Agenda Item 10
November 13, 2012
Action
MEMORANDUM
TO:
FROM:
SUBJECT:
County Council
~Michael
Faden, Senior Legislative Attorney
Action: Bill 25-12, Taxation - Impact Tax - Bikesharing
Government Operations and Fiscal Policy Committee recommendation: enact as
introduced.
Bill 25-12, Taxation - Impact Tax - Bikesharing, sponsored by Council President
Berliner and Councilmembers Ervin, Riemer, EIrich, Leventhal, Andrews and Navarro, was
introduced on September 11,2012. A public hearing was held on October 23, at which the only
speaker endorsed the Bill and the companion Zoning Text Amendment 12-14 (see also the
Washington Area Bicyclist Association letter of support on ©8). A Government Operations and
Fiscal Policy Committee worksession was held on November
5,
at which the Committee
recommended enactment of Bill 25-12 as introduced.
Bill 25-12 would allow transportation impact tax funds to be used for certain bikesharing
stations. No one has opposed this concept. However, Executive branch staff (see Boucher email
on
©9)
raised questions about the need to further define the requirements for permanent
dedication of the necessary land
or
easements for each bike sharing station and the methods of
setting the amount of the applicable credit when the applicant rather than the County provides
the station.
I
Executive staff agreed that these issues can and should be resolved in implementing
regulations. They concurred that the Bill need not be amended to postpone its effective date to
draft those regulations since the Bill is not an Expedited Bill and thus will not take effect until 90
days after the Executive signs it into law, which is enough time to draft the needed regulations
and at least adopt them as temporary regulations.
This packet contains:
Bill 25-12
Legislative Request Report
Fiscal Impact Statement
Washington Area Bicyclist Association letter
Executive staff email
F:\LA W\BILLS\1225 Impact Tax· Bikesharing\Action Memo.Doc
Circle
#
1
3
4
8
9
IExecutive staff also discussed the potential need to increase impact tax rates and revenues to cover increased costs
of various eligible uses of these funds (see ©9). While this issue is technically within the scope of Bill 25-12, it is
much broader and the Committee agreed should be the subject of a more comprehensive impact tax review, which
would be scheduled after the New Year.
 PDF to HTML - Convert PDF files to HTML files
Bill No.
25-12
Concerning: Taxation - Impact Tax -
Bikesharing
Revised: 7-19-12
Draft No. 1
Introduced:
September 11, 2012
Expires:
March 11, 2014
Enacted: _ _ _ _ _ _ _ _ __
Executive: _ _ _ _ _ _ _ _ __
Effective:
_~:--
_ _ _ _ _ __
Sunset Date:
-:...:!No=n~e~_:--
_ _ __
Ch. _ _. Laws of Mont. Co. _ _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: Council President Berliner and Councilmembers Ervin, Riemer, EIrich, Leventhal, Andrews
and Navarro
AN
ACT to:
(1)
(2)
allow transportation impact
tax
funds to be used for certain bikesharing stations; and
generally amend the law governing the transportation impact tax.
By amending
Montgomery County Code
Chapter 52, Taxation
Section 52-58
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Heading or defined term.
Added to existing law by original bill.
Deletedfrom existing law by original bill.
Added by amendment.
Deleted from existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County, Maryland approves the following Act:
 PDF to HTML - Convert PDF files to HTML files
BILL
No. 25 -12
1
2
Sec. 1. Section 52-58 is amended as follows:
52-58.
Use of impact tax funds.
Impact tax funds may be used for
any~
(a)
new road or widening of an existing road that adds highway or
intersection capacity or improves transit service or bicycle commuting,
such as bus lanes or bike lanes;
3
4
5
6
7
8
9
(b)
(c)
(
d)
new or expanded transit center or park-and-ride lot,
bus added to the Ride-On bus fleet, but not a replacement bus;
new bus shelter, but not a replacement bus shelter;
hiker-biker trail used primarily for transportation;
bicycle locker that holds at least 8 bicycles;
bikesharing station (including bicycles) approved
Qy
the Department of
Transportation;
10
(e)
11
12
(f)
{g}
13
14
[(g)]
(hl
sidewalk connector to a major activity center or along an arterial or
15
16
major highway; or
[(h)]
ill
the operating expenses of any transit or trip reduction program.
