Minutes - Council - 11/14/1995 - Laserfiche WebLink

Home

throughout this plan. He explained that this plan is not significantly different than that approved a year ago but the numbers have been updated as have the cash flow runs. Motion by Councilmember Peterson and seconded by Councilmember Beahen to approve the 1996-2001 Capital Improvements Program. Motion carried. Voting Yes: Mayor Hardin, Councilmembers Peterson, Beahen and Beyer. Voting No: None. Absent: Councilmember Zimmerman. Mayor Hardin thanked staff, Council and Commissioners for their contribution to the plan. Case 09: Introduction of Ordinance Amending Subdivision Ordinance to Require Impact Fees for Arterial Streets Finance Officer Hart reminded Council that back in May, the Road and Bridge Committee presented a recommendation to implement a transportation impact fee for developers. The City Council approved the recommendation. This fee would be utilized to offset costs for arterial street improvements including accesses and signalization where necessary that were caused by new development. The fee structure was adopted at that time; however, an ordinance was not in place that would allow such a fee. The fees would be as follows: New residential development - $500 per residential unit and Commercial/Industrial - $1.50 per square foot of building. She called attention to a memorandum from City Attorney Goodrich which talked about some legal issues. City Attorney Goodrich stated that over the past few years, the U.S. Supreme Court has become very sensitive with regard to protecting personal property rights. Impact fees, such as those represented in this case, and the more typical park/utility land dedication requirements by cities are considered property rights. He continued that this all stems from the Fifth Amendment to the U.S. Constitution which states that private property shall not be taken for public use without just compensation. In interpreting this, the courts have stated, with regard to exactions demanded by a City, that the exaction must bear a reasonable relationship to the projected impact of the proposed development. The law requires that the City be able to demonstrate that the impact of a new development have a direct relationship to the City's transportation system and therefore the City's need for $500 for each newly created lot. Mr. Goodrich explained that if the City is challenged in the future, you may be required to show on a case by case basis that the exaction is related both in nature and extent to the proposed development's impact. Ms. Hart stated that staff is requesting that the ordinance be introduced tonight but that it would be more thoroughly discussed at the next Road and Bridge Committee meeting and then again at Council level. The City Engineer will discuss another aspect of the fee. Motion by Councilmember Peterson and seconded by Councilmember Beahen to introduce the ordinance amending the subdivision ordinance to require impact fees for arterial streets. Motion carried. Voting Yes: Mayor Hardin, Councilmembers Peterson, Beahen and Beyer. Voting No: None. Absent: Councilmember Zimmerman. City Engineer Sankowski stated that if it's indeed an impact fee and we are charging dollars caused by new development - in order to be fair we feel it's appropriate to implement that type of policy. City Council/November 14, 1995 Page 9 of 13