Baltimore City Council
File #: 23-0363    Version: 0 Name: Land Bank Authority
Type: Ordinance Status: In Committee
File created: 3/13/2023 In control: Ways and Means
On agenda: Final action:
Enactment #:
Title: Land Bank Authority For the purpose of providing certain unamended authorizing language for context of this Ordinance; establishing the Land Bank Authority of Baltimore City; providing for the Authority’s powers, duties, and limitations; providing for a Board of Directors, for the selection and terms of the Board’s members, and for the powers and duties of the Board; providing certain immunities; providing for certain tax exemptions; and generally relating to the establishment and operation of a Land Bank Authority, as authorized by the City Charter.
Sponsors: Odette Ramos, James Torrence, Phylicia Porter, John T. Bullock, Ryan Dorsey, Kristerfer Burnett, Zeke Cohen
Indexes: Land Bank Authority
Attachments: 1. ETHICS 23-0363, 2. 23-0363(2)~1st Reader

Explanation: Capitals indicate matter added to existing law.

[Brackets] indicate matter deleted from existing law.

 

                     * Warning: This is an unofficial, introductory copy of the bill.

                     The official copy considered by the City Council is the first reader copy.

                     Introductory*

 

                     City of Baltimore

                     Council Bill          

                                                                                                                                                           

Introduced by: Councilmembers Ramos and Torrence

                                                                                                                                                           

                     

                     A Bill Entitled

 

An Ordinance concerning

title

Land Bank Authority

For the purpose of providing certain unamended authorizing language for context of this Ordinance; establishing the Land Bank Authority of Baltimore City; providing for the Authority’s powers, duties, and limitations; providing for a Board of Directors, for the selection and terms of the Board’s members, and for the powers and duties of the Board; providing certain immunities; providing for certain tax exemptions; and generally relating to the establishment and operation of a Land Bank Authority, as authorized by the City Charter.

body

 

By authority of

Article - Local Government

Sections 1-1401 to 1-1431

Annotated Code of Maryland

(2013 Volume and 2022 Supplement)

 

By authority of

Article II - General Powers                     

Section (65)

Baltimore City Charter

(1996 Edition)

 

By adding

Article 5 - Finance, Property, and Procurement

Sections 22-1 to 22-27, to be under the new subtitle,

   “Subtitle 22.  Land Bank Authority”

Baltimore City Code

(Edition 2000)

 

By repealing and re-ordaining, with amendments

Article 8 - Ethics

Sections 2-2, 2-3, and 7-8

Baltimore City Code

(Edition 2000)

 

Section 1.  Be it ordained by the Mayor and City Council of Baltimore, That the following is included herein without amendment and for context only:

 

 

Baltimore City Charter

 

Article II. General Powers

 

§ (65)  Land Bank Authority.

 

(a)  Definitions.

 

(1)                     In general.

 

In this section the following words have the meanings indicated.

 

(2)  Authority

 

Authority means a nonprofit or quasi-governmental entity created by Baltimore City under subsection (c) of this section.

 

(3)                      Board.

 

Board means the Board of Directors of the Authority.

 

(4)                     Bond.

 

(i)                     Bond means a bond issued by the Authority under this subtitle.

 

(ii)                     Bond includes a bond, a refunding bond, a note, and any other obligation.

 

(5)                      Cost.

 

Cost includes:

 

(i)                     the purchase price of property;

 

(ii)                     the cost to acquire any right, title, or interest in property;

 

(iii) the cost of any improvements made to property;

 

(iv) the amount to be paid to discharge each obligation necessary or desirable to vest title to any part of property in the Authority or other owner;

 

(v)                     the cost of any property, right, easement, franchise, and permit associated with a project;

 

(vi) the cost of labor, machinery, and equipment necessary to implement a project;

 

(vii) financing charges;

 

(viii) interest and reserves for principal and interest and for improvements;

 

(ix) the cost of revenue and cost estimates, engineering and legal services, plans, specifications, studies, surveys, and other expenses necessary or incident to determining the feasibility or practicability of a project;

 

(x)                     administrative expenses; and

 

(xi) other expenses as necessary or incident to:

 

1.                     financing a project;

 

2.                     acquiring and improving a project;

 

3.                     placing a project in operation, including reasonable provision for working capital; and

 

4.                     operating and maintaining a project.

