Talk of The Villages Florida - View Single Post - What are impact fees??
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Old 12-27-2021, 05:58 PM
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Quote:
Originally Posted by ScottFenstermaker View Post
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I know this is complicated, but think: If the Developer could simply pass on 100% of higher impact fees and not take a profit hit, do you seriously think he would have paid Hage $350,000.14 and would have fought so hard to keep his Commission puppets in office?

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But the developer cannot pass 100% of the higher impact fees on to the buyer. What seems to be frequently disregarded is the impact fees apply to not only to the construction of homes but also to the construction of commercial property.

The additional cost to the home might be about $1,500 which could easily be added to the price of a home in the Villages. Heck, between inflation, the bond, and various state fees and taxes, $4,000 would be lost in the noise.

Commercial property is a different story. There are threads on here asking when a BJs or Costco or whatever might be coming to the area. According to one of the documents analyzing the 2019 study, increasing the impact fee would add $500,000 to the cost of the building for a total of $835,000 in impact fees. A hospital would incur about $1,000,000 in additional impact fees.

While $1,500 might not affect the sale of a home, an additional $500,000 is very likely to affect the profitability of the Costco and may result in it not being built in the first place (not that it seems to be coming soon anyway). I appreciate having businesses and hospitals either in or close to the Villages. I would like lower taxes too, but if an extra $300 per year maintains the lifestyle I enjoy then yes, I am willing to pay it.
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