Frequently Asked Questions (FAQs)

What is an impact fee?

Impact fees are one-time charges applied to new development. They provide revenue for capacity-producing capital improvements needed to accommodate growth while maintaining the community’s adopted level of service.

Impact fees are assessed for development activities that create or increase demand for public facilities. The fees are based on a fair share, consumption-based approach, meaning that new development contributes proportionally to the infrastructure it requires. Impact fees supplement revenues to ensure that infrastructure keeps pace with community growth.

What types of infrastructure do impact fees fund?

Impact fees help fund new, expanded, or updated public facilities and equipment needed to accommodate growth and impact caused by new development, including:

• Transportation and major roadways
• Fire Rescue and Emergency Medical Services facilities
• Law enforcement facilities
• Parks and recreational facilities
• Library facilities
• Corrections facilities
• Public buildings and government facilities
• Public schools

These facilities support the needs created by population and development growth within Okeechobee County.

When do the Okeechobee County impact fees take effect?

Impact fees were adopted through Okeechobee County Ordinance 2026-0001 on February 12, 2026, and will take effect on May 14, 2026. Impact fees will apply to applicable development activity occurring on or after the effective date.

When are impact fees paid?

Impact fees are typically due at the time a building permit is issued unless otherwise addressed during the development approval process.

Who pays impact fees?

Impact fees are generally paid by developers or builders of new development. In residential projects:

• Developers may pay certain impact fees during development approval.
• Home builders or property owners typically pay remaining fees when applying for a building permit.

For non-residential development, the property owner or developer pays the applicable fees during the permitting process.

How are impact fees calculated?

Impact fees are calculated based on the type and scale of development and the expected demand it will place on public facilities.

Examples include:

• Residential development fees based on dwelling unit type or size
• Commercial development fees based on square footage
• Hotel development fees based on number of rooms
• Gas stations based on number of fuel pumps
• Marinas based on number of boat slips

Different types of development generate different levels of demand on infrastructure.

Are impact fees the same as property taxes?

No. Impact fees are separate from property taxes. Impact fees are one-time charges paid at the time of development to support infrastructure expansion. Property taxes are ongoing annual taxes used to fund general government services and operations.

Are there exemptions from impact fees?

Yes. Certain development activities are exempt from impact fees under Section 52-9 of the County Code. Requests for exemptions must be submitted no later than the time of building permit application.

Can an applicant request a credit?

Yes. In cases where a structure is replacing an existing building or dwelling, a credit may apply. The credit will generally be limited to the equivalent impact fee associated with the original structure. Documentation verifying the original structure must be provided.  Additionally, certain improvements to public infrastructure funded by the applicant may also qualify for credits pursuant to the Florida Impact Fee Act. More information on this process can be found in Section 52-8 of the County Code.

How are impact fee funds used?

Impact fee revenues are restricted to capital improvements that increase capacity for public infrastructure needed to support new development.

Examples include:

• Construction or expansion of roadways
• Building new fire stations or expanding emergency service facilities
• Developing parks and recreational facilities
• Expanding law enforcement or corrections facilities
• Library and public facility expansion
• School facility improvements

Impact fee funds cannot be used for routine maintenance or operational expenses.

Who can I contact for more information?

For questions regarding impact fees in Okeechobee County, please contact:

Community Development
Phone: (863) 763-5548

ALL SUPPORTING LINKS

• Impact Fee Study 12.09.2025 
• Ordinance No. 2026-0001
• Impact Fee Schedule, Eff. 5-14-26, Totals 
• Impact Fee Schedule, Eff. 5-14-26, All Categories 
• Impact Fee Calculator - Excel