Marion County proposes impact fee rates for EMS/Fire
Impact fees are paid by developers to help offset the costs of growth, including infrastructure.
Marion County and city of Ocala officials are beginning negotiations to bring back impact fees for fire and emergency medical services.
Fire rescue impact fees were originally adopted in Marion County in 2002, suspended in 2010 during the economic downturn and then were repealed in 2015 by ordinance, said Marion County Fire Rescue Chief James Banta at a March 13 joint meeting between the city and county.
“Currently, Marion County does not collect fire or EMS impact fees. This means that while new development increases demand on our emergency services, there is no dedicated funding mechanism to help offset the cost of expanding our infrastructure to meet that demand,” Banta said.
Marion County has an estimated population of 419,000 people, with a projected annual growth rate of 9%. Marion is ranked 17th out of Florida’s 67 counties and its residential permit growth rate is ranked 15th, Banta said.
“The proposed impact fees aim to address this by ensuring that new growth contributes its fair share for the capital cost required,” Banta said.
Impact fees are one-time payments made by developers for every new housing unit built, to offset the cost of growth caused.
A study was conducted by an outside consultant, Benesch, to determine the revenue needs for fire and EMS services countywide. If the impact fee rates recommended by the consultant were instated at 100%, the rates would be as follows:
Single family (1,500 square feet or less): $871
Single family (1,501 to 2,499 square feet): $991
Single Family (2,500 square feet and greater): $1,090
Multi-family (Mobile home): $841
Multi-family (Senior adult housing, detached): $596
Multi-family (Senior adult housing, attached): $403
At a low-end estimate for the number of houses built, this rate would bring in a projected revenue of about $5.9 million over the next five years. At the high-end estimate, it will bring in a projected revenue of about $7.3 million over five years.
The consultant came up with the rates by looking at the different land uses, then coming up with the amount of people that are associated with those land uses, Banta said.
From 2019 until 2023, the number of residential permits in the fire rescue service area averaged at about 4,800 per year. But, from 2021 to 2023, that number increased significantly, with an average of about 6,000 residential permits per year, according to Benesch.
Benesch is the same consultant group that conducted the study for the Marion County School Board to determine at which rates the school district should reinstate impact fees. The school board negotiated with the city, county and developers for over a year before finally getting impact fees approved in 2024.
The county already collects a fire assessment, a fee tacked on to every property tax bill outside the Ocala city limits. It has remained at an average of $199 per household. In the last couple of years, Ocala has increased its fire assessment fee to $364.15 for a single-family home with a square footage between 1,601 and 2,500.
Moving forward, the Marion County Board of County Commissioners have requested that the Ocala City Council members come up with feedback by the time the topic is revisited on April 15.
To instate the impact fees in both the city boundaries and the unincorporated areas of the county, both parties must come to an agreement on the rates and a collection plan.
Support community journalism
The first goal of the Ocala Gazette is to deliver trustworthy local journalism so corruption, misinformation and abuse are not hidden from the public or unchallenged.
