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Council lowers residential impact fee collection cap and approves revised fee schedule

City of Decatur City Council · March 23, 2026
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Summary

Council approved amendments to the City's impact-fee ordinance, lowering the maximum residential collection from 100% to 40% and adjusting several other tiers; staff noted a clerical calculation error that will be corrected.

City staff outlined proposed changes to the City's impact fees—fees that fund water, wastewater and road capacity improvements—and recommended lowering the residential maximum collection percentage from 100% to 40%. Staff said the Capital Improvements Advisory Committee recommended the reduction after benchmarking and outreach to the development community.

The staff presentation described tier changes for other categories (for example, moving a 50% category to 25%) and set the institutional category (churches, day‑cares, schools) to 0 percent. Staff also identified a clerical calculation error in the packet and said it would be corrected. A council member moved to approve Ordinance 202006312 with the clerical error noted; the motion was seconded and passed by voice vote.

Council members publicly thanked developers, the Capital Improvement Advisory Committee and staff for their work on the fee review. The ordinance was adopted on second reading and the corrected fee schedule will be codified for future assessments.