In this subtitle the following words have the meanings indicated. “Area” means a geographic area within one or more political subdivisions within the State described by a closed perimeter boundary. “BRAC Revitalization and Incentive Zone” means an area that: meets the requirements of § 5–1303 of this subtitle; and is designated as a BRAC Revitalization and Incentive Zone by the Secretary under § 5–1304 of this subtitle. “Enterprise zone” has the meaning stated in § 5–701 of this title. “Political subdivision” means any county or municipal corporation. “Submission date” means the date the Secretary receives an application from a political subdivision for designation of a BRAC Revitalization and Incentive Zone. “Tax increment financing bonds” means bonds issued by: a political subdivision under Title 12, Subtitle 2 of this article; or Baltimore City under Article II, § 62 of the Charter of Baltimore City.

The following political subdivisions may apply to the Secretary to designate a BRAC Revitalization and Incentive Zone: a political subdivision for an area within that political subdivision; with the prior consent of the municipal corporation, a county on behalf of a municipal corporation for an area in the municipal corporation; or two or more political subdivisions jointly for an area astride their common boundaries. The application shall: be in the form and manner and contain the information that the Secretary requires; contain sufficient information to allow the Secretary to determine if the proposed BRAC Revitalization and Incentive Zone meets the criteria in § 5–1303 of this subtitle; be submitted for a political subdivision by its chief elected officer, or if none, its governing body; and state whether the political subdivision has examined the feasibility of creating educational or training opportunities for employers and employees of business entities located or to be located in the proposed BRAC Revitalization and Incentive Zone. After the Secretary’s receipt of an application for designation of an area as a BRAC Revitalization and Incentive Zone or expansion of an existing zone under § 5–1305 of this subtitle, the Secretary shall notify the members of the county delegation to the General Assembly for each county in which a zone is proposed to be located.

The Secretary may only designate an area as a BRAC Revitalization and Incentive Zone if the area: is located within a priority funding area as defined by Title 5, Subtitle 7B of the State Finance and Procurement Article or a qualified opportunity zone designated under § 1400Z–1 of the Internal Revenue Code in Allegany County, Garrett County, Somerset County, or Wicomico County; is served by a public or community water and sewer system or planned to be served by a public or community water and sewer system under the approved 10–year water and sewer plan; is designated for mixed use development that includes residential uses as part of the mix of land uses by the political subdivision; and has an average density of at least 3.5 units per acre, calculated in accordance with § 5–7B–03 of the State Finance and Procurement Article, in that part of the area designated by the political subdivision for residential use or development. An area shall receive priority consideration for designation as a BRAC Revitalization and Incentive Zone under this section if the area is within one–half mile of a present or planned: MARC station along the Penn, Camden, or Brunswick lines; Baltimore Metro SubwayLink station; Baltimore Light RailLink station; or Metrorail system station in the State. An area may receive priority consideration for designation as a BRAC Revitalization and Incentive Zone under this section if the area is of strategic importance to the economic development interests of a county. The Secretary shall consider the following factors in determining whether to designate an area as a BRAC Revitalization and Incentive Zone: whether the area’s designation as a BRAC Revitalization and Incentive Zone is consistent with the political subdivision’s comprehensive plan; whether the area contains brownfields sites that are capable of redevelopment; whether the political subdivision has targeted the area for revitalization as provided for in the political subdivision’s comprehensive plan or in another plan or ordinance; the relationship of the area to a BRAC installation or how the area is impacted by BRAC; the availability, cost, and condition of business facilities; the number and age of abandoned structures; the number and age of substandard structures; the income of residents relative to the State or regional median incomes, including the number of persons who receive public assistance or are unemployed; the extent of unemployment and the ability to upgrade the social and economic conditions of the area; the need for financing for small businesses to upgrade the social and economic conditions of the area; any plans and financial commitments of local jurisdictions to undertake improvements in the proposed area; a political subdivision’s participation in revitalization activities including whether the area has been designated an enterprise zone; the presence of a special taxing district, a historic district listed on the National Register of Historic Places, or a local historic district; support from community or business organizations; other revitalization projects undertaken in the proposed area; a political subdivision’s participation in workforce readiness programs; a political subdivision’s participation in the creation of affordable and workforce housing options for residents; whether the political subdivision has acted to provide for the adequate protection and conservation of vital natural resource areas and agricultural areas within the political subdivision’s comprehensive plan or in another local government plan or ordinance; the presence of sensitive areas, as defined in § 1–101 of the Land Use Article; a political subdivision’s provision of a breadth of transportation options to improve accessibility and land use that supports transit ridership, walking, and bicycle use; and the fiscal impact of the designation of the BRAC Revitalization and Incentive Zone on the State.

