Orange County NC Website
5/ 26/ 99 <br /> . , ., • . . . •< _ <br /> VI . AYMENT, IN - LIE .. ROGRId VA _ S <br /> A. Development Exactions for Recreation in Orange <br /> County <br /> Population growth over the past thirty years has forced a reassessment of <br /> the traditional means of acquiring public park and recreation areas . <br /> Increasing pressures on funds generated from the traditional property tax <br /> levy and from bond referenda have challenged fundamental ideas on paying <br /> for parks and recreation . Public officials have been encouraged to consider <br /> alternatives to the negotiated purchase of park land and sole reliance on the <br /> property tax base and bond funds . Alternatives to purchase and dedications <br /> include payment - in - lieu and impact fee programs . <br /> The Work Group has recognized that all local government jurisdictions in <br /> Orange County have recreation requirements in their own Subdivision <br /> Regulations or Land Use Ordinances which mandate that land be dedicated , <br /> private recreation facilities provided , or a combination thereof. These <br /> requirements fall under the statutory regulatory/ police authority of local <br /> governments to protect the health , safety , , and welfare of their communities . <br /> These recreation requirements are legally acceptable under this authority , <br /> similar to roads , utilities , and other public improvements required as <br /> conditions for subdivision approval . The North Carolina Supreme Court <br /> affirmed this authority in Messer v . Town of Chapel Hill , 297 S . E . 2d 632 <br /> ( 1982 ) , in holding that the Town ordinance , within the statutory powers <br /> given to a city , could exact recreation land or facilities and even require the . <br /> particular site within the subdivision to provide adequate recreation needs . <br /> B . Definition of Payment - in - Lieu and Impact Fee <br /> Programs <br /> 1 . Payment - in - Lieu <br /> A more recent tool for providing recreation facilities has been the <br /> inclusion of a payment - in - lieu program under this same general <br /> statutory power . In this program , a subdivision developer pays a fee <br /> related to the jurisdiction 's cost of acquiring commensurate recreation <br /> lands , of the type it could have required the developer to dedicate . <br /> These fees then help provide recreation facilities within the immediate <br /> area of the development . If the developer is provided the option to <br /> meet the jurisdiction 's requirements or make some commensurate <br /> payment - in - lieu of recreation facilities , the jurisdiction is empowered <br /> to accept the payment under its existing statutory powers . Payment - <br /> in - lieu fees must be geographically designated within the " immediate <br /> area " of the development , spent within a reasonable amount of time , <br /> and supplemented with other funds . <br />