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Indian River County 1 Impact Fee Update Study capacity expansion projects. In other words, case law requires that the new development should not be charged twice for the same service. Finally, for all program areas with the exception of transportation, the level of service for impact fee purposes is shown as the level of investment (or dollar value of capital assets) per resident, which reflects the capacity investment made by the County for each program area of infrastructure. Consistent with the Comprehensive Plan, the study shows LOS in terms of related capacity variables, such as acres per population for parks, stations per population for fire/EMS, and building square footage per population for libraries and government buildings, etc. For example, consistent with current practice — and in order to ensure parks funded with impact fees benefit those paying the fees — the parks LOS standard historically has been measured by the value of all park land and the necessary park facilities per resident for impact fee calculation purposes. It is quite common for the make-up of the asset inventory to change over time. In the case of parks, specifically, the County will first buy land and then build necessary park improvements to provide recreational services at parks funded with impact fees. This asset-based approach for non -transportation impact fees was also used in the 2005 technical study, which was the basis for the County's impact fees until this update. Therefore, the County will continue to invest impact fees in park infrastructure (either land or facilities), in order to maintain current levels of service. Legal Standard Overview In Florida, legal requirements related to impact fees have primarily been established through case law since the 1980's. Generally speaking, impact fees must comply with the "dual rational nexus" test, which requires that they: • Be supported by a study demonstrating that the fees are proportionate in amount to the need created by new development paying the fee; and • Be spent in a manner that directs a proportionate benefit to new development, typically accomplished through a list of capacity -adding projects included in the County's Capital Improvement Plan, Capital Improvement Element, or another planning document/Master Plan. Tindale -Oliver & Associates, Inc. Indian River County June 2014 3 Impact Fee Update Study 3