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HomeMy WebLinkAboutItem 13 - Impact FeesMEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER MEETING DATE: DECEMBER 16, 2025 SUBJECT: APPROVAL OF ENGINEERING SERVICES CONTRACTS FOR WATER AND WASTEWATER IMPACT FEE UPDATE AND APPROPRIATION ORDINANCE RECOMMENDATION: City Council to consider approval of an engineering contract for the Water and Wastewater Impact Fee Update with Freese and Nichols, Inc. and approval of an ordinance appropriating the funds. FUNDING SOURCE: Funds are available in the Utility Enterprise Fund for an estimated amount of $170,000. BACKGROUND: The City Water and Wastewater Impact Fees were last modified in 2021 in conjunction with Land Use Plan modifications and an updated 10-Year Capital Improvement Plan. State law requires that the City review its impact fees every five years to determine the need to adopt new fees or maintain the existing fees. Additionally, with the upward trend in development density, staff recommends an update of the Land Use Assumptions, the indicated 10-Year Capital Improvements Plan, and the resulting Water and Wastewater Impact Fees at this five-year threshold. Freese and Nichols has submitted a proposal to review the land uses, prepare a new 10-Year Capital Improvement Plan, and develop revised Water and Wastewater Impact Fees. This includes updating and calibrating the water model, meeting with the Impact Fee Advisory Committee, and holding required public hearings. In addition, the proposal includes support and guidance for the City to ensure compliance with Senate Bill 1883 which requires an independent financial audit be completed before an existing impact fee may be increased. The engineering fees for this update are eligible expenses to be included in the calculation of the 10-Year CIP costs and related impact fees. Staff recommends approval. ORDINANCE NO. 2025-087 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS, AUTHORIZING THE APPROPRIATION OF $170,000 IN THE UTILITY ENTERPRISE FUND; DECLARING AN EMERGENCY AND PROVIDING AN EFFECTIVE DATE WHEREAS, the City Council of the City of Grapevine desires to complete the 2026 Water and Wastewater Impact Fee Study and Water Model update; and WHEREAS, funding is available in the Utility Enterprise Fund; and WHEREAS, all constitutional and statutory prerequisites for the approval of this ordinance have been met, including but not limited to the Open Meetings Act and Chapter 211 of the Local Government Code; and WHEREAS, the City Council deems the adoption of this ordinance to be in the best interests of the health, safety, and welfare of the public. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS: Section 1. That all matters stated hereinabove are found to be true and correct and are incorporated herein by reference as if copied in their entirety. Section 2. That the City Council hereby authorizes an estimated amount of $170,000 be appropriated from the Utility Enterprise Fund for the 2026 Water and Wastewater Impact Fee Study and Water Model Update. Section 3. That a copy of the revised FY 2025-2026 annual budget document shall be kept on file in the office of the City Secretary. Section 4. That the terms and provisions of this ordinance shall be deemed to be severable, and that if the validity of any section, subsection, word, sentence or phrase shall be held to be invalid, it shall not affect the remaining part of this ordinance. Section 5. That the fact that the present ordinances and regulations of the City of Grapevine, Texas, are inadequate to properly safeguard the health, safety, morals, peace and general welfare of the inhabitants of the City of Grapevine, Texas, creates an emergency for the immediate preservation of the public business, property, health, safety and general welfare of the public which requires that this ordinance shall become effective from and after the date of its final passage, and it is accordingly so ordained. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS on this the 16th day of December, 2025 RITIMMM-0071"s William D. Tate Mayor ATTEST: Tara Brooks City Secretary Matthew C.G. Boyle City Attorney Ordinance No. 2025-087 2