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SB 184

Charitable Organizations - Late Fees and Registration - Suspension and Cancellation Requirements

2025 Regular Session

SB 184 lets Maryland SOS suspend or waive late filing fees for charitable groups, prevents these fees from being treated as debt, and sets cancellation/reinstatement rules.

Approved by the Governor - Chapter 80
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Bill Summary · SB 184

Summary — SB 184: Charitable Organizations — Late Fees and Registration — Suspension and Cancellation Requirements (Chapter 80, 2025)

Status: Approved by the Governor (Chapter 80). Effective date: July 1, 2025. Introduced: January 8–23, 2025.

Main purpose

SB 184 clarifies and expands the Secretary of State’s authority over late fees and registration status for charitable organizations. The bill (1) authorizes the Secretary to suspend or waive late filing fees in specified circumstances, (2) prohibits treating those late fees as debts that must be sent to the State’s Central Collection Unit, and (3) establishes a process for cancelling and reinstating charitable registrations when organizations fail to file required reports.

Key provisions and statutory details

  • Annual fees (unchanged tiers retained in statute): assessed for organizations collecting ≥ $25,000/year. Fee tiers remain:
    • $50 ($25k–$50k), $75 ($50k–$75k), $100 ($75k–$100k), $200 ($100k–$500k), $300 (≥ $500,001).
  • Late filing penalty: organizations that fail to file the annual report within the 6‑month filing window (or any authorized extension) pay $25 per month (or part of a month). The late fee is assessed 60 days after the filing window ends.
  • Suspension/waiver authority: The Secretary of State MAY suspend or waive assessed late fees (the bill requires regulations to govern that authority).
  • Collection protection: A late fee assessed under the statute MAY NOT be treated as a delinquent account or debt that must be referred to the Central Collection Unit under State Finance law.
  • Cancellation of registration: SOS may cancel an organization’s registration if either:
    • The organization fails to submit the statement of intent and final annual report required to terminate solicitations within 3 years after they were due, or
    • The organization fails to file any required annual report or updates for a continuous 3‑year period.
    • SOS must send a notice of cancellation to the organization’s last known postal and email addresses before cancelling.
  • Reinstatement: An organization may request reinstatement by submitting outstanding reports/supporting materials and fees, remitting unpaid late fees (or showing fees were suspended/waived), demonstrating good standing with the State Department of Assessments and Taxation (if applicable), showing current federal tax‑exempt status (if applicable), and supplying any other requested information.
  • Revenue allocation: Late fees (and a portion of annual fees already in statute) continue to be deposited to the Charitable Enforcement Fund to support enforcement activity.

Who is affected

  • Maryland charitable organizations required to register and file annual reports with the Secretary of State (those soliciting public contributions and meeting statutory thresholds).
  • Secretary of State’s office: new explicit regulatory authority and administrative responsibilities (rulemaking for fee suspension/waiver; notice and cancellation/reinstatement procedures).
  • Attorney General/SOS enforcement activity funded by the Charitable Enforcement Fund remains supported by fee revenue.

Fiscal and procedural notes

  • Effective July 1, 2025. Governor approved April 8, 2025 (Chapter 80).
  • The Office of Secretary of State indicated the change formalizes existing practices and is not expected to materially affect State finances; fiscal impact is minimal.
  • The bill requires SOS to adopt regulations governing suspension/waiver of late fees and prescribes procedural safeguards (notice before cancellation; criteria for reinstatement).

If you want, I can prepare a one-page checklist for charitable organizations describing how this law changes compliance steps (filing deadlines, what to do to avoid cancellation, and how to request a waiver).

Compiled from official sources — confirm details with the bill’s official record.

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