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Canton holds public hearing on updated impact-fee methodology; consultant recommends tiered residential fees
Summary
At a Nov. 20 public hearing, Raftelis consultant Henry Thomas outlined a recalculation of Cantons impact fees — recommending lower police fees, larger recreation and transportation fees, and new residential size tiers; the council will hold a second required hearing before any adoption.
A public hearing at the Canton City Councils Nov. 20 meeting focused on proposed updates to the citys impact fee methodology and fee schedule intended to fund future police, recreation and transportation capital projects. Henry Thomas, senior vice president with Raftelis Financial Consultants, told the council the work followed state statutory rules and the dual "rational nexus" test that limits what capital costs may be recovered through impact fees.
Thomas said the review found the police component could not be justified at previous levels once items such as vehicles (excluded by statute) and replacement projects were removed from the fee base; he gave an example that some residential categories could see police fees drop from about $76 per unit to roughly $17. To better reflect current housing patterns, the consultant proposed expanding residential classifications by dwelling size so smaller units would pay lower fees and larger units would pay more.
Parks and recreation fees rose in the new calculation to account for planned acreage increases and a proposed 30-acre park tied to the Utah River Trail. Transportation was the most significant driver of total fee increases, Thomas said, but the calculation changed after county and city SPLOST allocations for specific projects were disclosed; SPLOST-funded projects must be excluded from impact-fee recovery, lowering the transportation fee component in the consultants table.
Thomas recommended council adopt the consultants calculated maximum valid fees but noted the council may phase in full transportation fees or adopt a percentage of the calculated amount as a policy choice. He said the methodology and fee schedule are the first hearing of two required hearings and that staff expects to return with updated, final documents before the second hearing in December.
Darrell Rice, an advisory committee member who said he sits on housing work in Atlanta, spoke during public comment in support of the proposal and described paying $54,000 in impact fees on a 10-unit permitting project in Atlanta, saying that represented about 2% of his project cost. Rice said Canton is "on the forefront" among peer cities updating fees and said he considered the proposal reasonable.
Councilmembers asked detailed questions about multifamily calculations (square footage and size-based tiers) and comparability with neighboring jurisdictions. Several members voiced concern that developers may pass fees to buyers, potentially affecting affordability. Council discussion concluded with direction to continue review at upcoming meetings and the council retreat in December, and with staff returning updated fee tables that reflect SPLOST adjustments.
The hearing closed with no vote; councilmembers said they would take further action after the second required public hearing and review of updated documents.
