HomeMy WebLinkAboutSDC Info - Destination ResortsRoad Department
MEMORANDUM
DATE: April 2, 2010
TO: Board of County Commissioners
Dave Kanner, County Administrator
FROM: Tom Blust, Director
RE: Transportation SDC for Destination Resorts
61150 SE 27th St. • Bend, Oregcn 97702
(541) 388-6581 • FAX (541) 388-2719
Background:
The Board adopted a Resolution establishing a transportation system development charge
(SDC) in July of 2008. This Resolution included adoption of a transportation system
development study (SDC methodology) as the basis for establishing the SDC fees.
The SDC methodology established trip generation rates and corresponding SDC's for various
land uses, including residential. Separate trip generation figures for single family dwellings
located within destination resorts and outside destination resorts were identified and used in the
SDC methodology for the trip growth calculation and the recommended SDC. However, the trip
generation rate table in the SDC methodology includes only a trip generation rate for single
family dwellings and does not distinguish a trip generation rate and SDC for single family
dwellings within destination resorts. The SDC rate in the table has been applied to single family
dwellings both within and outside of destination resorts.
This discrepancy has raised two issues: 1) Should the County amend the SDC rate table to
include a separate trip generation rate and corresponding SDC for single family dwellings within
destination resorts? 2) Should applicants that paid the single family dwelling SDC rate for
dwellings within destination resorts qualify for a reimbursement?
Staff Recommendation:
Staff recommends that the trip generation rate for single family dwellings within destination
resorts used for calculating SDC charges should correspond with the figures used in the trip
growth calculation in the methodology report for single family dwellings within destination resorts
and that such trip generation rate and corresponding SDC should be established. Attached is a
draft resolution that would amend the original SDC resolution to add the destination resort rate.
SDC — Destination Resorts
Page 2 of 2
Staff further recommends that the county not reimburse any SDC funds already collected. The
SDC's paid were not in error — they were paid at the rate established in the original SDC
resolution. The original SDC resolution has not been appealed nor has there been an appeal of
the SDC's already collected.
The table below shows the current SDC rate for SF detached housing and the proposed
destination resort rate:
ITE
code
Customer Type
Land Use Description
Peak-
Hour
Trips
Pass -By
Trip
Factor
Adjusted
P_H Ts
SDC
Units
210
SF Detached
Single family detached housing
1.01
1
1.01
$3,583
DU
N/A0.32
Destination Resort,
SF Detached
Single family. detached housing within
a destination resort `
;` 1
0.32 ' -
" $1,136"
DU
To date (from October 1, 2008) the County has collected SDC's on approximately 48 dwelling
units in destination resorts (see attached listing).
DESCHUTES COUNTY LEGAL COUNSEL
MARK E PILLIOD
Legal Counsel
PRIVILEGED ATTORNEY- CLIENT COMMUNICATION — NOT TO BE DISCLOSED
S Ext. 6625
TO: Board of Commissioners DATE: May 19, 2010
RE: Systems Development Charge (SDC) FILE NO.:
On April 2 the Director of the Road Department submitted a report to the Board
discussing what appeared to be an oversight in the adopted transportation system
development study (Methodology Report) underlying the County's system development
charge SDC). The comprehensive list of uses contained in the Methodology Report
includes a trip generation factor and proposed SDC for single family dwellings, but does
not distinguish between single family dwellings located within and outside of destination
resorts. This, despite the fact that elsewhere the Methodology Report draws a
distinction over trip generation for single family dwellings within and outside destination
resorts. The Director recommended that the Board approve a resolution, amending the
original adoptive resolution, to add a separate use category, trip generation rate and
charge for single family residential uses located within destination resorts. The Board
decided not to take action and asked that the matter be rescheduled for future
consideration.
The purpose of this memorandum is to advise the Board on available options.
