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Springfield, MO
City officials have issued 426 single-family residential building permits through October 28, shattering the previous high of 350 in 1996.
The city is on pace to break 500 single-family permits this year, forcing city officials to respond to the unprecedented residential growth.
“The growth is continuing and it’s a good problem to have,” Mayor Doug Marrs said. “It creates some financial strains in some of the areas and the question is how are we going to deal with those financial strains? And that’s what the board (of Aldermen) needs to address and come up with a solution on.”
Impact fees
Nixa’s Board of Aldermen is considering imposing builder impact fees – fees collected from builders for each house they construct.
Nixa City Administrator Brian Bingle said the money would go toward the future needs of the city, including municipal facilities, police and parks.
Bingle points out that any potential impact fees would not pay for personnel.
Bingle anticipates the board will hear from all interested citizens and organizations in December and then vote on impact fees in January 2005.
“Following that meeting, I think what the board is trying to achieve is to assure that everyone that has expressed an interest or would like to participate in this public hearing process are giving the opportunity of asking the questions (and) obtaining the answers,” he said.
An expected dollar amount generated by impact fees has not yet been determined. “That will be a part of our discussions,” Bingle said, adding that the maximum supportable amount the city might receive would be about $3,000 per single family home.
Too steep?
Marrs said that the board is looking at several issues, including possible consequences of the impact fees. “What are the risks? What are the possible dollar amounts we would consider? Would we want to go to the maximum or would we accept something less than that? Or do we want to shelve the whole thing? All those things are still on the table as a possibility,” Marrs said. “This is a long ways from being a sure thing and certainly a long way from us implementing the fully allowable amount in each category.”
Builder Doug Hesterberg thinks $3,000 per home is hefty. Hesterberg, who has been building in the area since 1987, said, “I think an impact fee would be pretty negative toward my business,” he said. “I think people would go elsewhere.”
Hesterberg Construction has built about a dozen homes in Nixa this year. Six are currently under construction, with four of those in Park Hill Place.
Hesterberg feels that impact fees may not be the answer. “I’m not against the city by any means,” he said. “I know they’ve got to pay their way, but I think they need to probably get some more input from the builders and then make their decision.”
Bingle said that the city is looking at alternatives in case the impact fees are voted down, including further involvement in the economic development of the community to generate more tax revenues.
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