1st Edition
Proportionate Share Impact Fees and Development Mitigation
After decades of evolving practice often tested in court, development impact fees have become institutionalized in the American planning and local government finance systems. But, they remain contentious, especially as they continue to evolve. This book is the third in a series of impact fee guidebooks for practitioners, following A Practitioner’s Guide to Development Impact Fees and Impact Fees: Proportionate Share Development Fees.
Proportionate Share Impact Fees and Development Mitigation is the culmination of the authors’ careers devoted to pioneering applications of the dual rational nexus test. That test requires (1) establishing the rational nexus between the need for infrastructure, broadly defined, to mitigate the impacts of development and (2) ensuring that development mitigating its infrastructure impacts benefits proportionately. The book elevates professional practice in two ways. First, it shows how the rational nexus test can be applied to all forms of development infrastructure impact mitigation. Second, it establishes the link between professional ethics and equity as applied to proportionate share impact fees and development mitigation.
The book is divided into four parts, with the first reviewing policy and legal foundations, the second detailing the planning, calculation, and implementation requirements, the third exploring economic, ethical, and equity implications, and the fourth presenting state-of-the-art case studies.
Proportionate Share Impact Fees and Development Mitigation sets new standards for professional practice.
PART 1: POLICY RATIONALE AND LEGAL FOUNDATIONS
1. The Past, Present, and Future of Impact Fees
2. Legal Foundations
3. State Impact Fee Legislation
4. A Tale of Two States: Texas and Georgia Impact Fee Legislation Compared
5. National Impact Fee Survey
PART 2: FOUNDATIONS OF PLANNING, CALCULATION, AND IMPLEMENTATION
6. In Accordance with the Plan
7. Impact Fee Methodology
8. Model Proportionate Share Impact Fee Ordinance
9. A Word About Independent Studies, Exemptions, and Waivers
PART 3: EFFICIENCY, ETHICS, EQUITY, POLICY: OPTIONS AND INTERNATIONAL PERSPECTIVES
10. Evaluation of Impact Fees Against Public Finance Criteria
Douglass B. Lee, Jr.
11. Impacts of Proportionate-Share Development Fees
Gregory Burge and Trey Dronyk-Trosper
12. Toward a Supply-Side Theory of Development Impact Mitigation
13. Good Planning, Value-Added Planning, and Value Capture
14. Ethical Issues in the Use of Impact Fees to Finance Community Growth
Timothy Beatley
15. The Ethics of Impact Fee Equity
Mary Kay Peck Delk and Susan A. Wood
Chapter 15 Coda. A Standard of Professional Practice for Proportionate Share Mitigation Fees
Mary Kay Peck Delk, Julian Conrad Juergensmeyer, Clancy Millen, Arthur C. Nelson, James C. Nicholas, and Susan A. Wood
16. The Option of Impact Fees
17. Impact Fees in an International Context: Comparisons and Similar Fiscal Tools
David Amborski
PART 4: INNOVATIONS IN PRACTICE
18. A Framework for Estimating Multimodal Transportation Impacts for Sustainable Development
Kristina M. Currans and Kelly J. Clifton
19. Mobility Fees
Jonathan Paul
20. Operations and Maintenance: Mitigation Fees, and Transportation Utility Fees with Implications for Improving Impact Mitigation
21. Parking In-Lieu Fee Incentivizes Development in Downtown Oxnard, California
Alison Bouley
22. A Rational Nexus Approach Supporting Development Mitigation to Increase Workforce Housing Supply
23. Innovations in Impact Fee Adjustments to Advance Housing Affordability
24. Western Placer County, California: Habitat Conservation Fee
Robert Spencer
25. Flexible Development Funding for Large-Scale Development
Alison Bouley
26. Residential and Nonresidential School Impact Fees: Case Study of Fremont High School District, California
J. Richard Recht
27. Parks and Recreation Impact Fees for Residential and Nonresidential Development: Case Study of Tucson, Arizona
Carson Bise
28. Water Impact Fees for Residential Development Based on House Size: Case Study of Bozeman, Montana
Carson Bise
