Quote:
Originally Posted by dewilson58
Realistically Impact Fees don't impact the Developer.
IF the Impact Fee tripled, the Developer would just increase the price of the new houses by $2k. This would not slow sales. Every house in Southern Oaks would have sold if the price was $2k higher.
The Developer will make their 30% margin with a $1,000 Impact Fee or a $3,000 Impact Fee. It has nothing to do with Developer greed...............they will make their margins and they will continue to sell their new homes.
A friend is moving from an area by 466a to Southern Oaks. They have signed on the line. Construction will not start until February. What a great back-log. $2,000 additional fee would not have impacted the Developer.
Look for greed, controlling the commissioner, fraud some where else.
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I'm not sure where you studied economics or ran a business, but before retirement you must have lived in a communist country. In a capitalistic one, competition prevents a seller from simply upping his price to cover increased costs.
The Developer would have had to absorb some or all of the increased impact fees. That is why he had his County Commissioners raise our taxes instead of his impact fees.
In any event, no matter how much of the fees he would have had to absorb, the cost of the increased infrastructure would not have fallen on the existing Sumter County taxpayers.