Department of Housing and Community Development:
The construction or purchase of newly constructed single-family homes by the Community Development Administration’s (CDA) Maryland Mortgage Program (MMP), which provides low interest mortgages to qualified first time homebuyers; the acquisition or construction of newly constructed multifamily rental housing (NMRH) by CDA; and State funded neighborhood revitalization projects, which include funding from Community Legacy (CL), Community Investment Tax Credit (CITC), Neighborhood Business Works (NBW) and Strategic Demolition and Smart Growth Impact Fund (SGIF). To be included in a DHCD designated Sustainable Community, an area must be in a PFA.
Department of General Services:
While it has no capital budget, General Services is responsible for acquiring, leasing, and maintaining most of the state’s facilities. Thus, it is responsible for ensuring that the state’s growth-related funding is limited to PFAs for state leases of property and land acquisition. However, the law explicitly exempts projects for “maintenance, repair, additions or renovations to existing facilities, acquisition of land for telecommunications towers, parks, conservation and open space, and acquisition of agricultural, conservation, and historic easements.” General Services sends every lease and project to Planning’s State Clearinghouse for Intergovernmental Assistance to ensure compliance with the PFA Law.
Department of Commerce:
The Maryland Small Business Development Financing Authority (MSBDFA), which provides financing for small businesses that do not qualify for financing from private lending institutions or owned by socially and economically disadvantaged persons; the Maryland Economic Development Assistance Authority and Fund (MEDAAF), which provides loans and grants to businesses and local jurisdictions; the Economic Development Opportunities Fund (Sunny Day Fund or SDF), which promotes Maryland’s participation in extraordinary economic development opportunities that provide significant returns to the state through creating and retaining employment as well as the creation of significant capital investments in PFAs; and the Maryland Economic Adjustment Fund (MEAF), which assists businesses with modernization of manufacturing operations, the development of commercial applications for technology and exploring and entering new markets.
Department of the Environment:
The Maryland Water Quality Revolving Loan Fund (MWQRLF), which provides financial assistance to public entities and local governments for wastewater treatment plant upgrades, and other water quality and public health improvement projects, and to public or private entities for nonpoint source pollution prevention projects; the Water Supply Financial Assistance Program (WSFAP), which provides financial assistance to local government entities for the acquisition, construction, rehabilitation, and improvement of publicly-owned water supply facilities; the Supplemental Assistance Program (SAP), which provides grants to local governments for planning, design, and construction of needed wastewater facilities; and the Maryland Drinking Water Revolving Loan Fund (MDWRLF), which provides financial assistance to publicly and privately owned community water systems and nonprofit, non-community water systems for projects that address public health, public safety, environmental, or regulatory issues. Additionally, certain sewer funded projects using the Bay Restoration Fund (BRF) may require compliance with the PFA Law and local government should discuss the applicability of the PFA Law on a BRF project with a representative of MDE.
Department of Transportation:
For Transportation, growth-related projects include all major capital projects defined as “any new, expanded, or significantly improved facility or service that involves planning, environmental studies, design, right-of-way, construction, or purchase of essential equipment related to the facility or service.” Transportation lists such projects in its Consolidated Transportation Program (CTP) as major projects and details the PFA status of each project as part of the annual report. The modal administrations of Transportation for which major capital projects are subject to PFA restrictions include: the State Highway Administration (Highways); the Maryland Transit Administration (Transit); the Maryland Aviation Administration (Aviation; the Maryland Port Administration (Port Administration); the Motor Vehicle Administration (Motor Vehicles); the Secretary’s Office.
Maryland Historical Trust:
MHT, a division of Planning, gives preference to commercial applicants for the Historic Revitalization Tax Credit (HRTC) to projects that are located within PFAs. The program provides Maryland income tax credits equal to 20% of the qualified capital costs expended in the rehabilitation of a “certified heritage structure.” Projects involving “certified historic structures” that are high-performance commercial buildings or have been approved to receive Low Income Housing Tax Credits may be eligible to receive a 25% credit. Projects in a Qualified Opportunity Zone may earn an additional 5% credit (Level 1) or 7.5% credit (Level 2).