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HomeMy WebLinkAbout1998-301FILE REFERENCE FORM 98-301 X Additional File Exists Additional File Contains Records Not Public, According to the Public Records Act Other FILES Date Initials Amended by Ordinance No. 2003-137 05/13/03. )R Amended by Ordinance No. 2004-183 07/20/04 )R Amended by Ordinance No. 2008-156 07/15/08 )R ORDINANCE NO % 0 _Al AN ORDINANCE OF THE CITY OF DENTON, TEXAS ADOPTING "IMPACT FEES" BY AMEND G CHAPTER 26 "UTILITIES" OF THE CODE OF ORDINANCES, ESTABLISH- ING WA ER AND WASTEWATER IMPACT FEES, PROVIDING FOR THE ASSESSMENT AND COLLECTION OF SUCH IMPACT FEES, ADOPTING A CAPITAL IMPROVEMENTS PLAN FOP, IMPACT FEES, PROVIDING FOR REFUNDS OF COLLECTED IMPACT FEES, REPEALING CONFLICTING ORDINANCES AND RESOLUTIONS, PROVIDING A SEV- ERABILITY CLAUSE, A PENALTY NOT TO EXCEED $2000 00 FOR EACH VIOLATION AND AN EFFECTIVE DATE WHEREAS, TEx Loc GovT CODE, Chapter 395 authorizes a city to adopt impact fees for the purpose of financing capital improvements required by new development, and WHEREAS, the City of Denton has duly appointed an Impact Fee Advisory Committee, has received recommendations from the Committee, and has adopted Land Use Assumptions and a Capital Improvements Plan for Water and Wastewater Impact Fees in accordance with the re- quirement of Chapter 395, and WHEREAS, the City of Denton, having complied with all substantive and procedural re- quiremen s of Chapter 395, finds it necessary and appropriate to establish water and wastewater impact f es to pay the costs of certain capital improvements for new development, NOW, THEREF RE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS TIO That the facts and recitations contained in the preambles of this Ordinance are hereb found and declared to be true and correct That the Capital Improvements Plan for Water and Wastewater Impact Fees pr ared by Duncan Associates in association with Applied Geographic Technologies and Alan Pl er Associates, which is attached hereto and incorporated by reference is hereby adopted S TION III That Chapter 26 "Utilities" of the Code of Ordinances of the City of Denton, Texas, be and the same is hereby amended by adding a new Article VI, subsections 26- 210 to 2(-231 to be known as "Impact Fees" which shall read in its entirety as follows Article VI. Impact Fees Sec 26-210 Short Title This Article shall be known and cited as the Denton Impact Fee Ordinance Sec 26-211 Statement of Purpose. This Article is intended to assure the provision of adequate public facilities to serve new development in the City by requiring each development to pay its proportional share of the costs of such improvements necessitated by and attributable to such new development as related to water and wastewater capital improvements Sec 26-212 Authority This Article is adopted pursuant to Chapter 395 of the TEXAS LOCAL GovT CODE and pursuant to the Denton Charter The provisions of this Article shall not be construed to limit the powers of the City to utilize other methods authorized under state law or pursu- ant to other City powers to accomplish the purposes set forth herein, either in substitution or in conjunction with this Article Sec 26-213 Definitions. (1) Area -related facility: A capital improvement or facility expansion which is designated in the Impact Fee Capital Improvements Plan and which is not a site - related facility Area -related facility may include a capital improvement which is located offsite, within, or on the perimeter of the development site (2) Assessment. The determination of the amount of the maximum impact fee per service unit which can be imposed on new development pursuant to this Article (3) Capital Improvement• Any water supply, or treatment facilities, or wastewater treatment facilities that have a life expectancy of three (3) or more years and are owned and operated by or on behalf of the City (4) Director: The Director of Water Utilities for the City of Denton or his or her designee (5) Facility Expansion: The expansion of the capacity of any existing facility for the purpose of serving new development The term does not include the repair, maintenance, modernization or expansion of an existing facility to serve existing development (6) Impact Fee Capital Improvements Plan The Capital Improvements Plan for Water and Wastewater Impact Fees prepared by Duncan Associates in association with Applied Geographic Technologies and Alan Plummer Associates and adopted by the City Council on September 15, 1998 (7) Land Use Assumptions: The Land Use Assumptions for the City of Denton, ac- cepted by the City Council in Resolution R98-028 dated June 16, 1998 Page 2 (8) New Development: A project involving the construction, reconstruction, rede- velopment, conversion, structural alteration, relocation, or enlargement of any structure, or any use or extension of land, which has the effect of increasing the requirements for capital improvements or facility expansions, measured by the service units to be generated by such activity, and which requires either the ap- proval and filing of a plat or replat pursuant to the City's subdivision regulations, the issuance of a building permit (9) Service Area. That area within the corporate limits and the extraterritorial juns- diction of the City of Denton to be served by the water and wastewater capital improvements or facilities expansions specified in the Impact Fee Capital Im- provements Plan and as shown on the attached Exhibits A and B which are made a part of this Article for all purposes (10) Service Unit: A standardized measure of consumption, use, generation or dis- charge attributable to an individual unit of development calculated in accordance with generally accepted engineering or planning standards for a particular cate- gory of capital improvements or facility expansions For water and wastewater fa- cilities, the service unit shall constitute the basis for establishing equivalency within various customer classes based upon the relationship of the continuous duty maximum flow rate in gallons per minute for a water meter of a given size and type compared to the continuous duty maximum flow rate in gallons per min- ute for a 3/4-inch diameter simple water meter using American Water Works As- sociation C700-C703 Standards (11) Single Family Equivalency (SFE)- An equivalency factor, based on the demand associated with the smallest water meter used in the City of Denton utility system SFEs are utilized to establish the number of service units to be allocated to van- ous meter sizes used in the City of Denton utility system (12) Site -related facility- An improvement or facility which is for the primary use or benefit of a new development and/or which is the for the primary purpose of safe and adequate provision of water and wastewater facilities to serve the new devel- opment and which is not included in the Impact Fee Capital Improvements Plan and for which the developer or property owner is solely responsible under subdi- vision and other applicable regulations Sec 26-214 Impact Fee As Condition of Development Approval No new development shall be connected to the City's water or wastewater system within the service area without the assessment of an impact fee pursuant to this Article and no building permit shall be issued until the applicant has paid the impact fee imposed herein Page 3 Sec 26-215 Land Use Assumptions. (1) The Land Use Assumptions for the City accepted by the City Council in Resolu- tion R98-028 dated June 16, 1998, on record in the Office of the Denton Planning Department, are hereby adopted and incorporated by reference (2) Said Land Use Assumptions for the City shall be updated at least every three years utilizing the amendment procedure set forth in Chapter 395 of the TEXAS LOCAL GOVT CODE (3) Amendment to the Land Use Assumptions shall incorporate projections of changes in land uses, densities, intensities and population for the service area over at least a ten year period Sec. 26-216 Water Impact Fee Service Area (1) There is hereby established a Water Impact Fee Service Area, the boundaries of which are depicted on the map attached hereto as "Exhibit A" and incorporated herein by reference (2) The boundaries of the Water Impact Fee Service Area may be amended from time to time in accordance with the procedures set forth in Chapter 395 of the TEXAS LOCAL GOVT CODE Sec 26-217 Wastewater Impact Fee Service Area (1) There is hereby established a Wastewater Impact Fee Service Area, the bounda- nes of which are depicted on the map attached hereto as "Exhibit B" and incorpo- rated herein by reference (2) The boundaries of the Wastewater Impact Fee Service Area may be amended from time to time in accordance with the procedures set forth in Chapter 395 of the TEXAS LOCAL GOVT CODE Sec 26-218 Determination of Service Units. (1) The number of service units for both water and wastewater service is determined by the size of the water meter purchased for the property in accordance with the following schedule Page 4 METER EQUIVALENCY FACTORS Water Maximum SFEs Meter Capacity per Size (anm) Meter 5/8" x 3/4" 10 10 V. 25 25 1-1/2" 50 50 2" 80 80 3" 160 160 4" 250 250 6" 500 500 8" 800 800 10" 1,150 1150 (2) If a larger or smaller meter is required solely due to abnormally low or high pres- sure in the City's main, the Director may adjust the number of service units to re- flect more accurately the flow rate and system pressure conditions Sec 26-219 Impact Fees Per Service Unit (1) The maximum impact fee per service unit shall be computed by dividing the cost of water and wastewater capital improvements and facilities expansions necessi- tated by and attributable to new development identified in the Impact Fee Capital Improvements Plan for each category of capital improvements by the total num- ber of projected service units in the impact fee service area based upon the Land Use Assumptions (2) The maximum impact fee per service unit for water facilities within the water service area shall be Two Thousand Forty -Four ($2,044 00) Dollars (3) The maximum impact fee per service unit for wastewater facilities within the wastewater service area shall be Four Hundred Eighty-three ($483 00) Dollars Sec 26-2;0 Assessment of Impact Fees (1) The approval of any new development within the Water or Wastewater Service Areas shall include as a condition of development the assessment of the impact fee applicable to such development (2) The impact fee per service unit to be assessed within the service area shall be an amount less than or equal to the maximum impact fee per service unit as set forth in Section 26-219 above Page 5 (3) Assessment of the water and wastewater impact fees for any new development shall be made as follows For new development which is submitted for approval pursuant to the City's subdivision regulations following the effective date of this Article, assessment shall be at the time a final plat is obtained and shall be in the amount of the assessed fee per service unit then in effect as set forth in Section 26-219 above b For new development which has received