City Of Bozeman
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What are Impact Fees
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
Schedule of Fees
The amount of the fee is determined by the cost-per-unit of service to new or expanding development. Impact fees are not used for work done for maintenance purposes. If a project is a change in use or expansion, then the fee is the difference between the new and old use.
A project may not require payment of all of the fees if they do not generate new demand for all services. The fee cost schedules are updated annually for inflation and every four years are evaluated overall. The date a building permit is deemed complete by the building division determines which schedule applies.
2024 Impact Fees
The provided 2024 impact fee schedule and estimator tool are for building permits passing the pre-screening process after January 1, 2024. The City is currently updating the impact fee service area reports that establish cost of service. Information on the fee update is available at Engage.Bozeman.net.
The first set of fees are for projects passing prescreening after January 1, 2024 and before November 1, 2024
This second set of fees (below) are for projects passing prescreening on or after November 1, 2024 and before January 1, 2025. These fees reflect the update to Fire protection/Emergency Medical Service impact fees adopted on October 1st. Please check the header of the file if you are working on more than one project to ensure you are using the correct tool and fee sheet.
Payment of Impact Fees
Fees are due at the following times:
- Fire/EMS - Issuance of building permit
- Water - Issuance of building permit
- Sewer - Issuance of building permit
- Street / Transportation – Issuance of building permit, unless an impact fee deferral agreement has been applied for, approved, and executed.
You may defer payment of transportation impact fees until issuance of a certificate of occupancy for a new building, according to Resolution 4433. The application and fee for the deferral must be submitted at the same time as the submittal of the building permit to the Building Division. Later submittal may result is delayed issuance of a building permit. An Agreement and Notice of Intent to Lien is required as part of the deferral process.
