HomeMy WebLinkAboutAgenda - 05-12-2015 - 4
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ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date:May 12, 2015
Action Agenda
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Item No.
SUBJECT:
Educational Facility Impact Fee Ordinanceand Age-Restricted Housing
DEPARTMENT:PUBLIC HEARING: (Y/N)No
Planning/County Attorney
ATTACHMENT(S):INFORMATION CONTACT:
3-23-15Letter from Developer’s Craig Benedict, 919-245-2592
Representativeto County AttorneyJohn Roberts,919-245-2318
5-4-15 Letter from Developer’s
Representative to Planning Director
PURPOSE:
Todiscuss the possibility of amending Article 2 of Chapter 30 of the Orange
County Code of Ordinances (the Ordinance) regarding educational facility impact fees to include
age-restricted housing as an exception to structures requiring impact fees.
BACKGROUND:
Orange County is one of the few counties in North Carolina that can impose
school impact fees because the County obtained special local enabling legislation from the
State in 1987. In 1993, the County acted upon this authority and, in collaboration with the
Towns and school districts, began the fee assessment. Since then, the County has
occasionally (every few years) updated the fees based on school costs, categories of housing,
etc. Findings of impact,benefit, and proportionality must be shown to form a good methodology
and legal basis.
The Ordinance requires impact fees be paid for new residential construction in order to assist
with educational impact costs associated with new students. A developerhas approached staff
to request that an exception be created for age-restricted housing, i.e. housing that would be
limited by deed or covenant restrictions to housing for persons over a minimum age(see
attached letter). The developer prefers the exception be created as quickly as possible. If the
Board is interested in pursuing an amendment to the Ordinance, Planning staff recommends
that the decision be based on relevant data because of the requirements necessary to set
impact fee levels. There are two possible methods to achieve data needs:
1.Require the developer requesting this exception provide information about other age-
restricted projects in a specific geographic area (to be determined) and have staff
evaluate the data to determine probable impacts.
2.Conduct a student generation rate study specifically for age-restricted housing and
assess the fee accordingly. Historically, such studies have been completed by a
consultant with data supplied by the local governments. (This method is preferable due
to the enhanced ability to defend the outcome of the study).
It should be noted that a new impact fee study (which includes the accompanying student
generation rate analysis) has been requested by Planningin the department’s FY2015-16
Budget (approximately $70,000) since the last study was completed in 2007.If recommended
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by the Manager and approved by the Board, the new impact fee study would disaggregate
housing types by number of bedrooms (similar to the 2014 study which evaluated only housing
thathad been constructed in the past 10 years; impact feesmust be based on the entire
housing stock). It would be possible to include age-restricted housing as a housing type in this
new study, but the results of the study would likely not be available until early 2016 and would
then have to be adopted. This timeframe may be longer than the developer would prefer.
It should be noted that the Educational Facilities Impact Fee Ordinance(EFIFO) is independent
from the Schools Adequate Public Facilities Ordinance (SAPFO) with only the student
generation rates having a common data ingredient. Because the special local enabling
legislation for the EFIFO is grounded in land use and zoning authority, any changes to the
Ordinance must be advertised in accordance with statute requirements and must be heard at a
public hearing. The public hearing can be on a regular BOCC meeting agenda (e.g., it is not
restricted to only the quarterly public hearings).
FINANCIAL IMPACT:
A student generation rate study specificallyfor age-restricted housing
(Option #2 above)would likely cost approximately $15,000 and would require staff time from all
of the local governments within Orange County and the school districts to compile raw data.
Option #1 would require County staff time to evaluate the information provided by the
developer. Ifthe ordinance is amended, there would likely be a reduction in impact fees
collected (presuming age-restricted housing generates fewer students). The decrease would
correspond to the amount of new housing that qualifies as age restricted housing under that
amendment.Other housing type categories may increase if this type of housing is removed
from the previous aggregated housing totals.
RECOMMENDATION(S):
The Manager recommends that the Board discuss the topic and
provide direction.
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