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What Are Impact Fees?
Impact fees are one-time charges assessed on new development, usually paid by developers when new homes or buildings are constructed. The purpose is to ensure that new growth helps pay for the public infrastructure it requires.
For example, when a new neighborhood is built, it may create demand for:
New roads
Water and sewer capacity
Public safety services
Parks and libraries
Impact fees help ensure that new development pays its proportionate share of the cost of these facilities, rather than placing the entire financial burden on existing taxpayers.
Who Can Charge Impact Fees in Georgia?
Georgia law allows local governments—cities and counties—to assess and collect impact fees, but school systems are not currently authorized to assess them.
Under the Georgia Development Impact Fee Act (1990), impact fees can be used by local governments to help fund certain types of public infrastructure such as:
Roads and transportation facilities
Water and wastewater systems
Stormwater systems
Parks and recreation facilities
Public safety facilities (fire and police)
Libraries
However, educational facilities are not included in the list of eligible uses, which means school districts cannot legally impose impact fees under current law.