 

(6)                      Finance.

 

Finance includes refinance.

 

(7)                      Project.

 

(i)                     Project means any organized plan carried out by the Authority in relation to:

 

1.                     acquiring and rehabilitating abandoned and dilapidated properties; and

 

2.                     marketing and leasing or selling the rehabilitated properties.

 

(ii)                     Project includes:

 

1.                     acquiring land or an interest in land;

 

2.                     acquiring structures, equipment, and furnishings located on a property;

 

3.                     acquiring property that is functionally related and subordinate to a project; and

 

4.                     obtaining or contracting for any services necessary for the rehabilitation of a property.

 

(8)                      Revenues.

 

(i)                     Revenues means the income, revenue, and other money the Authority receives from or in connection with a project and all other income of the Authority.

 

(ii)                     Revenues includes grants, rentals, rates, fees, and charges.

(9)                      Tax sale property.

 

Tax sale property means property or an interest in property sold by the tax collector of Baltimore City in accordance with Title 14, Subtitle 8, Part III of the Tax - Property Article of the Annotated Code of Maryland.

 

(10)  Trust agreement.

 

(i) Trust agreement means an agreement entered into by the Authority to secure a

bond.

 

(ii)                     Trust agreement may include a bond contract, bond resolution, or other contract with or for the benefit of a bondholder.

 

(b)  Construction of section.

 

(1) This section shall be liberally construed to accomplish its purposes.

 

(2)                     The powers granted to the Authority under this section shall be construed as supplemental and in addition to powers granted to the Authority under any State or local law.

 

(3)                     This section does not authorize the Authority to:

 

(i)                     exercise the power of eminent domain; or

 

(ii)                     levy any tax or special assessment.

 

(c)  Establishment of Authority.

 

(1)                     By ordinance, Baltimore City may establish a land bank authority in accordance with this section.

 

(2)                     An ordinance adopted under paragraph (1) of this subsection shall include proposed articles of incorporation of the Authority that state:

 

(i)                     the name of the Authority, which shall be Land Bank Authority of Baltimore City;

 

(ii)                     that the Authority is formed under this section;

 

(iii) the names, addresses, and terms of office of the initial members of the Board of Directors of the Authority;

 

(iv) the address of the principal office of the Authority;

 

(v)                     the purposes for which the Authority is formed; and

 

(vi) the powers of the Authority subject to the limitations on the powers of the Authority under this section.

 

(3)                     (i)                     The Mayor of Baltimore City, or any official designated in the ordinance establishing the Authority, shall execute and file the articles of incorporation of the Authority for recordation with the State Department of Assessments and Taxation.

 

(ii)                     When the State Department of Assessments and Taxation accepts the articles of incorporation for recordation, the Authority becomes a body politic and corporate and an instrumentality of Baltimore City.

 

(iii) Acceptance of the articles of incorporation for recordation by the State Department of Assessments and Taxation is conclusive evidence of the formation of the Authority.

 

(4)                     (i)                     By ordinance, Baltimore City may adopt an amendment to the articles of incorporation of the Authority.

 

(ii)                     Articles of amendment may contain any provision that lawfully could be contained in articles of incorporation at the time of the amendment.

 

(iii) The articles of amendment shall be filed for recordation with the State Department of Assessments and Taxation.

 

(iv) The articles of amendment are effective as of the time the State Department of Assessments and Taxation accepts the articles for recordation.

 

(v)                     Acceptance of the articles of amendment for recordation by the State Department of Assessments and Taxation is conclusive evidence that the articles have been lawfully and properly adopted.

