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Arcata Fire District consultant briefs council on proposed development-impact fees; no action taken
Summary
Consultant Blair Oz presented a nexus study recommending one-time development-impact fees to fund fire infrastructure, including fee categories, ADU exemptions under 750 sq ft, required reporting, and a suggested automatic inflation tie to a construction-cost index; council asked clarifying questions but took no adoption action.
Blair Oz, vice president of SCI Consulting Group, told the Arcata City Council the fire district's draft impact-fee program is based on a nexus study that ties fees to the actual impact of new development on fire facilities. "Development impact fees are one-time fees that are paid by new development to fund the construction of new infrastructure," Oz said, adding that the methodology follows an "existing facility standard" that calculates the value of the existing fire system against the service population to set proportional rates.
The presentation explained separate fee categories for single-family, multifamily, mobile homes and nonresidential land uses, and noted a statutory exemption for accessory dwelling units under 750 square feet. Oz said the program would include transparent accounting: fees must be placed in a dedicated fund, reported annually, and reviewed after five years for any balance reallocation. He recommended tying the fee to an engineering/construction-cost index so fees automatically adjust for inflation unless the council or district board elects otherwise.
Council members asked how the index would be chosen and whether the commonly cited Engineering News-Record indices were appropriate for Arcata. Oz said there are region-specific indices and a 20-city national index as alternatives. Council member Stillman asked whether the ADU category includes manufactured homes; Oz confirmed it does. City staff and Oz discussed practical collection and remittance steps: the city typically collects fees at the time of building-permit issuance, holds them in a separate fund, and remits to the district on a periodic basis while retaining reporting and expenditure limitations.
The presentation closed with a timeline: the district has approved the nexus study and has requested the city's consideration; staff will prepare an enabling ordinance and resolution and a public hearing if the council directs further action. The council did not take action on the fee program at this meeting; members directed staff to return with any required implementing documents and further details on indexing and collection logistics.
The item serves as an information item and potential future ordinance; no ordinance or fee resolution was adopted tonight.
