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HomeMy WebLinkAboutR06-075 Adopting emergency service provider impact fees Commissioner adoption BOARD OF EAGLE COUNTY COMMISSIONERS COUNTY OF EAGLE, STATE OF COLORADO RESOLUTION NO. 2006- IN THE MATTER OF ADOPTING EMERGENCY SERVICE PROVIDER IMPACT FEES WITHIN THE BASALT & RURAL FIRE PROTECTION DISTRICT, GREATER EAGLE FIRE PROTECTION DISTRICT, GYPSUM FIRE PROTECTION DISTRICT AND THE WESTERN EAGLE COUNTY AMBULANCE DISTRICT WHEREAS, the Board of County Commissioners of Eagle, State of Colorado (hereinafter the "Board"), is authorized, pursuant to state enabling legislation including, but not limited to, C.RS. 30-28-101, et seq., to plan for and regulate the use and development ofland in the unincorporated territory of the County of Eagle, State of Colorado, for the purpose of promoting the health, safety, convenience, order, prosperity, and welfare of the present and future inhabitants ofthe County of Eagle; and WHEREAS, Sections 23-30-305 and 30-11-107, c.R.S. give boards of county commissioners the discretion to cooperate with governing bodies of organized Emergency Service Providers and fire departments in the management and suppression of fires, in the organization and training of rural fire fighting groups, the payment for operation and maintenance of fire fighting equipment, and in sharing the cost of managing fires; and WHEREAS, Sections 30-10-512 and 513, C.RS. require the county sheriffto assume the role of fire warden in case of prairie or forest fires and assumes charge of the fire or assist other governmental authorities in such emergencies for controlling or extinguishing such fires, and allow the county commissioners to appropriate funds for the purpose of controlling fires in its county; and WHEREAS, Section 30-20-504, C.RS. gives counties the authority to create local improvement Emergency Service Providers with the authority to provide fire protection and emergency medical services; and WHEREAS, Basalt & Rural Fire Protection District ("Basalt Fire"), Greater Eagle Fire Protection District ("Greater Eagle Fire") and Gypsum Fire Protection District ("Gypsum Fire") are quasi-municipal governments and political subdivisions of the State of Colorado operating pursuant to Article 1, Title 32, C.RS. to provide fire protection services within portions of Eagle County; and WHEREAS, Western Eagle County Ambulance District ("WECAD") is a quasi- municipal government and political subdivision of the State of Colorado operating pursuant to Article 1, Title 32, C.RS., to provide emergency medical services within a portion of Eagle County; and WHEREAS, Basalt Fire, Greater Eagle Fire, Gypsum Fire and WECAD, collectively referred to herein as "Emergency Service Providers", rely primarily on revenues from ad valorem property taxes to provide for their capital needs and to assure that they have available personnel, vehicles and equipment to respond and provide fire protection and emergency medical services to the Emergency Service Providers' residents and visitors; and WHEREAS, Eagle County is experiencing high rates of population growth, increased population density and increased demand for the services provided by the Emergency Service Providers as a result of land development within Eagle County; and WHEREAS, the construction of new developments within the territorial jurisdictions of the Emergency Service Providers is placing significant additional demands on fire protection and emergency medical services; and WHEREAS, the volume and pace of land development in the Emergency Service Providers' boundaries threatens the provision of adequate fire protection and emergency medical services; and WHEREAS, the demand for fire protection and emergency medical services is immediate upon development of residential and commercial growth even though the Emergency Service Providers' funding from tax revenues accrues well after the demand for services exists; and WHEREAS, the Board finds and determines that one of the primary roles of development review is to ensure essential public services and facilities, and that in order to promote and protect the convenience, order, prosperity and welfare of present and future inhabitants of Eagle County, a rational system for identifying growth related costs incurred by the Emergency Service Providers in providing new and expanded fire protection and emergency medical services made necessary by expanded population and economic activity levels is necessary, and a fee structure therefore directly related to such costs and method for collection of such fees should be adopted; and WHEREAS, the adoption of a requirement that developers of residential, non-residential and lodging developments pay fire protection and emergency medical impact fees as established herein will ensure that development bears a proportionate share of the cost of providing new and enhanced fire protection and emergency medical services necessary to accommodate such new development; and WHEREAS, the Local Government Land Use Control Enabling Act of 1974 ("Act"), Sections 29-20-101 et. seq., C.RS., Article 28 of Title 30, and other applicable law grant broad authority to the County to plan for and regulate the development of land on the basis of the impacts thereof on the community and surrounding areas; and in amending the Act in 2001, the Colorado General Assembly specifically allows local governments to impose impact fees to offset the cost of capital improvements necessary to serve new developments; and WHEREAS, Sections 29-1-801 et seq" C.RS., concerning land development charges recognize that counties may collect charges imposed on land development as a condition of the approval of development, if such charges relate to an expenditure for an improvement, facility, or piece of equipment necessitated by land development which is directly related to a local governmental service; and WHEREAS, the Local Government Land Use Control Enabling Act of 1974 authorizes and encourages local governments to cooperate or contract with other units of government for the purpose of regulating the development of land and the impacts thereof; and WHEREAS, Eagle County is authorized by statutory authority and by Colorado common law to regulate the development and use of land, and impose mitigation measures, including impact fees, upon proponents of land development activities if impacts related to the service demands created by the development are not adequately mitigated; and WHEREAS, Eagle County has adopted as part of the Eagle County Land Use Regulations Section 4-720, Emergency Service Impact Fees, which provides a program of Emergency Service Impact Fees to be imposed on development which generates a need for additional Emergency Service Capital Improvements, and the Emergency Service Impact Fee program contemplates the Board of County Commissioners establishing the amount of such fees by resolution as provided herein; and WHEREAS, the Public Safety Consultants completed fiscal impact studies for the Emergency Service Providers, which determined the net present value of the capital improvement costs that will be generated by new growth in the unincorporated portions of Eagle County located within the Emergency Service Providers' boundaries, and found those costs to be $458,317 for Basalt Fire, $936,193 for Greater Eagle Fire, $786,614 for Gypsum Fire, and $839,092 for WECAD; and these figures represent the capital expenditures by the Emergency Service Providers necessary to mitigate the impact of population growth from land development within the Emergency Service Providers' boundaries; and WHEREAS, the Board of County Commissioners finds and determines that adoption of impact fees for fire protection and emergency medical services within the Emergency Service Providers' boundaries as contained herein, is necessary and designed for the purpose of promoting the health, safety, convenience, order, prosperity and welfare of the present and future inhabitants of Eagle County and are consistent with the County's goals, policies and plans, including the Comprehensive Land Use Plan. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of the County of Eagle, State of Colorado: 1) That findings and projections contained the Eagle County Emergency Services Impact Fee Analysis for the Greater Eagle Fire Protection District, Gypsum Fire Protection District, Basalt & Rural Fire Protection District, and Western Eagle County Ambulance District, dated May 2006, performed by the Public Safety Consultants are hereby adopted. 2) That the attached Exhibit 'A' containing the calculation for the Emergency Service Impact Fees to be imposed by the County to mitigate impacts of land development activities on the provisions of fire protection and emergency medical services, is adopted. 3) The form of Intergovernmental Agreement Concerning the Collection, Payment and Use of Emergency Service Impact Fees attached as Exhibit 'B' ("IGA") is approved. The Chairman is authorized and directed to execute the IGA with each Emergency Service Provider for which an Emergency Service Impact Fee is adopted by this resolution. This resolution shall become operative with respect to a specific Emergency Service Provider only upon execution of the IGA by the County and the Emergency Service Provider. 