Holly County is making progress on impact charges. When is the big problem?

Horry County leaders say it’s finally time to move forward with the adoption of fees that impact new developments in the county and that they can begin to comply with such laws soon next week.

“We’ll start talking at the next meeting and ask the staff to tell us where we are, what we need to do, and what we can do the next time we meet,” said County Speaker Johnny. Gardner said. After this Tuesday’s body meeting. “Whatever it takes to get it done, we push it forward. I think it’s a really good idea.”

At least half of the council members supported the adoption of impact charges on Tuesday, while other council members had previously expressed support, paving the way for the bill to be passed after leaders provided details. ..

“At some point, the roads, water and sewage need to be expanded. I can continue many times, but at some point I need to set this impact rate, so it’s a representative of North Myrtle Beach. “They won’t fall out of the sky,” Congressman Harold Wally said at a meeting on Tuesday.

Horry County voters have previously expressed support for impact fees. In the 2018 general election, voters were asked to respond to a non-binding resolution, asked if the county should adopt impact fees, and about 70% answered “yes.”

Many large-scale housing developments took place before Congress this week, and the types of projects to which impact fees apply caused increased traffic and flood complaints from neighbors. The council finally approved the development of 144 homes near Highway 90, 200 homes along Highway 905, and 277 homes and townhouses at the intersection of Highway 501 and Highway 31. .. New discussions on impact charges have become more active.

“We have avoided this impact pricing issue. I think we need to address some of these concerns through impact pricing, and we need to start revisiting the conversation in a very short order. I think, “said councilor Dennis Disabat Myrtle Beach and parts of the Carolina Forest on Tuesday.

Horry County Impact Fees are one-time fees charged to homebuilders and developers building new homes, hotels, and other businesses. The county charges per house, per hotel room, or per square foot of retail space, and developers are responsible for paying additional charges. In late 2019, county leaders considered, for example, adopting an impact fee of $ 4,500 for each new home construction.

Then, in accordance with state law, Horry County will use the impact fee on the infrastructure. State law limits what counties can spend on impact fees, but to name a few, the money is generally “public,” such as roads, bridges, rainwater infrastructure, parks, and new fire departments. You can pay to the facility.

However, the law contains some warnings. For example, the county needs to plan out the required infrastructure and the funds will be used for three years. Otherwise, the county will have to repay the money. So, for example, the impact fee paid by a developer building a new parcel along highway 90 can be paid to expand a full-time fire department on that road, or in the area, but interstate 73. It may not be built in. Do not break the ground within the time frame.County leaders in Holly and elsewhere in the state Asked the legislature before No action has been taken, but the time frame portion of the Impact Fee Act will be reviewed. According to a 2019 survey Consignment from the county For its potential impact charges, Holly County was able to raise $ 14 million a year for roads. The amount the county collects in a year depends on how many buildings are generated.

Also, the amount collected can fluctuate from year to year, so you cannot spend money on recurring expenses such as salaries for new employees in the county. Some council members have recently been able to spend money to build a new fire department, but have not been able to use it to hire firefighters or purchase fire department equipment. So he said it might be difficult to use the shock charge.

“Select this backup” time

Still, council members say it’s time to move forward on impact charges. Previously, from the end of 2019 to the beginning of 2020, the council was closest to adopting impact charges in a few years, but suspended those efforts when the COVID-19 pandemic occurred. Members of the council were worried that adding a shock fee in addition to the pandemic would hurt the local economy.

“COVID-19 would have been expected to slow down construction and construction. We expected it to be somewhat nodding, or at least flattened,” said Councilor Johnny Vort. “But instead it did the opposite. It surprised us.”

Members of the council have closely watched the county’s recovery from the pandemic and have made policy decisions accordingly. In early February, South Carolina vaccine deployment was in its infancy and regional recovery appeared to be slower. Vaught told The Post and Courier newspaper The council could wait a year before revisiting the impact fee debate. But he said Thursday that the pace of recovery was faster than expected. This means that the board can instead revisit this issue this year.

“We are trying to get out of this COVID-19 crisis,” Vaught said. “It’s time to have those discussions and get them back.”

Council members continue to discuss impact fees, such as when developers first ask for county permits or after a project is built and sold, such as how much to charge and when to charge. There are many details to consider when doing so. According to the county’s 2019 survey, Holly could charge $ 4,565 per new home, $ 7,439 per 1,000 square feet of retail space, and $ 2,587 per new hotel room. Developers prefer the county to charge a fee when selling a project. This reduces the initial cost. When the fees come into effect, that is, which projects in progress face the fees and which projects are not prosecuted, is also an open question.

Vaught added that the county also needs to formulate an impact fee calculation based on the size and location of the project. The county said it did not want to charge the same fees as it would charge the owners of small businesses in rural areas. For example, a developer building a major parcel in Carolina Forest.

“I think there is a lot of research in that area and I think the impact fees need to be tied to the infrastructure that is needed,” Vaught said.

Developers express concern

As expected, developers weren’t excited about the impact price outlook and told Sun News that they were more likely to give the price to the landowner from which they bought it or the homebuyer to whom they sold it, resulting in lower land prices or driving. Raise the price of a house.

“Everything about it has to do with me,” said Chris Manning, a developer who is currently building some large plots near Highway 90.

Hudson Homes builder Jason Repak said he wants the county to investigate property tax rates and figure out if they are higher or lower than similar areas, instead of shock charges. If the property tax in Holly County is lower than in comparable counties, Repack said he would support increased infrastructure payments rather than impact fees. Repak, who is also chairman of the board of directors of the Horry Georgetown Home Builders Association, said he was speaking from his perspective as a builder.

“As residents of the county, we all benefit from the new infrastructure in which impact fees are built,” Repak said. “If you’re demanding a shock fee paid by a new resident, but everyone is benefiting … that’s not the right way to fund it in my opinion.”

With the construction of the new SC 90 parcel, this former rural area is being transformed into a suburb. South Carolina Highway 90 is congested with a rapidly growing number of new residential areas. Some locals are concerned about growth rates and their impact on the community.  March 25, 2021.

With the construction of the new SC 90 parcel, this former rural area is being transformed into a suburb. South Carolina Highway 90 is congested with a rapidly growing number of new residential areas. Some locals are concerned about growth rates and their impact on the community. March 25, 2021.

Myrtle Beach Area Chamber of Commerce spokesman Marlane White said the organization is not currently taking a position on impact charges.

According to council members, the action will take place in a short period of time, especially as the county continues to grow rapidly, as Holly County has already completed much of the preparatory work needed to implement the impact charges. There is a possibility. By 2040, leaders expect more than 500,000 people to call Holly County their hometown. Fees are one way all newcomers can contribute to the needs of local infrastructure, said Danny Hardy, a councilor representing the large rural area between Conway and Loris.

“You have paid taxes for the rest of your life, I have paid taxes for the rest of your life,” he said. “The guy moves north, not from New Jersey, or necessarily from New Jersey. I think the game needs skin.”