Brookings Institution Center on Urban and Metropolitan Policy

Paying for Prosperity: Impact Fees and Job Growth

Impact fees — one-time charges against new development — foster growth by providing an increased and predictable supply of buildable land, according to a literature review and new analysis of Florida data by Arthur C. Nelson and Mitch Moody.

Nelson and Moody conclude that by funding infrastructure to accommodate growth, such as roads and schools, the fees represent a key tool for local communities faced with increasing demand for such facilities and tax-averse electorates.

The report is available at www.brookings.edu/es/urban/publications/nelsonimpactfees.htm.