Housing Affordability Institute released a new white paper today outlining impact fees and their role in housing and development.

“Impact fees remain one of the most litigated and controversial housing policies in the country,” said Nick Erickson, executive director of Housing Affordability Institute. “Even after last year’s landmark Sheetz v. El Dorado decision, significant concerns persist. In contrast, many alternative financing options exist that can support growth without the legal and exclusion concerns of impact fees.”

Highlights:

• Impact fees have grown to become a central financing tool for offsite improvements.
• Concerns over the proportionality of the fees and the connection to the development have led to legal challenges.
• More equitable financing alternatives exist.

The white paper is part of the Institute’s Housing Policy Explainer series and can be found in the Policy Center section of the website.