 

(5)                     (i)                     Subject to the provisions of this subsection and any limitations imposed by law on the impairment of contracts, Baltimore City, in its sole discretion, by ordinance may:

 

1.                     set or change the structure, organization, procedures, programs, or activities of the Authority; or

 

2.                     terminate the Authority.

 

(ii)                     On termination of the Authority:

 

1.                     title to all property of the Authority shall be transferred to and shall vest in Baltimore City; and

 

2.                     all obligations of the Authority shall be transferred to and assumed by Baltimore City.

 

(d)  Establishment of Board of Directors.

 

An ordinance that creates a Land Bank Authority shall establish a Board of Directors to govern the Authority and shall include provisions for:

 

(1)                     appointment procedures;

 

(2)                     term lengths;

 

(3)                     removal procedures;

 

(4)                     election of a chair; and

 

(5)                     powers of the Board.

 

(e)  Authoritys powers - General.

 

(1)                     Except as limited by the Authoritys articles of incorporation, the Authority has all the powers set forth in this section.

 

(2)                     The Authority may:

 

(i) adopt bylaws for the conduct of business of the Authority;

 

(ii) sue and be sued;

 

(iii) maintain an office at a place the Authority designates;

 

(iv) borrow money;

 

(v)                     issue bonds and other obligations for any corporate purpose in accordance with this section or an ordinance adopted under this section;

 

(vi) invest money of the Authority in instruments, obligations, securities, or property;

 

(vii) enter into contracts and execute the instruments or agreements necessary or convenient to carry out this section or an ordinance adopted under this section to accomplish their purposes;

 

(viii) solicit and accept gifts, grants, loans, or other assistance in any form from any public or private source, subject to the provisions of this section or any ordinance adopted under this section;

 

(ix) participate in any way in a program of the federal government, the State, a political subdivision of the State, or an intergovernmental entity created under the laws of the State;

 

(x) contract for goods and services;

 

(xi) study, develop, and prepare reports or plans to assist in the Authoritys exercise of powers and to monitor and evaluate the Authoritys progress;

 

    (xii)                     contract with public or private entities for the provision of services necessary for the management and operation of the Authority;

 

   (xiii)                     provide acquisition, management, and sale services to Baltimore City for City-owned property;

 

   (xiv)                     create, own, control, or be a member of a corporation, limited liability company, partnership, or other person, whether operated for profit or not for profit, for the purposes of developing property in order to maximize marketability;

 

    (xv)                     exercise a power usually possessed by a private corporation in performing similar functions unless to do so would conflict with State law; and

 

   (xvi)                     do all things necessary or convenient to carry out the powers expressly granted by this section or by an ordinance adopted under this section.

 

(3)                     The Authority may delegate to a member or officer a power granted to the Authority by this section, including the power to execute a bond, obligation, certificate, deed, lease, mortgage agreement, or other document or instrument.

 

(f)  Authoritys powers - Acquisition, etc., of real property.

 

(1)                     The Authority may:

 

(i)                     acquire, directly or through a person or governmental entity, by gift, devise, transfer, exchange, foreclosure, purchase, or otherwise on terms and conditions and in a manner the Authority considers proper, real property or rights or interests in real property;

 

(ii)                     own in the Authoritys name property acquired by or conveyed to the Authority by the State, a local government, an intergovernmental agency created under the laws of this State, or any other public or private person, including tax foreclosed property and property without clear title;

 

(iii) sell, lease as lessor, transfer, and dispose of the Authoritys property or interest in property;

 

(iv) procure insurance against loss in connection with the property, assets, or activities of the Authority; and

 

(v)                     execute deeds, mortgages, contracts, leases, purchases, or other agreements regarding the property of the Authority.

 

(2)                     Property purchased, owned, or sold under this subsection may not be located outside of Baltimore City.

 

(g)  Staff and consultants.

 

The Authority may employ staff and retain consultants as employees or agents that the Authority considers necessary and set their compensation.

