This division is intended to assure the provision of adequate
public facilities to serve new development in the city by requiring
each development to pay its pro rata share of the costs of improvements
necessitated by and attributable to such new development. Impact fees
established by this division are additional and supplemental to, and
not in substitution of, any other requirements imposed by the city
on the development of land or the issuance of building permits or
certificates of occupancy. Such fee is intended to be consistent with
and to further the policies of the city’s growth guidance plan,
the capital improvement program plans, the unified development code
ordinance and other city policies, resolutions and ordinances by which
the city seeks to provide adequate public facilities in conjunction
with the development of land.
(Ordinance O-2021-003 adopted 2/4/21)
This division shall be applicable uniformly to new development
that occurs within the water and wastewater service area. For new
development that occurs within the boundaries of the city’s
wholesale customers or other political subdivisions, the applicability
and terms for the assessment and collection of the impact fee shall
be defined by agreement.
(Ordinance O-2021-003 adopted 2/4/21)
This division is adopted pursuant to Texas Local Government
Code, chapter 395, the constitution and laws of the state, and the
city’s regulations and ordinances. The provisions of this division
shall not be construed to limit the power of the city to adopt an
impact fee pursuant to any other source of local authority nor to
limit the utilization of any other methods or powers otherwise available
for accomplishing the purposes set forth herein.
(Ordinance O-2021-003 adopted 2/4/21)
No application for new development shall be approved by the
city council without a written assessment of the development and impact
fee by city departments pursuant to this division, and no water and
wastewater tap shall be connected unless the impact fees assessed
by this division have been paid.
(Ordinance O-2021-003 adopted 2/4/21)
In addition to the terms defined in the Texas Local Government
Code, section 395.001, the following terms, as used in this division,
shall have the meanings ascribed to them herein below:
Assessment.
Shall have the meaning set forth in subsection 395.016(f)
of the Statute.
Director.
The director of engineering or his designee.
Living unit equivalent (LUE).
The standardized measure referred to in the definition of “service
unit” in the act and in this division. An LUE consumes 438 gallons
per day of water and produces 225 gallons per day of wastewater.
Service unit.
A standardized measure of consumption, use, generation, or
discharge attributable to an individual unit of development calculated
in accordance with generally accepted engineering or planning standards
based on historical data and trends applicable to the political subdivision
in which the individual unit of development is located during the
previous 10 years.
Statute.
Texas Local Government Code, sections 395.001 et seq.
Wastewater facility.
A capital improvement or facility expansion for providing
wastewater service, including but not limited to land or easements,
treatment facilities, lift stations, and interceptor mains. The term
does not include wastewater lines or mains which are constructed by
developers, the costs of which are reimbursed from charges paid by
subsequent users of facilities and which are maintained in dedicated
trusts. The term “wastewater facilities” also does not
include dedication of easement or rights-of-way or easements or construction
or dedication of on-site wastewater collection facilities required
by valid ordinances of the city and necessitated by and attributable
to new development.
Water facility.
Improvements for providing water service, including but not
limited to land or easements, water supply facilities, treatment facilities,
pumping facilities, storage facilities or transmission mains. The
term does not include water lines or mains constructed by developers,
the costs of which are reimbursed from charges paid by subsequent
users of the facilities maintained in dedicated trusts. The term also
does not include dedication of rights-of-way or easements or construction
or dedication of on-site water distribution facilities required by
valid ordinances of the city and necessitated by and attributable
to new development.
(Ordinance O-2021-003 adopted 2/4/21)
(a) The land use assumptions previously adopted by the city are incorporated
by reference and are kept on record in the office of the city secretary.
(b) Said land use assumptions for the city shall be updated at least
every five (5) years utilizing the amendment procedure set forth in
the Statute.
(c) Amendments to the land use assumptions shall incorporate projections
of changes in land uses, densities, intensities and population for
the service area over at least a ten-year period.