final plat approval prior to the effective date of this Article and for which no replattmg is necessary prior to the issuance of a building permit, assessment shall be made prior to the issuance of a building permit and shall be in the amount of the assessed fee per service unit then in effect as set forth in Section 26-219 above Following the lapse or expiration of approval for a final plat or replat, a new assessment must be performed at the time an application for a new fi- nal plat or replat for such development is filed with the City d An application for an amending plat made pursuant to TEXAS LOCAL GovT CODE §212 016 and the City of Denton Subdivision Ordinance, and for which no new development is proposed, is not subject to reassessment for an impact fee Sec. 26-221 Computation of Impact Fees. (1) The impact fees due for the new development shall be collected at the time of building permit (2) Following the filing and acceptance of a written application for building permit, the City shall compute the impact fee due in the following manner a The number of service units shall be determined by the size of the water meter purchased or by evaluation of the Director as herein provided, b Service units shall be summed for all meters purchased for the develop- ment, Total service units shall be multiplied by the collected fee per service unit for water or wastewater service as established in Section 26-219 above, d All applicable offsets, credits or discounts per service unit allowable under this Article for water or wastewater service shall be subtracted from the product derived under the preceding subpart (3) The amount of impact fee due for new development shall not exceed the amount Page 6 computed by multiplying the assessed fee for water or wastewater service by the total number of service units generated by the development (4) The developer may submit or the Director may require the submission of a study, prepared by a professional engineer, licensed in the State of Texas, clearly indi- cating the number of water and/or wastewater service units which will be con- sumed or generated by the new development The Director will review the infor- mation for completeness and conformity with generally accepted engineering practices and will, when satisfied with the completeness and conformity of the study, multiply the number of services units determined by the study times the impact fee per service unit contained in Section 26-219 above to determine the total impact fee to be collected for the development (5) Whenever the property owner increases the number of service units for a devel- opment, the additional impact fees collected for such new service units shall be determined based on the assessed fee and applicable offsets, credits, and discounts then in effect and such additional fee shall be collected at the time the additional meters are purchased (6) In the event the property owner decreases the number of service units for a devel- opment, the property owner shall be entitled to a refund of the impact fee for im- pact fees actually paid, but only for the amounts represented by the decrease in service units based on the assessed fee and offsets credits, or discounts applicable at the time the fee was paid (7) If the building permit for the property on which an impact fee is paid has expired and a new application is thereafter filed for the identical property and the number of service units, the impact fee previously paid satisfies the requirements of this Article (8) The impact fee shall attach to the property for which the impact fee was paid and shall not be transferable to other properties or service units (9) No building permit shall be issued if the applicant cannot verify payment of the appropriate impact fee and other applicable fees or if existing facilities do not have actual capacity to provide service to the new connection(s) Sec 26-222 Collection of Impact Fees (1) The water and wastewater impact fees per service unit to be collected at the time of building permit shall be as set forth in Section 26-219, save and except as pro- vided in (2) below and save and except for impact fees established by contracts with political subdivisions or other wholesale customers (2) No water and wastewater impact fees shall be collected for new development Page 7 which has received final plat approval prior to the effective date of this Article if a building permit is issued within one year of the effective date of this Article (3) Except as otherwise provided by contracts with wholesale customers or other po- litical subdivisions, no building permit shall be issued until all impact fees have been paid to the City (4) Impact fees shall not be collected for a development where services are not cur- rently available unless the collection is made to pay for a capital improvement or facility expansion that has been identified in the Impact Fee Capital Improve- ments Plan and the City commits to commence construction within two years and to have the service available within a reasonable period of time considering the type of capital improvement or facility expansion to be constructed, but in no event longer than five years Notwithstanding the above restriction on the collec- tion of impact fees, impact fees may be assessed on such development (5) That the owner of their own owner -occupied single family homestead housing unit may make payments of any water or wastewater impact fee assessed by in- stallment over a period of not more than five years from the date of assessment The owner must