The city may offset the improvements or funding for construction of any system facility included on the identified capacity plans that is required or agreed to by the city, pursuant to rules established in this section and administrative guidelines. Any agreements entered into hereunder shall be subject to the approval of the city council of the City of Lubbock.
(1) 
General credit.
The city shall apply against assessed impact fees a credit equal to fifty percent (50%) of the total projected cost of implementing the capacity plan. This credit is already reflected in the maximum assessable impact fee.
(2) 
Offsets by developer.
Before impact fees can be reduced by offsets authorized under this section, the owner of the property shall apply for offsets based on actual costs with the city. Unless an agreement specifies otherwise, an offset associated with a plat shall be applied when the first building permit is submitted and to each subsequent building permit application to reduce the impact fees due until the amount associated with the offset is exhausted.
(3) 
Roadway offsets.
Any construction of, contributions to, or dedications of roadway facilities that are system-related facilities included on the identified capacity plans and that are agreed to or required by the city as a condition of development approval shall be offset against roadway facilities impact fees otherwise due from the development.
(4) 
Water offsets.
Any construction of, contributions to, or dedications of water facilities that are system-related facilities included on the identified capacity plans and that are agreed to or required by the city as a condition of development approval shall be offset against water facilities impact fees otherwise due from the development.
(5) 
Wastewater offsets.
Any construction of, contributions to, or dedications of wastewater facilities that are system-related facilities included on the identified capacity plans and that are agreed to or required by the city as a condition of development approval shall be offset against roadway facilities impact fees otherwise due from the development.
(6) 
No offsets for rights-of-way or easements.
Rights-of-way and easements are not included in the study, and no offsets shall be granted for the dedication of rights-of- way or easements. Rights-of-way and easements are dedicated as required by the ordinances of the city, necessitated by and attributable to a new development, and do not exceed the amount required for infrastructure improvements that are roughly proportionate to the new development.
(7) 
Master planned projects.
Master planned projects, including subdivisions containing multiple phases, and whether approved before or after the effective date of the impact fee regulations, may apply for offsets against impact fees for the entire project based upon improvements or funds toward construction of system facilities, or other capital improvements supplying excess capacity. Offsets shall be spent within the same service area utilizing a methodology approved by the city and be approved in an agreement.
(Ordinance 2020-O0136 adopted 10/27/2020)