SB 389, the Maryland Transit and Housing Opportunity Act, automatically designates transit-oriented development (TOD) areas near rail stations with hourly weekday service (8 a.m.-6 p.m.) as enterprise zones - bypassing normal limits on such designations. It requires Maryland’s development corporation to prioritize loans for projects redeveloping state-owned land near rail stations and delays development taxes/fees for qualifying residential projects. The bill also adds project labor agreements as a scoring factor for TOD funding and adjusts local land-use regulations to support transit-focused development. Directly affecting developers, local governments, and communities near transit hubs, it aims to accelerate housing and infrastructure near rail corridors.
SB 274 updates Maryland's fair housing laws to address discriminatory practices regardless of intent. It defines "discriminatory effect" as actions creating segregated housing patterns based on protected characteristics like race, disability, or sexual orientation, even without malicious intent. The bill requires housing authorities and political subdivisions to actively "affirmatively further fair housing" and prohibits practices with disparate impacts on protected groups. These changes apply to all housing providers, landlords, and government entities involved in housing decisions. The law removes intent as a defense for discriminatory housing practices, aligning enforcement with federal standards.
HB 1259 prohibits local Maryland jurisdictions (counties and Baltimore City) from denying or restricting family child care homes that meet state licensing requirements, including limiting the number of children below state standards. It requires local governments to classify these homes as residential activities and permit them under residential zoning rules. The bill amends Maryland's land use code to ensure consistency with state licensing standards and prevent local zoning barriers for licensed child care providers. The law takes effect on October 1, 2026.
SB 511 creates a legal path for Maryland nonstock housing corporations to convert into cooperative limited equity housing corporations (CLEHCs), which are member-owned housing entities where residents hold cooperative interests rather than traditional property ownership. The bill establishes conversion procedures, requires CLEHCs to maintain specific membership composition (including low/moderate-income households), limits resale profits on housing interests, and mandates relocation reimbursements for affected households during conversion. It also authorizes Maryland's Department of Housing to create additional rules and grant funding for CLEHCs while prohibiting local governments from restricting conversions. This directly affects current nonstock housing corporations and residents in properties transitioning to CLEHC ownership.
SB 267, the "Building Affordably in My Back Yard Act," aims to increase residential housing development by changing oversight, regulation, and tax policies. It requires property owners to certify contact information to the housing department, empowers local governments to streamline approvals for housing projects, and sets housing production targets. The bill allows counties to reduce certain taxes or fees for affordable housing projects while increasing them for non-affordable developments, and permits local tax adjustments for different property types. These changes directly affect property owners, local governments, and housing developers across Maryland.
SB 31 requires Maryland county boards of education to annually submit detailed school zone and student capacity reports to state agencies starting in 2026. These reports must include school boundary maps, student residence locations, and school capacity metrics. The bill also restricts counties from delaying housing subdivision approvals based on school capacity but allows delays for final permits only. This directly affects county planning departments, school districts, and housing developers by standardizing school data reporting and clarifying housing development timelines. The law aims to balance school planning needs with housing development efficiency.
SB 455 establishes the Transformational Project Financing Program to help local governments fund large-scale development projects in designated areas. It allows counties or cities to apply to the Maryland Economic Development Corporation for "State-supported development district" status, requiring them to redirect property tax increases (tax increment) from these areas into a special fund instead of the general budget. This fund finances projects in priority areas like sustainable communities, transit-oriented developments, and designated enterprise zones. The bill creates new rules for calculating state revenue contributions and managing bond proceeds specifically for these designated districts.
