2011 TRANSPORTATION IMPACT FEE CONSOLIDATION REPORT
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1 2011 TRANSPORTATION IMPACT FEE CONSOLIDATION REPORT Robert Boggs Transportation Planner April 6, 2011
2 2011 Impact Fee Consolidation Study This report, known as the 2011 Impact Fee Consolidation Study serves as the technical support document for the consolidation of the Land Use categories in the Tindale-Oliver 2004 Transportation Impact Fee Update Study. The Tindale-Oliver report assigned impact fees to sixty-seven land uses in seven broad categories, listed below: Residential Lodging Recreation Institutional Office Retail Industry The purpose of this study is to determine if Land Uses can be consolidated to simplify the Impact Fee structure by grouping uses with similar characteristics and establishing a new impact fee for each group. For example: the Office category has five land uses with a range of impact fees based on differences in trip generation rates, trip lengths, and the percent of new trips for each land use. Office Under 100,000 square feet Office Over 100,000 square feet Corporate Headquarters Building Medical Office/Clinic Business Park The impact fee for each use is technically correct, however; there are administrative issues which complicate the application of the fees. There may be difficulty determining the correct classification at permitting because of similarities between land uses. A land use may change in an existing structure that does not require significant modification to the structure. Larger structures want to include, at later date, uses that are appropriate but do not fit into the impact fee table. Each Category in the Tindale-Oliver study was reviewed to determine: What uses would reasonably fit within a building shell that would not require major modifications? Would these be permitted uses? Would the range of trips generated by a Land Use be similar to other ranges within the category? Would the impact fee for this Land Use be similar to other impact fees within the category? Page 2
3 The Categories in the Tindale-Oliver report were then consolidated and renamed to reflect the changes in the land Uses in each grouping. Each broad category in The ITE Trip Generation Manual consists of land uses with similar characteristics, for example, office or retail. The Office Category consisted of several unique land uses such as Corporate Headquarters Building or Business Park. The traffic studies conducted for each Land Use produced a different trip generation rate for each study based on economic and demographic factors that occur in the business world. The accumulation of the data resulted in a range of rates that was simplified by the use of an average which became the focus of the data in the ITE Trip Generation Manual. An average is a statistic for a range of data that consolidates and simplifies that range for easier use and understanding. The actual range of rates is broad for an individual land use and may actually overlap the range of rates for a different land use within the same category although there may be significant differences in the Average Trip Rate for different land uses. GENERAL OFFICE Trip Rate Range Code Land Use Minimum Maximum Average 710 Office < 100,000 gross sq. ft Office > 100,000 gross sq. ft Corporate Headquarters Building Medical Office/Clinic Business Park Group Average = Group Minimum = 3.58 Group Maximum = An inspection of the above table demonstrates that the minimum and maximum values overlap although there is a considerable difference between the Average trip rates. How would you determine whether the Land Use you have under review is at the minimum, maximum, or average trip rate or some point in between? You can t unless you wish to expend inordinate amounts of time and money conducting exhaustive studies to refine the data with a result that might not produce any significant change. Therefore, it is reasonable to evaluate the traffic impact of any individual land use within the overall category on the basis of a single impact fee. This rational was extended to combine completely different land use categories if they met the initial criteria that the use must reasonably fit within a building shell and not require major modifications, it would be a permitted use, and the range of trips generated by the Land Use is similar to other ranges within the expanded Category. The range of trip rates for each individual land use falls within the range for the entire group and it is reasonable to consider that the trip rate for any of the Land Uses within the Group would be Page 3
4 representative of an individual Land Use within the Group. It is also reasonable to expand this process by renaming and reclassifying the original categories by considering: Reduce existing impact fees that exceed the new Category average. Increase existing impact fees that are below the new Category average in equal annual amounts over a five year period. Each use in the Office category could be permitted and occupy the same physical structure during a structures usable life and this serves as a common connecting thread for grouping purposes. Additionally, other Land Uses currently in other Categories could occupy the same structure and can be incorporated into the new category. The Tindale-Oliver study does establish a precedent for this approach as the ITE Trip Generation Manual lists eleven Land Uses for the Office Category which was consolidated to five Land Uses in their report. All of the Land Uses within the impact fee structure were reviewed for consolidation based on the above and result in six new Categories with a new Group Fee for each Category. Industrial & Automotive General Office & Retail Large Box Residential Lodging Stand Alone Buildings Some Land Uses remain in their existing Categories because of the uniqueness in their units of measurement or use. These Categories are: Institutional Retail Recreational It would be virtually impossible and/or prohibitively costly to establish a process that would identify technical components that would exactly mirror the conditions in our City. A consolidated impact fee structure simplifies the administrative process while maintaining the technical aspects of the original study. All of the technical components are based on an averaging process and the 2011 Consolidated Impact Fee Study simply takes the process one step further. Additionally, three individual Land Uses in the Impact Fee Schedule (Airport Hanger, Major Sports Facility, and Convenience/Gasoline/Fast Food Store) are recommended for removal. They are difficult to define and redundant. Commercial Airport and General Aviation Airport are general Land Use categories that are inclusive of all activities associated with an airport. An airport hanger is incidental to the larger category as its use is usually limited to the storage of aircraft for protection and/or maintenance activities. The use of a large structure on airport property for warehouse or manufacturing Page 4
