Sherman holds hearing for impact fee adoption
The Sherman City Council may finalize a new ordinance aimed at shifting the impact costs of utilities to new growth and businesses when it meets Monday at 5 p.m.
The council is slated to hold public hearing and consider approving impact fees for the first time in the city’s history.
These fees would impose a one-time fee on new construction and development based in the impact the development would have on road, water and sewer services in the city.
Under the terms of the proposed ordinance, the impact fee for an average single-family home would be about $4,300. A 10,000 square-foot retail strip center would see just over $50,000 in fees.
City leaders previously said the fees are a way to allow growth to pay for growth, rather than existing Sherman residents and businesses. This fee would help offset future increases to water rates, sewer rates and property tax rates, officials said.
The fee was previously discussed during a meeting on Sept. 8, with several members of the council expressing varying concerns on the impact fees would have on local development.
The most recent iteration of the ordinance will set an effective start date for impact fees at Jan. 15, 2021. It will also include updates regarding infill development, religious, non-profit and retail development.
In other matters, the council is expected to discuss a budget reconciliation of about $6.02 million in expenses, and $4.33 million in revenues during Monday’s meeting. This traditionally serves as a budget close out prior to the start of the new fiscal year on Oct. 1.