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TO: City Council <br />CC: City-Administrat°r <br />........ · .i.;'~.. City Engineer <br /> City Fire DireCtor <br /> City Building Inspector <br /> <br /> RE.: .. Deyelopme~t. ImPa~t Fees <br /> DATE: November f4, 1995 <br /> 'This memo relates' to Case 9 of your November 14 Meeting Agenda. <br /> Attached yo~'will find a proposed ordinance which staff would like <br /> to have introduced at your November 14th Council meeting. Also <br /> attached is a proposed resolution for your consideration. The <br /> resolution and ordinance will be more thoroughly reviewed with the <br /> Road and Bridge Committee on NovemBer 28, 1995 and with the Council <br /> on that.evening as well. <br /> <br /> I want to bring your attention at this time to an important legal <br /> issue relating to impact fees. Over the past few years, the U.S. <br /> Supreme Court has become very sensitive with regard to protecting <br /> personal property rights. Impact fees such as those represented by <br /> the 'attached ordinance and resolution and the more typical <br /> park/utility land dedication requirements by Cities are considered <br /> property rights. <br /> <br /> This all stems from the Fifth Amendment to the U.S. Constitution <br /> which states that "... private property (shall not) be taken for <br /> public use without just compensation." In interpreting this <br /> constitutional provision, the courts have stated with regard to <br /> exactions demanded by a.City that the exaction must bear a reasonable <br /> .rel~tionship to the projected impact of the proposed 'development. <br /> Therefore, the law requires that the City be able to demonstrate that <br /> the impact of~a new development have a direct relationship to the <br /> City's transportation system and therefore the City's need for $500 <br /> for each newly created lot. <br /> <br /> If challenged in the future, the City may be required to show on a <br /> case by case basis that the exaction is related both in nature and <br /> extent to the proposed development's impact. <br /> <br />] <br /> <br />] <br />] <br />] <br /> <br />] <br /> <br />] <br /> <br /> <br />