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Agenda 02/08/2011 Item # 8D Agenda Changes Board of County Commissioners Meeting February 8, 2011 Continue Item 8B to Februarv 22. 2011 BCC Meetin2:: Recommendation to adopt a Resolution amending the Collier County Water-Sewer District Impact Fee Rates, established by Ordinance No. 2007-57, as amended, by reducing the water impact fee by $285 (-8%) to $3,290 per Equivalent Residential Connection, and the wastewater impact fee by $250 (-7.2%) to $3,245 per Equivalent Residential Connection, for a total reduction of $535 (-7.6%), with an effective date of February 14, 2011. This is a companion to Item 8D. (Staff's request) CONTINUE ITEM 8D TO THE FEBRUARY 22" 2011 BCC MEETING: RECOMMENDATION TO ADOPT AN ORDINANCE AMENDING CHAPTER 74 OF COLLIER COUNTY'S CODE OF LAWS AND ORDINANCES (COLLIER COUNTY CONSOLIDATED IMPACT FEE ORDINANCE) BY AMENDING THE ROAD IMPACT FEE RATE SCHEDULE, WHICH IS SCHEDULE ONE OF APPENDIX A, TO REFLECT THE PHASE II RATE SCHEDULE SET FORTH IN THE "COLLIER COUNTY TRANSPORTATION IMPACT FEE COST AND CREDIT UPDATE STUDY" ADOPTED SEPTEMBER 28, 2010, WHICH PROVIDES FOR A REDUCTION IN RATES; AND PROVIDING FOR A DELAYED EFFECTIVE DATE OF FEBRUARY 14, 2011. THIS IS A COMPANION TO ITEM 8B. (STAFF'S REQUEST) Move Item 16D1 to Item 10E: Recommendation to approve selection of firms under RFP 10-5572: Wiggin's Pass Permitting, Modeling & Inlet Management Plan to Coastal Planning & Engineering, Inc. and direct staff to bring a negotiated contract to the Board for subsequent approval (Commissioner Hiller's request) Move Item 161(5 to Item llA: Recommendation to authorize a representative of the County Attorney's Office to bid on behalf of the County at four code enforcement lien foreclosure sales scheduled by the Clerk in BOARD OF COUNTY COMMISSIONERS vs. JEAN CLAUDE MARTEL, Circuit Court Case No. 10-720-CA, in an amount not to exceed the value of the County's foreclosed lien interest; approximately $409,000 for 4 parcels. (Commissioner Hiller's request) Move Item 16B1 to 13A: Recommendation to authorize the CRA Executive Director to negotiate land purchase agreements, subject to approval by the Community Redevelopment Agency, relating to expansion of the Gateway Triangle Stormwater Management Pond and approve an application for a FEMA grant to fund the purchase of the subject properties (Commissioner Hiller's request) Note: Correction to Item 16D2: In the Executive Summary, Fiscal Impact section, third sentence should read "Collier County and partners will be required to provide a match of at least .w 100 percent of the grant award". (Staff's request) Time Certain Items: Item lOB to be heard at 10:30 a.m. 4/12/2011 3:27 PM 2/8/2011 Item 8.D. EXECUTIVE SUMMARY Recommendation to adopt an Ordinance amending Chapter 74 of the Collier Connty Code of Laws and Ordinances (The Collier County Consolidated Impact Fee Ordinance) by amending the Road Impact Fee rate schednle, which is Schedule One of Appendix A, to reflect the Phase II rate schedule as set forth in the "Collier Couuty Transportation Impact Fee Cost and Credit Update Study" adopted on September 28, 2010, which provides for a reduction in rates; and providing for a delayed effective date of February 14, 2011 OBJECTIVE: That the Board of County Commissioners (Board) adopts an Ordinance implementing Phase II of the Road Impact Fee rates which provides for an average downward adjustment of 10% based on the findings of the "Collier County Transportation Impact Fee Cost and Credit Update Study" which was adopted on September 28, 2010, and the removal of the utility relocate cost component from the Road Impact Fee in conjunction with the adoption of the Water and Wastewater Impact Fee Study. - CONSIDERATIONS: In 2010, Road Impact Fees were scheduled to be indexed using the adopted (two-year average) methodology. Because of the notable cost decreases recently experienced throughout Florida, staff and the County's impact fee consultant, Tindale-Oliver and Associates, Inc. (TOA), agreed that it was appropriate to undertake a further review of the cost and credit components of the Road Impact Fee by way of a "Cost and Credit Update." The update analyzed the key components of the Road Impact Fee calculations which develop the impact fee rates. On September 28. 2010. the Board adopted Ordinance No. 2010-38 implementing the Phase I Road Impact Fee rate schedule, as provided by the findings of the Cost and Credit Update. This update provided an average decrease of 32% to the residential and commercial Road Impact Fee rates. Further, as discussed during the September 28, 20 I 0 public hearing (Item 8B), as part of the Cost and Credit Update, TOA provided a detailed analysis of the cost component related to utility relocations. Currently, utility relocation costs are included as part of the transportation impact fee. However. the general practice statewide is to include these costs as part of the utility impact fees and/or utility rate. With the completion of the Water and Wastewater Impact Fee study, the utility relocation