Council approves FY21‑22 development impact fees report, allocates balance toward airport project

The Clear Lake City Council reviewed and approved the fiscal year 2021‑22 report on the use and retention of development impact fees and adopted Resolution 2022‑50 to accept the report and allocate the current balance toward airport infrastructure work.

City staff said just under $400,000 in development impact fees were collected during the prior fiscal year and that the current traffic impact fee balance stands at about $416,000. Staff presented a list of projects authorized in the fee plan — airport road and related intersection improvements, a Dam Road roundabout and extension, Lakeshore Drive sidewalk and corridor projects and other intersections — and recommended applying the existing balance to the airport infrastructure project, which staff estimated at just under $7 million total. Staff said the $416,000 represents roughly 6 percent of that airport project’s cost.

Council and staff discussed rules for the fee program: fees are authorized for specific projects and would sunset for those projects when they are completed; the council would need to initiate a new process, including updated engineering estimates, to continue or expand fee collections for additional projects. Councilman Claffey asked whether the fee could be recouped after projects are completed; staff said previously spent impact fees cannot be recouped but engineers’ estimates could be updated for future allocations.

Councilmember Kramer moved to approve Resolution 2022‑50 accepting the FY21‑22 impact‑fee report; Councilmember Claffey seconded and the motion passed unanimously.

Next steps: staff will direct the impact fees toward the airport infrastructure work and continue design and funding coordination for the remaining projects listed in the impact fee report.