Chapter 16.08
STORMWATER MANAGEMENT FEE SYSTEM

Sections:

16.08.010    Findings.

16.08.020    Statutory authority.

16.08.030    Definitions.

16.08.040    Establishment of Stormwater Management Fund.

16.08.050    Purposes of fund.

16.08.060    Imposition of stormwater management fee.

16.08.070    Classification of property—Establishment of fee.

16.08.080    Base rate.

16.08.090    Charges for tax-exempt properties—Exemptions for undeveloped property and for government property used for public purposes.

16.08.100    Assessment notices.

16.08.110    When fee is payable—Interest and penalties—Lien on real property—Abatement of small amounts due.

16.08.120    Requests for correction.

16.08.010 Findings.

A.    The City maintains a system of storm and surface water management facilities, including but not limited to inlets, conduits, manholes, channels, ditches, drainage easements, retention and detention basins, infiltration facilities and other components as well as natural waterways.

B.    The stormwater system in the City needs regular maintenance and improvements.

C.    Water quality is degrading due to erosion and the discharge of nutrients, metals, oil, grease, toxic materials and other substances into and through the stormwater system.

D.    The public health, safety and welfare is adversely affected by poor ambient water quality and flooding that results from inadequate management of both the quality and quantity of stormwater.

E.    All real property in the City either uses or benefits from the maintenance of the stormwater system.

F.    The extent of use of the stormwater system by each property is dependent on factors that influence runoff, including land use and the amount of impervious surface on the property.

G.    The costs of improving, maintaining, operating and monitoring the stormwater system should be allocated, to the extent practicable, to all property owners based on the impact of runoff from the impervious areas of their property on the stormwater management system.

H.    Management of the stormwater system to protect the public health, safety and welfare requires adequate revenues and it is in the interest of the public to finance stormwater management adequately with a user charge system that is reasonable and equitable so that each user of the system pays to the extent to which he or she contributes to the need for it. (Ord. 2021-12, 2021/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-1)

16.08.020 Statutory authority.

Authority for the adoption of a system of charges to fund the implementation of stormwater management programs is conferred on the City by Section 21-625 of the Local Government Article and by Section 4-204(d) of the Environment Article of the Annotated Code of Maryland, as amended. (Ord. 2021-12, 2021/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-2)

16.08.030 Definitions.

For purposes of this chapter, the following words and phrases shall have the meanings indicated:

“Base rate” means the stormwater management fee charged on a base unit.

“Base unit” is equal to 500 square feet of impervious surface for property types.

“Board” means the Stormwater Management Board for Takoma Park established under the Municipal Charter. In accordance with the Municipal Charter, the Council of the City has been designated the Stormwater Management Board.

“Developed property” means real property which has been altered from its natural state by the addition of any improvements, such as buildings, structures or other impervious area.

“Fee” or “stormwater management fee” means the charge established under this chapter and levied on owners of parcels or pieces of real property to fund the costs of stormwater management and of operating, maintaining and improving the stormwater system in the City.

“Fiscal year” means July 1st of a calendar year to June 30th of the next calendar year, both inclusive.

“Impervious surface” means a surface that is compacted or covered with material that is resistant to infiltration by water, including, but not limited to, most conventionally surfaced streets, roofs, sidewalks, patios, driveways, parking lots and any other oiled, graveled, graded, compacted or other surface that impedes the natural infiltration of surface water.

“Impervious surface area” means the number of square feet of horizontal surface covered by buildings and other impervious surfaces. All building measurements shall be made between exterior faces of walls, foundations, columns or other means of support or enclosure.

“Multifamily dwelling” means a building with more than two dwelling units.

“Other developed property” means developed property other than single-family residential property. Such property shall include, but not be limited to, multifamily dwellings, commercial properties, industrial properties, parking lots, hospitals, private schools, private recreational and cultural facilities, hotels, offices and churches.

“Property owner” means the property owner of record as listed in the State assessment roll. A property owner includes any individual, corporation, firm, partnership or group of individuals acting as a unit and any trustee, receiver or personal representative.

“Single-family residential property” means a developed property the primary purpose of which is providing a permanent dwelling unit and that is classified as residential in the State assessment roll. A single-family detached dwelling, or a townhouse, containing an accessory apartment or second dwelling unit is included in this definition.

“State assessment roll” means the official listing of assessments of real property maintained by the State Department of Assessments and Taxation of Maryland.

“Stormwater management” means the planning, design, construction, regulation, improvement, repair, maintenance and operation of facilities and programs relating to water, floodplains, flood control, grading. erosion, tree conservation and sediment control.

“Stormwater Management Fund” or “fund” means the fund created by this chapter to operate, maintain and improve the City’s stormwater system.

“Stormwater system” means the system or network of storm and surface water management facilities, including but not limited to inlets, conduits, manholes, channels, ditches, drainage easements, retention and detention basins, infiltration facilities and other components as well as all natural waterways.

