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EU Public Works Engineering FACT SHEET City of Eugene r/IiCT .7HEG Eugene, Oregon 97401 (503) 687 -5291 PROPOSED CHANGES TO SYSTEMS DEVELOPMENT CHARGES (SDC) (503) 687 -5032 FAX The City of Eugene is proposing two changes to the current SDC fee schedule. The first change comprises the annual inflation increase, which adjusts the SDC rates based upon the National Construction Cost Index published by the Engineering News Record (ENR). The second change adjusts the components of the Parks SDC to mare accurately reflect the cost of budding park facilities. The new rates will become effective on all pemits applied for on or after August 1, 1995. For more information on SDC charges, please call 687 -5291. Please refer to the Notice of Intended Fees for an explanation of how citizens may comment on the proposed changes. WHAT ARE SYSTEMS DEVELOPMENT WHY IS THE PARKS SDC CHARGE (SDC) FEES? INCREASE NECESSARY? Systems Development Charges (SDCs) have been collected by the City Review of the existing methodology, current component costs, historical of Eugene since 1978, and similar types of fees have been charged by inform>ation,and comparisons between other jurisdictions has the City as far back as 1948. SDCs are fees that are collected when demonstrated that the true costs have not accurately been reflected in newdevelopment occurs in the city and are used to fund a portion of the the current components for the parks SDC rate. Capital improvements construction of infrastructure, such as sanitary and storm sewers, have been undervalued and over the past four years, the costs of land streets, and parks facilities. SDC funds are used to help the City and materials have been underestimated. The levels of service will not provide for the increased capacity needed to serve new development be changing, and will continue to only be charged against residential maintain health and safety standards, and recoup a portion of the development. The impact of new residential development on the parks community's investment in the infrastructure that is already in place. system is based on dwelling units and living spaces. Eugene's SDC Methodology provides for modifications to the The City of Eugene Park SDC fees are currently one of the lowest in the methodology or rate structure to be accomplished through the State. Of 31 cities polled, The City of Eugene's rate is the 4th lowest, administrative rate- making process as defined in Eugene Code 2.020. Additionally, annual adjustments for inflation can occur "automatically', currently ling unit VMth continued growth in the City, ccu that is, without an administrative order. newdevelopment is quicIdy placing greaterdemand on lilted resources and under funded facilities. The following shows the current rates being charged in other jurisdictions: WHAT CHANGES ARE BEING PROPOSED? • ANNUAL IIIFLA1K 4ADJUSTMENT: The first proposed change will • be an automatic rate adjustment of 2.65 %for storm and sanitary sewer s y s t e m s , and f o r the transportation s y s t e m No change will be made t o SDC PARKS RATE 00(6 P A R IS O N S Y J U R I S D I C T I O N the administrative fee or to the sanitary sewer rate for the River COST PER COST PER Road/SantaClaara/I-My 99 areas. CITIES OR JURISDICTIONS SINGLE FAH ILY M ULT -FAM ILY D W E LLIN O UNIT D W 211)5(0 UNIT As adopted in February, 1993, the SDC Methodology, directs the City of Eugene to automatically adjust the SDC rates every July 01, unless WEST L I N N (OUTSIDE C . L.) 51.909.00 $1.8 0 9.0 0 otherwise amended. This adjustment is necessary, as the SDC and ALBANY 01.620.00 s 9 10.0 0 1 ry' W EST LIN N (IN SID E C.L.) 51.5911 00 51.048.00 supporting orrting calculations induding credits, must r e f l e c t the City's current T U A L A T I N 01.400.00 51.400.00 costs for ding public it provemhents. A S H L A ND 01.23100 59113 .0 0 LAKE OSW EGO 51.184 .00 0818.00 The adjustment this year, will be delayed so w e can combine the annual N O R T H C L A C K A M A S PRO 5950 0 0 5620.00 inflation adjustment with t h e proposed adjustment to the c a p i t a l c o s t s S 5(66(6 000 596500 581500 used Parks y HOOD RIVER VALLEY 5915 5586.00 used to establish the Palls SDC rate. OREGON CITY 5750.00 5500.00 BEND M ETRO $700.00 5500.00 NEW BERG (CHEHALEM PRO) 0862.00 5494.00 PARKS CAPITAL COSTS LFOA1E The second proposed change will W I L S O N V I L L E 5840 0 0 0640 0 0 be to adjust the parks SDC components to indude public improvements R E D M 05(0 581700 . $554.00 that w e r e not induded in the original analysis. R e v i e w o f park related 6 ) 1 1 5 8 0 6 0 5400 0 0 51100 0 0 !EUGENE (PROPOSED) 0886.00 1688.88' development costs indicates that some components costs weren't G R E S HA M • 5560 0 0 /1 /55110.0 0 included, such as parking and r e s t r o o m facilities. J U N C T I O N CITY 054 70 0 054700 TIOARD 0500.00 (7 1f• � 5300.00 A copy o f the proposed rate schedule can be found in the N o t i c e o f W O O D B U R N 5493.00 SO S273 0 0 Intent packet, or by contacting the SDC Coordinator at Public Vlbrks. V E N E T A 5474 .0 0f�' 1474 0 0 CORVALLIS 0460.00 IlitA 5460.00 LEBANON • 5430.00 Ye 5430.00 SPRINGFIELD (W ILLAM ALANE 5400.00 5400.00 (NOTE The Metropolitan Wastewater Management Commission SALEM 0400 0 0 5270 0 0 (KA C) Facilities Equalization Charge induded in the fees collected by M 20 F O R D 539500 5 2 4 3.0 0 the Cit was r , " " e ' " " I in Administrative Order 58- 95-06, and will be S T HELENS 0369 0 0 0389 0 0 '�7 7"" TROUTDATE 5374.00 5374.00 implemented concurrently with these changes. For more information On I2 U GENE (CURRENT) 8064.06 0344.061 the MWMC Facilities Equalization Charge, contact Gen SVendsen, SEASIDE 032500 532500 Public Works, Administration, at 687 -5262. C 0 T 7 A G1 G R� V,E.___ .-_- 1181 0 0 5 t6 Q0 111 VER TON r��4`.- NON E -- -_- NONE ) REVISED 6/15/95