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HomeMy WebLinkAboutAgenda - 02-26-2001-c4ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: February 26, 2001 ~i~ Action Agenda Item No. C 4 SUBJECT: Public School Impact Fees DEPARTMENT: Planning PUBLIC HEARING: (Y/N) Yes ATTACHMENT(S): INFORMATION CONTACT: Draft Tischler &~ Associates Report Craig Benedict, ext 2592 Legal Ad Notice TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 9fi8-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To conduct a public hearing on a report on the calculation of maximum permissible public school impact fees that consider differentiated fees based on housing type. BACKGROUND: The Orange County Educational Facilities Impact Fee Ordinance was adopted on June 7, 1993, and impact fees were set at $750 per newly constructed residential dwelling unit (regardless of type) for both the Orange County and Chapel Hill-Carrboro School Districts. The ordinance has been amended several times since 1993 and impact fees are currently $750 for the Orange County School District and $3,000 for the Chapel Hill-Carrboro School District. A concern voiced at past public hearings was that different housing types (e.g. apartments vs. single family homes) generated students at varying rates and that impact fees should be proportional to the demand created rather than across-the-board. A recent technical study prepared by Tischler & Associates has been drafted to determine a maximum supportable impact fee per housing unit for each school district, taking into consideration different types of housing units. That report will serve as the basis for an evaluation of impact fees for both the Orange County and Chapel Hill-Carrboro school systems and of possible changes to the current fees. Paul Tischler of Tischler and Associates and Planning Director Craig Benedict presented preliminary findings of the~Tischler ~ Associates report at the February 8 Schools and Land Use Councils meeting. FINANCIAL IMPACT: There is no direct financial impact associated with the presentation of this report at the public hearing. Adoption of higher impact fees at some point in the future could help reduce the amount of funding from other sources needed for canstructian of school facilities. a•\rraia\ahctrartc\imnartfwacahctrart rlnt\7 74_(11\oh ~.~ RECOMMENDATION(S): hearing on the report. No The Administration recommends that the Board conduct a public decisions are required at this time. g:\craig\abstracts\impactfeesabstract. dot\ 1-24-01 \gb D. PUBLIC SCHOOL IMPACT FEES Effective July 1, 1993, the Board of County Commissioners established a system of impact fees to help fund a portion of the school capital needs created by growth in the county. Since that date, an impact fee has been collected for each new housing unit constructed or installed in the county, including single-family homes, multi family housing units, apartments, and mobile homes. Fees collected in the Chapel Hill-Carrboro School District are deposited in a special account and used exclusively for the construction of new school facilities in that district. The same is true for fees collected in the Orange County School District. The impact fee supplements funds provided by the County from sales tax and property tax revenues for school capital projects. The public school impact fee collected is now $750.00 for each new residential unit located in the Orange County School District and $3,000 for each new residential unit located in the Chapel Hill-Carrboro School District. The Board of County Commissioners recently employed a consultant to evaluate the potential far a public school impact fee rate structure that could legitimately be the basis for a less regressive fee structure based on charging a different fee amount for different housing types. Also, the Orange County Board of Education has recently requested that the Orange County Board of Commissioners increase the amount of the fee for new residential dwelling units located in the Orange County School District. The 2001 Technical Report prepared by the consultant concluded that there was a legitimate basis for charging one fee for single family homes and a lower fee for all other residential dwelling units. The Report reflects new demographic data concerning the number of students per household and recommendations of the School Facilities Construction Standards Work Group, and calculates MAXIMUM fees that could be charged as follows: Maximum for Maximum for all other single-family residenial homes units Orange County School District $5,375 $2,538 Chapel Hill-Carrboro School District $7,374 $3,304 The Board of Commissioners will consider whether or not to change public school impact fees following the February 26, 2001 public hearing. THE MAXIMUM LEGALLY PERMISSIBLE FEES CALCULATED IN THE REPORT OF THE CONSULTANT ARE NOT A PROPOSAL TO CHARGE THOSE FEES. Any change in the present fees will be determined by the Board of Commissioners following public comment at the public hearing and otherwise. In no event will public school impact fees be changed to an amount or amounts that exceed the maximums determined by the 2001 Technical Report. ~~ s ~, Cra B g enedict - OCScIiFee:doc ~ f ., Page ~~~ School Impact Fees Orange County, North Carolina February 12, 2001 Prepared By Tischler ~ Associates, Inc. Bethesda, Maryland ---n..,- Crai Benedict - OCSchFee.doc ~ -. ". . ~ Page ~.~ ~: Table of Contents I_ Executive Summa 1 Fi ure 1 -Public 5choo/ Im act Fee Methodolo Chart 2 Figure 2 -School Impact Fees Per Housing Unit 3 II. Demand Generators 4 Fi ure 3-Aran e Coun Pro-ections Summa 4 Figure 4 ~ Orange County District Student Generation Rates 5 FlgUre 5 -- Chapel Nill -Carrboro District Student Generation Rates 5 III. Public School Impact Fees g ', A. Buildin and Site Area Standards g II Fi ure 6 -- Invento of Oran e Coun District Schools 7 Figure 7 -Inventory of Chapel Hill -Carrboro District_Schools 9 B. Cast of School Sites 10 Figure 8-Recent Site Acquisition by District 10 C. School Project Cost 11 Figure 9 -Project Costs for New Schools 11 D. Cost of Relocatable Classrooms 11 E. Administrative Buildings Cost 12 I'll Figure 10 -School Administrative Facilities 12 F. Transportation Support Facilities & Vehicles Cost 13 Figure 11-Transportation Su ort Facilities & Vehicles 13 G. Credit for Future Revenues 1~ Figure 12 -Principal. Payment Credit Per Student 15 H. Maximum 5u ortable Im act Fees for Public Schools 16 Figure _13 -- Orange County District School Impact Fees 16 Fi ure 14 - Cha el Hill -Carrboro District School Im act Fees 17 IV. Implementation and Administration 18 V. Appendix A -Cash Flow Analysis 20 ~ raig Benedict - dGSchFee.doc ~ ~ ~ Page' 3 ~~Z Fipure A1-Demographic Data 20 Figure A2 -School Facilities Needed 21 Fipure A3 -Orange County District Cash Flow Summary 22 ~ Fipure A4 -Chapel Hill - Carrboro District Cash Flow Summary 23 VI. Appendix B -Student Generation Rates and Projections 24 M . ` g... .. " . .... ~.. . rai enedict O SchFee.do vP, „m~, c Page ~_~~ School Im act Fees Orange County, North Carolina Executive Summary Tischler & Associates, Inc. (TA) calculated school impact fees for Orange County, North Carolina based on data for the current school year (2000-2001). Impact fees are one- time payments that are used to construct public facilities needed to accommodate new development. Impact fees are proportionate to the school capital facility service demands for two categories of residential development. The impact fee methodology establishes an equitable allocation