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Council approves one‑year automatic adjustment to impact fees, small net decrease for low‑density homes
Summary
Newman City approved a one‑year automatic inflation adjustment to capital facility and impact fees for March 1, 2025–Feb. 28, 2026; staff said a negative construction cost index caused a modest decrease — roughly $111 for a low‑density residential unit in vested areas.
The Newman City Council on Feb. 11 approved a resolution implementing the automatic annual inflation adjustment for capital facility and impact fees for the period March 1, 2025, through Feb. 28, 2026.
City staff said the fees are indexed to a local construction cost index adopted with a 2002 resolution updating impact‑fee methodology. Last year the index rose 3.6%; this year the index is negative 0.7, which staff said yields a decrease in some fee categories. “What this means is in a vested area, the decrease of total impact fees on a low density residential unit is $111,” a staff member said during the public hearing notice and presentation.
Staff confirmed the adjustment followed noticing requirements; the change was published in the local newspaper twice on the required prior Wednesdays and staff opened a public hearing as required. No members of the public offered comment during the hearing. The council moved to adopt the resolution and the motion carried 5‑0.
City staff said a comprehensive impact‑fee update is underway; a consultant (EPS) produced an administrative draft update and staff expects a formal update and ordinance proposals to return to council in roughly 60 to 90 days.
The adjustment affects developers and new building permits by changing the fee schedules used at permit issuance; staff said the change applies automatically according to the adopted index formula for the period specified.
