What do you think about counstruction impact fees?

[smeagolsfree]

I was reading the paper yesterday and ran across an item in the paper. Smyrna has a rather high construction impact fee and this does not seem to be slowing development there. They are considering a raise in the fee. I know there was a high fee in Ashland City and Cheatham County at one time and it stifled growth here for a while. Do these fees work? Do you think they are necessary? Also does anyone know how many other communities in Middle TN have these impact fees? If so how much are they? I wanted to throw out some questions here because these fees do affect what happens here in Nashville. The more communities that have these fees will help spur growth closer in unless land and construction cost are astronomical.

Lets here it guys. I know you all have opinions on this.

http://www.tennessean.com/apps/pbcs.dll/ar...70362/1006/NEWS

[downtown cliff]

I was reading the paper yesterday and ran across an item in the paper. Smyrna has a rather high construction impact fee and this does not seem to be slowing development there. They are considering a raise in the fee. I know there was a high fee in Ashland City and Cheatham County at one time and it stifled growth here for a while. Do these fees work? Do you think they are necessary? Also does anyone know how many other communities in Middle TN have these impact fees? If so how much are they? I wanted to throw out some questions here because these fees do affect what happens here in Nashville. The more communities that have these fees will help spur growth closer in unless land and construction cost are astronomical.

Lets here it guys. I know you all have opinions on this.

http://www.tennessean.com/apps/pbcs.dll/ar...70362/1006/NEWS

This is something we have been studying alot at my office. I need to maintain my impartiality, so I'm not going to offer MHO, but I'm glad to share published data. Here is a brief paper we published in 04:

http://state.tn.us/tacir/PDF_FILES/Growth_...ng%20Growth.pdf

Also, a related document:

http://state.tn.us/tacir/infrastructure.htm

...and:

http://www.state.tn.us/tacir/Portal/default.html

There is a lot of interest in these taxes right now at the local government level due to growth pressure, maxed out sales taxes, and resistance to property tax hikes.

[wboarder44]

I would be extremely upset if I was a landowner in an area that had high impact fees. Since developers have to pay fees to the government, they cannot pay as much for land. As a result the people that are really hurt and pay the fee are the landowners/farmers.