Approved:
17
18
Roger Berliner, President, County Council
Date
19
Approved:
20
Isiah Leggett, County Executive
Date
21
This is a correct copy QfCouncil action.
Linda M. Lauer, Clerk of the Council
Date
f:\law\bills\1225 impact tax - bikesharing\bill,dot
 PDF to HTML - Convert PDF files to HTML files
LEGISLATIVE REQUEST REPORT
Bill 25-12
Taxation -Impact Tax
-
Bikesharing
DESCRIPTION:
PROBLEM:
GOALS AND
OBJECTIVES:
COORDINATION:
FISCAL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOURCE OF
INFORMATION:
APPLICATION
WITHIN
MUNICIPALITIES:
PENALTIES:
Allows transportation impact tax funds to be used for bikesharing
~tations
approved by the Department of Transportation.
Need to encourage expansion of bikesharing.
To allow transportation impact tax funds to be used for bikesharing.
Department of Transportation, Planning Board
To be requested.
To be requested.
To be requested.
To be researched.
Michael Faden, Senior Legislative Attorney, 240-777-7905; Glenn
Orlin, Deputy Council Staff Director, 240-777-7936.
Transportation impact tax applies County-wide.
Not applicable.
f:\law\bills\1225 impact tax - bikesharing\legislative request report,do
w
 PDF to HTML - Convert PDF files to HTML files
ROCKVIU.E, MARYLAND
MEMORANDUM
October 5, 2012
TO:
FROM:
SUBJECT:
Roger Berliner, President, County Council
Jennifer
A.
Hugh.es,
Office ofManagement and Budget
Joseph F. Beach,
~Department
ofFinance
Council Bill 25-12 - Taxation -
Impact
Tax - Bikesharing
Attached plea'1e find the fiscal and economic impact statements for the aboveMreferenced
~r.
legislation.
JAH:bg
c: Kathleen Boucher, Assistant Chief Administrative Officer
Lisa Austin, Offices of
the
County Executive
Joy
Nurmi, Special Assistant to the County Executive
Patrick Lacefield, Director, Public Information Office
Alex Espinosa, Office ofManagement and
Budget
William Selby, Department ofTnmsportation
Brady Goldsmith, Office of
Management and
Budget
Naeem
Mia, Office of Management and Budget
David
Pla~
Department ofFinaoce
Michael Coveyou, Department ofFinance
 PDF to HTML - Convert PDF files to HTML files
Fiscal Impact Statement
Council Bill 25-12 -
Taxation -
Impact Tax - Bikesharing
1.
Legislative Summary
The proposed bill allows transportation impact tax funds to
be
used for bikesharing stations
approved
by
the Department ofTransportation.
2.
An
estimate of changes in County revenues and expenditures regardless of whether
the revenues or expenditures are assumed
in
the recommended or approved budget.
Includes source of information, assumptions, and methodologies used.
The proposed bill allows for impact taxes to be used towards bikesharing stations. It does
not impact County
revenues
or expenditures.
3. Revenue and expenditure estimates covering at least the next 6 fiscal years.
See
item
#2 above.
4. An actuarial analysis through the entire amortization period for each bill that would
affect retiree pension or group insurance costs.
Not applicable.
5. Later actions that may affect future revenue and expenditures
if
the bill authorizes
future spending.
The
bill
does not authorize
future
spending.
6.
An estimate of the staff time needed to implement the
hill.
No
staff
time is needed
to
implement
this bilL
7.
An explanation of how the addition
of
new staff responsibilities would affect other
duties.
Not
applicable.
8. An estimate of costs when an additional appropriation is needed.
Not applicable.
9. A description of any variable that could affect revenue and cost estimates.
Not applicable.
 PDF to HTML - Convert PDF files to HTML files
10. Ranges of revenue or expenditures
that
are uncertain or difficult to project.
Not applicable.
11.
If
a bill is likely to
have
no
fiscal impact,
why
that
is
the case.
The proposed bill allows impact taxes to be used
as
a funding source of bikesharing
station projects. There
is
no impact on departmental administration or programming.
