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HomeMy WebLinkAbout03/16/2005AGENDA FOR THE JOINT MEETING OF THE INDIAN RIVER COUNTY BOARD OF COUNTY COMMISSIONERS INDIAN RIVER COUNTY SCHOOL BOARD CITY OF FELLSMERE COUNCIL CITY OF SEBASTIAN COUNCIL CITY OF VERO BEACH COUNCIL TOWN OF INDIAN RIVER SHORES COUNCIL TOWN OF ORCHID COUNCIL WEDNESDAY, MARCH 16, 2005 AT 1:30 P.M. THE RICHARDSON CENTER INDIAN RIVER COMMUNITY COLLEGE MUELLER CAMPUS 6155 COLLEGE LANE, VERO BEACH, FLORIDA 1. CALL TO ORDER - THOMAS LOWTHER, IRC BCC CHAIRMAN 2. INVOCATION - STAN BOLING, IRC PLANNING DIRECTOR 3. PLEDGE OF ALLEGIANCE - MAYOR THOMAS WHITE, CITY OF VERO BEACH 4. WELCOME AND INTRODUCTIONS - THOMAS LOWTHER 5. OVERVIEW OF THE MEETING - ROBERT KEATING, IRC COMMUNITY DEVELOPMENT DIRECTOR 6. REVIEW OF PROPOSED CHANGES TO TRAFFIC IMPACT FEE RATE SCHEDULE - ROBERT KEATING 7. REVIEW OF IMPACT FEE STUDY - ROBERT WALLACE, TINDALE OLIVER AND ASSOCIATES VICE PRESIDENT 8. DISCUSSION AND COMMENTS 9. ADJOURNMENT ANYONE WHO NEEDS A SPECIAL ACCOMMODATION FOR THIS MEETING MAY CONTACT THE RICHARDSON CENTER'S AMERICANS WITH DISABILITIES ACT (ADA) COORDINATOR AT 299-1717 AT LEAST 48 HOURS IN ADVANCE OF THE MEETING. F:ACommunity DevelopmentAUsers\LONG RANGE\Impact Fee\Arca Municipalities Meetings\Meeting Agenda v2 - 3-16-05.doc INDEX TO MINUTES BOARD OF COUNTY COMMISSIONERS IMPACT FEE STUDY JOINT MEETING - FINAL REPORT WITH MUNICIPALITIES AND INDIAN RIVER COUNTY SCHOOL BOARD - MARCH 16, 2005 COMMUNITY COLLEGE MUELLER CAMPUS - RICHARDSON CENTER CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE WELCOME AND INTRODUCTIONS OVERVIEW OF THE MEETING REVIEW OF PROPOSED CHANGES TO TRAFFIC IMPACT FEE RATE SCHEDULE 4 MARCH 16, 2005 1 JOINT MEETING - IMPACT FEE STUDY REVIEW OF IMPACT FEE STUDY - VICE PRESIDENT ROBERT WALLACE - TINDALE-OLIVER AND ASSOCIATES, INC 4 DISCUSSION AND COMMENTS 5 ADJOURNMENT - 3:40 P.M 10 MARCH 16, 2005 2 JOINT MEETING - IMPACT FEE STUDY • MARCH 16, 2005 lh REGULAR MEETING OF THE BOARD OF COUNTY COMMISSIONERS The Board of County Commissioners of Indian River County, Florida, met in Special Joint Session to consider the Impact Fee Final Report with the members of the Indian River County School Board, the City Council of Vero Beach, the City Council of Sebastian, the City Council of Fellsmere, the Town Council of Orchid, and the Town Council of Indian River Shores at the Richardson Center of Indian River Community College Mueller Campus, 6155 College Lane, Vero Beach, Florida, on Tuesday, March 16, 2005 at 1:30 p.m. Present were Chairman Thomas S. Lowther, Vice Chairman Arthur R. Neuberger, Commissioners Sandra L. Bowden, Wesley S. Davis and Gary C. Wheeler. Also present were County Administrator Joseph Baird, Assistant County Attorney William K. DeBraal, Executive Aide to the Board Kimberly Massung, and Deputy Clerk Maria I. Suesz. Also present from the School Board were: Vice Chairman R. Craig McGarvey, Ed D., District #3; Katherine Wilson, District 5, and Lenora Quimby, District 2. Present from the City of Vero Beach were: Mayor Mary Beth McDonald, Vice Mayor Thomas P. White, Council Members Sabin C. Abell, Jr., Bob Solari, and Debra Fromang; from the City of Sebastian were: Vice Chairman Brian S. Burkeen, Council Members Andrea B. Coy, and Salvador Neglia; from the City of Fellsmere: Deputy Mayor John McCants and Council Member Joel Tyson; from the Town of Indian River Shores: Mayor Thomas W. Cadden, Council Members Dr. David J. Becker; E. William Kenyon and Francis Atchison; from MARCH 16, 2005 JOINT MEETING - IMPACT FEE STUDY • the Town of Orchid were: Vice Mayor Walter Sackville and Council Member Richard G. Dunlop and Barbara Greenbaum. All of the above were seated at a U-shaped table and the meeting was broadcast live for television and digitally recorded by the School Board's media group. 1. CALL TO ORDER Chairman Lowther called the meeting to order at 1:30 p.m. 2. INVOCATION Indian River County Planning Director Stan Boling gave the Invocation. 3. PLEDGE OF ALLEGIANCE Vero Beach Vice Mayor Thomas White led the Pledge of Allegiance. 4. WELCOME AND INTRODUCTIONS Chairman Lowther asked each municipality and School Board to introduce their Council Members and staff that were present. Vice Mayor Brian Burkeen introduced the City of Sebastian elected officials and City Attorney Rich Stringer. Mayor Richard Dunlop introduced Orchid's Town Council that was present. Deputy Mayor John McCants introduced the City of Fellsmere's Council member Joel Tyson, City Manager Jason Nunemaker and City Attorney Warren Dill. Mayor Mary Beth McDonald introduced the City of Vero Beach elected officials and City Manager David A. Mekarski, City Attorney Charles P. Vitunac, former City Manager Tom Nason and City Clerk Tammy K. Vock. Mayor Thomas W. Cadden introduced Indian River Shores' Town Council and Town Manager Robert Bradshaw. MARCH 16, 2005 2 JOINT MEETING - IMPACT FEE STUDY 39 • Vice Chairman Dr. Craig McGarvey introduced the School Board Members present and Superintendent Thomas B. Maher, Superintendent of Planning and Operations Dan Maclntyre, Superintendent of Business and Finance Linda Robinson and Executive Assistant to the School Board Judy Stang. 