Md. Senate Bill Would Allow Municipalities to Keep Misdirected M - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Md. Senate Bill Would Allow Municipalities to Keep Misdirected Money

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Snow Hill received more than $17,000 in misdirected money from the Maryland Comptroller's Office. (Photo: WBOC) Snow Hill received more than $17,000 in misdirected money from the Maryland Comptroller's Office. (Photo: WBOC)

ANNAPOLIS, Md.- Last November Maryland's top tax collector said his office accidentally misdirected $21.4 million of local income tax payments for years. That meant that 89 towns and cities would receive checks, some totaling hundreds of thousands of dollars, while another 83 municipalities were notified that they must repay money received in error. 

However, a bill filed in the Maryland Senate would make it so that those towns and municipalities could keep the money they received by mistake.

Of that $21.4 million, more than $17,000 of that amount went to the town of Snow Hill in Worcester County, according to Mayor Charlie Dorman.

"We owe $17,787," he said. "It's because the state paid us more money than we had in tax revenue coming in and they went back to 2010 to 2014 and then we owed like $17,000. They've been gracious enough to say that if they don't pass the Senate bill that comes in to forgive that it's a 17-year payback."

Some other municipalities on the Eastern Shore that received misdirected funds include Ocean City, Denton, Centreville and St. Michaels.

The bill that would eliminate the payback requirement has a hearing in the Maryland Senate next week. 

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