execute a promissory note, deed of trust, or other documents to be prepared by the City Attorney sufficient to establish an enforceable lien on the property All such installment payments shall be subject to interest at a rate equal to a 12-montlm average of the 5-year Treasury Note Such note will be adjusted annually according to the most current 12 month average See 26-223 Offsets and Credits. (1) The City shall offset the reasonable value of any area -related facilities, identified in the Impact Fee Capital Improvements Plan and constructed pursuant to an agreement with the City, which are dedicated to and received by the City on or after the effective date of this ordinance, against the amount of the impact fee due for that category of capital improvement (2) The City shall offset or credit any new development which occurs subsequent to the effective date of this ordinance, any amount of capital recovery fees which have been collected by the City pursuant to duly adopted ordinances and any im- pact fees collected by the City pursuant to this Article (3) All offsets and credits against impact fees shall be subject to the following hmita- tions and shall be granted based on this Article and additional standards promul- gated by the City, which may be adopted as administrative guidelines a No offset or credit shall be given for the dedication or construction of site - related facilities b No offset or credit shall exceed the impact fee to be collected from new Page 8 development as established in Section 26-219 The unit costs used to calculate the offsets shall not exceed those assumed for the capital improvements included in the Impact Fee Capital Improve- ments Plan for the category of facility within the service area for which the impact fee is imposed d If an offset or credit applicable to a plat has not been exhausted within ten years from the date of the acquisition of the first building permit issued or connection made after the effective date of this ordinance or within such period as may be otherwise designated by contract, such offset or credit shall lapse In no event will the City reimburse the property owner or developer for an offset or credit when no impact fees for the new development can be col- lected pursuant to this Article or for any amount exceeding the total im- pact fees collected or due for the development for that category of capital improvement, unless otherwise agreed to by the City Sec 26-224 Establishment of Accounts. (1) The City's Department of Finance shall establish separate interest -bearing ac- counts clearly identifying the category of capital improvement (i a water facilities and wastewater facilities) within the service area for which the impact fee is col- lected (2) Interest earned by each account shall be credited to the account on which it is earned and shall be used solely for the purposes specified for impact fees as authorized herembelow (3) The City's Department of Finance shall establish adequate financial and account- ing controls to ensure that impact fees disbursed from the account are utilized solely for the purposes authorized in this Article Disbursement of funds shall be authorized by the City at such times as are reasonably necessary to carry out the purposes and intent of this Article, provided, however, that any fee paid shall be expended within a reasonable period of time, but not to exceed ten years from the date the fee is deposited into the account (4) The City's Department of Finance shall maintain and keep adequate financial rec- ords for each such account, which shall show the source and disbursement of all revenues, which shall account for all monies received, the number of service units for which the monies are received, and which shall ensure that the disbursement of funds from each account shall be used solely and exclusively for the provision of projects specified in the Impact Fee Capital Improvements Plan as area -related capital projects The City's Department of Finance shall also maintain such rec- Page 9 ords as are necessary to ensure that refunds are appropriately made in accordance with this Article The records of the account into which impact fees are deposited shall be open for public inspection and copying during ordinary business hours The City may establish a fee for copying services Sec. 26-225 Use of Proceeds of Impact Fee Accounts (1) The impact fee collected pursuant to this Article may be used to finance or to re- coup capital construction costs for water and wastewater facilities identified in the Impact Fee Capital Improvements Plan and for any purpose authorized in Chapter 395 of the Texas LOCAL GovT CODE, as amended Impact fees may also be used to pay the principal sum and interest and other finance costs on bonds, notes or other obligations issued by or on behalf of the City to finance such capital im- provements or facilities expansions (2) Impact fees collected pursuant to this Article shall not be used to pay for any of the following expenses a Construction, acquisition, or expansion of capital improvements or assets other than those identified for the Water and Wastewater Utility in the Im- pact Fee Capital Improvements Plan, b Repair, operation, or maintenance of existing or new capital improvements or facilities expansions, Upgrading, expanding, or replacing existing capital improvements to serve existing development in order to meet stricter safety, efficiency, environ- mental or regulatory standards, d Upgrading, expanding, or replacing existing capital improvements to serve existing