4) Eagle County will commence collecting the Emergency Service Impact Fees on Monday, August 14,2006 pending completion ofa separate IGA with each participating District. MOVED, READ AND ADOPTED by the Board of County Commissioners of the County of Eagle, State of Colorado, at its regular meeting held the 1 I th day of July, 2006. COUNTY OF EAGLE, STATE OF COLORADO, by and through its BOARD OF COUNTY COMMISSIO RS ATTEST: By: Teak J. Simonton Clerk to the Board of County Commissioners ~ By: Tom . Stone, ommissioner ~ ~'\n \. \ , - /,/~ e By: ~. . , Am M. Menconi, Commissioner Commissioner seconded adoption of the foregoing Resolution. The roll having been vote was as follows: Commissioner Peter F. Runyon Commissioner Tom C. Stone Commissioner Am M. This Resolution passed by vote of the Board of County Commissioners of the County of Eagle, State of Colorado. Exhibit A Impact Fee Abstract Impact fees are based upon a dwelling unit equivalent (DUE). A dwelling unit equivalent is the dumber of dwelling units for residential properties, 2,000 square feet of nonresidential improvements other than lodging property and, and 800 square feet of lodging property. Jurisdiction Capital Annualized DUEs Impact Fee per Per Per Lodging Improvement Cost DUE Commercial Square Foot NPV Square Foot Greater Eaale 936,193 93,619 156 $ 601.12 $ 0.301 $ 0.751 Basalt 458,317 45,832 71 $ 647.02 $ 0.324 $ 0.809 Gypsum 786,614 78,661 128 $ 616.82 $ 0.308 $ 0.771 WECAD 622,393 62,239 221 $ 281.24 $ 0.141 $ 0.352 WECAD 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Cots 2,700 13,000 11,000 12,000 13,500 52,200 Misc. Ambulance Equipment 5,000 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 72,500 New Radios 17,000 14,000 5,000 5,000 5,000 46,000 Sigtronics Headsets 5,000 5,000 10,000 Mobile Data Terminals 5,000 5,500 6,000 13,000 29,500 AEDs 9,000 9,000 4,500 4500 27,000 LifePacks and Biphasic Units 25,000 25,000 30000 30000 110,000 New Ambulances 135,000 135,000 Replacement Ambulances 100,000 102500 105000 307,500 Administrative Vehicle Replacement 30000 30,000 Quick Response Vehicle 50,000 50,000 Quick Response Vehicle Replacement 55,000 55,000 Computer Eouioment 12,000 14,000 26,000 Health and Fitness Eouipment 5,000 12,000 5,000 5,000 27,000 Misc. Training Equipment 5,000 5,000 5,500 5,500 5,500 6,000 6,000 6,000 6,500 6,500 57,500 Dotsero Shared Facilitv 450,000 450,000 Eby Creek Facility Improvements 12,000 12,000 Appliances 0 0 12000 12,000 Boiler 15000 15,000 AC Units 6000 6,000 Roof 60000 60,000 Landscapino 10,250 10,250 Building Renovation 25,000 35000 60,000 Furniture 14,000 25,000 20,000 0 59,000 Gypsum Buildino Desion/Build 25,000 1,500,000 1,525,000 Alarm PaneVHeat Detectors 25,000 25,000 Storage Shed 5,000 5,000 117,950 1,588,500 272,000 13,000 251,000 13,500 224,000 18,000 180,500 596,000 3,274,450 Percent Attributed to New Growth Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Cots 1% 37,006 370 Misc. Arnbulance Equipment 8% 51,397 4,112 New Radios 5% 32,610 1,631 Sigtronics Headsets 0% 7,089 - Mobile Data Terminals 0% 20,913 - AEDs 15% 19.141 2,871 LifePacks and Biphasic Units 8% 77,981 6,238 New Arnbulances 8% 95,704 7,656 Replacernent Ambulances 10% 217,993 21,799 Adrninistrative Vehicle Replacement 10% 21,268 2,127 Quick Response Vehicle 25% 35,446 8,861 Quick Response Vehicle Replacement 25% 38,991 9,748 Computer Eouipment 10% 18,432 1,843 Health and Fitness Equipment 10% 19,141 1,914 Misc. Trainino Eouiornent 0% 40,763 - Dotsero Shared Facility 85% 319,013 271,161 Eby Creek Facility Improvements 45% 8,507 3,828 Appliances 0% 8,507 - Boiler 0% 10,634 - AC Units 0% 4,254 - Roof 0% 42,535 - Landscaping 0% 7,266 - Building Renovation 10% 42,535 4,254 Furniture 10% 41,826 4,183 Gypsum Building Design/Build 45% 1,081,101 486,496 Alarm Panel/Heat Detectors 0% 17,723 - Storage Shed 0% 3,545 - $ 839,092 Gypsum 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Dotsero Light Rescue 55,436 55,436 Brush Truck 66,523 66,523 Remodel Headquarters Station 200,000 200,000 400,000 Heavy Rescue - Lease 55,687 55,687 55,687 55,687 55,687 55,687 55,687 55,687 55,687 501,183 South Station - Albertson Ranch 229,505 229,505 Dotsero Station Shared - Lease 56,170 56,170 56,170 56,170 56,170 56,170 56,170 393,189 Dotsero Engine - Lease 39,991 39,991 39,991 39,991 39,991 39,991 39,991 279,936 Eagle/Gypsum Shared Facility - Lease 64,752 64,752 64,752 64,752 259,009 New Engine 366,756 366,756 UI Pumper 295,021 295,021 Tender 222,649 222,649 Replace Engine 39,991 39,991 39,991 39,991 39,991 39,991 39,991 279,936 Replace Tender 207,845 207,845 Rehabilitation Unit 150,000 150,000 Portable Equipment 16,068 16,631 17,213 17,815 18,439 19,084 19,752 20,443 21,159 21,900 188,504 75 Foot Quint - Lease 127,900 127,900 127,900 383,699 Total 216,068 394,277 302,404 417,499 655,299 433,571 276,343 404,934 772,405 406,390 $ 4,279,190 Percent Attributed to New Growth Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Dotsero Light Rescue 85% 39,300 33,405 Brush Truck 25% 47,159 11,790 Remodel Headquarters Station 5% 283,568 14,178 Heavy Rescue 10% 355,298 35,530 South Station - Albertson Ranch 50% 162,700 81,350 Dotsero Station 85% 278,739 236,928 Dotsero Engine 85% 198,452 168,684 Eagle/Gypsum Shared Facility 10% 183,616 18,362 New Engine 5% 260,000 13,000 UI Pumper 20% 209,146 41,829 Tender 45% 157,840 71,028 Replace Engine 0% 198,452 Replace Tender 10% 147,345 14,735 Rehabilitation Unit 16% 106,338 17,280 Portable Equiprnent 16% 133,634 21,716 75 Foot Quint 3% 272,011 6,800 $ 786,614 Basalt 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Pumper 130,000 I $130,000 Pumper-tender 200,000 ' $200,000 Pumper 200,000 $200,000 Ambulance 100,000 $100,000 Brush Truck 105,000 $105,000 Crew Cab 18,000 $18,000 Brush Truck 100,000 $100,000 Ambulance 80,000 $80,000 Staff Vehicle 36,000 $36,000 Heavy Rescue 350,000 $350,000 Ambulance 120,000 $120,000 Brush Truck 80,000 $80,000 Staff Truck 40,000 $40,000 ALS Jumo Unit 60,000 $60,000 Staff Truck 28,000 $28,000 Ambulance 80,000 $80,000 Service Truck 70,000 $70,000 Concept Truck 340,000 $340,000 Fire Prevention Vehicle 35,000 28,000 $63,000 Station 42 EI Jebell Shoo Area Addition 110,000 $110,000 Station 42 EI Jebell Office 20,000 $20,000 Station 41 Remodel (Basalt) 800,000 $800,000 Station 44 Remodel IOld Snowmass 356,006 $356,006 Station 43 Remodel Thomasville) 250,000 $250,000 New Station - Frvinooan 1,147,523 $1,147,523 New Station - Sooris Mountain 1,300,000 $1,300,000 Sale of Brush 43 2,000) -$2,000 Sale of Ambulance (4,000) -$4,000 Sale of E-41 140,000) -$40,000 Sale of Brush 41 (8,000 -$8,000 Portable Eouioment 11,000 11,440 11,898 12,374 12,868 13,383 13,919 14,475 15,054 15,656 $132,067 378,000 303,440 356,898 1,359,897 508,874 209,383 1,191,919 1,522,475 415,054 15,656 $6,261,596 I Percent Attributed to New Growth I I Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Pumper I 8% 92,159 7,373 Pumper-tender 8% 141,784 11,343 Pumper 8% 141,784 11,343 Ambulance 5% 70,892 3,545 Brush Truck 13% 74,436 9,677 Crew Cab 10% 12,761 1,276 Brush Truck 13% 70,892 9,216 Ambulance 5% 56,714 2,836 Staff Vehicle 5% 25,521 1,276 Heavy Rescue 10% 248,122 24,812 Ambulance 5% 85,070 4,254 Brush Truck 15% 56,714 8,507 Staff Truck 5% 28,357 1,418 ALS Jump Unit 10% 42,535 4,254 Staff Truck 5% 19,850 992 Ambulance 5% 56,714 2,836 Service Truck 5% 49,624 2,481 Concept Truck 10% 241,032 24,103 Fire Prevention Vehicle 10% 44,662 4,466 Station 42 (EI Jebel) Shop Area Addition 5% 77,981 3,899 Station 42 (EI Jebell Office Area Addition 5% 14,178 709 Station 41 Remodel (Basalt) 15% 567,135 85,070 Station 44 Remodel (Old Snowmass) 2% 252,379 5,048 Station 43 Remodel (Thomasville) 5% 177,230 8,861 New Station - Frvinaoan 15% 813,501 122,025 New Station - Sooris Mountain 10% 921,594 92,159 Sale of Brush 43 0% (1,418) - Sale of Ambulance 5% (2,836 (142 Sale of E-41 0% (28,357) - Sale of Brush 41 0% (5,671) - Portable EQuioment I 5% 93,625 4,681 I $ 458,317 Eagle 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Technical Rescue 6,000 6,000 Rescue Tool 20,000 30000 50,000 Misc. Fire Fighting Equipment 2,000 13,000 13,000 13,000 15,000 15,000 15,000 15,000 15,000 15,000 131,000 Misc. Radio Equipment 10,000 5,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 23,000 AEDs 14,000 21000 35,000 Misc. Medical 500 500 500 500 500 500 500 500 500 500 5,000 Additional Basic Tender 200,000 200,000 Replace 911 260,000 260.000 Replace Staff Vehicle 50,000 50,000 Crew Cab Pickup 50,000 50.000 UI Pumper 300,000 300,000 Station 2 Engine 365,050 365,050 Wolcott Engine 354000 354,000 Gypsum Shared Facility Rescue - Lease 58277.06 58277.06 116,554 Wolcott Tender 220000 220,000 Station 2 Utility/Brush Truck 85,000 85,000 Computer Equipment 8,000 4,000 20000 32,000 PDAs 1,800 1,800 Copier 15,000 15,000 Apparel - Bunker Gear 8,337 8,837 9,368 9,930 10,525 11,157 11,826 12,536 13,288 14,085 109,890 SCBA 3,000 3,000 3,000 10,000 3,000 3000 3000 4000 4000 6000 