A developer building a multi-family residential complex along Jack Finney Boulevard has convinced the City Council to reduce the amount of impact fees the city planned to collect on the project.

Duane May claimed the more than $100,000 impact fee being assessed on the 100-unit development would amount to more than the benefit he would receive from the municipal services provided. May noted how he had already spent $156,000 to provide sewer service to the site.

The Council passed an impact fee ordinance in November, 2004, to help defray the costs of infrastructure — such as roads and water and sewer lines — borne by the city in establishing subdivision projects.

May is proposing to construct his development at the southwest corner of Jack Finney Boulevard and Clearview Lane, an area of Greenville which has seen rapid growth during the past few years.

Under the current fee structure, the specific impact fees for the development would be $40,800 for water; $33,600 for wastewater; and $28,611 for roads, for an overall impact fee on the project of $103,011, or $1,030.11 per unit.

May is appealing the levying of the impact fee under a section of the ordinance, claiming the amount of the fee is not in proportion to the benefit received by the development.

It is the first case of an appeal of the impact fee ordinance reaching the City Council for a decision.

May also noted during Tuesday’s Council meeting how no city-built roads would feed into the project, as all streets were being privately developed. A new water tower under construction to provide improved water pressure to the area has already been paid for, May said.

Council member Leahmon Bryant explained how he was opposed to the levying of impact fees in the first place.

“I think impact fees are just a double dip in taxes for the developer,” Bryant said. “If I was a developer, I wouldn’t hesitate to move somewhere else.”

The rest of the Council, while not arguing for or against the need for impact fees, agreed that some sort of credit would be appropriate, as did Director of Community Development Philip Sanders.

“I do believe the impact fee should be offset, based on the amount of off-site work infrastructure he has added,” Sanders said. “The amount of the offset is what is to be determined.”

The Council later voted 6-0 to offset the fees assessed for roads and wastewater.

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