Kennewick adopts fire-impact-fee program; council sets fee schedule under financing scenario

Kennewick City Council on April 15 adopted an ordinance that adds a fire-impact-fee program to the Kennewick Municipal Code and later approved a companion resolution that sets the fee schedule under a financing-inclusive scenario.

The ordinance, which adds chapter 3.95 to the Kennewick Municipal Code to establish how fire impact fees will be administered, passed 5–2. Council then approved the fee schedule under “scenario 2” — which incorporates financing costs (an example calculation used 4.5% over 20 years) — by a 4–3 vote.

The ordinance creates the legal vehicle to charge impact fees in a defined boundary (the Southridge area as drafted). The subsequent resolution translates the analyses into per‑use fees under two presented options: scenario 1 (capital costs only) and scenario 2 (capital plus financing). City staff told council the Southridge portion of capital attributable to development is about $11,400,000, and that scenario 2 would include estimated bond financing costs.

Why it matters: the ordinance gives Kennewick a new funding tool to recover one‑time capital costs tied to new growth (for instance a planned Station 6 in Southridge). Council debate centered on who should pay (new development within Southridge versus spread citywide), the timing of a citywide program, and particularly high per‑unit fees for certain uses such as residential care facilities.

Council members offered contrasting views. Council Member Anderson said he ‘‘doesn’t like the fact that this targets only the growth in the South Ridge area’’ and urged a citywide approach. Council Member Trumbo said he favors targeting fees to the area that benefits directly, arguing ‘‘it should be a vehicle to improve fire service that is shouldered entirely by the development of’’ the area that will be served by the new station. Council Member McShane supported starting with Southridge while moving quickly to a citywide plan and establishing a 10‑year capital plan.

Fire and finance details discussed on the record included that scenario 1 divides the roughly $11.4 million capital attribution among new development in Southridge; scenario 2 adds financing costs (chief staff used a 4.5% 20‑year bond example). Staff said the Southridge boundary was selected as a starting point because it is easier to delineate capital needs there; staff also said they will prepare a citywide capital allocation if council directs it. City staff indicated they plan to review impact fees at least every two years in connection with the budget cycle.

Several council members and the fire chief raised the high per‑unit fee for residential care facilities. During discussion, a figure of $6,887.64 per bed (as presented in materials) was noted as a driver of concern because it could add hundreds of thousands of dollars to a large facility. Council Member Beauchamp and others said such a fee could deter residential care providers or raise costs that would be passed to residents. The fire chief and staff responded that residential care facilities are a significant call driver and that the fee in part reflects service usage trends; staff noted the fee is based on the proportion of calls attributable to that use and therefore could change as development mixes shift.

Council considered procedural options: passing the ordinance for Southridge now (with a resolution to adopt fees) and then amending both the ordinance and resolution later to make the program citywide, or waiting to finalize a citywide ordinance. Staff said the ordinance could be amended later and that fees are adopted by resolution, which would also be amended if the boundary or methodology changed.

Votes at a glance: - Ordinance adding Chapter 3.95 (fire impact fee program): motion to adopt moved by Council Member Beauchamp, seconded by Council Member Milbauer; passed 5–2 (roll-call tallies not recorded in the public transcript). - Resolution adopting the fee schedule (scenario 2 — includes financing costs): motion to adopt moved by Mayor Potemacorelli; seconded by Council Member Milbauer; passed 4–3 (roll-call tallies not recorded in the public transcript).

What’s next: staff said they can assemble a citywide capital attribution and bring an amended ordinance and fee schedule back for council consideration; staff estimated that breaking out citywide capital needs likely would take more than two weeks but could be completed in a month or more. Staff also told council they will periodically (at least every budget cycle) reevaluate fees and recommended establishing a 10‑year capital plan to guide spending timelines.

Council members said they will continue discussions about methodology, the residential care fee, and whether to accelerate a citywide approach.

Sources: staff reports and council discussion at the Kennewick City Council meeting, April 15, 2025. Quotes and figures are taken from the meeting record.