A. Collection. Development impact fees, together with administrative charges assessed pursuant to section 23A-81(A)(4), shall be calculated and collected prior to and as a condition of the issuance of permission to commence development; specifically:
1. Unless otherwise specified pursuant to a development agreement adopted pursuant to section 23A-83, development impact fees shall be paid prior to and as a condition of the issuance of a building permit according to the current development impact fee schedule for the applicable service area(s) as adopted pursuant to this article, or according to any other development impact fee schedule as authorized in this article.
2. No building permit or certificate of occupancy shall be issued if a development impact fee is not paid as directed in the previous paragraphs.
3. If the building permit is for a change in the type of building use, an increase in square footage, or a change to land use, the development impact fee shall be assessed on the additional service units resulting from the expansion or change, and following the development impact fee schedule applicable to any new use type.
4. For issued permits that expire or are voided, development impact fees and administrative charges shall be as follows:
a. If the original permittee is seeking to renew an expired or voided permit, and the development impact fees paid for such development have not been refunded, the permittee shall pay the difference between any development impact fees paid at the time the permit was issued and those in the fee schedule at the time the permit is reissued or renewed.
b. If a new or renewed permit for the same development is being sought by someone other than the original permittee, the new permit applicant shall pay the full development impact fees specified in the fee schedule in effect at the time that the permits are reissued or renewed. If the original permittee has assigned its rights under the permits to the new permit applicant, the new permit applicant shall pay development impact fees as if it were the original permittee.
5. Administrative charges. The city shall initially assess a $50 administrative charge to cover administrative expenses. The administrative charge may not be paid with development impact fee credits. The administrative charge shall be in addition to the amount of the development impact fee that is due and shall be paid at the same time as the fee. The administrative charge may be amended to reflect the actual administrative costs by the development impact fee administrator. Any amendment shall be adopted as a development standard with the approval of the mayor and council.
B. Exceptions. Development impact fees shall not be owed under any of the following conditions:
1. Development impact fees have been paid for the development and the permit that triggered the collection of the development impact fees has not expired or been voided.
2. The approval that triggers the collection of development impact fees involves modifications to existing residential or non-residential development that do not:
a. add new SUs,
b. add square footage to existing residential development in existence for at least ten (10) years and which does not constitute a new dwelling unit or,
c. increase the impact of existing SUs on existing or future capital facilities or,
d. change the land-use type of the existing development to a different category of development for which a higher development impact fee would have been due.
To the extent that any modification does not meet the requirements of this paragraph, the development impact fee due shall be the difference between the development impact fee that was or would have been due on the existing development and the development impact fee that is due on the development as modified.
3. The approval that triggers the collection of development impact fees involves construction of residential or nonresidential development on a site with a previously approved demolition permit in final status within five (5) years prior to application. The development impact fee due shall be the difference between the development impact fee that was or would have been due on the demolished structures and the development fee that is due on the new or modified development.
4. A governmental entity controls and directs the development for a governmental purpose on property owned by a governmental entity.
C. Temporary exemptions from development impact fee schedules. New developments in the city shall be temporarily exempt from increases in development impact fees that result from the adoption of new or modified development impact fee schedules as follows:
1. Residential uses (other than multifamily). On or after the day that the first building permit is issued for a residential development (other than multifamily), the city shall, at the permittee's request, provide the permittee with an applicable development impact fee schedule, as established by the prior adoption of the fee schedule by the mayor and council, that shall be in force for a period of twenty-four (24) months beginning on the day that the first building permit is issued, and which shall expire at the end of the first business day of the 25th month after the first building permit is issued. During the effective period of the applicable development impact fee schedule, any building permit issued for the same residential development shall not be subject to any new or modified development impact fee schedule.
2. All other uses. On or after the city's approval of a site plan or final subdivision plat for an industrial: light industrial, industrial: warehousing, industrial: manufacturing, commercial/retail: general, commercial/retail: free standing discount store, general office, institutional: schools, institutional: religious facilities, institutional: medical (nursing home/assisted living), institutional: medical (clinic, hospital), hotel or multifamily development, the city shall, at the permittee's request, provide the permittee with an applicable development impact fee schedule, as established by the prior adoption of the fee schedule by the mayor and council, that shall be in force for a period of twenty-four (24) months beginning on the day the site plan or final subdivision plat was approved, and which shall expire at the end of the first business day of the 25th month after the site plan or final subdivision plat was approved. During the effective period of the applicable development impact fee schedule, any building permit issued for the same development shall not be subject to any new or modified development impact fee schedule.
