I know! Let’s raise the cost of new construction!
From the AJC:
Looking to increase revenue and keep up with regional and national trends, Atlanta is considering increasing the fees that developers pay to build houses and commercial properties.
The so-called impact fees, which are used to offset the cost of building new roads, parks and public safety needs created by growth, have remained the same in Atlanta since they were adopted in 1994.
But an independent study, presented to several members of the City Council last week, suggested more than doubling the fees by 2012.
“The impact fees we haven’t updated in years,” said Councilwoman Joyce Sheperd, who chairs the community development committee. “And when they did the comparisons, we are kind of behind. So, the recommendations are being made to increase the cost of our impact fees.”
In Atlanta, to build a single-family home, the one-time impact fee is $1,544. Of that fee, $987 goes to roads in that area, $410 to parks, $114 to fire and $33 to police.
On the higher end, a single-family home in San Diego costs $17,598. The national average, minus California, is $5,895.
The study suggests raising Atlanta’s single-family fee to $3,652.
Yes, let’s more than double the impact fee. Because, you know, all the cool cities are doing it.
Actually, this may be good news — but only for the parts of metro Atlanta outside Atlanta’s city limits.
– By Kyle Wingfield