Speaker Madigan Forms Bi-Partisan
Task Force On Impact Fees

Illinois House Speaker Michael J. Madigan today announced the formation of a Speaker's task force to study the utilization of development impact fees by county and local governments in the state.

"Several years ago, the legislature authorized Lake and DuPage Counties to impose fees on developers to offset the cost of constructing the necessary infrastructure to accommodate new housing and business developments," Madigan said.

"Implementation of those fees coupled with the decision of several municipalities to impose fees of their own has touched off a wide ranging debate over whether counties are short changing cities and villages and whether developers are being asked to shoulder too much of the burden," Madigan added.

In most instances, the impact fees utilize a complex formula that determines the amount of traffic that will be generated during rush hour period. Developers typically receive credit for other taxes generated by the project.

The one-time fee is usually paid at the time the developer is issued building permits.

"I believe the time has come to assemble a bipartisan task force of House and Senate members, real estate experts, local government officials and community leaders to study the use of the fees and determine if additional legislation is needed," Madigan said.

The Speaker noted efforts are already taking place to expand the concept to also allow township government to impose impact fees (HB 297).

Madigan said he will invite representatives of Lake and DuPage Counties, the DuPage County Mayors and Managers, the Northwest Municipal Conference, the Taxpayers Federation of Illinois, the Illinois Municipal League, the Illinois Realtors Association and other interested organizations to join the task force. •

Page 8 / Illinois Municipal Review / March 1989