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HomeMy WebLinkAbout06 19 2018Mlfll�l� �� Public Works Department PO Box 5604— 5160 Yellowstone Avenue, Chubbuck, ID 83202 208.237.2430 — Fax 208.237.2409 www.CityofChubbuck.us Impact Fee Advisory Committee Meeting Minutes June 19, 2018 In Attendance: Rodney Burch; Public Works Director, Brandon Jackson; Land Use Development Committee, Idaho Central Credit Union, Jason Mendenhall; Land Use Development Committee Chair, Jason Dixon, Immediate Past President of the Realtors Association, ERA The Brokerage, Doug Briscoe; Briscoe Bybee Contractors, Tom Holmes, City Attorney, Nelli Simmons; Office Administrator, Land Use Development Committee and Chubbuck Development Authority Administrative Assistant Megan Weber from Zions Public Finance was in attendance. Rodney presented to City Council in there Study Session last week what this entity is and what this committee has been doing. Council is involved in the yearly budget so they would like to wait until August or September meeting for the impact fee ordinance to be presented. Tom will make sure the ordinance is ready for the City Council meeting the night it is presented. Preliminary numbers have been given to City Council. After discussion the committee decided one ordinance for all three entities, parks, police and emergency services. One ordinance would make it easier to make changes to it in the future if they are needed. Brandon mentioned that Idaho Central Credit Union just paid impact fees in Rexburg for a 1600 square foot facility. The $15,000 fees were for parks, police and emergency services. The presentation at the council meeting will be Megan as the professional and members of the committee, not City employees. GENERAL BUSINESS 1. Report by Zions Public Finance— Megan Weber Megan went over the Impact Fee Calculations presentation that included parks, police and emergency services. This information included agenda item 2. The Impact Fee Calculations were emailed to the committee to review before this meeting. Some changes were made to the information in the categories listed below: • Development Impact Fees Overview • Impact Fees Advisory Committee Requirements • Impact Fee Key Terms • Project vs System Improvements • How the Impact Fees are Calculated • 2018 Development Impact Fee Analysis • Parks Impact Fee Analysis Level of Service • Parks Impact Fee Analysis C:\Users\] bowers\App Data\Local\Temp\006.19.18_791032\006.19.18.docx • Parks Impact Fee per Capita • Parks Impact Fee per Household • Police / Animal Control and Emergency Services Impact Fees • Police and Animal Control Impact Fee Analysis • Emergency Services Impact Fee Analysis 3. Committee acceptance of Final Impact Fee documents. Megan will make the changes to the Impact Fee Calculations and email the committee an updated version. 4. Committee planning the presentation to City Council. Committee discussed how the format should be for the presentation and who should be involved in the presentation. Next Impact Fee Advisory Committee meeting will be decided when the City Council meeting date is set. Committee will meet again to go over the presentation. Rodney will look into when the next meeting will be. Having all committee members participating in the presentation with what they are passionate about was discussed. Megan is excited that this committee will meet at least yearly to double check how the money is being spent. She said it does not always happen in other cities. Doug wondered if this committee could attend a Builders Association meeting and present this information. The second Friday of the month is the Realtor's luncheon. A presentation there would be helpful to spread the correct information. Brandon could share the Rexburg information he shared tonight at the presentation before City Council meeting. The bottom line is impact fees or higher property tax are the only 2 options to be able to make improvements and grow as a City. Adjourned at 6:15 pm Rodney Burch Ranelle Simmons C:\Users\] bowers\App Data\Loca1\Temp\006.19.18_791032\006.19.18.docx 2018 Impact Fee Calculations City of Chubbuck lune 19, 2018 uoNs MINI PUBLIC F INANCL,INC Development Impact Fees Overview • Development Impact Fees are an equitable way to plan and finance public facilities needed to serve new growth and development. • Impact Fees: — ensure adequate public facilities are available to serve new growth; — Promote orderly growth and development by establishing uniform standards for a local government to require new growth to pay their proportionate share of the cost of new public facilities; and --- Ensure that new growth and development PAYS N4 MORE than their proportionate share of the public facilities. • Development Impact Fees are regulated by Title 67, Chapter 82 of the Idaho State Code. • City contracted with Zions Public Finance in spring of 2017 to complete the impact fee analyses in accordance with state law and Impact Fee Advisory Committee has been meeting regularly to make decisions on the impact fee analyses. Impact Fee Advisory Committee Requirements • Any entity considering adopting an impact fee must establish a advisory committee • The committee must have at least 5 members, at least 2 of these members must be from the development/real estate community. An existing planning or zoning commission can serve as the committee as long as it meets those requirements • The committee's purpose is to: Assist in adopting land use assumptions Review and monitor CIPs and amendments — File written comments and periodic reports (at least annually) — Recommend updating land use assumptions, CIPs, and impact fees • The City needs to give the committee all related materials Impact Fee Key Terms • Impact Fee: A payment of money imposed as a condition of development approval to pay for a proportionate share of the cost of system improvements needed to serve development. • Proportionate Share: The portion of the cost of a system