Item 2 - DRAFT Minutes from 10/24/2023 Meeting — original pdf

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IMPACT FEE ADVISORY COMMITTEE SPECIAL CALLED MEETING MINUTES TUESDAY, OCTOBER 24, 2023 The IMPACT FEE ADVISORY COMMITTEE convened in a SPECIAL CALLED meeting on TUESDAY, OCTOBER 24, 2023, at 6310 WILHELMINA DELCO DRIVE in Austin, Texas, and remotely via WEBEX. COMMITTEE CHAIR TEHRANY called the IMPACT FEE ADVISORY COMMITTEE Meeting to order at 4:37 p.m. Committee Members (CM) in Attendance: CHAIR BOBAK TEHRANY, CM TURRIETA Committee Members in Attendance Remotely: CM SABA HATAMI, CM HARRISON HUDSON Committee Members Absent: CM CHI LEE, CM CHANNY SOEUR Committee has 1 vacancy. Staff in Attendance: Nathan Aubert (Transportation & Public Works, TPW), Lauren T. King (AW) Staff in Attendance Remotely: Aurora Pizano (AW), Nam Nguyen (AW), Martin Tower (AW), Teresa Lutes (AW), Dan Hennessey (TPW), Jessica Davis (TPW) PUBLIC COMMUNICATION: GENERAL No speakers signed up or in attendance to speak. APPROVAL OF MINUTES 1. Approve the minutes of the IMPACT FEE ADVISORY COMMITTEE (SPECIAL) MEETING on FEBRUARY 9, 2023 Minute approval was postponed to next meeting. DISCUSSION AND ACTION ITEMS 2. Committee officer vote: a. Bobak nominated by CM Turrieta (4-0-2) b. Susan nominated by Chair Tehrany (4-0-2) 3. Discussion and possible action on the transportation Semi-Annual Impact Fee Report for March 21, 2023, through September 30, 2023, as set forth in the functions of the advisory committee, Austin City Code and Chapter 395.058 of the Texas Local Government Code. 1  4. 5. The presentation was made by Dan Hennessey, Consulting Engineer, Transportation and Public Works Department. Mr. Hennessey presented on the state of the Street Impact Fee (SIF) program, including how much has currently been collected, invoiced, etc. Discussed cancellations of fees. $5.4M in fees collected, $10.6M in outstanding fees invoiced. Chair T. asked for clarification on fees collected vs. outstanding. Mr. Hennessey discussed the cancellations of fees. Chair T. asked for clarification on the report to provide a map of the service areas with the amount collected in each area. Mr. Hennessey discussed the future for spending of Street Impact Fees. TPW to continue to get a better understanding of projection of revenue. Questions: 1. Chair T. – Is it TPW’s position that it is more important to build projects than to pay down debt? Yes, at this point it is. Focus is watching the revenue and figuring out which projects are going to be first ones. 2. Chair T. – How did AWU first come about making the decision to pay down debt? Does TPW know their debt ratio? We don’t know currently what the debt ratio is. Chair T. recommended that TPW work with AWU to understand how to progress to the point where money can be used for debt defeasance. Chair T. – The fear is that there are decisions being made to remove projects which could be realized using a different funding mechanism. 3. CM TURRIETA – The waivers were due to what? When do we reassess the fee? Waivers are built into the ordinance. FY 2024 budget includes reviewing the calculation of the fee. Late 2024 is the projection for the study to be completed. We could also provide an assessment of what the various grace periods cost the City from a revenue projection perspective. 4. Chair T. – When would the fee update proposal come to this committee? Likely this time next year (2024) or early 2025. 5. Chair T. – Need to update the ITE trip generation manual in new fee study. Will also want to reevaluate the affordability language in the ordinance and study for reduction purposes. 6. Chair T. – Can sidewalks and bike paths be included? There needs to be a “capacity improvement” component to the use of fees. 7. Chair T. – State laws have been passed that may restrict the ability to obtain ROW for projects. How is TPW going to deal with those restrictions? Awaiting some legal interpretation, but the dedication of ROW should be business as usual. Discussion and possible action on the water and wastewater Semi-Annual Impact Fee Report for October 1, 2022, through March 20, 2023, as set forth in the functions of the advisory committee, Austin City Code and Chapter 395.058 of the Texas Local Government Code. Pushed to next meeting. Discussion and possible action on future Impact Fee Advisory Committee meeting dates for 2024. 2 CHAIR TEHRANY recommended that staff provide for a quarterly meeting to be put to the group for a vote. FUTURE AGENDA ITEMS • CM HUDSON asked if the Impact Fee Advisory Committee has discussed Water Forward and changes in waivers and credits that stand to impact the AWU fee. CHAIR TEHRANY adjourned the meeting at 5:38 p.m. without objection. 3