(a) Definitions. In this Article, the following words and phrases have the following meanings:
Conservation land means real property that is:
(1) (A) used to assist in the preservation of a natural area,
(B) used for the environmental education of the public,
(C) used to promote conservation generally, or
(D) used for the maintenance of:
(i) a natural area for public use; or
(ii) a sanctuary for wildlife; and
(2) (A) subject to a perpetual conservation easement donated to a land trust on or after July 1, 1991;
(B) (i) acquired by a land trust on or after July 1, 1991;
(ii) owned in fee by that land trust; and
(iii) subject to a letter of intent, agreement, or option agreement to convey the property to a government agency; or
(C) owned by the Potomac Conservancy.
Land trust means a “qualified conservation organization” as defined in State law.
(b) Amount of credit.
(1) An owner of conservation land may receive a tax credit equaling 100 percent of any County real property tax imposed on the conservation land, not including any improvements.
(2) However, an owner must not receive a tax credit for any land which:
(A) is actively used for farm or agricultural purposes; and
(B) receives a reduced property tax assessment because of that use.
(c) Allowance and duration of tax credit.
(1) An owner of conservation land must apply for the tax credit under this Article to the Director of Finance by September 1 of any tax year for which the credit would apply, unless a credit already applies to that tax year.
(2) As part of the application, the owner must file with the Director documentation, including a copy of any conservation easement deed, letter of intent, agreement, or option agreement for reconveyance of the property, showing that the land qualifies as conservation land.
(3) The Director may allow a credit for:
(A) a single tax year;
(B) the duration of any conservation easement on the property; or
(C) the time the property is wholly owned by a land trust.
(4) If the ownership or status of any conservation land changes in a way that makes the land ineligible for a tax credit under this Article, the owner must promptly notify the Director of any such change. The Director then must cancel the tax credit, as of the first day of the next month after the land is no longer eligible for a credit, and collect from the owner a pro rata refund of any credit allowed for the current tax year.
(5) If a conservation easement referenced in Section 52-89(a)(2)(A) is terminated, or if a land trust sells conservation land subject to a resale agreement to any person other than a government agency or another land trust, the owner of the land must repay the County all credits allowed under this Article and interest computed at the rate applicable to unpaid taxes when the taxes were due.
(d) Administration of tax credit.
(1) The County Executive may adopt regulations under method (2) to administer this Article.
(2) The Executive must report on the number and dollar value of all applications submitted and tax credits granted under this Article. This information should be included as part of the Executive’s recommended budget and should cover the fiscal year before the fiscal year for which the budget is submitted.
(3) A denial of a tax credit may be appealed to the Maryland Tax Court.
(4) A person must not knowingly file a false or fraudulent application to obtain a tax credit under this Article. A violation of this Article is a Class A violation. In addition to any other applicable penalties, a person who violates this Article must pay the County any taxes and interest offset by the credit and the County’s fees and costs in any action to enforce this Article. (1995 L.M.C., ch. 19, § 1; 1997 L.M.C., ch. 5, § 1; 2010 L.M.C., ch. 49, § 1; 2016 L.M.C., ch. 7, § 2.)