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The Council is pleased to present “Legislative Matters,” a new tool providing an “at-a-glance” summary of proposed legislative initiatives of interest to County residents.
 The Prince George’s County Council, during a virtual session on Tuesday, June 23, 2020, introduced and discussed a proposed Charter Amendment, CB-48-2020, on the Homestead Property Tax Credit Cap, for potential placement on the ballot in the November General Election. The Council will hold a public hearing on this measure and several proposed bond bills, on Tuesday, July 21, 2020, prior to a final vote. If enacted, these bills will be processed to appear as a referendum on the November ballot, for a final decision by Prince George’s County voters. CLICK HERE for the Council’s Legislative and Zoning Information System (LZIS), to review each of the bills.
 To help homeowners deal with large assessment increases on their principal residence, state law has established the Homestead Property Tax Credit. The Homestead Credit limits the increase in taxable assessments each year to a fixed percentage. Every county and municipality in Maryland is required to limit taxable assessment increases to 10% or less each year.
Technically, the Homestead Credit does not limit the market value of the property as determined by the Maryland Department of Assessments and Taxation. Instead, it a credit calculated on any assessment increase exceeding 10% (or the lower cap enacted by the local governments) from one year to the next. The credit is calculated based on the 10% limit for purposes of the State property tax, and 10% or less (as determined by local governments) for purposes of local taxation. In other words, the homeowner pays no property tax on the market value increase which is above the limit.
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 In 1992, Prince George’s County residents, through a voter-approved referendum question, imposed the current County Homestead Property Tax Credit Cap in the County Charter Section 812 (d):
“In accordance with the provisions of Section 9-105 of the Tax-Property Article of the Annotated Code of Maryland, on or before January 1 of each year, the County Council shall set, by law, the homestead credit percentage for the taxable year beginning the following July 1. The homestead credit percentage shall be no greater than 100% plus the percentage of increase in the Consumer Price Index (CPI) for the previous twelve months, rounded to the nearest whole number, but not more than 105%.” Prince George’s has operated under this Cap for over 28 years, with a financial impact on residents and the County. Prince George’s County has only hit the 105% Cap twice in nearly 30 years, because of the CPI requirement."
 In order to meet the Charter and State law certification requirements, as well as the Council legislative calendar, any Council Charter Amendment must have been introduced by the end of June; be subject to a Public Hearing and enacted by the end of July. In this case, CB-48-2020 was presented on June 23rd; heard in the Council’s Committee of the Whole, and favorably recommended by a vote of 8-3.
Section 1105 of the County Charter sets for the procedure and timing for a Charter Amendment question to be placed on the ballot for consideration.
“Amendments to this Charter may be proposed by an act of the Council approved by not less than two-thirds of the members of the full Council, and such action shall be exempt from executive veto. Amendments may also be proposed by petition filed with the County Executive and signed by 10,000 registered voters of the County. When so proposed, whether by act of the Council or by petition, the question shall be submitted to the voters of the County at the next general election occurring after the passage of said act or the filing of said petition; and if at said election the majority of votes cast on the question shall be in favor of the proposed amendment, such amendment shall stand adopted from and after the thirtieth day following said election. Any amendments to this Charter, proposed in the manner aforesaid, shall be published by the County Executive in the County newspapers of record and in media for public notice as defined in Section 1008 of this Charter for five successive weeks prior to the election at which the question shall be considered by the voters of the County.”
If enacted, the proposed Charter Amendment in CB-48-2020, once certified by the County Attorney, and transmitted to the Prince George’s County Board of Elections, would be placed on the November General Election ballot for a final decision by County voters.
 CB-48-2020 is scheduled for Public Hearing on Tuesday July 21, 2020, prior to any vote by the Council to place it on the November ballot. On July 21st, the Council will also adopt legislation for the ordering of all questions approved for placement on the November ballot, including five (5) bond bills for referendum, approved on June 23rd and scheduled for public hearing in July 21st. To speak at the public hearings for these bills, or any other proposed legislation, please sign up via the Council’s E-Comment Portal.
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