ADMINISTRATION - Bob Therres, Public Services Manager/Assistant City Manager
Title
SECOND READING
AMENDING SECTION 74-81(g)(4)g OF THE MUNICIPAL CODE OF THE CITY OF BLAINE ESTABLISHING 2019 PARK DEDICATION FEES
Background
In 2000 the City passed a bond referendum in the amount of $3.5 million for the purchase of open space property. As part of the process the City Council created the Natural Resource Conservation Board (NRCB) to make recommendations on which property to purchase and how to manage the open space property. To provide an ongoing funding source for the NRCB’s management of the open space property the Park Dedication Fee Ordinance was changed to split the park dedication fees collected with development to have 35% of fees collected from residential development go to an Open Space fund. The remaining 65% of residential development and 100% of industrial and commercial development would go to the existing Park fund.
In 2014, the City had several large park projects on the horizon, including the purchase and development of the Lexington Athletic Complex. The City Council amended the Park Dedication Fee Ordinance to provide 20% of fees collected from residential development go to the Open Space fund, while 80% of residential fees and 100% of industrial and commercial fees go to the Park fund. This amendment also stipulated that this would only be for five years and the City Council would revisit this issue at that time.
After discussion at the September 20 workshop, City Council directed that the park dedication fees be returned to the 65%/35% split that existed 5 years ago.
Park dedication fees are also adjusted annually to reflect any increase in fair market value of undeveloped land within the City, with an annual increase not to exceed 10%. The Park Board has reviewed the Park Dedication fees and is recommending to the City Council a 3% increase to residential developed and no increase to either commercial or industrial development.
2018 Fees 2019 Recommended Fees
$4,319/per residential unit $4,449/per residential unit
$8,704/per acre of commercial $8,704/per acre of commercial
$6,702/per acre of industrial $6,702/per acre of industrial
Recommendation
By motion, adopt Ordinance 18-2416.
Body
THE CITY OF BLAINE DOES ORDAIN:
Section 74-81(g)(4)g. Blaine resolution No. 03-249 provides that park dedication fees shall be adjusted beginning January 1 of each year by the percent of increase in the fair market value of undeveloped land within the city, with an annual increase not to exceed ten percent. The fair market value average of unimproved land has increased in [2017] 2018 and park dedication fees for [2018] 2019 shall be increased.
1. [2018] 2019 park dedication fees. The following fees are hereby adopted for [2018] 2019, and shall be effective for final plats, plat waivers and building permits approved or issued after January 1, [2018] 2019, except for those final plats that are part of previously approved developments, which have specific language limiting park dedication rate increases approved by City Council in previous development agreements.
FEE Type of Development
$[4,320] 4,449/unit of Single Family
$[4,320] 4,449/unit of Duplex
$[4,320] 4,449/unit of Townhouse and Quad
$[4,320] 4,449/unit of Multiple Family
$[4,320] 4,449/unit of Mobile Home
$8,704/acre of (No change) Commercial
$6,702/acre of (No change) Industrial
2. Use of Fees. The fees collected for residential development shall be distributed 65% to park development and 35% to open space development. 100% of commercial and industrial fees shall be used for park development. The cost for land acquisition and construction of trails outside of parks shall be funded from the open space portion of the park dedication fee.
INTRODUCED AND READ in full the 1st day of November, 2018.
PASSED by the City Council of the City of Blaine 15th day of November, 2018.