1. Orange County Government Adoption Public Hearing May 10, 2016 Board of County Commissioners School Impact Fee Update

2. Presentation Outline Background Recommendations Ordinance Overview Ordinance Changes Action Requested

3. Background Impact fees Fire/Rescue Services Law Enforcement Roads Parks and Recreation Schools

4. Background (cont.) School Impact Fee Residential uses only Required to be countywide Collected by the County and municipalities Fee distributed to OCPS, less administrative fees Required to be reviewed every 4 years

5. Background (cont.) Consultant Updates Study Advisory Group Review - Aug. ‘15 – April ’16 School Board Work Session – Jan. 19, 2016 PZC/LPA Work Session – Feb. 18, 2016 PZC/LPA Adoption Hearing – Mar. 17, 2016 BCC Work Session – Apr. 5, 2016 School Board Adoption Meeting – Apr. 12, 2016 BCC Adoption Hearing – May 10, 2016 Proposed Effective Date – Aug. 15, 2016

6. Background (cont.) Net Impact Fee = (Cost – Credit) x Demand Asset Value per Student Non-Impact Fee Revenue per Student Students per Residential Unit

7. School Impact Fee Methodology Consumption-based methodology Inventory Facility service delivery Cost component Credit component Student generation rate

8. Revenue Sources Capital Facility Revenue Sources Capital Millage –Cap of 1.5 mils School Capital Outlay Surtax – Up to 0.5% State Funding Impact Fees

9. Net Cost Per Student Net Cost Per Student Comparison (2011 vs. 2015)

10. Student Generation Rate Student Generation Rate Comparison (2011 vs. 2015)

11. School Impact Fee Schedule Calculated School Impact Fee Schedule

12. Fee Comparison

13. Existing vs Proposed Fees

14. PZC/LPA Recommendations Recommended a finding of consistency with the Comprehensive Plan Requested staff work with the School Impact Fee Advisory Group to propose an incremental fee increase After the PZC/LPA hearing, staff removed unneeded language, completed relevant dates, and added language regarding impact fee refunds at the request of OCPS.

15. School Impact Fee Advisory Group Recommendations Approved school impact fee study and recommended: Delaying School Impact Fee rate increase until January 1, 2017 Allowing townhouse projects to defer school impact fee until certificate of occupancy Revising alternative school impact fee language and include the applicable municipality in the review

16. Orange County School Board Recommendations Approve the increase in accordance with the state impact fee statute and implement the full increase 90 days from adoption Do not allow townhouses to defer the school impact fee until certificate of occupancy

17. Ordinance Overview Revised/added definitions Updated references to impact fee study Updated impact fee amounts –added townhouse category Added exemptions for student housing –now includes private schools

18. Ordinance Overview (cont.) Removed unused sections (workforce housing pilot program) Added language allowing OCPS to enter into separate agreements with municipalities regarding processing of impact fee refunds Updated student generation rates in Chapter 34

19. Ordinance Changes Add Section 5 to read as follows: –On or before May 16, 2016, the Community, Environmental, and Development Services Department shall post notice in the Building Safety Division, and in the appropriate location on the County website, stating that the Board has adopted this Ordinance imposing new and increased school impact fees, effective August 15, 2016

20. Ordinance Changes (cont.) Amend Section 23-163 (“Workforce and affordable housing.”) as reflected on overhead Amend Section 23-144 (“Alternative school impact fee calculation.”) as reflected on overhead

21. Action Requested ● Make a finding of consistency with the comprehensive plan (CP); ● Allow staff to correct any non-substantial grammatical or scrivener’s errors;

22. Action Requested (cont.) Approval of an ordinance affecting the use of land in Orange County, Florida, relating to school impact fees and associated student generation rates; amending the Orange County School Impact Fee Ordinance codified at Article V, Chapter 23 of the Orange County Code; amending Section 34-155 of the Orange County Subdivision Regulations to reflect updated student generation rates, consistent with today’s Board actions; and providing an effective date.

23. Impairment of Contract Constitutional provision prohibiting laws that impair obligation of contracts New park impact fee in 2006 and school impact fees increases in 2005 and 2007 Created delays and workforce / cost issues All school contracts and capacity reservation certificate applications provide notice Ordinance provides notice Statute requires 90-day delay for increase

24. Comprehensive Plan Reference PS4.1.4Orange County in consultation with OCPS and Orange County Municipalities (Municipalities) shall review and update the school impact fee study at least once every four (4) years. (Also see ICE1.16.1) PS4.1.5With the School Board, review and recommend amendments, as necessary, to the school impact fee ordinance, consistent with current applicable law.

25. Comprehensive Plan Reference CIE1.4.1Orange County shall continue to impose impact fees as a means of establishing and paying for future development's proportional cost of capital improvements.

26. Comprehensive Plan Reference OBJ CIE1.6New development shall bear the incremental capital costs for all facilities and services, as defined by documentation for existing and future impact fees and other funding mechanisms, necessary to accommodate the new development’s impacts and to maintain the adopted level of service. The Board of County Commissioners shall have the ability to determine and implement the appropriate capital costs and rates (e.g., impact fees) at their discretion.

27. Comprehensive Plan Reference CIE1.6.1Orange County shall assess impact fees on new development to cover the incremental capital costs for all facilities and services to provide those services to new growth. (Amended 09/13, Ord. 2013-19) CIE1.6.2Impact fees shall continue to be used to fund capital facility needs resulting from new development and shall not be used to fund existing deficiencies.