(a) Except as allowed by § 10–639 of this subtitle, to finance the planning, design, and construction of any segment of a racing facility, the Authority shall comply with this section.
(b) At least 45 days before seeking approval of the Board of Public Works for each bond issue or other borrowing, the Authority shall provide, in accordance with § 2–1257 of the State Government Article, to the fiscal committees of the General Assembly a comprehensive financing plan for the relevant racing facility that includes:
(1) the aggregate amount of funds needed for the racing facility to be financed with the proposed bonds;
(2) a description of the racing facility to be constructed or renovated;
(3) the anticipated total debt service for the proposed bond issue;
(4) the anticipated total debt service when combined with the debt service for all prior outstanding bond issues for racing facilities;
(5) anticipated project costs of at least $250,000,000 for the Pimlico racing facility and $110,000,000 for the training facility site; and
(6) a joint plan between the Maryland Thoroughbred Racetrack Operating Authority and the Department of Housing and Community Development that includes the following investments in and around the Pimlico racing facility site:
(i) racetrack workforce housing;
(ii) community commercial revitalization;
(iii) community safety;
(iv) community workforce development and job training;
(v) affordable housing;
(vi) homeownership and home preservation;
(vii) redevelopment of vacant and blighted housing; and
(viii) community beautification.
(c) (1) A bond issued to finance planning, design, and construction or renovations of or improvements to a racing facility:
(i) is a limited obligation of the Authority payable solely from money pledged by the Authority to the payment of the principal of and the premium and interest on the bond or money made available to the Authority for that purpose;
(ii) is not a debt, liability, or a pledge of the faith and credit or the taxing power of the State, the Authority, or any other governmental unit; and
(iii) may not give rise to any pecuniary liability of the State, the Authority, or any other governmental unit.
(2) The issuance of a bond to finance the planning, design, and construction or renovations of or improvements to a racing facility is not directly, indirectly, or contingently a moral or other obligation of the State, the Authority, or any other governmental unit to levy or pledge any tax or make any appropriation to pay the bond.
(3) Each bond shall state on its face the provisions of paragraphs (1) and (2) of this subsection.
(d) (1) In this subsection, “long–term agreement” includes a lease, operating, joint venture, or management agreement with a minimum term established by the Authority.
(2) The Authority shall ensure that the following agreements are executed:
(i) subject to paragraph (3) of this subsection, a long–term agreement regarding management and operations at the Pimlico racing facility site; and
(ii) agreements between the Authority and project entities for the planning, design, and construction of a racing facility.
(3) (i) Subject to subparagraph (ii) of this paragraph, the long–term agreement required under paragraph (2)(i) of this subsection shall:
1. ensure the continuity of the Preakness Stakes at the Pimlico racing facility site;
2. be contingent on the conveyance or conveyances in fee simple of the Pimlico site, in whole or in part, to the Maryland Thoroughbred Racetrack Operating Authority, Baltimore City, the Baltimore Development Corporation or its successor or assigns, or any designated project entity; and
3. establish:
A. the right of the Authority or an entity designated by the Authority to manage and operate the Pimlico Clubhouse and Events Facility, grounds, and any facility;
B. the obligation of the Authority or an entity designated by the Authority to operate, maintain as a first–class facility, in good condition, repair, and secure the Pimlico racing facility site during periods identified in the long–term agreement; and
C. the obligation of the Authority or an entity designated by the Authority to cooperate with respect to the provision of adequate parking and efficient transportation plans around the Pimlico racing facility site.
(ii) 1. If thoroughbred racing is no longer a lawful activity, or is otherwise rendered not commercially viable as a result of a change in law or regulation, the parties to the long–term agreement shall notify the Board of Public Works at least 180 days before the expiration or termination of the long–term agreement.
2. The notice required under subsubparagraph 1 of this subparagraph shall contain a wind–down plan.
3. The long–term agreement required under paragraph (2)(i) of this subsection shall contain dispute resolution provisions, including expedited review, in the event that there is a dispute among the parties regarding the existence of the conditions described in subsubparagraph 1 of this subparagraph or the contents of the wind–down plan.
(e) The Authority may enter into agreements with project entities or local entities for planning, design, and construction of the racing and community development projects at a racing facility site.
(f) For fiscal year 2022 and each fiscal year thereafter, until the bonds that have been issued to finance racing facilities are no longer outstanding and unpaid, the Comptroller shall deposit into the Racing and Community Development Financing Fund at least $17,000,000 from the State Lottery Fund under § 9–120(b)(1)(iv) of the State Government Article.
(g) If the money deposited in the Racing and Community Development Financing Fund in accordance with subsection (f) of this section is not needed for debt service or debt service reserves, the Authority may transfer those funds to the Racing and Community Development Facilities Fund.
(h) If funds are needed for debt service or debt service reserves, the Authority may transfer money in the Racing and Community Development Facilities Fund to the Racing and Community Development Financing Fund.
(i) (1) For the purpose of the planning, design, construction, and ownership of a racing and community development project under this subtitle, the Authority is the successor entity to the Maryland Thoroughbred Racetrack Operating Authority.
(2) For the purpose of the operation of a racing and community development project under this subtitle, the Maryland Economic Development Corporation is the successor entity to the Maryland Thoroughbred Racetrack Operating Authority.
(3) The Authority and the Maryland Economic Development Corporation may enter into any agreements necessary to carry out the provisions of this section.
(4) A nonprofit operator of a racing and community development project:
(i) may not be construed to be an agency or instrumentality of the State or a unit of the Executive Branch for any purpose;
(ii) may be replaced with another business entity with the concurrent approval of the Authority and the Maryland Economic Development Corporation; and
(iii) shall reimburse the Authority for the cost of a full–time auditor responsible for overseeing the financial transactions and records relating to racing and community project costs and ongoing operations.