Local HBA Wins Impact Fee Case

On Feb. 4, a judge ruled in favor of the Greater Atlanta Home Builders Association (GAHBA) and its members regarding the improper increase of impact fees in 2022 (Ordinance 22-05) and 2024 (Ordinance 24-06) in Henry County, which is located about 30 miles south of Atlanta.

“This ruling validates the concerns that the development community has had for years, as it relates to the questionable tactics used to inflate fees that builders pay to local jurisdictions," said GAHBA President, James Nash of Heatherland Homes. 

The Henry County Superior Court issued several orders, including:

• Improper fees collected since Feb. 2, 2023, are to be repaid by the Henry County to the feepayer.

• GAHBA will be awarded all attorneys’ fees and litigation expenses.

• Henry County is prohibited from further enforcing Ordinance(s) 22-05 and 24-06.

The case stemmed from GAHBA’s position that Henry County officials did not take the appropriate steps to update its impact fees in accordance with the Georgia Development Impact Fee Act (DIFA). After GAHBA asked the county to delay implementation based on deficiencies in the methodology behind the ordinance, the county rejected GAHBA’s request. In response, the association pursued legal action.

The association felt it was prudent to file a lawsuit on behalf of its members. Henry County and other counties and municipalities should be held accountable for operating in accordance with the process expressed in DIFA.

GAHBA’s Builder Action Fund provided financial support for the case. The association created the fund for important legal cases and to improve the legal and regulatory climate for builders in the Greater Atlanta area.

"We are grateful for the support from our members that contribute to the GAHBA Builder Action Fund that allows us the resources to address these issues," said Nash.