costs will be removed fi'om the Road Impact Fee and moved to the appropriate utility impact fees and/or rates. The result of this change is an additional average reduction to the Road Impact Fee rates of 10%. This brings the total reduction. as a result of the Cost and Credit Update. to 42%. This is a companion item. to be approved in conjunction with the amendments to the Collier County Water-Sewer District Impact Fee rates. - FISCAL IMP ACT: Revenue projections related to the individual impact fees depend heavily on the permitting trends during the corresponding time period. Changes in permitting activity will directly affect this impact fee revenue stream. The specified reductions are proposed to go Packet Page -114- 2/8/2011 Item 8.0. into effect on February 14, 2011; therefore, any permits applied for on or after that date will receive the lower rates. The statutory minimum 90-day notice is not required for impact fee reductions. As referenced in the Executive Summary for the September 28, 2010 public hearing (Item 8B), because of the decline in construction activity impact fee revenue has also been significantly reduced. Based upon actual impact fee collections and current permitting activity and forecasts, the following is the projected change in impact fee revenue associated to the rate revisions assuming that development activity remains constant. Any further deeline in activity will also directly affect the impact fees collections. Impact Fee Potential Change in Annual Collections Based on Current Activity Road (assuming full 4~% reduction) ($4.200,000) Additionally, the impact of removing the utility relocate component from the Road Impact Fee, related to The Water and Wastewater Impact Fees, is $52.27 per Equivalent Residential Connection (ERC) for Water and $12.27 per ERC for Wastewater. GROWTH MANAGEMENT IMP ACT: The concept of impact fee updates is consistent with Objective 1.2 of the Capital Improvement Element (CIE) of the Collier County Growth Management Plan (GMP). which states: "Future development will bear a proportionate cost of facility improvements necessitated by growth." Additionally, this approach is consistent with Section 163.31801, Florida Statutes, which is the Florida Impact Fee Act 2006. requiring the most recent and localized data be used in impact fee calculations. LEGAL CONSIDERATIONS: This item is legally sufficient for Board action. A simple majority vote is required for approval. - JAK RECOMMENDATION: That the Board of County Commissioners adopts an Ordinance implementing Phase II of the Road Impact Fee rates, which provides for an average downward adjustment of 10% based on the findings of the "Collier County Transportation Impact Fee Cost and Credit Update Study," which was adopted on September 28. 2010. and the removal of the utility relocate cost component from the Road Impact Fee in conjunction with the adoption of the Water and Wastewater Impact Fee Study. with a delayed effective date of February 14,2011. Prepared by: Amy Patterson, Impact Fee and Economic Development Manager Growth Management Division - Planning and Regulation Attachments: I) Proposed Ordinance Amendment 2) Executive Summary -Item 8B (September 28.2010) Packet Page -115- 2/8/2011 Item 8.D. COLLIER COUNTY Board of County Commissioners Item Number: 8.0. Item Summary: Recommendation to adopt an Ordinance amending Chapter 74 of the Collier County Code of Laws and Ordinances (The Collier County Consolidated Impact Fee Ordinance) by amending the Road Impact Fee rate schedule, which is Schedule One of Appendix A, to reflect the Phase II rate schedule as set forth in the "Coliier County Transportation Impact Fee Cost and Credit Update Study" adopted on September 28, 2010, which provides for a reduction in rates; and providing for a delayed effective date of February 14, 2011 Meeting Date: 2/8/2011 Prepared By Name: PattersonAmy Title: Manager - Impact Fees & EDC,Business Management & ] /18/20 I I 2:24:03 PM Approved By Name: PuigJudy Title: Operations Analyst, CDES Date: 1/25/201] ]0:25:03 AM Name: WidesTom Title: Director - Operations Support - PUD,Utilities Fina Date: 1/25/20] I ] :03:35 PM Name: FederNorm Title: Administrator - Growth Management Div, Transportati Date: 1/25/20] I 2:36:46 PM Name: MarcellaJeanne Title: Executive Secretal)',Transportation Planning Date: 1/26/201 I 11:25:27 AM Name: KlatzkowJeff Title: County Attorney, Packet Page -116- 2/8/2011 Item 8.0. Date: 1/27/201] 4:51:01 PM Name: UsherSusan Title: ManagementIBudget Analyst, Senior,Office of Manage Date: 1/29/2011 ] 0:06: 17 AM Name: IsacksonMark Title: Director-Corp Financia] and Mgmt Svs,CMO Date: 1/30/2011 ] 1 :38:28 AM Packet Page -117- 2/8/2011 Item 8.0. ORDINANCE NO. 2011 - AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, AMENDING CHAPTER 74 OF THE COLLIER COUNTY CODE OF LAWS AND ORDINANCES (THE COLLIER COUNTY CONSOLIDATED IMPACT FEE ORDINANCE) BY AMENDING THE ROAD IMPACT FEE RATE SCHEDULE, WHICH IS SCHEDULE ONE OF APPENDIX A, TO REFLECT THE PHASE II RATE SCHEDULE, AS SET FORTH IN THE "COLLIER COUNTY TRANSPORTATION IMPACT