A developer who wants to build 20 apartments in Nipomo will have a little bit longer to pay fees for traffic his new tenants are expected to generate in the area, thanks to a decision by the Board of Supervisors.
William K. Kengel of Mesa Dunes Investments Inc. asked that the fees be lowered or delayed. Supervisors granted the second request.
Kengel intends to build 20 apartments at Blume Street south of Tefft Street.
The county collects fees for traffic and wanted to collect Kengel’s up front, when he receives his permit to build. Instead, he now will pay them before his apartments are occupied.
Road impact fees are a form of tax on new development that helps finance streets and other road infrastructure improvements.
But they can be a financial hardship, and those who must put up the money often appeal to the Board of Supervisors.
In the South County road fee area there have been 31 appeals since 1994, according to the Department of Public Works.
Supervisers have denied 20, all of them residential, adjusted eight, and waived three. Public Works estimates the county has lost $168,376 in uncollected fees.
The later collection date in Kengel’s case will create a lag time in improving affected roads, according to Glenn Marshall of Public Works.
“In this case, fees go towards improv(ing) conditions on Tefft Street, which have deteriorated due to development,” Marshall wrote in an e-mail to The Tribune.
Asked whether Kengel was being given a break that others have not received, Supervisor Bruce Gibson said he is not.
“The only change for Mr. Kengel is a slight delay in when he has to pay them — before occupancy, rather than when the permits get issued,” Gibson wrote in an e-mail to The Tribune.
“I think that is a relatively minor concession for a project that will provide affordable housing in a tough economy,” he wrote.
Kengel will pay a total of $148,936, but in installments. He has seven individual permits.