At a May 13th meeting, Sussex County Council voted 4 to 1 to draft a proposal for a new school impact fee. 

This fee would take the form of a surcharge on building permits and is aimed at funding construction projects to reduce overcrowding in local schools.

Key Details:

• The proposed fee targets new housing developments
• The fee would help pay for local school construction costs that alleviate the continuance of overcrowding issues in our local schools
• A formal proposal must be drafted, and the state must authorize the surcharge

The idea gained momentum after the 2024 elections brought new members to the council, including Councilman Steve McCarron, who strongly supports the initiative.

Council Debates Funding Models

Council members discussed two approaches: a voluntary school assessment (VSA) and a building permit surcharge, rather than an impact fee. 

While New Castle County uses a VSA and Kent County applies a surcharge, Sussex has yet to act on any action. 

McCarron and others favor the impact fee for its flexibility and for control of the decisions to remain within county jurisdiction.

Yet, Councilwoman Jane Gruenebaum emphasized the need for newcomers to contribute: "People who move into this county should pay their fair share."

Vice President John Rieley opposed the measure, arguing that school funding should be handled at the state level, noting discreetly support for a surcharge structure.

Local School Officials Voice Support

Educators and administrators across Sussex County spoke in favor of the impact fee:

• Jason Hale of Cape Henlopen School District said the fee would benefit all districts equally while the VSA option only helps some schools
• Tammy Smith of Indian River School District highlighted the urgent need for additional funding, especially with a new Sussex Central High School under construction
• Kelly Kline noted that both schools and libraries are struggling to keep up with population growth

"Without an impact fee, the cost of accommodating this growth continues to fall on the backs of our existing taxpayers," Hale said.

What Comes Next

The council must now:

• Finalize the proposal
• Request approval from the state
• Determine the fee amount and qualifying construction thresholds

Even if the fee is enacted, school projects would still require state certification and voter approval via referendum.

For more updates on Sussex County government, growth, and pending council decisions, follow our blog for all things Coastal Delaware news, and share your thoughts in the comments below!

Source: Cape Gazette