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EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
*hb0543*
HOUSE BILL 543
N1 6lr1222
HB 911/25 – ENT
By: Delegates Guyton, Allen, Bagnall, Boyce, Feldmark, Foley, Guzzone, Healey,
D. Jones, Lehman, Lewis, Lopez, McCaskill, Queen, Ruth, Solomon,
Stinnett, Taveras, Terrasa, Wims, Wolek, Woods, Woorman, and Ziegler
Introduced and read first time: January 27, 2026
Assigned to: Economic Matters
A BILL ENTITLED
AN ACT concerning 1
Real Property – Landlord and Tenant – Family Child Care Homes 2
FOR the purpose of authorizing a landlord to impose an increased security deposit if a 3
tenant operates or plans to operate a family child care home on the leased premises; 4
prohibiting a landlord of certain residential rental property from prohibiting or 5
unreasonably limiting the operation of a family child care home on the property; 6
providing that landlords of certain residential rental property are immune from civil 7
liability for the acts or omissions of a tenant relating to the operation of a family 8
child care home; requiring a tenant to notify a landlord prior to operating a family 9
child care home on the property; requiring a tenant to provide a landlord with a 10
certain registration and a certificate of ins urance naming certain entities as 11
additional insureds on policies under certain circumstances; requiring a tenant to 12
notify a landlord if the tenant ceases operation of a family child care home; 13
authorizing a landlord to require a certain tenant to purchas e a certain insurance 14
policy; requiring a tenant to cease the operation of the family child care home under 15
certain circumstances; and generally relating to the operation of family child care 16
homes on residential rental property. 17
BY repealing and reenacting, without amendments, 18
Article – Education 19
Section 9.5–301(a) and (e) 20
Annotated Code of Maryland 21
(2022 Replacement Volume and 2025 Supplement) 22
BY repealing and reenacting, with amendments, 23
Article – Real Property 24
Section 8–203(b) 25
Annotated Code of Maryland 26
(2023 Replacement Volume and 2025 Supplement) 27
2 HOUSE BILL 543
BY adding to 1
Article – Real Property 2
Section 8–222 3
Annotated Code of Maryland 4
(2023 Replacement Volume and 2025 Supplement) 5
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
That the Laws of Maryland read as follows: 7
Article – Education 8
9.5–301. 9
(a) In this subtitle the following words have the meanings indicated. 10
(e) “Family child care home” means a residence in which family child care is 11
provided for up to eight children. 12
Article – Real Property 13
8–203. 14
(b) (1) Except as provided in paragraph (2) of this subsection, a landlord may 15
not impose a security deposit in excess of the equivalent of 1 month’s rent per dwelling unit, 16
regardless of the number of tenants. 17
(2) A landlord may impose a security deposit in an amount equivalent to 18
up to 2 months’ rent if: 19
(i) 1. The tenant is eligible and has qualified for utility 20
assistance through the Department of Human Services; 21
[(ii)] 2. The lease agreement requires that th e tenant make 22
payments for utility services directly to the landlord; and 23
[(iii)] 3. The tenant and landlord agree in writing to the amount of 24
the security deposit; OR 25
(II) THE TENANT OPERATES O R PLANS TO OPERATE A FAMILY 26