42,000 Compressor 30,000 30,000 Health and Fitness Equipment 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 10,000 Misc. Training Equipment 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 1,200 12,000 Emergency Generator 35,000 35,000 Eagle/Gypsum Shared Facility - Lease 64752.29 64752.29 64752.29 64752.29 259,009 Station 2 Construction - Lease 120,364 120,364 120363 9 120363.9 120363.9 120363.9 120363.9 842,547 Wolcott Land 250000 250,000 Wolcott Station 64,752 64,752 64,752 64,752 64,752 64,752 388,514 Misc. Facilities 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 10,000 376,037 577,537 75,068 613,644 518,342 238,973 638,395 286,104 565,134 398,931 $4,288,364 Percent Attributed to New Growth Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Technical Rescue 15% 4,254 638 Rescue Tool 15% 35,446 5,317 Misc. Fire Fighting Equipment 15% 92,868 13,930 Misc. Radio Equipment 15% 16,305 2,446 AEDs 15% 24,812 3,722 Misc. Medical 0% 3,545 Additional Basic Tender 25% 141,784 35,446 Replace 911 10% 184,319 18.432 Replace Staff Vehicle 0% 35,446 Crew Cab Pickup 2% 35.446 709 Ul Pumper 25% 212,676 53,169 Station 2 Engine 10% 258,791 25,879 Wolcott Engine 80% 250,957 200,766 Gypsum Shared Facility Rescue - Lea 10% 82,627 8,263 Wolcott Tender 45% 155,962 70,183 Station 2 Utility/Brush Truck 10% 60,258 6,026 Computer Equipment 10% 22,685 2,269 PDAs 0% 1,276 Copier 10% 10,634 1,063 Apparel - Bunker Gear 10% 77,903 7,790 SCBA 10% 29,775 2,977 Compressor 10% 21,268 2,127 Health and Fitness Equipment 0% 7,089 Misc. Training Equipment 0% 8,507 Emergency Generator 20% 24,812 4,962 Eagle/Gypsum Shared Facility - Lease 10% 183,616 18,362 Station 2 Construction - Lease 15% 597,298 89,595 Wolcott Land 80% 177,230 141,784 Wolcott Station 80% 275,425 220,340 Misc. Facilities 7,089 $ 936,193 EAGLE COUNTY EMERGENCY SERVICES IMP ACT FEE ANALYSIS GREA TER EAGLE FIRE PROTECTION DISTRICT GYPSUM FIRE PROTECTION DISTRICT BASALT & RURAL FIRE PROTECTION DISTRICT WESTERN EAGLE COUNTY AMBULANCE DISTRICT REVISED MAY 2006 Public Safety Consultants 1221 Pearl Street Boulder, Colorado 80302, USA www.fire-department.com I Table of Contents Table of Contents,.....". ..., ......., ......... .., ......,........... ......................,....,........ .................. ........... .,. ...."................... ...... 2 Notes on the Revision ..., ......... ,.,.... ...... ...... ...,.. ............., ........... ....... .....,........, ,.,................ ....... .......... ....,....., ........... 3 Impact Fees.. ..... ........,.. ....,.. ........ ....,...,.............,.......... ......................., ...... ........, ...."........,.. ..,...... ......., ,............... .... 3 Developers' Rights........., ........ ,....... ..... ........... ............. ,....,..., .....,..".. .,.... ......,., ,...,..,............, ,........,....... .............. 4 Rationale... ,..., ,.... ...... ....., ...... ..... ,......,.. .......,... ........ ......,....... ....... ...... ...... ........, ........... .... ...." ,..... ........., .,., ,.. ........ 4 Impact Fee Standards .......... ...... ..,............." ...... ...." ....... ,...... ,..... ....."....,...,.." ......,....., .......... .......",."..... ..........". 4 Development in Unincorporated Eagle County ......."......................"..,....,....",..,.....,..........,..,...,....,.,..,...........,..,.,..6 Determining the Impact Fee ..,...,....".. .....,. ....,....... ..,....,.......,. ......,....,. ,.............,........ ...... ,.... ...... ........... ...... ...., ....,. II Capital Improvements... ,...........,... ....... ..... ...... .......,. ..........". .....,.,......., .......,....,.... .........". .,....,.. ,............. .....,..., 12 The Districts' Proposed Fees ......, ,." .....,...,.. .....",..... ,. ,..,.... .........." ............ ,." .....,........ ,., ,.. ..........,........ .......,.. ...,.... 21 2 Notes on the Revision This report is a revision of the November 2004 Eagle County Emergency Services Impact Fee Analysis, This revision incorporates the following changes: . Revised capital improvement plans . Capital expenditures that were made in 2004 and 2005 . The new boundaries of the Gypsum Fire Protection District . A new facility shared by the Greater Eagle and Gypsum fire districts . Sharing of a Dotsero facility by the Gypsum Fire and Western Eagle County Ambulance districts . The 2005 revision of the Eagle County Dwelling Unit Analysis . Changes in proportions of capital equipment use based upon growth within incorporated areas of Eagle County . Sale of replaced equipment Impact Fees Impact fees are "single payments required to be made by builders or developers at the time of development and calculated to be the proportionate share of the capital cost of providing major facilities." Impact fees are used to achieve two primary responsibilities of local government- land use regulation and provision of public facilities. Impact fees are equitable in that they help shift the burden of paying for new facilities onto the new development that will directly benefit from the new facilities. The premise on which impact fees are based is that development should pay for the cost of providing the facilities necessary to accommodate growth. The basic underlying principle of impact fees is that all development which uses up a measurable amount of capacity on public infrastructure should be responsible to offset or make up for those impacts, Infrastructure is generally defined as those services necessary for the development of land and provision of public safety. The costs of projects needed to support growth that are financed with impact fees are based on some measurement of a development's impact on future needs. Impact fees are not intended to pay for capital improvements used to correct an existing deficiency or shortfall. Impact fees are often used for initial development of the capital facilities needed to provide water, wastewater, fire suppression and emergency medical services, and transportation capacity to service new development. Development impact fees are not used for operation, maintenance, or repair of capital facilities. Capital facilities are generally those facilities that have a functional life of more than one year, don't change their character with use, and are able to be discretely described from the rest of the community's assets. 3 Developers' Rights The developers, and ultimately the end users, have certain rights regarding the implementation of impact fees. Developers have the right to know what they are paying for because impact fees can be a significant portion of the cost of developing both residential and commercial properties. Developers have a right to know that the projects for which they have paid impact fees will be built. Developers have the right to support impact fees. Developers have the right to pay for improvements that will benefit their development. Developers also have the right to expect that their payments will not be diverted to finance improvements not related to growth, Finally, an important feature of a system of well-defined impact fee charges is the knowledge that all developers, big and small, will be treated equitably. Rationale Prior to the 1960s construction and financing of public facilities to support growth was an unquestioned civic responsibility. However, fundamental changes occurred which dampened local government's desire to serve new development: 1. "The quiet revolution" in land use regulation gave state and regional interest a say in land use 2. Environmental movement lead us to question the faith in, and benefits of new development 3, Fiscal revolts demanding alternatives to taxation, such as the TABOR Amendment 4, Growth rates in some communities exceeded the communities' fiscal abilities to supply infrastructure. Given these changes, public sentiment led to growth paying its own way and impact fees are one means to achieving that end. Impact Fee Standards Impact fees are defined as land development regulations whose purpose is to protect the public, rather than to raise revenue. The intent of impact fees is not to raise money, but rather, to ensure that adequate and necessary public infrastructure is provided to development in order to preserve the public health, safety, and welfare. Because the intent of impact fees is to fund capital improvements, not general operating expenses, they must be measured against the standards discussed below. Several standards have been developed over the years that an impact fee program must meet in order to pass legal review in Colorado. The first is that new development must not be held to a higher standard for delivery of services than existing development. The only exception to this is when the existing deficiencies are in the process of being removed through a funding source other than impact fees, The impact fees proposed by the districts are designed to maintain the existing level of service in the community and in the new development and are not anticipated 4 to fund an expansion of services that are not already paid for through ad valorem taxes or service fees. The