“Undeveloped property” means any property which has three-quarters or less of the base unit of impervious surface area.

“Water” means any stormwater, surface water, snow melt or groundwater. (Ord. 2021-12, 2021/Ord. 2016-9 § 1, 2016/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-3)

16.08.040 Establishment of Stormwater Management Fund.

A.    The stormwater management program is established and the stormwater system is provided to protect the waterways and land in the City by controlling flooding and to protect the natural environment. The costs of designing, developing, improving, operating, maintaining and monitoring the stormwater system required in the City should, therefore, be allocated, to the extent practicable, to all property owners based on their impact on the stormwater system. In order to provide revenue to fund those costs and to fairly allocate those costs, a Stormwater Management Fund (the fund) is established.

B.    All revenues collected from the stormwater management fee and from grants, permit fees and other charges collected under this chapter, shall be deposited to the fund. The Council, acting as the Board, may make additional appropriations to the fund. All disbursements from the fund shall be for the purposes of the fund as set forth in this chapter. (Ord. 2021-12, 2021/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-4)

16.08.050 Purposes of fund.

The fund shall be used for the following purposes:

A.    The acquisition by gift, purchase or condemnation of real and personal property, and interests therein, necessary to construct, operate and maintain stormwater control facilities;

B.    All costs of administration and implementation of the stormwater management program, including the establishment of reasonable operating and capital reserves to meet unanticipated or emergency stormwater management requirements;

C.    Engineering and design, debt service and related financing expenses, construction costs for new facilities, and enlargement or improvement of existing facilities;

D.    Operation and maintenance of the stormwater system;

E.    Monitoring, surveillance and inspection of stormwater control devices;

F.    Stormwater quality monitoring programs;

G.    Retrofitting developed areas for pollution control;

H.    Inspection and enforcement activities;

I.    Billing and administrative costs;

J.    Evaluate the impact of stormwater runoff on private property, or within groups of private properties; and

K.    Other activities which are reasonably required. (Ord. 2021-12, 2021/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-5)

16.08.060 Imposition of stormwater management fee.

A.    An annual service charge is imposed upon all real property in the City, as of July 1st of each fiscal year, beginning July 1, 1996, to fund stormwater management programs. This service charge shall be known as the “stormwater management fee” (fee). Any real property completed or added to the State assessment roll after July 1st or annexed into the City after July 1st may be subject to a partial year charge. The fee is based on:

1.    The extent to which each property creates a need for the stormwater management program;

2.    The amount of impervious area on each property; and

3.    The cost of implementing a stormwater management program.

B.    The fee charged to the owners of single-family residential properties between July 1, 2021, and June 30, 2022, shall not exceed $275.00. Beginning July 1, 2022, the fees charged to the owners of single-family residential properties shall not be so limited.

C.    The City Manager shall establish an application and review process by which lower income property owners may apply for reduction of the fee. (Ord. 2021-12, 2021/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-6)

16.08.070 Classification of property—Establishment of fee.

A.    For purposes of determining the stormwater management fee, all properties in the City are classified into one of the following classes:

1.    Single-family residential property; or

2.    Other developed property.

B.    Single-Family Residential Fee. All single-family residential properties in the City shall be charged a rate based on dividing the total impervious surface area (square feet) of the property by one base unit and multiplying that result by the base rate.

C.    Other Developed Property Fee.

1.    The fee for other developed property in the City shall be a rate based on dividing the total impervious surface area (square feet) of the property by one base unit and multiplying that result by the base rate. The impervious surface area for other developed property is the square footage for the buildings and other improvements on the property as listed in the State assessment roll. Alternatively, at the sole discretion of the City Manager, when evidence suggests that the impervious surface on the property listed in the State assessment roll is inaccurate, the impervious surface area of other developed property may be determined through site examination, mapping information, aerial photographs, and other available information. The minimum stormwater management fee for other developed property shall equal the base rate for single-family residential property.

2.    If the other developed property is a condominium, the fee for each condominium unit will be calculated by dividing the total fee for the condominium property by the number of condominium units in the development and will be billed to each condominium unit owner.

D.    Stormwater Management Fee Credit Program.

1.    There shall be a stormwater management fee credit program that is designed to recognize specific actions or installations a property owner has taken or made to reduce the quantity or improve the quality of stormwater discharged from a particular property.

2.    Approved credits shall not exceed 50% of the total fee assessed to a property owner and shall be applied to the next annual billing cycle provided the reasons for granting the approval remain for the duration of the billing cycle.

3.    The City Manager shall adopt regulations by October 1, 2021, implementing the stormwater management fee credit program.

