County OKs deferral of commercial impact fees

County commissioners voted 5-0 Tuesday to adopt an ordinance that allows commercial and industrial builders to defer payment of impact fees that total in excess of $25,000 for up to three years.

County Commissioner John Druzbick said it will be a "tremendous tool" to encourage large and small businesses to relocate to Hernando County.

The new ordinance will establish a $25,000 threshold for both commercial and industrial projects. The ordinance would allow developers to defer the payment of impact fees up to three years with a nominal interest rate.

Payment of the total impact fee plus interest would be due in full at the end of the deferral period but no longer than three years.

The developer would be required to submit a performance bond or letter of credit in the amount equal to all impact fees owed plus interest at the time the building permit is issued.

County officials hope this will act as an incentive to spur new development.

The idea came out of an August meeting of the business and economic development committee, when members learned that Highlands County has a similar deferred impact fee plan.

Commissioner Jim Adkins said it's a good start in diversifying the county's labor force.

Commissioner Rocco told Business Development Director Mike McHugh that the measure will help in the short-term, but he needs to "showcase ourselves a little more aggressively" in attracting new industry instead of sitting back and waiting for industry "to come to us."

McHugh said the county, mirroring the Tampa region, lags behind other areas in terms of educating the labor force on skilled jobs.

Without those skills, employers will look elsewhere, he said.

To that end, he plans to continue a close association with Pasco-Hernando Community College.

The board said it will schedule a workshop to discuss more aggressive recruiting methods.