second standard is known as the "Reasonably-Related Standard". This means that at the time the impact fee is adopted, the amount of the impact fee to be charged must be reasonably related to the estimated expense of delivering the service or constructing the facility, A new development may not be charged a higher fee than the estimated cost to provide the additional service or facility to the entire development. The cost is calculated based on the unique character, service standards, and needs of each service provider and reflects the cost of capital infrastructure work done within unincorporated Eagle County. The proposed impact fees meet the Reasonably-Related Standard in that they were derived from costs associated with infrastructure directly attributable to anticipated development. That is, the costs were calculated by proportioning infrastructure use to each development, proposed and existing. For example, the cost of a new pumper to be stationed in a particular development is not 100 percent of the pumper because it can be used for response to areas outside the new development. It should also be noted that none of the districts used a "Buy-in" approach where new development pays for its share of the useful life or remaining capacity of the existing facilities. The third standard deals with the manner in which impact fees are collected and used. Colorado law is specific about the manner in which impact fee revenues may be collected and spent. Any revenue collected must be used to defray the projected impacts on capital facilities caused by the new development. Further, any revenue must be used to pay for same type of improvements for which the impact fee is charged. For instance, impact fees collected for the impacts to streets can not be used to build parks. The districts' proposed impact fees are designed to meet this standard by being limited to capital improvements for specific public safety functions, and by being proportional to the benefit new development enjoys from the capital improvements. The fourth standard is the universal application of the fee. Since the impact fee is a fee charged for services rendered, all new development should pay it. The districts meet this test by having the impact fee apply to all new development within unincorporated Eagle County. It should be noted that Greater Eagle, Gypsum and WECAD have separate impact fees within the towns of Gypsum and Eagle and that Greater Eagle and WECAD span both towns and have identical fees in both towns. The Basalt & Rural Fire Protection District is pursuing impact fees in the Town of Basalt. The impact fees for the incorporated and unincorporated areas will differ due to differing level of service standards in the more urban areas compared to the rural areas. In the instant cases, the fees need only be universal within the unincorporated portions of the respective districts. It should also be noted that this analysis only applies to those areas that are in unincorporated Eagle County and within each district, which presents a problem in equity as each of the districts provides service to areas outside its corporate boundaries in so called "no man's land," This practice is unfair to residents of Eagle County that are paying for emergency services, Eagle County should not approve any new development through anything other than use by right for properties that have not been included into appropriate fire and ambulance districts. 5 Development in Unincorporated Eagle County In order to develop a sense of the impact of growth, the districts examined growth trends and development potential in unincorporated Eagle County served by the districts. The fire and ambulance districts' boundaries are shown in Figure 1 and Figure 2 respectively. Development trends and built-out in unincorporated Eagle County were also examined, The districts examined areas of potential development in within their respective jurisdictions. These areas are shown in Table 1, page 9. The annual percent of build-out for new dwelling units was then calculated for the County and applied to the unincorporated areas for each jurisdiction. This was then apportioned in development areas that spanned multiple jurisdictions. Potential commercial development was then calculated for the areas in question. Finally, the annual development was corrected to reflect development trends, e.g" while the Highway 131 area has several potential dwelling sites, Dotsero and Wolcott are expected to develop faster, These calculations are summarized in Table 2, page 10. 6 FIgure I, Fire DistrIcts 7 Figure 2, Ambulance DIstricts 8 Table 1, Dwelling Units by Area Use by right Zoned Total Built Potential Total Allowed Built Potential Unincorporated Central County 793 19 774 793 788 19 774 Resource 793 19 774 793 788 19 774 Unincorporated Colorado River Road 734 97 637 733 661 97 636 Colorado River Ranch - - Other 734 97 637 733 661 97 636 Unincorporated Cottonwood Pass 505 16 489 505 506 16 489 Other 505 16 489 505 506 16 489 Unincorporated Dotsero 599 159 440 633 529 159 474 Dotsero Ranch 9 5 4 9 9 5 4 Two Rivers Village/Estates 405 35 370 438 438 35 403 Other 185 119 66 186 82 119 67 Unincorporated Eagle 1,139 582 557 1,997 2,067 586 1,411 OREO Acres 4 4 - 4 4 4 Powell Park 5 5 - 5 5 5 - Airport - - - - Red Mountain Ranch 14 2 12 14 14 6 8 Frost Creek 81 81 - 81 Other 1,116 571 545 1,893 1,963 571 1,322 Unincorporated EI Jebel 1,915 1,568 347 2,318 2,226 1,566 752 Fox Run Meadows 24 6 18 22 24 4 18 Harmony View 7 5 2 7 7 5 2 Eagle Dakota 9 9 - 7 9 7 Kodiak Park 4 Diemoz River Ranch 4 - 4 4 4 - 4 Annexed Oak Groves 50 50 - 50 50 50 - Red Rock Ranch 6 4 2 6 6 4 2 Annexed River Oaks on the Roaring Fork 18 18 - 18 18 16 2 Blue Lake 347 339 8 347 347 339 8 Other 1 ,450 1,137 313 1,853 1,761 1,141 712 Unincorporated Fryingpan 426 210 216 805 740 210 595 Adams Minor 3 1 2 3 3 1 2 Other 423 209 214 802 737 209 593 Unincorporated Gypsum/Airport Area 328 115 213 603 440 115 488 Airport - - - - - - Fly-In-Eagle - - - - - - - Spring Creek Acres 2 2 - 2 2 2 - Carlin Minor - - - - - - - Other 326 113 213 601 438 113 488 Unincorporated Highway 131 999 79 920 996 916 79 917 Other 999 79 920 996 916 79 917 Unincorporated Wolcott 525 107 418 672 660 107 565 Redsky Ranch 87 9 78 87 87 9 78 Shepard Minor 5 - 5 5 5 - 5 Other 433 98 335 580 568 98 482 9 Table 2, Annual Dwelling Unit Equivalents Unincorporated Areas Portion of County Proportional Proportional Dwelling Unit Commercial Totai Percent of Build- Annual Dwelling Analysis Region Development Corrected Annual Annual out Development Protected (sqft) Dwelling Units DUEs Greater Eag Ie Unincorporated Eagle 19.87% 41 100.0% 10,000 48 53 Unincorporated Highway 131 12.91% 27 80.0% 2,500 15 16 Unincorporated Gypsum/Airport Area 6.87% 14 33.3% 3,333 7 8 Unincorporated Central County 10.90% 22 25.0% 5,000 6 8 Unincorporated Wolcott 796% 16 50.0% 40,000 50 70 Total 156 Basalt Unincorporated EI Jebel 10.59% 22 100.0% 5,000 28 31 Unincorporated Cottonwood Pass 6.89% 14 20.0% 3 3 Unincorporated Fryingpan 8.38% 17 100.0% 5,000 35 38 Total 71 Gypsum Unincorporated Dotsero 6.68% 14 100.0% 40,000 50 70 Unincorporated Central County 10.90% 22 75.0% 15,000 17 24 Unincorporated Colorado River Road 8.96% 18 100.0% 18 18 Unincorporated Gypsum/Airport Area 6.87% 14 66.7% 6,667 11 15 Total 128 WECAD Unincorporated Eagle 19.87% 41 100.0% 10,000 48 53 Unincorporated Highway 131 12.91% 27 91.0% 2,500 15 16 Unincorporated Gypsum/Airport Area 6.87% 14 100.0% 10,000 18 23 Unincorporated Central County 10.90% 22 100.0% 20,000 20 30 Unincorporated Dotsero 6.68% 14 100.0% 40,000 50 70 Unincorporated Colorado River Road 8.96% 18 100.0% 18 18 Unincorporated Cottonwood Pass 6.89% 14 78.0% 11 11 Total 221 10 Determining the Impact Fee There are two distinct yet equally valid methodologies for calculating impact fees inductive and deductive. The inductive approach employs calculation of the impact cost by determining the cost and the capacity of a particular facility and identifying it as the model for all future facilities, What is known is the cost and capacity of a particular facility, what is unknown is the base amount that will require use of the facilities and, thus, the total magnitude of those required facilities. As an example, according to the National Fire Protection Association standards, an Urban I (highly urbanized area with a career fire department) fire station can meet the needs of a residential population of 15,000 residents. An Urban I station can also serve 9,375,000 square feet of commercial/industrial space, or any pro-rata combination of residential and commercial. The cost and service capacity of the facility is known, but the amount of additional residents and industrial/commercial feet at build-out of the agency are the unknowns. The primary advantage of using this approach is that it is absolute; when 9,375,000 square feet of commercial, industrial, or office space or 15,000 residents (or any combination of the two), are added, there will be adequate monies for one Urban I station. However, the typical station may not meet the special needs of the community. For example, a