29. Transportation Impact Fees Scaled to Residential Unit Size in Tucson, Arizona
Carson Bise
30. Impact Fee Focus Groups: Case Study of Town of Queen Creek, Arizona
Kevin Burnett
EPILOGUE: COMMENTARY BY JIM NICHOLAS
Biography
Arthur C. Nelson, PhD, FAcSS, FAICP, is emeritus Professor of Urban Planning, Real Estate Development, and Geography at the University of Arizona, as well as emeritus Presidential Professor of City and Metropolitan Planning at the University of Utah, where he was also Adjunct Professor of Finance. He has authored more than 20 books and more than 300 other publications. Recent books include Foundations of Real Estate Development Financing, Reshaping Metropolitan America; The TDR Handbook (with Julian Conrad Juergensmeyer and James C. Nicholas), and the critically acclaimed Megapolitan America (with Robert E. Lang). Nelson’s expert testimony helped frame urban sprawl as a legal concept in Florida, guide the Georgia Supreme Court to establish affordable housing case law, and support the rationale used by the US Supreme Court when it established the “rough proportionality” exaction doctrine in Dolan v. City of Tigard, 512 U.S. 374.
James C. Nicholas, PhD, is emeritus Professor of Urban and Regional Planning and emeritus affiliate Professor of Law at the University of Florida. He has written widely on the subject of land, environmental policy, and growth management. Nicholas has authored eight books, three monographs, and over 60 articles in the professional literature, dealing primarily with growth and local governmental finance of infrastructure. He is author of The Calculation of Proportionate-Share Impact Fees, the American Planning Association’s first impact fee guide. Nicholas is also co-author of A Guide to Impact fees and Housing Affordability (with Julian Conrad Juergensmeyer and Arthur C. Nelson), editor of The Changing Structure of Infrastructure Finance, and author of State Regulation and Housing Prices. Together with Juergensmeyer, he pioneered the Rational Nexus Test, which has become the guiding principle for development mitigation such as impact fees in the United States.
Julian Conrad Juergensmeyer, a BA and JD graduate of Duke University and a member of the Ohio Bar, is emeritus Professor and emeritus Ben F. Johnson, Jr. Chair in Law at Georgia State University, where he served as Co-Director of the Center for the Comparative Study of Metropolitan Growth and Editor in Chief of the Journal of Comparative Urban Law and Policy. He was also Adjunct Professor in City and Regional Planning at the Georgia Institute of Technology and is emeritus Professor of Law at the University of Florida. Juergensmeyer is the co-author of the widely cited Land Use Planning and Development Regulation Law; Impact Fees: Principles and Practice of Proportionate Share Development Fees (with Nelson and Nicholas); and over 100 other books and articles. He has consulted with local governments and attorneys on matters relating to impact fees and other infrastructure finance policies as well as development mitigation in 29 states.
Clancy Mullen, AICP, is president of Duncan Associates. Having prepared more than 300 impact fee studies, he is one of the nation’s foremost authorities on professional impact fee practice. Prior to joining Duncan Associates, Mullen served as a zoning planner for Austin. He is a contributing author to two American Planning Association publications, Principles and Practice of Proportionate-Share Development Fees and Growth Management Principles and Practice. He is also a co-founder of the National Impact Fee Roundtable (now the Growth and Infrastructure Consortium).
"This book is at the forefront of advancing proportionate share impact fees and development impact mitigation in ways that achieve social equity consistent with professional ethics. It is long overdue."
James B. Duncan, FAICP, past president, American Planning Association
"As the practitioners' guide on impact fees, this book is the go-to resource for lawyers, planners, developers, and local government officials on everything related to impact fees and development impact mitigation."
Patricia Salkin, American Law of Zoning, 5th ed.
