Loading...
HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 11/15/2011 - FIRST READING OF ORDINANCE NO. 160, 2011, AMENDINGDATE: November 15, 2011 STAFF: Mike Beckstead John Voss AGENDA ITEM SUMMARY FORT COLLINS CITY COUNCIL 17 SUBJECT First Reading of Ordinance No. 160, 2011, Amending Chapter 7.5 of the City Code to Increase the Amounts of the Capital Improvement Expansion Fees So as to Reflect Inflation in Associated Costs of Services. EXECUTIVE SUMMARY The City Code provides for automatic annual adjustments to the capital improvement expansion fees and the neighborhood parkland fee based on an inflation index (CPI). Also, to account for rising construction costs, the City adjusts the street oversizing fees to reflect changes posted in the Engineering News Record (ENR). The CPI has increased 3.8% and the ENR has increased 7.55%. BACKGROUND / DISCUSSION In May 1996, Council adopted Ordinance No. 051, 1996, which established capital improvement expansion fees for Community Parkland, Police, Fire, and General Government services. The purpose of the fees is to have new development pay a proportionate share of the capital improvements and equipment that will be necessary to provide services to the development. The Code provisions approved by the Ordinance provide for the annual adjustment of the fees to keep up with inflation, using the Denver-Boulder (now Denver-Boulder-Greeley) Consumer Price Index. The City has imposed a Parkland fee for neighborhood parks since 1968. In August 1996, Council adopted Ordinance No. 105, 1996, which aligned the Neighborhood Parkland fee to the housing size differentials in the Capital Improvement Expansion fee ordinance, and updated the fee schedule to reflect pre-1996 inflation. The Neighborhood Parkland fees were adjusted for inflation in 1997-2007, along with the Capital Improvement Expansion fees. Based on the Denver-Boulder-Greeley Consumer Price Index for all urban consumers, the inflation level since the last annual adjustment is an increase of 3.8% for 2012. This Ordinance adjusts the fee schedules in Chapter 7.5 of the City Code to account for inflation. In the Ordinance, all amounts for the capital improvement expansion fees have been rounded to the nearest dollar. FINANCIAL / ECONOMIC IMPACTS The 2012 revenue budget in the table below reflects changes in both the rates and volume of building activity. Summary information: Revenue 2009 2010 2011 2012 * Fee Type Actual Actual Forecast Comparison Capital Expansion Fees $ 467,263 $ 777,353 $ 1,374,000 $ 1,426,000 Neighborhood Parkland Fees 221,736 346,749 906,000 940,000 Street Oversizing Fees 641,491 2,121,165 1,531,000 1,647,000 * The 2012 comparison applies the proposed fee increase to the 2011 forecast. The estimated revenue is really $1,650,000 for Capital Expansion Fund, $519,000 for Neighborhood Parkland Fund, and $2,038,000 for Street Oversizing Fund. November 15, 2011 -2- ITEM 17 Rate Change 2009 2010 2011 2012 Fee Type Authorized Authorized Authorized Proposed Capital Expansion Fees 3.70% 0.00% 1.10% 3.80% Neighborhood Parkland Fees 3.70% 0.00% 1.10% 3.80% Street Oversizing Fees 6.30% 0.00% 5.48% 7.55% At year-end of 2011, staff estimates that the total available balance in the Capital Improvement Expansion Fund will be approximately $14.4 million, the Neighborhood Parkland Fund about $6.0 million, and the Street Oversizing Fund nearly $6.6 million. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. ORDINANCE NO. 160, 2011 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 7.5 OF THE CODE OF THE CITY OF FORT COLLINS TO INCREASE THE AMOUNTS OF THE CAPITAL IMPROVEMENT EXPANSION FEES SO AS TO REFLECT INFLATION IN ASSOCIATED COSTS OF SERVICES WHEREAS, the City is a home rule municipality having the full right of self-government in local and municipal matters under the provisions of Article XX, Section 6 of the Colorado Constitution; and WHEREAS, among the home rule powers of the City is the power to regulate, as a matter of purely local concern, the development of real property within the City; and WHEREAS, the City’s Comprehensive Plan shows that the rate of future growth and development in Fort Collins