State Transfer Tax - Exemption for First-Time Home Buyers - Alterations
HB0790 expands notice requirements related to property tax installment payment options in Maryland. It directs the State Tax Sale Ombudsman to post information on the State’s homeowner installment payment program on its website, including a clear statement that taxpayers may be eligible to pay property taxes in monthly installments, a description of the program, and instructions for enrollment. The bill also requires tax collectors to include similar information with property tax bills and, if they maintain a website, to post the same information online in a conspicuous location.
The bill further amends tax sale notice provisions so that homeowners facing tax sale receive a separate insert explaining installment payment options for overdue property taxes, along with instructions for how to enroll in either the State program or any local installment program. It also preserves and cross-references existing local authority for counties and Baltimore City to create installment payment schedules or programs for current taxes and arrears. The bill does not create a new tax itself; instead, it changes how taxpayers are informed about existing payment-plan options and how those plans interact with tax collection and tax sale procedures.
The bill amends several provisions of the Tax-Property Article, chiefly §§ 2-112, 4-201.2, 14-812, and 14-817.1, to require more prominent notice of installment payment programs for both current and delinquent property taxes. It adds a new § 4-201.2 requiring a standardized insert with property tax bills and website postings by collectors, and it expands tax sale notices to include installment-payment information. The bill also reinforces the State Tax Sale Ombudsman’s role in administering the homeowner installment payment program and coordinating with collectors when a homeowner enrolls or falls out of compliance.
The available context shows no recorded committee testimony or votes, so there is no direct evidence of support or opposition in the provided materials. Based on the bill text, the measure appears consumer-protective and homeowner-focused, with an emphasis on preventing tax sale and foreclosure by improving notice and access to payment plans. The overall tone of the legislation is remedial and informational rather than punitive.
The main policy issue is whether the added notice requirements and expanded information obligations will meaningfully help homeowners avoid tax sale and delinquency, versus creating additional administrative duties for collectors and the Ombudsman. Another possible point of concern is the cost structure of the State installment payment program, which the bill says must be paid entirely through reasonable fees charged to enrolled homeowners. The bill also preserves local flexibility, which may raise questions about consistency across jurisdictions, especially where counties or Baltimore City operate their own installment programs.