Land Use & Zoning

Impact fees in New Hampshire municipalities are charged to developers to:

AFund the developer's profit margin
BCover a proportionate share of the cost of infrastructure improvements necessitated by new development✓ Correct
CPay state real estate transfer taxes
DCompensate adjacent property owners for reduced views

Explanation

Under RSA 674:21, municipalities may charge impact fees to new developments to fund their proportionate share of infrastructure costs (roads, schools, water/sewer) generated by the new development.

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