(12/2021) This past spring during the FY-2022 budget meetings, there were discussions to reduce the County real property tax rate to the Constant Yield Rate. This was a decrease of approximately $0.023 to $0.0267 and was due to a substantial fund balance being projected from FY 2021. This approximately $74M surplus fund balance was projected to result from higher than budgeted income tax revenue.
Over the summer, I thought about this surplus and how we could help the people of Frederick get back some of their hard earned money. With the support of the administration, I proposed a potential one-time tax rebate to homeowners on their owner-occupied property which would align with the one-time fund balance available. I thought this rebate could take the form of a check payment.
On October 5th, I introduced Bill 21-11, an act to grant a $175.00 County real property tax credit to homeowners on their owner-occupied property with an assessed value of $328,512 or less. The real property tax credit would be issued to 43,503 owners of record as of July 1, 2021, with approximately 9,768 owners residing in my district. I am very happy to report that on Tuesday, November 16th, the Frederick County Council passed Bill 21-11 with a 6-1 vote. The total for this refund is $7.6M. Therefore, beginning in mid-January, some Frederick County residents will receive a cash refund of $175.00 on the property tax they paid earlier this year.
As I wrote in my November submission to this journal, a great opportunity came our way in the form of a building located at 800 Oak Street in Frederick City. This building, that was used years ago by State Farm, will consolidate many County government departments that are currently scattered around Frederick County. The amount of $32M of the fund balance is being used for the purchase and renovation of this building that has so much potential. Approximately $34M remains.
So what else is proposed to happen with the remaining $34M? According to a message that the Council received recently from County Executive Jan Gardner, many wonderful things! The County Executive plans to advance initiatives relating to energy and the environment as well as accelerate school construction to alleviate overcrowding.
Through the Built to Learn Act, the County will be able to take advantage of new State funds that are the result of the advocacy of our County Executive. This legislation allocated $95M to Frederick County and we are required to provide a match. The County will add one-time money to support needed school construction. This is an outstanding opportunity! Some of the school projects that are in the queue for my district include a new or renovated Walkersville High School and a continuation of a limited renovation of Thurmont Elementary School.
As 2021 comes to a close, great things are on the horizon! I want to take this opportunity to wish you a warm and wonderful holiday season and a happy and healthy new year!
If anyone has any questions or comments please contact me at MBlue@FrederickCountyMD.gov or 301-600-1034.