The first option is to approve a form of resolution similar to that recommended by the
Director of the Road Department. While single family detached residential outside of
destination resorts would pay roughly $3584, single family residential units inside of
destination resorts would pay 32% of such amount. This percentage is an extrapolation
from material contained in the Methodology Report. The Director's recommendation did
not distinguish among the types of residential units (attached or detached, single family
or multi -family) within destination resorts. Any amending resolution should anticipate
and address whether there should be additional rates for single family residential uses
in destination resorts, depending on whether they are detached or multi -family units.
The Director had recommended that any new rates would apply prospectively from the
date of the Board adopts an amending resolution.
The second option would be to leave the existing system development charge
unchanged. The effect would be to require the same amount for all single family
residential uses regardless of their location in a destination resort. To consider the effect
of this option, one needs to consider the mechanics of the SDC resolution.
Page 1 of 3
The SDC resolution, section 4(B) provides:
The Transportation System Development Charges (SDC's) shall be determined as
follows:
(1) For those land -use categories which are specifically identified in the methodology
report adopted pursuant to this resolution, the SDC amount shall be determined as
identified in the Methodology Report.
(2) For land -use categories for which no trip generation rate is included in the
methodology report, the Director shall use the land -use category identified in the
Methodology Report that is most similar in trip generation, and may consider seasonal
and/or cyclical variations to adjust peak hour trip rates. An applicant who does not agree
with the Director's decision may appeal this decision as outlined in Section 12 of this
resolution "
The Director of the Road Department first determines whether to apply the particular
land use category specifically identified in the methodology. If so, the Director applies
that particular rate. Where the particular land use category and its associated trip
generation rate is not included in the methodology report, then the Director applies the
land use category identified in the methodology that is most similar in terms of trip
generation and may, at that time consider seasonal and/or cyclical variations to adjust
the peak hour trip rate.
Assuming an applicant were to take the position that the reference on the
comprehensive table of uses to detached single family residential units was not
intended to include residential units in destination resorts, or if they were dissatisfied
with the Director's consideration of seasonal and/or cyclical variations to adjust peak
hour trip rates, they could appeal the Director's decision to the Board.
Ultimately, the question to answer is what the Board intended when it adopted the SDC.
To address this question, one must first determine whether the text of what was
adopted is ambiguous. The description of single family detached residential dwellings is
not inherently arnbiguous.
The Methodology Report, adopted as part of the resolution, consists of a narrative
description of data, information and assumptions used to calculate an SDC based upon
peak -hour trips generated by various types of development. This Report includes
summaries of meetings of the Stakeholders Advisory Committee, whose members
represented various development interests. Most importantly this Report contains a
comprehensive list of land uses, which, as it pertains here, refers simply to single family
residential (SF detached). While this list of uses includes distinct types of residential
development: apartment, condo/townhouse, mobile home, elderly housing, hotel and
motel, besides single family detached, the list contains no specific distinction for uses
within destination resorts.
The Methodology Report also includes a table entitled "Trip Growth Estimated from
Residential Development and Population Change." This table distinguishes among
Page 2 of 3
three types of residential development, single family detached, multi -family and
destination resorts. It also demonstrates that from the standpoint of existing and
predicted future development, while detached single family residential development
currently generates and is predicted to generate in the future slightly more than one
peak hour trip per unit (101%), a residential dwelling in a destination resort generates
and is predicted to generate approximately one-third (1/3) peak hour trips per unit
(32%). This table might be used to support the conclusion that the impact from each
dwelling unit in a destination resort is or should be proportionately less than single
family dwellings outside of destination resorts and that the corresponding SDC should
similarly be reduced. This table might also imply that single family residential uses in
destination resorts are not otherwise included in the comprehensive list of uses.
The problem with concluding that the distinction used in this Table between single
family residential and destination resorts, is that the latter does not specify the nature of
development in destination resorts. In other words this reference to destination resorts,
could mean detached or attached dwellings or both. The comprehensive use table
draws a distinction between detached and multi -family residential. If the comprehensive
use table were to be adjusted to distinguish residential development in destination
resorts, then it might need to further specify detached and attached dwelling units and
single-family and multi -family units.
