Developers lobby to dispute county impact fees

There’s an oft-used addage in community activism thrown out by pessimistic folks of both political persuasions: “You can’t fight City Hall.” This nugget of civil wisdom comes from the belief that taking on your city government is cumbersome, complicated, tiring and, ultimately, expensive.

After all, city governments seem to have a limitless supply of money to throw at any lawsuit. It’s money from taxpayers, and by extension, money from the person seeking justice. In short, they get you coming and going.

But I think there is an even better truism for 21st century community activism: “You can’t fight Big Business, not even City Hall.” My reasoning? For as much money as a city can throw at a lawsuit, Big Business seems to throw even more and it sticks better. In Florida, I’m specifically refering to developers. Any local community activist knows that developers and their lawyers not only spend big bucks on any challenge to their plans, but they buy politicians as well.

This is why House Bill 227 is a real problem for community activists. Sponsored by four House representatives (including local Rep. Ed Hooper from Clearwater), HB 227 (SB 580 in the Senate) seeks to allow developers to challenge impact fees imposed by local governments.

What are impact fees? They are imposed by local governments to hold developers partially responsible for the infrustructure needs brought on by the developer’s project. Impact fees typically go to building or widening roads, installing more traffic lights and sometimes building a school. Community activists and governments see the fees as promoting smart growth. Some developers see it as unnecessary taxation.

Most county governments have some sort of impact fee, though many times the amount has lagged behind present-day costs. So, during the nationwide housing boom, many counties raised their impact fees. Some developers have sued.

In these legal challenges, HB 227 would put more of a burden on city governments to prove their impact fee assessments are correct. It gets a little complicated, but the Florida League of Cities has a good overview:

SB 580 (Haridopolos), HB 227 (Aubuchon) change the burden of proof in a legal challenge to impact fees and remove any judicial deference to the local government’s decision. The bills were amended in committee to provide that the government has the burden of proof in an impact fee challenge.

An impact fee ordinance is a legislative decision that should be accorded the same level of deference given other legislative decisions – including decisions of the state legislature to impose fees and taxes. The change proposed by these bills means that even if reasonable minds could differ about the wisdom of the legislative decision, the city could lose the challenge. Neither bill proposes to change the burden of proof with respect to any fees or tax levied by the State of Florida, or any permit conditions imposed by the State of Florida or its agencies – all of which are legislative decisions.

But HB 227 isn’t the only bill involving impact fees moving through the Florida Legislature. SB 630 wants to put an outright moratorium on impact fees, something Hillsborough County is already looking at. For more on the complete idiocy of that move, read Mariella Smith’s recent blog post: “Your county’s solution to the housing glut: more houses.”

2 thoughts on “Developers lobby to dispute county impact fees

  1. Pingback: The Bipartisan Guide to Ridiculous Legislation is back! « Will Report for Food: Tales of an unemployed journalist

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