And now for something completely different: the infrastructure of Plano, Texas, is so built up, that in order to attract development the city is considering doing away with impact fees.
As of late December, the proposal to eliminate the fees was expected to be made during a January city council meeting.
Jeff Zimmerman, the city’s long-range planner who was set to make the presentation to the city council, said 97 percent of Plano’s residential land is developed, as is 70 percent of the city’s commercial space.
“The vast majority of our infrastructure is in place, it had to be to keep up with the fast growth over the years,” notes Zimmerman. “In building roads, we’ve put in water and sewer systems, so we were faced with the option of do we charge to tie in or use it as an opportunity to have another incentive for economic development projects?”
Impact fees on residential projects range from $1,200 to $2,100, but they can go up to $95,000 on a large commercial project. The city of Plano collected close to $45 million in impact fees since the early 1990s, building out much of the city’s sewer, water, and road systems.
“This is refreshing,” says Bob Morris, executive officer of the greater Dallas HBA, commenting on the unusual turn of events.
“It’s truly an honorable action on the part of the city that they won’t collect funds that they don’t need,” he adds
Learn more about markets featured in this article: Dallas, TX.