Hunton Retail Law Resource

Development impact fees, a common tool used by local governments to fund public infrastructure and services, play a crucial role in the process of urban and suburban growth. These fees are levied on developers in conjunction with new construction or revitalization projects to offset the costs associated with increased demand for roads, schools, utilities and other amenities necessitated by development. In other words, they are used to soften the “impact” that the new development is going to bring to the infrastructure already in place.