HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 12/18/2018 - SECOND READING OF ORDINANCE NO. 147, 2018, ADOPTINAgenda Item 4
Item # 4 Page 1
AGENDA ITEM SUMMARY December 18, 2018
City Council
STAFF
Kyle Lambrecht, Civil Engineer
Timothy Kemp, Civil Engineer III
Chad Crager, Director of Infrastructure Services
Chris Van Hall, Legal
SUBJECT
Second Reading of Ordinance No. 147, 2018, Adopting the 2019 Larimer County Regional Transportation
Capital Expansion Fee Schedule.
EXECUTIVE SUMMARY
This Ordinance, unanimously adopted on First Reading on December 4, 2018, adopts the 2019 Larimer
County Regional Transportation Capital Expansion Fee Schedule (Regional Road Fee) as determined by the
Intergovernmental Agreement with Larimer County.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on Second Reading.
ATTACHMENTS
1. First Reading Agenda Item Summary December 4, 2018 (w/o attachments) (PDF)
2. Ordinance No. 147, 2018 (PDF)
Agenda Item 8
Item # 8 Page 1
AGENDA ITEM SUMMARY December 4, 2018
City Council
STAFF
Kyle Lambrecht, Civil Engineer
Timothy Kemp, Civil Engineer III
Chad Crager, Director of Infrastructure Services
Chris Van Hall, Legal
SUBJECT
First Reading of Ordinance No. 147, 2018, Adopting the 2019 Larimer County Regional Transportation Capital
Expansion Fee Schedule.
EXECUTIVE SUMMARY
The purpose of this item is to adopt the 2019 Larimer County Regional Transportation Capital Expansion Fee
Schedule (Regional Road Fee) as determined by the Intergovernmental Agreement with Larimer County.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
BACKGROUND / DISCUSSION
In 2000, the City of Fort Collins and Larimer County entered into an Intergovernmental Agreement (IGA)
authorizing the City to collect Larimer County Regional Road Fees (RRF) on behalf of Larimer County. The RRF
are collected with the issuance of a building permit. The RRF generates revenue for road improvements on
regionally significant roadways that are necessitated by new development. The RRF are only used on capacity-
related improvements that mutually benefit both the City and Larimer County. Since 2000, the City and Larimer
County have collected $6,023,061 in RRF.
Per the agreement, Larimer County serves as the RRF administrator and is responsible to develop project
recommendations for fee utilization. Larimer County’s recommendations are typically based on the County’s
Transportation Master Plan, a document which identifies regionally significant roadways. Once a project has
been identified, City and County staff work together to determine RRF funding allocations. RRF are frequently
leveraged with other funds to support larger scale capital projects and can fully support small scale capacity-
related improvements.
The City and Larimer County have partnered to design and construct several projects along regionally significant
roadways, including improvements to Taft Hill Road, Shields Street, and the Shields Street/Vine Drive
intersection. City and County staff continue to plan for future improvements, recognizing opportunities for
additional improvements along regionally significant corridors.
The Larimer County Land Use Code specifies that its RRF must be updated annually to reflect changes in road
construction costs during the previous year. The updated fees typically become effective on the first day of July.
Unless a fee study recommends otherwise, the standard fee adjustment methodology is based on a two-year
moving average calculated from the Colorado Construction Cost Index data compiled by the Colorado
Department of Transportation. The most recent RRF schedule formally adopted by the City of Fort Collins was
the 2015 fee schedule.
ATTACHMENT 1
COPY
Agenda Item 8
Item # 8 Page 2
In April 2018, the County completed a study recommending changes to the program’s fee calculation
methodology, including:
• Basing transportation capital expansion fees for residential developments on dwelling size as opposed to
dwelling type.
• Consolidating the non-residential development categories to three primary categories; Industrial,
Commercial, and Office and Other Services
• Revising the fee methodology to use Vehicle Miles Traveled (VMT) as the basis for determining impact,
instead of trips generated.