of the costs in comparison to the benefits received (i.e., capital improvements to be provided by either Orange County or Chapel Hill Carrboro School District). The school impact fee methodology is based on current public school student generation rates, local costs, and level of service standards. Figure 1 illustrates the methodology used to calculate the fee. The basic formula used to derive the impact fee for both school districts is to multiply student generation rates by the net capital cost of public schools per student. To avoid potential double payment for school facilities, a credit for future principal payments on existing General Obligation bonds is reflected in the maximum supportable impact fee per housing unit. Impact fees will address the cost of five different types of facilities, including school sites, school buildings (i.e., total project cost), relocatable classrooms, support buildings and vehicles used by the SCh~aol DlstrlCtS. Section II of this report discusses development projections and student generation rates used in the impact fee calculations. Section III of the report documents each cost factor and Level-Of-Service (LOS) standard used to derive the school impact fees. The final section of this report discusses implementation and administration of the fees, including a cash flow analysis (See Appendix A) and a memorandum on the methodology used to derive the student generation rates (see Appendix B). 4 9 .. rai Benedict - OCSch ee.doc ~ A ~ age 5 ~~~ School Impact Fees Orancre County, North Carolina Figure 1 -Public School Impact Fee Methodology Chart 5 Craig Benedict - OCSchFee.doc ~ ~ ' .._v,.. ~.~~_ Page ~~~ School Im act Fees Prange County, North Carolina Public School Students Per Housing Unit multiplied by Net Capital Cast Per Student Land Cost plus Relocatable Classroom Cost plus Vehicles Cost plus Local Share of School Project Cost plus Support Buildings Cost minus Principal Payment Credit 6 K raig Benedicf - bCSchFee. oc ~ ~ ~ Page 7 ,~ . Crai Benedict - OCSchFee.dac ~ ~ age 9 ~w,._.~„ _ ~ ~,.. , ~I School fact Fees Orange County, North Carolina Based on the above methodology, the maximum supportable school impact fees for both the Orange Caunty and Chapel Hill - Carrbaro Districts are shown in Figure 2 below. The current fee schedule does not differentiate by type of housing. Under the proposed fee schedule, a higher fee is imposed an single-family detached houses due to higher student generation rates. Figure 2 -School Impact Fees Per Housing Unit ~ Chapet H''1LC' ~::-. - CarrGvrai ;• > ~`Dislrief ('arrant Fee S Ingle P amity Detached $750 $3,000 All Other Residential $750 $3,000 Maximum Supportable Fee Single Family Detached $5,364 $7,345 All Other Residential $2,539 $3,298 Demand Generators The primary indicators of the need for additional, growth-related school facilities are projections of housing units and public school students, as measured by Average Daily Membership (ADM). The memo found in Appendix B provides a detailed explanation of the demographic data Shawn in Figure 3. Figure 3 -Orange County Projections Summary 8 Craig Benedict - CSchFee.doc . ..... Page 9 ~~~ School Im,oact Fees I ~~ 2001 2006 2011 ~i Population 116,217 127,928 139,639 Housing Units 55,000 61,007 67,015 Households ' 45,819 50,824 55,829 Pub 5ch ADM 15,841 17,888 20,259 Oran a Coun North Carolina 2001 to 2011 Average Annual Increase Growth Rate 2,342 2.0% 1,202 2.2% 1,001 2.2% 442 2.8% ~, Orange County Growth Indicators ~~~u-- ~~rr~m~~ 160,000 140,000 -- ---__ -_ .:° - - - - ~-__.... _~: ~• 120,000 - ~ - • + -~Y... ~..__ 100,000 _,... __._ _.._ _..._~- 80,000 -•- ---- -- _ 60,000 ._.... - ' 40,000 ------ ---- __ ...-_ ~ ~_.._. 20,000 - - ---- I ', o ~~, 2001 2006 2011 - f -Population --Housing Units -•~~Household5 1-Pub Sch ADM .. .... . - ee.doc . .. ... , ...., ~ .. u _ . . Craig Benedict t C7CSchF Page 1 ~~~ School Impact Fees Orange County, Narth Carolina TA obtained a custom, cross-tabulation of 1990 sample data (i.e., "long-form" responses) from the U.S. Census Bureau to determine the number of public school students by type of housing and type of school. The 1990 distribution of students by type of housing and type of school was adjusted according to current housing unit estimates and ADM data by school district. The multipliers shown below are public school students, a subset of school-age children, per housing unit (i.e., occupied plus vacant units). The student generation rates for Orange County School District are shown in Figure 4. Figure a -Orange County District Student Generation Rates Public Schop[ Students Per Housing Unit in pC District, SY00-01 Edem entary Ntiddle High All Grades S Ingle F amily Detached All Other Residential All Hsg Types (blended) 0.150 0.075 0.084 0.084 0.033 0.030 0.140 0.068 0.076 0.309 0.147 0.284 Figure 5 indicates public school students per hauling unit in the Chapel Hill -Carrboro District. Figure 5 ~- Chapel Hill -Carrboro District Student Generation Rates Public Schooi Students Per Housing Unit in CHC District, SY00-01 Elementary l~fiddle High All Grades Single Family Detached All Other Residential All Hsg Types (blended) 0.168 0.095 0.123 0.094 0.042 0.043 0.134 0.070 0.086 0.386 0.179 0.290 See Appendix B for a mare thorough discussion of the demographic data used in the impact fee study. 10 ,_ ; . .. , . g Page11~ Crai Bene ict - O Sch ee.doc ~~~ Schaal Impact Fees Orange County. North Carolina Public School Impac# Fees The recommended public school impact fees are based on local data and existing level of service standards. These factors are explained in the following paragraphs and tables. Building and Site Area Standards Figures 6 and 7 provide inventories of existing public schools in Orange County. The data contained in these tables are used to derive LOS standards for school sites, buildings and relocatable classrooms. The LOS standards are then used to determine capital costs per student in the impact fee calculations. Based on TA's experience, jurisdictions usually conclude that it is better to adopt impact fees based on current standards rather than desired levels of service. The latter approach creates existing deficiencies that must be corrected in a reasonable time frame from non-impact fee funding. An inventory of Orange County District schools is shown in Figure 6. Elementary school buildings have 401,254 square feet of floor area accommodating an elementary ADM of 3,078 students. Dividing the total building area by the number of students yields a standard of 130 square feet of school building per elementary student. The average elementary school site in the Orange County District is 21 acres. Also, the average elementary school has only one relocatable classroom, or mobile unit. Middle school buildings have 244,970 square feet of floor area accommodating an ADM of 1,504 students. Dividing the total building area by the number of students yields a standard of 163 square feet of school building per middle school student. The average middle school site in the Orange County District is 46 acres. Also, the average middle school has four relocatable classrooms, or mobile units. 11 fg.