FEE COST AND CREDIT UPDATE STUDY" ADOPTED ON SEPTEMBER 28, 2010, WHICH PROVIDES FOR A REDUCTION IN RATES; PROVIDING FOR CONFLICT AND SEVERABILITY; PROVIDING FOR INCLUSION IN THE COLLIER COUNTY CODE OF LAWS AND ORDINANCES; AND PROVIDING FOR A DELAYED EFFECTIVE DATE OF FEBRUARY 14,2011. WHEREAS, Collier County uses impact fees to supplement the funding of necessary capital improvements required to provide public facilities to serve new population and related development that is necessitated by growth in Collier County; and WHEREAS, Collier County has used impact fees as a funding source for growth-related capital improvements for various facilities since 1978; and WHEREAS, on March 13, 2001, the Board of County Commissioners adopted Ordinance No. 2001-13, the Collier County Consolidated Impact Fee Ordinance, repealing and superseding all of the County's then existing impact fee regulations, and consolidating all of the County's impact fee regulations into that one Ordinance, codified in Chapter 74 of the Collier County Code of Laws and Ordinances (the "Code"); and WHEREAS, on March 10, 2009, the Board of County Commissioners adopted Ordinance No. 2009-09, providing for an update of the Road Impact Fees and thereby implementing the revised Road Impact Fee rates; and WHEREAS, in 2010, Community Parks, Regional Parks, Correctional Facilities, and Road Impact Fees were scheduled to be indexed, using the adopted methodology; and WHEREAS, due to the significant changes in transportation related construction costs throughout the State, staff and the impact fee consultant, Tindale-Oliver and Associates, Inc., agreed that a Cost and Credit Update should be performed in place of the annual indexing; and WHEREAS, the result of the Cost and Credit Update was an average decrease of 32% in the residential Road Impact Fee rates and commercial Road Impact Fee rates for the Phase I Page I of6 Packet Page -118- 2/8/2011 Item 8.D. schedule, which was adopted on September 28,2010, and became effective on October 8, 2010, via Ordinance No. 2010-38; and WHEREAS, during the Cost and Credit Update, Tindale-Oliver and Associates, Inc., provided a detailed analysis ofthe cost component related to utility relocations; and WHEREAS, utility relocation costs are included as part of the Phase I Road Impact Fee rates; and WHEREAS, the general practice statewide is to include these costs as part of the utility impact fees and/or utility rates; and WHEREAS, with the completion of the Utility Impact Fee study, the utility relocation costs will be removed from the Road Impact Fee and moved to the appropriate utility impact fees and/or rates; and WHEREAS, the removal of the utility relocate component from the Road Impact Fee further reduces the fee by an average of 10%; and WHEREAS, staff recommends that the Board of County Commissioners adopt this Ordinance to implement the recommended changes; and WHEREAS, Section 163.31801, Florida Statutes, which is the Florida Impact Fee Act, requires the most recent and localized data be used in impact fee calculations and this rate change complies with that requirement. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, that: SECTION ONE. Appendix A of Chapter 74 of the Collier County Code of Laws and Ordinances is hereby amended as set forth in the attachment to this Ordinance. SECTION TWO. CONFLICT AND SEVERABILITY. In the event this Ordinance conflicts with any other Ordinance of Collier County or other applicable law, the more restrictive shall apply. If any phrase or portion of this Ordinance is held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a ",,_., Page2of6 Packet Page -119- 2/8/2011 Item 8.0. separate, distinct, and independent provision and such holding shall not affect the validity of the remaining portions. SECTION THREE. INCLUSION IN THE CODE OF LAWS AND ORDINANCES. The provisions of this Ordinance shall be made a part of the Code of Laws and Ordinances of Collier County, Florida. The sections of the Ordinance may be renumbered or re- lettered and internal cross-references amended throughout to accomplish such, and the word "ordinance" may be changed to "section," "article," or any other appropriate word. SECTION FOUR. EFFECTIVE DATE. This Ordinance shall be considered adopted upon the date written below and subject to filing with the Florida Department of State; however, for administrative purposes the effective date ofthe Road Impact Fee Rate Schedule - Phase II shall be delayed to February 14, 2011. PASSED AND DULY ADOPTED by the Board of County Commissioners of Collier County, Florida this _ day of ,2011. ATTEST Dwight E. Brock, Clerk BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA By: , Deputy Clerk By: FRED W. COYLE, CHAIRMAN Page3of6 I Packet Page -120- 2/8/2011 Item 8.0. APPENDIX A - SCHEDULE ONE ROADIMFACTFEERATESCHEDULE Pha.e I II - Effective Oetober 8, JUIU Februarv 14.2011 Impact Fee Land Use Category Rate Residential Assisted Living Facility (ALF) Condoffownhouse (1-2 Stories) High-Rise Condominium (3+ Stories) Mobile Horne Multi-Family (Apartments) 1-]0 Stories