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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 01/04/2000 - FIRST READING OF ORDINANCE NO. 4, 2000, AMENDING AGENDA ITEM SUMMARY ITEM NUMBER: 22 DATE: January 4, 2000 FORT COLLINS CITY COUNCIL STAFF: Felix Lee SUBJECT: First Reading of Ordinance No. 4,2000,Amending the Definitions of"Building Permit"in Sections 7.5-17 and 7.5-47 of the City Code. RECOMMENDATION: Staff recommends adoption of the Ordinance on First Reading. FINANCIAL IMPACT: Based on a typical mobile home size between 1,201 to 1,700 sq. ft., the Capital Improvement Expansion and school impact fees amount to $3,279.26 for each new mobile home installation in the City. Since the initial enactment of those fees,approximately 80 new mobile homes have been installed in Dry Creek Mobile Home Park, to date. Planning for another new mobile home park nearby is underway. EXECUTIVE SUMMARY: Under Chapter 7.5 of the Code of the City. Capital Improvement Expansion(CIE)Fees,school fees in lieu of land dedication, and neighborhood parkland fees are collected prior to issuing building permits for the construction of new dwelling units. Phase I ofDry Creek Mobile Home Park,located northeast of the Downtown Fort Collins Airpark,began construction in early 1998. By July of 1999, 59 "mobile home installation permits" had been issued by City Building and Zoning Department. Building and Zoning Department Director Felix Lee (the "Director") placed a "hold" on issuing further permits upon discovering that except for Street Oversizing fees, no other impact fees were collected. The developer indicated that he had asked about all applicable fees prior to pursuing the project and was told no other impact fees would be assessed. The City and the developer soon reached an interim agreement by which additional mobile home installation permits were issued. The developer paid the disputed CIE,school fees and neighborhood parkland fees on further mobile home installations under protest to be held in a special City escrow account pending the outcome of an administrative appeal to the City Manager. After hearing the matter, City Manager John Fischbach determined that staff had not initially informed the developer of the disputed impact fees and that the current provisions in the City Code are not sufficiently explicit relative to such fees and new mobile home installations. The City DATE: January 4, 2000 2 ITEM NUMBER: 22 Manager concluded that the disputed fees would not be assessed on any new mobile home installations until such time the Code is amended to specifically include them. He further recommended that such amendments be presented for consideration at the January 4,2000 Council meeting. The proposed amendments to City Code clarify that the installation of mobile homes on previously vacant space will require a one-time payment of CIE, school fees and neighborhood parkland fees. The proposed amendments also "grandfather" mobile home lots on which existing mobile homes are or were installed prior to the effective date of this ordinance by exempting them from such impact fees. BACKGROUND: City Council enacted Capital Improvement Expansion Fees beginning July 1996, "to be collected at the time of building permits for the purpose of funding the provisions of additional capital improvements as the city's population increases" and to ensure "that new growth and development in the city bear a proportionate share of the costs of capital expenditures necessary to provide community park, library, police, fire and general government and transportation capital improvements." Further, such fees for new residential development are determined on a "per dwelling unit basis according to the gross floor area of each such dwelling unit. . ." DRY CREEK MOBILE HOME PARK Since enactment of the fees, Building and Zoning staff have been collecting CIE, school fees and neighborhood parkland fees at the time of permit issuance for every new dwelling unit (including dwelling units of multiple housing unit projects)to be built in the City. Dry Creek Mobile Home Park is the first new mobile home park in Fort Collins in some 20 years. Mobile home installation permits issued prior to the Dry Creek MH Park had all been for the installation of replacement mobile homes in long-established mobile home parks. The only fee collected for such mobile set- ups in existing home parks is the $25 mobile home installation permit fee. Building and Zoning customer service staff who collect fees and issue building permits were led to believe that the only other fees applicable to the installation permits for the Dry Creek project when mobile homes began being set up there in July 1998 were Stormwater and Street Oversizing fees. The Director discovered a year later in July 1999,after 59 of the proposed 240 MH installation,that permits were issued without the other CIE, school fees and neighborhood parkland fees being collected. The Director immediately placed a hold on issuing further permits there until disputed fees were either paid or the question of their applicability could be resolved. A few days later, prompted by legal challenges over the definition of a "building permit" in Section 7.5-17 and following discussions with the City Manager's and City Attorney's offices, an interim agreement was reached with Dry Creek management. The agreement allowed issuing additional mobile home installation permits and collecting the associated CIE, school fees and neighborhood parkland fees under protest in a special City account pending the outcome of an administrative appeal of the applicability of such fees to the City Manager. DRY CREEK MH PARK ADMINISTRATIVE APPEAL Section 18-8(b) of the City Code requires obtaining a "mobile home installation permit" prior to installing a mobile home on a mobile home lot. Section 18-3(a)requires a "valid permit" for the a , DATE: January 4, 2000 3 ITEM NUMBER: 22 "construction" of a mobile home park. Based on the interpretation that new mobile home installations add new dwelling units to the Fort Collins housing inventory, the Director and other senior City staff believed that one-time CIE, school fees and neighborhood parkland fees are applicable the first time a mobile home is placed on a new mobile home lot developed in the City, and further, that the "permits" noted in Chapter 18 amount to a "building permit" for purposes of such fees. The administrative hearing appealing the assessment