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File #: AM No. 20-139   
Type: Staff Report Status: Presented
File created: 10/2/2020 In control: City Council
On agenda: 10/20/2020 Final action: 10/20/2020
Title: 2021 Annual Indexing of Development Impact Fees
Attachments: 1. Agenda Memo, 2. Attachment A: Proposed 2021 Impact Fee Rates and Fees, 3. Attachment B: LWSD Board Adopted 2020-2025 CFP, 4. Attachment C: Presentation

TO: Members of the City Council

FROM: Mayor Angela Birney

DEPARTMENT DIRECTOR CONTACT(S):

Planning and Community Development

Carol Helland

425-556-2107

Planning and Community Development

Beverly Mesa-Zendt, Interim Deputy Planning Director

425-556-2423

 

DEPARTMENT STAFF:

Planning and Community Development

Judy Fani

Principal Planner

Planning and Community Development

Caroline Chapman

Senior Planner

 

 

TITLE:

title

2021 Annual Indexing of Development Impact Fees

 

OVERVIEW STATEMENT:

recommendation

Impact fees are one-time charges collected by the City of Redmond from new commercial and residential developments.  Staff will describe the methodology applied to the annual indexing of the City’s impact fees as required by RMC 3.10, and seek comments and questions on the 2021 impact fee recommendation. One or more Lake Washington School District (LWSD) representatives will be present to address any questions related to school impact fees. The school impact fee calculates a proportionate share of the costs of school-related system improvements that are reasonably related to new development. The City of Redmond has collected and distributed these fees to LWSD under a 2006 interlocal agreement with the District.

body

  Additional Background Information/Description of Proposal Attached

 

 

REQUESTED ACTION:

 

  Receive Information                                            Provide Direction                                            Approve

 

 

REQUEST RATIONALE:

 

                     Relevant Plans/Policies:

N/A

                     Required:

Redmond Municipal Code 3.10   Impact Fees

King County Code 21.A.43.040 - Impact Fee Collection for School Districts

2006 Interlocal Agreement (between the City of Redmond and LWSD) for the Collection, Distribution and Expenditure of School Impact Fees

                     Council Request:

N/A

 

                     Other Key Facts:

Annual Indexing is more fully described in Attachment A.

 

 

OUTCOMES:

Impact fees:

                     Contribute toward funding public infrastructure that is needed to accommodate population and employment growth.

                     Can only be used to pay for new system improvements (public facilities are intended to provide service to the community at large).

                     Must be reasonably related to the new development and benefit the new development.

                     Cannot be used to pay for private facilities that solely benefit the development or to correct existing deficiencies in public infrastructure.

 

 

COMMUNITY/STAKEHOLDER OUTREACH AND INVOLVEMENT:

 

                     Timeline (previous or planned):

Between September and November 2020

                     Outreach Methods and Results:

As in past years, staff will inform the development community about the recommended impact fee adjustments. This includes outreach to OneRedmond, the Business, Fees and Taxes Advisory Committee (BFTAC), Master Builders, the Parks and Trails Commission, as well as posting notices on the Development Services Center web site.

                     Feedback Summary:

Master Builders’ Gina Clark acknowledged the proposed fees and offered no feedback other than she was grateful to be contacted in advance of Council review on this topic.  No additional feedback has been received at this time.

 

 

BUDGET IMPACT:

 

Total Cost:

N/A

 

Approved in current biennial budget:                                            Yes                                            No                                            N/A

 

Budget Offer Number:

N/A

 

Budget Priority:

N/A

 

Other budget impacts or additional costs:                       Yes                                            No                                            N/A

If yes, explain:

N/A

 

Funding source(s):

N/A

 

Budget/Funding Constraints:

N/A

 

  Additional budget details attached

 

 

COUNCIL REVIEW:

 

Previous Contact(s)

Date

Meeting

Requested Action

10/13/2020

Committee of the Whole - Planning and Public Works

Provide Direction

 

Proposed Upcoming Contact(s)

Date

Meeting

Requested Action

11/10/2020

Study Session (if needed)

Provide Direction

12/1/2020

Business Meeting        (with the 2021-22 budget)

Approve

 

Time Constraints:

Changes to impact fees are effective January 1, 2021. Timely adoption of the fees is critical because it provides staff, developers, residents and other interested parties guidance for the development review process and ensures that new system improvements can be funded through impact fees.

 

 

ANTICIPATED RESULT IF NOT APPROVED:

If a decision is made to not adjust the impact fees for 2021, the fees will default to 2020 impact fee schedule which will underfund new system improvements needed to address population and employment growth. 

 

 

ATTACHMENTS:

Attachment A: Proposed 2021 Impact Fees and Rates

Attachment B:  Lake Washington School District, Approved 2020-25 Capital Facilities Plan

Attachment C: Presentation