On Tuesday, June 17, the Redding City Council will vote on whether to impose new development-impact fees on new construction in Redding.
This will be a repeat “performance” of what happened with the Shasta County Board of Supervisors some four weeks ago. To say it was a “done deal” prior to that meeting might not be totally correct, but the supervisors did ignore the testimony of various citizens and citizen interest groups that opposed the increased development fees, voting 5-0 to approve the issue.
Now we get to see and hear how development-impact fees will help the city with its financial woes. But what is the real story behind this movement to increase fees, and ultimately, taxes?
It starts by acknowledging that the city needs more money to pay for everything from wages to street repairs to a police station, and there is no other way to generate money from the citizens (taxpayers). The only way to raise money is to increase sales tax or charge higher fees for development, which will be passed on to developers and new homeowners — you and me.
I, along with a number of other individuals and groups, opposed the county fees, for I have seen local real estate development negatively affected by the present outrageous city development fees.
A case in point: a lot in the city was for sale for $175,000 and went into contract contingent upon city approval of a commercial building. The deal fell apart when the city called for $85,000 in various fees (sewer, traffic, downtown plan, etc.) to be paid to the city before ground could be broken. Is this ridiculous or not?
Realtors in Shasta County have seen many examples of similar incidents in which a development or even a single-family home on a lot incurred fees that were literally prohibitive for builders.
Do we want this to continue to be the pattern for development in the city? If we do, know in advance that development will be limited and these higher fees will be passed on to new homebuyers and remodelers, so the cost of housing will go up.
Are Redding citizens ready for this? I don’t think so.
Tuesday’s presentation, which will be conducted by a professional consulting firm hired to convince the City Council of this “need,” will tell us only the good that can come from fee increases. We will not hear how much they will cost the homebuyer of the future, for no one can really predict the future of costs.
We will not hear about the long-range dangers that can come from “opening the floodgates” of development-impact fees, for once fees and taxes are nominally approved they will continue to be approved for “various needs.”
Had it not been for Howard Jarvis back when, California would lead all states in taxation, and it almost does now. It all started with a small increase in taxes, then a little more, and more. Finally Jarvis. Same with development and impact fees. Once they begin, they will not stop.
What can we do? First, make your voice known to the City Council. Write, phone and show up at council, and speak. Don’t be “hoodwinked” by the presentation, as it will be well done. Listen to the opposition arguments based on limiting costs and better management rather than raising fees.
Continued expansion of the city budget is not the way to serve the community best. Just remember: city and county leadership voted not to revenue-share; the county voted down the income-generating auto mall; and the city wanted to buy Lithia’s property on Cypress Avenue until the idea was defeated after a huge outpouring from citizens concerned about the city spending $7 million to benefit a private company.
Remember that with every new project in the city, it’s your money, and increasing fees is just another way to make you, the taxpayer, pay more of your hard-earned money.
At some point, this movement by elected officials to increase the tax burden — in this case, development-impact fees — must end. Here is your chance to stop it now before it gets started. You can make a difference on June 17.
Ron Largent is a Realtor, business owner and longtime Redding resident. His e-mail address is ronlargent@yahoo.com. His Web site address is http://ronlargent.yourkwagent.com/
If you have an opinion on a local topic and would like to share it with Food for Thought, drop a note to attndoni@gmail.com to get guidelines for writing.
