Maryland's "Rain Tax"

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Maryland's "rain tax" was implemented in 2012 through the Watershed Protection and Restoration Act to fund stormwater management aiming to reduce the level of pollution in the Chesapeake Bay. This bill, HB 987, utilized a stormwater fee in the ten most urban jurisdictions in Maryland.

Contents

Background

The first stormwater fee nationwide was enacted in Washington in 1974. [1] There are now nearly 1,500 jurisdictions with similar policies to address stormwater management. [2] Numerous counties in Maryland have implemented fees and programs to address polluted runoff since the 1980s. [2] In 2010, the U.S. EPA ordered the states in the Chesapeake Bay watershed to reduce stormwater runoff through independent funding methods. [3] Maryland voted to use stormwater fees to cover the $14.8 billion cost. [3]

The "Rain Tax"

The "rain tax" raised revenue to improve the stormwater management system while creating a financial incentive to minimize the construction of and replace current impervious surfaces. [4] Collection of the stormwater fee on impervious surfaces varied from annually on the property tax bill to quarterly on the water bill. [3] The rates and number of square feet used to calculate the Equivalent Residential Unit were set by local officials across the ten jurisdictions to adequately finance the work needed to meet the targets of the Chesapeake Clean Water Blueprint. [5] The revenue collected was used to maintain and repair the stormwater infrastructure to reduce pollution, improve water quality, and enhance the livability of these jurisdictions. [2]

Outcomes

Frederick County adopted an annual tax of one cent in protest, while Carroll County refused to impose any tax. [6] Government agencies sited on properties with impervious surfaces, including the Department of Navy, declined to pay the stormwater fee. [5] State and local governments and volunteer fire departments were exempt whereas churches and non-profit organizations were not. [3] Residents and businesses had the opportunity to participate in stormwater remediation projects to lower their fees. [3] In 2015, revisions eliminated the tax mandate and allowed each jurisdiction to determine whether to impose the tax. [6] These jurisdictions are still required to clean up stormwater pollution and must demonstrate that they have adequate funding and plans to address the issue. [2] Funding must be assigned to a dedicated fund, now financed from the stormwater fee or general revenues. [2] Jurisdictions, including Baltimore City, have chosen to continue to fund stormwater pollution cleanup through the fee. [7]

Related Research Articles

<span class="mw-page-title-main">Chesapeake Bay</span> Estuary in the U.S. states of Maryland and Virginia

The Chesapeake Bay is the largest estuary in the United States. The Bay is located in the Mid-Atlantic region and is primarily separated from the Atlantic Ocean by the Delmarva Peninsula, including parts of the Eastern Shore of Maryland, the Eastern Shore of Virginia, and the state of Delaware. The mouth of the Bay at its southern point is located between Cape Henry and Cape Charles. With its northern portion in Maryland and the southern part in Virginia, the Chesapeake Bay is a very important feature for the ecology and economy of those two states, as well as others surrounding within its watershed. More than 150 major rivers and streams flow into the Bay's 64,299-square-mile (166,534 km2) drainage basin, which covers parts of six states, New York, Pennsylvania, Delaware, Maryland, Virginia, and West Virginia, and all of Washington, D.C.

<span class="mw-page-title-main">Stormwater</span> Water that originates during precipitation events and snow/ice melt

Stormwater, also written storm water, is water that originates from precipitation (storm), including heavy rain and meltwater from hail and snow. Stormwater can soak into the soil (infiltrate) and become groundwater, be stored on depressed land surface in ponds and puddles, evaporate back into the atmosphere, or contribute to surface runoff. Most runoff is conveyed directly as surface water to nearby streams, rivers or other large water bodies without treatment.

<span class="mw-page-title-main">Water pollution</span> Contamination of water bodies

Water pollution is the contamination of water bodies, usually as a result of human activities, so that it negatively affects its uses. Water bodies include lakes, rivers, oceans, aquifers, reservoirs and groundwater. Water pollution results when contaminants mix with these water bodies. Contaminants can come from one of four main sources: sewage discharges, industrial activities, agricultural activities, and urban runoff including stormwater. Water pollution is either surface water pollution or groundwater pollution. This form of pollution can lead to many problems, such as the degradation of aquatic ecosystems or spreading water-borne diseases when people use polluted water for drinking or irrigation. Another problem is that water pollution reduces the ecosystem services that the water resource would otherwise provide.

<span class="mw-page-title-main">Anacostia River</span> River in Maryland and the District of Columbia, United States

The Anacostia River is a river in the Mid Atlantic region of the United States. It flows from Prince George's County in Maryland into Washington, D.C., where it joins with the Washington Channel and ultimately empties into the Potomac River at Buzzard Point. It is about 8.7 miles (14.0 km) long. The name "Anacostia" derives from the area's early history as Nacotchtank, a settlement of Necostan or Anacostan Native Americans on the banks of the Anacostia River.

