Quote:
Originally Posted by golfing eagles
No, I think you are missing the point.
A "developer" buys land, builds something on it, and then sells it FOR A PROFIT. The difference between his costs and his revenue is his profit margin. Yes, you can put additional costs on the developer, but those costs just get passed on to the consumer. People have argued that he can't pass on all his costs, but guess what---HE CAN. The only thing that keeps the profit margin in check is competition, but there is nothing around here that can compete with TV. I know nothing about Collier County, but it would seem strange that a developer would have to build PUBLIC libraries and PUBLIC police stations at his cost. In effect, that would be the reverse of what you object to----people in a specific development paying for services for the county as a whole
So now, I have to ask, do YOU live in TV or just in a surrounding area of Sumter County?
|
The thing is, the developer can only pass on the added cost of increased impact fees on any given unit ONCE. Exactly once. Once someone buys that unit, it is no longer the developer's. The new homeowner will, or will not, profit from sale of his/her home once he/she chooses to sell it.
Compare to the developer getting a deal and passing on the savings to the homeowner. That homeowner will benefit just once. And every single year, he will pay the price via taxes. Every year. Not just once. For every single year he owns that home, he will pay for what the developer didn't pay, that one time when the initial impact fee was charged.
In the end, after 10, 20, maybe 30 years, the homeowner will have paid MUCH more in taxes, to make up for the amount they WOULD have paid, if the impact fee to the developer was higher in the first place.