Impact fees are going up for Henry County development for the first time since 2003 after a Board of Commissioners measure was approved at its August 2 regular meeting
“In Henry County, impact fees are applied to parks and recreation, public safety, and, as of this year, transportation projects,” according to a statement from county officials. “Money only goes towards new growth rather than maintenance of existing facilities.”
The decision to make the fee changes came on the heels of a one-year study by Ross & Associates that incorporated input from numerous organizations representing affected parties such as the Homebuilders Association, Atlanta Apartment Association, and Council for Quality Growth.
County planning and economic development director Toussaint Kirk laid out the financial information at the meeting before the vote.
For warehouses and manufacturing developments, fees can range anywhere from roughly $2,000 to over $1.5 million based on the square footage of a facility (based on a rate of about 1.7 percent of costs). For buyers of residential properties, fees are rising from $1,661 to $3,544.
“You’re basically looking at a $118 a year difference from the existing fee to the new fee,” assuming a 30-year mortgage, according to Kirk.
The biggest topic of discussion among the commissioners concerned a six-month grace period that is included for developments that have already been “platted and recorded” (are past the planning stage). This is effective until January 2, 2023. The County is forgoing more than $1 million in revenue by including this provision.
Some felt that the grace period was unnecessary.
“We’re being impacted every day. The $1 million can go a long way,” said Johnny Wilson. “The developers and builders have known about this for the last couple of years, [they knew] that this was coming.”
Others felt that six months was a nice compromise given a request of a one-year grace period from industry stakeholders.
“It’s about quality growth, not no growth,” said Dee Clemmons. “To the industries concerned about this impact … we will at least try to come halfway with you.”
Vivian Thomas agreed after receiving assurances that the grace period only applies to work in advanced stages, and that developers could not rush in new projects to get ahead of the deadline.
The resolution carried 4-2, as Wilson and Bruce Holmes cast the dissenting votes.