Agenda Item 12
Faden, Senior Legislative Attorney
&oGlenn Orlin, Deputy Council Staff Director
Bill 21-11, Taxes - Transportation Impact Tax - Credits
Bill 21-11, Taxes - Transportation Impact Tax - Credits, sponsored by Councilmembers
Floreen and Rice, was introduced on June 21, 2011. A Government Operations and Fiscal Policy
Committee worksession will be scheduled at a later date.
Bill 21-11 would implement recommendations 3-6 of the Clarksburg Infrastructure
Working Group, submitted to the Council on April 13 (see report excerpts on ©5-6). All
recommendations apply to the credits allowable to developers under the transportation impact
tax, and most of the recommendations would apply only to the Clarksburg impact tax district.
Councilmember Rice would amend ©2, line 27, to replace any with the Clarksburg, so
that impact tax credits could be transferred only to other properties in the Clarksburg impact tax
district, rather than County-wide. Councilmember Floreen expressed her intent to consider
expanding the availability of impact tax credits for capacity improvements to state roads outside
the Clarksburg impact tax district; under this Bill credits for state road improvements would be
limited to roads located in or adjacent to Clarksburg (see ©2, lines 15-17).
This Bill does not implement recommendation 7 of the Working Group (see ©6). That
recommendation would allow the developer of Clarksburg Town Center to claim impact tax
credits that it would have been entitled to if it had not expected the now-terminated Clarksburg
Town Center development district to reimburse the cost of certain roads the developer built in
the Town Center area. After the Working Group submitted its report, attorneys for the
developer, NNP II - Clarksburg, LLC, filed a notice of claim with the County. This notice is
required under state law before the developer can sue the County for damages claimed as a result
of the County's cancellation of the development district. Council staff advised, and lead sponsor
Councilmember Floreen concurred, that it would be imprudent for the County, through
legislation or otherwise, to offer this reimbursement while the potential lawsuit is unresolved.
This packet contains:
Legislative Request Report
Clarksburg Working Group report (excerpts)
F:\LAW\BILLS\11211mpact Tax - Credits\PH Memo.Doc