Panama City adopts transportation impact fee ordinance but delays collection after business concerns

The Panama City Commission on July 22 adopted an ordinance creating a transportation impact fee program but approved suspending fee collection while the city develops a mobility plan and considers exemptions. The final vote on ordinance No. 32-56 was 4-1.

The measure, which amends Chapter 113A of the Unified Land Development Code, replaces the prior proportionate fair share (concurrency) approach with a citywide impact fee that would be collected at building permit issuance. City Attorney Mike Burke and staff said the ordinance sets fees but allows the commission to delay collection by resolution while completing the mobility plan and publicly vetting exemptions.

Why it matters: Supporters said the fee creates a predictable way to fund road and multimodal improvements as growth occurs and avoids surprising developers late in the approval process. Opponents, including representatives of the Central Panhandle Association of Realtors and several commercial…