City of Brighton
500 S. 4th Avenue
Brighton, CO 80601
Special Meeting Minutes - Draft
Tuesday, October 24, 2017
6:00 PM
Special Meeting
Study Session Room
City Council
MAYOR - RICHARD N MCLEAN
MAYOR PRO-TEM - KEN KREUTZER
COUNCIL MEMBERS:
LYNN BACA, REX BELL, JW EDWARDS
MARK HUMBERT, JOAN KNISS,
MARY ELLEN POLLACK, KIRBY WALLIN
1. CALL TO ORDER
Mayor McLean called the meeting to order at 6:01 p.m.
A. Pledge of Allegiance to the American Flag.
Councilmember Bell led the recitation of the Pledge of Allegiance to the American Flag.
B. Roll Call.
Present: 9 - Mayor McLean, Mayor Pro Tem Kreutzer, Councilmember Baca, Councilmember Bell, Councilmember Edwards, Councilmember Humbert, Councilmember Kniss, Councilmember Pollack, and Councilmember Wallin
2. APPROVAL OF REGULAR AGENDA
Motion by Councilmember Kniss, seconded by Councilmember Humbert, to approve the Regular Agenda as presented. Motion passed by the following vote:
Aye: 9 - Mayor McLean, Mayor Pro Tem Kreutzer, Councilmember Baca, Councilmember Bell, Councilmember Edwards, Councilmember Humbert, Councilmember Kniss, Councilmember Pollack, and Councilmember Wallin
3. PUBLIC INVITED TO BE HEARD ON MATTERS NOT ON THE AGENDA
(Speakers limited to five minutes)
4. RESOLUTIONS
A. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRIGHTON, COLORADO APPROVING AN INTERGOVERNMENTAL AGREEMENT FOR THE ASSESSMENT, COLLECTION AND REMITTANCE OF EMERGENCY SERVICES IMPACT FEES BETWEEN THE CITY OF BRIGHTON AND THE GREATER BRIGHTON FIRE PROTECTION DISTRICT (THE “IGA”); AUTHORIZING THE MAYOR TO EXECUTE SAID IGA ON BEHALF OF THE CITY OF BRIGHTON AND THE CITY CLERK TO ATTEST THERETO; AND SETTING FORTH OTHER DETAILS RELATED THERETO
Mayor McLean read the title of the Resolution into the record.
Assistant City Manager of Development Marv Falconburg introduced Associate Planner Mike Tylka and Community Development Director Holly Prather.
Associate Planner Mike Tylka presented the proposal from the Greater Brighton Fire Protection District for City Council approval of an Intergovernmental Agreement regarding the assessment of an impact fee on new development. The State Legislature passed Senate Bill 16-1088 in 2016 which allows fire districts to impose an impact fee on new development. Fire districts argue that the mill levy they currently collect is only adequate to provide services to the existing population. The Bill grants the municipality the sole discretion in determining if this particular fee is to be imposed by the fire districts within their boundary. City Council previously directed staff to prepare a draft agreement for consideration.
The fee must be used on capital facilities needed to serve new development and the Fire District must quantify the impact of the development on existing facilities and be able to justify the amount of the new impact fee. The impact fee cannot be used to address deficiencies that have existed prior to the proposed new development. The imposition of the fee would be payble at the issuance of the development permit by the City for the new development. Commercial and retail development will be assessed at $460.00 per 1000 sq. ft. of building space. Industrial and warehouse projects will be assessed at $60.00 per 1000 sq. ft. of building space. Single-family residential units per dwelling unit will be assessed $688.00. Multi-family residential units per dwelling unit will be assessed $550.00.
Regarding other local jurisdictions in the Fire District boundaries, Adams County has been working on an IGA and staff is giving the Commissioners an update tonight, no formal vote has occurred. Commerce City presented the matter to its Planning Commission and they voted 3-2 in opposition of imposing the fee. The item was presented to the Commerce City Council at Study Session and staff was directed to prepare an IGA for approval in November. Staff has not been apprised of any progress by Lochbuie or Weld County in moving toward imposing the impact fee for the Fire District. Few municipalities in Colorado have moved to impose the new fee, the Town of Elizabeth and Town of Monument have approved this fee. The fee in Monument is contingent on El Paso County approving the fee. Durango is working toward approval and the South Adams Fire District is close to a formal vote in Commerce City. the Fire District has indicated that the fees sought to be imposed in Brighton will mirror those of the South Adams Fire District in Commerce City.
Several items were examined by staff when putting the proposed IGA together for approval of these fees. These items include: further examination of the methodology used to calculate impact fees and the District Fee Study was warranted; if the City is justifying the fee by signing the IGA; how the determination is made where the impact fees will be used according to their collection; if the effective date should be contingent on other entities approval within the District boundaries; and if City residents will pay a disproportionate impact fee as related to those in other jurisdictions.
The IGA grants an exemption for low income and affordable housing as defined by the City. It is drafted with language that the District understands that this is not the City endorsing the fees or the Fee Study. It allows an in-kind contribution that may be agreed to by the developer and the District in lieu of paying the impact fee. It stipulates that no site specific dedication or improvement shall be required to meet the same for which the impact fee is being imposed. It determines that a fee study update shall be prepared by the District and received by the City no less frequently than within a seven (7) year period. The IGA itself lays out that responsibility for collection of the fee is solely on the District and that the City will not issue a building permit until a receipt is received of that payment within a forty-eight (48) hour period. After that time, the City can move forward to issue the permit without verification that the fee has been paid. It is also stated that a written report shall be prepared by the District and received by the City annually on how the impact fees are being used within the District. It also states that the City can terminate the IGA any time by giving a 365 day prior notice and that termination by the City can occur after an updated fee study and updated nexus study have been conducted, if the City does not agree with the studies within a 30 day period, and notice of termination is given with a 30 day termination deadline.