(Ordinance O-2021-003 adopted 2/4/21)
(a) Water and wastewater impact fee service area, the boundaries of which
are depicted on the service area maps included in the impact fee report
attached to Ordinance O-13-01-17-10B as amended by the impact fee
report attached to Ordinance O-2021-003 as exhibit A, have been approved
by the city council and a map showing such service areas shall be
kept on record in the office of the city secretary.
(b) The boundaries of the water and wastewater impact fee service areas
may be amended from time to time in accordance with the procedures
set forth in the Statute.
(Ordinance O-2021-003 adopted 2/4/21)
(a) The impact fee capital improvements program plan for water and wastewater
facilities adopted by the city, and amendments, are incorporated in
this division by reference and are kept on record in the office of
the city secretary.
(b) The impact fee capital improvements program plan for water and wastewater
facilities may be amended from time to time pursuant to the procedures
set forth in the Statute.
(Ordinance O-2021-003 adopted 2/4/21)
(a) Calculation.
The number of service units for both water
and wastewater service is determined by the size and type of the development
in accordance with the established City of Hutto Land Use Density
Tables and/or Engineering Department Living Unit Equivalent Table
attached to Ordinance O-2021-003, as part of exhibit A.
(b) Type of development not applicable to the land use density table
or living unit equivalent table. Upon application for a building permit
for lots for which the type of development does not conform to the
land use density table or living unit equivalent table, service units
shall be determined by a professional engineer licensed in the state
subject to the approval of the director.
(c) Revision of service units designation.
The city may
revise the service units designation in accordance with the procedures
set forth in the Statute.
(Ordinance O-2021-003 adopted 2/4/21)
(a) Maximum allowable fee.
The maximum impact fee per service
unit shall be computed by dividing the cost of water and wastewater
capital improvements and facilities expansions necessitated by and
attributable to new development identified in the impact fee capital
improvements program plan for water and wastewater facilities for
each category of capital improvements by the total number of projected
service units in the impact fee service area based upon the land use
assumptions, and then may be adjusted to reflect a credit, as appropriate,
for other non-fee methods of capital payments referenced in section
395.014(a)(7), Texas Local Government Code. Maximum impact fees per
service unit shall be established for each category of capital improvements
and are on record in the office of the city secretary, and incorporated
in this division by reference.
(b) For lots platted between January 31, 2013 and February 4, 2021, the
city shall assess and collect per service unit to be served by the
city:
(1) A water impact fee of three thousand six hundred twenty-five dollars
($3,625.00) per LUE.
(2) A wastewater impact fee of two thousand one hundred twenty-eight
dollars ($2,128.00) per LUE.
(c) For lots platted after February 4, 2021, the city shall assess and
collect per service unit to be served by the city:
(1) A water impact fee of eight thousand eight hundred thirty-two dollars
($8,832.00) per LUE.
(2) A wastewater impact fee of two thousand seven hundred eighty-eight
dollars ($2,788.00) per LUE.
(Ordinance O-2021-003 adopted 2/4/21)
(a) The city shall assess the impact fees per service unit in effect
at the time of plat recordation of a subdivision plat or other plat
in accordance with the city’s unified development code ordinance.
(b) Except as provided in section 395.019 of the Statute, the city shall
collect the fees as follows:
(1) At the time the political subdivision issues a building permit; or
(2) For land platted outside the corporate boundaries of the city, the
city shall collect the impact fees at the time an application for
an individual meter connection to the city’s water or wastewater
system is filed.
(c) For land on which new development occurs or is proposed to occur
without platting, the city may assess the impact fees at any time
during the development and building process and may collect the fees
at either the time of recordation of the subdivision plat or connection
to the city’s water or wastewater system or at the time the
city issues either the building permit or the certificate of occupancy.
(d) Following assessment of the impact fee hereunder, the amount of the
impact fee per service unit may not be increased above the assessed
fee unless the owner obtains final approval for replatting, in which
case a new assessment shall occur at the assessed water and wastewater
impact fee per service unit in effect at the time of such replatting.
