Do you ever wonder why your taxes increase each year? Why should you pay for new services required to accommodate new growth in your community? This is where impact fees come in.
“Impact fees are assessed and dedicated principally for the provision of additional water and sewer systems, roads, schools, libraries and parks and recreation facilities made necessary by the presence of new residents in the area.” Read more.
DID YOU KNOW?
Many residents, township and city officials and planning board members are not aware of impact fees? Here’s a great example:
In the article “Milford denies rezoning of abandoned development” (the development, called “Sherwood Oaks”, eventually was approved and the developer has started cutting down the oak and other trees on the property): “Township Treasurer Cindy Dagenhardt said she’d like to see the property developed.”
“It is an eyesore and it’s been vacant too long,” Dagenhardt said. “However, we also like to uphold our ordinances and keep what we have in place for certain areas. That’s what makes Milford so great.”
What we would have said instead is, “We need to look at what this development will cost our residents. Most residential developments require increased taxes to cover the cost of services to the new residents. In its current form as open space, this land is paying more in taxes than it requires in services so it is an asset to our community and our taxpayers. If it becomes a residential subdivision, which normally are tax burdens to residents, we are looking at having the developer pay an impact fee to cover the cost of services to the new homeowners.”
Imagine New York City without Central Park