BRADENTON — On Thursday, the Manatee County Commission held its first required hearing for a proposed measure to implement impact fee increases. Though there was no vote scheduled to be held, the chambers were filled with community members, many of whom represented development or real estate interests and spoke in opposition to a fee increase.
A supplemental study presented for commissioners by the Benesch consulting firm earlier this month provided data that identified the need for the county to consider a fee increase. On Thursday, Manatee County CFO Sheila McLean told commissioners that low impact fee rates were causing some Capital Improvement Projects to be funded by debt proceeds, postponed or delayed.
"Anything that impact fees cannot pay for, debt service has been paying," McLean told commissioners. "Right now, general revenues are covering over $18 million in debt service payments, which, if we had the correct values for those impact fees, could be covered by the impact fees."
McLean said at least 40% of the debt payments could be covered by impact fees if the rates were to be increased. Dozens of citizens addressed the commission following the hearing presentation. Public comments were made in person, by phone and in writing.
Local real estate developer Pat Neal of Neal Communities opened the public comment portion of the hearing. Beginning his remarks, Neal highlighted his extensive career as a residential home builder in Manatee County, before informing the board that joining him in chambers were roughly 23 employees of his development companies. Some of those employees, said Neal, also attended to give public comment.
Neal then told commissioners that it was his opinion that the two workshops held by the county on the matter earlier in the month were “poorly advertised.”
“There will be some controversy,” said Neal. “I do think there will be some legal controversy.”
Neal, along with employees of his development companies Neal Communities, Neal Signature Homes and Simply Homes, warned commissioners of the unintended consequences should they follow through with raising impact fees.
Among those consequences, said the speakers, would be a decrease in home availability and affordability within the county, and adverse impacts on local businesses and employment opportunities. While multiple employees of Neal's companies who addressed the commission stated they do not live in Manatee County, they said they wanted to speak on the matter because they work in Manatee County.
Public speakers associated with Neal’s companies were not the only representatives of the development community to speak against the possible increase in impact fees; speaking on behalf of the Suncoast Builders Association (SBA), land use attorney Ed Vogler, SBA CEO Jon Mast and SBA President Debbie Urban also spoke in opposition.
The Suncoast Builders Association was formerly known as the Manatee-Sarasota Builders Industry Association, or “B.I.A.”
The Executive Director of the Gulf Coast Builders Exchange, Elizabeth Shore, submitted a written public comment in opposition to "sudden" fee increases. The detailed comment was attached to Thursday's meeting Agenda.
President and CEO of the Bradenton Area Economic Development Corporation, Sharon Hillstrom, as well as Maxwell Brandow of the Sarasota-Manatee Realtor Association, also addressed commissioners to express their concerns about raising impact fees.
Hillstrom's comments focused on the potential local economic impacts, while Brandow spoke of the potential impact on new home supply.
Though the turnout of public speakers associated with the development and real estate industry was robust, public comments from non-development connected residents were also heard. Those residents encouraged the commission to move forward with enacting an increase.
The citizens shared their concerns about lagging infrastructure, overdevelopment, and quality of life issues that they believed are due to poorly-managed growth—and a lack of funding to adequately keep up with that growth.
Following public comments, Commissioners Bob McCann, George Kruse, Jason Bearden and Carol Felts gave comments solidifying their position that the county’s impact fee schedule is under-set, and that they will be supporting the enactment of an increase to the maximum amount at the next scheduled public hearing when the commission holds a vote on the matter.
Commissioner Tal Siddique, who spoke prior to public comments, also appeared to position himself as supportive of an increase.
Impact fees are a one-time levy collected on new construction by a local government to help pay for the “impact” of development growth.
Revenues generated from the collection of impact fees are restricted by state law and can only be used to fund growth-related capital improvement projects such as the construction of new roadways, parks, libraries or other service needs, but cannot be used for projects that would upgrade or replace exisiting infrastructure, nor for maintenance or operation expenses.
