HomeMy WebLinkAboutProposed Amendments to PRIF Ordinance 03-29-241
3/29/2024
Proposed Amendments to the PRIF Ordinance 1
Docket PZ-2024-00038 OA 2
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I. Amend Section 1.30 of the Unified Development Ordinance to read: 4
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1.30 Parks and Recreation Impact Fees 6
Adopted with amendments by the Council on _____________ and effective on and after _____________, as set forth 7
in Section 1.30(O): Effective Date and Expiration Date. 8
A. Title: Section 1.30: Parks and Recreation Impact Fees shall be referred to and known as the Parks and 9
Recreation Impact Fee Ordinance (the “PRIF Ordinance”) for the City of Carmel, Hamilton County, Indiana. 10
B. Definitions: Terms used in the Unified Development Ordinance are defined in Article 11: Definitions. 11
C. Establishment of Impact Zone: There is hereby established one Parks and Recreation Infrastructure Impact 12
Zone, the borders of which are coterminous with the Planning Jurisdiction. In this regard, the Council specifically 13
finds that there is a functional relationship between the components of the Park and Recreation Master Plan and 14
the Zone Improvement Plan, as each is amended from time to time, and that such plans will provide a reasonably 15
uniform benefit to all of the citizens throughout the Impact Zone. The Council further finds that all areas within the 16
Impact Zone are contiguous as required in IC 36-7-4-1316. Except as provided below, this PRIF Ordinance shall 17
apply uniformly to all developments within the Impact Zone hereby established for which the City may require an 18
improvement location permit and which create a need for new and additional Parks and Recreation 19
Infrastructure. This PRIF Ordinance shall not apply to: 20
1. Improvements which do not require an improvement location permit; 21
2. Improvements which do not create a need for new and additional Parks and Recreation Infrastructure, 22
including the erection of a sign, construction of accessory buildings, structures or fences or the alteration, 23
renovation or expansion of an improvement where the use, or intensity thereof, has not changed; or 24
3. The replacement of a destroyed or partially destroyed improvement, provided that the replacement improve- 25
ment does not create a need for new and additional Parks and Recreation Infrastructure over and above the 26
infrastructure needed by the original improvement prior to the destruction or partial destruction thereof. 27
D. Zone Improvement Plan: The Council hereby finds that, prior to the adoption of this PRIF Ordinance, the Plan 28
Commission undertook a comprehensive and detailed park and recreational impact analysis and consulted with a 29
qualified engineer, and the resulting study and data base were used in the preparation of the Zone Improvement 30
Plan as required by IC 36‑7‑4‑1318(d). The Council has heretofore adopted the Zone Improvement Plan and 31
finds in this regard that the Zone Improvement Plan does contain the following elements: 32
1. Reasonable estimates relating to the nature and location of development that is expected within the Impact 33
Zone during the planning period, which, for the purposes of this PRIF Ordinance is defined to be a period of 34
ten (10) years commencing with the date of adoption hereof. 35
2. A reasonable determination of the community level of service for the Impact Zone. 36
3. A reasonable determination of the current level of service provided within the Impact Zone. 37
4. A reasonable estimate of the nature, location, sequencing, and timing of the park and recreational improve- 38
ments and costs necessary to provide the community level of service for the developments contemplated in 39
Section 1.30(D)(1) hereof. 40
5. A reasonable estimate of the share of the park and recreational costs identified in Section 1.30(D)(4) hereof 41
that will be used to: 42
a. Raise the current level of service for existing development or provide service to existing development; or 43
b. Provide service to new development. 44
6. A reasonable estimate of revenues that: 45
a. Are from sources other than impact fees; and, 46
b. Will be used to finance the costs identified in Section 1.30(D)(5)(a) above. 47
7. A description of the nature and location of existing infrastructure in the Impact Zone. 48
8. A general description of the sources and amounts of money used to pay for infrastructure during the previous 49
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five years. 50