-Bari .... , ..., ...... .. ..... ...... . .. ~.. edict - OCSchFee. oc Page a ~~~ School Impact Fees Orange Countv, North Carolina The current high school has 213,509 square feet of floor area accommodating an ADM of 1,672 students. Dividing the total building area by the number of students yields a standard of 128 square feet of school building per high school student. Although this LOS standard will increase significantly with the opening of the new high school, TA has taken a conservative approach by deriving the impact fees based on the current standard. The current high schaal site in the Orange County District is 92 acres and there are two relocatable classrooms, or mobile units. Figure 6 -- Inventory of Orange County District Schools 12 Schoa~Fees Oran a Coun North Carolina Elementary Site Building Mobile State Oct. 2000 Average School Acreage Square Feet Units Capacity Daily Mem bershin Cameron Park 19.0 70,812 1 598 Central 22.0 61,382 0 483 Efland Cheeks 31.0 65,084 1 529 Grady frown 18.0 75,016 2 575 Hillsborough 10.0 ' 28,796 0 414 New Hope 26.0 100,164 0 621 local tLO.u 4U1,L]4 4 3,zzu 3,078 Average 21 66,87b 1 537 L05 Per Student 0.0409 130 0,0013 96% of capacity ~ Middle Site Building Mobile State Oct. 2000 Average ~ School Acreage 'Square Feet Units Capacity Daily Membership ~ Stanback 35.9 136,000 1 740 Stanford 57.0 108,970 6 726 l ptal yL,y L44,y%U 7 1,466 1,504 Average 46 122,485 4 733 LOS Per Student 0.0618 163 0.0047 103% High Site Building Mobile State Oct. 2000 Average School Acreage Square Feet Units Capacity Daily Mem bershiD Orange High 92.0 213,509 2 1,518 Total 92.0 213,509 2 1,518 Average 92 213,509 2 1,518 LOS Per Student 0.0550 128 0.0012 110% 1,672 13 l P a .. g ne ict - OCScfil=ee.doc "° ` " ' rai a ... :: " . ~_~~~~~ Page School Impact Fees Orange County. North Carolina An inventory of Chapel Hill -Carrboro District schools is shown in Figure 7. Elementary school buildings have 559,073 square feet of floor area accommodating an elementary ADM of 4,419 students. Dividing the total building area by the number of students yields a standard of 127 square feet of school building per elementary student. The average elementary school site in the Chapel Hill -Carrboro District is 12.9 acres. Also, the average elementary school has three relocatable classrooms, or mobile units. Middle school buildings have 352,437 square feet of floor area accommodating an ADM of 2,325 students. Dividing the total building area by the number of students yields a standard of 152 square feet of school building per middle school student. The average middle school site is 32 acres and has only one relocatable classroom. High schools in the Chapel Hill -Carrboro District have 499,782 square feet of floor area accommodating an ADM of 2,$43 students. Dividing the total building area by the number of students yields a standard of 176 square feet of school building per high school student. The average high school site in the Orange County District is $0 acres, with six relocatable classrooms. Figure 7 -Inventory of Chapel Hill -Carrboro District Schools 14 Elementary Site Building Mobile Stale Oct. 2000 Average School Acreage Sguare Feet Units Capacity Daily Mem bership Carrboro 20.8 61,562 1 563 E hesus 13.2 73,096 7 472 Estes hills 57,029 1 549 FP Graham 10.8 65,365 2 570 Glenwood 10.1 54,412 4 445 McDougle 11.7 98,000 0 596 Scroggs 13.1 90,980 0 510 Seawell 10.9 58,629 6 498 j Total 90.6 559,073 21 4,203 4,415 Average 12.9 ' 69,884 3 525 ~, LOS Per Student 0.0205 127 0.0048 105% of capacity i Middle Site Building Mobile State Oct. 2000 Average School Acreage Sguare Feet Units Capacity Daily Membership Culbreth 35.6 104,798 0 670 Mcbougle 28.3 13$,141 2 732 Phillips 33.0 109,498 0 706 Total 96.9 352,437 2 2,108 2,325 Average 32 117,479 1 703 LOS Per Student 0.0417 152 0.0009 110% High Site Building Mobile State Oct. 2000 Average School Acreage 'Square Feet Units Capacity Daily Mem bership Cha I Hill 85.3 243,834 6 1,520 East Cha I Hill 74.8 255,948 1,515 Total 160.1 499,782 6 3,035 2,843 Average 80 249,891 6 1,518 LOS Per Student 0.0563 176 0.0021 94% 15 School Impact Fees Orange County, North Carolina ., ~ Crai Benedicf - --", _ g OCSchFee:doc~ Page 1 School Impact Fees Cost of School Sites Oran a Count North Carolina As indicated in Figure 8, the average cost per acre for school sites acquired in recent years is approximately $13,000 per acre in the Orange County District and $24,000 per acre in the more urbanized Chapel Hill -Carrboro District. Figure 8 -Recent Site Acquisition by District Orange County District School Year Cost Acres Cost Per Acre New OC listrict HS 1999 $650,000 71.0 $9,155 5tanback 1992 $722,190 34.4 $20,994 5tanback Addition 1999 $85,000 8.2 $10,366 New Hope E5 1988 $430,630 28.5 $15,110 TOTAL $1,887,820 142.1 $13,285 Chapel Hill -Carrboro District School Year Cost Acres Cast Per Acre East Chapel Hill HS 1992 $1,850,000 74.8 $24,733 McDougal 1990 $900,050 40.0 $22,501 TOTAL $2,750,050 114.8 $23,955 16 i Craigwl3enedict - UC ch ee.doc ~ Page 17 ~ School Impact Fees School Project Cost Orange County,_North Carolina School District staff provided the anticipated total project cost for five new schools, which are listed in Figure 9. The weighted average project cost is $141 per square foot for all types of schools. Project costs include design fees, site work, building construction and furniture/equipment costs. Although funding from the State of North Carolina is rarely available, impact fees are based on the local share of school project costs, which is 93% of the total. Figure 9 _ Project Costs for New 5choo/s 17 .. ..... j rai ene ict - SchFee.doc -~ .. Page School Imn,act Fees School Year Project Elementary Schools Orange. Counttr,_ North Carolina Total Square Tatal Cast State Cost Feet Per Sq Ft Funding (rounded) Allocated Pathways 2000 $12,737,720 85,282 CHC ES 2003 $13,712,000 90,980 Subtotal $26,449,720 176,262 $150 Middle Schools New OC District 2003 $20,000,000 132,192 Smith 2001 $19,800,000 132,192 subtotal $39,800,000 264,384 High Schools New OC District 2002 $25,000,000 206,900 Subtotal $25,000,000 206,900 $151 $121 All Schools $91,249,720 647,546 $141 Percent from State Funding (all schools) Local Share of Schwl Project Costs Cost of Relocatable Classrooms $5,980,160 $5,980,160 $0 $o $5,980,160 7% 93% School District staff provided the current cost of $60,000 to purchase and set up a relocatable classroom, including site work and utilities. Administrative Buildings Cost Figure 10 provides data on office buildings currently used to support public schools. The Orange County District Support Services and Board of Education buildings have an 18 .... ralg Bene ict - O SchFee.doc ~ ~ , ~ ~ Page 19 ~~ School Impact Fees Prange County,_ North Carolina estimated replacement cost of $2.3 million. An average cost approach allocated the replacement cost of administrative buildings to the current average daily membership in Qrange County District schools, to yield an average cost of $369 per student. The main office building for the Chapel Hill -- Carrboro District is located at the Lincoln Center. The estimated replacement cost of this building ($3.05 million) was allocated to the average daily membership to yield an average cost of $318 per student for administrative facilities. Figure 10 -School Administrative Facilities Orange County District Administrative Facilities Location Square Cost Per Replacement Feet Square Foot Cost Hillsborough Sup Svs 14,770 $110 $1,624,700 OCS BdofEdBldg 6,210 $110 $683,100 -rnr er 2n_9R0 $2.307.800 Proportionate 2001 Cost per Share DemandUnits DemandUnit Residential 100% 6,254 Avg Daily Members $369 Nonresidential 0% Chape t - arr oro rstrrct mrnrstratrve act etres Location Square Cost Per Replacement Feet Square Foot Cost r :_,...