Land Use & Zoning

Iowa's school impact fees are assessed by some Iowa school districts or municipalities to:

AFund IREC educational programs
BPartially offset the cost of new school facilities made necessary by residential growth and development✓ Correct
CPay for existing school operational expenses
DFund Iowa State University real estate education programs

Explanation

Development impact fees (including school impact fees where authorized) are one-time charges imposed on new development to offset a portion of the capital costs for public facilities (schools, roads, parks) generated by the new development. They affect the economics of new construction.

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