Housing and Community Development (GHS) — Title 9. Community Reinvestment Fund
Statutes in effect as of October 1, 2026.
Subtitle 1. Definitions; Findings
Md. Code Ann., Hous. & Cmty. Dev. § 9-101 (2026)
Title 9. Community Reinvestment Fund
Subtitle 1. Definitions; Findings
§ 9–101LinkCopy Citation
(a)
In this title the following words have the meanings indicated.
(b)
“Board” means the Community Reinvestment Board.
(c)
“Community reinvestment assistance” means a loan, assurance, guarantee, grant, payment, credit enhancement, or other assistance provided by the Fund as set forth in § 9-404 of this title, or a commitment to provide the assistance.
(d)
“Community reinvestment project” means a project or program eligible under § 9-402 of this title to receive community reinvestment assistance from the Fund.
(e)
“Fund” means the Community Reinvestment Fund.
(f)
“Limited income household” means a household or individual whose income does not exceed the upper income limits that the Secretary establishes.
(g)
“Member” means a member of the Board.
Md. Code Ann., Hous. & Cmty. Dev. § 9-102 (2026)
Title 9. Community Reinvestment Fund
Subtitle 1. Definitions; Findings
§ 9–102LinkCopy Citation
(a)
The General Assembly finds that:
(1)
some communities and neighborhoods in the State are in economic and social distress because of a shortage of significant private investment;
(2)
financial institutions in the State are recognizing a heightened responsibility to provide financial assistance to these communities and neighborhoods; and
(3)
federal and State regulators are requiring more community reinvestment by these financial institutions.
(b)
The General Assembly therefore finds that the public interest is served by promoting the development of a financial vehicle to be operated by private financial institutions to:
(1)
increase community reinvestment to neighborhoods and communities in the State that have urgent need for reinvestment;
(2)
make community reinvestment by financial institutions easier and more desirable by spreading the financial risk and offering the experience of the State in providing community reinvestment lending; and
(3)
forge partnerships among financial institutions and the State in meeting community reinvestment goals.
Subtitle 2. Community Reinvestment Board
Md. Code Ann., Hous. & Cmty. Dev. § 9-201 (2026)
Title 9. Community Reinvestment Fund
Subtitle 2. Community Reinvestment Board
§ 9–201LinkCopy Citation
There is a Community Reinvestment Board.
Md. Code Ann., Hous. & Cmty. Dev. § 9-202 (2026)
Title 9. Community Reinvestment Fund
Subtitle 2. Community Reinvestment Board
§ 9–202LinkCopy Citation
(a)
(1)
The Board consists of at least 17 members.
(2)
The Secretary of the Department of Housing and Community Development and the Secretary of Commerce or their designees are nonvoting members.
(3)
The Governor shall appoint at least 15 voting members.
(b)
(1)
Subject to the requirements of this subsection, the voting members shall be appointed and removed in accordance with the organizational documents of the Fund.
(2)
At least two–thirds of the voting members shall represent:
(i)
the commercial banking or savings institution industry in the State or other participants that have pledged or contributed money or other substantial assistance to the Fund; or
(ii)
trade organizations consisting of or otherwise representing two or more members of the commercial banking or savings institution industry in the State or other participants that have contributed money or other substantial assistance to the Fund.
(3)
At least 20% of the voting members shall represent community groups or other entities that may be eligible to receive community reinvestment assistance.
(4)
The majority of voting members shall represent the groups described in paragraph (2)(i) of this subsection.
(c)
A member of the Board may be a director or member or may have some other legal status required by or appropriate to the type of entity constituting the Fund.
(d)
(1)
The term of a voting member may not exceed 3 years.
(2)
A voting member may be reappointed.
Md. Code Ann., Hous. & Cmty. Dev. § 9-203 (2026)
Title 9. Community Reinvestment Fund
Subtitle 2. Community Reinvestment Board
§ 9–203LinkCopy Citation
The Board shall set the times and places of its meetings.
Md. Code Ann., Hous. & Cmty. Dev. § 9-204 (2026)
Title 9. Community Reinvestment Fund
Subtitle 2. Community Reinvestment Board
§ 9–204LinkCopy Citation
(a)
Subject to the requirements of this title, the organizational documents of the Fund shall govern the operation of the Board, including quorum and voting requirements.
