Systems Development Charges

We charge developers SDCs because infrastructure such as pipes, roads, and pump stations are needed to provide new developments access to these fundamental services. SDCs allow developers, rather than residents, to bear the cost of projects that have either increased our existing capacity or will be needed in the future to serve a growing population. The projects funded by SDCs are identified in the Capital Project Lists within the Transportation, Water, Wastewater, and Storm Water SDC Models adopted with Ordinance No. 2024-2922.

When a property is developed or redeveloped we charge SDCs based on what the new infrastructure need is for the property. 

There are different categories of development when it comes to SDCs. We charge the development of a single-family residence differently than the development of a restaurant, which we charge differently than a manufacturing facility, health/fitness club, etc.

Each component of a SDC (water, wastewater, stormwater, and transportation) is calculated differently. For all four components, we calculate an amount based on our list of both projects that already increased capacity and projects that will need to be provided in the future, we then use a formula to turn this amount into a dollar figure that can be used to calculate SDCs based on the following information about the development itself:

• The water charge is based on the meter size and whether the development needs a potable or a non-potable system. A manufacturing plant will likely need a larger water meter than a single-family residence.
• The wastewater charge is based on the number of fixture units planned to have in a unit. Most single-family homes are 18 fixture units. Fixtures include items like showers, toilets, a kitchen sink, laundry machines, a dishwasher, and so on. The amount of fixture units used in calculating the SDC fee is derived from the uniform plumbing code. Some fixtures like a bath tub equate to one fixture unit while others like a shower equate to more than one fixture unit. 
• The stormwater charge is based on the amount of new “impervious surface” or hard surfaces created. An impervious surface is a structure like a road, sidewalks, driveways, distribution centers, etc., that are covered with water-resistant material like asphalt, concrete, or rooftops.
• The transportation charge is calculated based on the “land use”, “units”, and trips during peak hours both in a vehicle and as a pedestrian. Land use references the type of development, from a hotel to a golf course to a library to a single-family home, and so on. Units are determined by the land use – so you might calculate based on square footage size, or on the amount of acreage, or on the number of rooms. The City uses the Institute of Transportation Engineers Manual to determine trip rates for peak hours.  

The first step to establishing SDCs is to prepare a capital improvement plan, a public facilities plan, or a master plan. Our SDCs are directly related to our transportation, water, stormwater, and wastewater 20-year master plans. Once these plans were prepared, we had to establish an ordinance/resolution to charge SDCs. How we calculate the amount charged for an SDC had to be adopted through a public process.