~_ r~e..ao.. n,r.,:., u,,;ia;.,,, 77 7')ri P 1 10 $3.049.860 Proportionate 2001 Cost per Share DemandUnits DemandUnit Residential 100% 9,587 Avg Daily Members $318 Nonresidential 0% Transportation Support Facilities 8~ Vehicles Cost 19 4 w e, School Impact Fees Orange Caunty, North Carolina Transportation support facilities and vehicles represent another major capital cost item necessary to accommodate new development. Orange County School District provides bus maintenance and transportation support facilities for both school districts. There is also a small transportatian center in Chapel Hill. The estimated replacement cost of these facilities ($1.7 million) was allocated to the countywide ADM to yield an average cost of $108 per student for transportation support facilities. In addition, the impact fee calculations include an average cost of $304 per student for school vehicles. The cost of vehicles in Orange County District was used as a proxy for vehicle costs in Chapel ~' Hill - Carrboro District. Impact fee revenue for vehicles may only be used to expand the fleet to meet growth-related needs. Operating and maintenance costs, as well as vehicle replacement costs, are not eligible for impact fee funding. ~i Figure 11-Transportation Support Facilities 8 Vehicles zo e 1 ai enedict - C7~S .. Pag '2 Cr g cti~ee.doc ~ 4 D .~.~.__ - _~.. __.. _ _. School Impact Fees Dran a Count North Carolina Countywt a rausportatiou uppart act itres Location Square Cost Per Replacement Feet Square Foot Cost QC Maintenance Facility 17,559 $50 $877,950 QC Transportation Facility 11,704 $50 $555,200 Transportation Center at CHHS 5,089 $50 $254,450 •rnT ei 34.352 $1.717.600 Proportionate Share 2001 Demand Units Cost per Demand Unit Residential 100% 15,841 Av Daily Members $108 Orange aunty tstrtct a ec es Type of Vehicle, Light TrucksNans Cars Heavy Trucks Activity B uses 'P l1T Ai Units in Local Cost Replacement Service Per Unit Cost 21 $26,700 $560,700 12 $16,300 $195,600 3 $48,700 $146,100 14 $71,400 $999,600 50 R3R_040 $1.902.000 Proportionate Share 2001 DemandUnits Cost per Demand Unit Residential 100% 6,254 Avg Daily Members $304 Credit for Future Revenues A general requirement that is common to impact fee methodologies is the evaluation of credits. A revenue credit may be necessary to avoid potential double payment situations arising from the payment of a one-time impact fee plus the payment of other revenues that may also fund growth-related capital improvements. The determination of credits is dependent upon the impact fee methodology used in the cost analysis. There are three basic approaches used to calculate impact fees and each is linked to different credit methodology. 21 /'.. ~ Craig aeneaicj - v~,acnree.aoc Page School Impact Fees ~ Orange County. North Carolina The first major type of impact fee method is a buy-in approach. This method is used for facilities that have adequate capacity to accommodate new development for at least a five to six year time frame, which is the typical horizon for a Capital Improvements Plan (CIP). The rationale far the buy-in approach is that new development is paying for its share of the useful life or remaining capacity of the existing facility. When using the buy-in approach, a question in the evaluation of credits is whether new development has already contributed toward the cost of existing public facilities (i.e., a past revenue credit). Outstanding principal and interest payments are typically subtracted from the value of the asset that was oversized for new development. The second basic approach used to calculate impact fees is the incremental expansion cast method. This method documents current LOS standards and it is best suited for public facilities that will be expanded incrementally in the future. Because Orange County will continue to provide additional schools that are similar to those already in use, the incremental expansion cast method is appropriate for public schools. There is a potential for double payment of capital costs due to up-front payment of impact fees and on-going principal payments an existing General Obligation bonds for schools. A credit is not necessary far interest payments because interest casts were not included in the impact fee calculations. The third basic approach used to calculate impact fees is the plan-based method. This method is based an future capital improvements needed to accommodate new development. The plan-based method may be used for public facilities that have commonly accepted service delivery standards to determine the need for future projects (e.g., water and sewer systems) or the jurisdiction plans to significantly increase it current LOS standards and it has a financially feasible strategy to cover the cost of existing deficiencies. If a plan-based approach is used to derive impact fees, the credit evaluations should focus on future bonds and revenues that will fund planned capital improvements. 22 School Impact Fees Oran a Count North Carolina Given the incremental expansion cost approach used to derive school impact fees, Orange County should consider a credit fior future principal payments on existing General Obligation bonds, as shown in Figure 12. New residential units that pay school impact fees in the latter half of this calendar year will also contribute to future principal payments that will be paid from property tax revenue beginning in 2002. To' account for the time value of money, annual principal payments per student are discounted using a net present value formula. Figure 12 -Principal Payment Credit Per Student Fiscal 1993 Series 1993 Series 1994 Series 2000 Series 2001 Series Students Credit Per Year (1992 Band) (1988 Bond) (1992 Bond) (1997 Bond) (1997 Bond) (FTE) Student 2D02 2003 2004 2005 2006 2007 2008 2009 2010 2011 $1,100,000 $1,3$1,650 $1,300,000 $799,468 $287,864 15,990 $1,100,000 $1,366,550 $1,300,OD0 $891,892 $287,864 16,465 $1,100 000 $1,347 675 $1,300,000 $984,316 $287,864 16,939 $1,100,000 $1,332,575 $1,300,000 $1,076,740 $287,864 17,413 $1,100,000 $1,317,475 $1300,000 $1,1D9,0$8 $287,864 17,888 $1,100,000 $1,298,600 $'1 300 ODO $1,386,360 $287,864 18,362 $1,1DD,000 $1,279,725 $1,300 000 $1,571,208 $354,809 18,836 $1,100,000 $1,257,075 $1,300,000 $1,756 056 $488,699 19,311 $1,1D0,000 $1,238 200 $1,300,000 $2 033 328 $622,589 19 785 $1,100,000 $1,300,000 $2,033,328 $622,589 20,259 $304 $300 $296 $293 $286 $293 $298 $306 $318 $250 TOTAL $11,000,000 $11,519,525 $13,000,000 $13,641,784 $3,$15,870 $2,943 Discount Rate 5.50% Net Present Value $2,224 23 ~_ Craig Benedict - ~CSchFe ... ., .. w . . e. oc Page 2 School Impact Fees Orange County, North Carolina Maximum Supportable Impact Fees for Public Schools The key factors used to derive school impact fees for the Orange County School District are summarized in Figure 13. Student generation rates (i.e., public school students by type of housing and school) are multiplied by the capital cost per student to yield the maximum supportable impact fee by type of housing. The impact fee schedule shown below includes the recommended credit for future principal payments on General Obligation bonds used to construct school facilities. Figure 73 -Orange County District School Impact Fees 24 i ._ Cralg enedict - OCSchFee.doc . ~ _. . . ~ . page 25~ I 1 Schoohlm act Fees Public School Students Per Household S Ingle F amity Detached All Other Residential All Housing Types (blended) Current Level Of Service Standards Acreage Per Student Land Cost Per Acre Land Cost Per Student Square Feet Per Student School Project Costs Per Square Foot Local Share of School Project Cost School Project Cost Per Student Relocatable Classrooms Fer 1,000 Students Cost Per Relocatable Classroom Relocatable Classroom Cost Per Student Administrative Facilities Cost Per Student Transp Support & Vehicles Cost Per Student Principal Payment Credit Per Student Net Capital Cost Per Student Maximum Supportable Impact Fee Per Hou Single Family betached All Other Residential Ora~e_County, North Carolina Type of School em entary r e rg TOTAL K-5 6-8 9-I Z 0.150 0.075 0.084 0.084 0.033 0.030 0.140 0.068 0.076 $532 ~ $803 ~ $715 $17,094 I $21,358 I $16.744 0.309 0.147 0.284 $78 $279 $72 $2,439 $1,574 $1,351 $5,364 $1,365 $692 $482 $2,539 $369 $369 $369 $412 $412 $412 $16,261 $20,997 $16,088 nrt TOTAL 25 ...._., „~, ,..,~~ao.