(b)
The Board has all powers arising from the documents and procedures creating and organizing the Fund as an independent legal entity.
(c)
The Board shall:
(1)
operate the Fund;
(2)
keep proper records of the Board’s accounts;
(3)
establish standards and guidelines for:
(i)
the terms and conditions of community reinvestment assistance and other Fund reinvestments; and
(ii)
allocating community reinvestment assistance and other Fund investments;
(4)
apportion among Fund transactions the operating costs of the Fund; and
(5)
within the first 90 days of each fiscal year, make an annual report of Fund activities to the Governor and, subject to § 2–1257 of the State Government Article, to the General Assembly.
(d)
(1)
The Board shall appoint a loan committee to review and make determinations on specific requests or categories of requests for community reinvestment assistance to community reinvestment projects.
(2)
The loan committee may review and make recommendations to the Board on other matters as the Board determines, including eligibility guidelines and financing policies for community reinvestment projects.
(3)
The loan committee consists of:
(i)
the Secretary of Housing and Community Development and the Secretary of Commerce or their designees as nonvoting members; and
(ii)
the voting members that the Board appoints or their designees.
Subtitle 3. Community Reinvestment Fund
Md. Code Ann., Hous. & Cmty. Dev. § 9-301 (2026)
Title 9. Community Reinvestment Fund
Subtitle 3. Community Reinvestment Fund
§ 9–301LinkCopy Citation
(a)
There is a Community Reinvestment Fund.
(b)
The purpose of the Fund is to administer the use and reinvestment of money that may be credited, paid, or otherwise transferred to the Fund from any entity approved by the Board to participate in the Fund, including a bank, savings institution, or other financial institution.
Md. Code Ann., Hous. & Cmty. Dev. § 9-302 (2026)
Title 9. Community Reinvestment Fund
Subtitle 3. Community Reinvestment Fund
§ 9–302LinkCopy Citation
(a)
(1)
The Fund is a private, independent legal entity to be assisted by the Department under this title and is not a governmental unit of the State.
(2)
Any dividends, royalties, or other earnings received from community reinvestment assistance, or from any other investment made by the Board under this title, is money of the Fund, and is not money of the State.
(b)
Except as specified in this title, the organization and operation of the Board and the Fund are not subject to approval by the Board of Public Works or by any State official or unit.
(c)
A member, employee, or agent of the Board or the Fund is not a State official by virtue of any status with or action for the Fund.
Md. Code Ann., Hous. & Cmty. Dev. § 9-303 (2026)
Title 9. Community Reinvestment Fund
Subtitle 3. Community Reinvestment Fund
§ 9–303LinkCopy Citation
(a)
The Board shall determine the form of the independent legal entity constituting the Fund in accordance with the organizational documents of the Fund.
(b)
In accordance with the organizational documents of the Fund, an entity contributing money to the Fund may be entitled to receive:
(1)
interests in the Fund in proportion to the entity’s contribution, in an amount and in a form that the Board determines; and
(2)
a return on its contribution to the Fund based on:
(i)
the entity’s share; and
(ii)
a fixed rate of return or the amount of any dividends, royalties, or other earnings of the Fund, or on another formula and in a form that the Board determines.
Md. Code Ann., Hous. & Cmty. Dev. § 9-304 (2026)
Title 9. Community Reinvestment Fund
Subtitle 3. Community Reinvestment Fund
§ 9–304LinkCopy Citation
(a)
Titles 11 through 17 of the State Finance and Procurement Article do not apply to the operation of or any transactions made by the Fund.
(b)
Meetings of the Board or its members or of employees or agents of the Fund are not subject to State requirements for open or public meetings, including any requirements for open sessions under Title 3 of the General Provisions Article.
Md. Code Ann., Hous. & Cmty. Dev. § 9-305 (2026)
Title 9. Community Reinvestment Fund
Subtitle 3. Community Reinvestment Fund
§ 9–305LinkCopy Citation
(a)
The Board shall use the money administered by the Fund to provide community reinvestment assistance in accordance with this title, any other applicable law, and the organizational documents of the Fund.
(b)
The Board may use the money that the Fund administers to:
(1)
ensure a reasonable return on money held by the Fund before disbursing money for community reinvestment assistance;
(2)
pay expenses incurred in its formation and operation, including expenses for administrative, legal, actuarial, and other services; and
(3)
redeem interests in the Fund.
