To: Mark R. Hafner, City Manager
From: Alonzo Liñán, Director of Public Works
Subject:
Title
PUBLIC HEARING: Consider a resolution replacing the 2015 Impact Fee Study with the 2021 Impact Fee Study that establishes new maximum service unit rates for Water, Wastewater and Roadway impact fees.
Action Requested:
Conduct a public hearing regarding replacing the 2015 Impact Fee Study with the 2021 Impact Fee Study that establishes new maximum service unit rates for Water, Wastewater and Roadway impact fees. No City Council action is required at this time.
Background:
As required by Texas Local Government Code Chapter 395.056, the Capital Improvements Advisory Committee (CIAC) made their recommendation for the 2021 Impact Fee Study on May 24, 2022, and that recommendation was presented to the City Council at the July 5th and July 19th, 2022, Work Sessions. The outcome of those Work Sessions was instruction to remove the extension of Rapp Road, between US377 and Whitley, from the Master Throughfare Plan and the Impact Fee Capital Improvements Plan (CIP). The 2021 Impact Fee Study Update was edited as instructed and the associated fees were adjusted. The final 2021 Impact Fee Study Update was made available to the public on August 16th, 2022, for review and comment.
In accordance with the Texas Local Government Code Chapter 395.054, the City Council shall conduct a public hearing to discuss the proposed ordinance amending land use assumptions, the capital improvement plans, and the impact fee. The City Council is then required, within 30 days of the close of the public hearing, to approve or disapprove the amendments of the land use assumptions, the roadway, water, and wastewater capital improvement plans, and establish impact fee rates at or below the maximum allowable rates.
The City has updated the Future Land Use Plan, Water Master Plan, Wastewater Master Plan, and the Master Thoroughfare Plan. The 2021 Impact Fee Study includes updated demographic data from the FLUP and includes an updated 10-year Capital Improvement Program (CIP) based on these updated master plans.
The Impact Fee program assesses impact fees for roadway based on land use type, and for water and sewer by water meter size. The current impact fee rates are and range from 8.5% to 50% of the maximum allowable rate:
- Roadway
$263.09 to $1,052.35 (Service Area 1)
$263.09 to $ 860.00 (Service Area 2)
- Water
$979.10
- Wastewater
$918.00
The CIAC recommends the following:
- 2021 Impact Fee Study Update
- Growth Rate
- Capital Improvements Plans
- Adopting 100% of the maximum allowable rate as shown in the 2021 Impact Fee Study Update and below.
- Roadway
$1,747 (Service Area 1)
$1,951 (Service Area 2)
- Water
$6,539
- Wastewater
$2,764
With the collection of public comments, staff will make any necessary changes based on these comments and Council direction.
Staff will return to the City Council in October for formal adoption of the Impact Fee Study Update report that documents the assumed growth rates, the land use assumptions, the capital improvement plans for roads, water and wastewater, and the recommended impact fees for these three service categories.
Citizen Input/Board Review:
At their Regular Meeting held on May 24, 2022, the CIAC Committee Members unanimously approved the proposed Impact Fee Study as presented.
Council Action:
Conduct the public hearing. No action is required at this time.