Required provisions of impact fee enactment.

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  • (1) A local political subdivision or private entity shall ensure, in addition to the requirements described in Subsections (2) and (3), that an impact fee enactment contains:
    • (a) a provision establishing one or more service areas within which the local political subdivision or private entity calculates and imposes impact fees for various land use categories;
    • (b)
      • (i) a schedule of impact fees for each type of development activity that specifies the amount of the impact fee to be imposed for each type of system improvement; or
      • (ii) the formula that the local political subdivision or private entity, as the case may be, will use to calculate each impact fee;
    • (c) a provision authorizing the local political subdivision or private entity, as the case may be, to adjust the standard impact fee at the time the fee is charged to:
      • (i) respond to:
        • (A) unusual circumstances in specific cases; or
        • (B) a request for a prompt and individualized impact fee review for the development activity of the state, a school district, or a charter school and an offset or credit for a public facility for which an impact fee has been or will be collected; and
      • (ii) ensure that the impact fees are imposed fairly; and
    • (d) a provision governing calculation of the amount of the impact fee to be imposed on a particular development that permits adjustment of the amount of the impact fee based upon studies and data submitted by the developer.
  • (2) A local political subdivision or private entity shall ensure that an impact fee enactment allows a developer, including a school district or a charter school, to receive a credit against or proportionate reimbursement of an impact fee if the developer:
    • (a) dedicates land for a system improvement;
    • (b) builds and dedicates some or all of a system improvement; or
    • (c) dedicates a public facility that the local political subdivision or private entity and the developer agree will reduce the need for a system improvement.
  • (3) A local political subdivision or private entity shall include a provision in an impact fee enactment that requires a credit against impact fees for any dedication of land for, improvement to, or new construction of, any system improvements provided by the developer if the facilities:
    • (a) are system improvements; or
    • (b)
      • (i) are dedicated to the public; and
      • (ii) offset the need for an identified system improvement.




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