(a) In this section, “eligible improvements” means significant improvements to, or restoration or rehabilitation of, historic or heritage properties.
Purpose
(b) The General Assembly declares that it is in the general public interest to foster and encourage historic preservation and heritage tourism activities through improvement, restoration, and rehabilitation of, historic or heritage property so as to:
(1) preserve and protect the heritage of the State as represented by its remaining historic buildings and structures;
(2) stimulate the positive aspects of historic or heritage preservation, such as economic development and employment opportunities; and
(3) implement and effect local government planning activities aimed at preserving historic structures, sites, districts, and heritage areas.
Intent of the General Assembly
(c) It is the intent of the General Assembly that:
(1) the taxation of significant improvements to, and restoration or rehabilitation of, historic or heritage properties be maintained, for a period of up to 10 years, at taxation levels not greater than those in place before the eligible improvements if approved as part of a local government plan for historic or heritage preservation;
(2) the methods and procedures to implement a program for the purposes of this section be determined by the applicable local government; and
(3) State financial assistance to a local government not be conditioned upon the local government implementing a program under this section.
Authority of the governing body, except Baltimore City
(d) The governing body of each county, except in Baltimore City, and the governing body of each municipal corporation may:
(1) implement, by law, a program that provides for a property tax credit not to exceed the difference between:
(i) the property tax that, but for the tax credit, would be payable after the completion of eligible improvements; and
(ii) the property tax that would be payable if the eligible improvements were not made; and
(2) adopt any requirements and procedures that are necessary or appropriate to carry out the purposes of this section.
Authority of the Mayor and City Council of Baltimore City
(e)(1) The Mayor and City Council of Baltimore City may:
(i) implement, by law, a program that provides a property tax credit not to exceed:
1. for property tax credits initially granted prior to October 1, 2014, and for the duration of the credit, the difference between:
A. the real property tax on the most recent full cash value of the property before the commencement of eligible improvements; and
B. the real property tax on the most recent full cash value of the property after completion of the eligible improvements; or
2. for property tax credits initially granted on or after October 1, 2014, and for the duration of the credit, the difference between:
A. the real property tax on the full cash value of the property before the commencement of eligible improvements; and
B. the real property tax on the full cash value of the property after completion of the eligible improvements; and
(ii) adopt any requirements and procedures that are necessary or appropriate to carry out the purposes of this section.
(2) For purposes of the calculation under paragraph (1)(i)1 of this subsection, the full cash value of the property shall be the full cash value prior to phase in as determined by the Department through the assessment procedures established under Title 8 of this article.
(3) For purposes of the calculation under paragraph (1)(i)2 of this subsection, the full cash value of the property shall be determined by an appraisal of the property before commencement and after completion of eligible improvements by a professional appraiser selected by the Mayor and City Council of Baltimore City and licensed under Title 16, Subtitle 3 of the Business Occupations and Professions Article.
Considerations for the property tax credit
(f) A property tax credit provided for under this section shall:
(1) be subject to eligibility requirements no less stringent than those applicable to credits authorized under § 9-204 of this subtitle;
(2) be for a period that does not exceed 10 years for each property;
(3) apply to eligible improvements which are:
(i) located within the boundaries of:
1. a property listed individually on the National Register of Historic Places, or a national register historic or landmark district;
2. a property or district designated as a historic property or district under local law; or
3. a property included within the boundaries of a certified heritage area under § 13-1111 of the Financial Institutions Article; and
(ii) for a property or district under paragraph (3)(i)1 or 2 of this subsection, determined by the local historic district commission to be compatible with local historic preservation standards.
Credits
Added by Acts 1994, c. 657, § 1, eff. Oct. 1, 1994. Amended by Acts 1996, c. 601, § 1, eff. Oct. 1, 1996; Acts 2014, c. 193, § 1, eff. June 1, 2014; Acts 2014, c. 194, § 1, eff. June 1, 2014.
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