~, .,.::.. ... , ..... ~. ~ ~. ~..... r' Craig enedict - CSchf=ee.doc ~ _., Paae ~ School Impact Fees Orange Caunty, North Carolina s i The key factors used to derive school impact fees for the Chapel Hill -Carrboro School District are summarized in Figure 14. Student generation rates (i.e., public school students by type of housing and school) are multiplied by the capital cost per student to yield the maximum supportable impact fee by type of housing. The impact fee schedule shown below includes the recommended credit for future principal payments on General Obligation bonds used to construct school facilities. There are two impact fee schedules because the following key factors vary by district: student generation rates, site acreage and land costs, floor area of school buildings per student and the number of relocatable classrooms per student. Figure 14 -- Chapel Hill -Carrboro District School Impact Fees Z6 raig Benedict - OCScFil=ee.doc ~ ~ age 27 ~~~ r~- .... School Imraact Fees Public School Students Per Household S Ingle F amily Detached All Other Residential All Housing Types (blended) Current Level Of Service Standards Acreage Per Student Land Cost Per Acre Land Cost Per Student Square Feet Per Student School Project Costs Per Square Foot Local Share of School Project Cost School Project Cost Per Student Relocatable Classrooms Per 1,000 Students Cost Per Relocatable Classroom Relocatable Classroom Cost Per Student Administrative Facilities Cost Per Student Transp Support & Vehicles Cost Per Student Principal Payment Credit Per Student Orange Count' North Carolina Type ofSchool em entary r e eg TOTAL K-5 6-8 9-12 0.168 0,095 0.123 0.094 0.042 0.043 0.134 0.070 0.086 ' . ;, ;..~ • d' as .'t: •n y : u:M.Hi , ~h~~„~~~~~r~, ~4 ,~., ~ , •~ $285 $52 $127 $318 $318 $318 $412 $412 $412 0.386 0.179 0.290 Net Capital Cost Per Student $15,873 $19,435 $23,035 Maximum Supportable Impact Fee Per Housing nrt TOTAL Single Family Detached $2,666 $1,84b $2,833 $7,345 All Other Residential $1,492 $816. $990 $3,298 Implementation and Administration TA recommends that Orange County adhere to the following accounting practices. Impact fees should be placed in a separate fund and accounted for separately and only used for the purposes authorized by the Orange County impact fee ordinance. Interest 27 ..... .. ... Craig Benedict- OCSchFee.doc ~ ~ Page ,. ..,~r. ~. ~_ ~ ~'~ School Impact Fees Orange County, North Carolina earned on the separate fund should be credited to the fund. School District staff should prepare an annual statement on impact fee collections and expenditures. All costs in the impact fee calculations are given in current dollars with no assumed inflation rate over time. Necessary cost adjustments can be made as part of the recommended evaluation and update of fees, every two to five years. In the interim years between updates, Orange County may adjust for inflation in construction costs by means of an index like the one published by engineering News Record (ENR). This index, which is available on the internet, may be applied against the adopted fee schedule. If cost estimates change significantly, Orange County should redo the fee calculations. If a specific development proposal is expected to have significantly different demand generators than those used in this study, Orange County may allow or require a developer to submit an independent impact fee analysis with adequate documentation of alternative factors. Administrative procedures for the independent analysis should be included in the ordinance that implements the impact fees. Specific policies and procedures related to site-specific credits should be addressed in the ordinance that establishes the school impact fees. Project improvements normally required as part of the development approval process are not eligible for credits against impact fees. If a developer constructs or provides a system improvement that was ' included in the fee calculations, it will be necessary for Orange County to either reimburse the developer or provide a credit against the fees in the area that benefits from the system improvement. The latter option is more difficult to administer because it creates unique fees for specific geographic areas. Based on TA's experience, it is better for the County to establish a reimbursement agreement with the developer that constructs a system improvement. The reimbursement agreement should be limited to a payback period of no more than ten years and the County should not pay interest on Z8 != raig Sene ict = bCSchF'ee.doc ~~.,~_~~ .; Page 29 S4 School Im,vact Fees Orange County. North Carolina the outstanding balance. The developer must provide sufficient documentation of the actual cost incurred for the system improvement. Orange County should only agree to pay the lesser of the actual capital cost or the estimated cost used in the impact fee analysis. If the County pays more than ,the cost used in the fee analysis, there will be insufficient fee revenue. Reimbursement agreements should only obligate Orange County to reimburse developers annually according to actual fee collections from the benefiting area. ~' Appendix A -Cash Flow Analysis The cash flow analysis documents projected capital costs and revenues for public schools based on the growth forecast for Orange County. Actual costs and revenues will vary with fluctuations in building permit activity. Also, the projected capital costs are only a portion of total capital projects, which may include renewal and replacement items (e.g., replacing the roof on an existing school). Detailed demographic data used in the cash flow model are summarized in Figure A1. See Appendix B for an explanation, of projection methods and data sources. Figure A7 -Demographic Data 29 R T'r~in Ranarlir-t - (~CSrhl=aa rlnr. School Impact Fees Q,-anQe County, North .Carolina Orange County, North Carolina Year=~ 1 2 3 4 S 2001 2002 2003 2004 2005 2006 DEMAND P120JECTIONS (cumulative) P POPULATION 116,217 118,560 120,902 123,244 125,586 127,928 H HOUSEHOLDS 45,819 46,820 47,821 48,822 49,823 50,824 RT Total Residential Units 55,000 56,201 57,403 58,604 59,806 61,007 Rl 5ingle Family Detached 27,280 27,876 28,472 29,068 29,664 30,260 R2 AIIOtherResidential 27,720 28,326 28,931 29,537 30,142 30,748 DBI Total Avg Day Mmbrshp 15,841 16,153 16,465 16,939 17,413 17,888 D62 Orange Co District ADM 6,254 6,410 6,567 6,723 6,579 7,036 D$3 Chapel Hill - Carrboro ADM 9,587 9,743 9,898 10,216 10,534 10,852 DB4 4 /° OC SFD Hsg Units 10,912 11,150 11,389 11,627 11,866 12,104 DB5 40% OC Other Hsg Units 11,088 11,330 11,572 11,815 12,057 12,299 DB6 60% CHC SFD Hsg Units 16,368 16,726 17,083 17,441 17,798 18,156 DB7 60% CHC Other Hsg Units 16,632 16,995 17,359 17,722 18,085 18,449 DB8 0.309 OC Students From New SFD 74 74 74 74 74 D69 0.147 OC Students From New Other 36 36 36 36 36 DB10 OC ADM inc From New HU 70% 70% 70% 