§ 2–207.1
Statutes in effect as of October 1, 2026.
Md. Code Ann., State Fin. & Proc. § 2-207.1 (2026)
Title 2. General Provisions
Subtitle 2. Gifts and Grants
§ 2–207.1LinkCopy Citation
(a)
(1)
In this section the following words have the meanings indicated.
(2)
“Board” means the Maryland Agricultural Education and Rural Development Assistance Board established in § 2–206 of this subtitle.
(3)
“Council” means the Rural Maryland Council established under Title 13, Subtitle 4 of the Economic Development Article.
(4)
“Eligible applicant” has the meaning stated in § 13–416 of the Economic Development Article.
(5)
“Fund” means the Rural Maryland Capacity Building Fund.
(6)
“Rural community” has the meaning stated in § 2–207 of this subtitle.
(b)
(1)
There is a Rural Maryland Capacity Building Fund.
(2)
The purpose of the Fund is to support collaborative planning and capacity building initiatives that address the needs of rural communities.
(3)
The Council shall administer the Fund.
(4)
(i)
The Fund is a special, nonlapsing fund that is not subject to § 7–302 of the State Finance and Procurement Article.
(ii)
The State Treasurer shall hold the Fund separately, and the Comptroller shall account for the Fund.
(5)
The Fund consists of:
(i)
money appropriated in the State budget to the Fund; and
(ii)
any other money from any other source accepted for the benefit of the Fund.
(6)
The Fund may be used only for grants provided under this section.
(7)
(i)
The State Treasurer shall invest the money of the Fund in the same manner as other State money may be invested.
(ii)
Any interest earnings of the Fund shall be credited to the General Fund of the State.
(8)
Expenditures from the Fund may be made only in accordance with the State budget.
(c)
(1)
The Board shall:
(i)
establish procedures for applications for grants provided under this section;
(ii)
review applications for grants; and
(iii)
approve grant recipients and the amount of the grant award.
(2)
Grants may not be awarded to eligible applicants that have not completed the Rural Readiness Program established under § 13–416 of the Economic Development Article.
(3)
Grants shall be awarded on a competitive basis.
(4)
The Board shall give priority to eligible applicants that have:
(i)
multijurisdictional and multisector projects; and
(ii)
provided sufficient evidence of a commitment to a funding match of at least 20% of the grant amount.
(5)
A grant amount may not exceed $50,000.
(d)
Eligible applicants must apply for a grant in a manner consistent with the procedures established by the Board.
(e)
(1)
Grant funds may be used to support:
(i)
collaborative planning and capacity building initiatives that advance efforts to address the needs of rural communities, including:
(1)
housing;
(2)
broadband services;
(3)
placemaking;
(4)
energy;
(5)
transportation;
(6)
health;
(7)
infrastructure;
(8)
economic development; and
(9)
workforce;
(ii)
readiness for investment in and development of a rural community or property in a rural community, including:
(1)
development of property inventories;
(2)
site development studies;
(3)
site material development;
(4)
site implementation or land assembly activities; and
(5)
feasibility or market studies;
(iii)
partnerships and planning to build readiness for future projects and collaborative initiatives; and
(iv)
cross–sector collaboration for community and stakeholder engagement that fosters planning and dialogue.
(2)
Grant funds may not be used to:
(i)
pay or reimburse the grantee for employee salary, wages, benefits, or other indirect costs of the grantee that are not related to the project for which a grant was awarded;
(ii)
fund operational activities at a for–profit entity;
(iii)
purchase or lease real property; or
(iv)
support a nonrural area.
(f)
On or before October 1 each year, the Council shall submit to the Governor and, in accordance with § 2–1257 of the State Government Article, the General Assembly a report on:
(1)
the number of grants made in the previous fiscal year;
(2)
the name of each grant recipient; and
(3)
the purpose and use of each grant.