Within 60 days after a submission date, the Secretary, after receiving a recommendation of the Smart Growth Subcabinet, may designate one or more BRAC Revitalization and Incentive Zones from among the areas described in the applications timely submitted. The designation of an area as a BRAC Revitalization and Incentive Zone is effective for 10 years, beginning on the date the first property in the BRAC Revitalization and Incentive Zone becomes a qualified property, as defined in § 2–222 of the Tax – Property Article. The Secretary may not designate more than six BRAC Revitalization and Incentive Zones in a calendar year. A county may not receive more than two BRAC Revitalization and Incentive Zones. The precise location and boundaries of a BRAC Revitalization and Incentive Zone may be determined only on application to and approval by the Secretary. The designation of the Secretary is final. At any time, a political subdivision may reapply to the Secretary to designate as a BRAC Revitalization and Incentive Zone an area that is not designated. This subsection applies only to a political subdivision that is authorized under § 7–211.3 of the Tax – Property Article to enter into a payment in lieu of tax agreement with a private developer for federal enclave property. The Secretary may not designate a BRAC Revitalization and Incentive Zone in a county until, in the judgment of the Secretary, the political subdivision has entered into good faith negotiations for a payment in lieu of tax agreement with all private developers of federal enclave property.

A political subdivision may apply to the Secretary to expand an existing BRAC Revitalization and Incentive Zone in the same manner as the political subdivision would apply to designate a new BRAC Revitalization and Incentive Zone. The Secretary may grant an expansion of a BRAC Revitalization and Incentive Zone into an area that meets the requirements of § 5–1303 of this subtitle. For purposes of § 5–1304(a) of this subtitle, an expansion of a BRAC Revitalization and Incentive Zone that does not exceed 50% of the existing geographic area of the BRAC Revitalization and Incentive Zone does not count towards the limit on the number of BRAC Revitalization and Incentive Zones that: the Secretary may designate in a calendar year; or a county may receive. The Secretary may grant an extraordinary expansion of a BRAC Revitalization and Incentive Zone in the State each calendar year for an area that: meets the requirements of § 5–1303 of this subtitle; and in the determination of the Secretary, is of strategic importance to the economic development interests of the county in which the BRAC Revitalization and Incentive Zone is located. For purposes of § 5–1304(a) of this subtitle, an extraordinary expansion of a BRAC Revitalization and Incentive Zone does not count towards the limit on the number of BRAC Revitalization and Incentive Zones that: the Secretary may designate in a calendar year; or a county may receive. The Secretary may not grant more than two extraordinary expansions in the State during a single calendar year.

Benefits are available to political subdivisions with BRAC Revitalization and Incentive Zones as provided in this section. A political subdivision that receives designation of an area as a BRAC Revitalization and Incentive Zone may receive amounts as provided in § 2–222 of the Tax – Property Article. Amounts received by a political subdivision as provided in § 2–222 of the Tax – Property Article: shall be used to pay for infrastructure improvements in the BRAC Revitalization and Incentive Zone; and may be used for the repayment of bonds, including tax increment financing bonds, issued by the political subdivision for infrastructure improvements in the BRAC Revitalization and Incentive Zone. Political subdivisions and business entities may receive priority consideration for financial assistance for projects or operations in a BRAC Revitalization and Incentive Zone from: programs in: the Department; the Department of Housing and Community Development; or the Department of Planning; or any other appropriate State programs. The benefits set forth in this section are available for 10 years after the date that the first property in the BRAC Revitalization and Incentive Zone becomes a qualified property, as defined in § 2–222 of the Tax – Property Article. The Department shall adopt regulations to carry out the provisions of this subtitle and to specify criteria and procedures for the application, approval, and monitoring the eligibility for the benefits under this subtitle.

On or before October 15 of each year, a political subdivision with a BRAC Revitalization and Incentive Zone designation shall submit a report to the Department that assesses the effectiveness of the benefits provided to the BRAC Revitalization and Incentive Zone in attracting and retaining businesses within the BRAC Revitalization and Incentive Zone. In accordance with § 2.5–109 of this article, the Department shall submit a report on the effectiveness of the benefits under this subtitle.