9. A reasonable estimate of the share of the park and recreational costs identified in Section 1.30(D)(4) hereof 51
that will be used to pay the directly related expenses incurred in preparing or updating the Zone Improvement 52
Plan, as limited by IC 36‑7‑4‑1330. 53
In addition, the Council has specifically adopted the Zone Improvement Plan as an official part of the 54
Comprehensive Plan pursuant to IC 36‑7‑4‑500 et seq. 55
E. Establishment of Impact Fee: Based upon the Park and Recreation Master Plan and the Zone Improvement Plan 56
previously referred to and which are hereby incorporated by reference into this PRIF Ordinance, the Council 57
determines that the impact costs, minus the sum of nonlocal revenues and impact deductions (as defined in IC 58
36‑7‑4‑1321), do not exceed the amount of $4,882$7,863 per equivalent dwelling unit, and that, therefore, the 59
impact fee to be imposed on every development subject to this PRIF Ordinance shall equal the product of: 60
1. $4,882$5,370, during months 1-12 of the effectiveness of this PRIF Ordinance; $5,907, during months 13-24 61
of the effectiveness of this PRIF Ordinance; $6,498, during months 25-36 of the effectiveness of this PRIF 62
Ordinances; $7,148, during months 37-48 of the effectiveness of this PRIF Ordinance; or $7,863, after month 63
48; times 64
1.2. the number of equivalent dwelling units to be constructed pursuant to the improvement location permit 65
obtained by the developer (or individual). 66
The Council does hereby make as a part of the record of these proceedings, all of the data collected, the 67
calculations made, and the conclusions reached by the Plan Commission in the process of developing the Zone 68
Improvement Plan, and specifically instructs the Director of Community Services to make such data and other 69
information inclusively available to anyone for review during regular business hours. In the event that any parcel 70
of real estate considered in the creation of the Zone Improvement Plan undergoes a change in use, redevelopment, 71
or a modification which requires an improvement location permit, and creates a need for new infrastructure, an 72
impact fee will be assessed only for the increase in the burden on infrastructure. 73
F. Credit in Lieu of Payment; Exemptions: See proposed revisions for this section in PZ-2024-00034 74
1. Pursuant to IC 36‑7‑4‑1335, any developer (or individual) obligated to pay a fee pursuant to the terms of this 75
PRIF Ordinance may be granted the option of financing, constructing and dedicating Parks and Recreation 76
Infrastructure instead of making all or part of any impact fee payment which may be due, so long as such 77
financing, construction and dedication are accomplished either: 78
a. Pursuant to the Zone Improvement Plan and with the consent and acceptance of the Carmel-Clay Board 79
of Parks and Recreation, or 80
b. With respect to components of infrastructure or other improvements that are not included in the Zone 81
Improvement Plan, under a request by the Carmel Board of Public Works and Safety and with the 82
consent and acceptance of the Board of Public Works and Safety. 83
2. The developer (or individual) providing the infrastructure or improvement, shall be allowed a credit in an 84
amount equal to the sum of: 85
a. The actual cost of constructing or providing the infrastructure or improvements, plus 86
b. The fair market value of the land, real property interests, and site improvements provided. 87
3. The amount of the credit shall be determined by agreement (the “Credit Agreement”) between the person 88
constructing or providing the infrastructure or improvement and either: 89
a. The Carmel-Clay Board of Parks and Recreation; or 90
b. The Board of Public Works and Safety, depending upon which entity is best suited to accept the 91
dedication of the infrastructure or improvement. The developer (or individual) shall make a request for 92
credit prior to the issuance of the improvement location permit. In the event the credit is less than the 93
amount of the impact fee due pursuant to Section 1.30(E): Establishment of Impact Fee above, the 94
remaining balance shall be due in accordance with the provisions stated hereafter. 95
4. Credits against impact fees otherwise due shall be allowed pursuant to this section for all infrastructure and 96
improvements constructed or furnished in accordance with IC 36‑7‑4‑1313 and IC 36‑7‑4‑1335 since 97
January 1, 1989. In addition, a developer (or individual) responsible for installing infrastructure or 98