Some members of the Stakeholders Advisory Committee, particularly those who were
representing development interests probably anticipated the comprehensive table of
uses would reflect a distinct trip generation rate for single family residential uses in
destination resorts. Likewise, the consultant who prepared the methodology might have
intended to carry forward in the recommended SDC charge a distinction between
estimated future development inside and outside destination resorts. However, the
expectations of the participants in the advisory committee are not reflected in the finally
adopted SDC, including the Methodology Report, and cannot be used to insert a new,
distinct use category for single family residential development in destination resorts.
As an alternative to arguing for a new use category, an applicant could apply for an
alternative rate of SDC under Section 4(C). They would need to establish that the
impact on County capital improvements, i.e., roads, resulting from their development is
less than the fee for single family residential uses outside of destination resorts. Using
data, information and assumptions that are consistent with those used to establish the
SDC, an applicant would need to present from an independent source the following: a
local study supported by an adequate database; using a generally accepted
methodology and based upon generally accepted standard sources of information
relating to facilities planning, cost analysis and demographics; a demonstration that the
number of peak hour trips is at least ten (10%) percent less than the number set forth in
the Methodology; and the number of peak hour trips would need to be documented by a
registered engineer. The Director would determine whether the submitted information is
sufficient to support the conclusion that an alternative rate be applied. An applicant who
is dissatisfied with the Director's decision could appeal to the Board.
Page 3 of 3
REVIEWED
LEGAL COUNSEL
For Recording Stamp Only
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COLTNTY, OREGON
A Resolution amending Resolution 2008-059 to add a Trip
Generation Category for Destination Resort Single Family
Dwellings to the Transportation System Development Charges
*
UTION NO. 2010-< >
WHEREAS, the Deschutes County Board of County Comm ssioners (`Board". adopted Resolut on
2008-059 on July 23, 2008 establishing a transportation system development charge ("SDC") to help fi nd
transportation projects that are necessary to serve the e ."* and gm i'N;iith-related transportati tiineeds in the
unincorporated areas of the county; and
WHEREAS, Resolution 2008-059 approved and adopted a
prepared by FCS Group, dated March 2008, ..(herein "SDC Meth
transportation SDC; and
sportation System Development Study,
") as the basis for establishing a
WHEREAS, Resolution 2008-059 establi
land uses, including residential; and
ation rates and=corresponding SDC's for various
WHEREAS, trip gen, ures for single family (SF)dwellings located either within or outside
destination resorts was ide ied ed in the SDC Methodology for the trip growth calculation and the
recommended SDC; an
WHEREAS, the trip generation rate table in the SDC Methodology includes a trip generation rate for
all SF dwellings, but does not distinguish a trip generation rate and SDC for SF dwellings within destination
resorts; and
WHEREAS, the trip generation rate for SF dwellings within destination resorts used for calculating
SDC charges should correspond with the figures used in the trip growth calculation in the methodology report
for SF dwellings within destination resorts and that such trip generation rate and a corresponding SDC should be
established ; now, therefore,
BE IT RESOLVED 13 ` THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES
COUNTY, OREGONi 4sfollows:``
Section 1. The table on pages 9 and 10 of Exhibit "A", Resolution 2008-059, shall be amended to g dd
the following category:
ITE code
Customer Type
Land Use Description
Peak -Hour
Trips
Pass -By
Trip Factor
Adjusted
P -H Ts
SDC
Unit:
Destination Resort, SF
Detached
Single family detached housing within a
destination resort
0.32
1
0.32
$1,136
DU
Page 1 of 2 — Resolution 2010-< >
Section 2. FULL FORCE AND EFFECT. Except as provided in this resolution, Resolution 2008-059
remains in full force and effect.
Section 3. EFFECTIVE. This resolution is effective immediately upon adoption by the Board of
County Commissioners.
///
DATED this day of , 2010.
ATTEST:
Recording Secretary
BOARD OF Ci)LINTY C !IVIISSIONERS
OF DESGMTES COUNTY OREGON
ENI�II:R. LUI�r Chair
ALAN UNGER ilChair
?AMY $CRY, Commissioner
Page 2 of 2 — Resolution 2010-< >