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Commission reviews breakdown of city fees and impact fees; staff to follow up
Summary
Commissioners discussed a staff analysis of fees associated with new construction — city fees for a $300,000 house were estimated at about $15,500, plus water-availability and other impact fees — and directed staff to follow up with comparative data and further review of fee impacts on housing affordability.
The planning commission heard a staff briefing and commissioner discussion about the aggregate cost of regulatory fees for new housing in Hurricane. The commission chair said a preliminary root-cause analysis suggested regulatory costs could amount to roughly 10.2% of a property’s value; staff (Fred) provided a city-fee estimate for a $300,000 house of about $15,500 in city fees alone.
Staff outlined additional typical charges not included in that city-fee total: sewer impact fees (reported in the meeting at about $3,200), a water-availability fee quoted from the Washington County water availability field at $13,500, and various other charges (park and recreation fees, culinary water connection fees, power connection fees, road impact fees, fire district impact fees). Staff also noted geotechnical costs in certain areas — about $7,000 per lot in rockfall-prone areas — that can add to development costs.
Commissioners and staff discussed how impact fees are calculated, including the requirement to prepare a capital facilities plan and the state law limit on holding and spending impact fees (staff said by state law the city cannot hold those fees for longer than six years). Staff noted Hurricane’s building-permit fees are relatively low in the county and that impact-fee comparisons with other jurisdictions are part of the standard review process; the commission chair asked staff to provide comparative data with other Utah cities.
No formal action was taken; commissioners asked Fred and planning staff to meet with the chair to review the fee spreadsheet and return with validated numbers and comparisons to other municipalities.
Key numbers discussed (as presented in meeting): city fees for a $300,000 house: approximately $15,500 (city-only fees); sewer impact fee: approximately $3,200; water availability fee (Washington County figure cited): approximately $13,500; geotechnical rockfall costs: approximately $7,000 per lot in constrained areas. Staff cautioned some figures are estimates and depend on development specifics.
