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Improvement-Driven Fees

Improvement-Driven Fees. National Impact Fee Roundtable Arlington, VA October 5, 2006. Session Outline. Clancy Mullen (15 minutes) Conceptual framework Randy Young (15 minutes) Road impact fee example Joe Colgan (15 minutes) Alternative taxonomy Panel Discussion (15 minutes)

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Improvement-Driven Fees

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  1. Improvement-Driven Fees National Impact Fee Roundtable Arlington, VA October 5, 2006

  2. Session Outline • Clancy Mullen (15 minutes) • Conceptual framework • Randy Young (15 minutes) • Road impact fee example • Joe Colgan (15 minutes) • Alternative taxonomy • Panel Discussion (15 minutes) • Q&A (15 minutes)

  3. Overview • Alternative Methodologies • Plan-Based • Standard-Based • Essential Characteristics • Plan Requirements in State Laws • Advantages and Disadvantages

  4. Alternative Methodologies • Plan-Based (Improvements-Driven) • Standard-Based (Demand-Driven, Consumption-Based, Buy-in, Incremental Expansion)

  5. Essential Characteristics of Plan-Based Methodologies • Geographic LOS standard • All roads function at LOS D or better • Drainage adequate for 100-year storm • A park within one mile of every house • Minimum 5-minute fire response time • A 10-year to 20-year master plan • Growth projections for planning period • Improvements needed to serve growth at adopted/desired standard • Fee = Total Cost divided by Growth

  6. Essential Characteristics of Standard-Based Methodologies • System-wide LOS standard • Park acres/1,000 population • Road system VMC/VMT ratio • Fire station sq. ft./dwelling unit • Gallons/day per single-family equivalent • Permanent school stations per student • Existing facilities cost per demand unit • Total cost / capacity = unit cost • Fee = unit cost x units needed

  7. Comparative Typical Features

  8. State Law Requirements • 27 states have enabling acts • 30% no requirements (FL, AZ, CO, WA..) • 20% require only a list (AR, OR, UT, WI..) • 50% require growth projections • Typical requirements • Growth projections • List of needed projects and costs • Only attributable share used in fee calc. • TX: max fee = growth costs/growth

  9. Advantages/Disadvantages

  10. When Plan-Based is Warranted • Complex, geographic-based LOS • Master plans available • Community approaching build-out

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