Multi-Family (Apartments) >10 Stories Retirement Community Single Family Detached House Less than 1,500 sq. ft. 1,500 to 2,499 sq. ft. 2,500 sq. ft. or larger ll,03S.90 5906.00 Per Dwelling Unit lS,168.00 54.537.00 Per Dwelling Unit $3,:50.00 $3.292.00 Per Dwelling Unit $2,910.00 $2.553.00 Per Dwelling Unit $5,329.00 $4.599.00 Per Dwelling Unit $3.330.90 52.923.00 Per Dwelling Unit $2,582.00 $2.266.00 Per Dwelling Unit $5.lnOO $4.510.00 Per Dwelling Unit $6,985.09 $6.133.00 Per DweIling Unit $7,897.00 $6.934.00 Per Dwelling Unit Non-Residential Auto Sales - Luxury Auto Sales - NewlUsed Bank/Savings: Drive-In Bank/Savings: Walk-In Business Park Car Wash - Automatic Car Wash - Self-Service Church $10, 113.00 $8.874.00 Per 1.000 sq. ft. $1..17I.00 $14.451.00 Per 1,000 sq. ft. $2., 762.00 $23405.00 Per 1,000 sq. ft. $2.,281.00 $22 984.00 Per 1,000 sq. ft. $9, 1:1.00 $8.317.00 Per] ,000 sq. ft. S23S$,?gg $22.663.00 Per 1,000 sq. ft. $21,082.00 $21.026.00 Per Service Bay $5,12100 $5.022.00 Per 1,000 sq. ft. Underlined text is added; gtAisl: thrsugh text is deleted Page 4 of 6 Packet Page -121- 2/8/2011 Item 8.0. Impact Fee Land Use Categnry Rate College!University (Private) <7,501 Students >7,500 Students Convenience Store (24 hours) Convenience Store w/Gas Pumps Dance Studios/Gymnastics Day Care Furniture Store Gasoline/Service Station General Light Industrial Golf Course Home Improvement Store Hospital Hotel Hotel. All Suites Marina Mine/Commercial Excavation Mini- Warehouse Motel Movie Theater Nursing Horne Office 50.000 sq. ft. or less Office 50,001-100.000 sq. ft. Office 100.001-200,000 sq. ft. Office 200,001-400,000 sq. ft. Office Greater than 400,000 sq. ft. Office - Medical PharmacylDrug Store Quick Lube Restaurant - Drive-In Restaurant - High Turnover $1,~19.09 $1,413.00 Per Student $1,215.09 $1.067.00 Per Student $.1, 171.09 $56.128.00 Per] .000 sq. ft. $21.81;.09 $21.534.00 Per Fuel Position $:'.~6;, 99 $6.7]2.00 Per 1,000 sq, ft. M9,OO $856.00 Per Student $2, 1~7.09 $2.189.00 Per 1,000 sq. ft. $5,3~;.99 $4.666.00 Per Fuel Position $5,261.09 $4.619.00 Per 1.000 sq. ft. $519.916.90 $456.527.00 Per 18 Holes $6,692.00 $5.849.00 Per 1.000 sq. ft. $11,106.00 $10015.00 Per 1,000 sq. ft. $1, 15~.00 $3.915.00 Per Room $2,6nOO $2.350.00 Per Room $2,38~,99 $2.098 00 Per Berth (Dry/Wet) ~ $6.00 Per 1,000 cubic yards $1.971.99 $941.00 Per 1,000 sq. ft. t2,gS1.g9 $2.503.00 Per Room $39.717.99 $26.868.00 Per Screen U44,OO $738.00 Per Bed $11,28~.09 $9.905.00 Per 1.000 sq. ft. $9.629.90 $8,443.00 Per 1.000 sq. ft. $8,208.09 $7.205.00 Per 1,000 sq. ft. $6.998.90 $6 142.00 Per 1,000 sq. ft. $6,375.00 $5 .596.00 Per 1,000 sq. ft. $27,083.99 $23.776.00 Per 1.000 sq. ft. $~.373.00 $8.186.00 Per 1,000 sq. ft. ~ $8,444.00 Per Servuce Bay $91,30700 $79.737.00 Per 1,000 sq. ft. $1,€38.00 $1.435.00 Per Seat Underlined text is added; Stl'UelE thf8\:tgh text is deleted Page 5 016 I Packet Page -122- 2/8/2011 Item 8.0. Impact Fee Land Use Category Rate Restaurant. Quality tl,fn2.g9 $904.00 Per Seat Retail 50,000 Sq. Ft. or Less $13,213.00 $1 1.555.00 Per 1,000 sq. ft. Retail 50,001-100.000 Sq. Ft. $13,399.90 $11.706.00 Per 1,000 sq. ft. Retail 100,001-150,000 Sq. Ft. $12..00.00 $10.924.00 Per 1,000 sq. ft. Retail 150,001.200,000 Sq. Ft. $11,971.00 $10.465.00 Per 1,000 sq. ft. Retail 200,001-400,000 Sq. Ft. $11,330.00 $9.909.00 Per 1,000 sq. ft. Retail 400,001-600,000 Sq. Ft. $11,397.09 $9.896.00 Per 1,000 sq. ft. Relail600.001-1,000,OOO Sq. Ft. $12,259.09 $10.740.00 Per 1,000 sq. ft. Retail >1,000,000 Sq. Ft. $12,887.00 $11.296.00 Per 1.000 sq. ft. Retail - Specialty $I 7,962.00 $15.728.00 Per 1,000 sq. ft. RV Park Sl,553.QQ $1.363.00 Per Site School. Elementary (Private) $+G9,OO $623.00 Per Student School - Middle (Private) ~ $870.00 Per Student School. High School (private) $1,019.09 m!lQQ Per Student Supermarket $17,791.00 $15.466.00 Per 1,000 sq. ft. Tire Store $7.385.00 $6457.00 Per Service Bay Underlined text is added; Struek ti1fel:lga text is deleted Page 6 of6 Packet Page -123- 2/8/2011 Item 8.0. EXECUTIVE SUMMARY Recommendation to adopt an Ordinance amending Chapter 74 of the Collier County Code of Laws and Ordinances (The Collier County Consolidated Impact Fee Ordinance) providing for the incorporation by reference of the impact fee study entitled the "Collier County Transportation Impact Fee Cost and Credit Update Study," dated September 8, 2010, which is an amendment to the adopted "Collier County Transportation Impact Fee Update Study;" amending the Road Impact Fee rate schedule, which is Schedule One of Appendix A, as set forth in the Cost and Credit Update, which provides for a reductiou in rates; amending the Parks and Recreation Impact Fee schedule, which is Schedule Three of Appendix A, in accordance with the adopted indexing methodology, utilizing a two-year average, which provides for a reduction in rates; accepting the calculation of the indexing percentage for the Correctional Facilities Impact Fee in accordance with the adopted indexing methodology, utilizing a two-year average, but providing that the current Correctional