Newberry Development Fees on The Rise

NEWBERRY – Developers and builders in Newberry can expect higher development fees as the City prepares to implement new rates to fund necessary improvements in utility infrastructure.

These fees, charged at the time of permit issuance, are intended to offset the cost of expanding and enhancing the city’s utility systems to accommodate new construction. The funds collected are earmarked for specific use, held in trust for projects that address infrastructure needs caused by development.

The increase follows a 2022 directive from the City Commission, which called for a study to assess the city's ability to meet future utility service demands. The study, completed at the end of 2023, identified that a significant hike in fees was required to ensure the City could meet its obligations.

The fees will be increased gradually over a two-year period, allowing developers and the City to adjust to the new rates. These funds will help cover the City’s debt obligations with the Florida Department of Environmental Protection (FDEP) for new infrastructure projects.

As recommended by the study, the existing and proposed system development charges are as follows:

Utility	Existing Fee	Proposed Fee	Increase
Water	$590.00	$3,552.00	$2,962.00
Wastewater	$1,500.00	$10,499.00	$8,999.00
Total	$2,090.00	$14,051.00	$11,961.00

“The City is stepping into the increase by going up half this year and half next,” explained Assistant City Manager and CFO Dallas Lee.

The increase is part of the City's broader strategy to finance essential infrastructure projects, including the construction of an Advanced Treatment Plant mandated by state regulations. The plant is expected to cost nearly $80 million by the time it is completed. City Manager Mike New highlighted that the City has secured $14 million in grants to assist with these costs and is also applying for a $49 million grant to further reduce the financial burden.

Grants, if obtained, may help offset some of the fees developers will have to pay, ultimately lessening the impact on both builders and local citizens. These fees are necessary, according to city officials, to ensure that new developments do not unfairly strain existing utility systems or lead to higher costs for residents

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