the cost of the construction or conversion exceeds $60,000 per rental unit; and a 1st occupancy permit following substantial completion of the construction or conversion is issued after January 1, 2024. “Very low income” means a household income at or below 50% AMI. The goal of this program is to facilitate those inclusionary housing requirements established under <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite> of the City Code. In accordance with State Tax - Property Article § 9-242 {“High performance buildings”}, a High-Performance Inclusionary Housing Tax Credit is granted against the City property tax imposed on eligible newly constructed or converted high-performance market-rate rental housing projects that provide affordable units as required by <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite> of the City Code. The tax credit described in subparagraph (i) of this paragraph shall be equal to the actual amount of the difference between the market rate rent and the rental rate for each affordable unit in the months in which that affordable unit was rented. The tax credit detailed in paragraph (1) of this subsection commences with the first full year tax bill issued for the property after the Department of Finance has received a complete application for the tax credit and documentation of the actual rent charged in the prior year for the completed project. The accounting year for the calculation of the difference between the market rate rent and the rent for each affordable unit is January 1 to December 31 of each calendar year. All accounting required under this subtitle shall be submitted to the Department of Finance by January 15 following the termination of the previous accounting year. The amount of the tax credit described under subsection (c)(1) of <cite data-path="|28|II|10|10-18.2">this section</cite> shall be deducted from the next July property tax bill after verification by the Department of Finance. The tax credit granted under <cite data-path="|28|II|10|10-18.2">this section</cite> may not, alone or combined with any other credit, exceed the amount of the property tax imposed on the property in any tax year. The tax credit granted under <cite data-path="|28|II|10|10-18.2">this section</cite> only applies to the required units outlined in City Code <cite data-path="|13|I|2B">Article 13, Subtitle 2B</cite>. To receive the tax credit, the owner of the high-performance market-rate rental housing project must:apply to the Department of Finance for the credit in the form and format required under paragraph (2) of this subsection; provide the Department of Finance an accounting of how many rental units are set aside as affordable units; demonstrate to the Department of Finance compliance with <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite> of the City Code; and demonstrate to the Department of Finance the difference between the market rent that would have been charged for a market rate rental unit and the rent charged for an affordable unit. The owner shall:submit the application for the tax credit to the Department of Finance in the form and format required by the Department of Finance; and pay the application fee as set by the Board of Estimates. If the property is transferred at any time, the new owner shall file an application to continue the credit in the form required by the Department of Finance. The tax credit granted under <cite data-path="|28|II|10|10-18.2">this section</cite> does not apply to any project that proposes more than 20% of its units be set aside for renters earning 60% of AMI or below. A tax credit granted under <cite data-path="|28|II|10|10-18.2">this section</cite> shall:be subject to eligibility requirements no less stringent than those applicable to credits authorized under State Tax – Property Article § 9-242 {“High performance buildings”}; before a period of 30 years for each property, starting with the first full year tax bill issued for the property after the Department of Finance has received a complete application for the tax credit and documentation of the actual rent charged in the prior year for the completed project be fully transferrable to a new owner for the remaining credit period; and terminate if, during the credit period, the project:fails to maintain its high-performance rating; or fails to provide the affordable units required by <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite> of the City Code. The property owner shall ensure that, during the credit period, the project for which the credit was granted is:in full compliance with the <cite data-path="|codes">City Building, Fire, and Related Codes Article</cite>; maintains its high-performance rating; and continues to provide affordable units as required by <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite> of the City Code. The tax credit authorized by <cite data-path="|28|II|10|10-18.2">this section</cite> may apply to any property for which any other tax subsidy from the City is being received or has been applied for, whether:in the form of a tax credit, in the form of a payment in lieu of taxes agreement; or in form of tax increment financing. The Director of Finance may:subject to <cite data-path="|general|4">Title 4 {“Administrative Procedure Act - Regulations”} of the City General Provisions Article</cite>, adopt rules and regulations to carry out the provisions of <cite data-path="|28|II|10|10-18.2">this section</cite>; settle disputed claims arising in connection with the credit authorized by <cite data-path="|28|II|10|10-18.2">this section</cite>; and delegate powers, duties, or functions in connection with the administration of the credit authorized by <cite data-path="|28|II|10|10-18.2">this section</cite> to any employee or agency of the City. Each fiscal year, the estimated amount of all tax credits received by property owners under <cite data-path="|28|II|10|10-18.2">this section</cite>:shall be reported by the Director of Finance as a tax expenditure; and shall be