It probably seemed like a simple idea at the time: Make Queen Anne's County developers pay for the impact their projects have on the county's infrastructure. 

But the Board of County Commissioners' proposal to triple impact fees for development in some cases has instead turned the county into a battleground. 

In one camp are those who want the increased fees to pay for services such as volunteer fire departments and schools. In the other are those who think the increased fees will kill any chance of bringing businesses to the county and improving its economy. 

"There is a war in progress," Grasonville resident Thomas Oyster said yesterday at a public hearing in Centreville attended by more than 100 people. 

It was the second hearing held on the proposed ordinance, which was amended in March after Queen Anne's County Chamber of Commerce members said the fees would harm economic development. 

The amendment lowered the proposed impact fee for building a single-family home from $6,854 to $6,335. 

The current fee is $2,335 and goes to support schools and emergency services. The new fee would help support schools, community parks, fire stations and equipment, but not law enforcement or other emergency services. 

The commissioners are also changing the commercial rate of 15 cents per square foot to a range of 30 cents to $1.53 per square foot depending on the project. 

That is nearly 43 percent lower than the October proposal, which set fees from 52 cents to as much as $2.20 per square foot based on the classification. 

In addition, a project in an incorporated town or area designated for growth would get a 50 percent reduction in impact fees. 

By comparision, Anne Arundel County last year increased its impact fee for a new home by 55 percent, from $2,629 to $4,069. 

Fees for office space now range from $1,107 to $1,789 depending on the structure's size. Hotel developers here are charged $1,031 per room. 

Despite the reductions and discounts in the Queen's Anne's proposal, many businessmen and real estate agents said yesterday that the current fees will still drive developers to other Eastern Shore counties where there are no fees or to Western Maryland counties where the fees tend to be much lower. 

"We do feel there is a need for the fees, but we feel the numbers are excessive," said Shirley Joyce, president of the Bay Area Association of Realtors. 

Dan Cannon, chairman of the county Housing Authority, said the increased rates would put some homes that were once affordable to lower-income families out of their price range. 

"I believe the volunteer fire departments need improved equipment but I don't think that a single source of revenue is the answer," he said. "You need to look at all the other possible sources as well." 

Bill Stoops, a representative of the Queen Anne's County Chamber of Commerce, said the county should instead continue to lobby the state General Assembly to allow it to increase its home transfer tax. 

"Does Queen Anne's want to be known as one of the most expensive counties in the state to do business?" he said. 

Many residents say current taxpayers need help paying for the impact of growth. The county has grown from 33,953 people in 1990 to 41,450 people in 2000. 

Mr. Oyster said he believes the county is attractive enough that it can afford to be choosey by setting higher impact fee rates. 

"This lovely land is desired," he said. "We can demand the best type of development." 

If approved, the ordinance would apply to all projects that don't yet have building permits. 

This includes 2,800 homes planned in three Kent Island projects: Four Seasons, Gibson's Grant and Ellendale. 

It would also affect the proposed Wal-Mart near the foot of the Bay Bridge. 

The commissioners are expected to vote on the proposed ordinance on May 21 at the weekly meeting in Centreville's Liberty Building. 

Additional comments can be sent to the commissioners up until May 20 at 170 N. Liberty Street, Centreville, MD 21617 or by e-mailing qacc@qac.org.

mmohsberg@capitalgazette.com 
 

Published May 8, 2002, The Capital, Annapolis, Md.
Copyright © 2002 The Capital, Annapolis, Md.

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