The city of Fredonia is requiring all developers who are proposing subdivisions to the city council to pay a one-time 1% of their contract costs as a fee for school and facilities expansion. Several contractors object to the fee.

Question

Quizplus · Accepted Answer

The fee is an impact fee, which is a charge on new or proposed developments to help fund new infrastructure or services needed as a result of the new development. Impact fees are a common and legally valid way for local governments to ensure that the costs of growth are at least partly covered by the developers who benefit from that growth.

The City of Fredonia Is Requiring All Developers Who Are