NC S437

Authorizes counties and cities in North Carolina to impose impact fees on new construction within their corporate limits and extraterritorial jurisdiction to offset costs of providing community service facilities.

Requires local governments to adopt ordinances and hold public hearings before implementing impact fees, with fee amounts based on capital costs and allowed to vary by geographic zones.

Mandates that impact fee revenues be placed in separate capital reserve funds and allows developers credits when they install improvements that would otherwise be funded by impact fees.

Establishes a 30-day appeal process for developers challenging impact fees, with appeals heard by a designated individual or board of adjustment and subject to superior court review.

Defines eligible community service facilities including drainage, parks, streets, emergency medical services, fire/police stations, schools, libraries, and solid waste management; excludes renovations and repairs unless they increase parking or change occupancy.

Becomes effective July 1, 2021.