included by the Department of Finance in the City’s budget publications for any subsequent fiscal year with the estimated or actual City property tax revenue. On or before July 1 of each year, the Director of Finance shall submit a report that includes an analysis of the tax credit and its findings to the:Board of Estimates; Mayor; and City Council. Every 2 years the Department of Finance and the Department of Housing and Community Development shall conduct a study and submit a report to the Board of Estimates, Mayor, and City Council that:evaluates the impact of the tax credit established by <cite data-path="|28|II|10|10-18.2">this section</cite>; states a conclusion about whether the program goal established in subsection (b) of <cite data-path="|28|II|10|10-18.2">this section</cite> is being met; and makes recommendations to modify <cite data-path="|28|II|10|10-18.2">this section</cite> to better meet the program goal. Termination of program. The Department of Finance may accept applications for the credit for a period of time that is concurrent with the term of the inclusionary housing requirements established by <cite data-path="|13|I|2B">Article 13, Subtitle 2B {“Inclusionary Housing Requirements”}</cite> of the City Code.

In this section, the following words have the meanings indicated. “Sustainability Office” means the Baltimore City Office of Sustainability, established by City Code <cite data-path="|1">Article 1</cite>, Subtitle 34. “Urban agricultural property” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-253">State Tax-Property Article, § 9-253</cite>. “Urban agricultural purposes” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-253">State Tax-Property Article, § 9-253</cite>. “Value” means the amount equal to:the gross income that is actually received from sales of plants, plant products, animals, or animal products produced on site; or for plants, plant products, animals, or animal products that are distributed free or at less than applicable market prices, the gross income that could reasonably be assumed to be received from their sale at market prices. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-253">State Tax-Property Article § 9-253, </cite>a tax credit is granted against the City property tax imposed on qualified urban agricultural properties. To qualify for the credit granted by this section, a parcel of land:must be an urban agricultural property that is being used for urban agricultural purposes; may not be used for any other purpose that would subject the parcel to property tax liability; must be maintained in full compliance with the <cite data-path="|building-codes">City Building, Fire, and Related Codes Article</cite>; and unless a waiver is granted under paragraph (3) of this subsection, must produce and either sell or otherwise distribute each tax year plants, plant products, animals, or animal products with an aggregate value of $5,000 or more. The Sustainability Office may require an owner to verify values by providing copies of sales receipts or invoices and, if relevant, evidence of current market rates. The Sustainability Office may grant a waiver to the value requirement if, in the tax year for which the credit is being sought, the agricultural use of the property:is newly established; or has suffered an unexpected disaster, such as drought, vandalism, or infestation A waiver may not be granted under this paragraph for more than 2 consecutive tax years. The amount of the credit granted under this section is equal to:the amount of property tax that would otherwise be due on the property, less the amount of any other credit applicable to the property in that tax year, multiplied by 90%. A property owner seeking to obtain and annually maintain a credit under this section must:at least 90 days before the 1st tax year for which the credit is sought, file an application for the credit with the Sustainability Office; and at least 90 days before each subsequent tax year during the term of the credit, file with the Sustainability Office a certification that the property continues to be used for urban agricultural purposes and to meet all other qualification for the credit. The application and certification must be in the form and contain the information that the Sustainability Office requires. The term of the credit is 5 tax years, unless renewed. On application made no later than 90 days before expiration of the 5-year term, a property owner may apply to renew the credit for another 5 tax years. If, at any time during the initial 5-year term of the credit or during a 5-year renewal term, the property ceases to be used for urban agricultural purposes:the credit granted to the property is terminated; and the owner of the property is liable for:all property taxes that would have been due during that 5-year term if the credit had not been granted, plus a surcharge at the rate of 1% for each month or fraction of a month accounting from the dates that those taxes would have become due had the credit never been granted through the date on which the taxes first became due by application of this subsection, A property owner may apply to the Director of Finance for a waiver of all or part of the surcharge imposed under paragraph (1) of this subsection. The property owner has the burden to demonstrate that:the cessation of the property’s use for urban agricultural purposes was the result of circumstances beyond the owner’s control; and the owner otherwise meets the requisite criteria for a waiver, as established in the rules and regulations adopted under subsection (h)(1)(ii) of this section. The Director of Finance shall consult with the Sustainability Office before denying or granting the application for a waiver, in whole or in part. The Director of Finance, after consultation with the Sustainability Office:shall, subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section, including:the procedures, forms, and documentation required to apply for the credit and to periodically evidence continuing