5 purposes could be a possibility; however, it should be evaluated for impact fees based on those uses which are already included in the Impact Fee Schedule at similar rates. The Airport Hanger use is redundant and should be eliminated. The Convenience/Gasoline/Fast Food Store Land Use can become difficult to define: What is the difference between a convenience store food item and a fast food store item as it applies to trip generation? Consider a single building serving all three uses compared to a convenience/gasoline use served by a single building and a fast food use in a second building that are only a few feet apart. How is the trip generation different? The Impact Fee Schedule is misleading. The combined fee for Convenience Store with Gasoline Pumps and Fast Food Store with Drive Thru is greater than the fee for the Convenience Store/Gasoline/Fast Food on a per 1,000 square feet basis; however, when applied to an actual structure the total fee is much larger for the Convenience/Gasoline/Fast Food Store Land Use. See example below. Transportation Impact Fee Calculation Current Fee Impact Unit $/1,000 s.f. Size Fee Convenience/Gasoline/Fast Food Store 1,000 $45, ,750 $171, Convenience Store with Gasoline Pumps 1,000 $21, ,750 $59, Fast Food Restaurant with Drive Through 1,000 $34, ,000 $34, $94, The Convenience/Gasoline/Fast Food Store Land Use should be eliminated as it is a duplication of the Convenience Store with Gasoline Pumps and Fast Food Store with Drive Thru Land Uses. The Major Sports Facility Land Use impact fee is calculated on parking spaces. The cost of providing parking for a venue of this type can become prohibitive and many large sporting events rely on off-site parking, either remote lots served by busses or existing lots within the immediate area. This can result in difficulty applying the impact fee because of uncertainty in determining the availability of off site parking and bus service and should be eliminated. B. Impact Fees for Existing Structures City Staff proposes to waive impact fee payment for changes of use that are more intense within structures that were existing prior to the City s incorporation of December 31, 1999 due to lack of available and complete historical payment information. Findings: Page 5
6 1. The City does not have complete impact fee payment records from Flagler County. 2. The City does not have complete records of approved use(s) when structure was built. 3. The City does not have complete records of transportation studies or reports from Flagler County. 4. The City is unable, with complete certainty to justify the impact fee payment due because of the insufficient availability of records for the original impact fee payment to Flagler County. 5. The City is unable to determine square footages or original intensity for payment calculations because the City does not have complete records of interior modifications made within the existing structure prior to the City s incorporation of December 31, The City encounters difficulty in distinguishing between County working notes and staff approvals. 7. More intense uses were allowed within existing structures prior to the City s incorporation where County justification records are not available. 8. In cases where possible justification could be found, the City was not certain the information was all inclusive. In consideration of the findings listed above, and being consistent with the City s desire to apply fairness in the application of impact fees; Staff proposes to waive impact fee payment for changes of use that are more intense within structures permitted on or prior to City incorporation of December 31, Page 6
7 TABLE 3 1 Group ITELUC Description Unit of Measure Fee Group ITE LUC A Industrial & Automotive 1,000 sq. ft. $3, General Light Industrial/Utilities 130 Industrial Park 140 Manufacturing 150 Warehouse 843 Auto Parts Sales/Tire Store 942 Auto Repair or Body Shop 944 Gasoline Station B Residential Dwelling Unit $2, Single Family Detached/Duplex/Mobile Home Individual Lot 220 Multi-Family/Apartments 230 Condominium/Townhouse C Lodging Room $1, Hotel 320 Motel D Schools Student $ Elementary School 522 Middle School 530 High School 540 Junior/Community College 550 University E General Office & Retail 1,000 sq. ft. $5, Office 720 Medical Office/Clinic 770 Business Park 814 & 820 Retail/Shopping Center/Specialty Retail (Out parcels excluded) 816 Hardware/Paint 817 Nursery (Garden Center) gross floor area 881 Pharmacy/Drugstore with Drive through Window 896 Video Rental Store 565 Day Care Center F Large Box 1,000 sq. ft. $8, Discount Superstore, including Electronics, Toys/Childrens Superstore 850 Supermarket 862 Home Improvement Store 492 Racquet Club/Health/Fitness Club/Spa/Dance Studio 494 Bowling Alley 495 Recreational Community Center G Stand Alone Building (Not incorporated with another Group) 1,000 sq. ft. $16, Convenience Store 912 Bank/Savings 931 Restaurant Individual ITE LUC Transportation Impact Fee Schedule
8 Transportation Impact Fee Schedule TABLE 3 1 Group ITELUC Description Unit of Measure Fee Industry Other 120 General Heavy Industrial 1,000 sq. ft. $ Residential Other 240 Mobile Home Park Dwelling Unit $1, Retirement Home Senior Adult Housing Dwelling Unit $ Recreational 411 Local Park Acre $ General Recreation Acre $ District Park Acres $ RV Park RV Space $1, Marina Berth $ Golf Course Hole $8, Movie Theater with Matinee Seats $ Amusement Park Acre $18, Institutional 253 Congregate Care Facility (attached) Dwelling Unit $ Church 1,000 sq. ft. $2, Cemetery Acre $1, Hospital 1,000 sq. ft. $4, Nursing Home Bed $ Retail 812 Building Materials and Lumber 1,000 sq. ft. $10, New/Used Auto Sales 1,000 sq. ft. $8, Furniture Store 1,000 sq. ft. $1, Fast Food Restaurant with Drive Through 1,000 sq. ft. $34, Quick Lube Bays $5, Self Service Car Wash Bays $9, General Office Other 714 Corporate Headquarters Building 1,000 sq. ft. $2,506.08
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