Transportation Impact Fees to start collections in 2023

Photo of new homes under construction in Hampton (Marty Meeks photo).
(Marty Meeks photo)

After years of discussion, Henry County board members approved a plan to begin collecting transportation impact fees in 2023. Impact fees are paid by developers to offset the cost of public improvements, but county officials have not previously collected transportation impact fees.

The new plan also represents the county’s first update to the impact fee structure since officials adopted the original fee structure in 2003. For the last twenty years, builders of a new home have paid $1,661.50 in impact fees. Beginning on February 2, 2023, builders will pay $3,544.46 in impact fees per new housing unit.

Impact Fees

Impact fees apply to all new construction, not only residential. Commercial and industrial development pay an impact fee based on the building square footage. This includes, but is not limited to, new hotels, banks, grocery stores, office buildings, restaurants and distribution centers.

Commissioners voted 4-2 (Wilson and Holmes opposed) during their August 2 meeting to adopt the new fee ordinance. Commissioner Wilson stated opposition to the six-month grace period before casting his vote. He favored the new fees taking effect immediately. Instead, board members approved a six-month grace period that extends through next February. Any lots already platted or recorded may pay the old impact fee until then.

The impact fee ordinance update applies to new construction within unincorporated Henry County only. Each city has a separate impact fee ordinance overseen by the city council.

Fees Break Down

The new impact fee includes the following:

  • Libraries – $55.41 (down from $206.04)
  • Parks & Recreation – $1,213.70 (up from $838.13)
  • Greenspace – $154.48 (up from $15.39)
  • Animal Control – $19.32 (up from $0)
  • Fire and EMS – $315.40 (up from $255.09)
  • Sheriff’s Office – $263.18 (up from $169.49)
  • Police Protection – $123.93 (up from $110.55)
  • Emergency E-911 – $20.55 (up from $17.88)
  • Transportation – $1,378.50 (new)
  • Administration – $106.33
  • Capital Improvements Plan Prep – $53.17

Here are some examples how much developers will pay for various projects:

  • 100-lot subdivision – $354,446 (includes $137,850 for transportation)
  • 300-unit apartment complex – $1,063,338 (includes $413,550 for roads)
  • 1 million square foot warehouse – $700,000 (includes $470,000 for transportation)
  • 48,000 square foot grocery store – $43,680 (includes $28,800 for roads)
  • 7,500 sq ft convenience store with gas pumps – $10,575 (includes $6,975 for transportation)

Impact fees are due payable at the time Henry County issues a certificate of occupancy for the building.

Featured image shows new houses under construction. Photo credit Marty Meeks.

About Clayton 1738 Articles
Clayton Carte is the founder and owner of The Henry Reporter. He founded the site in 2017 to highlight transportation projects. Over time, he began covering other topics like new development so residents can best know what’s happening in our community.

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