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Port Orchard presents annual impact-fee report as council weighs mid-level fee increase
Summary
City staff presented the 2024 impact-fee accounting for parks and transportation and council debated adopting a middle-tier transportation impact fee after members raised competing priorities including housing affordability and project timelines.
Port Orchard staff presented the city’s annual impact-fee report May 27, disclosing account balances and spending history for park and transportation fees, and council members debated whether to adopt a mid-range increase to transportation impact fees to fund planned road and multimodal projects.
City staff said park impact fees had a 2024 tracking balance of about $2.16 million (the staff report indicated a larger total balance near $3.9 million) earmarked for the community event center, downtown waterfront plaza projects and Givens Park. Transportation impact fees, staff reported, stood at about $6.8 million and were earmarked for programmed projects, including work on Bethel.
Council members discussed three fee scenarios staff had presented: option A (lowest), option B (middle), and option C (highest). Several council members said option C was not acceptable; others favored B over A to keep enough funds available to complete projects already identified on the city’s transportation improvement program. "With not an increase in this fee, I don't see how we're going to be able to complete some of these projects," Council member Morrissey said. Council member Warden voiced concern that raising fees increases housing costs for builders and buyers.
Council member Rosapepe and others asked staff to supply additional data (comparisons with neighboring jurisdictions and timing of last fee adjustments) and proposed a short survey to let council members indicate priority projects. Staff said Kitsap County adjusts its fee each March 1; members requested further data from Gig Harbor and Poulsbo. Mayor advised council that the matter need not be finalized that night and that staff would return with prioritized-project data and a survey.
Council members agreed to remove option C from consideration and to review a prioritized list of projects as the next step. Staff said a follow-up will include a consultant’s current rate comparisons and a council poll of top-priority projects before a formal decision.
