Peter Schwarz, AICP

Director of Community and Economic Development

Andrew Thompson, CGFO

Director of Finance

Case No. CD21-14T "Park Impact Fee Land Development Code Text Amendment"  An Ordinance amending the Oakland Park Land Development Code to update the Park Impact Fee.

Issue Statement:

The Park Impact Fee specified by the City's Code of Ordinances was established in 2005 at a rate of $1,500 and this rate not been updated since that time. A comprehensive study of the impact fee has been conducted with recommended actions indicated.

Recommended Action:

The City Commission approve the proposed Ordinance to update the park impact fees as recommended by the "City of Oakland Park - Parks and Recreation Impact Fee Study" increasing the impact fee to $2,250 per dwelling unit, with the value of the increase to be phased in over a four-year period.

Background:

In order to meet the City's adopted level of service standard of three (3) acres of park space for every 1,000 residents, the City Commission adopted a park land acquisition fee to be applied on new residential development in the City of Oakland Park on January 5, 2005. Originally adopted as a "Park Land Acquisition Fee in Lieu Calculation," the Ordinance required that a fee of $1,500 be paid at the time of building permit issuance for each new dwelling unit to be constructed in the City.

On February 18, 2009, an amendment to the Ordinance was adopted by the City Commission that changed the "Park Land Acquisition Fee in Lieu Calculation" language to a "Park Impact Fee." The rationale at that time was that the change was necessary to accurately depict the actual use of park impact fees that the City of Oakland Park received from new development. The fee of $1,500 per new dwelling unit was not changed at that time.

The item was considered by the Planning and Zoning Board at their June 7, 2021 public hearing, and recommended approval by a vote of 4-1.

City of Oakland Park staff engaged Raftelis Financial Consultants, Inc. to conduct a full review of the City's current park impact fee structure and develop the City's updated park impact fee based on the criteria set by state statutes.

The results of the study conducted by Raftelis indicate that the City of Oakland Park's current park impact fee is inadequate to help fund parks and recreation service capacity required to serve new development. The study further concludes that based on its research and professionally accepted methodologies, the park impact fee should be increase to $2,263. However, recently approved changes to state statutes limit the allowable increase to no more than 50% of the existing fee. Therefore, Raftelis recommends an increase of the park impact fee to $2,250. In addition, the changes to state statutes require such increases to impact fees be phased over a four year period. As such, the proposed increase will be $1,687.50 in FY22, $1,875.00 in FY23, $2,062.50 in FY24 and $2,250.00 in FY25.  The changes to state statutes (HB 337) were approved by the Florida House and Senate and are expected to be signed into law by the Governor. These changes will be retroactive to January 2021.