 

(h)  Appointment as receiver.

 

The court may appoint the Authority to serve as a receiver in a receivership proceeding filed by Baltimore City.

 

(i)  Code of ethics; Policies and procedures; Open government.

 

(1)                     The Authority shall:

 

(i)                     adopt a code of ethics for the Authoritys directors, officers, and employees;

 

(ii)                     establish policies and procedures requiring the disclosure of relationships that may give rise to a conflict of interest, including requiring that any member of the Board with a direct or indirect interest in a matter before the Authority disclose the members interest to the Board before the Board takes any action on the matter; and

 

(iii) comply with the State Open Meetings Act under Title 10, Subtitle 5 and Subtitle 6, Part III of the State Government Article of the Annotated Code of Maryland {i.e., the State Open Meetings Act, Title 3 of the State General Provisions Article, and the State Public Information Act, Title 4 of the State General Provisions Article}.

 

(2)                     Except as otherwise provided in this section or the ordinance establishing an Authority, the procedures of Baltimore City control any matter relating to the internal administration of the Authority.

 

(j)  Powers at tax sale; Immunities.

 

(1)                     The Authority may exercise the powers granted to Baltimore City under §§ 14-825 through 14-831 of the Tax - Property Article of the Annotated Code of Maryland.

 

(2)                     The Authority may have the same immunities as Baltimore City.

 

(k) Property rights.

 

(1)                     With respect to property held or owned by the Authority, the Authority may:

 

(i)                     grant or acquire a license, easement, or option;

 

(ii)                     fix, charge, and collect rents, fees, and charges for use of the property;

 

(iii) pay taxes or special assessments due;

 

(iv) take any action, provide any notice, or institute any proceeding required to clear or quiet title in order to establish ownership by and vest title to property in the Authority;

 

(v) abate violations of the local and State building, fire, health, and related codes;

and

 

(vi) hold, manage, maintain, operate, repair, lease as lessor, secure, prevent the waste or deterioration of, demolish, and take all other actions necessary to preserve the value of the property it holds or owns.

 

(2)                     The Authority shall be made a party to, and shall defend any action or proceeding concerning, claims against property held by the Authority.

 

(l)  Property inventory, classification; Recording fee exemption.

 

(1)                     Property held by the Authority shall be inventoried and classified according to title status and suitability for use.

 

(2)                     A register of deeds in Baltimore City may not charge a fee to record a document evidencing the transfer under this section of property to the Authority by the State or Baltimore City.

 

(m)  Tax delinquent properties.

 

(1)                     Following an unsuccessful attempt on the part of Baltimore City to collect outstanding liens at tax sale and subject to the approval of the tax collecting unit of Baltimore City, the Authority may accept from a person with an interest in a parcel of tax delinquent property or tax sale property a deed or assignment conveying that persons interest in the property instead of:

 

(i)                     the foreclosure or sale of the property for delinquent taxes, penalties, and interest, as defined by § 14-80l(c) of the Tax - Property Article of the Annotated Code of Maryland; or

 

(ii) delinquent specific taxes levied by a local taxing jurisdiction.

 

(2)                     Except as otherwise provided by law, conveyance of property by deed instead of foreclosure under this section may not affect or impair any other lien against the property or any existing recorded or unrecorded interest in the property, including:

 

(i)                     future installments of special assessments;

 

(ii) liens recorded by the State;

 

(iii) easements or rights-of-way;

 

(iv) private deed restrictions;

 

(v) security interests and mortgages; or

 

(vi) tax liens of other taxing jurisdictions that do not consent to a release of their                                                                                                          liens.

 

(3)                     A tax lien against property held by or under the control of the Authority may be released or abated at any time by one or more of the following:

 

(i)                     Baltimore City with respect to a lien held by Baltimore City;

 

(ii)                     the governing body of any taxing jurisdiction other than the State, county, or municipal corporation with respect to a lien held by the taxing jurisdiction;

 

(iii) a public water or sewer authority with respect to a tax lien or right to collect a tax held by the public water or sewer authority; or

 

(iv) the State Comptroller with respect to a State tax lien.