Facilities Impact Fee rates remain in effect rather than increasing the fees as calculated; providing for a delayed effective date of October 8, 2010, in order to provide time for filin!: with the Florida Department of State and notification to the local municipalities of the new rates. OB.JECTIVE: That the Board of County Commissioners (Board) adopts an Ordinance implementing downward adjustments to the Community Parks and Regional Parks Impact Fees, based on application of the adopted indexing methodology, providing that the current Correctional Facilities Impact Fees remain in place, rather than implementing a fee increase and providing for a downward adjustment to the Road Impact Fees based on the findings of the "Collier County Transportation Impact Fee Cost and Credit Update Study." CONSIDERATIONS: On April 28, 2009, the Board adopted Ordinance 2009-17, which amended the Code of Laws and Ordinances (Code) to reflect a change to the use of a two-year average model from the 10-year regression analysis model to calculate the various indices, as this method is intended to be more responsive to cost fluctuations. In 2010, Community Parks, Regional Parks and Road Impact Fees are scheduled to be indexed using the adopted (two-year average) methodology. The remaining impact fees are scheduled for full studies that commenced in early 20 I O. Four measures are used (land costs, building costs, building equipment costs and transportation costs). alone or in combination, to calculate the indexing percentages for the various impact fees. Using the two-year average methodology, the most recent, available data related to the individual indices is used in the calculation. Based on the information above, the total indexing percentage is then calculated for each of the individual impact fees. Detailed information related to impact fee indexing is included as backup to this Executive Summary (Attachment A). Packet Page -124- 2/8/2011 Item 8.0. Imnact Fee 2010 Combined Index Community Parks -4.7% Regional Parks -11.9% Correctional Facilities 3.4% The impact fee with the largest percentage of inventory value attributed to land (Regional Parks) experienced the most significant downward adjustment in the calculated index. On the converse, the majority of inventory value in Correctional Facilities is buildings, which is an index that is declining from prior years but still remains positive. Based on the positive index, indicating an increase in fees, the County's impact fee consultant conducted further research and interviews with professionals in the field to ascertain if the cost of jail construction has changed appreciably over the past year. A memo from Tindale-Oliver and Associates, Inc. (TOA) is provided as an attachment to this item (Attachment B). In summary, architects and other professionals in the field, familiar with jail construction agree that construction cost for jails has remained stable. This likely is related to the legal and safety requirements of jail construction. There are not many "extras" or items that could be considered optional and removed to lower the cost of the project. While an increase in impact fees for Correctional Facilities is supported by the calculation using the adopted indexing methodology, staff recommends that the Correctional Facilities Impact Fee rates remain at the current, adopted level thereby forgoing the fee increase. Transportation Index: The Transportation Index was also calculated using the adopted two- year average methodology, resulting in a calculated index of -5.6%. In past years, the Producer's Price Index (PP!) was included as part of the index to moderate the steep increase in the Florida Department of Transportation cost estimates. However, in 2010 noticeable cost decreases were experienced throughout the State of Florida, including the FOOT numbers, therefore the smoothing effect of the PPI was not required to moderate the costs. Removal of the PPI component resulted in a calculated index of .12.8%. Because of the notable cost decreases recently experienced throughout Florida, staff and TOA agreed that it was appropriate to undertake a further review of the cost and credit components of the Road Impact Fee by way of a "Cost and Credit Update." The update analyzes the key components ofthe Road Impact Fee calculations which develop the impact fee rates. The major components of the update,includi ng narratives provided by TOA, are included as back-up to this item (Attachment C). During the Cost and Credit Update, TOA provided a detailed analysis of the cost component related to utility relocations. Currently, utility relocation costs are included as part of the transportation impact fee. However, the general practice statewide is to include these costs as part of the utility impact fees and/or utility rate. Because the Utility Impact Fees are currently being updated, until the revised study is completed and adopted, the utility costs will remain as Packet Page -125- 2/8/2011 Item 8.0. part of the Transportation Impact Fee. After the appropriate changes are made to the