fire department with a service standard of a five-minute response to all emergencies may have part of its service area in the mountains with estate lots of an acre or more and another part of its area might be flatland, with four homes to the acre. To meet the community standard of five-minute response to all emergencies the stations built in the mountainous portion of the district may only support 500 homes, although a station in the flatland area can meet the demands of some 2,000 homes. A second advantage of this methodology is that major changes to general plan growth estimates do not affect the calculations. It matters little how much residential, commercial, or industrial properties are constructed. The new development pays its pro rata share of the need based upon the model. Such a system is, in effect, a no-fault impact-fee determination. The disadvantages to this method of fee calculation are threefold. First, the fee is based on the service capabilities of a typical model, generally a conservative one that does not take into consideration unusual or special needs of the community. Second, such a method focuses on the final product, a fire station, but ignores overhead or support facilities such as fire administration offices, maintenance facilities, and vehicles. Finally, before construction, the districts must know how much of the financing for the facility is to be paid from the accumulated impact fees and what needs to come from other resources. The deductive approach involves calculating the impact cost by determining the additional demand on a facility or infrastructure from additional population and commercial and industrial square footage. The amount of growth is based upon the County's general plan and zoning, The specific facilities, identified by a master plan, capital facilities plan, or policy, that are needed as a result of growth are also determined. 11 The specific facilities, including the cost and any unusual circumstances that determine the need for those specific facilities, are determined, The potential base of undeveloped property is used to distribute the resulting costs. The use of this method explains the difference of fees from one public agency to another public agency, The impact fee calculated by the deductive method is a function of the specifics of geography and the locally defined levels of service. The deductive method requires a greater level of detail than the inductive method of computation and is the basis for the districts' approach to determining impact fees. The advantage of the deductive calculation of the impact fee is the ability to accommodate the uniqueness of each agency and meet Colorado's "Reasonably-Related Standard" requirements. The deductive approach is used because the districts are not a homogeneous collection of average service areas. The deductive calculation requires proactive planning and estimating and therefore is subject to frequent updating due to changes in density, land use, and other factors. Eagle County's impact fee ordinance considers this by codifying reviews of the districts' long-range plans in relation to the County's development and service standards. The disadvantages of this method include the need for a considerable amount of effort to generate the information necessary for the impact-fee calculations. In addition, deductively calculated fees require more frequent updates, because it may not be possible to determine the exact extent or location of growth. Capital Improvements Each district provided a capital improvement plan, which addressed service needs for new and existing development. These capital improvement plans are shown in tables 3 through 6 ( pages 14 through 17). The next step in the analysis was dealing with the problem of constant dollars. This was done by discounting. Discounting is a formal method for assessing the present value of a benefit (or cost) received at a future date. Simply put, a dollar received today is worth more than a dollar received next year. Discounting takes timing into account by reducing a single future benefit (or cost) or a series of costs and benefits into a single present value equivalent. Thus, a future benefit or cost is adjusted downward or discounted to make it comparable to similar benefits or costs occurring in the current period. In order to determine the current costs, the districts used a net present value calculation. The net present value of each ten-year capital improvement plan was calculated for each item as a stream of payments. Therefore, when capital construction is financed using an amortized loan, the stream of payments is consistent from year to year. Conversely, when items are paid for in cash, inflation is included into the payment stream. A proportionality constant was then determined for each item. That is, the proportion of the item's use to service new growth was calculated. These calculations were based upon the proportion of service calls projected for new growth. Capital improvements, and financing costs for capital improvements, that are existing or will not be used to serve new growth were assigned a proportionality constant of zero, As 12 mentioned above, capital improvements will serve existing development as well as new growth. Therefore, no one capital improvement had a proportionality constant on one, In addition, those portions of capital improvements that will serve new development in the towns of Basalt, Eagle and Gypsum are not included in the proportionality constant. Those towns are already, or will be, collecting impact fees for the districts within their corporate boundaries. The proportionality constants and proportional net present values are shown in tables 7 through 10 (pages 18 through 21), (This space left intentionally blank) 13 Table 3, Greater Eagle Capital Improvement Plan 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Technical Rescue 6,000 6,000 Rescue Tool 20,000 30,000 50,000 Misc. Fire Fighting Equipment 2,000 13,000 13,000 13,000 15,000 15,000 15,000 15,000 15,000 15,000 131,000 Misc. Radio Equipment 10,000 5,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 23,000 AEDs 14,000 21,000 35,000 Misc, Medical 500 500 500 500 500 500 500 500 500 500 5,000 Additional Basic Tender 200,000 200,000 Replace 911 260,000 260,000 Replace Staff Vehicle 50,000 50,000 Crew Cab Pickup 50,000 50,000 UI Pumper 300,000 300,000 Station 2 Engine 365,050 365,050 Wolcott Engine 354,000 354,000 Gypsum Shared Facility Rescue - Lease 58,277 58,277 116,554 Wolcott Tender 220,000 220,000 Station 2 Utility/Brush Truck 85,000 85,000 Computer Equipment 8,000 4,000 20,000 32,000 PDAs 1,800 1,800 Copier 15,000 15,000 Apparel - Bunker Gear 8,337 8,837 9,368 9,930 10,525 11,157 11,826 12,536 13,288 14,085 109,890 SCBA 3,000 3,000 3,000 10,000 3,000 3,000 3,000 4,000 4,000 6,000 42,000 Compressor 30,000 '30,000 Health and Fitness Equipment 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 10,000 Misc. Training Equipment 1,200 1,200 1,200 1,200 1,200 1,200 1.200 1,200 1,200 1,200 12,000 Emergency Generator 35,000 35,000 Eagle/Gypsum Shared Facility - Lease 64,752 64,752 64,752 64,752 259,009 Station 2 Construction - Lease 120,364 120,364 120,364 120,364 120,364 120,364 120,364 842,547 Wolcott Land 250,000 250,000 Wolcott Station 64,752 64,752 64,752 64,752 64,752 64,752 388,514 Misc, Facilities 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 10,000 376,037 577,537 75,068 613,844 518,342 238,973 638,395 286,104 565,134 398,931 $ 4.288,364 14 Table 4, Basalt Capital Improvement Plan 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Pumper 130,000 130,000 Pumper-tender 200,000 200,000 Pumper 200,000 200,000 Ambulance 100,000 100,000 Brush Truck 105,000 105,000 Crew Cab 18,000 18,000 Brush Truck 100,000 100,000 Ambulance 80,000 80,000 Staff Vehicle 36,000 36,000 Heavy Rescue 350,000 350,000 Ambulance 120,000 120,000 Brush Truck 80,000 80,000 Staff Truck 40,000 40,000 ALS Jump Unit 60,000 60,000 Staff Truck 28,000 28,000 Ambulance 80,000 80,000 Service Truck 70,000 70,000 Concept Truck 340,000 340,000 Fire Prevention Vehicle 35,000 28,000 63,000 Station 42 (EI Jebel) Shop Area Addition 110,000 110,000 Station 42 (EI Jebel) Office Area Addition 20,000 20,000 Station 41 Remodel (Basalt) 800,000 800,000 Station 44 Remodel (Old Snowmass) 356,006 356,006 Station 43 Remodel (ThomasviUe) 250,000 250,000 New Station - Fryingpan 1,147,523 1,147,523 New Station - Sporis Mountain 1,300,000 1,300,000 Sale of Brush 43 (2,000) (2,000) Sale of Ambulance (4,000) (4,000) Sale of E-41 (40,000) (40,000) Sale of Brush 41 (8,000) (8,000) Portable E ui ment 11,000 11,440 11,898 12,374 12,868 13,383 13,919 14,475 15,054 15,656 132,067 378,000 303,440 356,898 1,359,897 508,874 209,383 1,191,919 1,522,475 415,054 15,656 $ 6,261,596 15 Table 5, Gypsum Capital Improvement Plan 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Dotsero Light Rescue Brush Truck 2,009 2,009 Remodel Headquarters Station 200,000 200,000 400,000 Heavy Rescue - Lease 55,687 55,687 55,687 55,687 55,687 55,687 55,687 55,687 55,687 501,183 South Station - Albertson Ranch 5,000 5,000 Dotsero