The city of Huntsville collected a record $922,412 in total development fees in 2021, according to a required annual disclosure report from the city treasurer.
This is well above the $602,367 collected in 2020. Additionally, at the end of 2021, there was another $516,206 (an increase of $133,498 over the previous year) in deals. deferred development charges, which will be included in the development charge balances once paid.
The City also earned $57,125 in interest and other investment income in 2021, which is slightly lower than the $83,342 earned in 2022.
The development expense reserve fund balance was $2,980,659 as of December 31, 2021, up from $2,115,776 at the start of last year.
Development charges are set by municipalities in accordance with the Development Charges Act, 1997.
They are generally collected at the time of issuance of a building permit for new developments (ie, new home, newly created land, etc.).
The purpose of levying development charges is to ensure that where new infrastructure or development is required due to growth, the new development contributes to funding those growth-related projects.
Julia McKenzie – Director of Financial Services/Treasurer says, “This is the biggest year we’ve ever seen for development charges. That’s a pretty big difference over the last few years, which is due to the growth of development in the community.
“It’s important to note that we haven’t received much from the development charges this year, except for the two debenture payments for the Summit Center and Forbes Hill Drive, which we make each year,” he said. she declared.