4.    At a minimum, the stormwater management fee credit program regulations shall:

a.    Define potential credits related to stormwater remediation efforts undertaken on private property;

b.    Consistent with best management practices, define the structural and nonstructural qualifications for the credit;

c.    Establish approval criteria for credits;

d.    Establish approval periods for each type of credit in order to promote maintenance of the stormwater management practice and ensure that the practice provides intended water quality improvement;

e.    Permit property owners who were previously awarded a credit to reapply for a credit for the next approval period;

f.    Establish all necessary forms;

g.    Establish a review process for applications that, when feasible, will be complete within 30 days upon receipt of a completed application, except in the first year of the fee credit program when the review process may allow for up to four months for completion;

h.    Require the City, in the event a fee credit application is rejected, to notify the applicant in writing of any additional documentation and information for reconsideration for approval of the credit and, when reasonably feasible, explain why such documentation and information are necessary after which the applicant may submit a revised application; and

i.    Provide a methodology for rescinding the approval of a credit if the reasons for granting the credit no longer exist and changing the amount credited on a pro rata basis. (Ord. 2021-12, 2021/Ord. 2016-9 § 1, 2016/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-7)

16.08.080 Base rate.

The Council, acting as the Board, shall, by ordinance, establish the annual (fiscal year) base rate for the stormwater management fee. The base rate shall be calculated to ensure adequate revenues to fund the costs of stormwater management and to provide for the operation, maintenance and capital improvements of the stormwater system in the City. (Ord. 2021-12, 2021/Ord. 2016-9 § 1, 2016/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-8)

16.08.090 Charges for tax-exempt properties—Exemptions for undeveloped property and for government property used for public purposes.

A.    The Council finds that all real property in the City contributes to runoff and either uses or benefits from the maintenance of the stormwater system. Therefore, except as otherwise provided in this section, all real property in the City, including property that is exempt from property tax by Title 7 of the Tax-Property Article, Annotated Code of Maryland, as amended, shall be charged the fee.

B.    Undeveloped property shall be exempt from the fee. (Ord. 2021-12, 2021/Ord. 2015-49 § 1, 2015/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-9)

16.08.100 Assessment notices.

A.    Beginning on July 1, 2026, and every five years thereafter, the City Manager shall assess every property and send assessment notices for the fee to property owners prior to the billing for the fee. Nothing herein shall be construed as barring the City from billing property owners for the fee based on existing information in the City’s possession until the new assessment and notice cycle is implemented on July 1, 2026.

B.    Assessment notices shall include the following information:

1.    The classification of the property for purposes of determining the fee;

2.    The impervious surface area of the property;

3.    The method by which the impervious surface area of the property was determined; that is, whether the computation of the impervious surface area of the property is based on information in the State assessment roll, site examination, mapping information, aerial photographs, or other available information; and

4.    The amount of the base rate, and the number of base units on the property. (Ord. 2021-12, 2021/Ord. 2016-9 § 1 (part), 2016/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-10)

16.08.110 When fee is payable—Interest and penalties—Lien on real property—Abatement of small amounts due.

A.    The fee that is due for a fiscal year must be paid within 30 days after the bill is mailed or issued to the property owner and is overdue after that date. An overdue fee bears interest and penalties at the rate of 1.67% for each month or fraction of a month that the fee is overdue.

B.    The fee, including interest and penalties, when overdue is a lien on real property and may be collected in the same manner as delinquent real property taxes or by a suit against the property owner.

C.    The City Manager may abate the fee, including interest and penalties, if the cost of collection is reasonably estimated to exceed the amount of the fee, including any interest and penalties, due and payable.

D.    Unless the County declines to enforce collection of any fee imposed by this chapter, the provisions of this section do not apply to fees collected pursuant to real property tax bills issued by Montgomery County. (Ord. 2021-12, 2021/Ord. 2016-9 § 1, 2016/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-11)

16.08.120 Requests for correction.

A.    A property owner may request correction of the fee by submitting the request in writing to the City Manager within 30 days after the date the assessment notice or the bill is mailed or issued to the property owner. Grounds for correction of the fee include:

1.    Incorrect classification of the property for purposes of determining the fee;

2.    Errors in the square footage of the impervious surface area of the property;

3.    Mathematical errors in calculating the fee to be applied to the property; and

4.    Errors in the identification of the property owner of a property subject to the fee.

B.    A property owner must comply with all rules and procedures adopted by the City when submitting a request for correction of the fee and must provide all information necessary for the City Manager to make a determination on a request for correction of the fee. If a property owner alleges an error in the square footage of the impervious surface area of the property, then the property owner may be required by the City Manager to include with the request for correction a certification by a registered engineer or professional land surveyor of the impervious surface area of the property. Failure to comply with the provisions of this subsection shall be grounds for denial of the request.

C.    The City Manager shall make a determination within 30 days after receipt of the property owner’s completed written request for correction of the fee. At the City Manager’s discretion, the fee may be modified if the property owner is able to establish, through a reasonably reliable method, that the City’s calculation of square footage of impervious surface area on the property is erroneous. The City Manager’s decision on a request for correction of the fee shall be final. (Ord. 2021-12, 2021/Ord. 2016-9 § 1, 2016/Ord. 2001-29 § 2 (part), 2001: prior code § 10D-12)