(a) Expenditures. An expenditure occurs when goods or services are received and actual liabilities are incurred.
(b) Determination of expenditures. To determine whether impact fees collected in an impact fee district have been expended by the end of the sixth fiscal year following collection, the Controller shall:
(1) identify each capital project in the district that is eligible for impact fee use; and
(2) determine the amount of impact fees disbursed from the impact fee special fund to the capital projects fund to pay the costs of the capital project, as recorded in the general ledger of the County or the Board of Education.
(c) Amount of expenditures. The total amount of impact fees collected in an impact fee district that has been expended by the end of the sixth fiscal year following collection is the sum of the amounts calculated in accordance with subsection (b)(2).
(d) Encumbrances. An encumbrance occurs when a contract is executed or a purchase order issued, and the amount of the contract or purchase order is recorded in the general ledger of the County or the Board of Education.
(e) Calculation of encumbrances eligible for impact fee use. To determine whether impact fees collected in an impact fee district are encumbered by the end of the sixth fiscal year following collection, the Controller shall:
(1) identify each capital project in the district that is eligible for impact fee use;
(2) determine the encumbrances for the capital project as recorded in the general ledger of the County or the Board of Education;
(3) calculate the maximum amount of appropriations eligible for impact fee use by multiplying the total amount of appropriations for the capital project by the percentage of the capital project that is eligible for impact fee use as determined by the Planning and Zoning Officer; and
(4) subtract the expenditures for the capital project determined in accordance with subsection (b)(2) from the maximum amount of appropriations eligible for impact fee use calculated in accordance with paragraph (3).
(f) Amount of encumbrances.
(1) If the amount calculated in accordance with subsection (e)(4) is $0 or less, no impact fees are encumbered for the capital project.
(2) If the amount calculated in accordance with subsection (e)(4) is greater than $0, the amount of impact fees encumbered for the capital project is the lesser of the amount calculated in accordance with subsection (e)(4) or the encumbrances determined in accordance with subsection (e)(2).
(3) The total amount of impact fees collected in an impact fee district that is encumbered by the end of the sixth fiscal year following collection is the sum of the amounts calculated in accordance with paragraph (2).
(Bill No. 27-07; Bill No. 71-08)