The use of vehicle miles traveled to determine impacts to a municipality’s transportation network more accurately
ties the fee to demand on the transportation system and is considered a best management practice by the
infrastructure financing strategies industry. This methodology is similar to how the City determines its
Transportation Capital Expansion Fees (TCEF) and results in a new fee schedule for the Regional Road Fees:
Development Type 2019 Regional
Road Fee
2015 Regional
Road Fee
Increase or
Decrease
Percent
Change
Residential (per dwelling) by Finished Square Foot of Living Space
900 or less $163 $211 ($48) (23%)
901 to 1300 $228 $211 $17 8%
1301 to 1800 $275 $302 ($27) (9%)
1801 to 2400 $322 $302 $20 7%
2401 to 3000 $361 $302 $59 20%
3001 to 3600 $393 $302 $91 30%
3601 or more $420 $302 $118 39%
Non-Residential (per 1000 Square Feet of Floor Area)
Industrial $100 $257 ($157) (61%)
Commercial $422 $837 ($415) (50%)
Office & Other Services $248 $432 ($184) (43%)
In general, RRFs for single family detached homes will increase while RRFs for non-residential developments
will decrease. The revised Regional Road Fees were adopted by Larimer County in July 2018.
Under the City Code, revisions to the RRF do not take effect in the City until Council approves a new fee
schedule. At the December 4, 2018 Council Meeting, City staff is presenting revisions to the current City Capital
Expansion and Transportation Capital Expansion Fees for consideration. Staff has aligned the consideration for
adoption of the RRF with consideration for adoption of the City’s Capital Expansion Fees to provide Council a
holistic view of the total cost impacts associated with the various expansion fees collected from new development
by the City. The County is aware of this difference in adoption schedule.
If the RRF are included as part of a City managed construction project, one percent of the funds will be allocated
for public art.
CITY FINANCIAL IMPACTS
The RRFs are collected on behalf of Larimer County and the program. Revenues from the RRFs will pass
through City accounts and will not affect City revenue limits under Article X, Section 20. The City does retain a
2% administration fee. Adoption will result in an increase to development fee payers.
BOARD / COMMISSION RECOMMENDATION
COPY
Agenda Item 8
Item # 8 Page 3
Staff presented the proposed Regional Road Fee revisions to the City of Fort Collins Council Finance Committee
at the September 17, 2018, meeting (Attachment 1).
PUBLIC OUTREACH
As these fees are imposed by Larimer County, County staff served as the lead during public outreach. County
staff conducted two stakeholder meetings, two joint work sessions with both the County Planning Commission
and the Board of County Commissioners, and a public hearing at both the Planning Commission and a regular
meeting of the Board of County Commissioners. (Attachments 2-5).
ATTACHMENTS
1. City Finance Committee Meeting Minutes, September 17, 2018 (draft) (PDF)
2. Larimer County Board of Commissioners Minutes, April 9, 2018 (PDF)
3. Larimer County Board of Commissioners Minutes, May 21, 2018 (PDF)
4. Larimer County Planning Commission Minutes, March 21, 2018 (PDF)
5. Larimer County Planning Commission Minutes, April 18, 2018 (PDF)
COPY
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ORDINANCE NO. 147, 2018
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ADOPTING THE 2019 LARIMER COUNTY REGIONAL
TRANSPORTATION CAPITAL EXPANSION FEE SCHEDULE
WHEREAS, the City and Larimer County (the “County”) previously entered into an
intergovernmental agreement, pursuant to Resolution 2000-024, whereby the City collects a
Regional Transportation Capital Expansion Fee (also known as a “regional road impact” fee) on
behalf of Larimer County at the time of issuance of building permits, which fee raises revenue for
road improvements on regionally significant roadways that are necessitated by new development;
and
WHEREAS, the City and the County have established a procedure pursuant to City Code
Section 7.5-82(c)(1) for the City Council to consider and approve any County-proposed changes
to the Regional Transportation Capital Expansion Fee schedule in order to reflect changes in
construction costs, or other relevant factors (the “Regional TCEF Schedule”); and
WHEREAS, the last changes to the Regional TCEF Schedule were formally adopted by
the City in 2015 and the County is now proposing changes to the Regional TCEF Schedule to
modify its methodology towards a progressive fee for residential uses, based on square footage,
while retaining a constant rate for industrial, commercial and office and other services; and
WHEREAS, this proposed methodology is similar to the methodology the City currently
uses for determining similar fees and this Regional TCEF Schedule will completely replace and
supersede the prior 2015 Regional TCEF Schedule; and
WHEREAS, the City Council has determined that it is in the best interests of the City that
the County’s proposed changes to the Regional TCEF Schedule be adopted in order to further the
public interest of adequately funding road improvements that are necessitated by new
developments along regionally significant roadways that impact the City.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the City Council hereby makes and adopts the determinations and
findings contained in the recitals set forth above.
