HomeMy WebLinkAbout08-20-2013 ac mattingly PH1CORRESPONDENCE
Date.' ? 0 13 Item#._..._L 1
!4"A council mcmovAnbum
RL-.CE-1VED
August 20, 2013 -AU-AU6 2 0 2013
TO: Mayor and City Council -, r• . s: �. �.�
VIA: Katie Lichtig, City Manager
FROM: Carrie Mattingly, Utilities Director
SUBJECT: Item PHI — Update of the City's Water and Wastewater Development Impact
Fees
Council members requested information regarding Item PHI for the August 20, 2013 Council
meeting.
A request was received to illustrate the changes in the water and wastewater impact fees since
their original adoption in 1991 to the current fee and the percent change. Updates to the fees
occurred in 1994, 2002 (twice), 2004, and 2013 (proposed). Between updates, the fees were
increased by the Consumer Price Index (CPI) at the beginning of each fiscal year.
The table below shows a side -by -side comparison of fees and percent change through 2004 for
one equivalent dwelling unit or EDU. The graph below also shows the fees for one EDU. An
EDU is the unit of measure other development types (i.e. multi -family residential, non-
residential based on meter size, etc.) are based upon and are set proportional to.
The wastewater impact fee has increased due to cost adjustments for facility upgrades and the
water fee has fluctuated due mainly to changes in water policy, updated estimated and or/ actual
infrastructure costs, water supply development costs, and revised estimates on water demand.
Other inquiries:
Nacimiento Debt: Nacimiento debt figures in the study reflect the original debt amount, not the
amount currently owing.
Timing related to the Land Use and Circulation Element adoption: While the Land Use and
Circulation Element will be updated in 2014, which may have build out and service implications,
the current study was coordinated between Utilities and Community Development to ensure it
used the most current build out assumptions and land use information. It is anticipated that
impact fee study will be updated in 2016 with changes from the 2014 Land Use and Circulation
Element. This will incorporate any items the current study did not capture. Updating these fees
has been in the works for a while (ideally fees should be updated at least every five years) and in
view of major changes related to other policies; water demand and wastewater generation
factors, among other items, proceeding now seemed the right thing to do.
City Attorney concurrence: The City Attorney is in concurrence with the legal analysis of the
consultant and staff recommendations.
Council Memorandum — PH1. Water and Wastewater Development Impact Fees Page 2
Develo ment Impact Fees and Percent Change — Ince on to Current Fee
1991
1994
%
I 2002-A
I %
I 2002-J
%
2004
%
Water
$2,628
2,704
2.91
11,2561
316.31
8,065
-28.3
13,967
73.2
Wwater
$2,218
1 2,282
1.91
3,2361
41.8
01
01
3.377
1 5.5
fZ0.0[n
518.00
S1G.0fl
514.00
$ I2,00
S i O,Qa
s8,=
56,00[
54,00C
52.W
History of Water and Wastewater Development Impact Fees
(per Equivalent Dwelling Unit)
29
ge
"„4,- - -
1991 1992 1993 1"4 1995 1996 1997 1998 1999 2000 2001 2012 20022oo3 2004 2005 20o6 2007 2008 2009 2010 2011 2012 2013 2013
-*--Water —G+WWstewater
NOTE: Previous Development impact Fees were adopted by the City Council in August 1991, January 1994, April 2002, June 2002, and June 2004.
Water and Wastewater Development Impact Fee Key Dates
Year Water I Wastewater
1991 First study completed establishing water and wastewater impact fees
1994
Adjustments made to original fee study for
both water and wastewater
April
Updated to include costs identified in the
Updated to include costs identified in the
2002
2000 Water Master Plan and the updated
2000 Wastewater Master Plan (lift stations
water supply component
and Water Reclamation Facility_).
June
Fee reduced due to policy change related
2002
to the Reliability Reserve.
2004
Fee adjusted to account for the City's
Fee reflects mostly consumer price index
participation in the Nacimiento Pipeline
increases with minor adjustment for
Project and improvements to the Water
updated Water Reclamation Facility
Treatment Plant.
upgrade costs.
G:\Council Communications\Council Memos\Water and Wastewater Impact Fees Council memo 8-19-13.doc