AGENDA ITEM 4E
October 31, 2017
Introduction
MEMO RANDU M
October 27, 2017
TO:
FROM:
SUBJECT:
County Council
lor
Legislative
Analyst
Jeffry
L.
Zyonl
Introduction:
Expedited Bill 36-17, Taxation - Development Impact Tax -
Exemptions - Amendments
Expedited Bill 36-17, Taxation - Development Impact Tax - Exemptions - Amendments,
sponsored by Lead Sponsor Councilmember Floreen, is scheduled to be introduced on October 31.
A public hearing is tentatively scheduled for December 5 at 1:30 p.m.
The primary goal ofBill 36-17 is reducing the tax burden on projects that provide at least
25% affordable housing. The Bill would allow a development that increases the number of
dwelling units previously approved to take advantage of the development tax exemption for
projects with 25% affordable housing. As proposed, a development that provides 25% affordable
units in newly proposed development would qualify for the exemption to the extent of the new
units.
This packet contains:
Expedited Bill 36-17
Legislative Request Report
F:\LAW\BILLS\1736 Development Impact Tax-Exemptions-Applicability\Intro Memo.Docx
Circle#
1
3
 PDF to HTML - Convert PDF files to HTML files
36-17
Expedited Bill No.
Concerning: Taxation - Development
Exemptions
Impact Tax
Amendments
Revised: October 27, 2017 Draft No.
L
October 31, 2017
Introduced:
May 1, 2019
Expires:
(date)
Enacted:
(date signed)
Executive:
(date takes effect)
Effective:
Sunset Date: _N:..:.o=-n=e_ _ _ _ __
(year)
Ch.
_rm_,
Laws of Mont. Co.
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
Lead Sponsor: Councilmember Floreen
AN EXPED ITED ACT
to:
amend the applicability provision of certain development impact taxes; and
(1)
generally amend the law governing development impact taxes.
(2)
By amending
2015 Laws of Montgomery County, Chapter 37
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 followi ng Act:
 PDF to HTML - Convert PDF files to HTML files
EXPEDITED BILL NO.
36-17
1
2
3
4
Sec. 1. Section 2 of Chapter 37 of the 2015 Laws of Montgomery County
is amended as follows:
Sec. 2. Applicability.
.{fil
5
6
7
Except as provided in paragraph
ili1
County Code Section 52-49(g)(5)
and Section 52-89(c)(5), both inserted by Section
1
of this Act, do not
apply to any development which received preliminary subdivision plan
approval or site plan approval (or a similar approval in a municipality)
before this Act took effect.
If an approved development is amended to include additional dwelling
units and at least 25% of the additional dwelling units are exempt under
paragraph
Q1
G1
.Q.1
or .(f) of Section 52-89(c), or any combination of
them, then Section 52-49(g)(5) and Section 52-89(c)(5),
filmly
to the
additional units.
8
9
.(hl
1O
11
12
13
14
Sec. 2.
Expedited Effective Date.
15
16
17
18
The Council declares that this legislation 1s necessary for the immediate
protection of the public interest. This Act takes effect on the date on which it becomes
law.
Approved:
19
Roger Berliner, President, County Council
20
Date
Approved:
21
Isiah Leggett, County Executive
Date
f:\law\bills\1736 development impact tax-exe mptions -applica bility\bi ocx
 PDF to HTML - Convert PDF files to HTML files
LEGISLATIVE REQUEST REP ORT
Expedited Bill 36-17
Taxation
-
Development Impact Tax
-
Exemptions Appli cabil ity
DESCRIPTION:
Expedited Bill 36-17 would reduce the tax burden on previously
approved projects that provide additional dwelling units with at least
25% affordable housing in the addition. The reduced tax burden would
only apply to the additional units.
The current applicability provision for an impact tax exemption in
current law does not allow a development that increases the number of
dwelling units previously approved to take advantage of the
development tax exemption for projects with 25% affordable housing.
The primary goal of Bill 36-17 is to encourage the provision of
affordable housing units beyond the percentage required by law. The
objective is to reduce impact taxes on projects providing a significant
percentage of affordable dwelling units.
County Attorney's Office
To be requested.
To be requested.
To be requested.
To be researched.
Jeff Zyontz, Senior Legislative Analyst, 240-777-7896
To be researched.
PROBLEM:
GOA LS AND
OBJECTIVES:
COORDINATION:
FISC AL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOU RCE OF
INFORMATION:
APPLICATION
WIT HIN
MUNICIPALITIES:
PEN ALTIES:
None.
f:\law\bills\ 1736 development impact tax-exemptions-applicability\lrr.d
ocx
0
 PDF to HTML - Convert PDF files to HTML files
AGENDA ITEM 4E
October 31, 2017
Introduction
MEMO RANDU M
October 27, 2017
TO:
FROM:
SUBJECT:
County Council
lor
Legislative
Analyst
Jeffry
L.
