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Fountain council approves public safety impact fee increase tied to construction-cost index
Summary
The council voted 6-0 to update the City of Fountainpublic safety impact fee to reflect recent increases in the Colorado construction cost index; the fee applies mainly to new development and some changes in building size or use.
The Fountain City Council on June 10 voted 6-0 to approve Resolution 25-017, updating the city—s public safety impact fee to reflect recent increases in the Colorado construction cost index.
The fee adjustment was presented by Fire Chief Scott Graham, who told the council, "What we're asking for approval tonight is a resolution to increase the city's impact fee for the public safety impact fee. This is based on the Colorado construction cost index, and the percentage increase over the year." Graham cited an 8.128% increase for 2024 and 2.61% for 2023 as the basis for the change.
City Manager Scott Trainor explained the purpose of impact fees in more detail, saying, "Impact fees are designed to make sure that we're attaching the costs associated with new growth to new growth." Trainor said revenue from such fees funds capital needs for public safety, including vehicles, stations and related architecture and planning costs.
Councilmembers and members of the public asked how and when the fee is assessed. Chief Graham and staff clarified the fee is assessed primarily on new construction and certain other changes described in the city ordinance, including additions that change square footage, increases in intensity of use and conversion from residential to commercial. Staff said the fee is assessed to the developer and is due to the City at the time of building-permit issuance, prior to certificate-of-occupancy.
During public comment, residents asked whether remodeling would trigger the fee; staff answered that routine remodels that do not change use or increase the structure—s square footage in the ways described would typically not trigger the fee, but additions or new separate dwelling units could. Steve Arcey raised the timing and perception of the fee increase relative to other council actions; staff responded the ordinance requiring annual adjustment has been in place since 2020 and this was an update required by that ordinance.
Councilmember Duncan moved to approve Resolution 25-017; the motion passed 6-0.
The resolution update applies the published index adjustments and the council instructed staff to post the supporting chart and clarify application rules for permit applicants. Staff emphasized that the fee update is not a new ordinance but an annual adjustment required by the existing ordinance.