improvements may designate in writing a method of allocating its credits to future owners who may be 99
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successors in interest to the credits earned by the developer (or individual) as part of the Credit Agreement 100
provided for above. 101
5. Any developer (or individual) obligated to pay the fee established by this PRIF Ordinance whose property 102
was totally or partially destroyed by fire, storm or other casualty beyond his or her control, shall be exempt 103
from said fee if such developer (or individual) repairs or replaces the destroyed structure without creating a 104
burden on Parks and Recreation Infrastructure greater than the burden imposed by the destroyed structure. 105
In the event of such additional burden, the fee shall be calculated based only on the increased burden 106
created by the structure. 107
G. Impact Fee Due Upon Issuance of Improvement Location Permit: The impact fee imposed pursuant to the terms 108
of this PRIF Ordinance shall be due and payable upon the issuance of an improvement location permit. The 109
entire fee which is calculated pursuant to the terms of this PRIF Ordinance shall be due at said time, except that 110
an installment plan may be requested by the applicant in accordance with the terms set forth in IC 36‑7‑4‑1324 111
(a), (b), (c), and (d). The Impact Fee Review Board shall establish specific rules consistent with said code 112
provisions for installment payments. The interest rate on any installment plan or deferred payment shall be the 113
pre-judgment rate of interest set forth in the Indiana Code as from time to time amended. If a developer (or 114
individual) requests, the amount of the impact fee shall be assessed upon the voluntary submission of a 115
development plan or upon the issuance of the improvement location permit, whichever is earlier. For purposes of 116
this section, “assessment” means the act of calculating the amount of the impact fee which shall be due at said 117
time. The Director of Community Services shall make such assessment within thirty (30) days of the date of such 118
voluntary request or at the issuance of the improvement location permit with or without a request. 119
H. Lien Rights Established: Pursuant to IC 36‑7‑4‑1325, the City of Carmel acquires a lien against the real estate 120
which is the subject of the impact fee. Upon adoption, this PRIF Ordinance shall be recorded, and, thereafter, it 121
shall constitute constructive notice of the lien rights of the City. The City may, in its discretion, file a specific 122
instrument setting forth its lien rights with respect to a parcel of real estate which is the subject of an installment 123
payment plan for an impact fee, and such instrument shall constitute actual notice in addition to the constructive 124
actual notice in addition to the constructive notice provided for by the recording of this PRIF Ordinance. 125
I. Form of Receipt: The Director of Community Services shall issue a receipt for any and all impact fees collected, 126
and the form of such receipt shall be as follows: 127
Received of [fee payer], this [date] day of [month, year], the sum of $ [amount] in [full/partial] satisfaction of impact 128
fees due pursuant to the City of Carmel Unified Development Ordinance, Section 1.30, relating to improvements to 129
be constructed on the real estate described on Exhibit A, attached hereto, made part hereof, and subject to lien 130
rights in favor of the City of Carmel in the event of partial payment with payments remaining due. The remaining 131
balance due (if any) is in the following amount: $ . This impact fee is dedicated to the creation of the following 132
infrastructure elements in accordance with the Zone Improvement Plan: 133
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DEPARTMENT OF COMMUNITY SERVICES 135
City of Carmel 136
J. Establishment of Impact Fee Review Board; Hearing of Appeals: There is hereby established the Carmel Impact 137
Fee Review Board. The Impact Fee Review Board shall consist of three (3) citizen members, appointed by the 138
Mayor of the City to serve for terms of four (4) years; however, for the purpose of providing for staggered terms 139
of office, the initial members of the Impact Fee Review Board shall be appointed for respective terms of two (2) 140
years, three (3) years, and four (4) years. The members of the Impact Fee Review Board shall not be members 141
