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BALTIMORE (Map, News) - Anne Arundel should back down from its proposed developer fee increase and phase it in over several years, according to the recommendations of an appointed committee.
“We have a high degree of confidence that the numbers will accurately reflect the cost of building in the county,” said former County Executive Robert Neall, who was chairman of the committee commissioned by the County Council to look at ways to increase impact fees.
The committee presented its report this week when a bill to increase impact fees — money a developer pays toward roads, schools and public safety for residents of new construction — was withdrawn due to stern opposition from the council.
The council formed the committee after concerns over faulty data being used to create the now-withdrawn proposal. The committee used an 11th revision of the data the administration had used for its proposal, then recommended Anne Arundel charge 80 percent of those figures to be phased in between 2009 and 2014.
Neall said the 20 percent reduction is needed, because the data assumes that there is no capacity on roads and schools, which he said is not true.
And instead of charging more for multiple bedrooms, the committee recommended using square footage as the basis to calculate fees.
The proposal has mixed reviews.
“I think 80 percent is still high,” said Eric DeVito, president of the Maryland Home Builders Association. “As for the phase in, with the conditions in the market, we could adjust.”
jflanagan@baltimoreexaminer.com
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Comments from Examiner Readers
9:10 AM MST on Tue., Feb. 19, 2008 re: "Public comment missing from fee debate in Anne Arundel"
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8:32 AM MST on Tue., Feb. 19, 2008
re: "Public comment missing from fee debate in Anne Arundel"
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9:24 AM MST on Wed., Jan. 16, 2008
re: "Higher fees could deter businesses eyeing county"
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5:17 PM MST on Mon., Jan. 7, 2008
re: "Anne Arundel Council divided over impact fees for developers"
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Ditto said:
Well, thanks for debate 101. Of course affordable housing is the answer. Yes, time is money. The rocket scientist plan only benifits whom?? The housing market pick up in the spring, regardless of recesion.
80 agree | 82 disagree
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Examiner Reader said:
It is misleading to describe these fees as imposed on developers. They do not punish developers, they do not diminish the amount of land developed, they raise the prices of homes, the end user pays them. And because they are part of the cost of doing business, because profit is calculated on cost, developers and builders actually make money on these fees--and they must, if you understand how profit works. Builders and developers oppose these fees because they raise the price of homes, which reduces the market in size--fewer people have the money or appetite to buy the homes, which means the homes stay on the market longer and thus prices go up further--time = money. How sad that all of this is going on.
75 agree | 76 disagree
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Examiner Reader said:
How much can everyone pay to Maryland. I believe this will slow everything down even more. Which hurts contractors in the building industry. We already pay enough for permits. Which we can't even get in a timely matter.
87 agree | 87 disagree
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Jen W said:
Another reason I LOVE Leopold. Developers are slime balls who could care less about the environment or anything else besides making money. It is about time they have to pay. Why should the tax payers bear the burden of more congestion and traffic while the developers keep getting richer?
98 agree | 107 disagree
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