A developer plans to build a large shopping center on an undeveloped parcel. The municipality requires the developer to pay impact fees to cover the cost of additional schools, fire stations, and road improvements needed because of the development. Under what legal principle are impact fees justified?
Correct Answer
A) Impact fees are justified because new development creates a need for additional public services and infrastructure, and the fees must bear a reasonable relationship to the development's impact
Impact fees are one-time charges assessed against new development to fund public infrastructure improvements necessitated by the development. Courts require that fees bear a reasonable or rational nexus to the impacts of the development.
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