Section 2. That the 2019 Larimer County Regional Transportation Capital Expansion
Fee Schedule (also known as the Regional Road Fee Schedule) attached hereto as Exhibit “A” and
incorporated herein by reference is hereby adopted and approved, and shall go into effect in Fort
Collins upon the effective date of this Ordinance.
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Introduced, considered favorably on first reading, and ordered published this 4th day of
December, A.D. 2018, and to be presented for final passage on the 18th day of December, A.D.
2018.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk
Passed and adopted on final reading on the 18th day of December, A.D. 2018.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk
LARIMER COUNTY | ENGINEERING DEPARTMENT
P.O. Box 1190, Fort Collins, Colorado 80522-1190, 970.498.5700, Larimer.org
Transportation Capital Expansion Fee Schedule
Effective July 1, 2018
Land Use Type
County
Road TCEF
Regional
Road TCEF
Total
Per Unit
Residential (per Dwelling) by Square Feet of Finished Living Space
900 or less (Square Feet) $1,946 $163 $ 2,109
901-1300 (Square Feet) $2,727 $228 $ 2,955
1301-1800 (Square Feet) $3,284 $275 $3,559
1801-2400 (Square Feet) $3,846 $322 $4,168
2401-3000 (Square Feet) $4,315 $361
$4,676
3001-3600 (Square Feet) $4,699 $393
$5,092
3601 or more (square Feet) $5,020 $420 $5,440
Nonresidential (per 1,000 Square Feet of Floor Area)
Industrial $1,196 $100 $ 1,296
Commercial $5,039 $422 $ 5,461
Office and other Services $2,965 $248 $ 3,213
The fee is based on the current Larimer County Transportation Capital Expansion Fee (TCEF) Study.
The complete TCEF Study and TCEF Sections of the Larimer County Land Use Code (LCLUC Sections
9.5 and 9.6) are found at www.larimer.org/engineering/development-review under the Capital Expansion
Fee header.
The “Residential” tiered fee schedule based on square footage applies to building permits for new
residential structures with an application date after June 30, 2018. For new residences constructed after
this date, the TCEF will also be applied to any new or additional finished living space square footage,
including permits for additions and basement finishes. In such cases, the total fee due is the based on
the incremental difference between the existing & proposed finished living square footage. Finished
living square footage excludes unfinished basements, attics, and garage floor area. The “Residential”
tiered fee structure will not be applied to additions or finishes of existing living space IF the original
residential building permit was issued before July 1, 2018.
The “Nonresidential” fee schedule is based on building use and total square feet. The TCEF applies to
new square footage and to changes of use of existing square footage of three general nonresidential
categories that are further defined below:
o “Industrial” includes the processing or production of goods, along warehousing, transportation,
communications, and utilities.
o “Commercial” includes retail development and eating/drinking places, along with entertainment
uses often located in a shopping center (e.g. movie theater).
o “Office & Other Services” includes offices, health care and personal services, business services
(e.g. banks) and lodging. Public and quasi-public buildings that provide educational, social
assistance, or religious services are also included in this category.
EXHIBIT A