The document summarizes Orange County's process to update its school impact fee methodology and rates. It provides background on impact fees and the required 4-year review process. It then details the technical study components including construction and land costs, student generation rates, and the resulting proposed fee schedule, which increases fees for single-family homes by 35% on average. Comparisons are made to prior studies and other Florida counties' rates. Next steps include advisory group and board approval meetings to adopt the new rates by August 2016.

1. Orange County Government
Work Session
April 5, 2016
Board of County Commissioners
School Impact Fee Update

2. Presentation Outline
• Background
• Technical Study
• Next Steps

3. Background
Impact fees
• Fire/Rescue Services
• Law Enforcement
• Roads
• Parks and Recreation
• Schools

4. Background (cont.)
School Impact Fee
• Residential uses only
• Required to be Countywide
• Collected by the County and
municipalities
• Fee redistributed to OCPS less any
administrative fee
• Required to be reviewed every 4
years

5. Review Process
School Impact Fee Advisory Group
OCPS 3 Members Derrick Cox
Christine Bramuchi
Sean Murphy
BCC 3 Members Miranda Fitzgerald
Eric Marks
Dotti Wynn
GOBA 1 Member Randy June

6. Review Process
• Consultant Updates Study
• Advisory Group Review - Aug. ‘15 – Feb ’16
• School Board Work Session – January 19, 2016
• PZC/LPA Work Session – February 18, 2016
• PZC/LPA Adoption Hearing – March 17, 2016
• BCC Work Session – April 5, 2016
• Advisory Group Final Review – April 7, 2016
• School Board Adoption Meeting – April 12, 2016
• BCC Adoption Hearing – May 10, 2016
• Effective 90 Days – August 8, 2016

7. Existing vs Proposed Fees

8. School Impact Fee Methodology
• Consumption‐based methodology
– Charge growth for the value of consumption
of school capacity

9. Impact Fee Formula
Net Impact Fee =
(Cost – Credit) x Demand
Asset Value
per Student
Non‐Impact
Fee
Revenue
per Student
Students
per
Residential
Unit

10. School Impact Fee Methodology
Elements of fee methodology:
– Inventory
– Facility service delivery
– Cost component
– Credit component
– Student generation rate

11. Cost Component
• Facility Cost per Student Station:
– All costs necessary to build schools
 Architect/site improvements
 Construction
 Furniture, fixtures, and equipment (FF&E)
 Land purchase

12. Cost Component
• Construction Cost:
– 2009 ‐ 2015:
• 6 Elementary Schools
• 2 Middle Schools
• 2 High Schools

13. Cost Component
• School Costs Reviewed (Report Table B‐2):
– SunRidge ES
– Hackney Prairie Road Area ES
– Sun Blaze ES
– Wetherbee ES
– Eagle Creek ES
– Independence ES
– SunRidge MS
– Lake Nona MS
– East River HS
– Lake Nona HS

15. Cost Component
Construction Cost – Elementary Schools:
$145 ‐ 2007 Study
$100 ‐ 2011 Study
$161 ‐ Bid for Site 117
$135 ‐ 2015 Elem.
School Estimate
$80
$100
$120
$140
$160
$180
$200
$220
2007 2011 2012 2013 2015
Construction Cost per Gross Square Foot

16. Cost Component
Construction Cost per Gross Square Foot
Type Elementary Middle High Weighted
Recent Construction $108 $115 $153
Bids $161 N/A N/A
CIP Estimates $181 $211 $227
Insurance Values (Bldg Only) $140 $166 $177
Other Florida Jurisdictions $140 $148 $136
2015 Estimate $135 $155 $175 $153

17. Cost Component
Construction Cost – All School Levels
$80
$100
$120
$140
$160
$180
$200
$220
1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015
Construction Cost per Gross Square Foot
All School Types ‐ Construction Cost/GSF Trend
All School
Types
2015 Study
Estimate ‐
$153
2007 Study ‐
$190
2011 Study ‐
$113

18. Cost Component
Construction Cost per Gross Square Foot
Comparison to Previous Studies
Type
2007
Study
2011
Study
2015
Estimate
% Change
(2011‐2015)
Elementary Schools $145 $100 $135 +35%
Middle Schools $173 $116 $155 +34%
High Schools $209 $132 $175 +33%

