The increasing use of impact fees raises serious concerns about the effect of impact fees will have on the affordability of housing.
Approximately 60 percent of U.S. cities with more than 25,000 residents now impose impact fees to fund infrastructure needed to service new housing and other development) In 89 jurisdictions selected for study in California, the state in which impact fees are most heavily used, the average amount of fees imposed on singlefamily homes in new subdivisions in 1999 was $19,552, with fees ranging from a low of $6,783 to a high of $47,742... The increasing use of impact fees and the costs that they may add to the development process raises serious concerns about the effect using impact fees to fund infrastructure will have on the affordability of housing. This journal article explores this controversy.
Thanks to Chris Steins
FULL STORY: Impact Fees and Housing Affordability
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