 

(n)  Money from property redemption or sale.

 

(1)                     Money received by the Authority as payment of taxes, penalties, or interest, or from the redemption or sale of property subject to a tax lien of any taxing unit shall be returned to the local tax collecting unit in the jurisdiction where the property is located for distribution on a pro rata basis to the appropriate taxing units in an amount equal to delinquent taxes, penalties, and interest owed on the property.

 

(2)                     Proceeds received by the Authority may be retained by the Authority for the purposes of this section, unless otherwise designated by:

 

(i)  this section;

 

(ii) the provisions of a deed;

 

(iii) any other law; or

 

(iv) an agreement of the Authority.

 

(o)  Exemption from taxes or assessments.

 

(1)                     Except as provided in paragraph (2) of this subsection, the Authority is exempt from any requirement to pay State or local taxes or assessments on the Authoritys properties, activities, or any revenue from the properties or activities.

 

(2)                     Property that the Authority sells or leases to a private entity is subject to State and local property taxes from the time of the sale or lease.

 

(3)                     The principal of and interest on bonds, the transfer of bonds, and any income derived from the bonds, including profits made on their sale or transfer, are forever exempt from all State and local taxes.

 

(p)  Civil actions.

 

(1)                     The Authority may bring a civil action to prevent, restrain, or enjoin the waste of or unlawful removal of any property from real property held by the Authority.

 

(2)  (i)                     The Authority shall be made a party to any action or proceeding instituted for the purpose of setting aside title to property held by the Authority or for the sale of property by the Authority.

 

(ii)                     A hearing in any such proceeding may not be held until the Authority is served in accordance with the Maryland Rules.

 

(q)  Public and governmental function and purpose.

 

(1)                     Property of the Authority is public property devoted to an essential public and governmental function and purpose.

 

(2)                     Income of the Authority is considered to be for a public and governmental purpose.

 

(r)  Local laws.

 

The Authority is subject to any local:

 

(1)                     zoning laws;

 

(2)                     permitting processes for construction, demolition, or repair of a property; and

 

(3) land use controls.

 

(s)  Annual reports.

 

The Authority shall report annually to the Mayor and City Council of Baltimore City and, in accordance with § 2-1246 of the State Government Article of the Annotated Code of Maryland, the General Assembly on the activities of the Authority.

 

(t)  Power to issue bonds.

 

(1)  (i)                     The Authority may periodically:

 

1.                     issue bonds to pay all or part of the cost of acquiring or improving property;

 

2.                     fund or refund those bonds;

 

3.                     purchase bonds with any funds available; and

 

4.                     hold, pledge, cancel, or resell bonds.

 

(ii)                     By resolution, the Authority may authorize the chair, one of the Authoritys members, or a committee of the members to determine or provide for any matters relating to bonds that the Authority considers appropriate, including:

 

1.                     specifying, determining, prescribing, and approving matters, documents, and procedures that relate to the authorization, sale, security, issuance, delivery, and payment of and for the bonds;

 

2.                     creating security for the bonds;

 

3.                     providing for the administration of bond issues; and

 

4.                     taking other actions it considers appropriate concerning the bonds.

 

     (iii)                     The power granted in subparagraph (ii) of this paragraph is in addition to power conferred on the Authority by this section and does not limit any power of the Authority under this section.

 

(iv) 1.                     Subject to subsubparagraph 2 of this subparagraph, the Authority may authorize the Executive Director to take any of the actions described in subparagraph (ii) of this paragraph.

 

2.                     If the Authority authorizes the Executive Director to take any of the actions described in subparagraph (ii) of this paragraph, the Authority shall prescribe limits within which the Executive Director may exercise discretion.

 

(2)                     The Authority may issue the bonds at one time or in one or more series from time to time.

