(a) In addition to the tax due under this Article, an applicant for a building permit must pay to the Department of Finance a Utilization Premium Payment if such payment was required under the Annual School Test in effect at the time the building was approved.
(b) The Council by resolution, after a public hearing advertised at least 15 days in advance, must establish the rates for the Utilization Premium Payment.
(c) The Director of Finance, after advertising and holding a public hearing, must adjust the rates set in or under this Section effective on July 1 of each odd-numbered year in accordance with the update to the Subdivision Staging Policy using the latest student generation rates and school construction cost data. The Director must calculate the adjustment to the nearest multiple of one dollar. The Director must publish the amount of this adjustment not later than May 1 of each odd-numbered year.
(d) The Payment must be paid at the same time and in the same manner as the tax under this Article.
(e) The Department of Finance must retain funds collected under this Section in an account to be appropriated for any public school improvement that adds capacity designed to alleviate overutilization in the school service area from which the funds were collected.
(f) The Utilization Premium Payment must not be imposed on any:
(1) Moderately Priced Dwelling Unit built under Chapter 25A or any similar program enacted by either Gaithersburg or Rockville;
(2) other dwelling unit built under a government regulation or binding agreement that limits for at least 15 years the price or rent charged for the unit in order to make the unit affordable to households earning equal to or less than 60% of the area median income, adjusted for family size;
(3) Personal Living Quarters unit built under Section 59-3.3.2.D, which meets the price or rent eligibility standards for a moderately priced dwelling unit under Chapter 25A; or
(4) dwelling unit in an Opportunity Housing Project built under Sections 56-28 through 56-32, which meets the price or rent eligibility standards for a moderately priced dwelling unit under Chapter 25A. (2020 L.M.C., ch. 37, § 1.)
Editor’s note—Former Section 52-59 (originally Section 52-94), relating to school facilities payment, was repealed by §1 of 2016 L.M.C., ch. 36. The section was derived from 2003 L.M.C., ch. 26, § 1; 2007 L.M.C., ch. 16, § 1; 2010 L.M.C, ch. 35, § 2; 2012 L.M.C., ch. 28, § 2; and 2016 L.M.C., ch. 7, § 2.
2011 L.M.C., ch. 19, § 2, states, in part: The payment date for the development impact tax imposed under Articles VII and XII (now Articles IV and V, 2016 L.M.C., ch. 7, § 1) of Chapter 52, as amended by Section 1 of this Act, applies to any building for which an application for a building permit is filed on or after that date. The payment date for the Transportation Mitigation Payment and School Facilities Payment, imposed respectively under Section 52-59 and 52-94 (now Sections 52-51 and 52-59, 2016 L.M.C., ch. 7, § 1), apply to any Payment required on or after that date.