of the CIE, school fees and neighborhood parkland fees relative to the Dry Creek MH Park was held on November 3, 1999 presided by the City Manager. As noted in the attached "Findings and Conclusions Regarding the Dry Creek Mobile Home Park Appeal," the City Manager found that the developer had relied upon information from City staff that no CIE school fees,or neighborhood parkland fees were due for new mobile homes. Additionally,he found that Sections 7.5-17 and 7.547 of the City Code are not sufficiently explicit relative to such fees and new mobile home installations. Based on these findings,the City Manager concluded that the disputed fees would not be assessed on any new mobile home installations until such time the Code is amended to specifically include them. Further, he recommended that such amendments be presented for consideration at the January 4, 2000 Council meeting. PROPOSED CODE AMENDMENTS Chapter 7.5 of the Code establishes, in Sections 7.5-17 and 7.5-47, the definitions of the term "building permit"that trigger the obligation to pay CIE fees,the school fees,and the neighborhood parkland fee. The proposed amendments to the City Code clarify that the installation of mobile homes on a newly-created mobile home lot will require a "building permit" and thus, a one-time payment of CIE, school fees and neighborhood parkland fees. The proposed amendments also "grandfather" mobile home lots on which existing mobile homes are or were located prior to the effective date of this proposed ordinance by exempting them from such impact fees. • ORDINANCE NO. 4, 2000 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING THE DEFINITIONS OF 'BUILDING PERMIT" IN SECTIONS 7.5-17 AND 7.5-47 OF THE CODE WHEREAS,Chapter 7.5 of the City Code authorizes the imposition of various kinds of fees on new development,the purpose of which is to defray the cost of providing the public infrastructure and services necessary to serve such new developments; and WHEREAS, such fees include the capital improvement expansion fees authorized under Chapter 7.5, Article II, the fee in lieu of school land dedication authorized under Article III of Chapter 7.5, and the neighborhood parkland fee authorized under Article V of Chapter 7.5; and WHEREAS, all of such fees are to be imposed upon the issuance of a"building permit" as defined in 7.5-17 and 7.5-47 of the Code; and WHEREAS,the definitions of "building permit"as contained in Sections 7.5-17 and 7.5-47 of the Code do not clearly convey the intent of the Council that the installation of mobile homes pursuant to Section 18-8(b) of the Code of the City should be included in the definitions so as to trigger the assessment and collection of capital improvement expansion fees and fees in lieu of school site additions and neighborhood parkland fees; and • WHEREAS,the installation of new mobile home units in the City has the same impact on City infrastructure and ser%zces as does the construction of other kinds of dwelling units; and WHEREAS, the Council has determined that the definitions of "building permit" as contained in Sections 7.5-17 and 7.5-47 of the Code should be amended so as to apply to the installation of new mobile home units as well as the construction of other kinds of dwelling units. NOW,THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the definition of"building permit" contained in Section 7.5-17 of the Code of the City be and hereby is amended to read as follows: Building permit shall mean the permit required for new construction and additions ptn5ttallt to _ . wider Division 2.7 of the Land Use Codes,or,if applicable, Section29-5( 4of the Tiansitional Land'IseiRegulations, and the;permit require for,tbe`ainstallddon of a mobile home pursuant to §113-8(b);of this,06de;-provided, however, that -Tthe term building permit, as used herein, shall not be deemed to include permits required for the following: i (1) Land development projects (or portions thereof) of any housing authority organized pursuant-+eunder the provisions of Section 29-4-101 et seq., C.R.S., also known as "The City Housing Law;". (2) The installation: of any;°mobile home that.aeplaces'a:' rev3ously,existing mobile home=off an existing mobile home lot under §-1$48(b)of the bode. (3) Remodeling,rehabilitation or other improvements to an existing structure or rebuilding a damaged or destroyed structure unless: (1) in the case of a residential use, such remodeling, expansion or improvement results in the creation of one (1) or more new dwelling units, or (2) in the case of a commercial or industrial use, such remodeling,expansion or improvement increases the gross square footage of the existing structure(s). Section 2. That the definition of"building permit" contained in Section 7.5-47 of the Code of the City be and hereby is amended to read as follows: Building permit shall mean the permit required for construction of new dwelling units and additions to existing dwelling units det D#ision, _ ,= of the Land Use Code or, if applicable, Section 29-5(a) of the Transitional Land Use Regulations andfife� pant equued'To 3ieanstal atitan o mt>bile bqt a pursuant o §18=8 of 6*,GDde,pro..J4g4`h , ver,that Tote term building permit, as used herein, shall not be deemed to include permits required for flie following: (1) Alteration or expansion of a dwelling unit not exceeding a net increase of one thousand (1,000) square feet of the existing dwelling unit. (2) Replacement of a dwelling unit in which the replacement does not exceed a net increase of one thousand (1,000) square feet of the dwelling unit being replaced. The; nstalLtfioa rof an "" bile tomb laces _re ouslg .. ._ ng mobile homftipan existing mobilerhome lotirmder li ff(b);of K y (31) Construction of an accessory building or structure. (45) Long-term care facilities or group homes as defined in the Land Use Code. (3 Land development projects(or portions thereof)that are subject to recorded covenants permanently restricting the age of all residents of all dwelling units such that the dwelling units may be classified as"housing for older persons" pursuant to the Federal Fair Housing Amendments Act of 1988. • Introduced and considered favorably on first reading and ordered published this 4th day of January, A.D. 2000, and to be presented for final passage on the 18th day of January, A.D. 2000. Mayor ATTEST: City Clerk Passed and adopted on final reading this 18th day of January, A.D. 2000. Mayor ATTEST: City Clerk