Although no one likes to pay taxes, they are an inevitable part of funding core government functions. A policymaker’s challenge is to develop an efficient tax system that provides necessary revenue while doing the least economic harm. A policymaker should take care, however, as not all methods of raising revenue are created equal.
Local Government
Growing Pains: The Cost and Contribution of Impact Fees in Texas
Texas’s rapidly growing population requires new infrastructure and improvements, which oftentimes come at great expense. To fund these projects, local officials often impose impact fees on new development—but their use comes at a cost. Key points: Texas is the fastest-growing state in the nation. As such, it has robust infrastructure requirements. To help finance capital...
August 12, 2026