development, provided, however, that impact fees may be used to pay the costs of upgrading, expanding or replacing existing capital im- provements in order to meet the need for new capital improvements gen- erated by new development, or Administrative and operating costs of the City Sec 26-226 Appeals (1) The property owner or applicant for new development may appeal the following decisions to the City Council (a) the applicability of an impact fee to the new development, (b) the method of calculating the amount of the impact fee due, (c) the availability or the amount of an offset, credit or rebate, (d) the application of an offset or credit against an impact fee due, or (e) the amount of a refund due, if any Page 10 (2) The burden of proof shall be on the appellant to demonstrate that the amount of the fee or the amount of the offset, credit or rebate was not calculated according to the provisions of this ordinance (3) The appellant must file a notice of appeal with the City Secretary within thirty (30) days following the determination of the amount of the impact fees to be paid by the development If the notice of appeal is accompanied by a bond or other sufficient surety satisfactory to the City Attorney in an amount equal to the origi- nal determination of the impact fee due, the development application may be processed while the appeal is pending Sec 26-227 Refunds (1) Any impact fee or portion thereof collected pursuant to this Article which has not been expended within ten years from the date of payment, shall be refunded, upon application, to the record owner of the property at the time the refund is paid, or, if the impact fee was paid by another governmental entity, to such governmental entity, together with interest calculated from the date of collection to the date of refund at the statutory rate as set forth in Art 1C 002, Title 79, Revised Statutes, or any successor statute (2) Upon completion of all the capital improvements or facilities expansions identi- fied in the Impact Fee Capital Improvements Plan upon which the fee was based, the City shall recalculate the maximum impact fee per service unit using the ac- tual costs for the improvements or expansions If the maximum impact fee per service unit based on actual cost is less than the impact fee per service unit paid, the City shall refund the difference if such difference exceeds the impact fee paid by more than 10 percent The refund to the record owner or governmental entity shall be calculated by multiplying such difference by the number of service units for the development for which the fee was paid, and interest due shall be calcu- lated upon that amount (3) Upon the request of an owner of the property on which an impact fee has been paid, the City shall refund such fees if Existing service is available and service is denied, or Service was not available when the fee was collected and the City has failed to commence construction of facilities to provide service within two years of fee payment, or Service was not available when the fee was collected and has not subse- quently been made available within a reasonable period of time consider- ing the type of capital improvement or facility expansion to be con - Page 11 structed, but in any event no later than five years from the date of the payment (4) The City shall refund an appropriate proportion of impact fee payments in the event that a previously purchased but uninstalled water meter for which the im- pact fee has been paid is replaced with a smaller meter, based on the per service unit differential of the two meter sizes and the fee per service unit at the time of the original fee payment (5) A petition for refund under this Section shall be submitted to the Director on a form provided by the City for such purpose Within one month of the date of re- ceipt of a petition for refund, the Director must provide the petitioner, in writing, with a decision on the refund request, including the reasons for the decision If a refund is due to the petitioner, the Director shall notify the Assistant City Man- ager of Finance and request that a refund payment be made to the petitioner Sec 26-228 Update of Plan and Revision of Fees The City shall review the Land Use Assumptions and Impact Fee Capital Improvements Plan for water and wastewater facilities at least every three years, with the first three year period to commence from the date of adoption of the Impact Fee Capital Improvements Plan referenced herein The City Council shall accordingly make a determination of whether changes to the land use assumptions, Impact Fee Capital Improvements Plan or impact fees are needed and shall, in accordance with the procedures set forth in Chapter 395 of the TEXAS LOCAL GovT CODE, or any successor statute, either update the fees or make a determination that no update is necessary Sec 26-229 Agreement for Capital Improvements An owner of a new development may construct or finance a capital improvement or fa- cility expansion designated in the Impact Fee Capital Improvements Plan, if required or authorized by the City, by entering into an agreement with the City prior to the issuance of any building permit for the development The agreement shall be on a form approved by the City and shall identify the estimated cost of the improvement or expansion, the schedule for initiation and completion of the improvement or expansion, a requirement that the improvement be designed and completed to City standards and such other terms and conditions as deemed necessary by the City The agreement shall