5. OVERVIEW OF THE MEETING Community Development Director Bob Keating explained the purpose of this meeting was to provide information on impact fees: methodology and the proposed interlocal agreements. He also wanted to reach a point of consensus of approval on the fees and the interlocal agreements. He gave a brief background of the impact fee study from the onset in Spring 2004 up to now and explained some delays that occurred in the process due to the School Board's capital improvements budget drafted in August 2004 and after the hurricanes. He handed out updated information to be applied to the Impact Fee Final Report that illustrates the products used for the methodology report, and how they determined the eight new impact fees. Also the report contains the impact fee schedule and a copy of the interlocal agreements explaining that the difference between the agreements is the facilities/services impact fees category. This process will provide material to work with the County Attorney to prepare an ordinance that will be adopted to implement the impact fees into law and material to work on administrative tools. A computer program is to be given to municipalities to obtain information and to store that information in a database giving them the ability to transfer funds to the County on a regular basis. • MARCH 16, 2005 3 JOINT MEETING - IMPACT FEE STUDY 6. REVIEW OF PROPOSED CHANGES TO TRAFFIC IMPACT FEE RATE SCHEDULE Director Keating reviewed the history of traffic impact fees back to its origin in 1986. The last change was made in May 2004 when the Board accepted the Consultant's report to triple the traffic impact fees. Director Keating displayed a chart (copy on file) detailing the phased in schedule over a 4 -year period adopted by the Board Recently the Board realized that the County was not getting sufficient monies necessary to accommodate the fiscal impacts of new development on Capital Facilities. The Board decided to eliminate the discount and directed staff to initiate impact fees up to the amount the Consultant recommended and that is with a 15% discount rate. He displayed the transportation impact fees rate chart (copy on file) that includes the increase in traffic impact fee rates eliminating the phase-in category. 7. REVIEW OF IMPACT FEE STUDY - VICE PRESIDENT ROBERT WALLACE - TINDALE-OLIVER AND ASSOCIATES, INC. Vice President Robert "Bob" Wallace, Tindale -Oliver and Associates, Inc., used a PowerPoint presentation reviewing the background on how the Board initiated the study, the setup of an oversight committee, outlined the eight program areas, the policy analysis, and the technical analysis (Copy of the study is on file). Mr. Wallace discussed the formula used in preparing an impact fee calculation methodology and explained in detail how those elements were developed. He summarized his presentation with a time schedule. Providing they reach a consensus at this meeting, he plans a meeting April 21st with the Professional Services Advisory Committee, April 28t1' with the Planning and Zoning Commission, May 3rd with the Board of County Commissioners for the first reading of an ordinance and workshop, and May 17th adopting these fees at a Board of County Commission Meeting. Today he was seeking a consensus on the methodology used in the report, consensus and direction on the proposed fees and a consensus on the interlocal agreements that includes an administrative cost of 3% to the MARCH 16, 2005 4 JOINT MEETING - IMPACT FEE STUDY • • county and 2% to the cities. He commented further on the computer collection program that County staff is developing to assist the cities in tracking and following through in providing funds to the County. He advised they need to determine an effective date for the ordinance and he defined the difference between the adoption date and the effective date. He concluded his presentation pointing out the changes made to addendum pages 3-16, 6-21 and the Chapter 5 revision. He announced he would be available to the city officials after the meeting to address any issues pertaining to their interlocal agreements that they have not been resolved during the meeting. He opened up his presentation to questions. 