Taxing District

Crofton-style special tax districts could be used to boost school spending under a controversial plan being offered by former Anne Arundel County school board President Michael A. Pace.The Edgewater lawyer is to propose to the county's House delegation this morning a plan to allow sections of the county to create districts to levy property taxes in addition to the county's taxes to raise money for neighborhood schools.Pace said his plan would provide a way around the county's tax cap. But critics say it would widen the gap in education resources between rich and poor areas, between areas where people want to funnel money to schools and where they don't.

The Anne Arundel County Council voted Monday to allow the creation of special taxation districts to pay for the construction of sewers and roads in new subdivisions.The legislation allows developers to shift the cost of building such improvements from themselves to future homeowners, who have liens placed on their homes and must pay monthly fees.County officials argued that the districts will make it easier for middle-class families to buy homes by removing the cost of such improvements from the selling price, thus lowering the amount needed for a down payment.

SPECIAL BENEFITS tax districts are nothing new for Maryland. They have been around since 1929 in Anne Arundel County, where 14 new taxing districts have been created in the past six years. But the situation there is different from Baltimore, which only has two such districts, with voters currently deciding in a mail-in referendum whether to add a third.In Anne Arundel, the best way for many waterfront communities to pay to maintain roads and piers is by placing a special tax on themselves.

Two state senators from Harford County have introduced legislation that would allow the County Council to consider special taxing districts in areas where development is straining infrastructure. The bill, introduced at the request of County Executive James M. Harkins, would allow for special taxing districts - at the request of property owners - to collect fees that would pay for a broad range of services, from schools to water and sewer. Sens. Nancy Jacobs and J. Robert Hooper, both Republicans, introduced the bill last week to meet Friday's Senate filing deadline for legislation.

1/8 TC Carroll's legislative delegation will seek an amendment to enable the county to create special tax districts to help residents in unincorporated areas pay for infrastructure improvements.The County Commissioners requested the legislation in response to a Lineboro group's concerns about failing septic systems and possible well pollution. The delegation agreed to the request, but would allow use of the tax districts only to pay for water and sewer improvements.The districts would function much like homeowners' associations.

They have block-watch patrols and private security guards. But some residents of Bolton Hill still don't believe they've resolved their safety concerns.And some are certain the answer lies in joining forces with Madison Park, Mount Vernon-Belvedere and Charles North to create the city's third special benefits district.Bolton Hill and the other three communities will decide whether they want to pay an additional tax for extra security and sanitation when ballots are mailed Nov. 8. If the answer is yes, the Midtown Community Benefits District will be formed, bringing safety patrols to monitor the area and street sweepers to clean it.Opponents say they don't need another layer of bureaucracy.

For years, residents of waterfront Riviera Beach have paid about $100 in extra annual taxes for their Anne Arundel County community's shoreline, money that has funded everything from dredging projects and bulkhead repairs to fixing the damage from Tropical Storm Isabel. But in recent months, some residents have started questioning how this little-known special tax district has been managing its money. They have focused on a project that was never put out to competitive bid, even as its costs nearly doubled from the original estimate.

While other county residents sign petitions to cap their property taxes, some homeowners in Pasadena actually want to dig deeper in their pockets next year.The community associations for Sun Valley and Cedarwood Grove, two housing developments off Mountain Road, are considering creating special taxing districts to offset the cost of maintaining their private roads and parks.Leaders for both communities suggested seeking additional property taxes to fairly divide the upkeep among all homeowners, instead of burdening association members with higher dues.

Special tax districts, which allow counties to assess communities with a special fee and disperse it to civic boards for specific projects, are illegal uses of public tax dollars, the state's highest court was told yesterday.Robert J. Booze, an attorney representing himself and a group of Cape St. Claire residents, told the Court of Appeals yesterday the $30 a year special benefit tax levied on his community is being spent on beaches and a pier that are closed to the public.The beach is open only to members of the Cape St. Claire Improvement Association.

The Anne Arundel County auditor is questioning whether special taxation districts being considered by the County Council might hurt the county financially.The districts would make it easier for developers to build subdivisions by relieving them of the burden of paying for roads and sewers and shifting the cost into liens for future homeowners.The administration of County Executive John G. Gary is pushing the legislation, arguing that it would help middle-class families buy homes by reducing their down payments.