There are several financial mechanisms used by the City to develop infrastructure to accommodate growth that have important ramifications for developers:
Impact fees pay for infrastructure and improvements necessary to accommodate new development and are usually specified in an infrastructure improvement plan. In certain circumstances, developers who build and finance new infrastructure and improvements on their own may earn credits which can be applied toward applicable impact fees. Impact fees may be reduced or offset by user fee or debt service revenue streams.
Water Resource Acquisition Fees
Water Resource Acquisition Fees pay new development’s proportionate share of the City’s costs to provide water resources for new development. Fees are calculated by meter size and location of the proposed development within the city. Currently, the City is divided into two fee zones.
Development Occupational Fees
Like impact fees, water and sewer Development Occupational Fees are also designed to defray the costs of infrastructure improvements, but are charged when new development is connected to the water and wastewater systems.
Repayments agreements between the City and developers allow developers and land owners that install oversized water or wastewater facilities to recoup a portion of their initial costs when other developers tie into the infrastructure at a later date.