Pearland - Friendswood Edition | May 2023

GOVERNMENT Pearland raises water fee for new developments by 43%; Friendswood considering impact fee increases

IMPACT FEE COMPARISON

Pearland voted to raise its impact fees by 43%. Here’s how the city’s impact fees compare to surrounding cities.

NO IMPACT FEES Existing and future ratepayers pay for all capital projects.

IMPACT FEES New develop- ment shares the cost.

Who pays for infrastructure to serve growth?

TOTAL IMPACT FEES

Adopted wastewater impact fee

Adopted water impact fee

New businesses planning devel- opments in Pearland will soon be required to pay a raised impact fee. Impact fees allow the city to delegate half the cost of new construction for Pearland’s water and wastewater infrastructure to new developments. The fees lessen the burden from existing businesses and residents who would otherwise pay higher water and sewer rates, ocials said. The city of Pearland is required to update its impact fees every ve years, and on April 9, City Council voted 5-2 to increase its impact fees from $6,477 to the maximum rate of a combined water and sewer fee of $9,265, which is paid upon the issue of a permit. Council Members Alex Kamkar and Layni Cade dissented. Interim City Manager Trent Epper- son said the city will be moving to a meter-based impact fee, which he said is more transparent. “This is just a much cleaner, easier, more transparent way of how we charge [impact fees]; it’s the way the vast majority of cities do it,” Epperson said. Prior to the vote, Kamkar voiced objections to requiring businesses to pay the $9,265 impact fee and put forward a motion to raise the fee only to $8,000. “I just don’t feel this is the BY RENEE FARMER, RACHEL LELAND, & DANIEL WEEKS

appropriate time,” Kamkar said. “It wouldn’t be prudent to raise this fee, especially for folks who want to do business here, or, in the case of some folks who are replatting, they’re already here.” If the city had chosen to pursue a lower impact fee, additional rev- enues to maintain the city’s water and wastewater systems would have to be collected by raising rates for residents, Epperson said. Friendswood impact fees Friendswood will also revisit its water and wastewater utility impact fees with a study conducted over the next few months evaluating if changes are needed. During its April 3 meeting, Friend- swood City Council authorized an agreement with Freese & Nichols to conduct the city’s 2023 Water and Wastewater Utility Impact Fee Project. The city rst adopted water and wastewater impact fees in 1990. Updates are required every ve years with the city’s last update occurring in 2018, according to agenda documents. Following a yearlong study of Friendswood’s water system in 2022, a rm recommended $3 million in improvements, including new water lines and storage tanks. Friendswood also has identied $60 million worth of water and waste- water projects to take on during the

$13,568

$12,354

$11,099

$9,265

$9,548

$9,200

$7,550

$7,668

$7,461

$6,477

$4,227

$3,500

Cities and year of latest adoption

*UPDATING IMPACT FEE IN 2023

SOURCE: CITY OF PEARLANDCOMMUNITY IMPACT

next two decades to maintain its utility services and accommodate development, according to the request for qualications. Impact fees, which are paid when a building permit is issued, fund required capital costs for locally provided infrastructure, including water and wastewater facilities. Freese & Nichols will be

responsible for updates to the land use assumptions, capital improve- ments plan and impact fees. The rm will give a presentation to the Friendswood Planning and Zoning Commission and City Council later this year, according to agenda doc- uments. The rm will also present its ndings at public hearings in the latter half of the year.

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PEARLAND  FRIENDSWOOD EDITION • MAY 2023

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