A class action lawsuit has been filed against the city for allegedly collecting illegal impact fees for new construction developments. The lawsuit was filed in Henry County Superior Court and claims the city of McDonough began charging individual developers impact fees of $1,200 per project in 2002. The city then dropped the fee in 2003. The suit was filed on behalf of the Greater Atlanta Home Builders Association and more than 50 individual builders.
Georgia law allows local governments to collect impact fees to offset the effect of new construction on public services like roads, water and sewer lines, and emergency services. Before imposing such fees, though, the law requires localities to conduct a comprehensive study and establish a formula for determining the impact of a specific project and the amount of fees to be paid. The funds raised are supposed to be segregated and allocated for that project. The class action claims none of this happened and that the fees were charged illegally.
If you feel you should be included in this pending class action, please contact Shannon Goessling of the [Southeastern Legal Foundation]