State Statutes, referred to as the Florida Impact Fee Act, impose certain restrictions upon a local government's ability to assess impact fees, including how often and by how much. A local government is prohibited from raising impact fees more than once every four years or by more than 50 percent, and enacted increases must follow a phased-in schedule.
However, provisions in the law allow local governments that can “demonstrate extraordinary circumstances” to exceed some of these limitations.
To meet exception requirements, a local government must complete a demonstrated-need study, hold two publicly noticed workshops and approve the adoption of an ordinance setting the fee increase with a two-thirds majority vote.
Under a previous board last year, the Manatee County Commission adopted a lower increased impact fee rate than the maximum. When three new commissioners were elected last November, the new board majority moved to direct staff to revisit impact fees and explore legal options for collecting the maximum available rate.
In December 2024, commissioners voted unanimously to direct county staff to obtain an updated impact fee study and supplemental report that might meet the statutory requirement of demonstrating the ‘extraordinary circumstances’ required to justify revisiting the prior board’s vote on impact fees, and to potentially raise those fees to 100% maximum.
The final supplemental report completed by Benesch was presented before commissioners earlier this month, during the two statutorily required public workshops—held on May 6 and 7.
The first of the two public hearings for the adoption of the ordinance was held on Thursday, May 22. The second public hearing—where the measure will be put to a vote for adoption—is scheduled for June 5, 2025.
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lib224
If commissioners want to continue on the board, they need to listen to the people, not the developers. Development has obviously been too rapid, creating numerous problems that existing residents have had to suffer with and pay for.
Friday, May 23 Report this
rayfusco68
It is a no brainier that impact fees should be set at 100%. There is no reason that the general public should be footing the bill for infrastructure costs related to new development. A number of other issues should also be addressed. Controlled burning of clear cut land for construction should be banned. This process pollutes the air current residents have to breath with toxic smoke and ash. The trees and other vegetation should be ground into mulch, just like we do when their is a major storm impact. This would enrich the soil and not cause air pollution. The roundabouts being built on 75th street West have been in construction for almost a year causing major traffic jams at the intersection of Cortez road and 75th street West. The County should shut the builder down until this project is finished and normal traffic flow can resume. This is a County road and the our officials have been derelict in the responsibility by not making the builder move faster to relieve this congestion.
Friday, May 23 Report this
kat.houston
Raise the impact fees, don’t pass it on to residents.
Friday, May 23 Report this
Lizarnold
Lately the threats, intimidation, and lawfare by Mr Neal and the developers have reached a new low. It’s sad for the community this is how they engage. I believe this will only hurt them more in the next election…. People are noticing and don’t like bullies!
Friday, May 23 Report this
Debann
Sounds like threats coming from Neal...Commissioners YOU WORK FOR US!!!!..there's alot of housing inventory...IT IS NOT AFFORDABLE ...COMMISSIONERS do your job that you were elected to do...
Friday, May 23 Report this
rayfusco68
I am adding an additional comment concerning the roundabouts being constructed on 75th st. West, the roundabouts are too small, I have observed semis having to use 1 and a half lanes to negotiate the circle. They should have been the same size as the existing roundabout at 53 ave. and 75th st. Also, today as I was approaching one of the roundabouts a worker was on the street with a leaf blower blowing large white clouds of dust into the air that I and other vehicles had to pass through, is this idiocy or what?
Friday, May 23 Report this
RRICH69176
No brainier for the residents...voters....tax payers....a NO GO for developers who may have to see profits decrease(sure?)
Friday, May 23 Report this
kmskepton
Here is the test for the commissioners: Who will bend to the developers?
Sunday, May 25 Report this
David Daniels
Let's see... if I were a Neal employee and given a choice between working (possibly outside) dealing with contractors, customers, my boss, stress, deadlines etc..or I could get the same pay for sitting in chambers all day, in air conditioning, 90 minute lunch... I wonder which I would I choose?
Sunday, May 25 Report this