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<br />Session Laws-1986 CHAPTER 936 <br />H.B. 1562 CHAPTER 936 <br />AN ACT TO MAKE OMNIBUS AMENDMENTS CONCERNING LOCAL <br />GOVERNMENTS IN ORANGE AND CHATHAM COUNTIES. <br />The General Assembly of Noilh Caroliva enacts. <br />Section 1. Chapter V of the Charter of .the Town of Chapel Hill, <br />being Chapter 473, Session Laws of 1975, as amended is amended by adding <br />a new Article to read: <br />"Article 7. Impact Fees. <br />"Sec. 5.34: Impact Fees Authotxzed. <br />(a) The Town Council may provide by ordinance for a system of impact <br />fees * to be paid by developers to help defray the costs to the Town of <br />constructing certain capital improvements, the need for which is created <br />in substantial. part by the new development that takes place within the <br />Town and its extraterritorial planning area. <br />(b) For purposes of this Article, the term capital improvements <br />includes capital improvements to public streets, bridges, sidewalks, <br />bikeways, on and off street surface water drainage ditches, pipes, culverts, <br />other drainage facilities, and public recreation facilities. <br />(c) An ordinance adopted. under this Article may be made applicable <br />to all development that occurs within'' the Town and its extraterritorial <br />planning area, as established by Jocal act or pursuant to the procedures <br />set forth in G.S. 160A-360. <br />(d) The Town may,'with the approval of the Orange County Board of <br />Commissioners, construct capital improvements outside the Town limits <br />but within the Town's extraterritorial planning area'and may cooperate <br />with the State in the construction of capital improvements to State <br />highway system. streets within this area as well as within the Town. <br />"Sec. 5.35. Amount of Fees. <br />(a) In establishing the amount of any impact fee; the Town shall <br />endeavor to approach the objective of having every development contribute <br />to a capital improvements fund an amount of revenue that bears a <br />reasonable relationship to that development's fair share of the costs of the <br /><•apital improvements that are needed in part because of that development. <br />In fulfilling this objective, the Town Council shall, among other steps and <br />actions: <br />(1) Estimate the total cost of improvements by category (e.g., streets, <br />sidewalks, drainage ways, etc.) that will be needed to provide in <br />a reasonable manner for the public health, safety and welfare of <br />persons residing within the Town and its extraterritorial planning <br />area during a reasonable planning period not to exceed 20 years. <br />The Council may divide the Town and its extraterritorial area into <br />two or more districts and estimate the costs of needed <br />improvements within each district. These estimates shall be <br />periodically reviewed and updated, and the planning period used <br />may be changed from time to time: <br />221 <br />