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HomeMy WebLinkAbout08 21 2017 Development Fees Report Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com 4646 Dakota Street SE Prior Lake, MN 55372 CITY COUNCIL WORK SESSION REPORT MEETING DATE: AUGUST 21, 2017 AGENDA #: B PREPARED BY: FRANK BOYLES, CITY MANAGER PRESENTED BY: VARIOUS AGENDA ITEM: DISCUSSION OF DEVELOPMENT FEES INTRODUCTION: The purpose of this agenda item is to provide the city council with information about the city’s various development fees and respond to any questions councilors may have. HISTORY: State statute provides the city with authority to establish various fees which are intended to pay the cost of infrastructure required for development. To be a modern city the following systems must be built and operated: • Water System including production, treatment, storage and distribution. • Sanitary Sewer System including gravity lines, force mains and lift stations. • Storm Water System including collection, distribution, treatment and disposal of surface water. • Street System including a transportation system, road right-of- way and associated improvements for residential, minor collector, collector and arterial streets together with the signage and signalization. CURRENT CIRCUMSTANCES: There are two classes of fees. The first are development or subdivision fees. Typically, these fees are collected at the time of final platting and execution of the development agreement. The second type of fees are connection charges. They are collected at building permit issuance. Shown below is a development handout which is based upon the city code showing city development related fees by type and amount. 2 ISSUES: The purpose of this portion of the work session is to review with the city council: 1. Each development and connection fee. 2. The purpose of each. 3. The way they are calculated and used. 4. When the fee is collected. With this information the city council will be in a better position to consider agenda item 9B scheduled for the August 21, 2017 meeting.