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For landowners, developers, and homebuilders, schools have become a challenge in Hillsborough County. The Hillsborough County School District is facing capacity issues for elementary, middle, and high schools across the county, and especially in the fast-growing southern parts of the county.
Because of these capacity issues, southern Hillsborough County is experiencing a de facto moratorium on growth, since the county has retained school concurrency. Many developers are being forced to sign school concurrency proportionate share development agreements in order to keep their projects moving forward.
Meanwhile, Hillsborough County is now moving swiftly to increase school impact fees. In a recent Board workshop, Commissioners were presented with the results of a recent school impact fee study. The study indicates that school impact fees are likely to rise substantially higher than current school impact fees. For example, a 2,000 SF unit now has a fee of $4,000. The study indicates a potential increase to $8,072 (or higher).
Following this workshop, the County will now schedule stakeholder focus group meetings. The Board expressed interest in adopting increased fees in May 2019, which would become effective in August 2019. In these workshops, staff will work with stakeholders as the school impact fee ordinance is updated. So far, a number of questions remain open:
- Will increased fees become effective immediately? The Board did not seem interested in escalating fees over time as it did with mobility fees in 2016. Fees may increase immediately, even for ongoing projects.
- Will any projects be grandfathered or vested? Fees that increase immediately raise important equitable concerns, since many projects have been put under contract or are being developed assuming current impact fee rates. Similarly, many projects have Development Agreements or will have school concurrency proportionate share development agreements that state law dictates these projects are governed by the law in effect at the time of approval. It remains unclear which projects will be grandfathered against the increased fees.
- Will all product types pay the same amount? Single family detached and multifamily units may pay the same amount for similarly-sized units. The summary study data that was presented did not distinguish between product types but presumably this data is available.
- Will school concurrency remain? There was no discussion by the Board at the workshop about eliminating school concurrency in exchange for increased impact fees. Mobility fees were supported by the development community because transportation concurrency was being eliminated. It is not clear whether this Board will consider that approach. As with roads, however, it is clear that concurrency has not been an effective approach to planning school infrastructure.
Other details are emerging at a rapid pace. There are still opportunities for landowners, developers, and homebuilders to engage. Focus group meetings are being scheduled. Our growing Land Development, Zoning & Environmental team has been involved since the beginning of this process and is continuing to monitor the effects increased school impact fees may have on ongoing, proposed, and future projects in Hillsborough County. Please contact our team should you have any questions. |