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<br />.,,!:l,H- <br /> <br />7 q4 THU 13:45 MSA ST PAUL <br /> <br />P.02 <br /> <br /> <br />M~ <br /> <br />'--~'--'-" .--."-- <br />t:IlNSIII,TINGENGlNRDIS July 7, 1994 <br />File: 230-161-70 <br /> <br />CiVil fNClN[I:~ING <br /> <br />fNVIWNM(NrA/ <br /> <br />MUNJCIPAI <br /> <br />PlANNING <br /> <br />eiXUCIURAJ <br /> <br />5URVfr"ING <br /> <br />T~AHlC <br /> <br />If.'ANSPORJArroN <br /> <br />1326 Energy Pari Drive <br />St. Paul. MN 55106 <br />612-644.4369 <br />F",,: 612-6.l.l.9.l46 <br />. <br /> <br />9600 Shdatd Par\way <br />Minneopali., MN 55441 <br />612.5.l6.0A32 <br /> <br />Fn" AI?.I..!U398 <br /> <br />Honorable Mayor and City Council <br />City of Elk River <br />13065 Orono Parkway <br />P.O. Box 490 <br />Elk River, MN 55330 <br /> <br />RE: STORM SEWER IMPACT FEE POLICY <br /> <br />Dear Council Members: <br /> <br />As previously discussed, on several occasions, a Storm Sewer Impact Fee in conjunction <br />with a Surface Water Management Fee is being proposed in lieu of trunk storm sewer <br />assessments. Much like the Sewer Availability Charge (SAC) and the Water Availability <br />Charge (WAC), the Storm Sewer Impact Fee is the property's cost for facilities constructed <br />outside of the immediate boundaries of the development. This fee is intended to generate <br />monies, together with the Surface Water Management Fee, for the City to utilize to construct <br />storm sewer facilities which collect runoff from many different developments. By utilizing <br />this method, the actual users of the system will pay for the system. The Storm Sewer Impact <br />Fee would not be charged until the time of development or construction on existing <br />properties. Therefore, the situation of an improvement causing a trunk storm sewer <br />assessment to a large area; a portion of which is developing and a portion of which is <br />undeveloped property should be avoided in the future. <br /> <br />We would recommend that the City policy be to collect the Storm Sewer Impact Fee at the <br />time of platting or, in the case of existing lots, at the time of building permit. As previously <br />discussed, the proposed initial rates for the Storm Sewer Impact Fee is $50.00 per lot for <br />rural (non city sewer and water) single family residential lots, $100.00 per lot for urban (city <br />sewer and water) single family residential lots, and $600.00 per acre for other types of <br />property. Since the City has already spent approximately one million dollars on storm sewer <br />within the last twelve to eighteen months and can foresee additional substantial investments <br />with the current developments and potential take over of the county ditch system, we would <br />recommend that the Storm Sewer Impact Fee rate structure have built into it a escalating <br />factor. Attached is a draft resolution, for the consideration of the city council, which would <br />set the 1994 rates at $50/$100/$600 with escalating factors in each of these. <br /> <br />In the past discussions, there have been questions as to whether these fees are too much of <br />a burden on potential developments. There are several recent examples of the impact of <br />these fees relative to the amount of runoff generated. We believe that these show that the <br />fee is not a burden and in fact, provides a substantially lower cost to the development than <br />