SB 500 expands Washington County's property tax credit program for disabled veterans to include members of the National Oceanic and Atmospheric Administration (NOAA) and the Public Health Service (PHS) who meet the existing eligibility criteria. The bill amends the county code to define "disabled veteran" to cover these federal service members, who must still have an honorable discharge, a service-connected disability certified by the U.S. Department of Veterans Affairs, and own their primary residence. The credit amount remains tied to the veteran's disability rating percentage, applied against county property taxes. This change directly affects qualifying NOAA and PHS members in Washington County who previously did not qualify under the county's existing definition.
SB 586 establishes Maryland's Community Eligibility Provision Expansion Program within the State Department of Education. The program provides state funding to eligible public schools participating in the federal child nutrition program, covering the difference between federal "paid" and "free" meal reimbursement rates (set annually by the USDA). This directly affects high-poverty schools (with 25%+ students qualifying for free meals) by supplementing federal funds without replacing them. The bill mandates $10 million annually starting in fiscal year 2028, requires schools to report on meal debt and participation reasons, and directs the Department to distribute funds based on poverty concentration and geographic diversity.
This bill authorizes Wicomico County or its municipalities to grant a property tax credit against local property taxes for real estate owned by Salisbury Neighborhood Housing Services, Inc. (SNHS), specifically for properties SNHS intends to transfer to private owners within a near future. The credit applies only to properties used for development, rehabilitation, and transfer to private owners, excluding administrative or warehouse buildings owned by SNHS. SNHS must submit annual reports detailing all its property holdings and transactions in the jurisdiction granting the credit. The credit becomes effective for taxable years beginning after June 30, 2026.
HB 1096 requires Baltimore City and Maryland counties to include written notice of eligible property tax credits on property tax bills sent to taxpayers. This applies to existing property tax credits (such as those for seniors or veterans) that taxpayers may qualify for but might not be aware of. If someone other than the taxpayer receives the bill, the recipient must forward the notice to the actual taxpayer in writing. The bill does not create new credits but ensures taxpayers receive clear information about existing ones through their tax billing process.
HB 1228 exempts premiums paid by nonprofit hospitals and health care systems in Maryland for their own captive insurance (insurance they set up themselves) from the state's 3% premium receipts tax. This applies to all entities within the system, including parent companies, subsidiaries, and affiliated providers. The bill removes the tax obligation for these organizations on qualifying captive insurance premiums and prohibits the state from collecting past-due taxes, fees, or penalties related to this tax before the law takes effect. It directly affects nonprofit health care providers across Maryland by reducing their insurance-related costs.
HB 1271 establishes the Maryland Reparations Fund as a permanent fund to provide grants to people impacted by historic inequality. It creates a Reparations Board (appointed by legislative leaders and the governor) to study reparations and recommend grant programs. The bill imposes an excise tax on nonpublic institutions (like private universities) with endowments above a set threshold, requiring all tax revenue to fund the Reparations Fund. This directly affects large-endowment institutions through the tax obligation and historically marginalized communities through the grant program. The fund’s interest earnings will also remain within the fund, not flowing to the state general fund.
HB 1279 modifies Maryland's Catalytic Revitalization Project Tax Credit program to expand eligibility and adjust credit calculations. It updates definitions to include properties formerly owned by the federal government or state, or those formerly used as schools/hospitals, and clarifies income thresholds for "workforce housing" (e.g., 60-150% area median income in designated areas). The bill changes how tax credits are claimed: for workforce housing projects, 50% of the credit applies to workforce units in the first year, with 33% of non-workforce costs spread over three subsequent years. This directly affects developers and property owners rehabilitating qualifying properties seeking state tax credits. The changes aim to simplify claiming while expanding opportunities for projects in targeted communities.
HB 745 makes Maryland's senior income tax credit refundable, allowing eligible residents aged 65 or older to receive a cash refund if the credit exceeds their state tax liability. The credit applies to single seniors with federal adjusted gross income under $100,000 ($1,000 credit) and married couples filing jointly with income under $150,000 ($1,750 credit, or $1,000 if only one spouse qualifies). In specific fiscal years when state revenue estimates fall more than 3.75% below projections, the credit amount is reduced to $500 for singles ($50,000-$100,000 income) or $875 for married couples ($100,000-$150,000 income). This change ensures seniors receive the full credit amount as a refund rather than losing unused portions under previous non-refundable rules.
SB 832 requires most nonprofit hospitals in Maryland to provide annual community benefits equal to either 100% of their tax-exempt value or 5% of their net patient revenue (with at least 4% in charity care). Hospitals must file annual reports detailing these benefits to the Health Services Cost Review Commission within 120 days of their fiscal year-end. The Commission then reports annually to the Attorney General and Comptroller by December 1, including compliance status and financial details. If a hospital fails to meet the requirements, the Comptroller may revoke its tax-exempt status for the following year, though hospitals can correct unintentional errors to avoid this. The bill excludes hospitals in counties with populations under 50,000.
HB 1193 requires the Maryland Department of Natural Resources to collect an 8% surcharge on hotel rentals at Savage Highlands State Park. The revenue from this surcharge will be sent to the Comptroller for distribution to Garrett County. Specifically, 6% of the surcharge funds must be used by Garrett County for promoting the county, while the remaining 2% is directed to the county’s general fund. The bill takes effect July 1, 2026, and directly affects park renters and Garrett County’s budget allocation.