8. DISCUSSION AND COMMENTS Dr. David Becker, Town of Indian River Shores, questioned the formula used by the Consultant that showed a large difference in the government buildings' square footage than found in the public libraries. Mr. Wallace explained public buildings are based on the inventory per square footage formula showing that more government buildings have more square footage than there are public libraries. When you add in the libraries' inventory it equalizes out. Dr. Becker presumed that libraries depend more on bequests and not just donations. Mr. Wallace confirmed that he was correct in that presumption. Deputy Mayor John McCants, City of Fellsmere, wanted to know the difference between the March 4th revision and the March 15th revision to the interlocal agreement. Mr. Wallace explained the revision concerned the net impact fees due if an addition to a house triggers it to a higher impact fee category. Another revision eliminated requiring cities to submit funds to the County with interest. The cities retain the interest. Thirdly changes were made to clarify the refund of impact fees does not include the administrative fee of 3%. Councilman E. William Kenyon, Town of Indian River Shores, playing on Mr McCants question, wanted to know the dollar difference should the impact fee category change. Councilman Bob Solari, City of Vero Beach, questioned how much impact fees increase the average cost of a home and how that cost relates to the average income. Mr. Wallace replied MARCH 16, 2005 5 JOINT MEETING - IMPACT FEE STUDY that was not part of the study. He clarified that the net difference is about $5,000 on a single family home and less than that on other land uses based on the per 1,000 square feet. Councilman Richard Dunlop, Town of Orchid, recommended two changes to the interlocal agreement, 1) include language referring to an error made by the city on impact fees whereby the city can receive back the administrative fee, and 2) to add a paragraph that obligates the County to give each of the municipalities a computer program that will do all the accounting for them and let them electronically submit and transfer all their data every month as they submit their wire transfers. Mr. Wallace agreed and said their goal is to bring everyone together and provide that to them. Councilman Dunlop said after going through all the numbers he disagreed with the methodology used for the libraries and wanted to know why they showed it as a shortfall. Mr. Wallace said theoretically it should show a gap because there are other revenue sources that should bring it close to equaling the total. He said it will not be exact because they may decide to change those revenue sources in the future and that is the purpose of looking at impact fees every 3-5 years to fund capital expansion. Commissioner Wheeler inquired if fast foods, 7 -Eleven and convenience stores are combined. Mr. Wallace informed him that there is a specific category that allows them to collect impact fees combined. It covers fast food, convenience and car washes combined. Commissioner Wheeler assumed when a building burns down there would not be additional impact fees to rebuild and Mr. Wallace responded affirmatively. Dr. McGarvey asked Superintendent Maher and Assistant Superintendent of Business and Finance Ms. Robinson to attend this workshop with him. He stated they might not reach a consensus today due to the nature of their concerns. Dr. McGarvey disagreed on the methodology of using historical data instead of current land costs. He begged the municipalities and the Board to have the land cost in the study reconsidered. Mr. Wallace explained they used the data available at the time, however, the report can be updated. Discussion continued regarding the costs of donated sites for schools by developers and that was not factored into the report. Mr. Wallace informed the School Board they will need to MARCH 16, 2005 6 JOINT MEETING - IMPACT FEE STUDY • deal with each case individually to determine the impact fee credit, or set a policy and have an independent appraisal completed. Commissioner Lowther recalled the School Board expressed disinterest in impact fees at their last workshop. Dr. McGarvey said they understand now that they can legally charge the impact fee and previously that had been their concern. Dr. McGarvey advised that the School Board has projected out over the next 15 years what type of schools and acreage is needed. For this reason he believes the impact fee needs to be reviewed more frequently than the 3-5 years as proposed. Commissioner Wheeler felt the total cost to the School Board for schools would average out after applying the deduction of donated school sites. Superintendent Maher commented that the public needs to truly understand that impact fees will not offset the 2 million dollar levy projected in his five-year plan. Discussion ensued whereby Mr. Wallace addressed additional questions by the School Board and Superintendent Maher said he would schedule a workshop with his Board and Mr. Wallace to review other issues. Vice Mayor White of Vero Beach addressed impact fees for recreational facilities. He recognized