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<br />
<br />Jill Hutmacher
<br />Park Dedication Fees
<br />December 10, 2015
<br />Page 2
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<br />As we discussed, there has not been an agreement between the City and the County on (i)
<br />the County donating the land for the parks in the plan; (ii) the end developer donating the
<br />land for the parks; (iii) the City buying the park land from the County or end developer; or
<br />(iv) a combination thereof. However, the City has the ability to preclude the commercial
<br />development from donating land since the ordinance is written that the City, at its
<br />discretion, can require a land dedication fee in lieu of land dedication. Since the majority
<br />of the park land is located in and adjacent to the residential areas, this provides reason for
<br />the City to elect to use its discretion. Therefore, we analyzed the total per unit residential
<br />fee based upon (a) 100% of the park land being dedicated and (b) no land being dedicated
<br />(City would have to purchase the land). Both of these scenarios allow the City to capture
<br />the required fees needed to acquire and develop park land as shown in the table below.
<br />
<br />Option A - Land Dedicated By
<br />Residential Only B - No Land Dedicated
<br />Commercial Land Dedication Fees 2,060,606$ 2,060,606$
<br />Residential Land Dedication Fees -$ 3,982,460$
<br />Commercial Park Imp Fees 2,060,606$ 2,060,606$
<br />Residential Park Imp Fees 7,586,420$ 7,586,420$
<br />TOTAL FEES 11,707,632$ 15,690,092$
<br />Land Acquisition 0 (3,413,709)$
<br />Park Improvements (including interest)(11,723,051)$ (11,723,051)$
<br />Over/(Under)(15,419)$ 553,332$
<br />Per Unit Residential Fee 5,301$ 8,084$
<br />As noted, if the land is dedicated, the per unit residential fee is $5,300. At the last meeting,
<br />we were looking at a possible fee of $4,300/unit and thought that may be on the high side of
<br />what were are seeing within the market. Since the last meeting we were able to obtain
<br />updated park dedication fees schedules from other developing communities and have noted
<br />their per unit residential park dedication fees below:
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<br />City Residential 2015
<br />Bloomington $5,700 per unit
<br />Brooklyn Park $4,600 per unit
<br />Chanhassen $5,800 per unit
<br />Eden Prairie $6,500 per unit
<br />Maple Grove $3,993 per unit
<br />Plymouth $7,500 per unit
<br />Shakopee $5,340 per unit
<br />AVERAGE $5,633
<br />Comparative Park Dedication Data - 2015
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