HomeMy WebLinkAboutAgenda - 09-05-2017 - 8-p - Repeal of the Educational Facilities Impact Fee Ordinance 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: September 5, 2017
Action Agenda
Item No. 8-p
SUBJECT: Repeal of the Educational Facilities Impact Fee Ordinance
DEPARTMENT: County Attorney
ATTACHMENT(S): INFORMATION CONTACT: (919)
1. Recommended Ordinance
2. Resolution John Roberts, County Attorney, 245-2318
PURPOSE: To repeal the Educational Facilities Impact Fee Ordinance.
BACKGROUND: On June 20, 2017 the North Carolina General Assembly passed House Bill
406 ("HB406"), Session Law 2017-36. HB406 was not requested by Orange County but was
sought by a local real estate developer. Session Law 2017-36 stripped Orange County of the
authority to levy an impact fee to support public school infrastructure.
FINANCIAL IMPACT: The loss of impact fee authority resulted in an immediate impact of
approximately $1.18 million, which the Planning and Inspections Department had collected as
early payments that had to be refunded. The loss of impact fee authority will also result in a loss
of approximately $2.8 million in annual revenue to pay school capital costs.
SOCIAL JUSTICE IMPACT: There is no Orange County Social Justice Goal impact associated
with this item.
RECOMMENDATION(S): The Manager recommends that the Board adopt the attached
Ordinance and Resolution and authorize the Chair to sign the Resolution.
2
ORD-2017-020
ARTICLE II. - EDUCATIONAL FACILITIES IMPACT FEE
Sec. 30-31.—30-80.—Repealed.
3
RES-2017-055
ORANGE COUNTY BOARD OF COMMISSIONERS
RESOLUTION OF AMENDMENT
AN ORDINANCE AMENDING CHAPTER 30 OF THE ORANGE COUNTY CODE
OF ORDINANCES
WHEREAS, the State of North Carolina previously authorized Orange County to impose impact
fees through Title VI of Chapter 460 of the Session Laws of 1987, as amended by Chapter 324 of
the Session Laws of 1991 and Part 4 of Chapter 642 of the Session Laws of 1993; and
WHEREAS, the General Assembly repealed the County's authority to impose impact fees through
the enactment of Session Law 2017-36 resulting in the loss of millions of dollars of revenue
dedicated to school capital costs; and
WHEREAS, in order to remain compliant with the law enacted by the General Assembly the Board
of Commissioners must repeal the Educational Facilities Impact Fee.
NOW THEREFORE BE IT ORDAINED that the Code of Ordinances, Orange County, North
Carolina, Chapter 30, by majority vote of the Orange County Board of Commissioners, is hereby
amended by repealing Sections 30-31 through 30-80 as shown in the attached revised ordinance
repealing the Educational Facilities Impact Fee in Orange County.
This Amendment shall become effective upon adoption.
Adopted by the Orange County Board of Commissioners this 5th day of September, 2017.
By: Attest:
Mark Dorosin, Chair Donna Baker, Clerk to the Board
Orange County Board of Commissioners
[SEAL]