provide for the method to be used to determine the amount of the offset to be given against the impact fees due for the development or any reimbursement to the owner for construction of the facility Sec 26-230 Use of Other Financing Mechanisms (1) In addition to the use of impact fees, the City may finance water and wastewater capital improvements or facilities expansions designated in the Impact Fee Capital Page 12 Improvements Plan through the issuance of bonds, through the formation of pub- lic improvements districts or other assessment districts, or through any other authorized mechanism, in such manner and subject to such limitations as may be provided by law (2) Except as otherwise provided herein, the assessment and collection of a impact fee shall be additional and supplemental to, and not in substitution of, any other tax, fee, charge or assessment which is lawfully imposed on and due against the property (3) The City may pay all or part of impact fees due for a new development taking into account available offsets and credits pursuant to duly adopted criteria Sec 26-231 Conflicting Ordinances All ordinances or parts of ordinances in force when the provisions of this ordinance be- come effective which are inconsistent or in conflict with the terms or provisions con - tamed in this ordinance are hereby repealed to the extent of the conflict SECTION IV. That any person violating any provision of this ordinance shall, upon conviction, be fined a sum not exceeding $2,000 00 Each day that a provision of this ordinance is violated shall constitute a separate and distinct offense SSECTION V That if any section, subsection, paragraph, sentence, clause, phrase or word in this ordinance, or application thereof to any person or circumstances is held invalid by any court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this ordinance, and the City Council of the City of Denton, Texas hereby declares it would have enacted such remaining portions despite any such validity SECTION VI. That this ordinance shall become effective fourteen (14) days from the date of its passage and the City Secretary is hereby directed to cause the caption of this ordinance to be published twice in the Denton Record-Chromcle, a daily newspaper published in the City of Denton, Texas, within ten (10) days of the date of its passage PASSED AND APPROVED this the 15z4h day ofdwy&4j998 JAC LLER, MAYOR Page 13 ATTEST JENNIFEP2 WALTERS, CITY SECRETARY BY APP OVED AS O LEGAL FORM HERBERT L PROUTY, CITY ATTORNEY BY \\CH LGL\VOLMRARUD\DE?MGL\Ow Documents\0rdlnmcwWfimpnct fm dm Page 14 CITY OF DENTON, TEXAS IMPACT FEE CAPITAL IMPROVEMENTS PLAN A LEE r'-AD III 0 l0 4i�ti��/4i� S'�31u� 6510100 August 1998 �r Welk EWRONMENT, ES ENGINEERS DESIGNERS SCIEMISTS INTRODUCTION The City of Denton has experienced significant growth in recent years and is projected to experience even greater growth in the near future as the overall growth in the DFW Metroplex continues to Denton While Denton has grown at a rate of about 2% per year from 1990 through 1997, as shown in Table 1, the City's water and wastewater service areas are expected to grow at greater than a 5% per year rate through 2009 This will translate into an increase of over 45, 000 new people requiring water service and over 50,000 requiring wastewater service during this period In order to provide adequate service to both existing and new customers, it will be necessary to significantly improve both the water and wastewater system's infrastructure, including new treatment facilities, new storage and pumping facilities, and new conveyance facilities In order to help finance the improvements necessary to meet the increased demands generated b-. these projected increases in population, the Legislature has enacted legislation enabling cities to charge a Capital Impact Recovery (Impact) fee to each new commercial and residential development A Capital Improvements Plan has been developed according to the requirements of state law to be used as the basis for the preparation of impact fee ordinances for water and wastewater facilities The Capital Improvements plan identifies the capital improvements that will be required during the 10-year period from 1999 to 2009, and determines the portion of the costs of those facilities that are attributable to growth over the 10-year planning period The water and wastewater impact fees are being developed in phases This first phase covers only the costs associated with centralized water supply, treatment and storage facilities and wastewater treatment facilities The second phase will cover water transmission and distribution and wastewater collection and pumping facilities The second phase will be completed once the City's comprehensive planning has been completed and a preferred growth scenario has been identified PROJECTED SYSTEM DEMANDS The City of Denton's water and wastewater service areas are defined in the City's Certificate of Convenience and Necessity (CCN) as approved by the Texas Natural resource conservation Commission (TNRCC) for water and wastewater service While these areas are similar for water and wastewater service, the-. are not identical, as shown in Figures 1 and 2 As shown in Table 2, the population of the City's water service area is projected to increase from 78,931 in 1999 to 121,362 in 2009 Of this amount it is estimated that approximately 97% of these people will actually be served by the City of Denton, or 117,700 (The remainder will be on individual wells or other private water systems ) Similarly, the City's