BOS Suspends Impact Fees in 3-2 Vote

BOS Meeting

In a 3-2 vote the Board of Supervisors decided to suspend impact fees established under Ordinance 665 for new development in the unincorporated areas of Shasta County.

Supervisors in favor of suspending the fees believe that doing so will result in economic growth in the County and raise property values. They also reassured that any money lost from impact fee revenue will likely be made up in sales and property tax revenue generated by the growth.

Since its inception in 2008, the Impact Fee program established by Ordinance 665 has generated approximately $8.7 million dollars. These funds are typically used for capital projects and have been used for the following facilities: juvenile rehab facility, south county fire station, Sheriff’s Department south county patrol station, and county emergency operations center. In total $3.2 million dollars of Impact Fee program revenues have been expended for these projects. In the absence of funding from the Impact Fee program, these costs would have been funded by the General Fund.

Other future projects anticipated to utilize funds generated by the Impact Fee program include, County jail expansion, public health facilities/mobile clinic, Animal Control emergency evacuation equipment, and Knighton Road bike/pedestrian project.

Ordinance No. 665-4, which suspends impact fees established via Ordinance 665, and was approved by the Board of Supervisors on Tuesday, January 9th, is anticipated to return to the Board for enactment on January 23rd, 2024. If enacted, the Ordinance would become effective 30-days thereafter. Traffic impact fees and fees established outside of Ordinance 665 all remain in effect.

A full summary and the five-year report regarding development impact fees, accounts, and planned future uses, is available online at the following website: www.shastacounty.gov/sites/default/files/fileattachments/resource_management/page/2381/county_of_shasta_fy_2022- 23_annual_and_five-year_report_distribution_11.13.2023.pdf 

***This is a general summary of items addressed in the Board of Supervisors meeting. For specific details about impact fees and new developments, reach out to Resource Management at resourcemanagement@shastacounty.gov.