1. Transportation Impact Fees and Funding
Marion County
Transportation Impact Fees and Funding
March 24, 2015

2. Presentation Overview1
Background/Purpose
Methodology
Findings of Technical Study
Next Steps 2 3 4

3. Background History of Transportation Impact Fee in Marion County:
Implemented in 1990
Last update in 2007
Suspension since 2010
Changes in cost and funding since 2006/07

4. Background Impact Fee Definition:
One-time capital charge to new development
Covers the cost of new capital facility capacity
Implements the CIE and CIP

5. Background Why Impact Fees? Maintain Level-of-Service Standards (LOS)
Calculate cost of growth
Potential large developments
Most needed when:
High growth
Limited funding

6. Background Transportation Impact Fees Roadway-based
Multimodal approach in the Cities requires a minimum of:
City’s Comprehensive Plan to include mobility goals/strategies
A Capital Plan for bicycle lanes and sidewalks
A map of local collector roads as wells bicycle lanes and sidewalks

7. Background Major Infrastructure Investment
Population Growth Rate Trend; 3-year Average ( )
Major Infrastructure Investment
Infrastructure is 30 years old
Marion County
+155k from
1.4% Avg Annual Growth
Florida
+6.3M from
1.1% Avg Annual Growth
Source: BEBR; Medium-Level
1970
1980
1990
2000
2010
2040

8. Avg. Annual Population Growth
Background
= Fee in Place & Collected (27) ≈ 2.9% ≈ 0.7%
= Fee in Place, but Suspended ≈ 2.8% ≈ 0.5%
/Moratorium (15)
= No Transp. Impact Fee (23) ≈ 1.9% ≈ 0.6%
*Information was unavailable (2) *
Marion
Avg. Annual Population Growth
Missing info on 2 counties (Baker, Lafayette)

9. Background Trend in Construction Costs:
Last Marion TIF Update
Source: FDOT Long Range Estimates

10. Background Marion County Capacity Needs Interchanges Road Expansion
NW 49th St Interchange
SW 95th St Interchange
Road Expansion
SR 200 from CR 484 to County Line
NE 36th Ave from SR 492 to NE 35th St
NE 25th Ave from SR 492 to NE 35th St
NE 35th St from W. Anthony Rd to NE 36th Ave
New Roads
SW 44th Ave from SR 200 to SW 20th St
SW 49th Ave from SW 95th St to SW 42nd St
NW 44th Ave from SR 40 to NW 11th St
Emerald Road Ext. from SE 92nd Loop Rd to Emerald Trace

11. Presentation Overview1
Background/Purpose
Methodology
Findings of Technical Study
Next Steps 2 3 4

12. Methodology Transportation Impact Fee Variables: Demand Component
Trip Generation Rate, Trip Length, % New Trips
Cost Component
County and State Roads, Roadway Capacity
Credit Component
Non-impact fee roadway capacity expenditures

13. (Cost – Credit) x Demand
Methodology
Basic Impact Fee Formula:
Net Impact Fee =
(Cost – Credit) x Demand ok
Cost to Add Roadway Capacity
Non-Impact Fee Revenue from Future Development
VMT

14. Transportation Impact Cost Single Family Home
One Lane Mile ~$3.1 M ÷
Capacity ~8,800 =
Vehicle mile of capacity ~$355
Total Credit ~$2,300
Fee ~ $7,000
Total Impact Cost ~ $9,300 =
26 miles of daily travel X
Capacity Consumed by One Home

15. Presentation Overview1
Background/Purpose
Methodology
Findings of Technical Study
Next Steps 2 3 4

16. Findings of Technical Study
Demand Component:
Sources:
National ITE Reference
Florida Studies Database
Demand Calculation:
Trip Gen. Rate x Trip Length x % New Trips

17. Findings of Technical Study
Demand per Unit of Development:
Trip Gen. Rate = Number per day
Trip Length = Travel A to B
% New Trips = Accounts for trips already on the roadway
Interstate/Toll Discount = Accounts for interstate & toll trips (not charged)

18. Findings of Technical Study
Single Family Residential (2,000 sq ft) Example:
Trip Gen. Rate = 7.81
Trip Length = 7.61
% New Trips = 100%
Interstate/Toll Discount = 12.0%
(7.81 * 7.61 * 100% / 2)*(1-12.0%) = 26.15

19. Findings of Technical Study
Cost Component:
Sources
Local roadway improvements
Recent new construction/lane addition projects throughout Florida
FDOT Long Range Estimates (LRE)

20. Findings of Technical Study
Cost Component:
Local Improvements
NW 60th Ave from SR 200 to SR 40 (FY 2006)
CR 464 (Ph. I) from Oak Rd to Locust Rd (FY 2007)
CR 200A from US 441 to NE 35th St (FY 2009)
NW 44th Ave from US 27 to NW 60th St (FY 2009)
SE 31st St from SE 19th Ave to SR 464 (FY 2009)
SW 110th St from US 41 to SW 200th Ave (FY 2013)
NW 35th St from NW 35th Avenue Rd to US 441 (FY 2013)
NW/NE 35th St (Ph. 1a) from US 441 to W. of Anthony Rd (FY 2016)

