The Facts About Impact Fees

What is a Development Impact Fee?

A development impact fee is a one-time fee on new home construction only. It is not a tax. Impact fees are used to help offset costs associated with the increased use of surrounding facilities as a result of new residents. These fees are usually collected by:

Cities ● Recreation & Park Districts ● School Districts

How are Impact Fees Collected?

Impact fees are usually collected through an ordinance that requires them to be paid before a building permit is issued. The City of Oroville collects park impact fees this way.

The Feather River Recreation & Park District (FRRPD) already has impact fees in place, and the County has adopted an ordinance that requires the fees to be paid before a building permit is issued. However, FRRPD does not yet have the means necessary to collect them within City limits.

All residents benefit from impact fees. They are important because they help fund new park and recreation facilities to meet the needs generated by new development. These fees help reduce the impact new residents have on existing park facilities and services.

FRRPD owns and maintains more than 200 acres of parkland with City limits. The City of Oroville owns and operates less than 25 acres of parks. FRRPD will utilize impact fees collected within the City of Oroville's sphere of influence to improve and enhance its neighborhood and regional parks.