St. Mary's County hearing draws opposition to plan to extend building excise tax into Leonardtown; commissioner faces conflict claim

St. Mary's County held a public hearing on proposed amendments to its building excise tax ordinance on March 10, 2026, drawing multiple speakers who warned that extending the county excise tax into Leonardtown would duplicate municipal impact fees, raise housing costs and threaten affordable senior housing.

County Attorney Buffy Giddens told the Board the amendments are primarily clarifying changes intended to make explicit that municipalities are included and to move the timing of collection from issuance of a building permit to issuance of an occupancy permit. Giddens said the amendments do not raise the tax rate, alter allocation formulas or add new taxable categories and that the county had received two written comments ahead of the hearing.

Why it matters: The change would affect how and when developers are charged and whether municipal development would also pay the county excise tax on top of local impact fees. If applied inside Leonardtown, multiple speakers said, the change could produce duplicated charges for the same infrastructure work.

Representing the Southern Maryland Association of Realtors, Chris Hill said the organization opposes expansion into Leonardtown. "Expanding the county's excise tax into Leonardtown would ultimately raise housing costs for residents and make homeownership less attainable," Hill said, noting that Leonardtown already charges impact fees cited in town materials at roughly $24,000 per equivalent dwelling unit. Hill called the county proposal a "second tax increase" for municipal residents.

Ryan Daniels, a candidate for county commissioner, and Dan Barris, who identified himself as a resident of Leonardtown and the town's mayor, echoed concerns that applying the county excise tax inside town limits would burden homebuyers who already pay municipal impact fees and local taxes. Barris submitted a letter from the town attorney and said the town has previously cooperated with the county on infrastructure and expects negotiation rather than unilateral change.

Brandon Russell, a Leonardtown resident, questioned whether the excise tax has been fairly applied historically. Russell said the county's current flat residential excise tax is about $6,700, while a 2018 county study estimated the actual impact of a new dwelling unit at about $23,000 (roughly $30,000 in today's dollars), arguing the current rate understates development impacts and that small local businesses near the town square could be harmed if the tax is implemented without protections.

Eric Gordon, president and CEO of Cedar Lane Senior Living Community in Leonardtown, urged the commissioners to exempt or craft alternative policies for senior affordable multifamily housing. "These projects operate on fixed rents and extremely tight margins," Gordon said. "There is no way to absorb that cost. In many cases, that tax alone is enough to make a project financially infeasible, meaning it never gets built." He warned that failing to build such housing reduces long-term county revenue and prevents seniors from aging in place.

The hearing also featured an allegation of a potential conflict of interest. Greg Tolleson, a resident who spoke during public comment, asked the commissioners to "address that potential conflict of interest with Mr. Mike Hewitt and his financial holdings in real estate properties." Commissioner Mike Hewitt responded directly, saying he owns 75 acres in Hollywood that are held in a Department of Natural Resources easement with no development rights and described modest residential holdings; he said the land cited could not be developed and therefore would not benefit from the change.

No vote or formal action was taken at the hearing. County Administrator David Weiskopf reminded attendees that written public comments will be accepted through close of business on March 17, 2026, and provided an email and mailing address for submissions. The Board will consider the record and any additional comments before taking a decision.