Ch. 160                                    2003 LAWS OF MARYLAND

independent contractor who provides services or performs duties on behalf of the
association or organization on a contractual basis.

(3)     "Association or organization" means:
(i) An athletic club;

(ii) A charitable organization;

(iii) A civic league or organization;

(IV) A COMMUNITY ASSOCIATION;

[(iv)] (V) A cooperative housing corporation as that term is defined
under § 5-6B-01 of the Corporations and Associations Article;

[(v)] (VI) A council of unit owners of a condominium as that term is
defined in § 11-101 of the Real Property Article; or

[(vi)] (VII) A homeowners' association.

(4)     "Athletic club" means a club organized and operated exclusively for
recreational purposes, that is exempt from taxation under § 501(c)(7) of the Internal
Revenue Code.

(5)     "Charitable organization" means an organization, institution,
association, society, or corporation that is exempt from taxation under § 501(c)(3) of
the Internal Revenue Code.

(6)     "Civic league or organization" means an organization, operated
exclusively for the promotion of social welfare, that is exempt from taxation under §
501(c)(4) of the Internal Revenue Code.

(7)      "COMMUNITY ASSOCIATION" MEANS A NONPROFIT ASSOCIATION,
CORPORATION, OR OTHER ORGANIZATION THAT REGISTERS WITH THE SECRETARY
OF STATE UNDER § 7-108 OF THE STATE GOVERNMENT ARTICLE AND:

(I)       1. IS COMPOSED OF AT LEAST 25% OF THE ADULT
RESIDENTS OF A LOCAL COMMUNITY THAT:

A.       CONSISTS OF AT LEAST 40 HOUSEHOLDS; AND

B.       IS DEFINED BY SPECIFIC GEOGRAPHIC BOUNDARIES IN
THE BYLAWS OR CHARTER OF THE ORGANIZATION;

2.       AT LEAST ANNUALLY, REQUIRES THE PAYMENT OF DUES;

3.       PROMOTES SOCIAL WELFARE AND GENERAL CIVIC
IMPROVEMENT; AND

4.       IN THE CASE OF A CORPORATION, IS IN GOOD STANDING;
OR

(II)     1. IS COMPOSED OF MORE THAN ONE OF THE
ORGANIZATIONS DESCRIBED IN ITEM (I) OF THIS PARAGRAPH; AND

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