Zyonl
Introduction:
Expedited Bill 36-17, Taxation - Development Impact Tax -
Exemptions - Amendments
Expedited Bill 36-17, Taxation - Development Impact Tax - Exemptions - Amendments,
sponsored by Lead Sponsor Councilmember Floreen, is scheduled to be introduced on October 31.
A public hearing is tentatively scheduled for December 5 at 1:30 p.m.
The primary goal ofBill 36-17 is reducing the tax burden on projects that provide at least
25% affordable housing. The Bill would allow a development that increases the number of
dwelling units previously approved to take advantage of the development tax exemption for
projects with 25% affordable housing. As proposed, a development that provides 25% affordable
units in newly proposed development would qualify for the exemption to the extent of the new
units.
This packet contains:
Expedited Bill 36-17
Legislative Request Report
F:\LAW\BILLS\1736 Development Impact Tax-Exemptions-Applicability\Intro Memo.Docx
Circle#
1
3
 PDF to HTML - Convert PDF files to HTML files
36-17
Expedited Bill No.
Concerning: Taxation - Development
Exemptions
Impact Tax
Amendments
Revised: October 27, 2017 Draft No.
L
October 31, 2017
Introduced:
May 1, 2019
Expires:
(date)
Enacted:
(date signed)
Executive:
(date takes effect)
Effective:
Sunset Date: _N:..:.o=-n=e_ _ _ _ __
(year)
Ch.
_rm_,
Laws of Mont. Co.
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
Lead Sponsor: Councilmember Floreen
AN EXPED ITED ACT
to:
amend the applicability provision of certain development impact taxes; and
(1)
generally amend the law governing development impact taxes.
(2)
By amending
2015 Laws of Montgomery County, Chapter 37
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 followi ng Act:
 PDF to HTML - Convert PDF files to HTML files
EXPEDITED BILL NO.
36-17
1
2
3
4
Sec. 1. Section 2 of Chapter 37 of the 2015 Laws of Montgomery County
is amended as follows:
Sec. 2. Applicability.
.{fil
5
6
7
Except as provided in paragraph
ili1
County Code Section 52-49(g)(5)
and Section 52-89(c)(5), both inserted by Section
1
of this Act, do not
apply to any development which received preliminary subdivision plan
approval or site plan approval (or a similar approval in a municipality)
before this Act took effect.
If an approved development is amended to include additional dwelling
units and at least 25% of the additional dwelling units are exempt under
paragraph
Q1
G1
.Q.1
or .(f) of Section 52-89(c), or any combination of
them, then Section 52-49(g)(5) and Section 52-89(c)(5),
filmly
to the
additional units.
8
9
.(hl
1O
11
12
13
14
Sec. 2.
Expedited Effective Date.
15
16
17
18
The Council declares that this legislation 1s necessary for the immediate
protection of the public interest. This Act takes effect on the date on which it becomes
law.
Approved:
19
Roger Berliner, President, County Council
20
Date
Approved:
21
Isiah Leggett, County Executive
Date
f:\law\bills\1736 development impact tax-exe mptions -applica bility\bi ocx
 PDF to HTML - Convert PDF files to HTML files
LEGISLATIVE REQUEST REP ORT
Expedited Bill 36-17
Taxation
-
Development Impact Tax
-
Exemptions Appli cabil ity
DESCRIPTION:
Expedited Bill 36-17 would reduce the tax burden on previously
approved projects that provide additional dwelling units with at least
25% affordable housing in the addition. The reduced tax burden would
only apply to the additional units.
The current applicability provision for an impact tax exemption in
current law does not allow a development that increases the number of
dwelling units previously approved to take advantage of the
development tax exemption for projects with 25% affordable housing.
The primary goal of Bill 36-17 is to encourage the provision of
affordable housing units beyond the percentage required by law. The
objective is to reduce impact taxes on projects providing a significant
percentage of affordable dwelling units.
County Attorney's Office
To be requested.
To be requested.
To be requested.
To be researched.
Jeff Zyontz, Senior Legislative Analyst, 240-777-7896
To be researched.
PROBLEM:
GOA LS AND
OBJECTIVES:
COORDINATION:
FISC AL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOU RCE OF
INFORMATION:
APPLICATION
WIT HIN
MUNICIPALITIES:
PEN ALTIES:
None.
f:\law\bills\ 1736 development impact tax-exemptions-applicability\lrr.d
ocx
0