12.
Other
fiscal impacts or comments.
Not applicable.
13. The foJIowing contributed to and concurred with this analysis:
William Selby, Department of Transportation
Brady Goldsmith, Office of Management and Budget
Naeem Mia, Office of Management and Budget
Date
 PDF to HTML - Convert PDF files to HTML files
Economic Impact Statement
Council Bm 25·12, Taxation .. Impact Tax .. Bikesharing
Background:
Bil125-12 allows Transportation Impact Taxes to be used to fund bikesharing stations,
including bicycles, that are approved by the Department of Transportation.
1. The sources of information. assumptions, and methodologies used.
Since Bi1l25-12 only affects how Transportation Impact Tax funds may be used, but
does not affect the rate or
how
the taxes are assessed
it
has no economic impact.
2. A description of any variable that could affect economic impact statements.
See #1 above.
3. The bill's positive or negative effect,
if
any on employment, spending, saving,
investment, incomes, and property value in the County.
See
#
1 above.
4.
If
a bill is likely to have no economic impact, why is that the case?
Bill 25-12 allows a specific. existing. revenue to be used for a new type of expenditure.
but does not increase. decrease, or change the revenue, underlying rates, or who is
responsible for paying the
tax.
5. The following contributed to and concurred with this analysis: David Platt and Mike
Coveyou, Finance.
~1:~
oseF]feaCh,
Director
Department of Finance
 PDF to HTML - Convert PDF files to HTML files
CD
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2599 Ontario Rd. NW
WA8A
WASHINGTON AREA BICYCLIST ASSOCIATION
October 23, 2012
Montgomery County Council
100 Maryland Ave.
Rockville, M D 20850
VIA ELECTRONIC MAIL
RE:
WABA Support of
Sill
25-12 and ZTA 12-14 (Bikeshare)
Washington, DC 20009
P: 202.518.0524
F: 202.518.0936
WWW.WABA.ORG
07061.0
To the Members of the Montgomery County Council:
The Washington Area Bicyclist Association strongly supports the integration of bicycling into the fabric of
the Montgomery County's transportation and legal infrastructure. The bills under consideration
facilitate this goal by proactively integrating bikesharing into the count{s tax and zoning codes in a way
that supports the involvement of the private sector in the system's growth and success.
As bikesharing stations are largely standardized, the exemption from the requirement of a site plan
amendment is a simple one that removes an unnecessary barrier to the private sector's willingness to
provide bikesharing facilities.
Further, WABA supports the addition of bikeshare stations to the list of transportation projects eligible
for impact tax funds. While we caution that funding for bicycling projects should primarily go to projects
that benefit the entire bicycling community comprised of both traditional bicyclists and bikeshare users, .
we recognize the importance of ensuring available funding sources for the implementation of such a
transportation system and agree that the implementation and growth of bikeshare is a use that falls
squarely within the purpose of the impact tax.
Thus, we support both Zoning Text Amendment 12-14 and Bill 25-12, and we appreciate the ongoing
opportunity to work with the Council to bring better biking to Montgomery County.
-"
.....
-;_1
;
.
e
,.....,
r)
-I
;-...:,
'_~'")::O
-{
0
';Jj""l1
) 3:('"J
;~1'l
,...",..-l...r­
("".)
I..".}
.2-«
....0
\J1
~
 PDF to HTML - Convert PDF files to HTML files
Page 1 of 1
Faden,
Michael
From: Boucher, Kathleen
Sent:
To:
Wednesday, October 31, 2012 11 :05 AM
Berliner, Roger
Brecher, Sandra; Root, Anne; Biggins, Carolyn; Beach, Joseph; Coveyou, Michael; Ossont, Greg; Bell­
Pearson, Ramona; Nurmi, Joy; Faden, Michael; Mihill, Amanda; Drummer, Bob; Bolt, Chad; Gibson,
Cindy; Ervin, Valerie; Healy, Sonya; Riemer, Hans; Pagnucco, Adam; Eirich, Marc; Tibbitts, Dale;
Leventhal, George; Vitale, Patricia; Andrews, Phil; Mandel-Trupp, Lisa; Navarro, Nancy; Fogel, Adam;
Lacefield, Patrick; Firestine, Timothy
Cc:
Subject: Bill 25-12, Taxation - Impact Tax - Bikesharing
Dear Councilmember Berliner,
Last week, I advised Chad Bolt that the County Executive supports Bill
25-12,
Taxation -Impact Tax -Bikesharing
but that he also recommends that the bill be amended to include a delayed effective date that will allow
sufficient time for Executive staff to make necessary changes to related Executive Regulations.
