Bill > HB942

This bill modifies Maryland's economic development laws to expand the definition and use of tax increment financing (TIF) development districts. Specifically, the bill allows local governments to designate noncontiguous blighted areas as development districts, where a "blighted area" is defined as an area where a majority of buildings have significantly declined in productivity due to obsolescence or other factors. When creating such a noncontiguous development district, local governments must limit redevelopment to affordable housing for households earning no more than 80% of the area median income. The bill also renumbers existing sections of the law and removes several detailed provisions related to bond issuance. The changes are designed to provide local governments with more flexibility in economic development and affordable housing strategies, allowing them to create development districts that are not geographically connected but still meet specific economic revitalization criteria. The bill will take effect on October 1, 2025, giving local governments time to prepare for and implement these new provisions.

Budget and Finance

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB0942?ys=2025RS