Housing prices in the United States have been rising continuously in recent years. In response, The James Madison Institute, collaborating with the DeVoe L. Moore Center, has released a new report titled “Assessing Florida Local Government Impact Fees: 2024-2025.” This report outlines the regulatory challenges that Floridians encounter when constructing more diverse housing options.
The study examines impact fees levied by local governments in five Florida counties: Collier, Lee, Manatee, Sarasota, and Sumter. These fees are collected to cover costs associated with new development, such as infrastructure and public services like roads, emergency medical services, law enforcement, and public parks. The research shows that these counties have adopted varying strategies for designing and implementing their impact fees, and it provides recommendations for making these fees less burdensome for builders and homeowners.
“Residential development in Florida is subject to a range of government-imposed charges. While these fees are necessary to fund public services and infrastructure, careful fee schedule design is critical. This study shows the various approaches counties are taking in collecting impact fees and suggests areas for policy improvement. Housing policy is not a one-size fits all approach and impact fees should not be either,” said Doug Wheeler, Director of the George Gibbs Center for Economic Prosperity at The James Madison Institute.
Dr. Samuel Staley, Director of the DeVoe Moore Center, highlighted the housing shortage in the state: “Florida has a significant gap between housing unit supply and demand, and the state needs more housing for homeowners and renters. This report also offers Florida cities and counties guidance on how to better approach and refine fees in order to right-size the burdens on builders and homeowners.”
The report “Assessing Florida Local Government Impact Fees: 2024-2025” is available for those interested in reading further. More detailed reviews of local government practices in the five counties involved can also be accessed.
The James Madison Institute is dedicated to promoting limited government, economic freedom, and individual liberty. The organization conducts research on education reform, health care, taxes, and regulatory environments.
