located near highland beach, arundel-on-the-bay was formerly an enclave of vacation residences and undeveloped property which attracted affluent african americans when jim crow laws were in effect, when entrance to other resort areas was barred to non-whites. the community now holds approximately 345 homes. arundel on the bay is a special tax district; each year a portion of property taxes are reserved by anne arundel county for improvements and maintenance of the shoreline.