I am writing to clarify that before the bill can be implemented, the County needs to amend the regulations
governing the Development Impact Tax for Transportation Improvements to:
• Specify that any right-of-way or land dedication or easement needed to accommodate a bikesharing
station must be permanent and irrevocable. This is necessary to avoid having property owners obtaining a
credit, and a few years later eliminating the bikeshare station location.
• Include a methodology for a systematic approach to determining the cost of the bike station, bikes, and
operating costs of the station (and therefore the amount of the credit). This will clarify which costs are
eligible in calculating the amount of the credit, providing certainty to the property owner, and to improve
the overall efficiency of certifying a credit. Greater clarity in either the legislation or the implementing
regulations will prevent future challenges to the calculation of the amount of the credit.
We also note that, while the number of projects for which impact tax revenues can be used as a funding source
has grown over the years, there has not been a change in the rates to ensure that there is sufficient revenue to
accommodate all of the eligible uses. Expanding the number of eligible uses without increasing the pool of
available resources may result in eroding impact tax resources for other uses including road capacity projects,
park and ride lots, and other existing eligible uses. At some point, the County should revisit the rates for
Development Impact Tax for Transportation to more appropriately account for the full cost of the remaining
transportation infrastructure, which should be the basis of the rates. Executive staff are available to discuss this
issue at any time.
Thank you for your consideration of these comments.
Kathleen
Kathleen Boucher
Assistant Chief Administrative Officer
Office of the County Executive
Montgomery County, Maryland
240-777-2593
11/112012
 PDF to HTML - Convert PDF files to HTML files
Agenda Item 10
November 13, 2012
Action
MEMORANDUM
TO:
FROM:
SUBJECT:
County Council
~Michael
Faden, Senior Legislative Attorney
Action: Bill 25-12, Taxation - Impact Tax - Bikesharing
Government Operations and Fiscal Policy Committee recommendation: enact as
introduced.
Bill 25-12, Taxation - Impact Tax - Bikesharing, sponsored by Council President
Berliner and Councilmembers Ervin, Riemer, EIrich, Leventhal, Andrews and Navarro, was
introduced on September 11,2012. A public hearing was held on October 23, at which the only
speaker endorsed the Bill and the companion Zoning Text Amendment 12-14 (see also the
Washington Area Bicyclist Association letter of support on ©8). A Government Operations and
Fiscal Policy Committee worksession was held on November
5,
at which the Committee
recommended enactment of Bill 25-12 as introduced.
Bill 25-12 would allow transportation impact tax funds to be used for certain bikesharing
stations. No one has opposed this concept. However, Executive branch staff (see Boucher email
on
©9)
raised questions about the need to further define the requirements for permanent
dedication of the necessary land
or
easements for each bike sharing station and the methods of
setting the amount of the applicable credit when the applicant rather than the County provides
the station.
I
Executive staff agreed that these issues can and should be resolved in implementing
regulations. They concurred that the Bill need not be amended to postpone its effective date to
draft those regulations since the Bill is not an Expedited Bill and thus will not take effect until 90
days after the Executive signs it into law, which is enough time to draft the needed regulations
and at least adopt them as temporary regulations.
This packet contains:
Bill 25-12
Legislative Request Report
Fiscal Impact Statement
Washington Area Bicyclist Association letter
Executive staff email
F:\LA W\BILLS\1225 Impact Tax· Bikesharing\Action Memo.Doc
Circle
#
1
3
4
8
9
IExecutive staff also discussed the potential need to increase impact tax rates and revenues to cover increased costs
of various eligible uses of these funds (see ©9). While this issue is technically within the scope of Bill 25-12, it is
much broader and the Committee agreed should be the subject of a more comprehensive impact tax review, which
would be scheduled after the New Year.
