MD. Economic Development Code Ann. §  10-640 (2021)
2021 Maryland Statutes|Economic Development|Division II - Independent and Regional Development Units and Resources|Title 10 - Statewide Development Resources and Revenue Authorities|Subtitle 6 - Maryland Stadium Authority|Part V - Restrictions on Bonds and Borrowing|Section 10-640 - Baltimore Convention Facility

    (a)    Except as allowed by § 10-639 of this subtitle, to finance site acquisition and construction, the Authority shall comply with this section.    (b)    The Authority shall provide to the fiscal committees of the General Assembly, at least 45 days before seeking approval of the Board of Public Works for each bond issue or other borrowing, a comprehensive financing plan for the relevant segment of the facility, including the effect of the financing plan on financing options for other segments of the facility.    (c)    The Authority shall obtain the approval of the Board of Public Works of the proposed bond issue and the financing plan.    (d)    The Authority shall secure a lease or other written agreement with Baltimore City, as approved by the Board of Public Works, under which:        (1)    Baltimore City agrees to pay $50,000,000 for the capital costs of the expansion of the Baltimore Convention Center not later than the date of the Authority’s bond issuance as authorized under § 10-628 of this subtitle;        (2)    Baltimore City and the Authority each own a 50% leasehold interest as tenants in common in the improvements comprising the existing Baltimore Convention Center and the Baltimore Convention Center expansion for the duration of any bonds issued as authorized under § 10-628 of this subtitle; and        (3)    Baltimore City and the Authority agree not to sell, assign, mortgage, pledge, or encumber the Baltimore Convention facility, or any leasehold interest in the facility, without the prior consent of the other, except for liens in favor of their respective bondholders.    (e)    The Authority shall secure a deed, lease, or written agreement with Baltimore City, as approved by the Board of Public Works, authorizing the Authority to:        (1)    design and construct, or contract for the design and construction of, the Baltimore Convention facility; and        (2)    pledge the Baltimore Convention facility and the Baltimore Convention site or the leasehold interest in the facility as security for the Authority’s bonds.    (f)    The Authority shall secure a written agreement with Baltimore City, as approved by the Board of Public Works:        (1)    in which Baltimore City agrees to:            (i)    operate the Baltimore Convention facility in a manner that maximizes the facility’s economic return; and            (ii)    maintain and repair the facility so as to keep it in first class operating condition; and        (2)    that includes provisions that:            (i)    protect the respective investment of the Authority, the State, and Baltimore City in the Baltimore Convention facility;            (ii)    require:                1.    for the period beginning on the completion of the expanded and renovated Baltimore Convention facility and ending on December 31, 2029:                A.    the Authority to contribute two–thirds and Baltimore City to contribute one–third to annual operating deficits; and                B.    the Authority and Baltimore City each to contribute $200,000 each year to a capital improvement reserve fund; and                2.    Baltimore City to be solely responsible for all operating deficits and capital improvements:                A.    before the completion of the expanded and renovated Baltimore Convention facility; and                B.    after December 31, 2029; and            (iii)    provide for remedies on default, including the right of the Authority or the State, if a material default by Baltimore City is not corrected after a reasonable notice and cure period, to:                1.    immediately assume responsibility for maintenance and repairs of the Baltimore Convention facility; and                2.    offset the costs of the maintenance and repairs against other amounts owed by the Authority or the State to Baltimore City, whether under the operating agreement with Baltimore City or otherwise.