eligibility for the credit; and the procedures and governing criteria for obtaining a surcharge waiver under subsection (g)(2) of this section; may settle disputed claims that might arise in connection with the credit; and may delegate to any other City agency or employee the powers, duties, or functions in connection with the administration of the credit. The Sustainability Office, after consultation with the Director of Finance, must analyze the public costs and benefits of the credits granted under this section and annually report its findings to the Board of Estimates and the City Council. Ord. 15-350 Ord. 15-427 Ord. 16-503 Text Conformed 02/25/21 Ord. 22-124 Ord. 22-125 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations. This section was enacted by Ordinance 15-350, effective June 7, 2015. Section 3 of that Ordinance calls for future evaluation of the credit’s effectiveness, as follows: “[A]fter the 3rd tax year for which a tax credit is authorized under this Ordinance, the Mayor and City Council must evaluate the effectiveness of the credit in promoting the use of property for urban agricultural purposes.”

In this section, the following terms have the meanings indicated. “Combined income” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-104">State Tax-Property Article § 9-104(a)(3)</cite>. “Dwelling” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-104">State Tax-Property Article § 9-104(a)(6)</cite>. “Homeowner” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-104">State Tax-Property Article § 9-104(a)(9)</cite>. “State Homeowners’ Tax Credit Program” means the Homeowners’ Property Tax Credit Program established by <cite data-doc="Md. Code" data-path="gtp|9-104">State Tax-Property Article § 9-104</cite>. “Total real property tax” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-104">State Tax-Property Article § 9-104(a)(13)</cite>. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-215">State Tax-Property Article § 9-215, </cite>a City supplement to the State Homeowners’ Tax Credit Program is granted for eligible dwellings. A dwelling is eligible for the City supplemental tax credit if:the dwelling is eligible for participation in the State Homeowners’ Tax Credit Program; and as of the end of the calendar year immediately preceding the taxable year for which the supplemental credit is sought, the dwelling’s homeowner:is at least 62 years old; has resided in the dwelling for at least 10 years; and has a combined income of less than $40,000. The City supplemental tax credit for an eligible dwelling is the total real property tax on the dwelling, less:the property tax credit granted for the dwelling under <cite data-doc="Md. Code" data-path="gtp|9-104">State Tax-Property Article § 9-104</cite>; and the aggregate of the following percentages of the homeowner’s combined income:0% of the 1st $12,000 of combined income; 3% of the next $4,000 of combined income; 7% of the next $4,000 of combined income; and 9% of combined income over $20,000. Ord. 16-497

In this section, the following terms have the meanings indicated. “Dwelling” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}. “Finance Director” means the Director of the City Department of Finance or that Director’s designee. “Homeowner” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}. “Homestead dwelling” means a dwelling that is:located in Baltimore City; owned by and used as the principal residence of a public safety officer; and otherwise eligible for the tax credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105</cite>{“Homestead tax credit”}. “Public safety officer” means a firefighter, an emergency medical technician, or a law enforcement officer who is a sworn member of and employed full time by:the Baltimore City Fire Department; the Baltimore City Police Department; the Baltimore City Sheriff’s Office; or the Baltimore City Public School System. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-property Article § 9-304(i)</cite>, a real property tax credit is granted against the City property tax imposed on the homestead dwelling of a public safety officer. In any taxable year, the amount of the credit granted to a homestead dwelling under this section is the lesser of:$2,500; and the amount of the property tax imposed on the dwelling. In any taxable year for which a property receives a credit granted under this section, the property may not receive any other property tax credit provided by Baltimore City except:the local portion of the credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}; and the credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-221">State Tax-Property Article § 9-221 </cite>{“Offsetting income tax rates”}. A public safety officer seeking to obtain and annually maintain a credit under this section must:at least 90 days before the 1st tax year for which the credit is sought, file with the Finance Director an application for the credit; and at least 90 days before each subsequent tax year, file with the Finance Director a verification that:the homeowner continues to serve as a public safety officer; and the property continues to be:used as the public safety officer’s principal residence; and otherwise eligible for the tax credit authorized by this section. The application and annual verification must be in the form and contain the information that the Finance Director requires. The credit granted under this section continues from tax year to tax year, subject to:compliance with the annual verification requirements of subsection (e) of this section; and termination under paragraph (2) of this subsection. If, at any time during a tax year, the homeowner ceases to serve as a public safety officer:the tax credit granted under this section for that tax year is terminated; and the homeowner is liable for all property taxes that would have been due for that tax year had the credit not been granted, payable as provided in the rules and regulations adopted under this section. The Finance