70% 70% DBI l CHC Students from New SFD 138 138 138 138 138 DB12 ~ 0.179 CIiC Students from New Other 65 65 65 65 65 DB13 CHC ADM Inc From New HU 131% 131% 64% 64% 64% so raig f3enedict - dCSchFeedoc .. Rage 31 ; 5choollmpactFees Oran4e County, North Carolina Figure A2 indicates the projected need for school sites, building space and relocatable classrooms due to the projected ADM increase. LOS standards used to calculate the school fees were also used to project the need for capital improvements. The cash flow analysis indicates the average annual demand for additional facilities. The actual CIP for school construction is "lumpy" due to the construction of an entire school; followed by several years of no construction' activity. Figure A2 -School Facilities Needed 31 School Impact Fees Orange County, .North Carolina Orange County, North Carolina Year=~ 1 2 3 4 S 2001 2002 2003 2004 2005 2006 Cumulative Facilities Needed Cl OC Sch Acreage 310.8 318.6 32b.4 334.1 341.9 349.7 C2 OC Sch $ldg Sq Ft 856,798 878,218 899,638 921,058 942,478 963,898 C3 OC Relocatables 13 13 14 14 14 15 C6 CHC Sch Acreage 348.0 353.7 359.3 370.8 382.4 393.9 C7 CHC Sch $ldg Sq Ft 1,409,289 1,432,153 1,455,017 1,501,755 1,548,492 1,595,230 C8 CHC Relocatables 29 29 30 31 32 33 Additional Facilities Needed Total C1 OC Sch Acreage 8 8 8 8 8 39 C2 OC Sch Bldg Sq Ft 21,420 21,420 21,420 21,420 21,420 107,100 C3 OC Relocatables 0 1 0 0 1 2 C6 CHC Sch Acreage 6 6 12 12 12 46 C7 CHC Sch Bldg Sq Ft 22,864 22,564 46,738 46,737 46,738 185,941 C8 CHC Relocatables 0 1 1 1 1 4 Pay As-Yau-Co Expenditures Cumulative 1000 's of dollars Total Cl OC Sch Acreage $101 $101 $100 $101 $101 $506 C2 OC Sch Bldg Sq Ft $2,809 $2,809 $2,809 $2,809 $2,809 $14,044 C3 OC Relocatables $0 $60 $0 $0 $60 $120 C4 OC Admin Bldgs $58 $58 $58 $58 $58 $289 C5 OC Transp Fac &Veh $64 $65 $64 $64 $6S $322 C6 CHC Sch Acreage $137 $134 $276 $278 $276 $1,102 C7 CHC Sch Bldg Sq Ft $2,998 $2,998 $6.129 $6,129 $6,129 $24,382 C8 CHC Relocatables $0 $60 $60 $60 $60 $240 C9 CHC Admin Bldgs $50 $49 $101 $101 $101 $402 CIO CHC Transp Fac &Veh $64 $64 $131 $131 $131 $521 32 - ~~:~cnree. ~., . School Impact Fees Oran a Coun North Carolina '~, As shown in Figure A3, annual school impact fee revenue in Orange County School District is expected to average $1.89 million over the next five years. The five types of capital casts shown below correspond to the individual cost components in the school impact fee calculations. The major capital component is for school buildings, with a projected average annual expenditure of $2.8 million. Based solely on impact fee ~' revenue, Orange County School District faces a projected deficit of approximately $1.16 i million per year for capacity-related capital improvements. The table below indicates the local cost of facilities (i.e., paid for by Orange County) needed to accommodate the projected ADM increase. In the Orange County District, i additional residential units only account for approximately 70% of the projected ADM increase. The remaining students come from existing residential units (both natural increase and new residents moving into existing housing). As shown below, Orange County District has a current impact fee fund balance of approximately $69,000. Figure A3 -Orange County District Cash Flow Summary 33 -~-- Craig Benedict - OCSchFee doc Page __ u....w.._.~.,, .. . School impact Fees Orange County, North Carolina TA Demographic Data 2/12101 Qran a Coun North Carolina (Curren15 in thousandsy 1 2 3 4 5 Cumulative Averaga 2002 2003 2004 2005 2006 Total Annual 1 OC Sch Fee - SFD 51,279 $1,279 81,279 $1,279 $1,279 $6,393 $1,274 2 OC Sch Fee -Other Res 8615 $615 $615 8615 8615 $3,075 $615 Tota! Irnpacf Fee Revenue $1,894 1,894 1, 4 1, 1,894 $9,468 $1,894 OC School Sites $101 $101 $1D0 $101 51 I $506 $101 OC School Buildings $2,809 52,809 $2,809 82,809 $2,809 $14,044 82,809 OC Relocata6les $0 $60 $D $0 860 $12D $24 OC Support Buildings $58 $58 $58 $58 558 $289 $58 OC Vehicles 564 865 864 $64 $65 $322 864 Tafaf Capita[ Costs 3,032 3,093 3,031 32 9 $15,280 83,056 NBT CAPITAL FACILlTlES CASH FLOW -Orange Cnunfy District Pub lic Schaals Current S in thousands Annual Surplus (orDeEicit) In itBal ~ti!.I?~~ i~:.i~~~i~ i5i.l: ~~ .IS~i ~~I.I~~~~i i~'~.~!~~ i~l.lr'i Cumulative Surplus (or Deficit) 869 ~ .~. ~. %~ ~'~'.''•'%~ ~~.~. ~" ~ i ~'~ !.;' it i`,', i ~ ~ 34 ~• ~ ~ Schpp! Impact,Fees Orange County, North Carolina, Annual school impact fee revenue in Chapel Hill -Carrboro District is expected to average $3.8 million aver the next five years. The five types ofi capital costs shown below correspond to the individual cost components in the school impact fee calculations. The major capital component is for school buildings, with a projected average annual expenditure of $4.9 million. As shown below, Chapel Hill -Carrboro District has a current impact fee fund balance of approximately $6.3 million. However, this amount will be spent on capacity-related capital improvements over the next five years. Based solely on impact fee revenue, Chapel Hill -Carrboro District faces a projected deficit of approximately $1.5 million per year for capacity-related capital improvements. The table below indicates the local cost of public school facilities needed to accommodate the projected ADM increase. Over the next five years in the Chapel Hill - Carrboro District, additional residential units account for approximately 80% of the projected ADM increase. The remaining students come existing residential units (both natural increase and new residents moving into existing housing). Figure A4 -- Chapel Hill -Carrboro District Cash Flow Summary 35 !`Craig Benedict - ~CSchFee.doc ~ ~_ .. Page School Impact Fees Orange County, North Carolina TA Demographic Data 2/12!01 Orange County, North Carolina (Current $ in rhousarrds/ I 2 3 4 5 Cumulative Average 2002 2003 2004 2005 2006 Total Annual 3 CHC Sch Fee - SFD $2,626 2,626 $2,626 2,62 2, 2 $]3,132 $2,626 4 CHC SchFee-OtherRes $1,198 $1,198 $1,198 51,198 51,198 55,991 51,198 Tora! /mpacr Fee Revenue 25 ,82 5 3,825 519,123 53,825 CHC School Sites 5137 5134 5276 5278 5276 51,102 5220 CHC School Buildings $2,998 $2,998 $6,129 $6,129 $6,129 $24,382 $4,876 CHC Relocatables 50 560 560 560 $60 5240 548 CHC Support Buildings 350 549 5101 $101 $101 $402 580 CHC Vehicles $64 $64 $131 $131 $131 $521 51D4 Tora! Capital Casts ,24 7 326,647 $5,329 NET CAP/TAC FACIL/T/ES CASK FLOW - Chapei Riii - Ca rrbora pistrrct Public Schools Current 5 in rhaus•ands Annual Surplus (orDe6cit) InitBal 3576 3519 ~~-.•~~:'~ ~)'~~'"'~ i~'.,,%'i ~~~.;-~~ ~;.