Ch. 591                                    1996 LAWS OF MARYLAND

(H) (1) SUBJECT TO THE PROVISIONS OF PARAGRAPH (2) OF THIS SUBSECTION,
THE MAYOR AND CITY COUNCIL OF BALTIMORE CITY AND THE GOVERNING BODY OF
BALTIMORE COUNTY SHALL ESTABLISH GUIDELINES PRECLUDING THE AVAILABILITY
OF THE TAX CREDIT UNDER THIS SECTION IF THE RESIDENTIAL REAL PROPERTY IS
PURCHASED THROUGH A FEDERAL OR STATE HOUSING ASSISTANCE PROGRAM.

(2) NOTWITHSTANDING ANY OTHER PROVISION OF LAW. THE TAX CREDIT
UNDER THIS SECTION MAY NOT BE DENIED IF:

(I) THE MORTGAGE LOAN IS GUARANTEED OR INSURED THROUGH
THE DEPARTMENT OF VETERANS AFFAIRS, THE FEDERAL HOUSING ADMINISTRATION,
THE RURAL HOUSING SERVICES, OR THE MARYLAND HOUSING FUND; OR

(II) THE MORTGAGE LOAN IS INTENDED TO BE PURCHASED BY THE
FEDERAL NATIONAL MORTGAGE ASSOCIATION, THE FEDERAL HOME LOAN MORTGAGE
ASSOCIATION, THE GOVERNMENTAL NATIONAL MORTGAGE ASSOCIATION, OR THE
COMMUNITY DEVELOPMENT ADMINISTRATION WITHIN THE DEPARTMENT OF HOUSING
AND COMMUNITY DEVELOPMENT.

SECTION 2. AND BE IT FURTHER ENACTED, That on or before June 1, 1996,
in accordance with § 2-1312 of the State Government Article, the Mayor of Baltimore
City and the County Executive of Baltimore County shall submit a report to the Budget
and Taxation Committee and the Ways and Means Committee of the General Assembly
that identifies the neighborhoods selected and specifies the number of houses that will
qualify for tax credits under this Act.

SECTION 3. AND BE IT FURTHER ENACTED, That on or before October 1,
1998, in accordance with § 2-1312 of the State Government Article, the State Comptroller
shall report to the General Assembly on the effect of this Act on income tax revenues and
the Mayor of Baltimore City and the County Executive of Baltimore County shall report
to the General Assembly on the impact of this Act on the neighborhoods that are
targeted.

SECTION 4. AND BE IT FURTHER ENACTED, That this Act shall take effect
June 1, 1996, and shall be applicable to all taxable years for income tax purposes
beginning after December 31, 1996.

Approved May 23, 1996.

CHAPTER 591
(Senate Bill 601)

AN ACT concerning

Pensions - Death Benefits

FOR the purpose of providing for certain changes in the law that relate to death benefits
for surviving spouses of certain deceased members of the Employees' Pension

- 3410 -