3. Changes to development plans and final subdivision plats. During the twenty-four (24) month period referred to in section 23A-81(C)(1) or (2), if changes are made to a development's site plan or final subdivision plat that will increase the number of service units, the city may assess any new or modified development impact fees against the additional service units. If the city reduces the amount of an applicable development impact fee during the twenty-four (24) month period referred to in section 23A-81(C)(1) or (2), the city shall assess the lower development impact fee.
D. Option to pursue special fee determination. Where a development is of a type that does not closely fit within a particular category of development appearing on an adopted development impact fee schedule, or where a development has unique characteristics such that the actual burdens and costs associated with providing necessary public services to that development will differ substantially from that associated with other developments in a specified category of development, the city may require the applicant to provide the development impact fee administrator with an alternative development impact fee analysis. Based on a projection of the actual burdens and costs that will be associated with the development, the alternative development impact fee analysis may propose a unique fee for the development based on the application of an appropriate SU factor to the applicable plan-based cost per SU, or may propose that the development be covered under the development impact fee schedule governing a different and more analogous category of development. The development impact fee administrator shall review the alternative impact fee analysis and shall make a determination as to the development impact fee to be charged. The decision shall be appealable pursuant to section 23A-84. The development impact fee administrator may require the applicant to pay an administrative fee to cover the actual costs of reviewing the special fee determination application.
E. Waivers. Development impact fees shall not be waived except in accordance with the provisions set forth in section 23A-81(E)(1) and (2) below. When development impact fees are waived, the city shall transmit non-development impact fee funds to cover the waivers into the appropriate development impact fee account.
1. Affordable housing: Any waiver of development impact fees for eligible affordable housing providers, including any waiver pursuant to an affordable housing program approved by the Mayor and Council under which the city provides a subsidy for eligible affordable housing projects, requires the prior approval of the Mayor and Council.
2. Development agreements: Through a development agreement between the city and the developer of a property, partial or full development impact fee waivers may be granted for projects that provide a public benefit to the city and result in a net financial benefit to the city. Development agreements entered into under this section shall comply with the requirements of section 23A-83.
F. Mixed use incentive. New developments in the city shall be eligible for reduced streets facilities development impact fees if in compliance with the criteria below, as determined by the Impact Fee Administrator or their designee during the development package review process. Developments which utilize this incentive shall be subject to the fees in Section 23A-91 Table 3 - "Mixed Use Incentive Fee" Rates. The purpose of this incentive is to encourage development that increases commuting by transit, bicycle, and walking. This incentive applies to development that meets the criteria below, which will result in fewer vehicle trips and less demand on the street facilities system.
1. Transit access (required): Development must be located close to transit. The development boundary must be within one-quarter mile walking distance to a transit stop.
2. Residential proximity (one of the following two is required):
a. Development must contain a mix of uses, including both residential and nonresidential. A minimum ratio of one (1) dwelling unit per 500 square feet of nonresidential development must be provided.
b. Development must be located close to high-density residential. A minimum of 2,000 units must be located within one-half mile of the development boundary.
3. Multimodal options (one of the following two is required):
a. Development must be located close to planned or constructed publicly-designated bicycle boulevard or multi-use path. The development boundary must be within one-quarter mile walking distance to said boulevard or path.
b. Development must provide additional bicycle parking spaces, bicycle connections and car share facilities. Bicycle parking must be provided at three (3) times the standard rate. Internal bicycle circulation connections must be provided from every public street to the buildings and bicycle parking areas on the development site. Car share spaces must be provided at the following rates:
Number of Residential Units | Number of Required Car Share Spaces |
0-24 | 0 |
25-99 | 1 |
100+ | 2, plus 1 for every 100 dwelling units over 100 |
Number of Parking Spaces for Nonresidential Uses | Number of Required Car Share Spaces |
0-49 | 0 |
50-99 | 1 |
100+ | 2, plus 1 for every 100 parking spaces over 100 |
(Ord. No. 11203, § 1, 10-9-14, eff. 12-23-14; Ord. No. 11624, § 1, 2-20-19, eff. 3-22-19; Ord. No. 11759, § 1, 6-9-20, eff. 8-23-20; Ord. No. 11919, § 1, 3-22-22, eff. 4-21-22)