PARRIS N. GLENDENING, Governor                             Ch. 759

WHEREAS. Rural villages and communities are an integral part of the character of
Maryland and the State is committed to continuing to sustain rural villages and
communities; and

WHEREAS, In order to effectuate the State Policy adopted by the General
Assembly in 1992, the State needs to build on the 1992 Act by focusing spending in those
areas, including those parts of locally designated growth areas, that constitute the most
efficient and effective use of the taxpayer dollars and which will serve to best preserve
existing neighborhoods and Maryland's fields, farms, and open spaces; now, therefore,

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article 23A - Corporations - Municipal

(A) The mayor and city council, by whatever name known, of every municipal
corporation in this State is authorized and empowered to lend or provide, upon such
terms as may be agreed upon, the use of tools, vehicles, implements, materials,
consultants, services, and other assistance to another political subdivision for purposes
deemed to be public and of benefit to the municipal corporation and the other political
subdivision.

(B) (1) IF A COUNTY PROVIDES FOR THE LEVY AND COLLECTION OF A
DEVELOPMENT IMPACT FEE ON NEW RESIDENTIAL CONSTRUCTION TO FINANCE
THE COSTS OF SCHOOL CONSTRUCTION, A MUNICIPAL CORPORATION SHALL ASSIST
THE COUNTY IN THE COLLECTION OF THE FEE FOR NEW RESIDENTIAL
CONSTRUCTION WITHIN THE MUNICIPAL CORPORATION BY:

(I) COLLECTING AND REMITTING THE FEE TO THE COUNTY; OR

(II) REQUIRING THE FEE TO BE PAID TO THE COUNTY BEFORE
ISSUING AN APPLICABLE BUILDING PERMIT FOR NEW CONSTRUCTION; OR

(III) OTHER REASONABLE MEANS PROVIDED FOR BY THE
MUNICIPAL CORPORATION. IN ACCORDANCE WITH THE COUNTY DEVELOPMENT
IMPACT FEE LAW OR ORDINANCE.

(2) THE APPLICATION OF ANY IMPACT FEES PAID UNDER PARAGRAPH (1)
OF THIS SUBSECTION SHALL HAVE A RATIONAL NEXUS TO THE PROJECT FOR WHICH
THE FEES ARE ASSESSED.

(2) (3) THE PROVISIONS OF THIS SUBSECTION MAY NOT BE
CONSTRUED TO AFFECT ANY EXISTING AGREEMENTS BETWEEN A COUNTY AND
MUNICIPALITY MUNICIPAL CORPORATION CONCERNING THE LEVYING AND
COLLECTION OF DEVELOPMENT IMPACT FEES.

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