utility impact fees/rates, the utility relocation costs can then be removed from the transportation impact fee, which, upon Board review and approval, further reduces the fee. This is estimated to occur in the fourth calendar quarter of 20 1 O. A sample rate schedule displaying the further reduction to the Transportation Impact Fee, related to removal of the utility relocation costs, is included as an attachment to this Executive Summary (Attachment D). The resulting rate reductions from the Cost and Credit Update are an average decrease of 32% for both residential and commercial construction proposed with this ordinance amendment to become effective October 8, 2010. An additional average reduction of approximately 10% will be reviewed and considered by the Board after the appropriate changes are made to the Utility Impact Fees/rates, as discussed above, for a total average decrease of 42%. Other Considerations Two components were evaluated as part of this Cost and Credit Update and were included in the Appendix for reference. At this time, updates of these components were not included in the calculation of the new fee schedules; however, these components, as follows, will become increasingly important as growth resumes and moves farther east. Trip Lenl.!th This concept was discussed related to single-family during the 2008/2009 Transportation Impact Fec Update Study. Results of the analysis showed that the Single-Family Trip Length being utilized is extremely conservative. The actual Trip Length sampling indicates that a majority of trip lengths east of CR-951 are longer due to the lack of destinations such as retail, employment and medical. In 2009, the Board directed that the updated Trip Lengths not be used in the calculation of the updated fees. This Cost and Credit Update remains consistent with that direction. The Trip Length information has been updated and included in the Appendix for information purposes but was not used in the calculation of the new rates. Capacity Added As provided in the Cost and Credit Update, the capacity component relates to the marginal capacity added each time a lane mile is constructed in the future. The added capacity is calculated by subtracting the existing capacity from the total new capacity. The most significant variable that affects the capacity levels is the number of signals per mile. Similar to the Trip Length, the Capacity Added information was included in the Appendix for informational purposes, but was not used in the calculation of the new rates. The components above warrant further review and consideration, as they become increasingly important as the economy stabilizes and demand begins to increase. Therefore, by way of this Executive Summary, staff recommends that the Board direct the County Manager, or his designee, to work with the County's impact fee consultant to collect additional data related to the Trip Length and Capacity Added components and report back to the Board with the findings of the analysis. Packet Page -126- 2/8/2011 Item 8.D. On September I, 2010, staff presented the Annual Indexing for Community Parks, Regional Parks and Correctional Facilities and the Transportation Impact Fee Cost and Credit Update Study to the Development Services Advisory Committee (DSAC) for their review and recommendations. With respect to the Community and Regional Parks Impact Fee, the DSAC recommended that each of the fees be indexed using only the land component, as that was most representative of actual decreases being experienced. This recommendation translates to a 14.3% decrease to each category. The DSAC also concurred with the staff and recommended that the Correctional Facilities Impact Fees remain at the current adopted level rather than implementing the calculated index of 3.4%. Finally, with respect to the Transportation Impact Fee, the Committee generally supported the rate decreases, but indicated that they did not have adequate time for a full review. Therefore, the Committee was unable to make a recommendation. Staff agreed to assist with Committee members with any questions/issues that they had with the study and also agreed to return to DSAC at the October meeting to brief the Committee on the action taken by the Board, the rates to be implemented, and to address any remaining issues/concerns of the Committee members. The Annual Indexing for Community Parks, Regional Parks and Correctional Facilities and the Transportation Impact Fee Cost and Credit Update Study was presented to the Productivity Committee on September 15,2010 for theirreview and recommendations. With respect to the indexing for Correctional Facilities, Community Parks and Regional Parks, the Committee concurred with staffs recommendation to maintain current Correctional Facilities Impact Fee rates rather than implementing an increase, and to implement the calculated reduction of 4.7% to the Community Parks Impact Fee rates and 11.9% to the Regional Parks Impact Fee rates. Regarding the Transportation Impact Fee Cost and Credit Update the Committee recommended that the Board direct that