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2 <br />Commissioner Willhoit asked what one cent on the tax rate <br />would generate -- both the County and the Special District tax. <br />PIIBLIC HEARINt3 - PIIBLIC SCHOOL IMPACT FEES <br />Planning Director Marvin Collins presented for citizen <br />comments a proposed increase in the public school impact fee from <br />$750 to $1,500. He noted that the $1,500 fee is based on the <br />calculation of the maximum allowable fees which the County can <br />charge for public school capital needs. The maximum allowable <br />fee, as verified in the updated Technical Report, was <br />approximately $1,900 in both school districts. He explained how <br />the maximum allowable fee was calculated and what variables were <br />used as a basis for the calculation. He noted that in late summer <br />or early fall a new Technical Report will be presented using the <br />latest information they can get. This will include a sliding <br />scale for fees based on different factors, like bedrooms, type of <br />structure, cost of construction or square footage. In answer to a <br />question from the audience, Mr. Collins said that the tax base <br />does not factor into the calculation of impact fees except when <br />giving credits. <br />PIIBLIC COMMENTS <br />NANCY SALMON spoke in support of the increase in public <br />school impact fees. She asked that the Planning Department use <br />representative data and values for all parameters in their <br />calculations of the financial impact of new construction. She <br />hopes that the research being done this summer will not only be <br />used for establishing a basis for the sliding scale but to more <br />accurately assess the true impact on schools of new construction <br />in the Chapel Hill-Carrboro School District. <br />DAVID C. HURLBERT spoke against the impact fee and for <br />alternative financing methods such as bonds and other traditional <br />means of funding schools. He feels there is a disparity of the <br />impact of impact fees on a class of people attempting to achieve <br />the American dream of owning a home. He said that a person buying <br />a $75,000 house is paying a 10$ tax versus a person buying a <br />$300,000 house paying a .5$ tax. He said that good public schools <br />are a benefit to the entire community, County, State and to the <br />nation as a whole so the community as a whole should bear these <br />burdens. He does not feel that only new homeowners should be the <br />ones paying for schools. He asked that the Board of County <br />Commissioners do the right thing. He is in favor of good schools <br />but feels that he should not have to pay a fee when he builds his <br />house since he has lived here all of his life. <br />KEN TOUW, Chair of the Chapel Hill-Carrboro School Board, <br />spoke in support of the increase. His perspective is due to the <br />fact that there are more students in each classroom and there is <br />no room available for additional students. He noted that <br />construction costs have increased considerably since the setting <br />of the original impact fee. Also, the Town of Chapel Hill sees <br />the impact fee as an important revenue source for funding new <br />schools. The best they can hope for from developers is that they <br />