Chapter 8-9: Capital Facility Impact Fee28
8-9-1 Purpose and Legislative Intent.![]()
(a) Purpose: The purpose of this chapter is to charge an impact fee to applicants for nonresidential and residential development in the city to fund capital improvements needed to address demand attributable to new development for police, fire, library, human services, general municipal facilities and parks and recreation.
(b) Legislative Intent: The city council recites the following legislative findings and statements of intent that were taken into consideration in the adoption of this chapter:
(1) The fees collected pursuant to this chapter are not intended to fund operation, maintenance or replacement costs or otherwise fund the general costs of government.
(2) The capital facility impact fee applies regardless of the value of the property developed. The capital facility impact fee shall be imposed in addition to the development excise taxes imposed by chapters 3-8 and 3-9 and water, sanitary sewer and storm water and flood management plant investment fees imposed by sections 11-1-52, "Water Plant Investment Fee," 11-2-33, "Wastewater Plant Investment Fee," and 11-5-11, "Storm Water and Flood Management Utility Plant Investment Fee," B.R.C. 1981, or other fees, taxes or charges of the city.
(3) The capital facility impact fee established in this chapter and section 4-20-62, B.R.C. 1981, is based in part on the methodology in the "Development Impact Fee Study" prepared by Tischler-Bise, Fiscal, Economic & Planning Consultants, dated January 8, 2009.
(4) The city council finds that the development impact fee study and this chapter define classifications that are generally applicable to broad classes of property; quantifies the reasonable impacts of proposed development on capital facilities; and establishes charges at a level no greater than necessary to defray such impacts directly related to proposed development.
(5) The city council intends that the impact fees collected pursuant to this chapter are to be used to fund expenditures for capital facilities attributable to new development.
Ordinance No. 7698 (2009)
For purposes of this chapter and the related fees in chapter 4-20, "Fees," the following words have the following meanings, unless the context clearly indicates otherwise:
Accessory use means a portion of developed property that is incidental to but a necessary part of the principal development, which is operated for the benefit and convenience of the occupants, employees and customers of or visitors to the principal development and which is served by any utility for the principal development.
Capital facility classification means each separate municipal capital facility area for which the capital facility impact fee is charged, including library, parks and recreation, human services, municipal facilities, police and fire.
Development and developed property mean the construction, existence or the intensification of any structure attached to real property.
Floor area means the total square footage of all levels included within the outside walls of a building or portion thereof, but excluding courts, garages useable exclusively for the storage of motor vehicles and uninhabitable areas that are located above the highest inhabitable level or below the first floor level.
Multifamily residential means all other residential not included in the definition of single family residential as defined in this section.
Nonresidential development means the principal use of developed property as other than a single-unit or multi-unit dwelling and includes, without limitation, motels, hotels, resorts and bed and breakfasts.
Single family residential means a single family detached dwelling unit, single family attached dwelling unit that is townhouse or a duplex, or mobile home.
Uninhabitable area means a room that has a six-foot or less floor-to-ceiling height, or a room housing mechanical or electrical equipment that serves the building, with less than three feet of clearance in any dimension between the equipment (except supply and return air ducts and wiring) and the adjacent wall.
Ordinance No. 7698 (2009)
8-9-3 General Regulatory Requirements.![]()
(a) Impact Fee Payment: Any person that adds floor area to a property or changes a land use from a lower intensity land use classification to a higher intensity land use classification shall pay the capital facility impact fee, pursuant to the schedule of fees in section 4-20-62, "Capital Facility Impact Fee," B.R.C. 1981.
(b) Impact Fee Timing: The impact fee prescribed by this chapter is in addition to any other fee, tax or charge required by this code or any other ordinance of the city. The impact fee shall be paid at the following times:
(1) For new buildings or structures, prior to the scheduling of final building inspection; and
(2) For all other types of development not described in paragraph (b)(1) above, at the time of the issuance of a building permit.
(c) Impact Fee on Development: The impact fee shall be charged on the following types of development:
(1) Additional Floor Area: Any person who proposes to add floor area to any lot or parcel shall pay the capital facility impact fee in section 4-20-62, "Capital Facility Impact Fee," B.R.C. 1981, for:
(A) The net increase in floor area for nonresidential development; and
(B) The net increase in floor area per housing unit for residential development.
(C) In calculating the impact fee, the city manager shall credit each developed property with an amount equal to the fee that would have been charged to the existing use at the time of the addition of floor area.
(i) If the credit is less than the amount of the impact fee for each capital facility classification, the applicant shall pay the difference.
(ii) If the credit is greater than the amount of the impact fee for each capital facility classification, then the applicant will not be required to pay for each such capital facility classification.