 PDF to HTML - Convert PDF files to HTML files
Bill No.
25-12
Concerning: Taxation - Impact Tax -
Bikesharing
Revised: 7-19-12
Draft No. 1
Introduced:
September 11, 2012
Expires:
March 11, 2014
Enacted: _ _ _ _ _ _ _ _ __
Executive: _ _ _ _ _ _ _ _ __
Effective:
_~:--
_ _ _ _ _ __
Sunset Date:
-:...:!No=n~e~_:--
_ _ __
Ch. _ _. Laws of Mont. Co. _ _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: Council President Berliner and Councilmembers Ervin, Riemer, EIrich, Leventhal, Andrews
and Navarro
AN
ACT to:
(1)
(2)
allow transportation impact
tax
funds to be used for certain bikesharing stations; and
generally amend the law governing the transportation impact tax.
By amending
Montgomery County Code
Chapter 52, Taxation
Section 52-58
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Heading or defined term.
Added to existing law by original bill.
Deletedfrom existing law by original bill.
Added by amendment.
Deleted from existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County, Maryland approves the following Act:
 PDF to HTML - Convert PDF files to HTML files
BILL
No. 25 -12
1
2
Sec. 1. Section 52-58 is amended as follows:
52-58.
Use of impact tax funds.
Impact tax funds may be used for
any~
(a)
new road or widening of an existing road that adds highway or
intersection capacity or improves transit service or bicycle commuting,
such as bus lanes or bike lanes;
3
4
5
6
7
8
9
(b)
(c)
(
d)
new or expanded transit center or park-and-ride lot,
bus added to the Ride-On bus fleet, but not a replacement bus;
new bus shelter, but not a replacement bus shelter;
hiker-biker trail used primarily for transportation;
bicycle locker that holds at least 8 bicycles;
bikesharing station (including bicycles) approved
Qy
the Department of
Transportation;
10
(e)
11
12
(f)
{g}
13
14
[(g)]
(hl
sidewalk connector to a major activity center or along an arterial or
15
16
major highway; or
[(h)]
ill
the operating expenses of any transit or trip reduction program.
Approved:
17
18
Roger Berliner, President, County Council
Date
19
Approved:
20
Isiah Leggett, County Executive
Date
21
This is a correct copy QfCouncil action.
Linda M. Lauer, Clerk of the Council
Date
f:\law\bills\1225 impact tax - bikesharing\bill,dot
 PDF to HTML - Convert PDF files to HTML files
LEGISLATIVE REQUEST REPORT
Bill 25-12
Taxation -Impact Tax
-
Bikesharing
DESCRIPTION:
PROBLEM:
GOALS AND
OBJECTIVES:
COORDINATION:
FISCAL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOURCE OF
INFORMATION:
APPLICATION
WITHIN
MUNICIPALITIES:
PENALTIES:
Allows transportation impact tax funds to be used for bikesharing
~tations
approved by the Department of Transportation.
Need to encourage expansion of bikesharing.
To allow transportation impact tax funds to be used for bikesharing.
Department of Transportation, Planning Board
To be requested.
To be requested.
To be requested.
To be researched.
Michael Faden, Senior Legislative Attorney, 240-777-7905; Glenn
Orlin, Deputy Council Staff Director, 240-777-7936.
Transportation impact tax applies County-wide.
Not applicable.
f:\law\bills\1225 impact tax - bikesharing\legislative request report,do
w
 PDF to HTML - Convert PDF files to HTML files
ROCKVIU.E, MARYLAND
MEMORANDUM
October 5, 2012
TO:
FROM:
SUBJECT:
Roger Berliner, President, County Council
Jennifer
A.
Hugh.es,
Office ofManagement and Budget
Joseph F. Beach,
~Department
ofFinance
Council Bill 25-12 - Taxation -
Impact
Tax - Bikesharing
Attached plea'1e find the fiscal and economic impact statements for the aboveMreferenced
~r.
legislation.
