Restricted Funds

These funds are used to manage the proceeds from specific revenue sources that are legally restricted to expenditures for designated purposes. The County allocates certain revenues exclusively for specific uses. For example, the County’s 1.25 percent transfer tax is designated to fund school site acquisition and construction, park construction and development, housing and community development, agricultural land preservation, and fire and rescue services. Below is a summary of the County’s special revenue funds.

Agricultural Preservation Fund
This fund supports the Agricultural Land Preservation and Promotion Program, which is designed to preserve the open character and agricultural use of land in the County. Funding primarily comes from 20% of the local transfer tax collections.

Commercial Paper Bond Anticipation Note
This fund includes all expenses and revenues related to the Bond Anticipation Note program, which allows the county to secure financing for capital construction projects at reduced interest rates rather than depending on general funds. Any revenue that exceeds costs is returned to the general fund as investment income.

Community Reinvestment and Repair Fund
This fund accounts for the County’s share of the State sales tax imposed on adult-use cannabis, with the proceeds going to support community-based initiatives that benefit low-income communities and communities disproportionately impacted by the enforcement of cannabis prohibition.

Community Renewal Program Fund
This fund was created to provide affordable housing opportunities for residents of all income levels. Funding primarily comes from 15% of the local transfer tax collections.

Disposable Plastics Reduction Fund
This fund accounts for the revenue from a 5-cent fee on each disposable plastic bag sold, as well as the program administration costs.

Environmental Services Fund
Fees collected from users for trash collection, recycling and landfill use are dedicated to this fund to offset the cost of waste collection, disposal and recycling expenses including the operation of the County landfill operation.

Fire and Rescue Tax Fund
This fund supports the operations of the Department of Fire and Rescue and is primarily funded by taxes of $0.206 per $100 of assessed real property value and $0.515 per $100 of assessed personal property value.

Forest Conservation Fund
This fund enables the County to conduct forest mitigation and reforestation inspections in accordance with local and State requirements, using revenues from developers to cover the associated expenses.

Grants Fund
This fund accounts for resources provided to the County by external sources, mainly other governmental entities, for specified purposes.

Housing Opportunities Trust Fund
This fund is used to promote equitable access to affordable housing for households of limited income in the County. 

Opioid Abatement Fund
This fund accounts for the County’s share of settlement proceeds from opioid manufacturers and others in the industry and the permitted use of the funds as outlined in State law.

Program Revenue Fund
This fund, used by various county departments, accounts for income from specific programs and their associated costs.

Recreation and Parks Fund
This fund supports fee-based community recreational programs, services, and events. It covers costs for childcare programs, summer camps, and sports leagues, as well as maintaining athletic fields, pavilions, parks, and historic sites.

Savage Special Tax District
This fund is used to collect any special taxes imposed on property owners in the Savage Towne Centre Tax Increment Financing District when incremental property tax collections are insufficient to meet the debt service obligation on bonds issued to fund infrastructure improvements in the district. 

School Bus Camera Fund
This fund enables the Police Department to run a School Bus Camera program, enhancing safety of students boarding school buses on county roads. It collects revenues from fines paid by drivers who pass stopped school buses during boarding.

Speed Enforcement Fund
This fund supports the Police Department's speed enforcement program to enhance road safety and is funded by fines imposed on drivers exceeding the posted speed limits on designated roadways. Any excess funds above what is needed to operate the program can be allocated to other public safety needs in the capital and operating budget.

Tax Increment Financing Fund
This fund collects incremental property tax revenues on real property located in the Annapolis Junction Town Center and Downtown Columbia Tax Increment Financing Tax Districts to pay the debt service on Special Obligation bonds issued for infrastructure improvements in these districts.

Trust and Agency Multifarious Fund
This fund, used by several county agencies, allows for adequate accounting and control of escrow accounts.

Vaping Settlement Fund
This fund accounts for the County’s share of settlement proceeds from the manufacturers of vaping products and the permitted use of the funds as outlined in State law.

These funds account for certain government operations operated like private businesses and fully supported by user fees and charges. Below is a summary of the County’s enterprise funds.

Broadband Initiative Funds
The County has three Broadband funds (County Government, Non-County Government, and Private Sector) used to manage the delivery of broadband services. Revenues generated come from negotiated fees and charges for services provided.

Recreation Special Facilities Fund
This fund accounts for the operation and management of the Timbers at Troy golf course.

Shared Septic Fund
This fund covers the operation and maintenance of small private shared septic systems in the western part of the County. Developers install these systems, but the County maintains them, with households covering the operation and maintenance costs.

Water and Sewer Operating Fund
This fund covers the operation and maintenance of the County’s water and reclaimed water sewer systems. The County buys potable water from Baltimore City and Washington Suburban Sanitary Commission, rather than owning or operating any water supply facilities. Services are primarily funded through user charges.

Water/Sewer Special Benefits Charges and Capital Projects Fund
This fund is used to account for the financing of water and sewer infrastructure projects, including debt service. 

Watershed Protection and Restoration Fund
This fund provides a sustainable revenue source from stormwater remediation fees for maintaining, operating, and improving the local stormwater management system.

These funds account for goods and services provided by certain County agencies to other County agencies, mainly on a cost reimbursement basis. The County maintains the following four internal service funds.

Employee Benefits Fund
This fund serves as a central pool for County government employee benefits costs, including health and disability insurance. The expenses are covered by user charges.

Fleet Operations Fund
The Central Fleet Operations Division oversees the procurement, operation, and maintenance of all county vehicles, with expenses funded by user charges.

Risk Management Fund
This fund manages the county's risk program, covering Workers' Compensation, General Liability, Auto Liability, Property Liability, Environmental Liability, and the risk management office. The County employs a combination of self-insurance and purchased excess insurance. The Library System, Community College, Economic Development Authority, and Housing Commission also participate. User charges cover expenses.

Technology and Communications Fund
This fund supports the county’s technology department, covering central data processing, geographical information, records management, radio maintenance, and telephone services. The expenses are covered by user charges.