Transportation Development Tax

Transportation Development Tax
Tax on new development, dedicated to transportation improvements.

On Tuesday November 4, 2008 the citizens of Washington County approved Measure No. 34-164, the Transportation Development Tax (TDT). The TDT replaced the previous tax, known as the Traffic Impact Fee (TIF), passed county-wide in 1990. The TDT went into effect on July 1, 2009, increasing the previous TIF rates as well as updating and clarifying various procedures. Once fully phased-in, the TDT will essentially double the rates developers pay for the impact new development has on the transportation system. The TDT is levied countywide including within the Cities.

The TDT has been thoroughly reviewed by the Washington County Coordinating Committee (WCCC). The TDT is based on the estimated traffic generated by each type of development. All revenue is dedicated to transportation capital improvements designed to accommodate growth. Eligible projects are on major roads, including sidewalks and bike lanes, as well as transit capital projects (such as bus shelters).

The TDT is not a property tax. New development is required to pay the tax when a building permit is issued. Temporary uses are exempt. Remodeling or replacement of existing structures are also exempt, except to the extent that the remodel or replacement creates additional demands on the transportation system. Opportunities existing for development to defer the charge until occupancy or pay the charge over time. Development may also receive credit towards the TDT for constructing eligible transportation improvements.

The TDT rates were scheduled to be phased over a 4-year time period. Given current economic conditions, the Board of County Commissioners has adopted an Ordinance (A-Engrossed No 746) which delayed the final step-increase of the TDT rate phase-in schedule to July 30, 2015. This delay will be reviewed in the spring of 2013 and 2014. The final step increase would otherwise have taken effect on July 1, 2012.

TDT Forms

TDT Code Language & Rules

Transportation Development Tax