Community Development Director Holly Prather, City Attorney Margaret Brubaker and Fire Chief Mark Bodane answered questions from Council regarding:
• The original fees that were proposed by the Fire District.
• The fees for commercial and retail having gone down.
• The District getting a reduced amount or no fee from low income and affordable housing.
• The reduction for low income and affordable housing being consistent with City policy.
• The City’s impact fees being increased since the study three (3) years ago.
• The City hiring a consultant to review the need to increase impact fees similar to the Fire District process.
• The City waiving impact fees for non-profits.
• The City charging impact fees to the school district.
• Further explanation of the termination clause in the IGA.
• The termination clause being an administrative process or the termination coming to City Council for approval.
• A precedent that any IGA will go to City Council for approval.
• An example of “in-kind” contribution being real property.
• Insurance rates being based on Fire Department response times.
• This impact fee making sure that additional fire stations will be located near new homes.
• More fire stations being a benefit for insurance costs.
Valerie Escatel, Executive Team for Brighton Economic Development. Ms. Escatel asked that the decision to adopt the impact fees be postponed until next year to allow Economic Development to complete a study of impact fees to understand and be prepared to have a better impact on businesses in the City of Brighton.
Wesley LaVanchy, Brookfield Residential. Mr. LaVanchy asked that this vote be postponed until next year so the City can do a full analysis on the totality of the impact fees and how that will compare and compete with surrounding municipalities.
Steven Saules, Development Planning and Financing Group on behalf of other homebuilders. The homebuilders are concerned about the methodology and calculations behind some of these fees. Mr. Saules asked to see the information that was derived from the Charles Wilson Insurance Agency regarding the valuation of the fire stations and why that information differs from the information from the Adams County Assessor’s Office. Mr. Saules asked to review the report or a reduction in costs by 39%. Mr. Saules questioned the ability of the Fire District to acquire outside funding sources as they did for the new fire station with a grant from the Department of Local Affairs and this should be included in the calculation process for future funding. Mr. Saules expressed his concern that residential should be paying for 100% of the District service calls even though there are other uses that receive fire service.
Molly Fitzpatrick, BDC Research and Consulting. Ms. Fitzpatrick explained that the insurance valuation data provides a more accurate representation of the value of the structure over the assessor’s data. This information is not something that can be shared with the public by BDC, Chief Bodane will have to respond to that request for information. Ms. Fitzpatrick explained that grant funding is not typically used for capital funding and is therefore used as an offset for the capital funding. Ms. Fitzpatrick explained that for the uses like car accidents that do not have a specific driver, those calls will be excluded from how the allocations are made. A burden is not being added to residential or commercial. The total square footage of residential, commercial, and industrial is also being looked at for how to allocate the costs.
Wayne Scott, 274 South 3rd Avenue, Brighton. Mr. Scott explained that the City is justifying their needs by placing a Use Tax on the ballot and the Fire Department is justifying their needs by requesting this impact fee. Mr. Scott encouraged City Council to support this item and it goes along with the mission that growth must pay for itself.
Dean Morris, Fire District Board President. Mr. Morris thanked City Council for considering the Fire Impact Fee IGA. This IGA represents a collaborative approach between the City and the Fire District. The impact fees will offset new development on the existing community. The need for fire impact fees is the same as the need for the City’s impact fees for parks, streets, water, sewer and storm water. These fees will help with the needs for new facilities in the community. The new facility on 40th Avenue will help to better serve the northeast portion of the City. The effect of new development has played a significant part on these projects. The Fire District paid nearly $200,000.00 in impact fees to both jurisdictions when building their new facilities. The Fire District Board is committed to the community to maintain and when possible improve the level of service to the community. As building occurs, there will be a need for additional fire stations and equipment to maintain service in the community.
Fire Chief Mark Bodane answered questions from Council regarding:
• The way the Fire District kept up with growth in the past before the bill passed in 2016.
Mayor McLean read into the record a letter from the Bromley Companies requesting a postponement until more information can be obtained from the Fire District, other municipalities and until an Economic Development analysis can be done.
Motion by Councilmember Baca, seconded by Councilmember Kniss, to approve Resolution 2017-122 approving an Intergovernmental Agreement for the assessment, collection and remittance of Emergency Services Impact Fees between the City of Brighton and the Greater Brighton Fire Protection District (the “IGA”); authorizing the Mayor to execute said IGA on behalf of the City of Brighton and the City Clerk to attest thereto; and setting forth other details related thereto with the following fees: Commercial Retail $0.46 per sq. ft., Industrial Warehouse $0.06 per sq. ft., Single-family $688.00 per dwelling, Multi-family $550.00 per dwelling. Motion passed by the following vote:
Aye: 8 - Mayor McLean, Mayor Pro Tem Kreutzer, Councilmember Baca, Councilmember
Edwards, Councilmember Humbert, Councilmember Kniss, Councilmember Pollack, and Councilmember Wallin
No: 1 - Councilmember Bell
5. EXECUTIVE SESSION
6. ADJOURNMENT
Motion by Mayor Pro Tem Kreutzer, seconded by Councilmember Baca, to adjourn at 7:16 p.m. Motion passed by the following vote:
Aye: 9 - Mayor McLean, Mayor Pro Tem Kreutzer, Councilmember Baca, Councilmember Bell, Councilmember Edwards, Councilmember Humbert, Councilmember Kniss, Councilmember Pollack, and Councilmember Wallin
CITY OF BRIGHTON, COLORADO
_____________________________
Richard N. McLean, Mayor
ATTEST:
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Natalie Hoel, City Clerk
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Approval Date