Impact Fees

An updated service area (SAR) report for water impact fees has been prepared and is available in the Documents section on this project page. The updated SAR corrects a calculation error that affected expected irrigation water demand. See page 12 for revised text and calculation. This updated version will be considered at the public hearing by the City Commission on March 25, 2025.

The update to the Service Area Reports for the Wastewater impact fee and the Water impact fee is moving to public hearings. The Community Development Board will hold its hearing on February 24th and the City Commission on March 25th. Please see the formal notice provided in the documents section to the right of the screen. A copy of each Service Area Report is also in the documents section for public review.

The Service Area Report provides documentation of cost of construction, demand for service, and identifies an amount of impact fee that meets legal standards.

On Dec 10, 2024, the City Commission adopted the new Transportation Fee service area report. The resolution sets an effective date of January 1, 2025 for the new fee schedule and home sizing ranges. The outcome of the service area report is that some fees for some uses increased, some decreased, and some remained similar to what the old fee schedule showed. Please see the service area report in the Documents section of this webpage for details. A new fee estimator using the updated transportation fees will be added to the impact fee webpage.

The update to the Service Area Report for the Transportation impact fee is moving to public hearings. The Community Development Board will hold its hearing on November 18th and the City Commission on December 10th. Please see the formal notice provided in the documents section to the right of the screen. A copy of the Service Area Report is also in the documents section for public review.

The Service Area Report provides documentation of cost of construction, demand for service, and identifies an amount of impact fee that meets legal standards.

On October 1, the City Commission held a public hearing and after due deliberation adopted Resolution 5651 which adopted the new Service Area Report for Fire/EMS. The effective date of the resolution is November 1st. The discussion of the Service Area Report begins at 2:47:00 and discussion of the Resolution at 3:37:00 in the linked recording. The new fee adopted is the amount supported by the Service Area Report.

The update to the Fire/Emergency Medical Services impact fee is the first to move into public hearings. The Community Development Board will hold its hearing on September 9th and the City Commission on October 1st. Please see the formal notice provided in the documents section to the right of the screen. A copy of the service area report is there for public review.

Impact Fees are used to fairly assign costs of services to those who require new public services and to limit unnecessary cost increases to existing citizens and property owners. Impact Fees have been in effect in Bozeman since 1996. Impact Fees are a one-time fee used to increase the capacity of:

• Water
• Sewer
• Fire/EMS
• Street/Transportation Systems

For more information on the existing impact fee program, please visit Impact Fees.