21. Findings of Technical Study
County Roadway Construction Cost Trend (Urban Design)
County Road Bids in Marion
County Rd Cost Estimate for IF Calculation

22. Findings of Technical Study
State Roadway Construction Cost Trend (Urban Design)
State Rd Cost Estimate for IF Calculation
State Road Bids in Marion

23. Findings of Technical Study
Estimated Cost per Lane Mile
Phase
County Roads
State
Roads
County and State Roads
Design
$167,000
$227,000
$184,000
Right-of-Way
$1,001,000
$1,236,000
$1,069,000
Construction
$1,668,000
$2,060,000
$1,782,000
CEI
$50,000
$101,000
Total
$2,886,000
$3,750,000
$3,136,000
Lane Mile Distribution*
71%
29%
100%
*Based on most recent LRTP Cost Affordable Plan

24. Findings of Technical Study
Credit Component:
$.01 penny
1 CENT
GAS TAX
PER GALLON

25. Findings of Technical Study
Credit Component:
Revenue Sources
State funding = $462.5 million (FY )
County funding
Non-impact fee = $57.3 million (FY )
Fuel tax bonds = $72.7 million (15 yrs remaining)
Non-impact fees funding
This is NOT a developer credit for construction

26. Findings of Technical Study
Credit Component – Transportation Funding
State tax indexed
Local tax not indexed
Other revenues are indexed

27. Findings of Technical Study
State
≈ -30%
Fuel Efficiency
7.7%
Local
≈ -90%
5.5%
3.0%
Fuel Efficiency & Inflation

28. Findings of Technical Study
Land Use Changes:
Created tiers for Single Family based on sq. ft.
Less than 1,500 sf
1,501 to 2,499 sf
2,500 sf and greater
Created “per bed” fee for Assisted Living Facilities
Created separate Office & Retail categories
Created “small retail” tier (<6,000s f)
Created an office/retail mixed use land use
25% office, 75% retail weighting

29. Findings of Technical Study
Land Use Changes:
Consolidation of several “Restaurant” land uses
Quality Restaurant
High-Turnover Restaurant
Fast Food w/Drive-Thru
Addition of “Small Local Restaurant” land use
Applied to “mom & pop” type restaurants
Non-franchise, fewer hours of operation
Collapsed into single “Restaurant” land use

30. Findings of Technical Study
Transportation Impact Fee Rate Comparison
Marion County Timeline
Land Use
Unit
Full Calculated
Adopted
Study Date -
2006
2007
2015
Percentage
100%
57.6%
Single Family Du
$5,143
$10,588
$6,099
$6,994
Light Industrial
1,000 sf
$3,102
$3,682
$2,121
$4,048
Office (50k)
$8,364
$3,519
$2,027
$6,391
Retail (125k)
$6,263
$2,718
$1,565
$9,592
Bank (Drive In)
$29,540
$12,805
$7,376
$21,367
Restaurant
$20,070
$8,694
$5,007
$26,502

31. Findings of Technical Study
Transportation Impact Fee Rate Comparison
100% Calculated Impact fee Rates
Land Use
Unit
Marion*
Marion
Levy
Citrus*
Sumter
Lake
Study Date -
2007
2015
2005
2010
2008
2013
Adoption %
100%
Single Family Du
$10,588
$6,994
$1,046
$3,970
$5,200
$3,867
Light Industrial
1,000 sf
$3,682
$4,048
$709
$1,255
$3,167
$2,151
Office (50k)
$2,888
$6,391
$995
$3,605
$7,182
$3,748
Retail (125k)
$2,716
$9,592
$1,710
$2,973
$7,273
$4,401
Bank (Drive In)
$12,805
$21,367
$3,436
$17,056
Restaurant
$8,694
$26,502
$2,683
$21,074
Lake has 50% credit which is reason for lower SFR rate, by comparison to Marion (not a Tindale Oliver study)
*Fees currently suspended

32. Findings of Technical Study
Transportation Impact Fee Rate Comparison
100% Calculated Impact Fee Rates
Land Use
Unit
Marion*
Marion
Volusia
Alachua
Polk*
Study Date -
2007
2015
2003
2009
Adoption %
100%
Single Family Du
$10,588
$6,994
$2,653
$4,878
$4,895
Light Industrial
1,000 sf
$3,682
$4,048
$1,500
$3,362
$675
Office (50k)
$2,888
$6,391
$2,830
$5,030
$5,310
Retail (125k)
$2,716
$9,592
$3,770
$7,132
$6,754
Bank (Drive In)
$12,805
$21,367
$13,430
$15,776
$14,377
Restaurant
$8,694
$26,502
$9,910
$20,345
$22,861
*Fees currently suspended

