Laserfiche WebLink
M M W <br />Two Major Requests for County Assistance: Due to the <br />DeBartolo Corporation's April 19, 1995 deadline, the Board <br />must consider at its April 18, 1995 meeting the request for <br />the county to collect impact fees from tenants and reimburse <br />DeBartolo, and the request for the county to provide a <br />contribution of up to $1.1 million for the project's off-site <br />improvement costs. <br />The Board is now to consider the two major requests for county <br />assistance. <br />ANALYSIS: <br />Since the DeBartolo officials contacted staff and requested the <br />County's assistance, staff has met several times and attempted to <br />accommodate reasonable requests to facilitate the project. The <br />meetings have included discussions of alternatives staff has <br />proposed to help DeBartolo minimize construction costs. <br />Representatives from the County's budget, community development, <br />public works and utilities departments, as well as the county <br />administrator and county attorney met several times both on a staff <br />level and with DeBartolo officials to address DeBartolo's requests. <br />The stated goal of the DeBartolo representative is to make the <br />project's "numbers" better by $4 million. To accomplish this, <br />DeBartolo has requested county assistance by: <br />Collecting for DeBartolo $2.9 million in county utility ($.8 <br />million) and traffic impact fees ($2.1 million) from project <br />tenants (original, "first-time" tenants); and <br />Contribute to DeBartolo $1.1 million to cover the difference <br />between DeBartolo's estimate of off-site road improvement <br />costs ($3.2 million) and the project's TIF assessment ($2.1 <br />million). <br />As a result of several meetings, staff has reached a consensus on <br />these two DeBartolo requests. <br />Collection of Impact Fees from Tenants <br />This is an issue for DeBartolo because the developer has already <br />prepaid utility impact fees and will be paying traffic impact fees <br />"up front" to reserve capacity and obtain concurrency approval for <br />his project. Utility impact fees have been paid in cash, while <br />traffic impact fees will be paid by crediting roadway improvements <br />proposed to be constructed by DeBartolo. The developer has <br />indicated that, if the County collects the impact fees and <br />reimburses DeBartolo, it will save DeBartolo considerable money, <br />since impact fee payments are usually negotiated out of tenant <br />contracts. Thus, according to DeBartolo, the county could collect <br />money from tenants that DeBartolo could not recoup in usual tenant <br />contract negotiations. <br />In assessing this request, the county attorneys office raised <br />concerns that county collection of impact fees and reimbursement of <br />fees to a developer could constitute use of public offices for a <br />private purpose and might not be legal. However, the attorneys <br />office has determined that such a county collection function could <br />be legally defensible under certain conditions, including full <br />disclosure to tenants and an administrative change to Cover county <br />costs. Please refer to attachment $2, a memo from the County <br />Attorney addressing the tenant collection request. <br />35 BOOK 9FAEE 92 <br />APRIL 18, 1995 <br />