Hillsborough County held the first of two public workshops on Dec. 9 to discuss proposed increases in water and wastewater impact fees for the South Central service area, where rapid population growth and capacity constraints have driven a request to exceed standard phased increase limits under the Florida Impact Fee Act.

Lisa Ray, director of the county’s Water Resources Department, said impact fees are one‑time charges on new connections intended to help growth pay for system expansion. She said the county has two distinct service areas: a relatively stable Northwest area and a rapidly growing South Central area where the need for new capacity is concentrated.

Andy (Stantec), the county’s impact‑fee consultant, summarized the demonstrated needs study and said three factors justify an extraordinary adjustment: near‑capacity conditions at two wastewater treatment plants, effectively no remaining dry‑weather capacity at one water plant, and rapidly rising unit construction costs. He said net water demand in the county has increased roughly 61% since 2017 and noted about 115,000 new residents in the past five years countywide, with about 57,000 of that growth in the South Central service area.

Officials listed the major projects forming the basis for fee updates: a South wastewater conveyance and treatment program (estimated at about $1.15 billion) that would include a new treatment plant with an average daily capacity of about 22 million gallons per day; a new drinking water plant (roughly a half‑billion dollars) to serve growth; and improvements at the Falkenberg plant. Taken together, Andy said expansion‑related capital needs for the system total nearly $2 billion over the next several years, with approximately 98% of that expansion concentrated in the South Central area.

The consultant said updated per‑unit costs drive the discussion: the calculated unit cost per equivalent residential connection (ERC) for South Central is about $1,313,270. County staff said failing to recognize extraordinary circumstances could produce an estimated $200–$250 million revenue shortfall over 10 years under current growth projections, which could otherwise shift costs to rates, borrowing and interest expenses.

Staff said this was a workshop for presentation and discussion only; a second public workshop was scheduled the following day (virtual), and a public hearing on a rate adjustment is set for the Dec. 17 board meeting. If the board directs an increase, implementation would follow in 2026.

Commissioners asked clarifying questions and signaled they would reserve detailed comments for the follow‑up workshop and hearing.