Title
Approving a credit agreement for roadway impact fees with LRF2 AUS Meister Lane LLC, in the amount of $2,141,521.44 for the construction of an extension of Kenney Fort Blvd, located south of SH 45 generally between Meister and New Meister Lane; and authorizing the City Manager to execute the same.
Summary
The proposed credit agreement is for property located generally northeast of Meister Lane and New Meister Lane, locally known as the Longhorn development. The property is zoned as Campus Industrial (CI) district and proposed to be developed with light industrial, warehouse type buildings and office. The proposed credit agreement requests a portion of the roadway impact fees normally paid at time of building permit to be applied toward constructed roadway infrastructure improvements which will increase capacity and connectivity in the area. As part of the development, Kenny Fort Blvd is being constructed to provide a future connection to the road being constructed in Round Rock. As part of the City Transportation Master Plan (TMP), the extension of Kenny Fort Blvd is planned to be extended from the south side of SH45 where the Round Rock extent will terminate to New Meister Lane. The road extension will provide regional connectivity and increase capacity in the roadway network in the area.
The City adopted the roadway impact fees program via Ordinance 1470-20-11-24 on November 24, 2020. Per the ordinance, upon the issuance of a building permit, payment of roadway impact fees is required. The ordinance also authorizes the City to enter into a credit agreement with an owner/developer of a tract of land which is required to construct a roadway identified in the Roadway Impact Fee Capital Improvements Plan as reflected in the Roadway Impact Fee ordinance, or for a facility that qualifies for inclusion on the Transportation Master Plan, as amended, and the city agrees that such improvement supplies capacity to new developments other than the development paying the roadway impact fee. Credits shall only be applied against the total sum of the collectible roadway impact fees and cannot be applied in excess of the total sum of collectible roadway impact fees.
For purposes of determining a roadway impact fee for a "shell" or speculative building, the roadway impact fee ordinance identifies land uses to be calculated assuming the entire building will be used as either "General Office", "General Light Industrial", or "Shopping Center". For the proposed development, the "General Office" and "General Light Industrial" land uses were utilized and size of units as proposed in the layout provided by the applicant. The total potential roadway impact fee collection amount which is also the maximum credit amount is $2,141,521.44. Utility extensions that are required with the construction of the road and subdivision are not permitted in the calculated credits and have been excluded. Based on the construction cost, the applicant has proposed for total roadway impact fee credit in the amount of $2,141,521.44 for the construction of Kenny Fort Blvd.
This item is supported by the Infrastructure pillar of the Strategic Plan.
Prior City Council Action
The City adopted the roadway impact fees program via Ordinance 1470-20-11-24 on November 24, 2020.
Deadline for City Council Action
No deadlines are required, but City Council action will be required in order to approve the credit agreement.
Funding Expected: Revenue X Expenditure __ N/A __
Budgeted Item: Yes __ No __ N/A __
Amount: ________
1295 Form Required? Yes __ No X
Legal Review Required: N/A __ Required __ Date Completed: __February 23, 2023_________
Supporting documents attached:
Location Map
Staff Memo
Credit Agreement
Recommended Action
Approve the credit agreement for roadway impact fees with LRF2 AUS Meister Lane LLC in the amount of $2,141,521.44 for the construction of Kenny Fort Blvd., and authorize the City Manager to execute the same.