19. Cost Component
• Other Building Costs:
– Non‐construction costs: A/E, Design, Site
Improvement, Facility Support, etc.
– Furniture/fixture/equipment

20. Cost Component
• Comparison to Previous Studies
Component 2007 Study 2011 Study** 2015 Estimate
Non‐Construction* 25% 22% / 18% 19%
FF&E 6% 9% 9%
Total 31% 31% / 27% 28%
* Includes A/E, design, site preparation, & facility support
** Non‐construction cost at 22% for ES & MS; and at 18% for HS

21. Cost Component
• Land Value:
– Recent Purchases
– Future Estimates
– Value of Existing Parcels
– Vacant Land Sales & Values

22. Cost Component
• Land Purchases > 10 acres (2008‐16)*:
– 87‐M‐SE‐3
– 48‐M‐SW‐4
– Forsyth Woods ES
– Site # 37 –M‐W‐4
– 52‐M‐SE‐2
– 2‐M‐E‐1
– 131‐K8‐SW‐5
– 81‐E‐SW‐5
– 30‐E‐SE‐3
– 3‐E‐SE‐2
– 117‐E‐SE‐4
– 23‐E‐E‐1
– Lake Nona MS
Weighted Average ≈ $158,000
* Report Table B‐8

23. Cost Component
• Land Value Variables
Component
Value per Acre
Average Range
Recent Purchases (10+ acres) $158,000 $20,000 $945,000
Value of Current Parcels $55,000 $9,100 $496,000
Future Estimates (15 to 50 acres) $348,000 $23,000 $500,000
Vacant Land Sales (5 – 90 acres)* $105,000 $10,000 $798,000
Vacant Land Values (5 – 90 acres) $44,000 $10,000 $472,000
* Sales between 2012 and 2015

24. Cost Component
• Land Value Comparison to Previous
Studies
Component 2007 Study 2011 Study 2015 Estimate
Value per Acre $80,000 $65,000 $100,000

25. Cost Component
Gross Square Feet per Permanent Station
Component
2011 Study 2015 Study
% Change
(2011 to 2015)
GSF per Permanent Student Station
Elementary Schools 124.1 110.0 ‐11%
Middle Schools 125.1 129.4 3%
Senior High Schools 127.1 133.1 5%

26. Cost Component Elementary Middle High
Weighted
Average
Gross Square Feet per Student Station (LOS)
– Future Schools
110.0 129.4 133.1 123.4
Total Facility Cost per Gross Sq. Ft. $189.10 $213.10 $240.90 $211.70
Total Facility Cost per Student Station $20,801 $27,575 $32,064 $26,123
• School Facility Cost per Student Station
26
Cost Component

27. Cost Component
Cost per Student Station
Comparison to Previous Studies
Cost per Station
2007
Study
2011
Study
2015
Estimate
% Change
(2011‐2015)
Elementary $25,396 $16,997 $20,801
Middle $34,693 $20,416 $27,575
High $40,377 $23,284 $31,064
Weighted $36,422 $19,463 $26,123 34%

28. Calculation Steps Elementary Middle High
Weighted
Average
Facility Cost per Permanent Student Station $20,801 $27,575 $32,064 $26,123
Adopted LOS Standard (Enrollment to Permanent Capacity) 110% 100% 100% N/A
Total Facility Impact Cost per Student (Adopted LOS Standard) $18,910 $27,575 $32,064 $25,468
• Total Facility Impact Cost per Student
28
Cost Component

29. Cost Component
• Total Cost per Student:
– Transportation Costs
– Ancillary Facility Costs

30. • Transportation & Ancillary Facility Cost per Student
30
Description Figure
Transportation Services Cost per Student
Total Current Value of Transportation Services $153,246,946
Current Enrollment 186,276
Total Transportation Services Cost per Student $823
Ancillary Facility Cost per Student
Building Value for Ancillary Facilities $124,015,320
Land Value for Ancillary Facilities $17,900,000
Total Current Value for Ancillary Facilities $141,915,320
Total Ancillary Facility Cost per Student $762
Cost Component

