For Immediate Release: Tuesday, March 21, 2023
From the Offices of Councilmembers Kristin Mink and Will Jawando
Bill 17-23 would raise over $200 million in revenue for MCPS projects over the next five years, in addition to tens of millions for transportation projects and rental assistance
This morning, during the Montgomery County Council’s legislative session, Councilmember Kristin Mink and Councilmember Will Jawando, who chairs the Education and Culture (EC) Committee, introduced legislation to address a budget shortfall for school construction and renovation projects, seeking to prevent looming delays in multiple long-awaited projects across the County.
Montgomery County Public Schools (MCPS) recently identified $165 million in cost increases to school projects in the current six-year Capital Improvements Plan (CIP). Bill 17-23
would cover the projected shortfall, raising over $200 million over the next five years for MCPS capital projects by increasing recordation tax rates. Home buyers pay a one-time recordation tax, based on the sale price, when they purchase a property in Montgomery County.
“The recordation tax is by far the largest source of tax revenue for school construction and renovation projects,” said Councilmember Mink. “This proposal to raise rates is about our schools, and specifically, whether we are going to ensure that young people in Montgomery County get to attend school in safe, adequate facilities.”
“Right now, we have projects on the chopping block that are not trivial. They’re critically needed, overdue, and important to our community. And the list is expected to grow. Passing this bill will dramatically increase our chances of starting and finishing key projects on time.”
“Everyone agrees that we want our kids to attend functional, safe and clean schools,” said Councilmember Jawando. “The cost of building has risen, and we need more funding to build what we need to keep our promises. We have a record deficit in our school construction budget, and we have to address the needs of our students and schools. These things go hand in hand.”
The proposed rates would increase the amount of cash a homebuyer would need to close on the purchase of a home at the County’s median sale price by about one percent.
A public hearing on the bill will be held at 1:30 p.m. on April 11, 2023. The full text of the bill can be viewed here.
For press inquiries, please contact Councilmember Mink’s office at councilmember.mink@montgomerycountymd.gov or Councilmember Jawando’s office at councilmember.jawando@montgomerycountymd.gov.
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Release ID: 23-101