(e) An application for an amended plat made pursuant to Texas Local Government
Code section 212.016 or the city’s unified development code
ordinance is not subject to a reassessment of the impact fee.
(Ordinance O-2021-003 adopted 2/4/21)
(a) The water and wastewater impact fees shall be based on the size and
type of the development and the number of service units associated
with that size and type of development in accordance with the land
use density table or living unit equivalent table.
(b) A property owner may submit, or the director may require the submission
of a study, prepared by a professional engineer, licensed in the state,
clearly indicating the number of water and/or wastewater service units
which will be consumed or generated by the new development. The director
will review the information for completeness and conformity with generally
accepted engineering practices and may, when satisfied with the completeness
and conformity of the study, modify the total number of service units
required for the new development.
(c) Total service units shall be multiplied by the impact fee per service unit for water or wastewater service as depicted in section
16.04.040, pertaining to impact fee per service unit, or as determined in subsection
(b) above.
(d) All applicable offsets, credits or discounts per service unit allowable under this division for water or wastewater service shall be subtracted from the product derived under subsection
(c) of this section.
(e) The amount of impact fee due for new development shall not exceed
the amount computed by multiplying the assessed fee for water or wastewater
service by the total number of service units generated by the development.
(f) Whenever the property owner increases the number of service units
for a development, the additional impact fees collected for such new
service units shall be determined based on the assessed fee and applicable
offsets, credits and discounts then in effect, and such additional
fee shall be collected at the time the additional meters are purchased.
(g) For the purpose of determining water impact fees, no additional service
units are attributable to the addition of a separate irrigation meter
if the irrigation meter is the same size as or smaller than the existing
meter. If a larger irrigation meter is installed, the water impact
fee shall be the difference between that of the existing meter and
that of the irrigation meter.
(h) In determining the number of service units for wastewater impact
fees, no service units will be attributed to irrigation flows.
(i) Payment of an impact fee in accordance with the terms and conditions
of this division shall entitle the payor to receive a credit for same
to be used in the event the tap for the property for which the fee
is paid expires and must be repurchased; provided, however, that the
impact fee is not refundable upon expiration of the tap.
(j) If the tap or building permit for the property on which an impact
fee is paid has expired and a new application is thereafter filed
for the same property with the same number of service units on the
property, the impact fee previously paid satisfies the requirements
of this division.
(k) The impact fee shall attach to the property for which the impact
fee was paid and shall not be transferable to other properties or
service units.
(l) No request to connect to the water and wastewater system shall be
granted and no building permit shall be issued if the applicant cannot
verify payment of the appropriate impact fee and other applicable
fees or if existing facilities do not have actual capacity to provide
service to the new connection(s).
(Ordinance O-2021-003 adopted 2/4/21)
If the city requires as a condition of development approval,
or otherwise enters into an agreement with a developer, to have the
developer construct, fund or otherwise contribute toward the cost
of a capital improvement or facility expansion included in the adopted
impact fee capital improvements program plan for water and wastewater
facilities, the city shall provide for reimbursement in the form of
credits against impact fees that would otherwise be due from the development
by entering into an agreement as allowed by section 395.018 of the
Statute. Such credits shall run with the land and shall be used to
reduce the amount of the impact fee that would otherwise be owed at
the time of collection of impact fees. If the amount of such credits
would be insufficient to reimburse the developer for the cost of required
improvements, the city shall provide for reimbursement to the developer
up to the balance of the cost of the required improvements from water
or wastewater impact fees collected from other new development within
the same service area. In determining the amount of such credits,
the developer shall submit evidence of the actual, fair-market cost
of the required improvement. Such credits shall only be applicable
against the impact fees for the type of facility (water or wastewater)
for which the capital improvement is made.
(Ordinance O-2021-003 adopted 2/4/21)
(a) Limitation on modification.
