HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 10/19/2004 - FIRST READING OF ORDINANCE NO. 165, 2004, AMENDING ITEM NUMBER: 12
AGENDA ITEM SUMMARY DATE: October 19, 2004
FORT COLLINS CITY COUNCIL STAFF: Rick Richter
SUBJECT
First Reading of Ordinance No. 165,2004,Amending Section 7.5-61 ofthe City Code by Modifying
the "Pavement Impact Fee" and Adding a "Utility Locate Coring Fee".
RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
FINANCIAL IMPACT
This is a fee adjustment that is necessary in order to catch up with the increased costs of street
construction (inflation) that have occurred since the fee was created five years ago. The proceeds
from the Pavement Impact Fee and the proposed"Utility Locate Coring Fee"accrue to the Pavement
Management Program. These fees are calculated to offset the adverse impacts of street cuts to the
life of the pavement. It is estimated the City will issue approximately 500 excavation permits in
2005. These fee increases will generate approximately$15,000 of additional revenue in 2005.
EXECUTIVE SUMMARY
This request is to modify Section 7.5-61 of the Municipal Code,relating to Fees to Recover Damage
to Infrastructure.
Incorporated within the"Choice Streets"program, Ordinance No. 181, 1998, is a Pavement Impact
Fee which was created by Ordinance No. 181, 1998. The purpose of this Ordinance is to amend City
Code Section 7.5-61 to adjust the amount of the Pavement Impact Fee and to establish a new Utility
Locate Coring Fee. It is intended that these changes be made in conjunction with the 2005 budget
appropriation ordinance being presented to Council at this same date.
Beginning with the next full 2-year budget cycle in January 2006,the Pavement Impact Fee will be
adjusted for inflation automatically, in conjunction with the capital improvement expansion fees
(Sections 7.5-27 through 7.5-32) which are adjusted annually for inflation in accordance with
Section 7.5-18.
The Pavement Impact Fee was established beginning in 1999 based on the then-current costs of
construction and maintenance. Construction costs have increased at a rate of 2 -4%per year over
October 19, 2004 -2- Item No. 12
the past five years. Staff is recommending a total increase of 10% to the Pavement Impact Fee at
this time, to become effective on January 1, 2005.
The amount of the Pavement Impact Fee will be modified as follows:
Square Feet of Excavation Cost per Square Foot Previous Cost per Sq. Ft.
1 to 100 $3.85 $3.50
101 to 500 $2.75 $2.50
501 to 3,000 $2.20 $2.00
Over 3,000 $1.65 $1.50
In addition, a Utility Locate Coring Fee will be assessed at $10.00 per core. This additional fee is
intended to address the unanticipated impact of using coring and vacuum suction methods to
excavate sub-grade soils for locating utilities prior to directional boring. The Pavement Impact Fee
is based on impacts from open-cutting a street. However, the primary method of placing
underground utilities in existing streets has now become directional boring. Therefore, the impact
to streets of the excavations created by vacuum suction under the streets needs to be addressed,since
these locates have become numerous throughout the city.
The Pavement Impact Fee applies to open cuts of pavement surfaces for excavation only. Such fees
shall not apply to pavement maintenance patches, excavations in advance of new pavement
construction, pavement reconstructions or pavement overlays. The City Engineer may reduce or
waive the pavement impact fee in consideration of the permittee reconstructing or overlaying the
existing pavement. The pavement impact fees established above will be tripled for streets that have
been constructed, reconstructed, overlaid or have received a seal coat within the five years
immediately preceding the date of the application for permit.
ORDINANCE NO . 165 , 2004
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING SECTION 7 . 5 -61 OF THE CODE OF THE CITY
BY MODIFYING THE "PAVEMENT IMPACT FEE" AND
ADDING A "UTILITY LOCATE CORING FEE"
WHEREAS , Section 7 . 5 -61 contains provisions pertaining to a "pavement impact fee" ,
which fee was established in 1999 , in order to assist the City in recovering costs related to damage
to infrastructure caused by cutting the street pavement; and
WHEREAS , over the years, the cost of construction and maintenance of streets has increased
and the Council has determined that Section 7 . 5 -61 of the City Code should be amended to reflect
the affects of inflation; and
WHEREAS , the Council has further determined that a "utility locate coring fee" should be
established to assist in compensating the City for the damaging effects on streets caused by street
excavations created by coring and vacuum suction under the streets, which fee should be established
at ten dollars ($ 10 .00) per core; and
WHEREAS , the Council has determined that the proposed change in the amount of the
pavement impact fee and the establishment of the above-referenced new fee are in the best interests
of the City.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that Section 7 . 5 -61 of the Code of the City of Fort Collins be amended to read as follows :
See. 7.5-61 . Fees.
(a) A pavement impact fee will be assessed as follows :
Square Feet Cost Per
of Excavation Square Foot
1 to 100 $3-. 63 . 85
101 to 500 z 3-02 . 75
501 to 3 ,000 2-602 .20
over 3 ,000 �561 . 65
The pavement impact fee shall apply to open cuts of pavement surfaces for
excavation only. Such fee shall not apply to pavement maintenance patches,
excavations in advance of new pavement constructions, pavement reconstructions
or pavement overlays . The City Engineer may reduce or waive the pavement impact
fee in consideration of the permittee reconstructing or overlaying the existing
pavement. The pavement impact fee established above will be tripled for streets that
have been constructed, reconstructed, overlaid or have received a sealcoat within the
five (5) years immediately preceding the date of the application for the permit.
(b) A utility locate coring fee will be assessed at the rate often dollars ($ 10. ) per
core .
Introduced and considered favorably on first reading and ordered published this 19th day of
October, A.D . 2004, and to be presented for final passage on the 16th day of November, A.D . 2004 .
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading this 16th day of November, A.D . 2004 .
Mayor
ATTEST :
City Clerk