Placement: Resolutions
Action Requested: Motion / Vote
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Resolution 23-R65, Authorizing the City Manager or His Designee to Enter into and Execute a True-Up Agreement for Road Impact Fee Credits between the City of Port St. Lucie and ACR Acquisition, LLC.
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Submitted By: Mary Savage-Dunham, Planning and Zoning
Strategic Plan Link: The City's Goal of high-quality infrastructure and facilities.
Executive Summary (General Business): The City’s Mobility Fee Ordinance agreed to honor existing agreements approved by the City that granted City Road Impact Fee Credits. As part of honoring these existing agreements, the Mobility Fee Ordinance included a requirement for a True Up Agreement. The intent of the True Up Agreement is to clearly identify the Road Impact Fee Credit granted by the City, the source of the credit, how much of the credit has been utilized towards City Road Impact Fee assessments, and what is the remaining balance of the credit as of a defined date.
Presentation Information: Staff is not providing a presentation.
Staff Recommendation: Move that the Council Authorize the City Manager or his Designee to Enter into and Execute a Road Impact Fee True-Up Credit Agreement between the City of Port St. Lucie and ACR Acquisition, LLC.
Alternate Recommendations:
1. Move that the Council amend the recommendation and Authorize the City Manager or his Designee to Enter into and Execute a Road Impact Fee True-Up Credit Agreement Interlocal Agreement between the City of Port St. Lucie and ACR Acquisition, LLC.
2. Move that the Council provide direction to staff, extend the timeline for completion of this item, and table the item to a future meeting.
Background: True Up Agreements are not intended to modify or replace any existing agreement. They are required to ensure moving forward under the Mobility Fee Ordinance that all parties agree to the prior credit granted, amount used to address assessments and the remaining balance. The remaining balance, as of a defined date, will be used to track the continued use of City Road Impact Fee credits to satisfy assessed City Road Impact Fees (i.e., fully offset mobility fees otherwise due under the Mobility Fee Ordinance based upon the 2013 City road impact fee schedule). Moving forward, any use of the credit, any adjustments to previously issued permits where credits were used, any reimbursement, or any underpayment will be adjusted based on the remaining balance. It is recognized that during the normal permit review process, sometimes there are adjustments that are required to address modifications to permits, expiration of permits, or utilization of credits or requirement for payment that were made in error. ACR Acquisition, LLC provided documentation to the City that identified a City Road Impact Fee credit of $6,419,226.27 based on the Fourth Amendment to Annexation Agreement for Wilson Grove.
Issues/Analysis: ACR Acquisition has not yet submitted building permits that would require payment of a Road Impact Fee or Mobility Fee. Thus, none of the existing Road Impact Fee Credit has been utilized. Therefore, as of May 11th, 2023, ACR Acquisition, LLC has an existing City Road Impact Fee credit of $6,419,226.27. It is recommended that the City establish a Credit Account for ACR Acquisitions with a balance of $6,419,226.27. As ACR Acquisition submits building permit applications and those applications have been granted permission by ACR Acquisition to utilize the credit, the credit balance will be debited per the 2013 City Road Impact Fee Schedule and consistent with the True Up Agreement. There are additional forms required by the City that address the utilization of Road Impact Fee credit. Any request for any additional credit would require a separate agreement between the City and ACR Acquisition. The use of credit and accounting for credit shall be consistent with the adopted Mobility Fee Ordinance.
Financial Information: n/a
Special Consideration: The deadline for completion of True Up Agreements is July 1, 2023, so if the Council does not act on this item, an extension of the deadline may be required.
Location of Project: Wilson Grove Development of Regional Impact
Attachments:
1. Resolution
2. Exhibit “A” to Resolution - True Up Agreement w/ Exhibits
3. NUE Review Letter
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 9603
Legal Sufficiency Review:
Reviewed by Elizabeth L. Hertz, Senior Deputy City Attorney. Approved as to Legal form and sufficiency by James D. Stokes, City Attorney.