The La Plata County Board of County Commissioners on Tuesday approved a resolution levying a one-time fee on new development to fund road improvements.
Road impact fees, which are charged by a majority of Colorado counties, are intended to ensure that development responsible for upping road use pays for the increased wear and tear on county roads.
They also are part of the county’s strategy to address what financial planners have called a “crisis” of funding for the county’s road and bridge department.
“La Plata County is currently facing around a $10 million shortfall a year in road funding,” Board Chair Matt Salka said before the unanimous vote. “These fees are designed to ensure that new development contribute their fair share to the cost of improving our roads.”
The fees are anticipated to generate $569,000 annually, or about $12.5 million between now and 2045, according to a study presented by county staff in June.
Study results estimate that just over 19% of road improvement costs over the next 21 years will be attributed to future development. The anticipated road impact fee revenue roughly aligns with that estimate, given that the $12.5 million in revenue will cover about 20.8% of total improvements costs over the same period.
For future developments that will increase road traffic, building permit applicants will have to pay a fee based on the floor area of the project. A new residential dwelling of 900 square feet or less will pay a $1,210 impact fee. At the upper end of the range, a new dwelling of 3,201 square feet or larger would pay $3,690 per dwelling.
New Residential Uses (per dwelling unit based on square feet of floor area) | Cost Per Dwelling Unit |
900 sf or less | $1,210.00 per dwelling unit |
901 sf to 1,500 sf | $2,000.00 per dwelling unit |
1,501 sf to 2,300 sf | $2,650.00 per dwelling unit |
2,301 sf to 3,200 sf | $3,210.00 per dwelling unit |
3,201 sf or more | $3,690.00 per dwelling unit |
Residential expansions would pay lesser fees based on similar benchmarks.
Nonresidential uses will pay a higher impact fee.
For every 1,000 square feet of floor area, general commercial uses will pay $8,090, industrial uses will pay $2,210, office space and other services will pay $4,350 and other unclassified uses will pay based on expected traffic impacts.
Under the adopted code, low or moderate-income housing and affordable employee housing units that meet certain qualifications are exempt from the fees, subject to determination by the director of the community development department.
Developers have decried the arduous and time-consuming – and thus expensive – land use approval process in La Plata County. Although road impact fees will increase the cost of development slightly, the only two public comments heard Tuesday were in support of the move.
“Let’s let development pay for itself,” said Steve Parker, a longtime La Plata County leader.
Julie Westendorff, a former county commissioner, also spoke.
“This has been a priority for the La Plata County for over a decade. To hear Jim say that the trajectory for road and bridge is unsustainable are perhaps the first words that I heard when I was a commissioner starting out in 2013,” she said.
The fees went into effect immediately for all new development applications.
rschafir@durangoherald.com