Admin Order 58-11-01-F - Laserfiche WebLink

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The effective date of this administrative order has been delayed to June 1, 2011. This June 1, 2011, effective date will correspond with the effective date of the reduction to parks SDC rates that City staff will be proposing to the _City Council. If Council adopts the proposed park SDC rates reduction, that rate adjustment together with this administrative order's 3.5% rate increase will result in an overall reduction in the amount of SDCs currently collected for the average single- family home. Specifically, if the Council approves City staff s recommendation to reduce the parks SDC with the June 1, 2011 effective date, the total SDCs collected for an average single - family home will be approximately -0.98% or - $88.15 less than is currently collected in SDCs. No changes are being made to the SDC rates as a result of this comment. Comment 5 : Wade Fletcher stated that every time there is an SDC increase, it is always passed on to the faceless consumer. He would like to assist the City with educating the public on what SDC's are, how they are calculated, and the process for raising rates. He wants to do this in a way that would spark interest and maintain attention. Response: In accordance with the adopted Eugene SDC methodologies, SDC fees and credits maybe periodically adjusted to account for changes in construction costs and system valuation. The City's adopted cost index by which to adjust SDCs is the 20- city national Construction Cost Index (CCI) as published by the Engineering News- Record (ENR). The adoption method depends upon the magnitude of change (up or down) being proposed. Per our adopted methodologies document, the City Manager may adopt fee changes (based on an adopted specific cost index) by administrative order so long as the fees have not been revised administratively in an amount greater than five (S) percent within any 12 -month period. If the magnitude of change is greater than 5 %, then the proposed adjustment is processed via a Resolution that is considered by City Council which may opt to hold a public hearing. Extensive information about SDCs collected by the City of Eugene is available at www.eugene-or. or one may contact Public Works Engineering staff located at the City's Permit & Information Center, 99 West 1 0th Avenue, Eugene OR 97401; or call (541) 682 -8400. In addition, interested persons may also request to be notified of proposed changes to Eugene SDCS and/or periodically visit the referenced SDC web page for updates. SDC information is also provided in the Fee Estimating Guides published by the Building and Permit Services Division and available at www.eu or.gov/bldgperrnitfees. No changes are being made to the SDC rates as a result of this comment. Comment 6: Eric Hall is concerned With the latest proposed increase and doesn't believe there is any market -based justification for an increase in the SDC fees currently being charged. He has seen construction fees, wages and most materials remain relatively stable or decline, and design and engineering fees have decreased. He feels that over the next five years, any growth will likely be very modest, resulting in few Administrative order - Page 5 of 8