{"data":{"id":"us-md/md.-code-local-government-20-605","jurisdiction":"us-md","citation":"Md. Code, Local Government § 20–605","heading":"","body":"(a) (1) In this section the following words have the meanings indicated.\n(2) “Mobile Telecommunications Sourcing Act” means the federal\nMobile Telecommunications Sourcing Act, 4 U.S.C. §§ 116 through 126.\n(3) “Service address” means:\n(i) except as provided in item (ii) of this paragraph, the\nlocation of the telecommunications equipment to which a call is charged, regardless\nof where the call is billed or paid; and\n(ii) in the case of mobile telecommunications service, the\nlocation of the customer’s place of primary use as defined in the Mobile\nTelecommunications Sourcing Act.\n(b) (1) Except as otherwise provided in this section, a tax imposed under\nthis section applies to telecommunications service that:\n(i) originates and terminates in Prince George’s County; or\n(ii) originates or terminates in Prince George’s County and has\na service address in Prince George’s County.\n(2) Notwithstanding paragraph (1) of this subsection, and except as\nprovided in paragraph (3) of this subsection, for a customer bill to which the\namendment made by the Mobile Telecommunications Sourcing Act applies, a tax\nimposed under this section applies to mobile telecommunications service to the fullest\nextent authorized under § 117(b) of the Mobile Telecommunications Sourcing Act.\n(3) A tax imposed under this section does not apply to:\n(i) telecommunications service provided to a person to whom\na sale of tangible personal property or a taxable service is exempt under § 11–204 or\n§ 11–220 of the Tax – General Article;\n(ii) a prepaid telephone calling arrangement that is taxable\nunder Title 11 of the Tax – General Article; or\n(iii) telephone lifeline service provided under § 8–201 of the\nPublic Utilities Article.\n(c) By ordinance, the County Council for Prince George’s County shall\nimpose at least one of the following:\n(1) a sales and use tax on telecommunications service in Prince\nGeorge’s County at a rate not less than 5%; or\n(2) an excise tax on telecommunications service in Prince George’s\nCounty at a rate not exceeding $3.50 monthly for each telephone line.\n(d) (1) A tax imposed under this section shall be itemized on each bill for\ntelecommunications service in Prince George’s County.\n(2) Each vendor providing telecommunications service in Prince\nGeorge’s County shall collect the tax on behalf of and remit the tax to the county.\n(e) (1) The net proceeds of the revenue from a tax imposed under this\nsection shall be used as follows:\n(i) at least 90% of the net proceeds shall be used for operating\nexpenditures for the Prince George’s County school system; and\n(ii) the remainder shall be used for:\n1. cash payments for capital expenditures for school\nrenovation projects approved by the Prince George’s County Board of Education and\nPrince George’s County; or\n2. payment of debt service on bonds issued by the\ngoverning body of Prince George’s County for school renovation projects approved by\nthe Prince George’s County Board of Education and Prince George’s County.\n(2) The proceeds provided under this section for the Prince George’s\nCounty school system may be used to meet the county’s funding requirements under\n§ 5–235(a) of the Education Article.\n(3) Among the expenditures to be funded from the proceeds, the\nPrince George’s County Board of Education shall consider:\n(i) a program to serve disruptive, delinquent, or low–\nperforming students in grades 6 through 12 that:\n1. provides proof of progress in reading and\nmathematics;\n2. is designed to include small learning communities\nand areas of support services provided by community–based providers; and\n3. is operated by an educational provider with\nsubstantial experience serving the type of student population served by the program\nin separate school facilities provided by the education provider, unless the public\nschool system decides otherwise;\n(ii) a Spanish language immersion program to serve at least\n450 students in kindergarten through grade 5 in order to address long–term labor\nneeds for bilingual employees; and\n(iii) addressing any needs related to capital improvements or\nrenovations that are the result of the deferral of maintenance or other deterioration\nof school facilities.\n(4) On or before December 31 of each year, the governing body of\nPrince George’s County shall submit a report detailing the expenditure of revenues\ngenerated from a tax imposed under this section to the Department of Legislative\nServices, the Prince George’s County school system, and the Prince George’s County\nDelegation of the General Assembly.","path":["Article - Local Government"],"source_url":"https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=glg\u0026section=20-605","current_through":"2026-01-01","vintage":"","retrieved_at":"2026-09-14T19:59:58Z","sha256":"ec8c9e9d6d535225859a852a5a49fa342d5295e75026f61e6ab551f3df684825","source_id":"us-md","stale":false,"prev":"us-md/md.-code-local-government-20-604","next":"us-md/md.-code-local-government-20-606"},"notice":"GroundRules: Original legal text. Not legal advice."}