wastewater service area is expected to increase from 85,190 in 1999 to 130,987 in 2009 It is estimated that 89% will actually be served by the City's wastewater collection system, or 116,500 (The remainder being on individual septic systems) 6510iMtKhmmo 1 CRv of Denton Impact Fee Capital Improvements Plan In 1999, it is estimated that the City will serve 73,300 people with its water system and 74,300 with it's wastewater collection system The service population of the water system is expected to increase by over 44,000 people by 2009, an increase of over 60% The wastewater service area population is projected to increase by over 42,000 people by 2009, an increase of over 55% Over the last 10 years, the City of Denton's maximum day water use has varied between a low of 281 gallons per capita per day (gpcpd) in 1992 to a high of 376 gpcpd in 1988, as shown in Table 3 For the purposes of this Capital Improvements Plan, a value of 360 gpcpd will be used The average annual water use over the past 10 years has vaned between a low of 141 gpcpd in 1995 to a high of 182 gpcpd in 1998 A value of 180 gpcpd will be used in this Capital Improvements Plan Using these values for peak -day and average -annual per capita water use, a total peak -day demand of 42 37 million gallons per day (MGD) is projected for 2009, increasing from 26 39 MGD in 1999, and 21 19 MGD for an annual average water use in 2009, increasing from 13 19 MGD in 1999, as shown in Table 4 The average -annual wastewater flow rate has vaned from a low of 138 gpcpd in 1993 to a high of 178 gpcpd in 1997, as shown in Table 5 A value of 170 gpcpd has been used for planning in this Capital Improvements Plan The total annual -average wastewater flow is projected to be 19 81 MGD in 2009, increasing from 12 63 MGD in 1999, as shown in Table 6 It should be noted that these system demand projections are based strictly on projected growth in retail utility customers, and do not include demands from wholesale customers CAPITAL IMPROVEMENTS Water Supply Water supply facilities are designed based on projected average -annual water use The City of Denton's water supply comes primarily from water rights in Lake Lewisville and Lake Ray Roberts The City has rights to approximately 4 34 MGD in Lake Lewisville and approximately 19 8 MGD in Lake Ray Roberts The City also receives credits for approximately 127 MGD of wastewater return credits into these two reservoirs for a total raw water supply of 25 45 MGD Since the City's total average -annual water demand in 2009 is projected to be 21 19 MGD, the City has sufficient water supply for the planning period Water Treatment and System -Wide Distribution and Storage The City's water treatment facilities are designed to accommodate the projected peak -day demands on the water system The City's existing Spencer Road Water Treatment Plant (WTP) has a maximum daily treatment capacity of 28 9 MGD Consequently there are no current deficiencies in water treatment capacity However, by 2009 the City will need approximately 13 47 MGD of new treatment capacity The City has begun planning to construct a new water treatment plant near Lake Ray Roberts, the Lake Ray Roberts WTP, in 10 MGD phases In order to meet the projected 2009 demand the initial 10 MGD facilities and one 10 MGD expansion will be required 65101 W WhmW m 1 City of Denton Imow Fee Capital Improvements Plan In order to transport the treated water into Denton, a new 48-inch diameter water transmission line will need to be constructed as well as a new booster pump station with ground storage, and new transmission lines from the pump station to connect to the City's existing water distribution system The City's Water Distribution System Master Plan completed in 1997, identified two elevated storage tanks and a booster pump station as being needed within the next 10 years A third required elevated storage tank identified in Master plan is needed to alleviate existing deficiencies in the water system Wastewater Treatment The City's current wastewater treatment plant (W WTP) has a design capacity of 15 MGD In order to meet the projected demand of 19 81 MGD, the current plant will need to be expanded The WWTP has been designed to accommodate another 6 MGD expansion on the current site, which will be sufficient to satisfy the projected demands through 2009 CAPITAL COSTS Opuuons of necessary capital costs for the system wide treatment, storage, and pumping facilities described above are shown in Tables 7 and 8 About $44 milhon in attributable capital costs will be required to serve new water customers anticipated over the 1999 to 2009 period About $15 million will be required to serve new wastewater system customers 6510100/tcdm. 1 TABLE t POPULATION OF WATER/WASTEWATER SERVICE AREAS City of Water Wastewater Denton Service Area Service Area 1997 Population 71,450 74,400 80,300 1999 Population NA 78,931 85,190 2009 Population NA 121,362 130,987 Annual Growth Rate, 1997-99 NA 3 0% 3 0% Annual Growth Rate 1999 09 NA 5 4% 5 4% Source City of Denton, Land Use Assumptions, April 22, 1998 (growth rates are uncompounded) Figure 1 Water Service Area i C-J Figure 2 Wastewater Service Area 3 63 s� Y rri , I `LLLrt `r T rw{ LJ^1 —L2 1__l 1 i I TABLE 2 WATER AND WASTEWATER SERVICE AREA POPULATIONS, 1988-2009 Water Service Area Wastewater Service Area Total Service Percent Total Service Percent Year Population Population Served Population Population Served 1988 57,000 59,400 1989 58,000 60,400 1990 59,300 61,900 1991 60,200 62,900 1992 61,200 63,900 1993 62,500 65,400 1994 