Agenda - Council Work Session - 08/23/2011

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Survey Results: Summar Each and every city in this survey assesses development costs differently. Some municipalities rely more on developers to install needed infrastructure and to make site improvements than other municipalities. Some municipalities install needed infrastructure and make site improvements independently and then charge developers. Some cities put most of their costs into one part of a building permit and others break down their costs into separate permit fees. Some cities account for nearly all costs through development fees and some cities absorb costs into the general operating budget. Some cities pass on costs to end users rather than developers (i.e. residents and businesses) through utilities and assessments. Cities also assign expenses in several different ways: flat rates, area specific rates, escrows, per unit rates, per acre rates, type of land use rates, per hour rates, assessments, trunk fees, etc. Regardless of how development costs are accounted for, and to whom they are charged, the costs are there and they are important to understand. This survey attempts to breakdown the costs of new development and establishes a city -to -city comparison. However, due to the complexity previously referred, a truly apples to apples comparison of development costs is not possible. The 2011 Development Costs Study displays the complexity of understanding how development costs are accounted for and also reflects a wide range of results from participating cities. For an overview of the development costs study results please reference: • Individual development scenarios results tables (four total) Page 3 -6 • Utility rates tables Page 7 • Planning fees tables Page 8 For detailed answers on each individual question asked in the Development Costs Study and for a specific explanation of how the survey was conducted please reference the appendix. 21 Page