(2) Change in Use that Results in Intensification: For existing buildings, whenever there is a change of use classification among the uses in as set forth in chapter 4-20, the applicant shall pay the capital facility impact fee in section 4-20-62, "Capital Facility Impact Fee," B.R.C. 1981, for any net increase in intensification for the new use.
(3) Determination of Impact Fee Rate for an Intensification of Use: For conversions of existing floor area to different uses, the impact fee will be the difference in rate between each of the capital facility classifications for the existing use and for the proposed use as follows:
(A) In calculating the impact fee, the city manager shall credit each developed property with an amount equal to the fee that would have been charged to the existing use at the time of the change in use.
(i) If the credit is less than the amount of the impact fee for each capital facility classification, the applicant shall pay the difference.
(ii) If the credit is greater than the amount of the impact fee for each capital facility classification, the applicant shall not pay for each such capital facility classification.
(B) The credit prescribed by this subsection applies only to the property served and only to the capital facility impact fees owed to the city and not to other fees, taxes or charges.
(C) No refund shall be paid to any person.
(4) Small Additions to Residential Uses. An accessory building of a residential use or an addition to an existing dwelling unit of two hundred square feet or less shall be exempt from paying an impact fee. This exemption shall only be used one time for each dwelling unit in existence on January 1, 2010.
(d) Interpretation of Nonresidential Use Classifications: The city manager may decide questions of interpretation of the use classification or to which category uses not specifically listed as a nonresidential use in Table 3 of section 4-20-62, "Capital Facility Impact Fee," B.R.C. 1981, are properly assigned. This decision shall be based on precedents, similar situations, relative impacts, trip generation rates, employees per demand unit or the methodology used to create such classifications in the "Development Impact Fee Study" prepared by Tischler-Bise, Fiscal, Economic & Planning Consultants, dated January 8, 2009.
(e) Appeal: Any fee payer aggrieved by a decision of the city manager under subsection (d) above may request a hearing under the procedures prescribed by chapter 1-3, "Quasi-Judicial Hearings," B.R.C. 1981. The hearing officer shall be someone other than the person charged with the original decision.
(f) Measurement of Floor Area: No person applying for a building permit shall fail to provide the city with a floor area measurement for nonresidential, number of rooms for lodging, number of students for daycare, number of beds for nursing homes and the floor area measurement per housing unit for residential development of the proposed building. The floor area measurement shall be signed by a professional engineer or architect licensed by the state of Colorado, or in another form acceptable to the city manager at the time of such application. The fee imposed by this chapter shall be apportioned according to such measurement. The rate of fee for each accessory use shall be the same as that for the principal development to which the accessory use is related.
(g) Rate at time of Application: The fee shall be calculated and charged at the rates in effect at the time of acceptance of a complete application for a building permit.
Ordinance No. 7698 (2009)
8-9-4 Capital Facility Impact Fee Credit.
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(a) The city manager may grant a capital facility impact fee credit on any or all of the fees imposed by this chapter if secured by a development agreement, subdivision improvement agreement or other legally binding instrument finds that the person has agreed to make and dedicate to the city any capital improvements beyond those required by any provision of this code that would benefit the public at large to the same degree as collection of the impact fee, and that granting the credit will not result in a substantial increase in the city's costs of providing capital improvements in the future.
The amount of the credit shall be equal to the cost of such improvements to the person, as determined by the city manager, and in no event shall the credit be greater than the amount of impact fee that would be due on the property. No certificate of occupancy, temporary or otherwise, shall be issued for the property until such improvements have been completed to the satisfaction of the city manager and dedicated to the city, or a financial guarantee in a form allowed under section 9-12-13, "Subdivider Financial Guarantees," B.R.C. 1981, and in an amount sufficient to secure the full costs, as determined by the city manager, of constructing or installing the improvements, has been provided by the developer.
Ordinance No. 7698 (2009)
8-9-5 Capital Facility Impact Fee to be Earmarked.
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The city shall establish and maintain an impact fee account for each category of public facility for which an impact fee is imposed. Each such account must be clearly identified as to the category of public facility for which the impact fee has been imposed.
The city shall reflect the historical allocation of the impact fee in each annual budget. The funds collected will be allocated according to the following public facility categories; library, parks and recreation, human services, municipal facilities, police and fire and shall be used exclusively for the purpose of capital improvements related to each particular category.
Ordinance No. 7698 (2009)
The city manager is authorized to adopt rules and regulations necessary in order to interpret, further define or implement the provisions of this chapter.
Ordinance No. 7698 (2009)
28 Adopted by Ordinance No. 7698.