Director:shall, subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section, including procedures, forms, and documentation required to apply for the credit authorized by this section and to periodically verify continuing eligibility for the credit; in those rules and regulations, may define or further define any terms used in connection with the qualifications for or computation of the credit authorized by this section; may settle disputed claims arising in connection with the credit authorized by this section; must prepare an annual written report to the Mayor and City Council detailing the number of public safety officers from each agency who have utilized the tax credit in the preceding year; and may delegate to any other City agency or employee the Director’s powers, duties, or functions in connection with the administration of the credit authorized by this section. Any person who knowingly makes a false statement on or in connection with an application for a tax credit under this section or in connection with any report or statement supporting a property’s continued eligibility for a tax credit granted under this section is guilty of a misdemeanor and, on conviction, is subject to a fine of not more than $1,000 or to imprisonment for not more than 12 months or to both fine and imprisonment for each offense. Applications for this credit may not be accepted after June 30, 2028. Ord. 17-074 Ord. 18-209 Text Conformed 02/25/21 Ord. 22-124 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “9-1-1 specialist” means a Baltimore City employee of a public safety answering point whose duties and responsibilities include:receiving and processing 9-1-1 requests for emergency assistance; other support functions directly related to 9-1-1 requests for emergency assistance; or dispatching law enforcement officers, fire rescue services, emergency medical services, and other public safety services to the scene of an emergency. “Dwelling” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}. “Finance Director” means the Director of the City Department of Finance or that Director’s designee. “Homeowner” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}. “Homestead dwelling” means a dwelling that is :located in Baltimore City; owned by and used as the principal residence of a 9-1-1 specialist; and otherwise eligible for the tax credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-262">State Tax-Property Article § 9-262, </cite>a real property tax credit is granted against the City property tax imposed on the homestead dwelling of a 9-1-1 specialist. In any taxable year, the amount of the credit granted to a homestead dwelling under this section is the lesser of:$2,500; and the amount of the property tax imposed on the dwelling. In any taxable year for which a property receives a credit granted under this section, the property may not receive any other property tax credit provided by Baltimore City except:the local portion of the credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}; and the credit authorized by § 9-221 {“Offsetting income tax rates”}. A 9-1-1 specialist seeking to obtain and annually maintain a credit under this section must:at least 90 days before the 1st tax year for which the credit is sought, file with the Finance Director an application for the credit; and at least 90 days before each subsequent tax year, file with the Finance Director a verification that:the homeowner continues to serve as a 9-1-1 specialist; and the property continues to be:used as the 9-1-1 specialist’s principal residence; and otherwise eligible for the tax credit authorized by this section. The application and annual verification must be in the form and contain the information that the Finance Director requires. The credit granted under this section continues from tax year to tax year, subject to:compliance with the annual verification requirements of subsection (e) of this section; and termination under paragraph (2) of this subsection. If, at any time during a tax year, the homeowner ceases to serve as a 9-1-1 specialist:the tax credit granted under this section for that tax year is terminated; and the homeowner is liable for all property taxes that would have been due for that tax year had the credit not been granted, payable as provided in the rules and regulations adopted under this section. The Finance Director:shall, subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section, including procedures, forms, and documentation required to apply for the credit authorized by this section and to periodically verify continuing eligibility for the credit; in those rules and regulations, may define or further define any terms used in connection with the qualifications for or computation of the credit authorized by this section; may settle disputed claims arising in connection with the credit authorized by this section; must prepare an annual written report to the Mayor and City Council detailing the number of 9-1-1 specialists who have utilized the tax credit in the preceding year; and may delegate to any other City agency or employee the Director’s powers, duties, or functions in connection with the administration of the credit authorized by this section. Any person who knowingly makes a false statement on or in connection with an application for a tax credit under this section or in connection with any report or statement supporting a property’s continued eligibility for a tax credit granted under this section is guilty of a misdemeanor and, on conviction, is subject to a fine of not more than $1,000 or to imprisonment for not more than 12 months or to both fine and imprisonment for each offense. Applications for this credit may not be accepted after June 30, 2029. Ord. 19-298 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations. This section was enacted by Ordinance 19-298 on September 30, 2019. Per Section 3 of Ord. 19-298, the Ordinance became effective when enacted, “applicable for all taxable years beginning on or after July 1, 2019”.