CHILD CARE HOME REGISTERED UNDER TITLE 9.5, SUBTITLE 3 OF THE EDUCATION 27
ARTICLE ON THE LEASED PREMISES. 28
(3) If a landlord violates paragraph (1) of this subsection, the tenant may 29
recover up to three times the extra amount charged, plus reasonable attorney’s fees. 30
HOUSE BILL 543 3
(4) An action under this section may be brought at any time during the 1
tenancy or within 2 years after its termination. 2
8–222. 3
(A) IN THIS SECTION , “FAMILY CHILD CARE HO ME” HAS THE MEANING 4
STATED IN § 9.5–301 OF THE EDUCATION ARTICLE. 5
(B) THIS SECTION APPLIES ONLY TO THE LEASE OF A SINGLE –FAMILY 6
DWELLING TO A TENANT OR PROSPECTIVE TENAN T FOR USE OF THE LEA SED 7
PREMISES AS A FAMILY CHILD CARE HOME. 8
(C) (1) THIS SUBSECTION DOES NOT APPLY TO: 9
(I) THE LEASE OF AN OWNER–OCCUPIED SINGLE –FAMILY 10
DWELLING; OR 11
(II) PROHIBITIONS AGAINST OR RESTRICTIONS ON F AMILY 12
CHILD CARE HOMES IMPOSED BY: 13
1. AGE–RELATED RESTRICTIONS OF A HOMEOWNERS 14
ASSOCIATION; OR 15
2. THE GOVERNING DOCUMEN TS OR BYLAWS OF A 16
CONDOMINIUM OR COOPERATIVE HOUSING CORPORATION. 17
(2) A LANDLORD OF A SINGLE–FAMILY DWELLING MAY NOT PROHIBIT 18
A TENANT OR PROSPECTIVE TENANT FROM OPERATING A FAMILY CHILD CARE HOME 19
ON THE LEASED PREMISES BY: 20
(I) REFUSING TO OFFER THE PREMISES FOR LEASE , 21
NEGOTIATE THE LEASE OF THE PREMISES, OR LEASE THE PREMISES; 22
(II) IMPOSING UNREASONABLE LIMITATIONS OR CONDI TIONS 23
ON THE USE OF THE LEASED PREMISES AS A FAMILY CHILD CARE HOME; OR 24
(III) OTHERWISE ACTING IN BAD FAITH TO PREVENT THE USE OF 25
THE LEASED PREMISES AS A FAMILY CHILD CARE HOME. 26
(D) A LANDLORD IS NOT LIABLE FOR AN Y ACT OR OMISSION OF A TENANT 27
RELATING TO THE OPERATION OF A FAMILY CHILD CARE HOME. 28
(E) A TENANT SHALL NOTIFY A LANDLORD IN WRITIN G AT LEAST 60 DAYS 29
PRIOR TO OPERATING A FAMILY CHILD CARE HOME ON THE LEASED PREMISES. 30
4 HOUSE BILL 543
(F) (1) PRIOR TO COMMENCING THE OP ERATION OF A FAMILY CHILD 1
CARE HOME, A TENANT SHALL PROVIDE THE LANDLORD WITH: 2
(I) THE TENANT ’S REGISTRATION TO OP ERATE A FAMILY 3
CHILD CARE HOME ISSU ED UNDER TITLE 9.5, SUBTITLE 3 OF THE EDUCATION 4
ARTICLE; AND 5
(II) A CERTIFICATE OF INSURANCE NAMING THE FOLLOWING AS 6
ADDITIONAL INSUREDS ON POLICIES RELATING TO THE OPERATION OF THE FAMILY 7
CHILD CARE HOME: 8
1. THE LANDLORD; AND 9
2. EACH ENTITY WITH A DI RECT OR INDIRECT 10
OWNERSHIP OR MEMBERSHIP INTEREST IN THE PROPERTY. 11
(2) IF THE TENANT CEASES OPERATION OF THE FAMILY CHILD CARE 12
HOME, THE TENANT SHALL NOTIFY THE LANDLORD IMMEDIATELY. 13
(3) A LANDLORD MAY REQUIRE A TENANT TO PURCHASE A LIABILITY 14
INSURANCE POLICY WIT H COVERAGE LIMITS OF NOT MORE THAN $1,000,000 IN 15
CONNECTION WITH THE TENANT’S OPERATION OF A FAMILY CHILD CARE HOME. 16
(4) IF THERE IS A LAPSE I N COVERAGE ON A POLI CY UNDER 17
PARAGRAPH (1)(II) OF THIS SUBSECTION, THE TENANT SHALL CEASE OPERATION OF 18
THE FAMILY CHILD CARE HOME FOR THE DURATION OF THE LAPSE. 19
(G) THIS SECTION DOES NOT LIMIT OR PREEMPT THE LOCAL ZONING 20
AUTHORITY OF A COUNTY OR MUNICIPALITY. 21
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to 22
apply only prospectively and may not be applied or interpreted to have any ef fect on or 23
application to any lease entered into before the effective date of this Act. 24
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 25
October 1, 2026. 26