Quote:
Originally Posted by Bill14564
I'm surprised you don't have that information. What are you basing your comments on if you haven't reviewed the impact fee documentation?
There are two sources for the $500,000 number though in the end they both come down to the same 2019 Impact Fee Study.
1. The Sumter County Impact Fee Schedule shows $3,356 per 1,000 sq ft for a Discount Club. Assuming a 100,000 sq ft Costco, that comes to $335,600. If we assume your 40% number is correct, at 100% it would come to a total of $839,000 or about $500,000 in additional fees.
2. There were several documents created in conjunction with the 2019 Impact Fee Study. One of those documents is a comparison of current fees at 40%, fees at 100%, and fees from several surrounding counties. The 40% and 100% numbers match the $335,600 and $839,000 numbers and therefore the $500,000 in additional fees.
I don't have the background to argue whether $500,00 in additional fees would keep Costco from coming here or whether $1,000,000 in additional fees would stop a hospital project. But until someone with the background cares to comment, I'll believe that those numbers are large enough to cause second thoughts and slow growth. |
You brought up the figure, so I presumed you had the calculation easily at hand. I, obviously, did not.
Anyway: Initial building costs are depreciated and deducted from income taxes over the life of the building, say 30 years. Accepting your figure of $500,000, dividing it by 30 = a tax-deducible cost of $16,667 per year. Offsetting that would be lower property taxes. Do you seriously believe that net amount is going to deter Costco from building? I have reviewed hundreds of business plans. Let me assure you, it would not.
BTW, it is my understanding that the hospital does not pay property taxes. Having it located just on the other side of the county line with the ancillary, tax-paying buildings on our side is a blessing for Sumter County residents.