 

(3)                     For each issue of the Authoritys bonds, the Authority shall pass a resolution that:

 

(i)                     specifies and describes the project for which the proceeds of the bond issuance are intended;

 

(ii)                     generally describes the public purpose and the financing transaction to be accomplished;

 

(iii) specifies the maximum principal amount of the bonds that may be issued by the Authority; and

 

(iv) imposes any terms or conditions on the issuance and sale of the bonds that the Authority considers appropriate.

 

(4)                     Subject to any provisions for their registration, bonds are negotiable instruments for all purposes regardless of whether they are payable from a special fund.

 

(5)  (i)                     The bonds may be:

 

1.                     serial bonds;

 

2.                     term bonds; or

 

3.                     both in the discretion of the Authority.

 

(ii)                     Subject to any delegation under paragraph (l)(ii) of this subsection, the resolution authorizing bonds may provide:

 

1.                     the dates of the bonds;

 

2.                     the maturity dates of the bonds;

 

3.                     the interest rates on the bonds;

 

4.                     the time at which the bonds will be payable;

 

5.                     the denominations of the bonds;

 

6.                     whether the bonds will be in coupon or registered form;

 

7.                     any registration privileges of the bonds;

 

8.                     the manner of execution of the bonds;

 

9.                     the place at which the bonds will be payable; and

 

10. any terms of redemption of the bonds.

 

     (iii)                     The bonds shall mature within a period not to exceed 50 years after the date of

issue.

 

(iv) The bonds shall be payable in United States currency.

 

(6)  (i)                     The Authority shall sell the bonds at competitive or negotiated sale in a manner and for a price the Authority determines to be in the Authoritys best interests.

 

(ii)                     Bonds are exempt from §§ 8-206 and 8-208 of the State Finance and Procurement Article of the Annotated Code of Maryland.

 

(7)                     An officers signature or facsimile on a bond remains valid even if the officer leaves office before the bond is delivered.

 

(8)                     Pending preparation of the definitive bonds, the Authority may issue interim receipts or certificates that will be exchanged for definitive bonds.

 

(9)  (i)                     A trust agreement authorizing bonds may contain provisions that are part of the contract with the bondholders.

 

(ii)                     The provisions may include:

 

1.                     pledging the following to secure payment of bonds, subject to any existing agreements with bondholders:

 

A.                     the full faith and credit of the Authority;

 

B.                     revenues of a project;

 

C.                     a revenue-producing contract the Authority has made with a person or public entity; or

 

D.                     the proceeds of the sale of bonds;

 

2.                     the rates, rentals, fees, and other charges, the amounts to be raised in each year, and the use and disposition of the revenues;

 

3.                     the setting aside of reserves and sinking funds and their disposition;

 

4.                     limits on the right of the Authority or the Authoritys agents to restrict and regulate the use of a project;

 

5.                     limits on the purpose to which the proceeds of sale of bonds may be applied;

 

6.                     limits on issuing additional bonds and refunding bonds and the terms under which additional bonds may be issued and secured;

 

7.                     the procedure to amend or abrogate the terms of a contract with bondholders and the requirements for consent;

 

8.                     limits on the amount of project revenues to be expended for operating, administrative, or other expenses of the Authority;

 

9.                     the acts or omissions that constitute default by the Authority and the rights and remedies of the bondholders in the event of a default;

 

10. the conveyance or mortgaging of a project and its site to secure the bondholders; and

 

11. the creation and disposition of a collateral fund for the purpose of securing the bondholders.

   

    (10)                     The members of the Authority and a person executing the bonds may not be held

liable personally on the bonds.

 

(u)  Trust agreements.

 

(1)                     The corporate trustee under a trust agreement may be a trust company or a bank that has the powers of a trust company in or outside the State.

 

(2)                     An expense incurred in carrying out the trust agreement or a resolution may be treated as part of the cost of the operation of a project.

