HomeMy WebLinkAboutR9 AF Sanitation impact fees COMMISSION 042226SANITATION
COMMERCIAL IMPACT
FEES
John C. Norris
Director –Public Works
Table A depicts the originally proposed one-time retroactive CPI adjustment to the current
monthly sanitation commercial impact fees, bringing fees closer to present-day cost
realities and incorporating annual inflation indexing going forward.
Table B presents a two-year phased-in option that reduces the immediate financial impact
of the proposed fee increases by distributing the adjustment over two fiscal years. Because
the fee structure is based on equivalent commercial units (ECUs), properties with higher
ECU counts would experience larger total increases, and a phased approach helps
moderate the initial impact.
This option also provides the Commission with flexibility to consider policy alternatives,
such as exemptions or different treatment for properties above or below certain threshold.
Table C summarizes the estimated revenue impacts associated with the proposed
adjustments to the sanitation commercial impact fees. It compares the originally proposed
revenue under a full catch-up scenario to a modified approach that excludes a catch-up for
properties with 0-25 units and phases in increases for properties with 26 units and above
over two fiscal years. An estimated CPI increase of 3% was applied to the 0 - 25 unit fee. As
shown, this approach results in a reduction in projected revenues, since a significant number
of the properties fall into this
category.
QUESTIONS AND DISCUSSION
AQ