The Oklahoma City Council recently adopted new development impact fees for streets and parks that go into effect Jan. 1, 2017. These fees will help infrastructure keep better pace with growth in Oklahoma City.
Impact Fee Estimator
Click here to use the City's calculator to estimate how much fees would be on a project. The calculator is for estimation purposes only.
How Development Fees Work
Local governments may charge impact fees (also known as development fees) for new development projects. The City already charges impact fees for water and wastewater, and is adding development fees for streets and parks in 2017.
The City of Oklahoma City will use development fee revenue to help fund streets, parks and trails improvements needed to accommodate new development. For example, streets development fee funds can be used for traffic signal improvements or adding travel or turning lanes. Parks development fee funds can be used to build new or expanded parks, trails or related facilities. Development fee revenue can't be used for maintenance.
Using development fees to help pay for new infrastructure allows more revenue from general obligation bonds to be spent on maintenance. As our city continues to grow, being able to use more bond money on maintenance is critical to keeping basic infrastructure like streets and drainage in good shape. Using too much bond revenue on new construction can stretch resources too far.
Streets Development Fee Rates
The total streets development fee is calculated using three factors:
- the type of building based on its classification in the land use categories table
- the building's location within one of four assessment areas (Core, Infill, New Growth or Rural)
- the building's square footage
The fee is determined by multiplying the total building square footage (excluding porches and garages) by the appropriate per-square-foot fee from the table below. Developers and builders should contact the Development Center's Plan Review Office for questions about land use categories and to confirm accurate fees.
Streets Fee Table
Amount shown is the dollar amount per square foot of development.
|Land Use||Rural||New Growth||Infill||Core|
Parks Development Fee Rates
Parks development fees are only charged for residential development like single-family homes, apartments and assisted living centers. The fee is determined by multiplying the total building square footage (excluding porches, garages and patios) by 37 cents. Certain credits and discounts may apply:
- During the 2017 calendar year, fee rates are discounted by 50 percent.
- Residential units constructed within an existing local park area are eligible to have 38 percent of their total parks development fee waived.
- Developments that provide sufficient private parks to offset local park demand may qualify for a local park fee exemption. Consult the ordinance and the Parks and Recreation Department for details on the standards and agreements required by the City.
Collection and Spending
Beginning Jan. 1, 2017, development fees will be collected when a building permit is issued, but applicants may request deferral until a certificate of occupancy is issued.
Fees will be collected and spent within defined benefit areas. The City is divided in to 15 benefit areas for streets and five regional benefit areas for parks. Benefit areas ensure the capital improvements funded by the fees increase the capacity of the streets, parks or trails where the development paying the fee is located. Funds collected in a benefit area must be spent on projects located in that same benefit area.