Lt. Gov. Anthony Brown told lawmakers Monday that the O?Malley administration is advocating three new pieces of legislation to aid the federal Base Realignment and Closure process (BRAC), which Brown is in charge of implementing.
In the first hearing by the new Joint Committee on BRAC, Brown said officials want to designate a new higher education fund to help institutions respond to the education needs of new residents. They also want to provide new economic development tax credits to assist developers providing office space for the 40,000 to 60,000 employees who may materialize. The BRAC sub-cabinet under Brown also would like to allow counties to negotiate payments in lieu of taxes (PILOTs) with private developers putting up buildings on federal land for the influx of Defense Department employees.
It appears that the new buildings to be built, owned and operated by private developers at Fort Meade, Aberdeen Proving Ground and Edgewood “are subject to state and local property taxes,” Brown said, although they are not covered by development fees or adequate facility ordinances.
Upfront payments in lieu of taxes to be paid out over years would allow the counties to pay for “the necessary infrastructure” such as road, water and sewer improvements to handle the growth, Brown said.
Brown told the senators and delegates that the administration?s budget was still being prepared but he would like to see $10 million set aside for a new higher education fund, part of the $55 million fund created last month by the special session through an increase in the corporate income tax. He said he wasn?t sure how much money would be available for the tax credits.
