What are Impact Fees?

An impact fee is a charge on new development to pay for the construction or expansion of capital improvements that are needed by and benefit new development. The majority of cities and counties nationwide use some form of impact fees. The fee is calculated proportionately based on current and projected growth of the community. Las Cruces rotates the evaluation of the need for impact fees based on categories such as parks, utilities and public safety. Las Cruces is currently in the Public Safety cycle for impact fees.

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1. What are Impact Fees?
2. What is the purpose of Public Safety Impact Fees?
3. Who pays Public Safety Impact Fees?
4. Since the fee is paid when a construction permit is issued, does that mean only developers and contractors pay the fee?
5. What are the fees used for?
6. Do impact fees require a new development to pay for all improvements in Public Safety?
7. What has the City of Las Cruces done with the Public Safety Impact Fees that have been collected so far?
8. Are Public Safety Impact Fees paid every time someone buys a home?
9. Could impact fees increase?
10. Who decides how the money raised through Public Safety Impact Fees is spent?
11. Does the City have to pay Public Safety Impact Fees when it builds a new facility?
12. How can I find more information about impact fees?