Station Shared - Lease 56,170 56,170 56,170 56,170 56,170 56,170 56,170 393,189 Dotsero Engine - Lease 39,991 39,991 39,991 39,991 39,991 39,991 39,991 279,936 Eagle/Gypsum Shared Facility - Lease 64,752 64,752 64,752 64,752 259,009 New Engine 27,000 27,000 UI Pumper 30,000 30,000 Tender Replace Engine 39,991 39,991 39,991 39,991 39,991 39,991 39,991 279,936 Replace Tender Rehabilitation Unit 150,000 150,000 Portable Equipment 55,000 55,000 110,000 75 Foot Quint - Lease 127,900 127,900 127,900 383,699 Total 200,000 257,696 115,687 191,838 371,838 191,838 256,591 384,490 466,490 384,490 $ 2,820,960 16 Table 6, WECAD Capital Improvement Plan 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Cots 2,700 13,000 11,000 12,000 13,500 52,200 Misc. Ambulance Equipment 5,000 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 72,500 New Radios 17,000 14,000 5,000 5,000 5,000 46,000 Sigtronics Headsets 5,000 5,000 10,000 Mobile Data Terminals 5,000 5,500 6,000 13,000 29,500 AEDs 9,000 9,000 4,500 4500 27,000 LifePacks and Biphasic Units 25,000 25,000 30000 30000 110,000 New Ambulances 135,000 135,000 Replacement Ambulances 100,000 102500 105000 307,500 Administrative Vehicle Replacement 30000 30,000 Quick Response Vehicle 50,000 50,000 Quick Response Vehicle Replacement 55,000 55,000 Computer Equipment 12,000 14,000 26,000 Health and Fitness Equipment 5,000 12,000 5,000 5,000 27,000 Misc, Training Equipment 5,000 5,000 5.500 5,500 5,500 6,000 6,000 6,000 6,500 6,500 57,500 Dotsero Shared Facility 450,000 450,000 Eby Creek Facility Improvements 12,000 12,000 Appliances 12000 12,000 Boiler 15000 15,000 AC Units 6000 6,000 Roof 60000 60,000 Landscaping 10,250 10,250 Building Renovation 25,000 35000 60,000 Furniture 14,000 25,000 20,000 59,000 Gypsum Building Design/Build 25,000 1,500,000 1,525,000 Alarm Panel/Heal Detectors 25,000 25,000 Stora e Shed 5,000 5,000 117,950 1,588,500 272,000 13,000 251,000 13,500 224,000 18,000 180,500 596,000 $ 3,274,450 17 Table 7, Greater Eagle Proportionality Percent Attributed to New Growth Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Technical Rescue 15% 4,254 638 Rescue Tool 15% 35,446 5,317 Misc. Fire Fighting Equipment 15% 92,868 13,930 Misc, Radio Equipment 15% 16,305 2,446 AEDs 15% 24,812 3,722 Misc. Medical 0% 3,545 - Additional Basic Tender 25% 141,784 35,446 Replace 911 10% 184,319 18,432 Replace Staff Vehicle 0% 35,446 - Crew Cab Pickup 2% 35,446 709 UI Pumper 25% 212,676 53,169 Station 2 Engine 10% 258,791 25,879 Wolcott Engine 80% 250,957 200,766 Gypsum Shared Facility Rescue - Lease 10% 82,627 8,263 Wolcott Tender 45% 155,962 70,183 Station 2 Utility/Brush Truck 10% 60,258 6,026 Computer Equipment 10% 22,685 2,269 PDAs 0% 1,276 - Copier 10% 10,634 1,063 Apparel - Bunker Gear 10% 77,903 7,790 SCBA 10% 29,775 2,977 Compressor 10% 21,268 2,127 Health and Fitness Equipment 0% 7,089 - Misc. Training Equipment 0% 8,507 - Emergency Generator 20% 24,812 4,962 Eagle/Gypsum Shared Facility - Lease 10% 183,616 18,362 Station 2 Construction - Lease 15% 597,298 89,595 Wolcott Land 80% 177,230 141,784 Wolcott Station 80% 275,425 220,340 Misc. Facilities - 7,089 - $ 936,193 18 Table 8, Basalt Proportionality Percent Attributed to New Growth Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Pumper 8% 92,159 7,373 Pumper-tender 8% 141,784 11,343 Pumper 8% 141,784 11,343 Ambulance 5% 70,892 3,545 Brush Truck 13% 74,436 9,677 Crew Cab 10% 12,761 1,276 Brush Truck 13% 70,892 9,216 Ambulance 5% 56,714 2,836 Staff Vehicle 5% 25,521 1,276 Heavy Rescue 10% 248,122 24,812 Ambulance 5% 85,070 4,254 Brush Truck 15% 56,714 8,507 Staff Truck 5% 28,357 1,418 ALS Jump Unit 10% 42,535 4,254 Staff Truck 5% 19,850 992 Ambulance 5% 56,714 2,836 Service Truck 5% 49,624 2,481 Concept Truck 10% 241,032 24,103 Fire Prevention Vehicle 10% 44,662 4,466 Station 42 (EI Jebel) Shop Area Addition 5% 77,981 3,899 Station 42 (EI Jebel) Office Area Addition 5% 14,178 709 Station 41 Remodel (Basalt) 15% 567,135 85,070 Station 44 Remodel (Old Snowmass) 2% 252,379 5,048 Station 43 Remodel (Thomasville) 5% 177 ,230 8,861 New Station - Fryingpan 15% 813,501 122,025 New Station - Sporis Mountain 10% 921,594 92,159 Sale of Brush 43 0% (1,418) - Sale of Ambulance 5% (2,836) (142 ) Sale of E41 0% (28,357) - Sale of Brush 41 0% (5,671 ) - Portable Equipment 5% 93,625 4,681 $ 458,317 19 Table 9, Gypsum Proportionality Percent Attributed to New Growth Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Dotsero Light Rescue 85% 39,300 33,405 Brush Truck 25% 47,159 11 ,790 Remodel Headquarters Station 5% 283,568 14,178 Heavy Rescue 10% 355,298 35,530 South Station - Albertson Ranch 50% 162,700 81,350 Dotsero Station 85% 278,739 236,928 Dotsero Engine 85% 198,452 168,684 Eagle/Gypsum Shared Facility 10% 183,616 18,362 New Engine 5% 260,000 13,000 UI Pumper 20% 209,146 41,829 Tender 45% 157,840 71,028 Replace Engine 0% 198,452 - Replace Tender 10% 147,345 14,735 Rehabilitation Unit 16% 106,338 17,280 Portable Equipment 16% 133,634 21,716 75 Foot Quint 3% 272,011 6,800 $ 786,614 20 Table 10, WECAD Proportionality Percent Attributed to New Growth Unincorporated Unincorporated Net Present Eagle County Eagle County Value NPV Cots 1% 37,006 370 Misc. Ambulance Equipment 8% 51,397 4,112 New Radios 5% 32,610 1,631 Sigtronics Headsets 0% 7,089 - Mobile Data Terminals 0% 20,913 - AEDs 15% 19,141 2,871 LifePacks and Biphasic Units 25% 77,981 19,495 New Ambulances 25% 95,704 23,926 Replacement Ambulances 10% 217,993 21,799 Administrative Vehicle Replacement 10% 21,268 2,127 Quick Response Vehicle 25% 35,446 8,861 Quick Response Vehicle Replacement 25% 38,991 9,748 Computer Equipment 10% 18,432 1,843 Health and Fitness Equipment 10% 19,141 1,914 Misc. Training Equipment 0% 40,763 - Dotsero Shared Facility 85% 319,013 271,161 Eby Creek Facility Improvements 10% 8,507 851 Appliances 0% 8,507 - Boiler 0% 10,634 - AC Units 0% 4,254 - Roof 0% 42,535 - Landscaping 0% 7,266 - Building Renovation 10% 42,535 4,254 Furniture 10% 41,826 4,183 Gypsum Building Design/Build 23% 1,081,101 243,248 Alarm Panel/Heat Detectors 0% 17,723 - Storage Shed 0% 3,545 - $ 622,393 The Districts' Proposed Fees The districts examined the projected growth for those unincorporated areas served by each of the respective districts. These growth projections were then annualized. The infrastructure necessary to provide service to their jurisdictions was then determined. The costs of the facilities and equipment required to continue current service levels were also determined, The proportion of infrastructure devoted to new development was determined and then allocated on a pro rata basis. Finally, units for measurement of impact using square footage of nonresidential buildings and dwelling units for residential properties were then determined. In 21 the districts' cases one dwelling unit is equivalent to 2,000 square feet of nonresidential improvements, and 800 square feet ofIodging property. Using this method, the impact fees in Table 11 were calculated. Table 11, Impact Fees Capital Improvement Annualized Impact Fee Jurisdiction NPV Cost DUEs per DUE Greater Eagle 936,193 93,619 156 $ 601.12 Basalt 458,317 45,832 71 $ 647.02 Gypsum 786,614 78,661 128 $ 616,82 WECAD 622,393 62,239 221 $ 281.24 Finally, the districts checked the reasonableness of the proposed impact fees by calculating what existing residents previously invested in infrastructure to achieve current service levels, the "buy-in" method. In 2004, Greater Eagle had an investment of $2,939,000 among an estimated 2,650 dwelling unit equivalents, which resulted in an "existing impact fee" of $1,109. Basalt had an investment of $7,076,468 among an estimated 6,200 dwelling unit equivalents, which resulted in an "existing impact fee" of$I,141.37. Gypsum had an investment of$I,250,000 among an estimated 1,300 dwelling unit equivalents, which resulted in an "existing impact fee" of $962. WECAD had an existing investment of $1 ,430,000 among an estimated 4,555 dwelling unit equivalents, which resulted in an "existing impact fee" of $314. Therefore, the proposed impact fees are less than what existing property owners paid to capitalize the districts' infrastructure. 