FLC Icon

Bill Summary Details

Impact Fees (Oppose – Preemption)

CS/CS/HB 637 (DiCeglie) and CS/CS/CS/SB 1066 (Gruters) are comprehensive bills regarding impact fees. The Senate bill prohibits the application of a new or increased impact fee to pending permit applications unless the result is to reduce the total impact fees or mitigation costs imposed on the applicant. CS/CS/CS/SB 1066 authorizes local governments with charters that contain provisions providing for school capacity to require contributions related to public education that are used to mitigate impacts not otherwise funded by impact fees or other exactions related to public education facilities, under certain circumstances. Lastly, CS/CS/CS/SB 1066 provides that impact fee credits are assignable and transferable at any time after establishment within the same impact fee zone or impact fee district, or an adjoining zone or district within the same local jurisdiction. CS/CS/CS/SB 1066 is awaiting final action in the Senate.

The House and Senate bill differ on various key points. CS/CS/HB 637 requires an annual financial report for each impact fee trust fund. Local governments would be prohibited from collecting impact fees earlier than the date the building permit is issued. Under the House bill, each municipality is required to establish an impact fee review committee composed of two members from the local government, two members of the business community, two local contractors and one at large member. CS/CS/HB 637 was amended in committee to define the term "infrastructure" and in doing so, limits the use of impact fee revenue to capital expenditures specifically listed in the definition. (Cruz)