City of Daphne to consider implementing impact fees

BY COLIN JAMES
Reporter
colin@gulfcoastmedia.com
Posted 4/24/25

As Daphne grows through more people and businesses coming into town, city officials are looking to potentially implement impact fees for new developments that will cover rising service costs.

A …

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City of Daphne to consider implementing impact fees

Posted

As Daphne grows through more people and businesses coming into town, city officials are looking to potentially implement impact fees for new developments that will cover rising service costs.

A plan for impact fees in Daphne has been in the works for six months, with the topic being discussed at several work sessions and meetings between Daphne officials. The city hired the consulting firm TischlerBise out of Maryland to conduct a study, which according to the ordinance, "demonstrates the monetary needs of the City in adding the additional governmental infrastructure necessary to keep pace with the City's growth."

The ordinance, if voted into effect, would require future commercial and residential projects to pay the city a fee, ranging between hundreds and
thousands of dollars, for use of emergency services such as of fire and police as well as transportation services, along with parks and recreational facilities.

"As demand for public facilities has increased, funding sources for those facilities have decreased at both the state and federal level," the city said in the proposed ordinance "In addition, demand for new facilities necessitated by new development impairs the ability of the City to maintain existing facilities because funds must be diverted to construction or expansion of new facilities."

A table was provided with the ordinance, giving more details to how much these fees would cost. With impact fees in effect, single-family residences of three bedrooms could pay either $9,349 or one percent of the property's combined construction and land costs. Multi-family projects could pay somewhere around $5,233 for each housing unit built. As for commercial developments, fees go from $1,798 for industrial projects to $5,700 for retail space.

During Monday night's city council meeting, Daphne City Council President Ron Scott said the ordinance needs more tweaking before an official vote can be held, adding that impact fees will continue to be discussed among council members and city officials.