^~;~ Cumulative Surplus (or Deticit) $6,327 $6,903 $7,422 33,549 31,675 ~:r 1. i : ~.i Appendix B -Student Generation Rates and Projections 36 ~~~~ MEMORANDUM T0: Craig Benedict, Planning Director Orange County, North Carolina FROM: Tischler & Associates, Inc. DATE: February 12, 2001 SUBJECT: Student Generation Rates and Projections This memorandum documents the demographic data and development projections that will be used by Tischler & Associates, Inc. (TA) in the school impact fee study. Figure 1 summarizes population, housing unit and countywide public school student growth, measured by Average Daily Membership (ADM). According to these projections, population is expected to increase at a rate of approximately 2.0% per year, while countywide ADM increases at a rate of 2.8% per year. The population data shown below includes people living in group- quarters, such as university students in dormitories. Because population in group-quarters is not relevant to the school impact fee calculations, TA held constant the 1990 census figure of approximately 9,000 people living in group-quarters (rounded to thousands). The population projection shown in Figure 1 is derived using a linear growth formula and the average annual population growth rate from 1990 to 1999. A 1999 population estimate of 11,533 was obtained from the U.S. Census Bureau. Based on building permit records and a field survey of apartment units, the Orange County Planning Department estimates there are approximately 22,000 housing units in the Orange County School District and 33,000 housing units in the Chapel Hill - Carrboro District. Using this base data, TA converted future year population projections into housing unit and household data. ~~~ Figure 1-Orange County Comprehensive Plan Projections 2001 2006 2011 Population 116,217 ].27,92$ 139,639 Housing Units 55,000 61,007 67,015 Households 45,$19 50,824 55,829 Pub Sch ADM 15,841 17,888 20,259 2001 to 2011 Avera e Annual Increase r wth Rate 2,342 2.0% 1,202 2.2% 1,001 2.2% 442 2.8% Orange County Growth Indicator 160,000 140,000 120,000 100,000 80,000 60, 000 40,000 20,000 0 2001 2006 2011 - • - Population f Housing Units Households ^-'~-Pub Sch ADM ', Along-range planning horizon is necessary for planning capital improvements. However, a shorter time frame of five years will be used for the cash flow analysis of impact fees. Level-of-service standards will be calibrated using data for school year and fiscal year 2000-2001 and the first projection year for the cash flow model will be 2002 (i.e., FY2001-2002). .~ ~ - - - • " 3 4 ~ `- ~'L C,i '~ As shown in Figure. 2, Orange County had 38,683 housing units in 1990. The blended, or weighted average, household size in 1990 for all housing types was 2.34 persons per household. After reviewing the detailed household size data, TA recommends using two residential categories in the impact fee calculations. A differentiation in impact fees by type of housing (i.e., Single Family Detached versus All Other Residential) is recommended to make the fees proportionate to the demand for public schools. Student generation rates by type of housing are discussed below. Units in Structure 1-Detached 1-Attached Two 3or4 5 or more Mobile Homes Other Total Source: 1990 US Census data from STF1A. X 990 Persons Per Household by Type Vacant HU Vacancy Rate ~sg_Units 19,172 1,647 1,442 1,649 9,546 4,856 371 38,683 2,579 6.7% sons Hsehlds PPH Hhld Mix Single Family Detached 48,489 18,313 2.65 50.7% All Other Housing Types 36,138 17,791 2.03 49.3% Group Quarters 9,224 TOTAL 93,851 Figure 2 -Persons Per Household in Orange County Owner-Occupied Renter-Occupied Combined Persons sehlds PPbI ersons H~ehlds PPH Persons s ds PPH 40,180 15,125 2.66 8,309 3,1$$ 2.61 4$,489 18,313 2.65 1,662 860 1.93 1,400 620 2.26 3,062 1,480 2.07 244 117 2.09 2,497 1,230 2.03 2,741 1,347 2.03 187 98 1.91 2,947 1,451 2.03 3,134 1,549 2.02 539 333 1.62 15,305 8,303 1.84 15,844 8,636 1.83 8,108 3,291 2.46 2,587 1,155 2.24 10,695 4,446 2.41 313 124 2.52 349 209 1.67 662 333 1.99 51,233 19 948 2.57 33,394 16,156 2.07 84,627 36,104 2.34 a 4 TA obtained 1996 through 2000 ADM data from the Official Statement for the sale of General Obligation Bonds on 4/4/00. School year 200-2001 ADM data were provided by the Orange County and Chapel Hill - Carrboro School Districts. Figure 3 provides alternative ADM projections for the Orange County School District. TA used the linear alternative in the school impact fee calculations. Figure 3 -Orange County School District ADM ~~~ Annnal Hase 1886 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Avg Change Value actual =~ projection years (x) =7 Anl (b) ~p~ 1 2 3 4 5 6 7 8 9 10 Inc 2.4"/0 6,254 Exponential 5,581 5,818 5,983 6,074 6,166 6,254 6,404 6,558 6,715 6,876 7,041 7,210 7,383 7,561 7,742 7,928 167 2.5% 6,254 Linear (recommended) 5,561 5,918 5,993 6,074 6,166 6,254 6,41D 6,567 6,723 6,879 7,038 7,182 7,348 7,505 7,661 7,818 156 5.0% 6,254 Logarithmic 5,561 5,91$ 5,993 6,074 6,166 6,254 6,471 6,598 6,687 6,757 6,814 6,862 6,904 6,941 6,974 7,004 75 1.9% Lnr Trend Extrap 5,561 5,918 5,993 6,074 6,166 6,254 6,423 6,546 6,668 6,791 6,914. 7,036 7,159 7,2$1 7,404 7,526 127 --_~.~ ____._T~....._..._-__....`_..._.,.~_.__......_ I1'rojection Alternatives for Orange County Distric~ s,oao s,ooo 7,000 s,ooD 5,000 4,ooa 3,DOD I z,ooa I,DOD 0 ~ Exponential ~-- Linear (recommended) I' . -~ Logarithmic i -Lnr Trend Extrap , lass lss7 lssa lass 2000 2aoz 2002 2003 2004 zoos zoos zoo? zoos zoos zolo zall 5 ~~~ ,. The same process was Followed to derive alternative. ADM projections for the Chapel Hill -Carrboro School District. Due to the unusually high increase in student membership in 2001, TA recommends the linear trend extrapolation alternative, as shown in Figure 4. Annual Base 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 200$ 2007 2008 2009 2010 2011 Avg Change Value actual => projection years (x) _> pnl (h) McShod 1 2 3 4 5 6 7 8 9 10 Inc 4.2% 9,5$7 Exponential 7,811 S,D49 8,181 8,476 8,700 9,587 9,990 10,409 10,846 11,302 11,777 12,271 12,787 13,324 13,883 14,4s$ 488 4.5% 9,587 Linear 7,811 8,049 8,181 8,476 8,700 9,587 10,018 10,450 10,881 11,313 11,744 12,175 12,607 13,038 13,470 13,901 431 5.0% 9,587 Logarithmic 7,811 8,049 8,181 8,476 8,700 9,5$7 9,919 10,114 10,252 10,358 10,446 10,520 10,584 10,640 10,691 10,736 115 3.2% Lnr Trend Extrap* _ 7 811 8 049 8 181 8 476 8 700 9 587 9,743 9,898 10,216 10,534 10,$52 11,170 11,488 11,806 12,124 12,442 285 ~ ~_,.._..... W._. Y u ~ !Projection Alternatives for Chapel Hill - Carrboro District ~ i ~i ls,ooo I 14,000 12,000 10,000 8,000 s,ooo 4,000 2,000 0 ~~ ~-Exponential ~..~ ~'' Linear ----__._.~._-____.~........___. ._._._....._ ~ -~ Logarithmic _.-__ -x-Lnr Trend Extrap* Figure 4 -- Chapel Hill -Carrboro School District ADM * The linear trend extrapolation alternative is recommended. 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2008 2007 2008 2009 2010 2011 6 ,. .. ~~ ~ ~~u Demographic data for the school impact fees study are summarized in Figure 5. According to the recommended projections, the average housing increase in the Orange County School district will be 481 units per year from 2001 to 2011. The Orange County School District is anticipating an ADM increase of approximately 156 public school students per year. In the Chapel Hill -Carrboro School District, the average housing increase is expected to be 721 units per year from 2001 to 2011. Chapel Hill -Carrboro School District anticipates an ADM increase of approximately 285 public school students per year. Figure 5 -Detailed Development Projections Orange County, NC 2001 2002 2003 2004 2005 2006 2007 2008 2009 2070 2011 Crcmulatiue Population in Households 107,217 109,560 111,902 114,244 116,5$fi 118,92$ 121,271 123,613 125,955 128,297 130,639 Population in Group Quarters* 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9,000 9 000 9,000 Total Population 116,217 118,560 120,902 123,244 125,586 127,928 130,271 132,613 134,955 137,297 139,639 Persons Per Household 2.34 2.34 2.34 2.34 2.34 2.34 2.34 2.34 2.34 2.34 2.34 ~Iouseholds 45,819 46,820 47,821 48,822 49,823 50,824 51,825 52,826 53,827 54,828 55,829 Residential Vacancy bate 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% 16.7% Housing Units 5b,000 56,201 57,403 58,604. 