Tindale-Oliver and Associates evaluate an appropriate change to the current single-family average trip length component used to calculate the fee, which is currently 64% of the model trip length. The committee recommended a percentage increase from the 64% utilized up to a maximum of 80%, based on the findings of the analysis. This analysis is to be completed prior to the completion of the Utility Impact Fee/rate study and implementation of the related reductions to the Transportation Impact Fee rates. The committee further recommended that an expanded review of Trip Length and Capacity Added be completed for use in the next Transportation Impact Fee Update. On September 15, 20 I 0, The Greater Naples Chamber of Commerce (Chamber), via a letter to the Chairman of the Board of County Commissioners, requested the following: Packet Page -127- 2/8/2011 Item 8.0. 1. A 50 % reduction in the transportation impact fee (supporting data relative to capacity and process to come). 2. Modify collection policy to collection at time of and in conjunction with issuance of a building permit for the relevant phase of the development. 3. Maintain reduced impact fee levels for a minimum period of two years. A fiscal analysis ofthe Chamber's recommendation has been prepared by staff and is included as back-up to this Executive Summary. FISCAL IMPACT: Revenue projections related to the individual impact fees depend heavily on the permitting trends during the corresponding time period. Changes in permitting activity will directly affect this impact fee revenue stream. The specified reductions are proposed to go into effect on October 8, 20 I 0; therefore, any permits applied for on or after that date will receive the lower rates. The statutory minimum 90-day notice is not required for impact fee reductions. Because of the decline in construction activity impact fee revenue has also been significantly reduced. Based upon actual impact fee collections and current permitting activity and forecasts, the following is the projected change in impact fee revenue associated to the indexing/update rate revisions assuming that development activity remains constant. Any further decline in activity will also directly affect thc impact fees collections. Impact Fee Potential Change in Annual Collections Based on Current Activity Community Parks I ($60,000) Regional Parks ($209.2]2) Road (assuming full 42% reduction) ($4,200,000) Examp]es of the rate reductions applicable to common land uses are included as attachments to this Executive Summary (Attachment E). GROWTH MANAGEMENT IMPACT: The concepts of annual indexing and impact fee updates are consistent with Objective 1.2 of the Capital Improvement Element (CIE) of the Collier County Growth Management Plan (GMP), which states: "Future development will bear a proportionate cost of facility improvements necessitated by growth." Additionally, this approach is consistent with Section 163.3180], Florida Statutes, which is the Florida Impact Fee Act 2006, requiring the most recent and localized data be used in impact fee calculations. LEGAL CONSIDERATIONS: The proposed Transportation Impact Fee and Parks and Recreation Impact fee are the maximum rates which the Board may lawfully impose, irrespective of the Fiscal Impact, which reflects decreased demand and decreased costs. The Ordinance is legally sufficient for Board action. -JAK Packet Page -128- 2/8/2011 Item 8.0. RECOMMENDATION: That the Board of County Commissioners adopt an Ordinance amending Chapter 74 of the Collier County Code of Laws and Ordinances providing for: I. The incorporation by reference of the impact fee study entitled the "Collier County Transportation Impact Fee Cost and Credit Update Study;" 2. Amending the Road Impact Fee rate schedule which provides for a reduction in rates (an average of 32%); An additional average reduction of approximately 10% will be reviewed and considered by the Board after the appropriate changes are made to the Utility Impact Fees/rates; 3. Amending the Parks and Recreation Impact Fee schedule, providing for an 11.9% reduction to the Regional Parks Impact Fee rates and a 4.7% reduction to the Community Parks Impact Fee rates; 4. Accepting the calculation of the indexing percentage for the Correctional Facilities Impact Fee but providing that the current Correctional Facilities Impact Fee rates remain in effect rather than increasing the fees as calculated; 5. Providing for a delayed effective date of October 8, 2010, in order to provide time for filing with the Florida Department of State and notification to the local municipalities of the new rates. Additionally, that the Board of County Commissioners: 6. Direct the County Manager, or his designee, to work with the County's impact fee consultant to collect additional data related to the Trip Length and Capacity Added components and rcport back to the Board with the findings ofthe analysis. Prepared by: Amy Patterson, Impact Fee and Economic Development Manager Growth Management Division - Planning and Regulation Attachments: 1) Proposed Ordinance Amendment; 