64,400 67,300 1995 84,900 67,800 1996 65,800 68,800 1997 74,400 68,900 93% 80 300 70 000 87% 1998 76,632 71,100 93% 82,709 72,150 87% 1999 78,931 73,300 93% 85,190 74,300 87% 2000 81,299 75,200 92% 87 746 76 500 87% 2001 83,738 77 500 93% 90,378 78,800 87% 2002 86,250 79,800 93% 93,090 81 200 87% 2003 90,562 87,800 97% 97,774 86,900 89% 2004 95,091 92,200 97% 102,631 91,300 89% 2005 99,845 96,800 97% 107,763 95,900 89% 2006 104,837 101,700 97% 113151 100,700 89% 2007 110,079 106,800 97% 118,809 105,700 89% 2008 115,583 112,100 97% 124 749 111,000 89% 2009 121,362 117,700 97% 130 987 116 500 89% Source Total population from City of Denton, Land Use Assumptions service population from Alan Plummer Associates, Phase l Impact Fee CIP Schedule May 28 1998 TABLE 3 WATER DEMAND PER CAPITA, 1988.1997 Total Demand (MGD) Service Per Capita (gpcd) Year Peak Average Population Peak Average 1988 21 42 1038 57,000 376 182 1989 18 97 9 24 58,000 327 159 1990 2072 1037 59,300 349 175 1991 21 72 985 60,200 361 164 1992 17 22 8 91 61,200 281 146 1993 2274 990 62,500 364 158 1994 1881 906 64,400 292 141 1995 2005 912 64,900 309 141 1996 2268 1209 65,800 345 184 1997 2333 1091 68,900 339 158 Assumed for System Demand Projections 360 180 Source. Peak day and annual finished water production (excluding wholesale use) from Alan Plummer Associates, Inc , Phase I Impact Fee CIP Schedule May 28 1998 water service population from Table 2 TABLE 4 PEAK AND AVERAGE WATER DEMAND, 1999-2009 Service Per Capita (ancd) System Demand (MOD) Year Population Peak Avg Peak Avg 1999 73,300 360 180 26 39 13 19 2000 75,200 360 180 2707 13 54 2001 77,500 360 180 2790 1395 2002 79,800 360 180 2873 1436 2003 87 800 360 180 31 61 15 80 2004 92,200 360 180 3319 1660 2005 96,800 360 180 3485 1742 2006 101,700 360 180 36 61 18 31 2007 106 800 360 180 38 45 19 22 2008 112,100 360 180 4036 2018 2009 117,700 360 180 4237 21 19 New Demand, 1999-2009 15 98 800 Source. Service population from Table 2 per capita demand from Table 3 TABLE 5 WASTEWATER DEMAND PER CAPITA, 1988.1997 Year TO Demand (MOD) Service Population Per Capita (gpcd) 1988 928 59,400 156 1989 927 60,400 153 199D 987 51,900 159 1991 944 62 900 150 1992 943 63,900 148 1993 904 65,400 138 1994 930 67,300 138 1995 ii 32 67,800 167 1996 1095 68,800 159 1997 1248 70,000 178 Assumed for Projections 170 Source. Average daily wastewater flows during peak month from Alan Plummer Associates, Inc, Phase I Impact Fee CIP Schedule, May 28, 1998, wastewater service population from Table 2 TABLE 6 WASTEWATER DEMAND, 1999.2009 Per Capita System Service Demand Demand Year Population (gpcd) (MGD) 1999 74,300 170 1263 2000 76,500 170 1301 2001 78,800 170 13 40 2002 81,200 170 1380 2003 86 900 170 1477 2004 91,300 170 1552 2005 95,900 170 1630 2006 100,700 170 17 12 2007 105,700 170 1797 2008 111,000 170 1887 2009 116,500 170 1981 New Demand, 1999 2009 7 18 Source. Service population from Table 2, per capita demand from Table 5 TABLE 7 WATER TREATMENT/PUMPINO/STORAGE COSTS, 1999-2009 Capacity IMGO) Percent Total Needed 1999.2009 Total Cost Eligible Cost Existing Spencer Road WTP 2890 251 8 69% $45,300,000 $3,937,000 Lake Ray Roberts WTP, Phase 1 1000 1000 100 00% $25,000,000 $25,000,000 Lake Ray Roberts WTP, Phase 2 1000 347 34 70% $15,000,000 $5,205,000 Subtotal, Water Treatment 4890 1598 NA $85,300,000 $34,142,000 Hartlee Field Road Booster Pump Station 1600 1347 84 19% $4,500,000 $3,789,000 High School Booster Pump Station 1600 1347 84 19% $652,000 $549,000 Main Transmission Line from Ray Roberts WTP 4400 1347 30 61% $4,875 000 $1,492,000 Booster Pump Station Tie -In 4400 1347 30 61 % $1,400,000 $429 000 University Tank (2 0 MG) NA NA 75 00% $2,750,000 $2,063,000 135 @ Loop 88 Tank (1 0 MG) NA NA 100 00% $1,140,000 $1,140,000 Subtotal Water Pumping/Storage NA NA NA $15,317,000 $9,462,000 Total, Water Treatment/Pumping/Storage NA 1598 43 34% $100 617,000 $43,604,000 Source, Improvements and cost estimates from Alan Plummer Associates Inc Phase I Impact Fee CIP Schedule, May 28, 1998, cost of existIng Spencer Road water treatment plant is depreciated replacement cost based on City of Denton, Fixed Assets Depreciabon Report, September 30, 1997 and Engrneenng News -Record Construction Cost Index (current = March 1998), total peak water capacity needed from Table 4, total capaci8es and percent of water tanks attributable to growth from memo from P S Aurora, P E , City of Denton Public Works, April 20, 1998 TABLE e WASTEWATER TREATMENT COSTS, 1999-2009 Capacity IMGO) Percent Total Needed 1999.2009 Total Cost Eligible Cost Existing, Wastewater Treatment Plant 6 MGD Expansion 1500 600 237 481 15 80% 80 17% $21,114,000 $15,000,000 $3,336,000 $12,026 000 Total. wastewater Treatment 2100 7 18 NA $36,114,000 $15,362,000 Source, Improvements, capacities, and cost estimates from Alan Plummer Associates, Inc Phase I Impact Fee CIP Schedule, May 28, 1998, total capacity needed from Table 6 That the owner or developer of an owner occupied single family housing unit may make payments of any water or wastewater impact fee assessed by installment over a period of not more than thirty-six months from the date of assessment The owner or developer must execute a promissory note, deed of trust, or other documents to be prepared by the City Attorney sufficient to establish an enforceable lien on the property All such installment payments shall be subject to interest at the rate equal to the last 12- month average of the 5-year Treasury bill rate EXHIBIT IV P ,.� vx �, r j f wt�t ` yl � If #d� �a- 1 t� �Y It � � F µ � V