By the beginning of 1999, developers should be paying impact fees to the town coffers in Tyrone to help fund the additional infrastructure the town needs to handle the growth.

During last week's council meeting, the town approved the concept of implementing a $1,075 fee for each new residential lot in the town. The impact fees will help fund an ambitious $3.42 million in capital improvement projects for the city. (See related story.)

In a spirited discussion about the impact fees, Councilman Ray Bogenschutz said he was reluctant about committing the city to such a large capital improvements program.

"I'd rather crawl before we walk," he said.

Bogenschutz was alarmed that the city would have to spend $971,000 in city funds in 2002 and to fund the last part of the improvement project, but Mayor Richard Santiago said the council was not actually committing any funds. Overall, the city would have to spend $1.3 million over the five-year term of the projects, but officials said municipal bonds could be used to fund the projects.

As the impact fees start rolling in and the projects start being built, Santiago said the city has the option of deleting or changing the projects on an annual basis. If some of the projects are deleted, the impact fees would have to be lowered, said town manager Barry Amos.

Still, Bogenschutz favored a different approach.

"That's just another way of taxing people. I'd favor a more conservative approach and the proposal should be more realistic," he said.

But Santiago maintained the proposal offers a risk and is only a plan and not a commitment. Councilman Bill Stone echoed Santiago's comments and said it was time for the town to move forward.

"We can have a plan that improves the town of Tyrone or cut, cut, cut and have second-rate services in our town," Stone said.