Orange County NC Website
ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br />ACTION AGENDA ITEM ABSTRACT <br />Meeting Date: August 20, 1991 <br />SUBJECT: Impact Fees for Public School Facilities <br />DEPARTMENT County Manager <br />ATTACHMENT(S) <br />Memorandum from Planning Director <br />1 <br />Action Agenda <br />Item No -VIE (2- <br />PUBLIC HEARING YES NO X <br />INFORMATION CONTACT <br />Rod Visser, ext 2300 <br />TELEPHONE NUMBER <br />Hillsborough <br />732 -8181 <br />Chapel Hill <br />968 -4501 <br />Mebane <br />227 -2031 <br />Durham <br />688 -7331 <br />PURPOSE: To present a report, for information only, concerning issues <br />involved in developing an impact fee structure for school capital needs <br />in Orange County. <br />BACKGROUND: For a number of years, Orange County has pursued an <br />objective of helping to fund school capital needs created by growth in <br />the County from financial contributions from the owners of development <br />engendering those capital needs. During the 1987 Session, the General <br />Assembly authorized the County to levy impact fees in its planning <br />jurisdiction for a number of needs, including school capital, created <br />by development. A joint governmental work group investigated the <br />possibilities of an impact tax in the County during 1988 -89. The <br />County proposed legislation in the 1991 Session of the General Assembly <br />seeking authority to impose an impact tax for school capital needs in <br />the County. This legislation was withdrawn due to opposition in the <br />legislature. However, the County did receive authority in the 1991 <br />session to impose impact fees for school capital needs throughout the <br />County, not just within the County's planning jurisdiction. <br />The attached memorandum from Marvin Collins explores some of the major <br />considerations involved in developing an impact fee structure and <br />investigates approaches that some other local governments in the United <br />States have taken towards impact fees for school capital needs. Impact <br />fees are still a relatively new funding mechanism, and case law <br />concerning them is still developing. There are complicated statutory <br />and constitutional considerations involved in setting an impact fee <br />structure. For this reason, County staff are working carefully, but <br />steadily, towards development of a recommended fee structure that could <br />become effective July 1, 1992, after Board discussion and approval. we <br />feel it will be important to involve members of the community affected <br />by impact fees in the process of reviewing and fine tuning impact fee <br />recommendations to the Commissioners. <br />