Published: Jan 27, 2005
Modified: Jan 27, 2005 7:17 AM

Ill-conceived impact fees for building schools

Your Jan. 19 editorial endorsing fees on new development to help pay for new schools assumed that school impact fees are just another exaction with which we can burden the business community. But charging impact fees for schools repudiates our most sacred and fundamental social compact -- that the whole community takes on the duty of educating the next generation. No one is excluded from this duty, whether they have children or not; whether they have children in the school system or not.

Tracking the number of housing starts in Wake County reveals a startling trend that bucks the thinking behind charging an impact tax on new homes -- that they bring new students and therefore we must tax those creating this demand. Since 2000, the total number of new homes and apartments has declined 15 percent, while school enrollment went up 30 percent. Clearly there are factors fueling school growth besides the number of new homes and apartments. Furthermore, over 65 percent of the new home buyers are existing residents.

School impact fees create a small class of people of whom we think more should be asked. Beyond that, simple arithmetic overwhelmingly proves that new home buyers already pay more than their equal share. New homes have higher assessed values than existing homes, meaning higher property taxes.

Moreover, new homes get furnished, creating substantial sales tax revenues for local governments. The economic impact from construction-related jobs ripples through our community, and careers are built on serving the residents of new homes. Those careers are pursued by a very important group -- taxpayers. All of those income streams must be accounted for in deciding whether new home construction is a good idea for the county -- and it is.

Getting the money from where it resides is expedient for many who are not directly affected by school impact fees. But it affects many working families who could not otherwise afford a home. Moreover, it destroys the common bond we are supposed to support in the future of our community.

Everyone benefits from growth, and everyone should help pay for new schools. We must keep the playing field level for everyone. Ultimately we must find, fair, balanced and broad-based ways to fund schools without burdening working families in search of the American dream of home ownership.

Chris Sinclair

President

Triangle Community Coalition

Raleigh