that the level of services analysis and capitol improvements looked at unincorporated areas. He wanted to know if there is a way to allow a full analysis of both level of services and capital expansion requirements in city parks and then allow a fund transfer under the interlocal agreement. County Administrator Baird explained the reason they did not use that approach is that some jurisdictions do not have public parks. However, the City of Sebastian has their own park impact fees and all the cities have a different level of service. Discussion ensued. MARCH 16, 2005 7 JOINT MEETING - IMPACT FEE STUDY Dr. McGarvey felt the need to review the land issues and other minor issues presented after one year and then they should move to a three-year review. Mr. Wallace explained that the indexing impact fees concept could be used to address the increase in cost that the School Board is seeing and every other infrastructure as well. Commissioner Wheeler felt impact fees need to be updated annually. Councilman Dunlop of Orchid recommended waiting long enough to have the School Board's figures in hand and to have them on the same cycle. In the interim they could look to the Property Appraiser's information and come up with an index for a yearly review between the three year periods. Discussion continued whereby Mr. Wallace recommended they take their best guess at the index up front, apply it uniformly over a 3 -year period and put it in place, and adjust it accordingly at the end of the three-year period. Assistant Superintendent Robinson complimented Mr Wallace and confirmed that he has worked diligently with the School District and, as said earlier, he is protecting the legality of the impact fee by making a conservative estimate. She pointed out the cost difference to build a 550 student elementary school to be approximately $10 million according to the report, but the actual cost is $16 million. She supported the methodology because it is conservative and defendable, but the standard of construction is based on the restraints passed by the Department of Education. The legislature is currently taking up this issue. Since the hurricanes and other issues that have caused the cost of steel to increase they are concerned that an index on the School Board will not work. They are interested in having methodology go forward as it is and have an opportunity in a year to come back with calculations that might change up to 20 or 30 %. Tim Zork, local home builder and a member of the Treasure Coast Building Association, addressed the issues of shared infrastructure on donated sites with the School Board, the source MARCH 16, 2005 8 JOINT MEETING - IMPACT FEE STUDY OA M.j • of data used for single family homes and multi -family homes, crediting revenue, and commented on housing for the service industry. Dr. McGarvey said they have agreed to move forward and have a workshop the following week with Mr. Wallace, and they remained with the concern of wanting an annual review of the impact fees. Mr. Wallace stated, for the record, the methodologies used in these impact fees are the same industry standard methodologies used in hundreds of impact fee studies dust in the State of Florida. The other members of their team, Dr. Chris Nelson and Attorney Tyson Smith who drafted the ordinance have used these methodologies across the country. No impact fee methodology ordinance that his firm has done has been successfully challenged in court. He hoped that he relieved any concerns they may have about the methodologies and the technical details. He commented he has never worked with a staff that has scrutinized as much detail as the County staff did and he said it has been a pleasure to work with them. Chairman Lowther asked for a consensus: 1. Confirming that the methodology in the report is reasonable and will withstand a challenge if they were challenged; 2. Confirming that the amount of the impact fees as presented is agreeable to the Board and the Cities, and 3. Confirming that the issues of the interlocal agreement are to be discussed with the School Board and Mayor Dunlop of the Town of Orchid, specifically. Overall the municipalities requested more time to make a decision. MARCH 16, 2005 9 JOINT MEETING - IMPACT FEE STUDY 4b Chairman Lowther asked the Consultant to contact the municipalities within the next two weeks to answer any questions and to poll the municipalities to determine who is in favor or opposed to the methodology and impact fees and move forward the date of the next meeting with the Board. 8. ADJOUR1NMENT - 3:40 P.M. ATTEST: Jeff?BC41 arton, Clerk ALL BACKUP DOCUMENTATION IS ON FILE IN THE OFFICE OF THE CLERK TO THE BOARD AND IS HEREBY MADE A PART OF THESE MINUTES Minutes Approved: APR 1 9 2005 BCC/MIS/JOINT MEETING MINUTES Thomas S. owther, Chairman MARCH 16, 2005 10 JOINT MEETING - IMPACT FEE STUDY