JAH:bg
c: Kathleen Boucher, Assistant Chief Administrative Officer
Lisa Austin, Offices of
the
County Executive
Joy
Nurmi, Special Assistant to the County Executive
Patrick Lacefield, Director, Public Information Office
Alex Espinosa, Office ofManagement and
Budget
William Selby, Department ofTnmsportation
Brady Goldsmith, Office of
Management and
Budget
Naeem
Mia, Office of Management and Budget
David
Pla~
Department ofFinaoce
Michael Coveyou, Department ofFinance
 PDF to HTML - Convert PDF files to HTML files
Fiscal Impact Statement
Council Bill 25-12 -
Taxation -
Impact Tax - Bikesharing
1.
Legislative Summary
The proposed bill allows transportation impact tax funds to
be
used for bikesharing stations
approved
by
the Department ofTransportation.
2.
An
estimate of changes in County revenues and expenditures regardless of whether
the revenues or expenditures are assumed
in
the recommended or approved budget.
Includes source of information, assumptions, and methodologies used.
The proposed bill allows for impact taxes to be used towards bikesharing stations. It does
not impact County
revenues
or expenditures.
3. Revenue and expenditure estimates covering at least the next 6 fiscal years.
See
item
#2 above.
4. An actuarial analysis through the entire amortization period for each bill that would
affect retiree pension or group insurance costs.
Not applicable.
5. Later actions that may affect future revenue and expenditures
if
the bill authorizes
future spending.
The
bill
does not authorize
future
spending.
6.
An estimate of the staff time needed to implement the
hill.
No
staff
time is needed
to
implement
this bilL
7.
An explanation of how the addition
of
new staff responsibilities would affect other
duties.
Not
applicable.
8. An estimate of costs when an additional appropriation is needed.
Not applicable.
9. A description of any variable that could affect revenue and cost estimates.
Not applicable.
 PDF to HTML - Convert PDF files to HTML files
10. Ranges of revenue or expenditures
that
are uncertain or difficult to project.
Not applicable.
11.
If
a bill is likely to
have
no
fiscal impact,
why
that
is
the case.
The proposed bill allows impact taxes to be used
as
a funding source of bikesharing
station projects. There
is
no impact on departmental administration or programming.
12.
Other
fiscal impacts or comments.
Not applicable.
13. The foJIowing contributed to and concurred with this analysis:
William Selby, Department of Transportation
Brady Goldsmith, Office of Management and Budget
Naeem Mia, Office of Management and Budget
Date
 PDF to HTML - Convert PDF files to HTML files
Economic Impact Statement
Council Bm 25·12, Taxation .. Impact Tax .. Bikesharing
Background:
Bil125-12 allows Transportation Impact Taxes to be used to fund bikesharing stations,
including bicycles, that are approved by the Department of Transportation.
1. The sources of information. assumptions, and methodologies used.
Since Bi1l25-12 only affects how Transportation Impact Tax funds may be used, but
does not affect the rate or
how
the taxes are assessed
it
has no economic impact.
2. A description of any variable that could affect economic impact statements.
See #1 above.
3. The bill's positive or negative effect,
if
any on employment, spending, saving,
investment, incomes, and property value in the County.
See
#
1 above.
4.
If
a bill is likely to have no economic impact, why is that the case?
Bill 25-12 allows a specific. existing. revenue to be used for a new type of expenditure.
but does not increase. decrease, or change the revenue, underlying rates, or who is
responsible for paying the
tax.
5. The following contributed to and concurred with this analysis: David Platt and Mike
Coveyou, Finance.
~1:~
oseF]feaCh,
Director
Department of Finance
 PDF to HTML - Convert PDF files to HTML files
CD
'b \
L
L
@
"Z--rt1
d-.S--
{"l­
\d-..-
\
tt
2599 Ontario Rd. NW
WA8A
WASHINGTON AREA BICYCLIST ASSOCIATION
October 23, 2012
Montgomery County Council
100 Maryland Ave.
Rockville, M D 20850
VIA ELECTRONIC MAIL
RE:
WABA Support of
Sill
25-12 and ZTA 12-14 (Bikeshare)
Washington, DC 20009
P: 202.518.0524
F: 202.518.0936
WWW.WABA.ORG
07061.0
To the Members of the Montgomery County Council:
The Washington Area Bicyclist Association strongly supports the integration of bicycling into the fabric of
the Montgomery County's transportation and legal infrastructure. The bills under consideration
facilitate this goal by proactively integrating bikesharing into the count{s tax and zoning codes in a way
that supports the involvement of the private sector in the system's growth and success.
