18 - Development FeesItem No. 18
memorandum
TO: Mayor & Council
FROM: John Godwin, City Manager
SUBJECT: DEVELOPMENT FEES
DATE: July 12, 2019
BACKGROUND: Cities collect fees for various development related services in order to recoup
the costs of the municipality for providing those services. Fees should never be used to generate
revenue for the sake of bringing in more money, or to make a "profit." However, most cities
make an effort to break even when it comes to development costs, the notion being that
development should pay for itself. When it fails to pay for itself, those services are subsidized
by taxes paid by those not benefiting directly from the services rendered.
Another issue that has arisen for us is a new state law that prohibits fees from being based on the
value of the property or improvements. Like many cities, we have for very many years based
many of our building fees on the estimated value of the improvements, so we must make changes
to our fee structure.
STATUS OF ISSUE: Paris has been reticent to raise fees for many years, and as a result current
fees significantly lag behind actual costs. One concern is that such fees may drive development
away. However, virtually every study on development fees shows that not to be the case,
especially in a city like Paris which does not even collect many of the typical charges, like
impact fees, assessed on new development. To test that theory here, a few years ago we placed a
moratorium on the collection of all development fees for six months. There was no impact on
the number of permits requested; however, there was a loss of revenue and a greater reliance on
taxes paid by existing residents. Fees that have not been updated to reflect actual costs, in some
cases since the 1970s, need to be changed; and we must come into compliance with new state
statutes.
BUDGET: Will generate additional revenues.
RECOMMENDATION: Discussion only; ordinance of adoption scheduled for September 16 as
part of the overall city budget.
2019 Building Permit Fee Survey
I �ni,M
Dennison Comm...
Mount PI - - - rt Sulphur Springs
Greenville
T¢xarkana
Sh¢rman
WATER & SEWER TAP FEE UPDATES
-
Accessory Builtling.
-- -7 -77 71 -
-
$50.00 $5000
$38.60 $50.00
$75.00
... . .
$76plus .25sf
...........
Mpar sqfoot
After Hr. Comm
$100.00 $125.00
NA $150
$100.00
$75 per trade
$7,00
.
"inspection - Res
. ..... - - - -
______w.____"""""__.....,.._...._..._.,....
i166.00 $76.92
NA MO
$100.00
$75 per trade
$77.00
BOA
$150.00
52130.00
$250.00 $225
$300.00
$150.00
$140.00
53,237,00
$3.260.00
S5,?J0.011 $3,940.DO
$5.000.00
I $4.9115.00
$6,000,O0
Co
$50.00
$100.00$20.00
$20000$20000S5o.00
$5000
Conpete
'=
$50.00
$35.00
$20M
$75.03
$12.50 plus $20a
850.00
md
Demolition
$150 for Ccamnesdal
$13RZT2_500
$5000
Electrical (soma as Plbg. end MI
r
$5000
$50.00
520.00 $50 in?
$75.00
$25.00
$5100
Fame.
$50.00
$50.00
520.00
$40.00
$75.00
MOD
$50.00
Sis.
$60.00
$55.00
$50.00
Pd.. 00 P.M. =0
$100 Public $50 Private
$125.00
$250.00
II -Res
.
. .... . . ..
$75.00
..... . . ..... . . ........ . ... . . .
MOO
.......... . ....
$20.00
.................. . ........................ .
110 rnh
.. .... .........
1 $7500
.
$75.00
.......................... . . . .
$50.00
$125.00
MOO
520.00
$50 m1n
$75.00
$150 00
$50.00
$50.00
------------
$75.00
$75.00
$5000
Pool
$00.00
$130.00
$50.00
$230.00
$100-00
$125.00
$250.00
F-in -
W sp Fee
.............................
.... .......................................................
. ........................... ...................
Uuw
. ................. . ............. . . ...
$125.00
$20.01
F $40.00
(1)$25 (2) $90 (3.) $100
$25.66
. ...........
550,00
Roofing $10,000 value
$50.00
$80.00
$20.00
$50
$75.0
$75.00
$50.00
New Single Family 2000sf
$800.00
$1.000,00
.. . ..............................
$502.00
. .................................
$1,340+00
.......................................................................................
$1356.D0
. .............................
$750.00
. ...................................
$90000
Sign (based On size)
$1004200
$50-100
$755250
$100.00
$100.00
BigW-�irfirWi .... . . ........ - - -
$150.130
$200.00
$50.00
simoo
$150.00
$150.00
$140.00
$30000
$200.00
$5000
$225.00
$250.00
NA
MOM
Temp. Const. & Sales trallar
NA
5250.00
F
NA
C.nt..t.rF.
... . ..... . .....
$50M$Oko
------
--------$000 -
$10000
$0.00
$5000
$50.00
$100.00
$50.00
$50
$75 or .25 sq It
$78 plus.25 sq It
$70.00
Plan R..I- Fee.
Actual 1111
NA
Res NA Co.. $50
Re. NA Comm � 500Df 110% of
$500.00
NA
.............. ............... .............
L�
mrit feeI
WATER & SEWER TAP FEE UPDATES
D,,ISTING I,Ol °x"SI D
CHANGE
WATER P I w' 1°a.3
P l IC�JI ?i :� D
CHANGE
980.00....
Standard 4" Sewer Tap in dirt -same side
Standard 1"Water Tap in pavement
"'j '�a
$ 340.00
Standard 1" Water Tap in dirt - same side
_
$ 90.00
Standard 2"Water Tap in pavementi
r ,, r,�
$ -
Standard 2"Water Tap indirt - same side
q, �✓
$
Split water service in dirt - same side -
I w" 'o
$ 110.00
Split water service in pavement
++: : ,
$ 700.00
* No 2 1/2" or 3" Water Taps by city forces.
** Fee for water taps requiring bore across any street will be charged at cost for the work.
+** City will not install core taps for utility construction work. Taps 4" or larger shall be
installed by utility contractor with city oversight/inspection.
SEWER
D,,ISTING I,Ol °x"SI D
CHANGE
Standard 4" Sewer Tap in pavement
w $
980.00....
Standard 4" Sewer Tap in dirt -same side
,`, i,i. $
160.00
Standard 6" Sewer Tap in pavement
1,140.00
Standard 6" Sewer Tap in dirt - same side?
c' $
240.00
Split sewer service in dirt- same side
90.00
Split sewer service in pavement
$
700.00
* Sewer taps 6" and larger require a manhole to be installed at the intersection.
** Manholes are required at any change in direction or elevation.
*** Sewer taps requiring bore across any street will be charged at cost for the work.
All water and sewer fees are based on local streets requiring typical pavement restoration.
Where the street section is more than 6" thick, additional fees will be included for the
pavement restoration.