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NC State economist tells commissioners residential development often costs counties more than it brings in
Summary
Professor Jeff Dorfman told commissioners that most community cost‑of‑service studies find single‑family residential development consumes more county resources than it generates in local taxes, while commercial development and preserved farmland typically produce net surpluses for local governments.
Jeff Dorfman, professor of agricultural and resource economics at NC State University, told the Johnston County Board of Commissioners that counties seeking balanced budgets should consider how different land uses affect local public finances. "On average nationally, residential development pays in 87¢ for every $1 it gets back," Dorfman said. "Businesses are paying in over $3 for every $1 they get back, and Farm and Forest Land is paying in over $2 for every dollar it gets back."
Dorfman summarized three policy levers that change the fiscal equation: density, location and mix. Denser development — short…
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