Sarasota County staff recommends impact fee hike

If the Sarasota County Commission approves staff recommendations for proposed impact fees next week, the fees on most new construction will rise in the middle of next year. And again the following year. And yet again in 2019.

A staff report due Tuesday, recommends phasing in greater impact fees for every type of new development except for industrial buildings and multi-family units larger than 2,999 square feet. Those levies, which pay for libraries, parks, Sheriff’s Office and Fire Department facilities and other government-related projects to support growth, haven’t been updated in nearly a decade.

The fees are broken down into 14 categories depending on the type of development, such different sizes of single-family homes or new hotel rooms. These impact fees don’t include mobility fees, which are levied on new development for transportation improvements. 

County staff have recommended collecting only 80% of the proposed impact fees starting April 1, then increasing that number to 90% beginning the same day the following year. Finally, the county would start collecting the full levies beginning April 1, 2019.

For example, a developer would currently pay $3,904 in impact fees on a new 1,500-square-foot home. If commissioners approve the changes, they would pay $4,234 next year, $4,763 the following year and $5,293 in the middle of 2019 — an overall increase of 36%.

As for commercial construction, the new Whole Foods (just the grocery store) under construction at the intersection of University Parkway would pay $89,134 under current rates, and $126,854 if subjected to the full proposed impact fees.

On average, fees for single-family homes rise a total of 31% under the proposed rates, while multi-family units jump 35%. Impact fees for mobile home park spaces increase 37%, hotel rooms climb 71% and retail development rises 42% compared with current rates.

“From what was ten years ago to today, I would assume those would be a small percentage higher,”  said Sarasota County Impact Fee Administrator Tom Polk. Since most of those rates are based on population and current construction prices, it makes sense that they would rise.

Polk said staff are still working on plans to grandfather new development after those dates if the planning department receives a flood of new development applications before the new rates go into effect.

The commission meeting is scheduled for 1:30 p.m. Tuesday, Nov. 8, at the R.L. Anderson Administration Center located at 4000 S. Tamiami Trail, in Venice.