WAC 365-195-850   Impact fees.  (1) Counties and cities planning under the act are authorized to impose impact fees on development activity as part of the financing for public facilities. However, the financing for system improvements to serve new development must provide a balance between impact fees and other sources of public funds and cannot rely solely on impact fees.

     (2) The decision to use impact fees should be specifically implemented through development regulations. The impact fees:

     (a) Shall only be imposed for system improvements that are reasonably related to the new development. "System improvements" (in contrast to "project improvements") are public facilities included in the capital facilities plan and designed to provide service to service areas within the community at large;

     (b) Shall not exceed a proportionate share of the costs of system improvements that are reasonably related to the new development; and

     (c) Shall be used for system improvements that will reasonably benefit the new development.

     The implementing regulation should call for a specific finding on all three of the above limitations whenever an impact fee is imposed.

     (3) Impact fees may be collected and spent only for the following capital facilities owned or operated by government entities: Public streets and roads; publicly owned parks, open space, and recreation facilities; school facilities; and fire protection facilities in jurisdictions that are not part of a fire district. These facilities must have been addressed in a capital facilities plan element which identifies:

     (a) Deficiencies in public facilities serving existing development and the means by which existing deficiencies will be eliminated within a reasonable period of time;

     (b) Additional demands placed on existing public facilities by new development; and

     (c) Additional public facility improvements required to serve new development.

     (4) The local ordinance by which impact fees are imposed shall strictly conform to the provisions of RCW 82.02.060. The department recommends that jurisdictions include the authorized exemption for low-income housing.



[Statutory Authority: RCW 36.70A.190 (4)(b). 93-17-040, § 365-195-850, filed 8/11/93, effective 9/11/93.]