In this section, the following terms have the meanings indicated. Dwelling. “Dwelling” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead Tax Credit”}. “Finance Director” means the Director of the City Department of Finance or the Director’s designee. “Homeowner” has the meaning stated in <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead Tax Credit”}. “Homestead dwelling” means a dwelling that is:located in Baltimore City; owned by and used as the principal residence of a low-income employee; and otherwise eligible for the tax credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead Tax Credit”}. “Low-income employee” means an individual who:is employed full-time by the City of Baltimore; is among the 25% lowest-paid, full-time Baltimore City employees; and owns a dwelling located in Baltimore City. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(k), </cite>a real property tax credit is granted against the City property tax imposed on the homestead dwelling of a low-income employee. In any taxable year, the amount of the credit granted to a homestead dwelling under this section is the lesser of:$2,500; and the amount of the property tax imposed on the building. In any taxable year for which a property receives a credit granted under this section, the property may not receive any other property tax credit provided by Baltimore City except:the local portion of the credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-105">State Tax-Property Article § 9-105 </cite>{“Homestead tax credit”}; and the credit authorized by <cite data-doc="Md. Code" data-path="gtp|9-221">State Tax-Property Article § 9-221 </cite>{“Offsetting income tax rates”}. To determine whether an individual qualifies as a low-income employee as defined by this section, the Finance Department, in consultation with the Department of Human Resources, shall use an individual’s annual rate of pay for the calendar year most recently completed prior to the tax year for which the credit is sought. The Finance Department shall notify employees that their income may qualify them for the tax credit authorized by this subtitle no later than January 30 of the tax year. In addition to meeting the other requirements provided in this section, to be eligible for a tax credit under this section, the low-income employee must, as of the March 31 of the calendar year in which the application is filed:have been continuously employed with the City for the preceding 9 months; have worked a minimum of 1,125 hours during that time; and have been classified as a regular, full-time employee by the Department of Human Resources. A low-income employee seeking to obtain and annually maintain a credit under this section must file with the Finance Director an application for the credit. The application must be filed with the Finance Director on or after February 1 preceding the tax year for which the credit is sought but no later than March 31 of that tax year. The application must be in the form and contain the information that the Finance Director requires and shall include a verification that:the homeowner is a regular, full-time City employee; and the property is:used as the low-income employee’s principal residence; and otherwise eligible for the tax credit authorized by this section. The credit granted under this section continues from tax year to tax year, subject to compliance with the annual verification requirements of subsection (g) of this section. The Finance Director:shall, subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section, including procedures, forms, and documentation required to apply for the credit authorized by this section and to periodically verify continuing eligibility for the credit; may, in those rules and regulations, define or further define any terms used in connection with the qualifications for or computation of the credit authorized by this section; may settle disputed claims arising in connection with the credit authorized by this section; must prepare an annual written report to the Mayor and City Council detailing the number of low-income employees from each agency who have utilized the tax credit in the preceding year; and may delegate to any other City agency or employee the Director’s powers, duties, or functions in connection with the administration of the credit authorized by this section. Any person who knowingly makes a false statement on or in connection with an application for a tax credit under this section or in connection with any report or statement supporting a property’s continued eligibility for a tax credit granted under this section is guilty of a misdemeanor and, on conviction, is subject to a fine of not more than $1,000 or to imprisonment for not more than 12 months or to both fine and imprisonment for each offense. Applications for this credit may not be accepted after June 30, 2030. Ord. 20-348 Text Conformed 02/25/21 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations. This section was enacted by Ordinance 20-348, effective January 1, 2021.

