What the County Equity Participation Authority Act Could Mean for Prince George’s County

Center for Local Policy Analysis (CLPA)
4 days ago
3 min read

Local governments often encourage development by offering incentives such as tax breaks or grants. While effective, these incentives may not provide lasting benefits to the community, especially if profits leave the area or projects fail. To address this, the Prince George’s County Council introduced Bill CB-001-2026, the County Equity Participation Authority Act, which aims to change how public funds are used in private development and increase community benefits.

This bill would allow the county to take an active role in development projects, beyond providing loans, tax incentives, or grants. Here is what this could mean for Prince George’s County residents.

What Is the County Equity Participation Authority Act?

If enacted, the county could acquire equity or ownership interests by directly investing in development projects. This would allow the county to become a partial owner in projects that typically receive county assistance or support economic development goals. By investing in long-term success rather than only providing initial funding, the county could earn returns to reinvest in the community.

Who Is Involved?

Bill CB-001-2026 does not grant the County Executive unlimited authority. While the County Executive will implement the bill, each investment requires County Council approval and must follow a public action plan. The following county agencies will manage and shape the program:

Revenue Authority of Prince George’s County
Redevelopment Authority of Prince George’s County
Housing Authority of Prince George’s County
Land Bank Authority of Prince George’s County
Prince George’s County Economic Development Corporation.

How Would It Work?

The bill establishes financial safeguards and protocols to limit risk and increase transparency. Before any investment proceeds, the County must develop a County Equity Participation Action Plan that identifies priority development areas, potential funding sources, and strategies for community and Council engagement.

Instead of owning projects directly, the County Executive, with Council approval, may create or designate special-purpose entities such as public development corporations or limited liability companies to hold equity. This structure is intended to separate the county from the project and reduce risk if the project is unsuccessful.

Additional safeguards require that county investments are limited to Council-approved amounts to prevent overspending. The bill also states that the county cannot raise taxes for these investments and that they are not considered loans.

How Could This Affect Residents?

If enacted, the bill could provide new funding for affordable housing and community programs. Because projects require Council approval and public hearings, the process may better align development with community priorities and increase transparency in public spending.

However, the bill raises several key questions regarding whose interests are prioritized once projects are submitted and public hearings begin. The success of the proposed projects will depend heavily on how the County Equity Participation Action Plans are written. Regardless, the enactment of the bill may give residents a more substantial stake, or at least the feeling of one, in the growth of their local economy.

When Would This Take Effect?

If Bill CB-001-2026 is enacted, it will take effect 45 days after adoption. The County Executive must submit an initial County Equity Participation Action Plan to the County Council by September 1, 2026, before any investments are made.

The September 1 deadline assumes the bill becomes law before that date. If the bill passes near or after the deadline, the deadline does not automatically adjust. While this could be addressed administratively, the most effective solution is a legislative amendment by the County Council.

What Happens Next?

CB-001-2026 is still a proposal and has not become law. County residents, advocates, and community organizations can provide input as the bill moves through the legislative process.