2) Cost and Credit Study; 3) Attachment A -Indexing 4) Attachment B - Jail Memo; 5) Attachment C - Cost and Credit Major Components; 6) Attachment 0 - Draft Fee Schedule; 7) Attachment E - Impact Fee Comparisons; 8) Greater Naples Chamber of Commerce Letter; 9) Analysis Related to Chamber Recommendation Packet Page -129- 2/8/2011 Item 8.0. COLLIER COUNTY 30/\;'-':D Ol:: GO:UFTY COMM!SStONERS Item Number: Item Summary: 88 Recommendation to adopt an Ordinance amending Chapter 74 of the Collier County Code af Laws and Ordinances (The Collier County Consolidated Impact Fee Ordmance) providing for the Incorporation by reference of ttle Impact fee study entitled the Collier County Transportation Impact Fee Cost and Credit Update Study, dated March 11, 2009. which IS an amendment to the adopted Collier County Transportation Impact Fee Update Study: amendmg the Road Impact Fee rate schedule as set forth in the Cost and Credit Update whIch provides for a reduction In rates: amending the Parks and Recreation Impact Fee schedule In accordance with the adopted mdexlng methodology, utilizing a two-year average, whIch provides for a reduction in rates; accepting the calculation of the indexing percentage for the Correctional Facilities Impact Fee in accordance with the adopted indexing methodology, utilizing a twoMyear avemge, but providing that the current Carr-echonal Facilities Impa::..1 Fee rates remain In effect rather than increasing the fees as calculated and providing for a delayed effective date of October 8, 2010, in order to provide trme for tiling With the Florida Department of State and notificatIon to the local municipalities of the new mtes. Meeting Date: 9/28/20109:00:00 AM Prepared By {"my ,:"att",~sor, fij;:n,f2e~ ~ (tn::tdC: f:~(:: I:"~ ;~DC :.'~,ir: Can::Olunity ~~ <~V':::~cpr:~':'~,',;', :::~"':>"i:t."" .~:\; :::(!nrice~:; fHJsln:..,ss ManapemcfH ~ Swopt:>: Office 9/2:0':2010'::. "1:58 No;; Approved By ,li:(i: Ft!I:, Opcr;:1io;:::; ,~;'i':':;Y,;~ Do, (;.iTl1m:.HlilV DGve:vpr,;;;",i~:~ ,':um,n'._'!J!')! :''!-'t01opm0 ,-,.... i"r;\iil"i1:-nnma,) Servi':cr 9f20:1D1~' 3:% pr/; '--,~,.,'w'_"~mGnt2f :'S,,: "1:-:,-",. Approved By Nitk :", ~dan(!,)id" f)lfN:lor Tran::;p{,rtati'.:m Diannlng :;<!,e ':' ~'.?,c,;:JO:i:;t;c' i'i;'::"~:;' ~,':::Lii20if' 4:03 PM Approved By : r',ji!i;)i' Vi,!'".;~~; Dlf8Cl,)I- ()rlHl'iln;;i" ~_:Jpport _ Pl':':;. Dar,c Du'.:<i:: L'.:;;t>.::s ~:v!si;:." lJ:.,:Ji:!c,s Fir:;):~::::c ()~;;::';1jl.!n:; ?::11:::(;1(1 "119 AM Approved By J-i"l:r;e~; C~Lony ~-;',!bih: Uti!it\:J-:- Divj~iali Adn1ini~tratcr Cat, '( i'idS t!:;:I~,jrY1 '-"ublit ~:LliU(:~, Divisidl1 0;':::' ::O'ifci ,;" f,1 Approved By '2":;' :,;,;;r';;,j' An"'lii)ist,),~;t ~ p'.!b1i:' :::<fn/i:..:':C:, wau-. Packet Page -130- 2/8/2011 Item 8.0. 20D · Friday, January 28, 2011 · Napl.. Daily News NOTICE OF INTENT TO CONSIDER ORDINANCE Notice is hereby 9iven that on February 8, 2011 in the Boardroom, 3rd Floor. Ad- ministration Bulldmg, Collier County Government Center, 3299 East Tamiami Trail, Naples, Florida, the Board of County Commissioners will consider the enactment of a County Ordinance. The meeting ,will commence at 9:00 A.M. The title of the pr~ posed Ordinance is as follows: . AN ORDINANCE OF THE BOARD Of COUNTY COMMISSIONERS OF COLLIER COUN- TY. fLORIOA. AMENDING CHAPTER 74 Of THE COLLIER COUNTY CODE Of LAWS AND ORDINANCES (THE COLLIER COUNTY CONSOLIDATED IMPACT FEE ORDI- NANCE) BY AMENDING THE ROAD IMPACT fEE RATE SCHEDULE. WHICH IS SCHED- ULED ONE Of APPENDIX A. TO REfLECT THE PHASE " RATE SCHEDULE. AS SET fORTH IN THE "COLLIER COUNTY TRANSPORTATION IMPACT fEE COST AND CRED- IT UPDATE STUDY" ADOPTED ON SEPTEMBER 28, 2010, WHICH PROVIDES FOR A REDUCTION IN RATES; PROVIDING fOR CONFLICT AND SEVERABILITY; PROVIDING fOR INCLUSION IN THE COLLIER COUNTY CODE Of LAWS AND ORDINANCES; AND PROVIDING fOR ADELA YED EfFECTIVE DATE OF FEBRUARY 14. 2011. Copies of the proposed Ordinance are on file with the Clerk to the Board and are available for inspection. All interested parties are invited to attend and "be heard. NOTE: All persons wiming to speak on any agenda item must. register with the County administrator prior to presentation of the agenda item to be addressed. Individual speakers will.be limited to 3 minutes on anr item. In any case, written materials. intended to be considered by the Board shal be_ submitted to the appro-- priate County staff a minimum of seven days prior to the public hearing. If you are a person with a disability who needs any accommodation in .order to par- tiCipate in this proceeding, you are entitled, at no cost to you, to the provision of certain assistance. Please contact the Collier County Facilities Management Depart- ment, located at 3335 Tamiami Trail East, Building W, Naples, Florida 34112. (239) 252-B380. A$Sined listening devices for the hearing impaired are available.,in the C,ounty Commissioners' Office. BOARD Of COUNTY COMMISSIONERS COLLIER COUNTY, fLORIDA FRED COYLE. CHAIRMAN DWIGHT E. BROCK, CLERK By: Teresa Polaski, Deputy Clerk (SEAL) Januarv 28 7011 Nn1RAi;QC;Q \t;1~. '$~' Packet Page -131-