of the Plan Commission and shall meet the qualifications prescribed by IC 36‑7‑4‑1338(b), that is, one (1) 142
licensed real estate broker, one licensed (1) engineer, and one (1) certified public accountant. Whenever a 143
member of the Impact Fee Review Board is unable to participate in any matter before the board because of a 144
conflict of interest, the Mayor shall appoint a temporary replacement member, meeting the qualifications of the 145
member being replaced, to serve on the board for the purpose of hearing that matter only. The Impact Fee 146
Review Board shall be governed by IC 36‑7‑4‑1338(c) and all other applicable provisions of the Impact Fee 147
Statute. Any developer (or individual) who believes itself to be aggrieved by the calculation of an impact fee may 148
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appeal from such calculation to the Impact Fee Review Board and the Impact Fee Review Board shall conduct a 149
hearing with regard thereto. At such hearing, the developer (or individual) shall bear the burden of going forward 150
with the evidence and shall present evidence addressing either of the following propositions: 151
1. A fact assumption used in determining the amount of the impact fee is incorrect; or 152
2. The amount of the impact fee is greater than the amount allowed under IC 36‑7‑4‑1320, IC 36‑7‑4‑1321, 153
and IC 36‑7‑4‑1322. 154
Upon conclusion of the presentation of evidence, the Impact Fee Review Board shall make a determination within 155
thirty (30) days, upon the facts presented and may make such adjustments in the impact fee as it deems are appro- 156
priate under the circumstances, if any. An appeal under Section 1.30(J): Establishment of Review Board; Hearing 157
of Appeals shall be filed not later than thirty (30) days after the issuance of the improvement location permit. The 158
appeal shall be initiated with the filing of a Petition for Review with the Director of Community Services, together 159
with a filing fee in the amount of $100. The filing fee shall be refunded in full: 160
1. If the Petition of Review is granted and the impact fee is eliminated, reduced or adjusted by the Review 161
Board, by independent action of the Director of Community Services, or by a court having jurisdiction, and 162
2. If the reviewing body determines that the amount of the fee, reductions, or credits were arbitrary or 163
capricious. 164
The Petition for Review shall be in a form calculated to inform the Impact Fee Review Board of the nature of the 165
complaint, the parties to the action, and the relief requested. In addition, the petition shall describe the new 166
development on which the impact fee has been assessed, all facts related to the assessment of the impact fee, 167
and the reasons the petitioner believes that the amount of the impact fee assessed is erroneous or is greater 168
than the amount allowed by the fee limitations set forth in the Impact Fee Statute. The Director of Community 169
Services shall not deny the issuance of improvement location permit on the basis that the impact fee has not 170
been paid, or condition issuance of the permit on the payment of the impact fee. 171
K. Establishment of Impact Fee Fund: (See proposed revisions for this section in PZ-2024-00034) There is hereby 172
established an Impact Fee Fund within the City to receive any and all sums collected pursuant to this PRIF 173
Ordinance and any other Impact Fee Ordinance that may hereafter be adopted, to be utilized in connection with 174
the purposes set forth in Section 1.30(L): Use of Impact Fees Collected below. A special account shall be 175
established in the fund for Parks and Recreation Infrastructure which shall be kept separate from any other 176
account that may hereafter be established in the fund for other infrastructure types. In the event, and only in the 177
event, that an additional Impact Zone for Parks and Recreation Infrastructure is created hereafter, a separate 178
account shall be maintained for each separate Impact Zone established within the City. Interest earned on any 179
such account shall be deposited and maintained within the separate account. The Fiscal Officer shall manage 180
the Impact Fee Fund according to the provisions of the Impact Fee Statute and maintain records of the status of 181
any such account. Pursuant to IC 36‑7‑4‑1329, the Fiscal Officer shall make an annual report to the Plan 182
Commission and the Carmel-Clay Board of Parks and Recreation of said accounts which shall be available to 183
