On Tuesday, the Lubbock City Council voted to slash all impact fees to zero, a move that immediately set off a tug-of-war between developers and budget hawks.
Impact fees are what builders pay when they pull permits—meant to cover the cost of new road construction tied to growth. By erasing them, the city essentially shifted those costs elsewhere. Thomas Payne, a former member of the impact fees committee, wasn’t having it. He resigned after the vote, calling the decision “a very bad” one that kills a revenue stream outside of the strapped general fund.
Meanwhile, developers popped champagne. Victoria Whitehead, CEO of West Texas Home Builders, argued that growth pays for itself through property and sales taxes. In her view, keeping impact fees around just “picks winners and losers” in a system that wasn’t producing results anyway.
The council isn’t quite done yet—the issue comes back on August 19 for a second reading and final vote. If it passes again, future developments in Lubbock will get a free ride on impact fees, while the city’s budget will have to find another way to pave all those shiny new roads.
Council says “growth pays for itself.” Critics say taxpayers will be stuck footing the bill. In Lubbock, that’s not a debate—it’s déjà vu.
