The required number of commissioners of an authority: for an authority not governed by articles of organization, is five; and for an authority governed by articles of organization, is the number set forth in the articles of organization as required by § 12-205(b)(1)(iv) of this title.

The chief elected official shall appoint the required number of commissioners of the authority. A certificate of the appointment of a commissioner of an authority shall be filed with the custodian of records. The certificate is conclusive evidence of the appointment.

A commissioner of an authority may not be an employee of the authority. If an authority is governed by articles of organization, only one commissioner of the authority may be an employee of the political subdivision. Otherwise, a commissioner of an authority may not be an employee of the political subdivision. A commissioner of an authority may not be an elected official of the political subdivision. This subtitle does not bar a tenant of a housing project or of property included or planned to be included in a housing project from being a commissioner of an authority.

This subsection applies to authorities for which the Secretary of State approves articles of organization on or after July 1, 1990. All initial appointments of commissioners of an authority after the Secretary of State approves the articles of organization shall have the same effective date. The effective date shall be set forth along with the term of appointment on each initial certificate of appointment required by § 12-302(b) of this subtitle. For authorities whose articles of organization say that commissioners of the authority have 5-year terms, those who are initially appointed shall have staggered terms of: 1, 2, 3, 4, and 5 years for five-member authorities; 1, 2, 3, 3, 4, 5, and 5 years for seven-member authorities; and 1, 2, 2, 3, 3, 4, 4, 5, and 5 years for nine-member authorities. For authorities whose articles of organization say that commissioners of the authority have 3-year terms, those who are initially appointed shall have staggered terms of: 1, 2, 2, 3, and 3 years for five-member authorities; 1, 1, 2, 2, 3, 3, and 3 years for seven-member authorities; and 1, 1, 1, 2, 2, 2, 3, 3, and 3 years for nine-member authorities. Notwithstanding § 12-311 of this subtitle, a commissioner of an authority who is an employee of the political subdivision serves at the pleasure of the chief elected official. The term of a commissioner of an authority who was in office before the adoption of articles of organization ends on the effective date of the initial appointments under the articles of organization. Except as provided in paragraphs (3) and (4) of this subsection, before the effective date of the initial appointments under the articles of organization, the chief elected official shall appoint each commissioner of an authority who was in office before the adoption of the articles of organization to a term as a commissioner of the authority under the articles of organization. A commissioner of an authority who has delivered to the chief elected official written notice declining appointment may not be appointed under this subsection. If the number of commissioners of an authority is reduced by the articles of organization so that there are not enough places for all those who did not decline appointment, the chief elected official shall choose which ones to appoint, and when they are appointed and qualify they are the successors of all those who were in office before the adoption of the articles of organization. Notwithstanding § 12-205(b)(1)(iii) of this title, any other provision of this Division II, and the articles of organization, an appointment under this subsection does not require approval of the legislative body. If an authority is not governed by articles of organization: commissioners of the authority who are initially appointed shall have terms of 1, 2, 3, 4, and 5 years; and each term thereafter shall be 5 years. At the end of a term, a commissioner of an authority serves until a successor is appointed and qualifies. A commissioner of an authority who is appointed after a term has begun serves only for the rest of the term and until a successor is appointed and qualifies.

The chief elected official shall choose as chair a commissioner who is appointed when the authority is first activated. When the office of the chair becomes vacant thereafter, the authority shall choose a chair from among its commissioners. An authority shall choose a vice chair from among its commissioners.

The powers of each authority are vested in the commissioners. A quorum is: three commissioners of a five-member authority; four commissioners of a seven-member authority; or five commissioners of a nine-member authority. An authority may take action on a vote of a majority of the commissioners present at a meeting at which there is a quorum, unless a larger number is required by law or the bylaws of the authority.

With the approval of the legislative body, a commissioner of an authority may receive reasonable compensation for the commissioner’s services and is entitled to the necessary expenses, including traveling expenses, incurred in the discharge of the commissioner’s duties.

An authority may employ: a secretary, who shall serve as executive director; and technical experts and other officers, agents, and employees, permanent and temporary. An authority shall determine the qualifications, duties, and compensation of its employees. For legal services, an authority may use the chief law officer of the political subdivision or may employ its own counsel and legal staff. An authority may delegate to one or more of its agents or employees the powers or duties it considers proper.

Each commissioner, the executive director, and each employee of an authority is: a local official for the purposes of Title 5, Subtitle 8, Part II of the General Provisions Article and subject to local ethics laws; and an employee of a local government for the purposes of Title 5, Subtitle 3 of the Courts and Judicial Proceedings Article and entitled to the protections of the Local Government Tort Claims Act. A commissioner of an authority is not liable for a statement made or action taken in good faith in the exercise or performance of a power or duty of the commissioner.

Except for bonds purchased before appointment and interests in mutual funds, a commissioner or employee of an authority may not acquire any direct or indirect interest in a housing project or in property included or planned to be included in a housing project. A commissioner or employee of an authority may not have any direct or indirect interest in a contract or proposed contract for materials or services to be furnished or used in connection with a housing project. A commissioner or employee of an authority who owns or controls a direct or indirect interest in property included or planned to be included in a housing project shall immediately disclose the interest in writing to the authority. The disclosure shall be entered in the minutes of the authority. Failure to disclose the interest is misconduct in office.

A commissioner of an authority may be removed by the chief elected official in accordance with this section for neglect of duty or misconduct in office, including violations of local ethics laws and misconduct identified in § 12-310 of this subtitle. The chief elected official shall file charges with the office of the custodian of records and promptly deliver a copy of the charges to the commissioner and to the secretary of the authority. Written notice of the date, time, and place of a hearing shall be given to the commissioner at least 14 days before the hearing. Unless the commissioner has resigned from office, the chief elected official shall hold the hearing, at which the commissioner shall have an opportunity to be represented by counsel and to be heard in person. On completion of the hearing, the chief elected official shall make written findings. If a commissioner of an authority is removed, a record of the proceedings and the charges and findings shall be filed in the office of the custodian of records. On the filing of charges under subsection (b)(1) of this section with the office of the custodian of records, the chief elected official may temporarily suspend a commissioner of an authority. The chief elected official shall immediately reinstate the commissioner in office if the chief elected official finds the charges have not been substantiated. The commissioner shall be reinstated automatically, unless a hearing on removal has been held and a decision made by the chief elected official within 45 days after the filing of charges. The chief elected official may not temporarily appoint a person to perform the duties of a suspended member.

When a code authority becomes authorized to do business and exercise its powers, the political subdivision: immediately shall estimate the amount of money necessary for the administrative expenses and overhead of the code authority during the first year thereafter; and shall appropriate that amount to the code authority out of money in the political subdivision’s treasury not appropriated to some other purpose. The political subdivision shall pay the money appropriated to the code authority as a donation. Subject to paragraph (2) of this subsection, the political subdivision shall appropriate to the code authority money needed to comply with any requirement imposed on it by its articles of organization, if enough money for the code authority to comply is not available from State, federal, or other sources. A political subdivision is not required to provide any money for a code authority to satisfy a judgment, liability, debt, or other financial obligation to a third party. A political subdivision located wholly or partly in the area of operation of a code authority may lend, donate, or agree to lend or donate money to the code authority. The code authority, when it has the money available, shall reimburse the political subdivision for all loans made to it by the political subdivision.