Except as provided in this
division or by contract in existence on the effective date of the
ordinance codified in this division, any reduction, change or modification
in the amount or time of payment of the impact fee must be approved
by a duly enacted ordinance of the city council.
(b) Fire protection capacity.
No fee shall be collected
for the purchase of a tap that is utilized to provide only fire protection
capacity.
(c) Nothing hereinabove stated shall be construed to alter the terms
of a contract with a wholesale customer of the city regarding the
payment of impact fees and shall not be construed to authorize the
payment of impact fees in installments in areas encompassed by such
a contract for wholesale service.
(d) Waivers.
In accordance with the Statute, after evaluation of the staff recommendation as per section
16.04.034, by majority vote of the city council, a resolution or ordinance may be adopted waiving or reducing the impact fees for a certain class of development, or for a specific development if there is a finding that the proposed waiver or reduction would result in substantial economic benefit to the city.
(Ordinance O-2021-003 adopted 2/4/21)
(a) All water and wastewater impact fees collected by the city shall
be deposited in interest-bearing accounts clearly identifying the
category of capital improvements for which the fees were collected
as required by the Statute.
(b) Interest earned by each account shall be credited to the account
on which it is earned and shall be used solely for the purposes specified
for impact fees as authorized herein below.
(c) The city shall establish adequate financial and accounting controls
to ensure that impact fees disbursed from the account are utilized
solely for the purposes authorized in this division. Disbursement
of funds shall be authorized by the city at such times as are reasonably
necessary to carry out the purposes and intent of this division; provided,
however, that any fee paid shall be expended within a reasonable period
of time, but not to exceed ten years from the date the fee is deposited
into the account.
(d) The city shall maintain and keep adequate financial records for each
such account, which shall show the source and disbursement of all
revenues, which shall account for all moneys received, the number
of service units for which the moneys are received, and which shall
ensure that the disbursement of funds from each account shall be used
solely and exclusively for the provision of projects specified in
the impact fee capital improvements program plan for water and wastewater
facilities as system-related capital projects. The city shall also
maintain such records as are necessary to ensure that refunds are
appropriately made in accordance with this division.
(Ordinance O-2021-003 adopted 2/4/21)
(a) Water and wastewater impact fees shall only be used to pay the costs
of constructing water and wastewater capital improvements or facility
expansions, including and limited to the following:
(1) Construction contract price;
(2) Subject to the provisions of subsection 395.012(b) of the Statute,
interest charges, including projected interest charges, or other finance
costs;
(3) Surveying and engineering fees;
(4) Land acquisition costs, including land purchases, court awards and
costs, attorney’s fees and expert witness fees; and
(5) Fees actually paid or contracted to be paid to an independent qualified
engineer or financial consultant preparing or updating the impact
fee capital improvements program plan for water and wastewater facilities
who is not an employee of the city.
(b) Impact fees collected pursuant to this division shall not be used
to pay for any of the items set forth in section 395.013 of the Statute.
(Ordinance O-2021-003 adopted 2/4/21)
All or any portion of a water or wastewater impact fee payment
that has been collected by the city and has not been spent as authorized
by this division within ten (10) years from the date such impact fee
was collected shall be refunded pursuant to the provisions set forth
in section 395.025 of the Statute.
(Ordinance O-2021-003 adopted 2/4/21)
The city shall review the land use assumptions and impact fee
capital improvements plan for water and wastewater facilities at least
every five (5) years, with the five-year period to commence from the
date of adoption of the impact fee capital improvements plan for water
and wastewater facilities referenced in this division. The city council
shall accordingly make a determination of whether changes to the land
use assumptions, impact fee capital improvements program plan for
water and wastewater facilities or impact fees are needed and shall,
in accordance with the procedures set forth in the act, or any successor
statute, either update the fees or make a determination that no update
is necessary.
(Ordinance O-2021-003 adopted 2/4/21)