Published on Jan 21, 2022

Changes to impact fee deferral program proposed

Contact: Carl Schroeder, Shannon McClelland

Based on a recent report from the Joint Legislative Audit Review Committee, a bill proposes to make slight modifications to the statutorily required impact fee deferral process for newly constructed single-family homes. Overall, the report found that impact fee deferrals are generally not used by builders.

HB 1714, sponsored by Rep. Davina Duerr (D–Bothell), makes two fundamental changes in how local governments implement the impact fee deferral program by repealing:

  • The requirement that a lien be imposed on a property receiving an impact fee deferral. The report found that liens were an unnecessary and costly enforcement tool.
  • The option to defer collection of an impact fee until the time of closing of the first sale of the property. The report found that only four jurisdictions used this method.

The bill also repeals the annual reporting requirement for the Department of Commerce.

 

Dates to remember


HB 1714 will be heard in the House Local Government Committee on Tuesday, January 25 at 10 am and is scheduled for a committee vote on Friday at 8 am.

  • Advocacy
  • Land use & planning
  • Affordable housing
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