Impact fees for
county jail project
still a question mark By DAVE HAMRICK
dhamrick@TheCitizenNews.com
Impact
fees could help fund Fayette County's
jail/courthouse construction, but more questions
have to be answered, and time may be running out.
How
much help can be gotten from impact fees depends
upon numerous factors, county commissioners
learned during their annual planning retreat
Saturday. The fees are charges levied against
developers to help pay for new government
facilities and services made necessary by their
developments.
County
attorney Dennis Davenport told commissioners
Saturday that the county can use impact fees to
pay for the jail, but only the part that will be
made necessary future growth, not the part that
is necessary already because of previous growth.
Because
the jail, built in 1981 to house 86 inmates a
day, is now housing about 200, the portion of the
work that would expand capacity to 200 must be
paid by current residents, and impact fees can be
used only to help defray the cost of housing for
about 259 more inmates per day that are expected
in the future.
But
how much help the county can expect from impact
fees depends on the answers to some other
questions:
Can
Fayette's cities be persuaded to allow collection
of jail impact fees from their residents?
Commissioners expressed doubt, but commission
Chairman Harold Bost said he wants to talk it
over with city leaders anyway.
I
want to go to the cities and give them the
opportunity to participate, said Bost,
adding that the jail will serve the entire
county, not just residents of the unincorporated
area. I would like to give them the
opportunity to tie into this thing and help fund
it, said Bost.
Commissioner
Herb Frady suggested that if cities don't help,
the county should charge them a daily rate ($40
charged to the cities' 100 inmates, for instance,
would raise $4,000 a day) to house prisoners
their police departments arrest.
Can
a bond issue for the jail be structured to factor
in yearly impact fee payments?
Early
payment of a bond requires refinancing, which
carries a price tag, said finance director Emory
McHugh. But if the county issues a smaller bond
based on anticipated impact fees, and then slower
growth brings about lower impact fees than
anticipated, there will be a shortfall in paying
for the jail, commissioners said.
According
to state law, must the county have an overall
capital improvements plan that includes the jail
in order to charge fees for its construction?
Commissioners
directed Davenport to research that question, and
asked Chris Venice, chairman of the Impact Fee
Committee, to estimate how much impact fee the
county could charge for each new home, under
state law, to help pay for the jail.
They
hope to settle on a method for paying for the
jail and courthouse by the end of this month.
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