Specific impact fees temporarily on hold
Published 3:31 pm Wednesday, June 29, 2016
Anyone building a new home in Washington from July 1 to Dec. 31 can save $920 in impact fees.
During its meeting Monday, Washington’s City Council waived impact fees for new water and sewer taps. Currently, the Public Works Department charges a $332 impact fee for a water tap and a $588 impact fee for a sewer tap. The impact fee for a residential water tap is $332. A residential customer will continue to pay $800 for a water tap and $1,000 for a sewer tap. Currently, a residential customer pays $2,720 water tap, sewer tap, water tap impact and sewer tap impact fees. Impact fees are used to pay for infrastructure improvements, not for operating the water and sewer systems.
City Manager Bobby Roberson, who developed the waiver idea, said temporarily suspending the impact fees could provide an incentive for people to build single-family dwellings would result in a new house on the city’s tax rolls and revenue from water and sewer taps and water, sewer and electricity usage. In time, that additional revenue would be more than the revenue lost because of the waiver, he said.
“I’d like to thank Bobby for putting that together. I think that’s a good idea. It’s something really good for the city,” Councilman Larry Beeman said.
Roberson’s original proposal was modified to include suggestions by the council and mayor. Some council members and the mayor voiced concerns that with the proposal, worrying that widespread use of the waivers for six months could bring about a significant decline in revenue for the city. Waiving the impact fees for each house in a new subdivision could reduce future revenue set aside for improving the city’s water and sewer systems, Councilman Doug Mercer noted.
Mayor Mac Hodges recommended suggested a cap of five houses for someone building multiple houses, such as in a subdivision. The council endorsed that proposal, with Mercer adding a provision that an approved subdivision “of not more than five (new houses) would be exempted from the tap fees, but more than five would pay all fees.” The council supported that provision.