the public in general and developer (or individual), upon request, in particular. The right to any refund of an 184
impact fee shall be determined strictly in accordance with IC 36‑7‑4‑1332, and the Fiscal Officer is designated, 185
pursuant to IC 36‑7‑4‑1332(e), as the official responsible for acting upon any refund applications that may be 186
filed by the developer (or individual). In order to facilitate the payment of any refunds when they may be due, the 187
Fiscal Officer is directed to identify the purpose of any impact fee paid in order that a refund, if any, may be paid 188
from the account into which the fee was originally deposited. 189
L. Use of Impact Fees Collected (See proposed revisions for this section in PZ-2024-00034): Any and all fees 190
collected pursuant to the provisions of this PRIF Ordinance may be utilized only for the following purposes: 191
1. Providing funds to be utilized by the Carmel-Clay Board of Parks and Recreation for the purpose of paying 192
the capital costs of Parks and Recreation Infrastructure that is necessary to serve the new development 193
within the City that is identified in the Zone Improvement Plan; 194
2. An amount not to exceed five percent (5%) of the annual collections of the fees, to be utilized by the 195
Carmel- Clay Board of Parks and Recreation for expenses incurred by the Carmel-Clay Board of Parks and 196
Recreation and/or the City for the consulting services that are used with regard to the establishment and 197
maintenance of this impact fee program; 198
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3. To pay any refund that may be due under IC 36‑7‑4‑1332; 199
4. To pay the debt service cost on an obligation issued to provide Parks and Recreation Infrastructure 200
described in Section 1.30(L)(1) in accordance with IC 36‑10‑3‑27 or other applicable law. 201
M. Conflicts with Impact Fee Statute: The Council specifically acknowledges the existence of the Impact Fee 202
Statute, which regulates the adoption of impact fee ordinances by municipal corporations within the State of 203
Indiana. It is the intent of the Council to comply with such legislation, and this PRIF Ordinance shall be construed 204
in all respects to be consistent with the Impact Fee Statute. The substantive and procedural requirements of the 205
Impact Fee Statute shall control in the event of conflicts, which are unintended by the Council. 206
N. Amendments and Review: The impact fee provided for herein is based upon information that, in large part, is 207
subject to inflation and other economic and market forces over which the Council has no control. The Council 208
may, therefore, from time to time, cause a review to be made by the Director of Community Services, or such 209
consultants as may be required, to determine the continuing validity of the Impact Fee, the Impact Zone, and the 210
Zone Improvement Plan. The Council may consider and adopt such amendments as are necessary to cause a 211
substantive compliance with all constitutional and statutory requirements. To the extent required by the facts and 212
circumstances, this process shall include the steps necessary to update the Zone Improvement Plan and the 213
Comprehensive Plan. 214
O. Effective Date and Expiration Date: Pursuant to IC 36‑7‑4‑1340, this PRIF Ordinance shall be effective June 1, 215
2020January 1, 2025, which is not earlier than six (6) months following its adoption in accordance with the 216
Impact Fee Statute, replacing the PRIF Ordinance adopted on November 3, 2014November 18, 2019, and wholly 217
contained in Section 1.30: Parks and Recreation Impact Fees. This PRIF Ordinance shall expire five (5) years 218
following such effective date, and no impact fee may be collected under this PRIF Ordinance after such 219
expiration date. However, the Council may adopt a replacement impact fee ordinance to take effect before, on or 220
after such expiration date if the replacement ordinance complies with the provisions of the Impact Fee Statute. 221
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II. Amend the definition of “Plan, Zone Improvement” in Section 11.02 of the Unified 223
Development Ordinance to read: 224
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Plan, Zone Improvement: The 2020-20252025-2029 Zone Improvement Plan for Parks and Recreation Infrastructure which was 226
prepared by the Plan Commission in conjunction with the Comprehensive Plan and approved by the Council on or before 227
December 1, 2019July 1, 2024. 228