22 EXHIBIT 'B' INTERGOVERNMENTAL AGREEMENT BETWEEN THE COUNTY OF EAGLE, COLORADO AND DISTRICT, CONCERNING THE COLLECTION, PAYMENT AND USE OF EMERGENCY SERVICE IMP ACT FEES. THIS INTERGOVERNMENTAL AGREEMENT is made and entered into this day of , 2006, by and between the County of Eagle, Colorado ("County") and District ("District"), a special district of the State of Colorado. RECITALS WHEREAS, Eagle County is a statutory county and political subdivision of the State of Colorado operating pursuant to Title 30, C.R.S; and WHEREAS, the District is a quasi-municipal government and political subdivision of the State of Colorado operating pursuant to Article 1, Title 32, C.R.S., to provide [prevention and extinguishment of fire, protection of life and property from fire, enforcement of fire prevention codes, hazardous materials response, and other emergency services authorized by statute or typically provided by a public fire department] [emergency medical, rescue or ambulance services] (collectively, "Emergency Services") within Eagle County; and WHEREAS, Article XI, Section 7, of the Colorado Constitution allows the State and its political subdivisions to give direct or indirect assistance to any other political subdivision as may be authorized by general statutes; and WHEREAS, Article XIV, Section 18(2)(a) of the Colorado Constitution supports the cooperation or contracting by or among any of its political subdivisions to provide any function or facility lawfully authorized to each of the cooperating units, including, without limitation, the sharing of costs, the imposition of taxes, or the incurring of debts; and WHEREAS, Sections 29-1-201 and 203, c.R.S., permit and encourage governmental entities to make the most efficient and effective use of their powers and responsibilities by cooperating and contracting with other governmental entities to provide any function, service or facility lawfully authorized to each, including the sharing of costs; and F:\Emergency Providers Impact Fee LUR Arnd\lmpact Fee Fire lOA v5.DOC WHEREAS, the Local Government Land Use Control Enabling Act of 1974 authorizes and encourages local governments to cooperate or contract with other units of government for the purpose of regulating the development of land, including the impacts resulting therefrorn; and WHEREAS, Section 29-20-104.5 authorizes counties and municipalities to impose an impact fee as a condition of issuance of a development permit to offset the costs of providing any capital facility directly related to any service the county or municipality is authorized to provide, that has a useful life of at least five years, and is required by charter or general policy of the county or municipality; and WHEREAS, new development within the County is placing significant additional demands on the provision of Emergency Services and the capital facilities necessary to provide them; and WHEREAS, the volume and pace of land development in the County threatens the provision of adequate Emergency Services and facilities; and WHEREAS, the County acknowledges that without the assistance of the County in collecting the Emergency Service Impact Fees and their expenditure on necessary public facilities to provide the Emergency Services, citizens of the County would suffer the result of decreased levels of Emergency Services; and WHEREAS, pursuant to Resolution No. 2006-015 the Board of County Commissioners of the County has adopted as part of the Eagle County Land Use Regulations Section 4-720, Emergency Service Impact Fees, which Section provides a program of Emergency Service Impact Fees to be imposed on development which generates a need for additional Emergency Service Capital Improvements; and WHEREAS, pursuant to Resolution No. 2006- the Board of County Commissioners has established applicable amounts of such Emergency Service Impact Fees for the District; and WHEREAS, the Eagle County Board of County Commissioners, upon consideration of the impacts of land developments within the County on the ability of the District to provide adequate Emergency Services and related capital facilities within the County, have determined that it is in the best interests of the citizens of the County and the District to cooperatively and in a coordinated fashion utilize the revenues from the County's Emergency Services Impact Fees to fund expenditures by the County on capital facilities needed to provide Emergency Services to new development; NOW, THEREFORE, in consideration of the Recitals stated above, and the mutual covenants and promises of the parties hereto, the receipt and sufficiency of which is acknowledged, the County and the District agree as follows: 2 SECTION 1. PURPOSE The purpose of this Agreement is to provide for the joint and cooperative funding of expenditures by the parties on capital facilities needed to provide Emergency Services to new development occurring within the County, and thereby carry out the purposes and intent of Eagle County Resolution Nos. 2006-015 and ("the Impact Fee Resolutions"). Terms used in this Agreement and not defined herein shall have the meanings given to them in the Impact Fee Resolutions. SECTION 2. IMPOSITION AND COLLECTION OF AN EMERGENCY SERVICE IMPACT FEE 2.1 During the term of this Agreement, the County shall impose an Emergency Service Impact Fee on each Lot (or other portion) of a Development upon the Commencement of the Emergency Service-Generating Development and paid at the time of issuance of a Building Permit. 2.2 For requests for Development approvals that are processed by the County Community Development Department, the required Emergency Service Impact Fee shall be collected by the Community Development Department prior to such approval and transferred to the District as provided herein. 2.3 The County shall not issue a Development approval for a development activity subject to the County's Emergency Service Impact Fees until the applicant provides proof of the applicant's payment of the County's Emergency Service Impact Fee. 2.4 The Board of County Commissioners may waive the applicable Emergency Service Impact Fee on the development of low or moderate-income housing or affordable employee housing as defined in Section 4-710 of the Eagle County Land Use Regulations, and pursuant to c.R.S. 29-20-104.5(5). SECTION 3. ADMINISTRATION AND EXPENDITURE OF EIUERGENCY SERVICE IMPACT FEE REVENUES 3.1 When an Impact Fee is paid to the County by a developer, such funds shall be transferred by the County to the District within sixty (60) days following receipt of such funds, less six percent (6%) of the fee as an administrative fee to offset the County's costs of collecting and administering the fee. The County hereby appoints and designates 3 the District as the County's designee and agent for purposes of administering and expending the Emergency Service Impact Fees as provided herein. 3.2 Upon receipt, the District shall deposit the County's Emergency Service Impact Fees in an interest-bearing account identifying the lot, development activity and development approval for which the Emergency Service Impact Fee was collected and the associated category, account, or fund of capital expenditure for which such Emergency Service Impact Fee was imposed. Any interest or other income earned on moneys deposited in the interest-bearing account shall be credited to the account. 3.3 The District shall use the County's Emergency Service Impact Fees to jointly fund, in combination with the District funds, the capital facilities necessary to provide the Emergency Services needed to serve the development, as contemplated by the Eagle County Emergency Services Impact Fee Analysis for the Greater Eagle Fire Protection District, Gypsum Fire Protection District, Basalt and Rural Fire Protection District, and Western Eagle County Ambulance District, dated July 11, 2006, prepared by Public Safety Consultants, or any updated, amended or replacement analysis adopted by the County ("Impact Fee Analysis"). 3.4 The District may only utilize the County's Emergency Service Impact Fee revenues for planning, preliminary architectural and engineering services, architectural and engineering design studies, land surveys, land acquisition, site improvements and off- site improvements associated with new or expanded facilities; the construction of buildings and other facilities; and the purchase of apparatus and equipment, including communications equipment, with an average useable life of at least five (5) years. No Emergency Service Impact Fees shall be used for periodic or routine maintenance of facilities and equipment, personnel costs, or operational expenses, or any purpose not otherwise authorized by Section 29-20-104.5, C.R.S.. 3.5 In the event bonds or similar debt instruments are used to fund Emergency Service Capital Improvements necessary to provide the Emergency Services to a development within the County prior to collecting the Emergency Service Impact Fees associated with the development, once collected the County Emergency Service Impact Fees may be used to pay debt service on such bonds or similar debt instruments. 3.6 The District shall account for all County Emergency Service Impact Fees collected pursuant to this Agreement in the manner required by Sections 29-1-801, et seq., C.RS., and other applicable law. 3.7 The District shall establish and maintain a separate accounting system to ensure that all County Emergency Service Impact Fees administered by the District pursuant to this Agreement are expended for the purposes set forth in this Agreement. No less than annually, and more frequently as may be reasonably requested by the County, the District shall provide the County an accounting of all County Emergency 4 Service Impact Fees collected, held and expended and otherwise administered by the District on behalf of the County. The District shall also provide to the County no later than December 1 of each year a report of anticipated expenditures of the County Emergency Service Impact Fees for the coming year. 3.8 The expenditure of revenues from the County Emergency Service Impact Fees shall constitute expenditure by the County for assisting in the provision of Emergency Services to new development within the County. In exchange for the County's expenditure of the Emergency Service Impact Fees to jointly fund capital facilities in cooperation with the District, the County shall obtain an ownership interest in the capital facilities funded by such Emergency Service Impact Fees, proportional to the amount of County Emergency Service Impact Fees utilized to fund the capital facility. 