33. Findings of Technical Study
Transportation Impact Fee Rate Comparison
Adopted Impact Fee Rates
Land Use
Unit
Marion*
Marion
Levy
Citrus*
Sumter
Lake
Study Date -
2007
2015
2005
2010
2008
2013
Adoption %
57.6%
100%
50%
70%
Single Family Du
$6,099
$6,994
$1,046
$1,985
$2,600
$2,706
Light Industrial
1,000 sf
$2,121
$4,048
$709
$628
$1,584
$1,505
Office (50k)
$2,027
$6,391
$995
$1,803
$3,591
$2,623
Retail (125k)
$1,565
$9,592
$1,710
$1,487
$3,637
$3,080
Bank (Drive In)
$7,376
$21,367
$3,436
$8,528
Restaurant
$5,007
$26,502
$2,683
$10,537
*Fees currently suspended

34. Findings of Technical Study
Transportation Impact Fee Rate Comparison
Adopted Impact Fee Rates
Land Use
Unit
Marion*
Marion
Volusia
Alachua
Polk*
Study Date -
2007
2015
2003
2009
Adoption %
57.6%
100%
68%
85%
Single Family Du
$6,099
$6,994
$2,174
$4,146
$4,895
Light Industrial
1,000 sf
$2,121
$4,048
$1,220
$2,857
$675
Office (50k)
$2,027
$6,391
$2,310
$4,275
$5,310
Retail (125k)
$1,565
$9,592
$3,080
$6,062
$6,754
Bank (Drive In)
$7,376
$21,367
$10,960
$13,409
$14,377
Restaurant
$5,007
$26,502
$8,090
$17,293
$22,861
*Fees currently suspended

35. Findings of Technical Study
Economic Growth Strategy
Calculated based on:
Rate of growth
Available non-impact fee funding
By area and/or land use

36. Economic Growth Strategy
New Growth Credit/Future Tax Revenues
New Growth Credit/Future Tax Revenues
10%
40%
Roadway Capacity Level-of-Service
- Facility Needs
- Economic Needs
- Land Use Needs
Revenues from Existing Residents (for transportation capacity)
Annual Growth Rate

37. Findings of Technical Study
Economic Growth Strategy (County ONLY)
95%
Credit is for County roads ONLY
Marion County Projected
Annual Growth Rate (1.8%)

38. Findings of Technical Study
Economic Growth Strategy (County ONLY)
Option 1: Countywide discount of 5%
All land uses adopted at 95% of calculated rates
Option 2: Targeted Uses
Residential land uses adopted at 100% of calculated rates
Non-residential land uses adopted at 85% of calculated rates

39. Findings of Technical Study
Economic Growth Strategy Impact Fee Rate Comparison
County ONLY
Land Use
Unit
Marion
(Calculated)
(Option 1)
Marion (Option 2)
Study Date -
2015
Adoption %
100%
95%
85-100%
Single Family Du
$6,994
$6,644
Light Industrial
1,000 sf
$4,048
$3,846
$3,441
Office (50k)
$6,391
$6,071
$5,432
Small Retail (6k)
$4,177
$3,968
$3,550
Retail (125k)
$9,592
$9,112
$8,153
Small Restaurant
$12,668
$12,035
$10,768
Restaurant
$26,502
$25,177
$22,527

40. Findings of Technical Study
Economic Growth Strategy (County & State)
70%
Credit is for County and State (adjusted)
Marion County Projected
Annual Growth Rate (1.8%)

41. Findings of Technical Study
Economic Growth Strategy (County & State)
Option 1: Countywide discount of 30%
All land uses adopted at 70% of calculated rates
Option 2: Targeted Uses
Residential land uses adopted at 100% of calculated rates
Non-residential land uses adopted at 20% of calculated rates

42. Findings of Technical Study
Economic Growth Strategy Impact Fee Rate Comparison
County & State
Land Use
Unit
Marion
(Calculated)
(Option 1)
Marion (Option 2)
Study Date -
2015
Adoption %
100%
70%
20-100%
Single Family Du
$6,994
$4,896
Light Industrial
1,000 sf
$4,048
$2,834
$810
Office (50k)
$6,391
$4,474
$1,278
Small Retail (6k)
$4,177
$2,924
$835
Retail (125k)
$9,592
$6,714
$1,918
Small Restaurant
$12,668
$8,868
$2,534
Restaurant
$26,502
$18,551
$5,300

43. Findings of Technical Study
Existing Benefit Districts
Proposed Benefit Districts 2 1 2 1 3 4
Preservation Land

44. Presentation Overview1
Background/Purpose
Methodology
Findings of Technical Study
Next Steps 2 3 4

45. Next Steps Next Steps: Input from the BOCC
Submittal of Final Report – April 2015
Public Hearing – June 2015

46. Questions?
Thank You