Minutes 10-18-2016 - Laserfiche WebLink

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13 • comments about which potential option to choose, including potential phasing, and at which percentage levels. Additional information regarding the "breakeven point" between current and updated fees was also requested by the BOCC. Details of this information, including assumptions regarding projected dwelling unit counts and bedroom count splits, are included in Attachment 1. In order to calculate the estimated impact fee collection amounts if fees are collected based on the number of bedrooms a unit contains, staff assumed a 50/50 split between units with fewer bedrooms and units with a greater number of bedrooms. If actual construction differs significantly from assumptions, actual impact fee amounts collected would be different (either higher or lower, depending on actual construction activity). The estimated breakeven point if data is disaggregated to bedroom count levels is 37% of the MSIF. The estimated breakeven point for the "calculated average" of housing types is 43.5%. When updated impact fees were last adopted in 2008, the initial fee amount was set at a level (32% of the 2008 MSIF) expected to collect $1.6 million in the Chapel Hill — Carrboro district in order to reach the amount budgeted for debt service in that district. The "breakeven point" was not calculated in 2008 (i.e., the MSIF percentage point was based on budget needs). Additionally, a four-year implementation period was adopted since the starting point of 32% of the MSIF provided a very low partial cost recovery. The fee started at 32% of the MSIF on January 1, 2009 and moved to 40%, 50%, and 60% each January 1 of subsequent years, completing the annual increases in 2012 (see Attachment 5). Craig Benedict, Planning Director, and Perdita Holtz, Planning, made a PowerPoint presentation. Perdita Holtz presented the following slides: 2016 School Impact Fee Update Results of October 4 Discussion • Breakeven analysis completed • Information regarding affordability concerns compiled • Two potential ordinances for consideration • One to charge by bedroom counts, if applicable • One to charge by calculated average Note: October 10th presentation at Chapel Hill Council Meeting; Consensus generally favorable Breakeven Analysis • Breakeven assumes what revenues would be received under old fee schedule vs. new when using projected housing type and bedroom mix of future years. • Also parallels development projections. • Also approximates budget projections. Attachment 1 — Breakeven Analysis Actual Fee Structure (Discussed later in presentation) • Bedroom Count tables — • Projected Annual Collections Added • Breakeven % Determined (37%) • Columns added at 37%, 47%, and 57% MSIF