After months of work, and requests for public input, Greeley Assistant City Manager Victoria Runkle and Community Development Director Brad Mueller are ready to present recommendations to the City Council regarding the proposed 2015 impact fees. The total cost of all the impact fees for a single-family home will increase 8.6 percent if the City Council approves the fees, with the largest increases in the roads and water fees.
Since 2007 the City Council has deferred the implementation of the recommended roads impact fee this results in some sticker shock when comparing the 2014 fee with what is proposed for 2015 — the fee could increase from $2,185 to $3,645. The water plant investment fee (PIF) may increase from $10,600 to $11,000 after the Water Board voted to continue using its existing methodology to calculate the fee (instead of adopting the methodology recommended by staff, which actually would have reduced the water PIF from $10,600 in 2014 to $10,150 in 2015).
Staff is also planning a separate study on the proper way to calculate a water dedication of payment in lieu for new projects for which developers have not purchased water rights. Strictly speaking, this is not an impact fee however staff notes that the water dedication payment is an important cost for developers. This study should be completed in 2015.
The Greeley Area REALTOR Association is considering its position on the impact fee proposal and plans to communicate that to City Council prior to the work session on December 9. If all goes as planned, a public hearing on the ordinance adopting the fees will occur on January 6, 2015 and the fees will go into law on March 1, 2015.