will require a substantial expansion in library, community park, police, fire, and general government facilities, and related capital equipment, if its level of service standards for such facilities are to be maintained; and WHEREAS, the City Council has determined that new development should contribute its proportionate share of providing such capital improvements; and WHEREAS, the City Council has broad legislative discretion in determining the appropriate funding mechanisms for financing the construction of public facilities in the City; and WHEREAS, based on the foregoing, the City Council adopted Ordinance No. 051, 1996, establishing certain capital improvement expansion fees; and WHEREAS, City Code Section 7.5-18 provides for annual fee increases in the capital improvement expansion fees corresponding to the increases in the Denver-Boulder-Greeley Consumer Price Index for all urban consumers; and WHEREAS, in September 1968, City Council adopted Ordinance No. 038, 1968, which established the original Neighborhood Parkland Fee to fund the acquisition and development of parkland, which ordinance has since been amended on several occasions to adjust the fee and to refine related procedures and requirements; and WHEREAS, with the adoption in August 1993, of Ordinance No. 082, 1993, the City Council directed the City Manager to annually review the Neighborhood Parkland Fee and submit to the Council proposed inflation-related increases based on the Denver-Boulder-Greeley Consumer Price Index; and WHEREAS, the City Code calls for the annual adjustment of all Capital Improvement Expansion Fees, including the Neighborhood Parkland Fee, for inflation; and WHEREAS, based on the Bureau of Labor Statistics most recent Denver-Boulder-Greeley Consumer Price Index for all urban consumers, staff anticipates that the Index will reflect an inflation increase of 3.8 percent since the last annual adjustment of the fees in 2011, effective January 1, 2012; and WHEREAS, the City has historically used the Engineering News Record as a reference to determine whether the street oversizing capital improvement expansion fee should be increased to account for rising construction costs; and WHEREAS, based on the Engineering News Record, the cost of constructing street improvements has increased 7.55 percent since the last adjustment of the Street Oversizing Capital Improvement Expansion fee; and WHEREAS, for the foregoing reasons, the City Council has determined that it is necessary, in the interests of the protection of the public health, safety and welfare, that the Capital Improvement Expansion Fees, including the Neighborhood Parkland Fee and the Street Oversizing Fee, be increased as set forth below. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the fee schedule in Section 7.5-28(a) of the Code of the City of Fort Collins, establishing the Community Parkland Capital Improvement Expansion Fee, is hereby amended to read as follows: 700 sq. ft and under $ 986.001,023.00 701 to 1,200 sq. ft. 1,398.001,451.00 1,201 to 1,700 sq. ft. 1,642.001,704.00 1,701 to 2,200 sq. ft. 1,889.001,961.00 2,201 sq. ft. and over 2,298.002,385.00 Section 2. That the fee schedule in Section 7.5-29(a) of the Code of the City of Fort Collins, establishing the Police Capital Improvement Expansion Fee, is hereby amended to read as follows: 700 sq. ft and under $ 72.0074.00 701 to 1,200 sq. ft. 103.00107.00 1,201 to 1,700 sq. ft. 122.00127.00 1,701 to 2,200 sq. ft. 140.00145.00 2,201 sq. ft. and over 171.00177.00 Commercial buildings (per 1,000 square feet) 151.00157.00 -2- Industrial buildings (per 1,000 square feet) 41.0043.00 Section 3. That the fee schedule in Section 7.5-30(a) of the Code of the City of Fort Collins, establishing the Fire Protection Capital Improvement Expansion Fee, is hereby amended to read as follows: 700 sq. ft and under $ 106.00110.00 701 to 1,200 sq. ft. 151.00157.00 1,201 to 1,700 sq. ft. 176.00183.00 1,701 to 2,200 sq. ft. 203.00211.00 2,201 sq. ft. and over 248.00257.00 Commercial buildings (per 1,000 square feet) 217.00225.00 Industrial buildings (per 1,000 square feet) 60.0062.00 Section 4. That the fee schedule in