By: Bruce Hughes

CEDAR CITY – In recent weeks the city councils of Enoch, Parowan and Cedar City have been reviewing their positions on impact fees and the amounts being charged. Questions have been asked concerning the theory underlying impact fees and the methodology of the calculations and assumptions used to determine the fees. It’s important that the average citizen understand these issues because they do have an impact on our local economy and jobs. The question is – is the impact good or bad? Let us explore.

The consultant recently hired by Cedar City Corp (at a cost of $40,000, by the way) began her presentation to the Council by reviewing the theory of impact fees. She stated that impact fees are put in place so that new growth (i.e. move-ins) would pay for the cost of maintaining the level of community services, such as fire, police, parks, water, sewer, storm drain, etc., that is currently in place and that has been paid for by current residents. Sounds good to me and is certainly logical.

Or is it?

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