ABSTRACT
Fiscal impact analysis is the measurement of the costs and revenues of existing development in order to project the impact of new development. It provides planners with the information to support their recommendations or pose their critiques regarding land development proposals. The Spatial Method uses factors such as population, school aged population, land value, property tax collections, employment, police and fire calls and road frontage, as well as others to allocate costs and revenues to parcels. The method heavily reflects location, as well as the age of existing development. When projecting the cost of a new residential development proposal, multipliers from more developments should be used to project future costs and revenues, rather than using the average for the land use across the entire community. The Spatial Method provides the opportunity to estimate the impact of tax increment financing districts or to identify areas in need of redevelopment.
