The new design retains the slogan "Making Maryland Memories" that had been part of the original logo.
But a cannon draped with the American flag, an image that had offended area veterans, has been replaced with a banner patterned after the state flag.
The American flag should not be draped over anything except a veteran's coffin and should never touch the ground, according to the Code of Flag Display and Use.
"I think that's a great improvement to what it was previously," said Ray Linebaugh, president of the Joint Veterans Council of Washington County.
Linebaugh said veterans appreciated the board's willingness to change the logo.
Tourism officials chucked the proposed logo with the cannon and flag one day after area veterans complained it showed disrespect to the flag.
The logo with the cannon had not been printed on brochures or other promotional material.
The new logo will appear in advertisements beginning in March with the state tourism guide and the April edition of American Heritage, Hart said.
Hart said too much emphasis has been placed on the icon portion of the logo, when the words are what matter.
The logo no longer bears a pictorial connection to the city's Civil War heritage, but that is addressed in the message the ad conveys, Hart said.
Two companies are working on thumbnail sketches of possible logos, Hart said. So far, the logo with the Maryland banner is the best of those local tourism officials have seen, he said.
Inclusion of the state flag's pattern in the ad is expected to attract attention and improve tourists' awareness of the area, Hart said.
The logo's design will be easy to carry over to souvenirs and the shirts tourism officials wear at trade shows, he said.