<span class="mw-page-title-main">Rain garden</span> Runoff reducing landscaping method

Rain gardens, also called bioretention facilities, are one of a variety of practices designed to increase rain runoff reabsorption by the soil. They can also be used to treat polluted stormwater runoff. Rain gardens are designed landscape sites that reduce the flow rate, total quantity, and pollutant load of runoff from impervious urban areas like roofs, driveways, walkways, parking lots, and compacted lawn areas. Rain gardens rely on plants and natural or engineered soil medium to retain stormwater and increase the lag time of infiltration, while remediating and filtering pollutants carried by urban runoff. Rain gardens provide a method to reuse and optimize any rain that falls, reducing or avoiding the need for additional irrigation. A benefit of planting rain gardens is the consequential decrease in ambient air and water temperature, a mitigation that is especially effective in urban areas containing an abundance of impervious surfaces that absorb heat in a phenomenon known as the heat-island effect.

<span class="mw-page-title-main">Nonpoint source pollution</span> Pollution resulting from multiple sources

Nonpoint source (NPS) pollution refers to diffuse contamination of water or air that does not originate from a single discrete source. This type of pollution is often the cumulative effect of small amounts of contaminants gathered from a large area. It is in contrast to point source pollution which results from a single source. Nonpoint source pollution generally results from land runoff, precipitation, atmospheric deposition, drainage, seepage, or hydrological modification where tracing pollution back to a single source is difficult. Nonpoint source water pollution affects a water body from sources such as polluted runoff from agricultural areas draining into a river, or wind-borne debris blowing out to sea. Nonpoint source air pollution affects air quality, from sources such as smokestacks or car tailpipes. Although these pollutants have originated from a point source, the long-range transport ability and multiple sources of the pollutant make it a nonpoint source of pollution; if the discharges were to occur to a body of water or into the atmosphere at a single location, the pollution would be single-point.

<span class="mw-page-title-main">Surface runoff</span> Flow of excess rainwater not infiltrating in the ground over its surface

Surface runoff is the unconfined flow of water over the ground surface, in contrast to channel runoff. It occurs when excess rainwater, stormwater, meltwater, or other sources, can no longer sufficiently rapidly infiltrate in the soil. This can occur when the soil is saturated by water to its full capacity, and the rain arrives more quickly than the soil can absorb it. Surface runoff often occurs because impervious areas do not allow water to soak into the ground. Furthermore, runoff can occur either through natural or human-made processes.

Runoff is the flow of water across the earth, and is a major component in the hydrological cycle. Runoff that flows over land before reaching a watercourse is referred to as surface runoff or overland flow. Once in a watercourse, runoff is referred to as streamflow, channel runoff, or river runoff. Urban runoff is surface runoff created by urbanization.

<span class="mw-page-title-main">Sustainable drainage system</span>

Sustainable drainage systems are a collection of water management practices that aim to align modern drainage systems with natural water processes and are part of a larger green infrastructure strategy. SuDS efforts make urban drainage systems more compatible with components of the natural water cycle such as storm surge overflows, soil percolation, and bio-filtration. These efforts hope to mitigate the effect human development has had or may have on the natural water cycle, particularly surface runoff and water pollution trends.

<span class="mw-page-title-main">Best management practice for water pollution</span> Term used in the United States and Canada to describe a type of water pollution control

Best management practices (BMPs) is a term used in the United States and Canada to describe a type of water pollution control. Historically the term has referred to auxiliary pollution controls in the fields of industrial wastewater control and municipal sewage control, while in stormwater management and wetland management, BMPs may refer to a principal control or treatment technique as well.

Hickey Run is a tributary stream of the Anacostia River in Washington, D.C.

The Alliance for the Chesapeake Bay (Alliance) is a regional nonprofit organization that builds and fosters partnerships and consensus to protect and to restore the Chesapeake Bay and its rivers and streams. Their motto is "Together, we can get the job done!".

<span class="mw-page-title-main">Urban runoff</span> Surface runoff of water caused by urbanization

Urban runoff is surface runoff of rainwater, landscape irrigation, and car washing created by urbanization. Impervious surfaces are constructed during land development. During rain, storms, and other precipitation events, these surfaces, along with rooftops, carry polluted stormwater to storm drains, instead of allowing the water to percolate through soil. This causes lowering of the water table and flooding since the amount of water that remains on the surface is greater. Most municipal storm sewer systems discharge untreated stormwater to streams, rivers, and bays. This excess water can also make its way into people's properties through basement backups and seepage through building wall and floors.

