South Carolina 2025-2026 Regular Session

South Carolina House Bill H3165

Introduced
1/14/25  

Caption

Development impact fee

Impact

The amendments concerning development impact fees introduce modifications that necessitate additional reporting and procedural requirements when imposing such fees. The bill extends the timeframe for the refund of impact fee funds not expended from three years to seven years, which may facilitate better financial management for governmental entities. Furthermore, the bill mandates that local planning commissions contribute to the development of capital improvements plans, including evaluations of existing public facilities and their deficiencies, thus fostering a holistic approach to planning and development within South Carolina. These changes are designed to promote effective use of impacts fees and ensure that local entities are adequately funded to address the challenges posed by growth and development.

Summary

House Bill 3165 proposes significant amendments to existing provisions of the South Carolina Code, particularly in the area of local government planning and development regulation. One key feature of the bill is the requirement for counties to report any residential development plans located within a one-mile radius of a bordering city on a monthly basis. This aims to enhance coordination between counties and cities regarding residential developments, ensuring that cities are aware of growth in adjacent areas that may affect their comprehensive planning and resource allocation. Additionally, the bill revises the procedures for municipalities attempting to annex land, requiring them to notify the respective counties prior to the first reading of the proposed annexation, thereby promoting transparency and better governance.

Contention

While House Bill 3165 is positioned as a means to strengthen local governance and improve communication between jurisdictions, there may be points of contention among different stakeholders. Critics may argue that the increased administrative burdens and reporting requirements on local governments could stifle efforts to innovate and respond quickly to local needs. Moreover, stakeholders may have differing views on the implications of extending the refund period of impact fees, with concerns about whether these funds will be utilized effectively or may lead to delayed public service improvements. There may also be debates over the balance of power between counties and cities in the development process, as cities may feel that their interests are secondary in these collaborative efforts.

Companion Bills

No companion bills found.

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