In this section, the following terms have the meanings indicated. “Finance Director” means the Director of the City Department of Finance or that Director’s designee. “Food desert” means an area in which:the distance to a supermarket is more than ¼ mile; the median household income is at or below 185% of the Federal Poverty Level, as measured by the most recent 5-year estimate of the U.S. Census Bureau’s American Community Survey; over 30% of households have no vehicle available, as measured by the most recent 5-year estimate of the U.S. Census Bureau’s American Community Survey; and the Healthy Food Availability Index average score of all food stores is low, as measured by the Johns Hopkins Center for a Liveable Future. “Food Desert Incentive Area” means any area:that is a food desert; that is within ¼ mile of a food desert; or that would be a food desert but for the presence of a qualified supermarket. “Personal property” means any personal property that is subject to the City’s tax on personal property. “Qualified supermarket’ means a supermarket that has been newly constructed or newly substantially renovated to meet the qualifications imposed by this subtitle. “Supermarket” means a grocery store that has:all major food departments, including produce, meat, seafood, dairy, and canned and packaged goods; more than 50% of total sales derived from food sales; and more than 50% of total floor space dedicated to food sales. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-304">State Tax-Property Article § 9-304(h), </cite>a tax credit is granted against the City personal property tax imposed on qualified supermarkets. To qualify for the credit granted by this section, a qualified supermarket must:be located in a Food Desert Incentive Area; have at least 500 square feet of total floor space dedicated to the sale of fruits and vegetables; have at least 500 square feet of total floor space dedicated to the sale of other perishable goods, including meat, seafood, and dairy products; and have expended on new personal property:for a newly constructed supermarket, an amount equal to the greater of:$150,000; or $25 per square foot of total floor space; or for a newly substantially renovated supermarket, an amount based on the supermarket’s total floor space, as follows: <table> <thead> <tr> <th>Total Floor Space</th> <th>Expenditure Required</th> </tr> </thead> <tbody> <tr> <td>20,000 sq. ft. or less</td> <td>$5 per square foot</td> </tr> <tr> <td>More than 20,000 sq. ft. up to 45,000 sq. ft.</td> <td>$8 per square foot</td> </tr> <tr> <td>More than 45,000 sq. ft.</td> <td>$10 per square foot</td> </tr> </tbody> </table> The amount of the credit granted under this section is equal to:the amount of personal property tax that would otherwise be due in the current tax year on the supermarket’s personal property, less the amount of any other credit applicable in the current tax year to the personal property, multiplied by 80%. The owner of the personal property for which a credit under this section is being sought must file an application with the Finance Director at least 90 days before the 1st tax year for which the credit is sought. The term of the credit is 10 tax years. The owner of the personal property for which a credit has been granted under this section shall ensure that, throughout the credit period, the supermarket:continues to operate as a supermarket; and is maintained in full compliance with:the City Health Article; and the <cite data-path="|building-codes">City Building, Fire, and Related Codes Article</cite>. The Finance Director, after consultation with the Baltimore Development Corporation:shall, subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section, including procedures, forms, and documentation required to apply for the credit authorized by this section and to periodically evidence continuing eligibility for the credit; in those rules and regulations, may define or further define any terms used in connection with the qualifications for or computation of the credit authorized by this section; may settle disputed claims arising in connection with the credit authorized by this section; and may delegate to any other City agency or to the Baltimore Development Corporation any of her or his ministerial powers, duties, or functions in connection with the administration of the credit authorized by this section. Ord. 15-434 Ord. 16-503 Ord. 18-151 Text Conformed 02/19/21 Ord. 22-125 By authority of Ordinance 20-431, Section 5, the Director of Legislative Reference, in consultation with the Law Department, has conformed this section to refer expressly to and reflect the requirements of the recently-enacted Administrative Procedure Act that, effective January 15, 2021, governs the proposal, adoption, and publication of administrative rules and regulations.