Section 7.5-31(a) of the Code of the City of Fort Collins, establishing the General Government Capital Improvement Expansion Fee, is hereby amended to read as follows: 700 sq. ft and under $ 134.00139.00 701 to 1,200 sq. ft. 190.00197.00 1,201 to 1,700 sq. ft. 223.00231.00 1,701 to 2,200 sq. ft. 257.00267.00 2,201 sq. ft. and over 312.00324.00 Commercial buildings (per 1,000 square feet) 243.00252.00 Industrial buildings (per 1,000 square feet) 67.0070.00 Section 5. That Section 7.5-71(b) of the Code of the City of Fort Collins, regarding the Neighborhood Parkland Fee is hereby amended to read as follows: Sec. 7.5-71. Collection of neighborhood parkland fee. (b) The amount of the fee established in this Section shall be determined for each dwelling unit as follows: 700 sq. ft. and under $ 886.00920.00 701 to 1,200 sq. ft. 1,254.001,302.00 1,201 to 1,700 sq. ft. 1,475.001,531.00 1,701 to 2,200 sq. ft. 1,695.001,759.00 -3- 2,201 sq. ft. and over 2,064.002,142.00 Section 6. That Section 7.5-32 of the Code of the City of Fort Collins, regarding the Street Oversizing Capital Improvement Expansion Fee is hereby amended to read as follows: STREET OVERSIZING CAPITAL EXPANSION FEE SCHEDULE Average Weekday Vehicle Trips Transportation Impact Fee Rate Residential (per housing unit) SF Detached 9.55 2,8423,056 per D.U MF and Other Housing 6.59 1,9612,109 per D.U Hotel/Motel 8.70 2,5892,784 per room Apartment 6.12 1,8211,959 per D.U Retirement Community 3.30 9821,056 per D.U Assisted Living 4.52 1,3451,447 per D.U Congregate Care Facility 2.15 640688 per D.U Residential Condominium 5.86 1,7441,875 per D.U Duplex 7.18 2,1372,298 per D.U Townhome 5.86 1,7441,875 per D.U Mobile Home 4.92 1,4641,575 per D.U Non Residential (per 1,000 sq. ft.) Comm/Shopping Center 1000K GLA 32.09 5.565.98 /sq. ft. 500K GLA 38.65 6.707.20 /sq. ft. 200K GLA 54.50 9.4410.16 /sq. ft. 50K GLA 91.65 10.9211.74 /sq. ft. Movie Theater 77.79 13.4814.50 /sq. ft. Fitness/Racquet Club 17.14 3.193.44 /sq. ft. Day Care 79.26 5.776.21 /sq. ft. Government Office 68.93 12.8413.81 /sq. ft. Post Office 86.78 16.1717.39 /sq. ft. Building Materials/Lumber 39.71 6.887.40 /sq. ft. Specialty Retail 40.68 7.057.58 /sq. ft. Discount Club 41.80 7.247.79 /sq. ft. Nursery(Garden Center) 36.08 6.727.23 /sq. ft. Sit Down Restaurant 130.34 15.5316.70 /sq. ft. Fast Food w/ Driveup 496.12 36.1138.84 /sq. ft. Car Sales 37.50 6.997.52 /sq. ft. Service Station 168.56 /pump 12,269.6713,196.03 /pump Wholesale Tire Store 20.36 3.794.08 /sq. ft. Self Service Car Wash 5.79 /stall 421.46453.28 /stall Supermarket 111.51 13.2914.29 /sq. ft. Convenience Market 737.99 53.7257.77 /sq. ft. Furniture Store 5.06 1.471.58 /sq. ft. Bank 189.95 12.8613.83 /sq. ft. -4- Drive-In Bank 265.21 19.3020.76 /sq. ft. Insurance Building 11.45 2.132.29 /sq. ft. Manufacturing 3.85 1.121.21 /sq. ft. Warehousing 4.96 1.441.55 /sq. ft. Light Industrial 6.97 2.032.18 /sq. ft. Mini-Warehouse 2.50 0.730.78 /sq. ft. Business Park 14.37 4.184.50 /sq. ft. General Office 200K GFA 11.54 3.363.61 /sq. ft. 50K GFA 16.31 4.755.11 /sq. ft. 10K GFA 24.39 7.107.64 /sq. ft. Recreational 3.64 /ac 1,059.841,139.86 /acre City Park 3.66 /ac 1,065.661,146.12 /acre Golf Course 5.04 /ac 1,467.471,578.26 /acre Elementary School 1.02 /student 296.99319.41 /student Church/Synagogue 9.11 2.652.85 /sq. ft. Library 54.00 15.7216.91 /sq. ft. Hospital 16.78 4.895.25 /sq. ft. Nursing Home 2.60 /bed 756.15813.24 /bed Medical Clinic 31.45 9.169.85 /sq. ft. * Notes: 1. Rate calculation for each item based on the product of Number of Weekday Trips, Trip Adjustment Factor, and Cost Per Unit of Trip. 2. Italicized building types indicate that high pass-by trip adjustment factor is used when calculating SOS Rate. Introduced, considered favorably on first reading, and ordered published this 15th day of November, A.D. 2011, and to be presented for final passage on the 6th day of December, A.D. 2011. _________________________________ Mayor ATTEST: _____________________________ City Clerk Passed and adopted on final reading on the 6th day of December, A.D. 2011. _________________________________ Mayor ATTEST: _____________________________ City Clerk -5-