Surprise: A county fee is about to go down.
It’s not exactly a big drop. But thanks to continued weakness in the construction market, Washington’s contractors keep bidding for jobs at bargain prices.
In turn, that’s driving down the cost of county road projects — and driving down the fees the county charges developers to pay for those new roads.
In Hazel Dell, for example, the “traffic impact fee” for a single-family house is expected to fall 0.9 percent, from $3,668.66 to $3,635.64.
Last year, the same fee rose 1.3 percent.
“That’s strictly based on Seattle construction cost index,” said Steve Schulte, transportation manager for the county public works department.
County commissioners expect to approve the lower fees, as required by county code, on April 6. After the expected 0.9 percent drop, traffic fees for a single-family home would range from $588.47 in outlying rural areas to $5,489.74 in the fast-growing Prairie High School area.
The falling construction costs reflect the multi-year slump in Washington’s and Clark County’s building industry, which has helped make local unemployment rates the highest in the state.
The figures seem to contradict some predictions, early in 2009, that federal stimulus efforts would drive rapid inflation, especially in the construction industry.
Shane Tapani, chief estimator for Battle Ground-based Tapani Underground, said Friday that his company continues to bid for jobs at zero profit margin just to stay open and retain its staff.
“I don’t think it’s going to turn around ’til the housing market comes back,” said Tapani, whose firm recently widened 88th Street between St. Johns and Andresen roads for Clark County.
If the firm doesn’t underbid for its jobs, Tapani said, it risks losing the contract completely.
“There’s a lot of competition,” Tapani said.
Michael Andersen: michael.andersen@columbian.com or 360-735-4508.
