AGENDA ITEM 6
December 5, 2017
Public Hearing
MEMORANDUM
December 1, 201 7
TO:
FROM:
SUBJECT:
County Council
l
Jeffry
L.
Zyont/, o r Legislative Analyst
Public Hearing:
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, was introduced on October 31. A
Government Operations and Fiscal Policy Committee worksession is tentatively scheduled for
January 18, 2018 at 9:30 a.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
Circle#
1
3
F:\LAW\BILLS\1736 Development Impact Tax-Exemptions-Applicability\PH Memo.Docx
 PDF to HTML - Convert PDF files to HTML files
Expedited Bill No.
36-17
Concerning: Taxation - Development
Impact Tax
Exemptions
Amendments
Revised: October 31, 2017 Draft No. 5_
Introduced:
October 31, 2017
Expires:
May 1, 2019
Enacted:
[date]
Executive:
[date signed)
Effective:
[date takes effect)
Sunset Date: _N=--=-o=n..:.;:e:...__ _ _ _ __
Ch. _ML_, Laws of Mont. Co.
(year)
COU NTY COUNCIL
FOR MONTGOMERY COUNTY, MAR YLA ND
Lead Sponsor: Councilmember Floreen
AN EXPE DITE D ACT
to:
( 1)
amend the applicability provision of certain development impact taxes; and
(2)
generally amend the law governing development impact taxes.
By amending
2015 Laws of Montgomery County, Chapter 37
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Headi ng or define d term.
Added to existing law by origin al bill.
Deleted.from existing law by origin al bill.
Added by amendment.
Delete dfrom existing law or the bill by amendment.
Existing law unaffe cted by bill.
The County Council for Mont gome ry County, Maryland approves the follow ing Act:
 PDF to HTML - Convert PDF files to HTML files
ExPEDITED BILL NO.
36-17
1
2
Sec.
1.
Section 2 of Chapter 37 of the 2015 Laws of Montgomery County
is amended as follows:
Sec. 2. Applicability.
3
4
_w
Except as provided in paragraph
ili1
County Code Section 52-41(g)(5),
formerly 52-49(g)(5).1 and Section 52-54(c)(5), formerly 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.
5
6
7
8
9
1O
11
12
.(hl
If an approved development is amended to include additional dwelling
units and at least 25% of the additional dwelling units are exempt under
paragraph
ffi@ffi
or
ill
of Section 52-54(c), or any combination of
them, then Section 52-4l(g)(5) and Section 52-54(c)(5),
additional units.
13
14
ill2lliY
to
the
15
16
17
18
19
Sec. 2.
Expedited Effective Date.
The Council declares that this legislation is necessary for the immediate
protection of the public interest. This Act takes effect on the date on which it becomes
law.
Approved:
20
Roger Berliner, President, County Council
21
Date
Approved:
22
Isiah Leggett, County Executive
Date
f:\law\bills\
1736
development impact tax-exemptions- applicability\b0c x
 PDF to HTML - Convert PDF files to HTML files
LEGISLATIVE REQUEST REPORT
Expedited Bill 36-17
Taxation
-
Development Impact Tax
-
Exemptions Applicability
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:
GOALS AND
OBJECTIVES:
COORDINATION:
FISCAL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOURCE OF
INFORMATION:
APPLICATION
WITHIN
MUNICIPALITIES:
PENAL TIES:
None.
f:\law\bills\1736 development impact tax-exemptions-applicability\lrr.docx
{])
 PDF to HTML - Convert PDF files to HTML files
AGENDA ITEM 6
December 5, 2017
Public Hearing
MEMORANDUM
December 1, 201 7
TO:
FROM:
SUBJECT:
County Council
l
Jeffry
L.
Zyont/, o r Legislative Analyst
Public Hearing:
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, was introduced on October 31. A
Government Operations and Fiscal Policy Committee worksession is tentatively scheduled for
January 18, 2018 at 9:30 a.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
Circle#
1
3
F:\LAW\BILLS\1736 Development Impact Tax-Exemptions-Applicability\PH Memo.Docx
 PDF to HTML - Convert PDF files to HTML files
Expedited Bill No.
36-17
Concerning: Taxation - Development
Impact Tax
Exemptions
Amendments
Revised: October 31, 2017 Draft No. 5_
Introduced:
October 31, 2017
Expires:
May 1, 2019
Enacted:
[date]
Executive:
[date signed)
Effective:
[date takes effect)
Sunset Date: _N=--=-o=n..:.;:e:...__ _ _ _ __
Ch. _ML_, Laws of Mont. Co.
(year)
COU NTY COUNCIL
FOR MONTGOMERY COUNTY, MAR YLA ND
Lead Sponsor: Councilmember Floreen
AN EXPE DITE D ACT
to:
( 1)
amend the applicability provision of certain development impact taxes; and
(2)
generally amend the law governing development impact taxes.
By amending
2015 Laws of Montgomery County, Chapter 37
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Headi ng or define d term.
Added to existing law by origin al bill.
Deleted.from existing law by origin al bill.
Added by amendment.
Delete dfrom existing law or the bill by amendment.
Existing law unaffe cted by bill.
The County Council for Mont gome ry County, Maryland approves the follow ing Act:
 PDF to HTML - Convert PDF files to HTML files
ExPEDITED BILL NO.
36-17
1
2
Sec.
1.
Section 2 of Chapter 37 of the 2015 Laws of Montgomery County
is amended as follows:
Sec. 2. Applicability.
3
4
_w
Except as provided in paragraph
ili1
County Code Section 52-41(g)(5),
formerly 52-49(g)(5).1 and Section 52-54(c)(5), formerly 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.
5
6
7
8
9
1O
11
12
.(hl
If an approved development is amended to include additional dwelling
units and at least 25% of the additional dwelling units are exempt under
paragraph
ffi@ffi
or
ill
of Section 52-54(c), or any combination of
them, then Section 52-4l(g)(5) and Section 52-54(c)(5),
additional units.
13
14
ill2lliY
to
the
15
16
17
18
19
Sec. 2.
Expedited Effective Date.
The Council declares that this legislation is necessary for the immediate
protection of the public interest. This Act takes effect on the date on which it becomes
law.
Approved:
20
Roger Berliner, President, County Council
21
Date
Approved:
22
Isiah Leggett, County Executive
Date
f:\law\bills\
1736
development impact tax-exemptions- applicability\b0c x
 PDF to HTML - Convert PDF files to HTML files
LEGISLATIVE REQUEST REPORT
Expedited Bill 36-17
Taxation
-
Development Impact Tax
-
Exemptions Applicability
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:
GOALS AND
OBJECTIVES:
COORDINATION:
FISCAL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOURCE OF
INFORMATION:
APPLICATION
WITHIN
MUNICIPALITIES:
PENAL TIES:
None.
f:\law\bills\1736 development impact tax-exemptions-applicability\lrr.docx
{])