Alternative Road Impact Fee Methodologies Clancy Mullen AICP

Basic Impact Fee Formula Travel Demand (Trips or Vehicle-Miles) [Consumption-Based Must Use VMT] X

Consumption-Based Method Cost of Representative List of Projects ÷ Vehicle-Miles of Capacity (VMC) =

Improvement-Based Method Cost of Improvements Needed ÷ Projected New Trips or VMT = Cost

History of ACHD’s Impact Fees n n n 1989: 1991: 1992: 1993: 1995: 1996:

Original Study n n Consumption-Based Methodology Fees Varied Based on Trip Length • County-Wide

1999 Amendments (Ord. 193) n n County-Wide Fee for Residential Uses Variable Fee for

Idaho n n n HB 607, effective 3/2002 Micron vs. Ada County Hwy Dist

Advantages of Standards-Driven Method n n n Flexibility to Spend Revenues No Need to

Advantages of Improvements. Driven Method n n Ties Fees to Improvements Benefiting Development Sound

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Alternative Road Impact Fee Methodologies Clancy Mullen, AICP Duncan Associates Austin, TX

Basic Impact Fee Formula Travel Demand (Trips or Vehicle-Miles) [Consumption-Based Must Use VMT] X Cost per Trip/VMT [Consumption: Cost ÷ Capacity] [Improvement: Cost ÷ Future Trips or VMT] = Gross Impact Fee

Consumption-Based Method Cost of Representative List of Projects ÷ Vehicle-Miles of Capacity (VMC) = Cost per VMC x System VMC/VMT Ratio = Cost per VMT

Improvement-Based Method Cost of Improvements Needed ÷ Projected New Trips or VMT = Cost per Trip or VMT

History of ACHD’s Impact Fees n n n 1989: 1991: 1992: 1993: 1995: 1996: 1999: 2000: 2001: 2002: 2003: Original Study by Duncan Assoc. Auto Tag Fee Increase Vote Ord. 184 Idaho Development Fees Act CIP and Revised Ordinance CIP Update Revised Study by Duncan Assoc. Ord. 193 Based on Staff Study Developers Sue Ord. 194 Based on Updated Study HB 604 Amended State Act Ord. 197 Based on Improvement Method

Original Study n n Consumption-Based Methodology Fees Varied Based on Trip Length • County-Wide Construction/ROW Costs • Trip Length Reduced for State Roads n Four Assessment Districts • Boise/Garden City ($837) • Western Cities ($900) • Near Rural ($964) • Far Rural ($1, 039)

1999 Amendments (Ord. 193) n n County-Wide Fee for Residential Uses Variable Fee for Nonresidential: • • n n n Boise/Garden City ($3, 158/1000 sf) Eagle ($2, 701) Meridian ($2, 466) Kuna/Star ($1, 486) Variable ROW Costs ($22 k-$365 k/LM) Credit Error: Pk Hr Cost – ADT Credit Reduced Construction Cost

Assessment Districts

Benefit Districts

Idaho n n n HB 607, effective 3/2002 Micron vs. Ada County Hwy Dist Micron expanding plant, wanted credit for all past and future taxes to ACHD Law now requires credit based on what developer paid Unfair to New Firms to Area

Advantages of Standards-Driven Method n n n Flexibility to Spend Revenues No Need to Be Tied to Specific List of Projects Simple to Calculate

Advantages of Improvements. Driven Method n n Ties Fees to Improvements Benefiting Development Sound “Rational Nexus” to Impacts Ensures No Fees Used to Pay for Deficiencies Relates Directly to CIP and Long Range Plans