<span class="mw-page-title-main">Nutrient pollution</span> Contamination of water by excessive inputs of nutrients

Nutrient pollution, a form of water pollution, refers to contamination by excessive inputs of nutrients. It is a primary cause of eutrophication of surface waters, in which excess nutrients, usually nitrogen or phosphorus, stimulate algal growth. Sources of nutrient pollution include surface runoff from farm fields and pastures, discharges from septic tanks and feedlots, and emissions from combustion. Raw sewage is a large contributor to cultural eutrophication since sewage is high in nutrients. Releasing raw sewage into a large water body is referred to as sewage dumping, and still occurs all over the world. Excess reactive nitrogen compounds in the environment are associated with many large-scale environmental concerns. These include eutrophication of surface waters, harmful algal blooms, hypoxia, acid rain, nitrogen saturation in forests, and climate change.

Back River is a tidal estuary in Baltimore County, Maryland, located about 2 miles (3 km) east of the city of Baltimore. The estuary extends from Essex, Maryland, southeast for about 8.8 miles (14.2 km) to the Chesapeake Bay. The watershed area is 39,075 acres (15,813 ha) and includes Essex Skypark Airport and the Back River Wastewater Treatment Plant. The river is shared between Essex, MD, Dundalk, MD, and Edgemere, MD

<span class="mw-page-title-main">Philadelphia Water Department</span>

The Philadelphia Water Department is the public water utility for the City of Philadelphia. PWD provides integrated potable water, wastewater, and stormwater services for Philadelphia and some communities in Bucks, Delaware and Montgomery counties. PWD is a municipal agency of the City of Philadelphia, and is seated in rented space at the Jefferson Tower in the Market East area of Center City, Philadelphia.

A stormwater fee is a charge imposed on real estate owners for pollution in stormwater drainage from impervious surface runoff.

<span class="mw-page-title-main">Low-impact development (U.S. and Canada)</span>

Low-impact development (LID) is a term used in Canada and the United States to describe a land planning and engineering design approach to manage stormwater runoff as part of green infrastructure. LID emphasizes conservation and use of on-site natural features to protect water quality. This approach implements engineered small-scale hydrologic controls to replicate the pre-development hydrologic regime of watersheds through infiltrating, filtering, storing, evaporating, and detaining runoff close to its source. Green infrastructure investments are one approach that often yields multiple benefits and builds city resilience.

A runoff footprint is the total surface runoff that a site produces over the course of a year. According to the United States Environmental Protection Agency (EPA) stormwater is "rainwater and melted snow that runs off streets, lawns, and other sites". Urbanized areas with high concentrations of impervious surfaces like buildings, roads, and driveways produce large volumes of runoff which can lead to flooding, sewer overflows, and poor water quality. Since soil in urban areas can be compacted and have a low infiltration rate, the surface runoff estimated in a runoff footprint is not just from impervious surfaces, but also pervious areas including yards. The total runoff is a measure of the site’s contribution to stormwater issues in an area, especially in urban areas with sewer overflows. Completing a runoff footprint for a site allows a property owner to understand what areas on his or her site are producing the most runoff and what scenarios of stormwater green solutions like rain barrels and rain gardens are most effective in mitigating this runoff and its costs to the community.

<span class="mw-page-title-main">Union Mills Reservoir</span> Proposed, unfunded, unbuilt reservoir near Union Mills, Carroll County, Maryland, USA

A proposed Union Mills Reservoir represents a half century of efforts by the Commissioners of the Carroll County, Maryland, to build variations on a "dam" or "reservoir" near Union Mills, Maryland, on the Big Pipe Creek, defeated by a petition led by the Carroll County Taxpayers' Committee in the 1970s. The plan may be alive among some county officials but may also be postponed "indefinitely." Land threatened by the reservoir includes the Whittaker Chambers Farm, also known as the Pipe Creek Farm, a National Historic Landmark as well as protected under the Maryland Agricultural Land Preservation Foundation (MALPF).

References

  1. Cappiella, Karen (January 31, 2014). "Maryland's "Rain Tax" Debunked". PRLog. Ellicott City: Center for Watershed Protection. Retrieved December 3, 2020.
  2. 1 2 3 4 5 "The Facts About Polluted Runoff and Maryland's Stormwater Utility Fees". Chesapeake Bay Foundation . Retrieved December 3, 2020.
  3. 1 2 3 4 5 McIntyre, Lee; Ahmed, Nawaz (January 30, 2014). "Does the "Rain Tax" Affect You?". MKS&H. Retrieved December 3, 2020.
  4. Yglesias, Matthew (November 6, 2014). "How did Democrats lose Maryland? Meet the rain tax". Vox . Retrieved December 3, 2020.
  5. 1 2 Brown, Travis (January 3, 2014). "When It Rains, It Pours Tax Dollars In Maryland". Forbes . Retrieved December 3, 2020.
  6. 1 2 Walczak, Jared (April 14, 2015). "Maryland's Rain Tax Mandate Washed Away". Tax Foundation . Retrieved December 3, 2020.
  7. "Stormwater Management". Baltimore City Department of Public Works. City of Baltimore. Retrieved December 3, 2020.