3.9 In exchange for the continued provision of the Emergency Services within the County by the District, the County hereby assigns to the District the County's interest in any and all capital facilities funded in whole or part by the County's Emergency Service Impact Fees, for the life of the capital facility. The District shall operate and maintain the capital facilities in good condition, subject to reasonable wear and tear. This section shall survive and remain in effect notwithstanding the termination of this Agreement or repeal or amendment of the Impact Fee Resolutions for so long as the District continues to use the capital facilities to provide the Emergency Services to the development which paid the County's Emergency Service Impact Fees. Upon the expiration of the useful life of the capital facilities, any remaining County interest shall automatically transfer to the District. SECTION 4. LIABILITY AND INDEMNIFICATION 4.1 Any other provisions of this Agreement notwithstanding, if the County is required to make any refund of any Emergency Service Impact Fee, the District shall reimburse the County for the required refund. The District shall indemnify, defend and hold the County and its officers, agents and employees harmless from and against any and all claims or liability arising from the County's implementation of this Agreement; or the administration and expenditure by the District of any of the County's Emergency Service Impact Fees. Specifically, this indemnification shall include, but not be limited to, any legal action by any party contesting this Agreement or the Impact Fee Resolutions on the grounds of unconstitutionality, lack of authority, or preemption by State law. The District shall also indemnify, defend and hold the County, and its officers, agents and employees, harmless from and against any and all claims arising from any breach or default in the performance of the obligations on the District's part to be performed under the provisions of this Agreement, or arising from any intentional acts, negligence or omissions of the District or any of its officers, agents, and employees. Such indemnification by the District as provided in this Section shall include all costs, 5 attorneys' fees, expenses and liabilities incurred in the defense of any claim or any action or proceeding brought on any such claim. Provided, however, nothing contained herein waives or is intended to waive any protections that may be applicable to the District under the Governmental Immunity Act, Section 24-10-101, et seq" C.R.S., or any other rights, protections, immunities, defenses or limitations on liability provided by law, and subject to any applicable provisions of the Colorado Constitution and applicable laws. In the event the County is named as a party in any legal action, in consultation with the County, the District shall select legal counsel to represent the County in such action. SECTION 5. TERM OF AGREEMENT The term of this Agreement shall commence upon execution of this Agreement and shall continue until the Impact Fee Resolutions are repealed. Provided, however, either party may terminate this Agreement upon giving at least ninety (90) days written notice of such intent to terminate to the other party. This Agreement is also subject to annual appropriation by either party of sufficient funds necessary to carry out the obligations of the party. Upon termination the District shall promptly return to the County all County Emergency Service Impact Fees and interest accrued thereon that have not been expended on capital facilities under this Agreement, and each party shall have no further obligations under this Agreement, subject to the continued validity of Sections 3.8 and 3.9 as to capital facilities funded prior to such termination in whole or in part by the expenditure of County Emergency Service Impact Fees. SECTION 6. REMEDIES 6.1 Time is of the essence in this Agreement. 6.2 If a party violates or breaches or fails to keep or perform any covenant, agreement, term or condition of this Agreement at the time designated; or in the event a party is in default or in violation of a term of this Agreement for which no specific time is designated, and the default or violation continues or is not remedied within thirty (30) days after notice in writing is given by the non-breaching party to the other party specifying the matter claimed to be in default, the non-breaching party shall be entitled to pursue all remedies available at law or in equity to enforce the terms of this Agreement, including the right of specific performance. Provided, however, with respect to any default that cannot be cured within thirty (30) days, such legal remedies shall not be pursued if the breaching party takes all steps necessary to cure the default within such period and thereafter continuously exercises due diligence to cure the default. 6 6.3 The County shall use its best efforts to collect the Emergency Service Impact Fees and withhold Development approvals until the Emergency Service Impact Fees are paid as provided in this Agreement; however, inadvertent failure to do so by the County shall not give rise to any liability by the County. The County's failure to collect the Emergency Service Impact Fees or the County's issuance of Development approval without first receiving the Emergency Service Impact Fees shall not constitute a waiver of the County's authority to collect such fees. In such case, the non-collected Emergency Service Impact Fees shall remain valid obligations and the County and the District shall cooperate to take such actions as are necessary to facilitate the collection of the same, including without limitation, and to the extent legally permissible, suspending or revoking any permission to develop land previously granted. SECTION 7. NOTICES 7.1 All notices that may be required or given pursuant to this Agreement by a party to the other, shall be deemed to have been fully given when made in writing and deposited in the United States first class mail, postage prepaid, and addressed as follows: DISTRICT EAGLE COUNTY Director of Community Development Eagle County Community Development Department P.O. Box 850 Eagle, Colorado 81631 7.2 The address to which any notice or other writing may be given to any party as above provided may be changed by written notice given by such party as above provided. SECTION 8. MISCELLANEOUS PROVISIONS 8.1 This Agreement is expressly conditioned upon the continuance in force of the Impact Fee Resolutions. In the event the Impact Fee Resolutions are repealed or amended in a manner that is inconsistent with the terms of this Agreement, this Agreement shall terminate. 8.2 No modification or waiver of this Agreement or any covenant, condition or provision contained herein shall be valid unless in writing and duly executed by all parties. 7 8.3 This written Agreement embodies the whole Agreement between the parties and there are no inducements, promises, terms, conditions or other obligations made or entered into by the parties other than those contained herein. 8.4 This Agreement shall be binding upon the parties hereto, the respective successors or assigns, and may not be assigned by any party without the express written consent of the other party. 8.5 All terms contained in this Agreement are severable and in the event that any of them shall be held invalid by a court of competent jurisdiction, this Agreement shall be interpreted as if such invalid term or condition is not contained herein. 8.6 The signatories to this Agreement affirm and warrant that they are fully authorized to enter into and execute this Agreement, and all necessary actions, notices, meetings and/or hearings pursuant to any law required to authorize their execution of this Agreement have been made. 8.7 This Agreement may be amended from time to time by written Agreement duly authorized by all the parties to this Agreement. 8.8 This Agreement does not and shall not be deemed to confer upon or grant to any third party any right enforceable at law or equity arising out of any term, covenant, or condition herein or the breach thereof. 8.9 This Agreement, or a memorandum of this Agreement, may be recorded in the records of the Eagle County Clerk and Recorder. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. COUNTY OF EAGLE, STATE OF COLORADO By and Through its Board of County Commissioners ATTEST: By: Peter F. Runyon, Commissioner, Chairman Clerk of the Board of County Commissioners 8 , a Colorado special district, acting by and through its Board of Directors By , Chairman Attest: , Secretary 9