Bill > HB511

This bill expands the definition of a "catalytic revitalization project" to include privately owned commercial properties that are significantly vacant or outdated, in addition to properties formerly owned by the government. It also modifies the state income tax credit available for construction and rehabilitation costs associated with these projects by increasing the credit percentage from 20% to 25% for certain projects and adjusting the duration and amount of credits the Secretary of Housing and Community Development can award within specific timeframes, now limiting applications and awards to once a year with an aggregate cap of $35 million, which will be adjusted annually for inflation starting in 2027. Furthermore, the bill clarifies that new construction costs cannot exceed 50% of the total project costs and allows for the transfer of unused tax credits to financial institutions for project financing, while also requiring the Department to publish information about available credits and guidance on timelines for certificate issuance to aid in project financing.

Budget and Finance

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB0511?ys=2026RS