Md. Code Ann., Hous. & Cmty. Dev. § 9-306 (2026)
Title 9. Community Reinvestment Fund
Subtitle 3. Community Reinvestment Fund
§ 9–306LinkCopy Citation
The Department shall take any necessary action, including providing technical assistance, to encourage and facilitate the creation of the Fund.
Md. Code Ann., Hous. & Cmty. Dev. § 9-307 (2026)
Title 9. Community Reinvestment Fund
Subtitle 3. Community Reinvestment Fund
§ 9–307LinkCopy Citation
(a)
The Department may provide money for administrative, legal, and other organizational expenses of the Fund.
(b)
The Department of Housing and Community Development and the Department of Commerce may:
(1)
provide technical assistance for:
(i)
operating and administering the Fund; and
(ii)
underwriting proposed community reinvestment projects; and
(2)
charge reasonable and customary fees for the technical assistance.
Subtitle 4. Reinvestment Assistance
Md. Code Ann., Hous. & Cmty. Dev. § 9-401 (2026)
Title 9. Community Reinvestment Fund
Subtitle 4. Reinvestment Assistance
§ 9–401LinkCopy Citation
The Secretary shall establish upper income limits for limited income households, taking into consideration factors that include:
(1)
the total income of the household available for housing needs;
(2)
the size of the household;
(3)
the cost and condition of housing facilities;
(4)
the ability of the household to compete successfully in the conventional private housing market; and
(5)
relevant standards and definitions established for federal housing programs.
Md. Code Ann., Hous. & Cmty. Dev. § 9-402 (2026)
Title 9. Community Reinvestment Fund
Subtitle 4. Reinvestment Assistance
§ 9–402LinkCopy Citation
(a)
A project qualifies as a community reinvestment project if the Secretary determines in writing that the community reinvestment project meets:
(1)
affordable housing needs of limited income households in the State;
(2)
capital, operating, and other credit needs of small businesses in the State, including farm businesses, if the assets, income, and number of employees of the business do not exceed limits that the Secretary of Commerce establishes; or
(3)
capital, operating, and other credit needs of individuals, community organizations, and businesses located in or serving communities or neighborhoods in the State that have urgent needs for reinvestment due to deteriorating social or economic conditions.
(b)
A community reinvestment project shall:
(1)
conform to eligibility guidelines and financing policies consistent with this subtitle that the Board develops and the Secretary approves; and
(2)
be submitted to and approved by the loan committee appointed by the Board under § 9–204(d) of this title.
Md. Code Ann., Hous. & Cmty. Dev. § 9-403 (2026)
Title 9. Community Reinvestment Fund
Subtitle 4. Reinvestment Assistance
§ 9–403LinkCopy Citation
(a)
An application for community reinvestment assistance shall be made to the Department of Housing and Community Development, to the Department of Commerce, to an entity contributing to the Fund, or, if the Board allows, directly to the Fund.
(b)
The Department of Housing and Community Development and the Department of Commerce may provide technical assistance in the underwriting or review of a loan for which an application has been submitted.
(c)
The loan committee shall base its action on an application on the review of the application and recommendations made by one or more parties listed in subsection (a) of this section.
Md. Code Ann., Hous. & Cmty. Dev. § 9-404 (2026)
Title 9. Community Reinvestment Fund
Subtitle 4. Reinvestment Assistance
§ 9–404LinkCopy Citation
To provide community reinvestment assistance, the Board may:
(1)
invest in, purchase, make commitments to purchase, or take assignments from mortgage lenders of notes and mortgages evidencing mortgage loans;
(2)
act as a guarantor or conduit for mortgage backed securities;
(3)
make loans to recipients of community reinvestment assistance or to mortgage lenders;
(4)
sell at public or private sale mortgages, loans, or other obligations held by the Fund;
(5)
purchase, make, participate in making, or enter into commitments to purchase loans;
(6)
package and sell loans; and
(7)
do anything else authorized by the organizational documents of the Fund.
Subtitle 5
Md. Code Ann., Hous. & Cmty. Dev. § 9-501 (2026)
Title 9. Community Reinvestment Fund
Subtitle 5
§ 9–501LinkCopy Citation
This title is the Community Reinvestment Fund Act.