(A) Systemwide improvements fees shall be applied only to capital improvements associated with the system for which the fees are assessed, including expenditures relating to repayment of indebtedness.
(B) Growth-related expansion fees shall be spent only on capacity-increasing capital improvements associated with the system for which the fee is assessed, including expenditures relating to repayment of future debt for the improvements. An increase in system capacity occurs if a capital improvement increases the level of performance or service provided by existing facilities or by providing new facilities.
(1) The portion of the capital improvements funded by growth-related expansion must be related to demands created by current or projected development. A capital improvement being funded wholly or in part from revenues derived from the growth-related expansion fee shall be included in the plan adopted by the city pursuant to § 52.08.
(C) Notwithstanding divisions (A) and (B) of this section, impact fee revenues may be expended on the direct costs of complying with the provisions of this chapter, including the costs of developing impact fee charge methodologies and providing an annual accounting of impact fee expenditures.
(D) There shall be created a restricted account entitled the “Wastewater Impact Fee Account.” All monies derived from the wastewater impact fee shall be placed in the Wastewater Impact Fee Account. Funds in the Wastewater Impact Fee Account shall be used solely to provide the wastewater capital improvements plan (CIP) listed capacity increasing improvements according to the wastewater CIP as it currently exists or as hereinafter adopted and amended, and eligible administrative costs. In this regard, wastewater impact fee revenues may be used for purposes that include:
(1) Design and construction plan preparation;
(2) Permitting;
(3) Right-of-way acquisition, including any costs of acquisition and condemnation;
(4) Construction of new wastewater treatment facilities, including, but not limited to, sludge handling facilities;
(5) Construction of collection and interceptor lines;
(6) Construction of pumping and lift stations;
(7) Demolition that is part of the construction of any of the improvements on this list;
(8) Payment of principal and interest, necessary reserves and costs of issuance under any bonds or other indebtedness issued by the city to provide money to construct or acquire wastewater facilities;
(9) Direct costs of complying with the provisions of the Kentucky Revised Statutes that allows or limits impact fees/SDCs, including the costs of developing impact fee methodologies and providing an annual accounting of impact fee expenditures.
(Ord. 2017-30, passed 11-21-17)