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SB 1011

Provides that certain international organizations shall have no jurisdiction in this state and creates the "No Shari'a Act" regarding enforcement of certain foreign laws in this state

2026 Regular Session Introduced by Joe Nicola

The bill creates a Maryland grant fund to help low-income condo owners pay increased assessments for reserve funding, prioritizing those 65+, and requires annual reporting.

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Bill Summary · SB 1011

Summary — SB 1011 (Maryland)

Real Property — Insufficient Condominium Reserve Account Grant Fund — Establishment

Purpose

SB 1011 creates a new special, nonlapsing state fund — the Insufficient Condominium Reserve Account Grant Fund — to provide grants to low‑income condominium unit owners to help pay increased assessments needed when a condominium association must raise reserve funding to meet statutory reserve requirements.

Key provisions

  • Establishes the Insufficient Condominium Reserve Account Grant Fund as a special, nonlapsing fund held by the State Treasurer and administered by the Maryland Department of Housing and Community Development (DHCD).
  • Fund moneys may be used only to provide grants to low‑income unit owners to cover increased assessments necessary to meet required condominium reserve funding under § 11‑109.2 (reserve studies/reserve funding).
  • “Low‑income unit owner” = household income ≤ 80% of area median income (AMI).
  • Priority for grant awards must be given to low‑income unit owners age 65 or older.
  • DHCD (the Secretary) must: administer the fund, establish application and award procedures, publicize the program, and by December 31 each year collect reports from grant recipients on the condominium reserve account balance (form to be determined by DHCD).
  • Interest earnings on the fund must be credited to the fund.
  • The bill states that fund expenditures are supplemental and not intended to replace other appropriations available to unit owners.
  • The bill amends State Finance and Procurement law to list the new fund among accounts entitled to retain interest earnings (i.e., not swept to the General Fund).

Administration & limitations

  • DHCD administers grants and outreach. The fiscal analysis notes the bill does not authorize the special fund to pay DHCD administrative costs; therefore, separate general fund appropriations are assumed for staffing and start‑up.
  • Grantees must report annually (by Dec. 31) on reserve account balances as required by DHCD.

Fiscal impact (as estimated)

  • The Department of Legislative Services estimates general fund expenditures of about $500,000 annually in FY 2026–FY 2028 to capitalize a modest grant program (special fund revenues/expenditures increase correspondingly).
  • Additional general fund administrative costs estimated at $182,373 in FY 2026 to hire 1 program manager, 1 part‑time financial analyst, and 1 part‑time IT specialist (one‑time start‑up and ongoing personnel costs thereafter). Ongoing capitalization needs beyond FY 2028 are possible depending on demand and appropriations.

Who is affected

  • Primary beneficiaries: low‑income condominium unit owners in Maryland (≤ 80% AMI), with seniors (65+) prioritized.
  • Condominium associations: may make reserve funding changes and levy assessments in accordance with existing reserve‑study law; some unit owners may receive grants to offset assessment increases.
  • DHCD: new program administration responsibilities and reporting.

Context / background

Maryland law already requires condominiums, cooperative housing corporations, and HOAs to conduct reserve studies and to fund reserves per the most recent reserve study; governing bodies can increase assessments to meet required reserve funding. This bill targets assistance to low‑income owners who are financially strained by such assessment increases.

Timeline & status

  • Introduced/first read: January 30, 2025 (Sen. Attar is listed as sponsor in the bill text).
  • Effective date in bill: October 1, 2025.
  • Committee/hearing: Hearing scheduled 3/11 at 1:00 p.m. (Judicial Proceedings). Companion bills: HB 1029 and HB 1411.

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

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