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Council continues mobility-fee workshop as consultants press schedule for possible fee increases
Summary
A second statutorily required workshop reviewed a mobility-fee study showing higher model fees than current transportation impact fees; consultants outlined options including discounts for long-term residential uses and a June 27 deadline to adopt new fees based on the study.
The City of Destin held a second public workshop March 3 on a mobility-fee study that would replace the city’s long-standing transportation impact fee; consultants said a statutory timing rule gives the city 12 months to adopt a study-based fee and a June 27 deadline for council action to validate the current study.
Consulting firm 3TP Ventures presented the study results and two policy options: (1) apply the study’s maximum fees across classes of development, or (2) apply targeted discounts — for example a 50% discount for long-term single-family dwellings — and keep full fees for many nonresidential uses. "The impact fees cannot be increased by more than 50% over four years unless the governing body finds extraordinary circumstances," the consultant summarized, explaining why the city is pursuing the study route.
Why it matters: The study reflects 16 years without fee increases, rising construction costs and supply chain pressures; adopting the higher study fee schedule unlocks revenue to fund transportation projects but would raise the upfront developer costs for new or redeveloped projects.
Illustrative examples presented: Consultants showed sample calculations where redevelopment or conversions could trigger six-figure mobility fees in some scenarios. A long-term single-family home in the largest size band would have a discounted mobility fee around $10,789, the consultant said, but converting that house to short-term rental status would leave the owner with a significantly higher additional fee.
Deadlines and next steps: The consultant reminded council that if Destin wants to rely on the study to exceed the statutory 50% phase‑in limit, the ordinance adopting the fees and study must be passed by a two‑thirds council vote by June 27; the fee effective date must be at least 90 days after adoption. Staff and consultants will prepare ordinance language and fee schedule options for future council consideration.
Ending: Councilmembers asked for additional materials and flexibility in discount design; one council member suggested a special meeting to review specifics. No fee resolution was adopted at the workshop; council will discuss fee-setting options at a later date.