In this section, the following terms have the meanings indicated. “Dwelling” means a house that is:used as the principal residence of the homeowner; and actually occupied or expected to be occupied by the homeowner for more than 6 months of a 12-month period beginning with the date of finality for the taxable year for which the property tax credit under this section is sought. “Dwelling” includes:a condominium unit that is occupied by an individual who has legal interest in the condominium; an apartment in a cooperative apartment corporation that is occupied by an individual who has legal interest in the apartment; and a part of real property used other than primarily for residential purposes, if the real property is used as a principal residence by an individual who has a legal interest in the real property. “Dwelling” does not include the lot or curtilage on which the house, condominium, apartment, or other improvement is erected. “Eligible costs” means reasonable costs incurred:within the 12 months before the initial application for the credit; for the purchase or lease of a solar energy device or geothermal energy device, including any part, component, or accessory equipment necessary to operate the device; and associated with installation of the solar energy device or the geothermal energy device. “Geothermal energy device” means an energy conserving device that:uses geothermal energy to heat or cool a structure or to provide hot water for use in the structure; and meets national safety and performance standards set by a nationally recognized testing laboratory for that type of device. “House” means a structure that has been adapted for overnight accommodation of an individual. “Principal residence” means the one dwelling where an individual regularly resides and is the location designated by the individual for the legal purpose of voting, obtaining a driver’s license, and filing income tax returns. “Solar energy device” means an energy conserving device that:uses solar energy to heat or cool a structure, to generate electricity to be used in the structure, or to provide hot water for use in the structure; and meets national safety and performance standards set by a nationally recognized testing laboratory for that type of device. In accordance with <cite data-doc="Md. Code" data-path="gtp|9-203">State Tax-Property Article § 9-203, </cite>a tax credit is granted against the City portion of real property tax on a dwelling to which a solar energy device or geothermal energy device is installed and in use. The City may not grant more than 1 tax credit for each dwelling. The owner of a dwelling that uses a solar energy device or geothermal energy device may qualify for the tax credit authorized by this section by:filing a state income tax return as a resident of Baltimore City for each taxable year for which the credit is sought; filing an application for the credit with the Director of the Department of Finance; and satisfying all other conditions imposed by the regulations of the Director of the Department of Finance. The credit against the City portion of real property tax on a dwelling under this section is the lesser of:50% of the eligible costs up to a maximum of $5,000; or 50% of the eligible costs up to a maximum of $1,500 for either a solar energy device or geothermal energy device installed exclusively to provide hot water for use in the dwelling. The amount of a credit applied in a tax year may not exceed the amount of City real property tax imposed on the dwelling in that tax year. The tax credit granted under this section applies in the taxable year immediately following the submission of an application. The tax credit granted under this section is transferable to a subsequent owner if:the transfer is within the 1-year credit eligibility period; and the solar energy device or geothermal energy device remains in use in the dwelling. The application must be in the form and contain the information that the Director of the Department of Finance requires. The Director of the Department of Finance or the Director’s designee:shall, subject to Title 4 {“Administrative Procedure Act – Regulations”} of the <cite data-path="|general">City General Provisions Article</cite>, adopt rules and regulations to carry out this section, including procedures, forms, and documentation required to apply for the credit authorized by this section; and may settle disputed claims arising in connection with the credit authorized by this section. The estimated amount of all tax credits received by owners under this section in any fiscal year shall be:reported by the Director of the Department of Finance as a “tax expenditure” for that fiscal year; and included in the publication of the City’s budget for any subsequent fiscal year with the estimated or actual City property tax revenue for the applicable fiscal year. The Director of the Department of Finance or the Director’s designee must report annually to the Board of Estimates and to the Mayor and City Council any results and findings of any analysis of the tax credit, including the steps taken and proposed to be taken to promote and further the use of the tax credit program. The Department of Finance may not accept applications for the tax credit granted under this section after June 30, 2028. Ord. 22-162 Ord. 23-228