Fairhope, Alabama
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| New impact fee ord/schedule. |
"IMPACT" FEES
During its December 19 meeting, the city council increased impact fees on new development within city limits to their maximum allowable level, per a recommendation by consultant TischlerBice.
"Municipalities assess impact fees on property developers to pay for
infrastructure improvements that must be built due to new property
development. New development brings new residents, which can put strain
on a city's infrastructure and services, including schools, libraries,
water and sewerage, police and fire protection services. Impact fees are
designed to offset the additional cost of maintaining these services."
The number of bedrooms is the basis for the residential fees. Fees will be levied per schedule 'A' or 1 percent of total property value, whichever is the lesser.
Impact fees may be used only for fire, police, recreation and transportation improvements, per state law.
Proposed distribution of the fees for fiscal year 2025 are $52K for police, $1.3 million for fire department, $250K for road resurfacing, and $817K for recreation (chart below).
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| 2025 impact fee uses. |
Comments
increase revenue to the city . If the developers want to remain competitive let them reduce their profit margin.