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CALIFORNIA IMPACT FEES REACH SUPREME COURT

An upcoming ruling could have a major impact on building and development in
California and around the country.

1 minute read

October 4, 2023, 10:00 AM PDT

By Diana Ionescu @aworkoffiction



--------------------------------------------------------------------------------

Alexandr Ivaschenko / Adobe Stock

The U.S. Supreme Court will weigh in on a California law that charges developers
an impact fee for new construction. As Bob Egelko explains in the San Francisco
Chronicle, the case, brought by property owner George Sheetz, “will determine
how far a local government must go to show that fees charged for construction
projects are needed to cover the costs that the construction is likely to cause.
It could also affect the types of housing that cities and counties allow to be
built.”

Sheetz is being charged $23,420 by El Dorado County to mitigate the impact of
new traffic on roads leading to the home he plans to build on his property.
“Sheetz paid the fee, was granted the permit and then sued for a refund,
claiming a violation of his property rights,” but his lawsuit was denied by
state courts.

Now, his appeal to the nation’s highest court is being supported by the
California Building Industry Association and the National Association of Home
Builders.

The ruling could have a ripple effect on all development in the state, such as
‘inclusionary zoning’ regulations that require affordable units in new
multifamily developments. According to law professor Chris Elmendorf, a ruling
in favor of Sheetz could, in the long run, make local governments more resistant
to approving new housing.

FULL STORY: Supreme Court to weigh fees charged to California homebuilders

Friday, September 29, 2023 in San Francisco Chronicle

Government / Politics Housing California Impact Fees Development Fees Housing
construction Housing Supply mitigation View More

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