School Facilities Surcharge Reductions/ Exemptions
Effective July 1, 2023, the School Facilities Surcharge and Public Safety Surcharge fees were adjusted for inflation for Fiscal Year 2024 by an increase of 4.9% on new residential construction for which a building permit is issued, as required by Maryland State Law and ordinances (CR-063-2023 and CR-069-2023) enacted by the Prince George’s County Council per the Consumer Price Index for All Urban Consumers published by the United States Department of Labor. Click to view the "Notice: School Facilities Surcharge and Public Safety Impact Fees Adjusted."
Pursuant to the Prince George’s County Code, except for residential construction in certain areas qualified for a reduction in the School Facilities Surcharge, the School Facilities Surcharge for Fiscal Year 2024 shall be $11,560 for permits issued for buildings located between Interstate Highway 495 and the District of Columbia. For permits issued for buildings included within a Basic Plan or Conceptual Site Plan that abut existing or planned mass transit rail station sites operated by the Washington Metropolitan Area Transit Authority (WMATA), the fee shall also be $11,560. The fee shall be $19,826 for permits issued for all other buildings.
Additionally, pursuant to the Prince George’s County Code, the Public Safety Surcharge shall be $3,123 for permits issued for construction located inside the Transportation Service Area I as defined by the Maryland─National Capital Park and Planning Commission in the Prince George’s County Approved General Plan and for construction in an area included in a Basic Plan or Conceptual Site Plan that abuts an existing or planned mass transit rail station site operated by WMATA and that complies with the requirements of any Sector Plan, Master Plan or Overlay Zone approved by the Prince George’s County District Council. The Public Safety Surcharge shall be $9,362 for all other buildings.
Reductions
In order to incentivize the development of multifamily housing near transit, Prince George’s County offers a reduction in the school surcharge fee when multifamily properties are within:
¼ mile from a metro
The Bowie MARC Station Community Center Designation Area
An approved Transit District Overlay Zone (TDOZ)
Multifamily properties that qualify for this reduction based on their location in these eligible areas will see their surcharge reduced by 50%--from $15,489 per unit to $7,745, or from $9,035 per unit to $4,518 per unit (as of FY 21). For more information, contact the Economic Development Corporation at 301-583-4650 and ask to speak with a Business Development Specialist.
Exemptions
Prince George’s County also offers an incentive to developments that contain studio or efficiency apartments and are within:
¼ mile of a metro
An approved Transit District Overlay Zone (TDOZ)
In other limited circumstances. In these areas, the school facility surcharge does not apply at all to dwelling units that are studio apartments or efficiency apartments