improvement which reasonably relates to the service demands and needs of the project. • level of Service: Measure of the relationship between service capacity and service demand for public facilities. �rt Project vs System Improvements • Project Improvements — Generally considered improvements that do not benefit the City as a whole (such as neighborhood improvements) — HOA improvements (not available for public use outside of the HOA association or funded with HOA fees, not City revenues) — Improvements beyond the requirements of City Code — Cannot be included in an impact fee • System Improvements — Improvements that do benefit the City as a whole, have a useful life of ten or more years, and can be included in impact fees How the Impact Fees are Calculated • For each impact fee study, we looked at: — Historic costs of system improvements, — Future capital improvements the City has planned, and — The excess capacity or existing deficiencies in the historic or future capital facilities • A project with excess capacity can serve new growth without lowering the level of service for existing City residents A project with an existing deficiency does not adequately serve existing City residents and cannot serve new growth unless the capacity of the project is increased or upgraded 2018 Development Impact Fee Analysis 2018 Impact Fee Analysis covers: • Parks &Recreation Impact Fee • Police and Animal Control Impact Fee • Emergency Services (Fire and EMS) Impact Fee Parks Impact Fee Analysis Level of Service • Parks Master Plan park inventory was used to determine the parks level of service — Current level of service is 5.22 impact fee qualifying park acres per 1,000 residents -- $277,275 park amenities per 1,000 residents (amenities include playgrounds, picnic tables, sports field improvements, etc.) Parks & Recreation LOS - Current Inventory Impact Fee Qualifying Parks Acres Qualifying Cost Acreage LOS Per 1,000 Community Neighborhood 51.69 24.78 $ 7,139,163 650,279 3.53 1.69 Park Total 76.48 $ 7,789,442 5.22 Amenities Total Cost of Existing Amenities Amenities LOS Per 1,000 Amenities - $ 3,328,212 $ 227,275 Amenities Total - $ 3,328,212 $ 227,275 Parks Impact Fee Analysis • "Community" and "Neighborhood" parks are impact fee qualifying. — The City has more than 76.5 acres of park land, but only those 76.5 acres meet the definition of "impact fee qualifying". — Mini parks are not qualifying. — Park land that was donated to the City is not impact fee qualifying. If current residents didn't have to pay money for it, then future residents shouldn't have to either. Park amenities that were donated are not impact fee qualifying. — All other amenities that the City funded (or received in lieu of fees that a developer owed the City) are impact fee qualifying. Parks Impact Fee per Capita • Parks impact fees are assessed to residential units only. Not to businesses or any other land use types. • The impact fee per capita is calculated first and then an impact fee per household can be calculated. • Impact Fee per Capita Calculation: Calculation of Park Impact Fee Per Capita P.. Per Served Capita. Total Impact Fee Eligible Park Acres (76.5 acres @$20,000) $ 1,529,538 14,644 $ 1.04.45 Amenities Cost 3,328,212 14,644 227.27 Improvement Costs ($2.25 per Sq Ft) 7,495,501 14,644 511.85 Professional Expenses 10,000 14,644 0.68 Total Park Impact Fee Per Capita $ 844.25 Parks Impact Fee per Household • The City has an average of 2.79 persons per household(PPH) for single family houses and 2.60 PPH for multi -family units. • Impact fee per capita of $844 is multiplied by the average PPH to come up with the final parks impact fee per household. Impact Fee Calculation Fee Per Unit Average Household Size/Total Single Family Residential (SFR) Units 2.79 Gross Park Impact Fee per SFR Household $ 2,355 Average Household Size/Multi Family (MFR) Units 2.60 Gross Park Impact Fee per MFR Household I $ 2,195 Police/Animal Control and Emergency Services Impact Fees • Police/Animal Control and Emergency Services impact fees are both calculated based on the number of historic calls the City receives by land use type (single family, multi -family, commercial, etc.) per year. • Annual average number of "Calls per unit" for each land use type tells us what the impact will be on the call volume when a new development/home is built. • The impact fee "cost per call" is calculated based on the historic and future costs of stations, vehicles/apparatus, etc. • Cost per call is multiplied by the annual calls per unit to calculate an impact fee for each development type. Police and Animal Control Impact Fee Analysis • We did not include the cost of the existing police station and the animal shelter because there is an existing deficiency. • Future facilities include a new, expanded animal shelter, police headquarters station expansion, and two police substations to be built in conjunction with new fire stations. • Table below shows the cost per police/animal control call ($296.35 per call), the calls per unit for each development type, and the resulting impact fee per unit: Emergency Services Impact Fee Analysis • The existing fire station has excess capacity to serve new growth, however, we did not include a cost for the existing fire station because it was built so long ago there isn't record of the original cost. • Future facilities include two new fire stations, West Fire Station and North Fire Station, to serve the west and north areas. • Table below shows the cost per emergency services call ($2,718 per call), the calls per unit for each development type, and the resulting impact fee per unit: Emergency Services Cost per Calls per Impact Fee Call Unit per Single Family Residential Unit $ 2,718 0.101 $ 274.01 Multi -Family Residential Unit 2,718 0.090 243.45 Non Residential General Commercial (per 1,000 SF) $ 2,718 0.113 $ 308.13 Office (per 1,000 SF) 2,718 0.053 145.41 Institutional (per 1,000 SF) 2,718 0.016 43.73 Contact Information