TR9303-CS 921013 MEMORANDUM
TO: Frank Trando, Finance Director
FROM: Gary L. Sieb, Director of Planning and Community Services
SUBJECT: Road Assessments, Impact Fees, Dedications
DATE: October 13, 1992
My survey of assigned cities showed:
road impact fees? dedication?
escrow?
challenged in court?
Lewisville no yes yes no
Irving no yes yes (50%) not lately
Dallas no yes yes no knowledge
Ft. Worth no yes yes no knowledge
It seems that our system is identical to the s surveyed in my
conversations.
telephone
To: Frank Trando, Finance Director ~,~.
From: Kenneth M. Griffin, P.E., City Engineer
Re: Escrow Survey
Date: October 13,1992
Carroliton
I spoke with Tim Tumulty. He stated that they set the amount for escrow when a project comes
in for development. However, they have not had any development adjacent to the unimproved
streets that would require escrow since the mid 80's. Therefore, they have had no reason to enact
their escrow policy since June of 1990. They do not have an impact fee for streets.
Farmers Branch
I spoke with Jerry Murawski. He stated that they enter into a developer's contract stating that the
developer will pay funds at such time that the road is built. They do not have an escrow policy
per se. They also do not consider perimeter streets as off-site improvements. The basic thing
with Farmers Branch is that no money switches hands with the developer's contract. It is just
an obligation to pay at some future date.
Lewisville
I spoke with Nika Zolghadri. They require the developer to build the street. However, when it
is not feasible, they can go to City Council for a variance of that requirement and the developer
can then escrow the estimated cost of the street improvement. They do not have an impact fee
ordinance for the streets, and they do deny plats if the escrow is not paid.
Arlington
I spoke with Jill House. She stated that Arlington has a very sophisticated impact fee structure
for their streets. Their impact fee is tied to streets of 44 foot and wider, i.e. arterial streets.
However, they still collect escrow on streets of 28 or 38 foot width, i.e. minor streets. The
money is paid prior to filing the plat. They also have another mechanism, called a Perimeter
Facility Agreement, which delays payment either to the building permit stage or to some future
date when the street is improved.
Denton
I spoke with David Ayres. He stated that their escrow policy was such that they require escrow
to be placed in the developer's bank by the developer and the escrow agreement to be signed by
the banker. If the City constructs the street, then the city takes the money, with the accrued
interest. Their policy has not been reviewed since 1987. They have no impact fees for streets
and they do deny the plats if the escrow agreement is not filled out.
I have left phone messages with the cities of Flower Mound and Grapevine but they have not
returned my calls.
October 13, 1992
TO:
FROM:
IVIEMORANDUM
Alan D. Rafliff, City Manager
Frank Trando, Deputy City Manager/Finance Director
SUBJECT: Escrow Questions
1) How do you collect your escrow/assessment/pro rata when property adjacent to
undeveloped street is being developed?
2) Do you deny plat approval if they do not pay the escrow?
3) Are you currently collecting your escrow via an impact fee for your streets?
4) Have you had anyone contest your escrow policy? If so, did you require them to
pay anyway?
5) Has your attorney reviewed your escrow policy since the enactment of the impact
fee ordinance in June 1990 to determine if your current method of collecting
escrow i~ legal?
Response:
1)
2)
3)
4)
5)
One half escrow, full amount of construction cost.
Yes.
Collect escrow- when assessing impact fees the escrow is credited.
Yes, in 1988
Yes, new policy with new law.
'r
Itm-~t
1)
How do you collect your escrow/assessment/pro rata when property adjacent to
undeveloped street is being developed?
2) Do you deny plat approval if they do not pay the escrow?
3) Are you currently collecting your escrow via an impact fee for your streets?
Have you had anyone contest your escrow policy? If so, did you require them to
pay anyway?
5)
Has your attorney reviewed your escrow policy since the enactment of the impact
fee ordinance in June 1990 to determine if your current method of collecting
escrow is legal?
Response:
1) Majority of time - the property is developed and then the street.
2) Yes.
None at the present time
W&S - Impact
" Street - Escrow
4) No.
5) No.
Richland Hills
1)
2)
3)
4)
5)
How do you collect your escrow/assessment/pro rata when property adjacent to
undeveloped street is being developed?
Do you deny plat approval if they do not pay the escrow.9
Are you currently collecting your escrow via an impact fee for your streets?
Have you had anyone contest your escrow policy? If so, did you require them to
pay anyway?
Has your attorney reviewed your escrow policy since the enactment of the impact
fee ordinance in June 1990 to determine if your current method of collecting
escrow is legal?
No subdivision activity since 1960-1970's.
Response:
3)
4)
No current policy.
No, only impact is Water/Sewer.
Currently studying a street assessment program.
Euless
1) How do you collect your escrow/assessment/pro rata when property adjacent to
undeveloped street is being developed?
2) Do you deny plat approval if they do not pay the escrow?
3) Are you currently collecting your escrow via an impact fee for your streets?
4) Have you had anyone contest your escrow policy? If so, did you require them to
pay anyway?
5) Has your attorney reviewed your escrow policy since the enactment of the impact
fee ordinance in June 1990 to determine if your current method of collecting
escrow is legal?
Response:
1)
2)
3)
4)
5)
Require developer to have engineer's craft of proposed cost to pave sidewalks or
drainage. Pay one half of total cost for their street frontage.
Could, but never have had to.
Escrow.
No knowqedge.
Heavily reviewed by legal - very legal.
1) How do you collect your escrow/assessment/pro rata when property adjacent to
undeveloped street is being developed?
2) Do you deny plat approval if they do not pay the escrow?
3) Are you currently collecting your escrow via an impact fee for your streets?
4) Have you had anyone contest your escrow policy? If so, did you require them to
pay anyway?
5) Has your attorney reviewed your escrow policy since the enactment of the impact
fee ordinance in June 1990 to determine if your current method of collecting
escrow is legal?
Response:
1)
2)
3)
4)
5)
Parameter Street Fee - charged at time of final plat and determined by ration of
street width and zoning.
Yes.
Escrow.
Yes, at the time of Water/Sewer Impact Fees - Legal told them either impact or
escrow, not both.