|Las Cruces City Hall|
These new impact fees will add more than $600,000 to the cost of a Wal-Mart sized store or business. Why would HP, Intel, or a “green” industry want to expand their business in Las Cruces? For the small business owner the impact fees will add approximately $30,000 to the costs of a 10,000 square foot building. In each case long term financing will substantially increases their cost. According to a prominent local developer these impact fees will increase the average new apartment rental by $20 per month.
The Mayor claimed that the fees would only add a few dollars each month to the cost of a new home and that there would be significant insurance savings from improved fire protection and flood control. These statements were refuted by members of the public who deal with investment financing every day and truly understand amortization costs. One Councilor made the comment that we do not need more housing or commercial space and that realtors and developers should go find “green” jobs - how insulting to their professions.