Ch. 734                          MARVIN MANDEL, Governor                              1541

thereto.]] to provide a Baltimore City property tax exemption for certain urban
renewal property used for governmentally controlled housing where payments
are made in lieu of the taxes and to provide for the properties subject to this
exemption.

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That new Section 9(o) be and it is hereby added to Article 81 of
the Annotated Code of Maryland (1972 Supplement), title "Revenue and Taxes,"
subtitle "What Shall Be Taxed and Where," to follow immediately after Section
9(n) thereof, and to read as follows:

9.

(O) [(HOUSING IN URBAN RENEWAL AREAS IN BALTIMORE
CITY.]] REAL PROPERTY LOCATED IN URBAN RENEWAL AREAS
ACQUIRED AND DISPOSED OF BY THE MAYOR AND CITY COUNCIL
OF BALTIMORE PURSUANT TO ARTICLE II(15) OF THE BALTIMORE
CITY CHARTER (1964 REVISION) OWNED BY ANY PERSON, FIRM OR
CORPORATION ENGAGED IN THE CONSTRUCTION AND OPERATION
OF HOUSING STRUCTURES OR PROJECTS SUBSTANTIALLY
CONSTRUCTED OR REHABILITATED AFTER JULY 1, 1973, WHERE
SUCH STRUCTURES AND FACILITIES ARE GOVERNMENTALLY
CONTROLLED AS TO RENTS, CHARGES, RATE OF RETURN AND/OR
METHODS OF OPERATION SO AS TO OPERATE ON A NON-PROFIT
OR LIMITED DISTRIBUTION BASIS MAY BE SUBJECT TO
EXEMPTION [(WITH THE APPROVAL OF THE POLITICAL
SUBDIVISION IN WHICH THE PROPERTY IS LOCATED UPON THE
ENTRY OF THE EXECUTIVE BODY OF THE SUBDIVISION]] FROM
BALTIMORE CITY TAXES UPON THE ENTRY OF THE BOARD OF
ESTIMATES OF BALTIMORE CITY AND THE ELIGIBLE PERSON,
FIRM OR CORPORATION INTO AN AGREEMENT FOR THE PAYMENT
OF A NEGOTIATED SUM OR SUMS IN LIEU OF ALL [[STATE AND
LOCAL]] BALTIMORE CITY TAXES UPON SUCH PROPERTY. [[THE
PAYMENT SHALL BE DIVIDED BETWEEN THE STATE AND THE
SUBDIVISION IN ACCORDANCE WITH THE RATIO WHICH THE RATE
OF TAX LEVIED BY THE STATE BEARS TO THE RATE OF TAX
LEVIED BY THE SUBDIVSION.]] ANY STRUCTURE OR PROJECT AS
AFORESAID MAY CONTAIN NON-DWELLING COMMERCIAL AND
COMMUNITY FACILITIES (INCLUDING BUT NOT LIMITED TO
DINING HALLS, COMMUNITY ROOMS, INFIRMARIES AND OTHER
SERVICE FACILITIES TO SERVE ITS OCCUPANTS AND THE
SURROUNDING NEIGHBORHOOD) WITHOUT AFFECTING THE
POWER OF THE SUBDIVISION TO APPROVE THE EXEMPTION ABOVE
MENTIONED, PROVIDED THE STRUCTURE OR PROJECT REMAINS
PREDOMINANTLY RESIDENTIAL. THE PROPERTIES TO WHICH THIS
SUBSECTION (O) APPLIES ARE THOSE IN URBAN RENEWAL
PROJECTS APPROVED AS OF JULY 1, 1973, EXCEPT THAT THIS
SUBSECTION DOES NOT APPLY TO PROPERTIES IN THE MADISON
PARK NORTH, MADISON PARK SOUTH AND MOUNT VERNON
PROJECTS. THIS SUBSECTION APPLIES ONLY TO AGREEMENTS
ENTERED INTO PRIOR TO JULY 1, 1976. IN 1974, 1975, AND 1976 THE
EFFECT AND OPERATION OF AGREEMENTS ENTERED_INTO UNDER
THIS SUBSECTION DURING THE PRIOR YEAR SHALL BE REPORTED
TO THE GENERAL ASSEMBLY OF MARYLAND.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take
effect July 1, 1973.