59,806 61,007 62,209 63,410 64,612 65,813 67,015 Hsg Units in CHC Sch District 60% 60% 60% 60% 60% 60% 60% 60°~ 60% 60% 60% Orange Co. District Hsg Units 22,000 22,481 22,961 23,442 23,922 24,403 24,884 25,364 25,845 26,325 26,806 Chapel Hill -Carrboro Hsg Units 33,000 33,721 34,442 35,163 35,884 36,604 37,325 35,046 38,767 39,488 40,209 Orange Co. District ADM 6,254 6,410 6,567 6,723 6,879 7,036 7,192 7,348 7,505 7,661 7,818 Chapel Hill -Carrboro ADM 9 587 9 743 9,898 10,216 10 534 10 852 11 170 11 488 11 806 12 124 12 442 TotalAv Dail Membershi 15,841 16,153 16,465 16,939 17,413 17,8$8 18,362 18,836 19,311 19,785 20,259 2oor-2or~ lnnual Increase 00-01 01-02 02-03 03-04 04-05 05-06 06-07 07-OS 08-09 09-10 Aug Ani dotal Population 2,342 2,342 2,342 2,342 2,342 2,342 2,342 2,342 2,342 2,34: )range Co. District Hsg Units 481 481 481 481 481 481 481 481 481 48. .hapel Hill -Carrboro Hsg Units Tll 721 721 721 721 721 721 721 721 72'. )range Co. District ADM 156 156 156 156 156 156 156 156 156 15~ ;hapel Hill -Carrboro ADM 156 156 318 318 318 318 31$ 318 318 28 1990 group quarters population rounded to thousands. Current housing unit and ADM data by school district were used to calibrate student generation rates by type of housing. TA started with 1990 census data on public school students by units in structure, as shown in Figure 6. This custom, cross tabulation was obtained from the U.S. Census Bureau. It is important to note that the student generation rates shown at the bottom of the table are based on the total number of housing units, not households (i.e., occupied units). The multipliers 7 ~.... ~ ~ ~ are reported in this manner because school impact fees are imposed on each housing unit constructed. Student generation rates per household are approximately 7% higher than the multipliers shown in Figure 6. Figure 6 -Countywide Public School Students Per Housing Unit in 1990 I990 Public School Students by Units in Structure 5-10 Yrs 11-I3 Yrs l4-I$ Yrs AZZ Grades Elementary ~ Middle High 1 unit, detached 3,449 2,277 3,561 1 unit, attached 85 64 50 2 units 138 52 35 3 or 4 units 49 26 45 5 to 9 units 65 39 20 10 to 19 units 57 17 68 20 to 49 units 16 D 0 50 or more units 0 0 0 Mobile homes 1,538 794 1,050 Other 20 19 18 TOTAL 5,417 3,288 4,847 13,552 Source: Full-sample cross tab ulation obtained by TA from U.S. Census Bureau: 1990 Estimated Public School Students by Impact Fee Category Elementary Middle High All Grades Single Family Detached 3,449 2,277 3,561 All Other Residential 1 968 1,011 1,286 TOTAL 5,417 3,288 4,847 13,552 Acutal Countywide Enrollment a 10,586 1990 Housing Units by Impact Fee Category Single Family Detached 19,172 All Other Residential 19,511 TO'T'AL 38,683 Elementary School Students Per Housing Unit in 1990 Est 1990 1990 Housing 1990 Students Enrrollment Units Multi liens Single Family Detached 3,449 3,327 19,172 0.174 All Other Residential 1 968 1 898 19 511 0.097 Subtotal 5,417 5,225 38,683 0.135 Middle School Students Per Housing Unit in 1990 Est 1990 1990 Housing 1990 Students Enrollment Units Multi liens Single Family Detached 2,277 1,706 19,172 0.089 All Other Residential 1 011 758 19,511 0.039 Subtotal 3,288 2,464 38,683 0.064 High School Students Per Housing Unit in 1990 Est 1990 1990 Housing 1990 Students Enrollment Units Multi liens Single Family Detached 3,561 2,128 19,172 0.111 All Other Residential 1 286 768 19 511 0.039 Subtotal 4,847 2,897 38,688 0.075 Countywide Public School Students Per Housing Un it in I99~ Elementar Middle Hi h All Grades Single Family Detached 0.174 0.089 0.111 0.374 All Other Residential 0.097 0.039 0.039 0.175 Weighted Avg (all hsg types) 0.135 0.064 0.075 0.274 ~. ~~~ Countywide student generation rates from 1990 were calibrated to school year 2000-2001 data on housing units and ADM in the Orange County School District (see Figure 7). Assuming that the relative contribution of public school students by type of housing has remained constant since 1990, TA proportionately adjusted the student generation rates for each type of school to yield the actual ADM. For example, the 1990 countywide rates indicate an average of 0.174 elementary students per Single Family Detached (SFD) house and 0.097 elementary students per All Other Residential Unit. Multiplying these rates by the number of housing units in school year 2000-2001 yields an estimated 3,573 elementary students. However, the Orange County District only has 3,078 elementary students (ADM) in school year 2000-2001. Therefore, the generation rates for elementary students in the Orange County District were adjusted downward to match the actual ADM. This process was repeated for middle and high school data, with the adjusted student generation rates summarized at the bottom of Figure 7. Current housing unit estimates were refined by Orange County planning staff to shift doublewide manufactured housing units into the Single Family Detached category. Only singlewide mobile homes remain in the All Other Residential category. 9 n Figure 7 -Public School Students Per Housing Unit in Orange County District, 2000-2001 1990 Countywide Public School Students Per Housing Unit Elementar Middle Hi h All Grades Single Family Detached All Other Residential All Hsg Types (blended) 0.174 0.0$9 0.111 0.097 0.039 O.D39 0.135 0.064 0.075 Elementary School Students Per Housing Unit in SYOD-01 0.374 0.175 0.274 Housing Estimated Actual Adjusted Units Students ADM Multi liens Single Family Detached 1$,682 3,251 0.150 All Other Residential 3,318 322 0.084 22,000 3,573 3,078 0.14 Middle School Students Per Housing Unit in SY00-01 Housing Estimated Actual Adjusted Units Students ADM Multi liens Single Family Detached 18,682 1,663 0.075 All Other Residential 3,318 129 0.033 22,000 1,792 1,504 0.065 High School Students Per Housing Unit in SY00-Ol Housing Estimated Actual Adjusted Units Students ADM Multi liens Single Family Detached 18,682 2,074 0.084 All,Other Residential 3,31$ 129 0.030 22,000 2,203 1,672 0.076 Public School Students Per Housing Unit in OC District, SYOD-DI Elementar Middle Hi h All Grades Single Family Detached All Other Residential All Hsg Types (blended) 0.150 0.075 0.084 0.084 0.033 0.030 0.140 0.06$ 0.076 0.309 0.147 0.284 10 ~~~~ The process described above was repeated to adjust countywide student generation rates from 1990 to school year 2000-2001 data on housing units and ADM in the Chapel Hill -Carrboro School District (see Figure 8). The adjusted student generation rates are summarized at the bottom of Figure S. Figure S _ Public School Students Per Housing Unit in Chapel Hill -Carrboro District, 2000-2001 1990 Countywide Public School Students Per Housing Uni Elementary Middle ]~7irsh Single Family Detached All Other Residential All Hsg Types (blended) 0.174 o.os9 0.111 0.097 0.039 0.039 0.135 0.064 0.075 Elementary School Students Per Housing Unit in SYDD-01 All Grades 0.374 0.175 0.274 Housing Estimated Actual Adjusted Units Students ADM Multi liens Single Family Detached 17,877 3,111 0.168 All Other Residential 15,123 1,467 0.094 33,000 4,578 4,419 0.134 Middle School Students Per Housing Unit in Sy00-Ol Housing Estimated Actual Adjusted Units Students ADM Multi liens Single Family Detached 17,877 1,591 0.095 All Other Residential 15,123 590 0.042 33,000 2,181 2,325 0.07 High School Students Per Housing Unit in SY00-01 Housing Estimated Actual Adjusted Units Students ADM Multi liens Single Family Detached 17,877 1,984 0.123 All Other Residential 15,123 590 0.043 33,000 2,574 2,843 0.086 Public School Students Per Housing Unit in CHC District, SY00-01 Elementar Middle Hi h All Gr d Single Family Detached All Other Residential All Hsg Types (blended) 0.16$ 0.095 0.123 0.094 0.042 0.043 0.134 0.070 . 0.0$6 a es 0.386 0.179 0.290 11