(a) Except as provided in subsection (b), an urban district corporation exists for 5 years after its articles of incorporation are accepted for recording by the State Department of Assessments and Taxation.
(b) The existence of an urban district corporation may be extended for an unlimited number of additional 5-year terms by a resolution adopted by the County Council and approved by the County Executive or, if disapproved by the Executive, by a vote of 6 Councilmembers. Amended articles of incorporation must be filed and recorded with the State Department of Assessments and Taxation. A copy of the amended articles of incorporation must be filed with the County Executive.
(c) When an urban district corporation terminates, all contracts and services must terminate unless expressly assumed and maintained by the County. The County must then maintain any property it would otherwise maintain but for the existence of the corporation.
(d) Dissolution of an urban district corporation is governed by Section 5-208 of the Corporations and Associations Article of the Maryland Code. Any assets remaining after all liabilities and obligations of the corporation are satisfied must be distributed to the County.
(e) Notwithstanding subsection (a) or (b), an urban district corporation may be terminated at any time after adoption of a resolution by the County Council that is approved by the County Executive or, if disapproved by the Executive, is readopted by a vote of 6 Councilmembers if the urban district corporation has been operated in an ultra vires manner, or in the event of misfeasance, malfeasance, or nonfeasance by the board of directors. Termination and dissolution is governed by subsections (c) and (d). (1987 L.M.C., ch. 2, § 2; 1993 L.M.C., ch. 16, § 1; 1993 L.M.C., ch. 24, § 1.)
Editor’s note—Under Council Res. No. 16-786, the Council approved an addition 5-year term of the Bethesda Urban Partnership, Inc., commencing February 1, 2009, and concluding January 31, 2014.