AG opinion undercuts Nassau County’s impact, mobility fee increases

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The Florida Attorney General has issued a formal legal opinion concluding that Nassau County did not meet the legal standard required to exceed the state cap on impact fee increases, undercutting the county’s recent decision to sharply raise development-related fees by declaring an emergency based on population growth.

In a written opinion dated Wednesday, Attorney General James Uthmeier determined that Nassau County’s 17% population increase over the past five years does not qualify as “extraordinary circumstances” under Florida law — a finding that directly challenges the county’s rationale for approving impact and mobility fee increases beyond the statutory 50% limit.

Nassau County commissioners voted late last year to raise multiple impact fees, including transportation and mobility fees, citing rapid growth and infrastructure strain. County officials argued that extraordinary circumstances allowed them to exceed the statutory cap, triggering the need for state review after a request from Rep. Richard Gentry.

The attorney general’s opinion flatly rejects that argument. In response for an opinion from State Rep. Richard Gentry of DeBary filed last month, the AG said “in short, my answer to your question is no,” Uthmeier wrote, stating that a steady population increase — even one approaching 17% over five years — does not meet the statutory definition of extraordinary circumstances. The opinion notes that Florida has experienced widespread population growth in recent years and that many counties with equal or greater growth have remained within the statutory limits.

According to state statutes, impact fees may not be increased more often than once every four years, regardless of the amount. This provision is intended to provide predictability for development and housing markets.

The opinion further explains that Florida law already anticipates population growth and allows local governments to increase impact fees by up to 50% every four years without special justification. Allowing growth alone to qualify as extraordinary, Uthmeier wrote, would effectively nullify the statutory cap.

“Such a conclusion would swallow the statutory rule,” the opinion states, adding that the Legislature intended the exception to apply only in rare and unusual situations — not routine growth pressures.

The attorney general also issued a cautionary note, stating that an almost 100% increase in fees without proper justification “appears to be a tax disguised as an impact fee,” language that could carry legal significance if the increases are challenged in court.

While the attorney general’s opinion is advisory and does not automatically invalidate Nassau County’s fee increases, it carries substantial legal weight and may influence future litigation or legislative oversight. Impact fees must demonstrate a clear and proportionate connection between new development and the need for additional infrastructure, a standard the opinion suggests may not have been met.

The county has not yet publicly responded to the opinion, nor indicated whether it plans to revisit or revise the fee increases in light of the ruling.

Nassau County’s impact and mobility fee hikes were approved amid concerns from builders and developers that higher costs would be passed on to homebuyers, contributing to rising housing prices in one of Florida’s fastest-growing counties.
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  • GLENSTETTLER1

    Mike,

    This article must have been awkward to write. Considering what Nassau County has done could be considered poor math. What the City of Fernandina Beach (COFB) has been doing, with respect to impact fees is illegal not bad math.

    The quote for the State AG’s statement:

    “Appears to be a tax disguised as an impact fee,” language that could carry legal significance if the increases are challenged in court.

    The COFB is aware of this law as they have been found in violation in a lawsuit and continue with this illegal activity. Using impact fees as a de-facto tax is against both state and federal law, (ref Sheetz case 9-0 supreme court decision). The city has placed impact fees into the general fund and have refused to reimburse fees when charged in excess, until sued. Not a good look if your intention is to operate within the confines of the law.

    Current and past commissions are fully aware of this activity as they have been informed directly. This is a matter of public record.

    It’s deplorable that any elected official would use their position to illegally …

    Friday, January 16 Report this

  • pkeogh

    Glen Stettler is right. In two trials the courts found City impact fees unlawful. Then, the City changed the name to capacity fees and reinstated the same unlawful fees. Commissioners, including you, levied them against your fellow citizens and they are still being charged. I was involved in those successful class action law suits against the City.

    I was also on the County task force led by Danny Leeper that designed the County impact fees and they clearly conformed to state and federal law. Apparently they were subsequently increased and the increase has now been found to be a surrogate tax. That’s different than the City fees where the City has plenty of excess capacity and the entire fee is an unlawful tax.

    Saturday, January 17 Report this