§ 11-2-108. BROWNFIELDS PROPERTY TAX CREDIT.

(a)

Definitions.

(1)

In this section the following words have the meanings indicated.

(2)

"Enterprise zone" means an area designated an enterprise zone under Article 83A, Title 5, Subtitle 4 of the Annotated Code of Maryland.

(3)

"Increased property tax liability" means the remaining property tax liability, after first applying all other property tax credits applicable to the site, attributable to the increase in the assessment of a qualified Brownfields site, including improvements added to the site within the tax credit period provided for in this section, over the assessment of the qualified Brownfields site before its voluntary cleanup or corrective action plan.

(4)

"Qualified Brownfields site" has the meaning stated in Article 83A, § 5-1401 of the Annotated Code of Maryland.

(b)

County participation. In accordance with § 9-229 of the Tax-Property Article of the Annotated Code of Maryland, the county elects to participate in the Brownfields Revitalization Incentive Program and to provide the tax credits authorized by this section.

(c)

Property tax credit established There is a Brownfields property tax credit of 50% against the increased property tax liability of a qualified Brownfields site.

(d)

Additional credits. A qualified Brownfields site shall receive an additional property tax credit of 20% against the increased property tax liability if:

(1)

The cost of the voluntary cleanup or corrective action plan is more than $1,000,000; or

(2)

The qualified Brownfields site is located in:

(i)

An enterprise zone; or

(ii)

A designated commercial revitalization area established under Article 26 of the Code.

(e)

Determining the cost of clean-up and corrective action plan. The cost of the voluntary cleanup or corrective action plan shall be determined by the demonstrated costs incurred for the voluntary cleanup or corrective action plan at the time of the application for the property tax credits.

(f)

Duration. The credits shall apply in each of the taxable years immediately following the first revaluation of the qualified Brownfields site after completion of a voluntary cleanup or corrective action plan for:

(1)

5 taxable years; or

(2)

If the qualified Brownfields site is in an enterprise zone, 10 taxable years.

(g)

Contribution to Fund. For each year of the credit period, the county shall contribute to the Maryland Economic Development Assistance Fund established under Article 83A, § 5-1404 of the Annotated Code of Maryland an amount equal to 30% of a qualified Brownfields site's increased property tax liability.

(h)

Termination of credit. The Brownfields property tax credit granted to a qualified Brownfields site under this section terminates if:

(1)

The recipient of the Brownfields property tax credit withdraws from the voluntary cleanup program under § 7-512(a) or (b) of the Environment Article of the Annotated Code of Maryland; or

(2)

The State Department of the Environment withdraws approval of a response action plan or a certificate of completion under § 7-512(e) and (f) of the Environment Article of the Annotated Code of Maryland.

(i)

Regulations. The Office of Budget and Finance may adopt regulations in accordance with Article 3, Title 7 of the Code to carry out the provisions of this section.

(1988 Code, § 33-42) (Bill No. 107-97, § 1, 11-1-1997; Bill No. 33-03, § 2, 7-1-2004; Bill No. 72-03, § 22, 7-1-2004)

  Annotation- Sections of Bill No. 107-97, effective November 1, 1997, state that if a court of competent jurisdiction or an opinion of the Attorney General require the contribution to the Brownfields Incentive Fund under Section 33-38(j) of this Act to be made from a funding source other than the increased property tax liability then this Act shall be abrogated and of no further force and effect except that the abrogation may not affect tax credits previously granted or applied for at the time of the abrogation.