School Impact Fees

Queen Liliuokalani building

What are school impact fees?

School impact fees are charged on each new unit of housing that is constructed in certain districts across the state. 

Despite collecting over $5 million in school impact fees over 12 years, the Department of Education never used these funds for building new schools.

School impact fees increase the cost of developing residential housing, potentially adding thousands of dollars to the price of each new housing unit.

These additional costs are typically passed on to renters and homebuyers, driving up prices. In some instances, excessive impact fees can make a project financially unfeasible, preventing the construction of much-needed units. 

HB422 would get rid of school impact fees to make it cheaper to build housing.

Bill status

HB422: For the latest updates click here.

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