 

(v)  Authoritys bond determinations conclusive.

 

Notwithstanding any other provision of this section, in a proceeding involving the validity or enforceability of a bond or the security for a bond, the determination of the Authority under this section is conclusive and binding.

 

(w)  Bonds as securities.

 

Bonds are securities:

 

(1)                     in which any of the following persons may legally and properly invest moniey, including capital that the person owns or controls:

 

(i)                     an officer or unit of the State or a political subdivision;

 

(ii)                     a bank, trust company, savings and loan association, investment company, or other person conducting a banking business;

 

(iii) an insurance company, insurance association, or other person conducting an insurance business;

 

(iv) a personal representative, guardian, trustee, or other fiduciary; and

 

(v) any other person; and

 

(2)                     that may be deposited with and received by a unit of the State or a political subdivision of the State for any purpose for which the deposit of bonds or obligations of the State is authorized by law.

 

(x)  Bonds not debt or liability of State.

 

(1)                     A bond is not:

 

(i)                     a debt or liability of the State or a political subdivision of the State; or

 

(ii)                     a pledge of the faith and credit of the State or a political subdivision of the State.

 

(2)                     Each bond shall state on the face of the bond that neither the State nor a political subdivision of the State is obliged to pay the principal of or interest on the bond except from revenues pledged to the payment of the bond.

 

(3)                     The issuance of bonds does not directly, indirectly, or contingently obligate the State or its political subdivisions:

 

(i)                     to levy or pledge a tax to pay the bonds; or

 

(ii) to make an appropriation to pay the bonds.

 

(4)                     Nothing in this section prohibits the Authority from pledging its full faith and credit in connection with the issuance of bonds.

 

(y)  Authoritys powers related to projects.

 

(1)                     The Authority may:

 

(i)                     fix and collect rates, rents, fees, and charges related to a project and for the services related to a project; and

 

(ii)                     contract with any person or governmental entity to exercise its authority under this subsection.

 

(2)                     The rates, rents, fees, and charges established by the Authority under this subsection shall be fixed and adjusted so that the aggregate amount of the rates, rents, fees, and charges from the project, when added to other available money, is sufficient to:

 

(i)                     pay for the expenses of the project;

 

(ii)                     pay the principal of and the interest on the bonds that the Authority issued for the project as they become due and payable; and

 

(iii) create and maintain reserves required or provided for in a trust agreement.

 

(3)                     The rates, rents, fees, and charges established by the Authority under this subsection are not subject to supervision or regulation by any unit of the State other than the Authority.

 

(z)  Pledge of revenues.

 

(1)  (i)                     Any pledge of revenues and other money under subsection (t)(9) of this section is valid and binding from the time the pledge is made.

 

(ii) 1.                     The revenue or money that the Authority pledges and receives is subject immediately to the lien of the pledge.

 

2.                     Neither physical delivery of the revenue or money nor any other act is required to validate the lien.

 

(iii) The lien of the pledge is valid and binding against each party with a claim against the Authority in tort, contract, or otherwise, regardless of whether the party has notice of the lien.

 

(2)                     The trust agreement and any other agreement or lease creating a pledge under this section need not be filed or recorded, except in the records of the Authority.

 

(aa)  Revenues are trust funds.

 

(1)                     Proceeds from the sale of bonds and other revenues received under this section are trust funds to be held and applied solely as provided in this section.

 

(2)  (i)                     Each officer, bank, or trust company that receives trust money from the Authority under this section shall act as trustee of the money and shall hold and apply the money for the purposes specified under this section.

 

(ii)                     The officer, bank, or trust company holding money is subject to:

 

1.                     any regulation adopted under this section; and

 

2.                     the resolution authorizing the issuance of bonds or the trust agreement.

 

(bb)  Refunding bonds.

 

(1)  (i)                     The Authority may issue bonds to refund outstanding bonds of the Authority, including paying:

 

1.                     any redemption premium;

 

2.                     interest accrued or to accrue to the date of redemption, purchase, or maturity of the bonds; and

 

3.                     if considered advisable by the Authority, any part of the cost of acquiring or improving property as part of a project.

