Proposed city impact fee to go before the board

JOHN COFFELTEditor

A proposed impact fee that will charge developers a fee per square foot on new residential construction will go before the Board of Mayor and Aldermen at the January meeting.

The fee for $2 per square foot on residential construction and $1 a square foot on commercial received a unanimous recommendation from the Finance Committee at the Dec. 14 meeting.

“I think the citizens of Manchester who are already here shouldn’t bear the burden of brining in the new businesses, the new construction the new roads and the new sewers…all by themselves – even though it helps them,” Vice Mayor Mark Messick said.

If it passes as currently proposed, revenue from the fee will be split with 80% going to a Manchester City Schools building fund (restricted to construction or remodeling school buildings) and the remaining money being further split between city infrastructure (15%) and Parks and Recreation (5%).

The proposed fee is similar to, but simplified form of the Rutherford County impact fee.

Estimates for potential income from the fee range from $360,000-$500,000. Recently about 100 homes are being built in the city per year. The average size of home being built is about 18,000 square foot.

Messick said that he saw the fee as a pass-along cost to the eventual homebuyer so it would not impact the rate of development in Manchester.

“A $40,000 building lot in this town, you can’t buy one anywhere else that’s got sewer and city water,” Messick said.

Alderman Donny Parsley pushed for the inclusion of a commercial side to the fee. He felt that the brunt of the impact fee should not be borne by future residents alone.

“I just don’t think it’s fair to put it on the local area builders,” Parsley said. “You got people buying $2.5 million properties to build hotels in the next year or two. Why shouldn’t we put some of that on the commercial?”

Members of the commission hope to get the fee passed by the full Board of Mayor and Alderman in time to submit it to the state for approval while the Tennessee General Assembly is still in session.

John has been with the Manchester Times since May 2011. John has won Tennessee Press Association awards for Best News Photo and placed in numerous other categories. John is a 1994 graduate of Tullahoma High School, a graduate of Motlow State Community College and earned a Bachelor of Arts in English from Middle Tennessee State University. He lives in Tullahoma, enjoys painting, dancing and exploring the outdoors.