SUSSEX COUNTY, Del. - As Sussex County continues to experience rapid growth, county leaders have approved a new school impact fee aimed at helping local school districts keep pace with increasing enrollment.
The Sussex County Council unanimously approved the ordinance Tuesday, creating a new surcharge on certain building permits to help fund student capacity-related capital projects in local schools.
Starting July 1, new construction projects valued at more than $150,000 will be subject to a fee of $5 per $1,000 of construction value. County officials estimate the fee could generate roughly $7 million annually based on current development activity.
Supporters say the goal is simple: ensure that new development helps pay for the additional school infrastructure needed to accommodate growth.
"Growth is an issue, but the cost of the growth should not be on the backs of the current Sussex County residents," said Sussex County Councilman Steve McCarron.
According to county officials, the funding can be used for capacity-related capital projects, such as classroom additions and school expansions. The money will be available to eight school districts in Sussex County, including Cape Henlopen, Delmar, Indian River, Laurel, Milford, Seaford, Woodbridge and Sussex Tech.
McCarron said the new funding source could reduce the need for future school referendums that often require taxpayers to shoulder a portion of construction costs.
"The schools are going to get built, but the people that are coming to the area affecting building capacity are the ones that are actually helping shoulder the cost of that," he said.
School leaders welcomed the decision, citing growing enrollment pressures across the county.
"This is the rare issue that the districts, the unions and the community all agree on, that we have so much growth in this area. Whether you like it, love it or hate it, we all see it," said Blair Catlin Brown, president of the Indian River Education Association.
Educators say overcrowding has become a persistent challenge, particularly in fast-growing districts like Cape Henlopen.
"I've been working in the Cape Henlopen School District for about 16 years and throughout all that time it seems that most of our schools are always over capacity," said Christy Wimmer with the Cape Henlopen Education Association. "It feels like as soon as we build a new one, it fills up the next day."
Brown said the additional funding could help districts expand career and technical education programs and create more classroom space for students.
"Ultimately our community gets what we need, which are well-educated young people to enter into the workforce," Brown said.
County officials say the largest share of the revenue is expected to go to the Cape Henlopen and Indian River school districts, where much of Sussex County's recent development has occurred.
Not everyone supports impact fees. The Home Builders Association of Delaware has previously expressed concerns that fees placed on new housing projects are ultimately passed on to homebuyers, potentially increasing housing costs during an ongoing affordability crunch.
The association did not immediately respond to WBOC's request for comment Wednesday.
Affordable housing developments supported by the Delaware State Housing Authority or the Sussex Rental Program are exempt from the new surcharge.
