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EDC Minutes 2000 12-19-00 UNITED CITY OF YORKVILLE ECONOMIC DEVELOPMENT COMMITTEE MEETING MINUTES DECEMBER 19, 2000 IMPACT FEES Mr. Nanninga asked Roger Dalstrom from the Northern Illinois University at DeKalb to come to the Economic Development Committee meeting tonight as his principal area to deal with is growth management and Impact Fee Programs. Mr. Dalstrom has developed programs for 15 to 20 school districts around the state, as well as Capital Improvement Programs. Mr. Dalstrom stated that communities experience growth pressure over time, and there are several ways to deal with this. Fiscal stress comes with growth, some communities have grown across county lines and into other school districts which presents special problems. Impact fees should only be changed if they are fair and sensitive to demand, allowing for cost and revenue to recapture for the service district based on demand. A true Impact Fee is based on creating revenue, and there needs to be credit calculations to end up with a true and fair fee to give us a true impact picture. We should know the extent of our subsidy to development. What we change should truly reflect the costs. Mayor Prochaska stated we have looked at this, but we have used the Kendall County Accessory in figuring some of these fees. Chairman Sticka stated that the sliding scale approach intrigues him, i.e. upscale homes paying less in fees as over time property taxes make up the difference. A small element to being more desirable. Alderman Dockstader asked if the sliding scale was common. Mr. Dalstrom stated that it may make him a target as he is the only one using it, but Kaneland school district has 4 out of 5 communities that fall within their boundary, and all of them use working on the same program. Mayor Prochaska stated that we have 3 communities that fall within the school district boundaries and the City just changed the ordinance wording to reflect for Plano. Alderman Sowinski asked if you need to involve all the communities that fall within the school district. Mr. Dalstrom stated that it is an advantage to have all the communities as you are all on a level playing field then, but you don't have to have them all. It should be based on a concept of service standards. Rapid growth without having impact fees in place, and the service standards may deteriorate over time. Alderman Dockstader stated that Kaneland is one of the largest school districts in the state. Have there been challenges? 1 Mr. Dalstrom stated that none of his programs have been challenged, but impact fees are constantly being challenged. Alderman Sowinski asked if he bases his figures on statistics from a study. Mr. Dalstrom stated yes, a table that has 460,000 calculations. Alderman Sowinski asked where this would differ from our current approach to fees. Mayor Prochaska stated that our fees have no ties to property values, but is based on a per unit cost. Mr. Dalstrom stated they gather quite a bit of information from school districts, and look at how much square footage per student is used, and base it entirely on capital costs. Mayor Prochaska stated our fees are based on operational, while land cash is based on capital costs. Considering our school district components, Montgomery may not want to come in, possibly Oswego, they have recently annexed into Yorkville school district. Mr. Dalstrom stated that most municipalities look to the school district for the study finds as they are the ones who will benefit. i Alderman Dockstader asked about per unit fees. Mr. Dalstrom stated that he has seen $5000. to $6000. per dwelling. They do calculate the positive, the more costly the home. It is not a plan to encourage more expensive homes, but it is an incentive. Mayor Prochaska stated that he has observed that a subdivision starts and then as it progresses the homes get bigger and bigger. Alderman Dockstader stated we have more mix here in the neighborhoods than other communities. Alderman Sticka asked about this system being approved in other communities. i Mr. Dalstrom stated they simply began this by trying it. Mayor Prochaska asked what the first step would be to try this. Mr. Dalstrom stated that you should start by talking to the school district to see if they will contribute 2 Mayor Prochaska stated we would need a proposal in order to get to them. They have expressed an interest to work with the City. Then we could go to them and ask that they look at up dating with costs. Mr. Dalstrom stated he would be happy to get information and time line to the City. Mayor Prochaska stated we would focus on Yorkville School District first. PC 2000 -26 ILAND LAND APPREICATION Petition to re -zone 0.632 acres from R -4 to B -3 at Route #34 and Route #47 Chairman Sticka stated this is very simple, it is the same as the last sliver of land this was done for, they simply now need slightly more for their arrangement. Mr. Fixler stated this was simply a mis- calculation. This was approved by Plan Commission with comments from the City Engineer and Attorney that there not be any land locked parcels. They will have reciprocal parking, etc. with Inland, and the biggest lot was a common area for parking and drives. The City Engineer had a concept plan at the Plan Commission meeting which outlined where the buildings would be for the benefit of the Plan Commission. They plan to announce the tenant on February 1 st at Plan Council and they are confidant they will work out a plan to be moving ground by March 1 st. Mr. Nanninga stated that Menards and Tucker are on the A List for sewer availability. Mayor Prochaska stated the EPA will give a certain amount of P.E. and the City to dole out. Mr. Fixler asked what the allotment would be now. and what the second allotment would be. i Mayor Prochaska stated he was not sure. Mr. Fixler asked who were they to know that some of that P.E. is reserved for them. Mayor Prochaska stated it could be in our agreement. They hope to see some approval on 1/8/2001 when they go to Springfield. YBSD has done a partial engineering for them. Mr. Fixler asked about residential. Mayor Prochaska stated that a lot of that residential has already been approved. There is only one developer who has approval for his phase one only. Mr. Nanninga stated he figured that 50 lots have been approved. Chairman Sticka stated this should go to COW 3 i R -1 WELL OR SEPTIC -NOT BOTH Mr. Nanninga stated that Windham Homes is considering changing to 18,000 square foot lots to be serviced by City water and using septic. Chairman Sticka stated this should go to COW on 12/21/00. ECONOMIC DEVELOPMENT CORPORATION PAYMENT Mayor Prochaska stated this was passed by City Council and is in the Budget, and should be on the next bill list.. Chairman Sticka stated this should go to COW on 12/21/00. Alderman Dockstated asked if everyone who committed was in fact paying. Mayor Prochaska stated that this is a good time for questions only, as when this was passed it was with an option to review each year, but the City guaranteed 3 years. Lynn is doing a great job, and has made many contacts and has provided a log. Ms. Dubajic stated that what she does is call a business and make an appointment with the decision maker and then goes in and spends about 1 1/2 hours learning about their business, she lets them know what the EDC Corp. is doing and what we can do for them, and how to utilize her for their needs. She asks questions and is surprised with how much they will tell her. They have given her many leads. She has also been to a seminar for Industrial Bonds Chairman Sticka asked if they were aware of who she is. Ms. Dubajic stated that about 75% have knowledge of her., 25% have heard about her but aren't sure what it is about. They all say it is great to have someone to talk to. Mayor Prochaska stated they are talking to Waubonsee about a business register and going on line for people looking for jobs as a free service. They will do training. This is not even on their curriculum, but will put someone on staff to teach program. Alderman Dockstader stated that is what a college should do, putting information together for businesses. Alderman Sowinski asked if Lynn had been in to see the new business in the Remline building. Ms. Dubajic stated yes, they are a logistic company related to CAT, parts that go on tractors, but they also do work for other companies, plus final assembly. The plant manager was with Remline, so some employees are the same, and they are looking to expand. I 4 ADDITIONAL BUSINESS Alderman Sowinski asked why Amurol built on I -88 instead of here on their Yorkville site. Mayor Prochaska stated they said Aurora made them an offer they couldn't refuse, but they are planning to expand this facility and if they had put it here, they possibly wouldn't have had the room to expand this plant. Being adjacent to I -88 was a factor, but they are leasing and may move it all here . Adjourned 8:30 PM Minutes by Sandy Marker i I I I I I �I 5