As bikesharing stations are largely standardized, the exemption from the requirement of a site plan
amendment is a simple one that removes an unnecessary barrier to the private sector's willingness to
provide bikesharing facilities.
Further, WABA supports the addition of bikeshare stations to the list of transportation projects eligible
for impact tax funds. While we caution that funding for bicycling projects should primarily go to projects
that benefit the entire bicycling community comprised of both traditional bicyclists and bikeshare users, .
we recognize the importance of ensuring available funding sources for the implementation of such a
transportation system and agree that the implementation and growth of bikeshare is a use that falls
squarely within the purpose of the impact tax.
Thus, we support both Zoning Text Amendment 12-14 and Bill 25-12, and we appreciate the ongoing
opportunity to work with the Council to bring better biking to Montgomery County.
-"
.....
-;_1
;
.
e
,.....,
r)
-I
;-...:,
'_~'")::O
-{
0
';Jj""l1
) 3:('"J
;~1'l
,...",..-l...r­
("".)
I..".}
.2-«
....0
\J1
~
 PDF to HTML - Convert PDF files to HTML files
Page 1 of 1
Faden,
Michael
From: Boucher, Kathleen
Sent:
To:
Wednesday, October 31, 2012 11 :05 AM
Berliner, Roger
Brecher, Sandra; Root, Anne; Biggins, Carolyn; Beach, Joseph; Coveyou, Michael; Ossont, Greg; Bell­
Pearson, Ramona; Nurmi, Joy; Faden, Michael; Mihill, Amanda; Drummer, Bob; Bolt, Chad; Gibson,
Cindy; Ervin, Valerie; Healy, Sonya; Riemer, Hans; Pagnucco, Adam; Eirich, Marc; Tibbitts, Dale;
Leventhal, George; Vitale, Patricia; Andrews, Phil; Mandel-Trupp, Lisa; Navarro, Nancy; Fogel, Adam;
Lacefield, Patrick; Firestine, Timothy
Cc:
Subject: Bill 25-12, Taxation - Impact Tax - Bikesharing
Dear Councilmember Berliner,
Last week, I advised Chad Bolt that the County Executive supports Bill
25-12,
Taxation -Impact Tax -Bikesharing
but that he also recommends that the bill be amended to include a delayed effective date that will allow
sufficient time for Executive staff to make necessary changes to related Executive Regulations.
I am writing to clarify that before the bill can be implemented, the County needs to amend the regulations
governing the Development Impact Tax for Transportation Improvements to:
• Specify that any right-of-way or land dedication or easement needed to accommodate a bikesharing
station must be permanent and irrevocable. This is necessary to avoid having property owners obtaining a
credit, and a few years later eliminating the bikeshare station location.
• Include a methodology for a systematic approach to determining the cost of the bike station, bikes, and
operating costs of the station (and therefore the amount of the credit). This will clarify which costs are
eligible in calculating the amount of the credit, providing certainty to the property owner, and to improve
the overall efficiency of certifying a credit. Greater clarity in either the legislation or the implementing
regulations will prevent future challenges to the calculation of the amount of the credit.
We also note that, while the number of projects for which impact tax revenues can be used as a funding source
has grown over the years, there has not been a change in the rates to ensure that there is sufficient revenue to
accommodate all of the eligible uses. Expanding the number of eligible uses without increasing the pool of
available resources may result in eroding impact tax resources for other uses including road capacity projects,
park and ride lots, and other existing eligible uses. At some point, the County should revisit the rates for
Development Impact Tax for Transportation to more appropriately account for the full cost of the remaining
transportation infrastructure, which should be the basis of the rates. Executive staff are available to discuss this
issue at any time.
Thank you for your consideration of these comments.
Kathleen
Kathleen Boucher
Assistant Chief Administrative Officer
Office of the County Executive
Montgomery County, Maryland
240-777-2593
11/112012