31. Credit Component
• Capital Improvement “Cash” Credit
– Sales Tax
– Capital Millage
• Debt Service Credit

32. • Net Impact Cost per Student
32
Total Impact Cost Per Student
Facility Impact Cost $25,468
Transportation Impact Cost $823
Ancillary Facility Cost $762
Total Impact Cost per Student $27,053
Revenue Credit
Capital Improvement “Cash” Credit $4,284
Debt Service Credit $1,704
Total Revenue Credit per Student $5,988
Net Impact Cost
Net Impact Cost per Student $21,065
Net Impact Cost

33. • Student Generation Rate Comparison
(2011 vs. 2015)
33
Residential Land Use 2011 2015
% Change
(2011‐15)
Single Family (detached) 0.431 0.417 ‐3.2%
Townhouse
0.259
0.329 +27.0%
Multi‐Family 0.281 +8.5%
Mobile Home 0.287 0.289 +0.7%
Total 0.360 0.360 +0%
Student Generation Rate

34. • Calculated School Impact Fee Schedule
34
Residential Land Use Unit
Students
per Unit
Net Impact
Cost per
Student
Total
Impact
Fee
Current
Adopted
Fee
Percent
Change
Single Family (detached) du 0.417 $21,065 $8,784 $6,525 +35%
Townhouse du 0.329 $21,065 $6,930 $3,921 +77%
Multi‐Family du 0.281 $21,065 $5,919 $3,921 +51%
Mobile Home du 0.289 $21,065 $6,088 $4,345 +40%
School Impact Fee Schedule

35. • Input Variable Changes (2011 Study to 2015 Study @100%):
Single Family Land Use
35
Input Variable Change
Effect on Final
Fee Rate
Demand (SGR)
Cost per Student
Credit
Net Impact Fee ‐
Impact Fee Variable Changes

36. – School Impact Fee Rate Comparison
36
County Study Date Adoption %
Single Family
Rate
SFR Rate @
100%
Citrus County* 2015 50% $1,261 $2,522
Indian River County 2014 28% $1,702 $6,077
Palm Beach County1 2015 N/A $1,866 $15,305
Sarasota County1* 2015 N/A $2,032 $7,835
Highlands County* 2006 50% $2,901 $5,801
Volusia County 2013 67% $3,000 $4,483
Nassau County 2011 100% $3,268 $3,268
Flagler County 2004 76% $3,600 $4,756
Hillsborough County 2004 100% $4,000 $4,000
Orange County (Calculated) 2015 N/A N/A $8,784
School Impact Fee Rate Comparison
1) SFR Rate at 100% reflects most recent on-going technical study
*Fees are currently suspended

37. – School Impact Fee Rate Comparison
37
County Study Date Adoption %
Single Family
Rate
SFR Rate @
100%
Marion County 2006 55% $4,068 $7,375
Hernando County* 2013 N/A $4,266 $7,103
Polk County 2015 42% $4,403 $10,483
Brevard County1 2015 N/A $4,445 $10,193
Lee County 2015 100% $4,540 $4,540
Pasco County 2005 100% $4,876 $4,313
Seminole County 2007 99% $5,000 $5,068
Collier County1 2015 N/A $5,378 $11,164
Martin County 2006 100% $5,567 $4,555
Orange County (Calculated) 2015 N/A N/A $8,784
School Impact Fee Rate Comparison
1) SFR Rate at 100% reflects most recent on-going technical study
*Fees are currently suspended

38. – School Impact Fee Rate Comparison
38
County Study Date Adoption %
Single Family
Rate
SFR Rate @
100%
St. Lucie County 2009 100% $6,182 $5,447
Manatee County* 2006 100% $6,350 $5,866
St. Johns County 2011 100% $6,396 $5,779
Orange County (Current Adopted) 2011 100% $6,525 $6,525
Clay County 2009 77% $7,034 $9,096
Broward County 2007 75% $7,351 $9,755
Lake County 2015 100% $9,324 $9,324
Osceola County 2014 100% $10,187 $10,187
Orange County (Calculated) 2015 N/A N/A $8,784
School Impact Fee Rate Comparison
*Fees are currently suspended

39. Questions

40. Next Steps
• Advisory Group Final Review – April 7, 2016
• School Board Adoption Meeting – April 12, 2016
• BCC Adoption Hearing – May 10, 2016
• Other Issues
– City of Orlando High-Rise Category
– Incremental Fee Increase