Leesburg has approved a temporary waiver of municipal impact fees to encourage redevelopment in certain areas of the city.
City commissioners unanimously agreed Monday night to waive impact fees for new businesses moving into and refurbishing existing structures within Leesburg’s three community redevelopment areas.
The waiver covers utility, police, fire and recreation impact fees for qualifying businesses until September 30. Impact fees typically are charged to new developments upon issuance of building permits – a way to ensure that new growth pays for required expansion of utilities and public services without putting more cost on existing homes and businesses.
“This is an economic tool that Leesburg can use to support new businesses without putting them in debt from the very beginning,” said Leesburg City Commissioner Elise Dennison. “We will try this and see how it works. We hope this will help to expand economic development.”
The city’s redevelopment districts include the historic downtown area, certain commercial zones along U.S. highway 27 and 441 as well as the Carver Heights community in west Leesburg. These special districts allow the city to capture taxes from future increases in property values to support community improvements and economic development projects within the districts.