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Nolensville, Tennessee Impact Fees

By
Real Estate Agent with Benchmark Realty TN 288457

Nolensville is a small farming community in eastern Williamson County that has seen tremendous growth over the past 5 years and planned growth will have the area's population doubled by 2012. Land values, close proximity to both I-24 and I-65 via the 840 Bypass have combined to make this once sleepy Tennessee town one of the areas next Boom Towns. Here ia a news article from the Tennessean announcing the passage of impact fees to spread the costs of the infrastructure needs to substain this growth. 

 

NOLENSVILLE,  TN

Last week, as Alderman Jimmy Alexander pointed out, was a good time to buy a house in Nolensville.

That's because home prices are likely to go up now that the town is charging one of the Midstate's highest road impact fees on new development. Nolensville's Board of Mayor and Aldermen unanimously approved the fees at its meeting Thursday night, effective immediately.

The town is now charging developers $2,912 per single-family home - higher than both the U.S. and state averages. The town's road impact fees are more than $1,000 higher than fees charged by both Franklin and Smyrna.

And, it adds to the many charges builders already must pay in Williamson County.

"On a 3,000-square-foot house, the builder, or the buyer of the house or the house builder himself, will have approximately $25,000 in impact fees, adequate facilities tax, the sprinkler system, the sewer and water taps," Vice Mayor Tommy Dugger said.

Alexander added that developers and homebuyers in the town now face "the highest of any fees in Williamson County."

Fees effective now

Despite these concerns, both men voted to impose the fees they say the town needs.

In the next eight years, Nolensville is expected to grow from about 3,300 residents to 10,000 people.

That means more volume on local roadways, so the town has come up with a road improvements project list, which is estimated to cost about $29 million. The newly established road impact fees will now pay for these projects.

The fees went into effect on Friday, even though the town previously discussed waiting up to 90 days to start collecting money. There was concern the town's staff might be overloaded with building permit requests in that 90-day period. Town staff members said they were equipped to handle the change, so the board voted to start charging the fees immediately.

Nolensville has 10 years to use the money they get from these fees. If they don't, it's refunded back to the developer. Alderman Joe Curtsinger wondered if they should offer a refund at all, but Clancy Mullen, an impact fee consultant hired by the town, said refunds are rarely given and the clause gives the town some legal standing.

"I think it helps the defensibility," Mullen said. "There's been court cases in Florida where developers have sued and said, 'We have no benefit from this fee because it wasn't spent in a reasonable about of time.' "

Mullen said he doesn't think the town will have trouble finding projects to spend the money on.


http://tennessean.com/apps/pbcs.dll/article?AID=/20070702/COUNTY090101/707020322/1356/COUNTY09

 

Comments(1)

Cynthia Tilghman, Realtor® Onslow County NC Home Specialist
Kingsbridge Realty, Inc - Hubert, NC

Hi Paul,

I feel your pain, same thing is happening in Onslow County, N C where I live and work.  The water company (serves the entire country) as of July 1 increased the tapping fee to $2,500.00.  Understand that does not include the meter, just the tap fee.  It really is getting out of hand.  The developers are taking a hit and have met with local officials to no avail.  Thanks for sharing what's happening in your area. 

Jul 11, 2007 01:55 AM