 

(ii)                     Refunding bonds may be issued for any corporate purpose, including:

 

1.                     realizing savings in the effective costs of debt service, directly or through a debt restructuring; or

 

2.                     alleviating a potential or actual default.

 

(2)                     A refunding bond that the Authority issues under this subsection shall be issued in the same manner and is subject to this section to the same extent as any other bond.

 

(3)                     The Authority may issue refunding bonds in one or more series in an amount greater than the amount of the bonds to be refunded.

(cc)  Bond anticipation notes.

 

(1)                     The Authority may issue negotiable bond anticipation notes in anticipation of the sale of bonds for any corporate purpose.

 

(2)                     Bond anticipation notes issued under this subsection shall be issued in the same manner as bonds.

 

(3)                     Bond anticipation notes issued under this subsection and the resolution authorizing them may contain any provisions, conditions, or limitations that may be included in a trust agreement.

 

(4)                     The Authority may issue bond anticipation notes to pay any other bond anticipation notes.

 

(5)                     Bond anticipation notes shall be paid from:

 

(i)                     revenues of the Authority;

 

(ii)                     money available and not otherwise pledged; or

 

     (iii)                     the proceeds of the sale of the bonds in anticipation of which the notes were

issued.

 

(dd)  Conveyance of title.

 

(1)                     The Authority shall convey title to property relating to a project and release collateral in accordance with this subsection when the following conditions are met:

 

(i)                     1.                     the principal of and interest on bonds issued to finance the project, including any refunding bonds, have been fully paid and retired; or

 

2.                     adequate provision has been made to fully pay and retire the bonds;

 

(ii) all other conditions of the trust agreement have been satisfied; and

 

(iii) the lien of the trust agreement has been released.

 

(2)                     On satisfaction of the conditions under paragraph (1) of this subsection, the Authority promptly shall execute any deeds, conveyances, releases, and documents and take any other action necessary to convey title to the property and release collateral free of all liens and encumbrances created through the Authority.

 

(ee)  Protection and enforcement of bondholders, etc., rights,

 

(1)                     A bondholder, a holder of any coupons attached to bonds, or a trustee under a trust agreement securing the bonds may sue to:

 

(i)                     protect and enforce rights under laws of the State or a trust agreement; and

 

(ii)                     enforce and compel the performance of duties by the Authority or its officer, employee, or agent that this section or a trust agreement requires, including fixing and collecting rates, rents, fees, and charges that the trust agreement requires to be fixed and collected.

 

(2)                     The rights under this subsection are subject to any trust agreement.

 

Section 2.  And be it further ordained, That the Laws of Baltimore City read as follows:

 

                     

Baltimore City Code

 

                     Article 5.  Finance, Property, and Procurement

 

                     Subtitle 22.  Land Bank Authority

 

                     Part I.  Definitions; General Provisions

 

§ 22-1.  Definitions.

 

(a)  In general.

 

In this subtitle, the following words have the meanings indicated.

 

(b)                     Abandoned property.

 

“Abandoned property” means:

 

(1)                     an unoccupied structure or vacant lot on which taxes are in arrears for at least 2 years;

 

(2)                     a building:

 

(i)                     that is unoccupied by owner or tenant;

 

(ii)                     that is unfit for habitation;

 

      (iii)                     that has deteriorated to the point where:

 

(A) the building is structurally unsound; or

 

(B) the cost of rehabilitation significantly exceeds the post

rehabilitation market value; and

 

      (iv)                     regarding which the owner has been issued a violation notice from the City requiring the owner to:

 

(A)  rehabilitate the building to conform to minimum

 habitability requirements under the City Building Code; or

 

(B) demolish the building for health and safety reasons; or

(3)                     a lot on which a building has been demolished.

 

(c)  Authority.