Proposed fees give builders worries - 2005-01-03 -... -
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Published on: 5/14/2003
Last Visited: 1/3/2005
The cities have a need for revenue," said Malcolm Porter, a BIA consultant at the forefront of development issues facing builders."I hope folks on the government side think twice."
Pricing the market
Builders worry too much reliance on impact fees and community-development authority revenue could backfire if costs rise too much.Porter said buyers in community-development authority districts could revolt against any further tax issues - whether for schools or county agencies - when they go to the ballot box.
"Down the road, in tough times, folks in those communities may not be willing to support future tax levies of any kind," he said.
The BIA in 2003 opposed Pickerington's proposal to create a 10-mil community-development authority to offset the cost of highway projects, city services and future school projects in that city.The city council retaliated by imposing a 100-house limit on building permits from August 2003 through last August.
That action, coupled with a voter-approved retraction of housing densities on several parcels, prompted a lawsuit from builders and the BIA in November 2003, which could be resolved in early 2005.
"We got to the point where the cost of the community-development authority got beyond what the market could bear," Porter said.