Agenda - 12-20-94 - X-A - Laserfiche WebLink

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5 Revenues collected in both school districts during FY 1993-94 have been less than estimated in the Impact Fee Technical Report; e.g.,27 percent of projected revenues for the Orange County School District and 28 percent for the Chapel Hill-Carrboro School District. On a more positive note, however, revenues received to date (through October, 1994) represent a much higher proportion of funds budgeted for school construction purposes.As an example,in the first year of the FY 1994-99 Capital Improvements Plan, 109 percent of impact fee revenues budgeted for school construction in the Chapel Hill-Carrboro School District have been received. For the Orange County School District,impact fee revenues are not budgeted for use until FY 1997-98. Through October, 1994,approximately 46 percent of these revenues had been received. The principal reason for the shortfall in revenues was the rush to obtain building permits before impact fees became effective on July 1, 1993. As shown on the accompanying chart for Orange County's jurisdiction, new residential permits peaked in June at a level two to three times higher than normal. Soon after the beginning of 1994, the Residential Permits Issued number of residential permits issued returned to Orange County Jurisdictions levels occurring prior to the establishment of (January, 1992 - October, 1994) impact fees. This trend is also reflected in the Number of Permits revenue received from in the Orange County 140 School District. During the period of July - 120 October, 1994, $93,750 in impact fees was 100 e0 collected or an average of$23,437 per month.The 60 monthly average is more than twice that for FY 40 1993-94 or $9,383. 20 1 1 1 1 1 1 1 1 1 Q7FMA11JIASONDJFMAMJJASONDJFYAMJJA$0 Discussions with representatives of the Month Towns of Chapel Hill and Carrboro indicated that — 1992 — 1995 —I- 1994 similar building trends occurred in their jurisdictions. Averagely monthly revenues from *Includes Town of Hillsborough Permits impact fees also followed a similar pattern. Fee Collection Responsibility. All public school impact fees must be paid to Orange County prior to a certificate of occupancy being issued for a dwelling unit.The fees are collected by Orange County or by interlocal agreement between Orange County and a municipality located therein. At the time of collection by Orange County,all public school impact fees are properly identified by the appropriate benefit area and transferred for deposit in the appropriate trust account. Where there is an interlocal agreement in effect for collection of the public school impact fees by a municipality, the municipality must remit the fees to Orange County as provided in the agreement, including a report of the amount of funds collected and the benefit area from which the fees were collected. Upon receipt, the County deposits the fees in the appropriate trust fund. On September 7, 1993, the Board of Commissioners approved in principle a draft Impact Fee Collection Interlocal Agreement and authorized the Administration to forward the draft agreement to the municipalities for consideration. Major provisions of the draft agreement included the following: • The impact fee must be collected at a time no later than the time the municipality issues the certificate of occupancy for a dwelling unit.This provision allows the municipalities to collect impact fees when either the building permit or certificate of occupancy is issued. Annual Report 3