|
Fiscal Impact Analysis
Fiscal impact analysis estimates the operating and capital impacts of a land use decision on the finances of local governments (county, municipality and/or school districts). The goal is to ascertain to what extent a proposed commercial, residential or mixed-use project pays for itself in terms of revenues and costs. This type of analysis is becoming increasingly important as local governments bolster their long-range planning efforts to proactively evaluate cost of growth issues. Credible, objective fiscal impact analysis provides the community stakeholders (elected officials, staff, proponents and opponents) with the facts needed to make an informed decision.
Fiscal impact analysis measures the direct revenues produced by the new land use and the associated new employees or residents (ad Valorem taxes for real and personal property, sales taxes, state revenue sharing, etc.) along with the cost of services the local government must provide the new employees or residents (public safety, health, social services, education, parks and recreation, water and sewer, etc.). Existing infrastructure is analyzed to determine the capacity available to serve future users, and related capital improvement needs are integrated into the analysis accordingly.
|
