Transcript Slide 1

Fiscal Impact Analysis
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What is
Fiscal Impact Analysis?
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Fiscal impact analysis is the process of
determining whether changes to your
comprehensive plan are financially
feasible.
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There are Two Kinds of
Financial Feasibility
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Section 163.3177(3)(b)1 - The capital improvements
element shall be reviewed on an annual basis and
modified as necessary in accordance with s. 163.3187
or s. 163.3189 in order to maintain a financially
feasible 5-year schedule of capital improvements.
Section 163.3177(2) - Coordination of the several
elements of the local comprehensive plan shall be a
major objective of the planning process. The several
elements of the comprehensive plan shall be
consistent, and the comprehensive plan shall be
financially feasible. Financial feasibility shall be
determined using professionally accepted
methodologies.
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Short-Term vs. Long-Term
Future
Land Use
Plan
Fiscal
Impact
Analysis
Source: TBRPC
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CIE
Financial Feasibility
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What revenues are you collecting?
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What does it cost to provide services?
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Do you have enough revenue to pay for services?
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Future Land Use Plan
Financial Feasibility
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What is your current land use pattern?
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What revenues are you collecting?
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What does it cost to provide services?
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Do you have enough revenue to pay for services?
How do you expect the land use pattern to change
over time?
How will that change the revenues you collect?
How will that change the cost of services you
provide?
Will you have enough revenue to pay for
services in the future?
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What Factors Should
Be Considered?
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Who will be coming to your community?
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Tourists
Customers
What kinds of development will attract them?
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Residents
Employees
Residential
Commercial
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Industrial
Densities/Intensities
Where will they be located?
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Urban Center
Suburban Areas
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Rural Areas
CRAs
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What Factors Should
Be Considered?
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What kinds of service needs will your community have?
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Parks and recreation
Schools
Transportation facilities
Public safety, libraries, other
What will be the costs of providing these services?
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Sanitary sewer
Solid waste
Drainage
Potable water
Capital costs
Operating costs
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Contract fees
Debt service
What revenues does your community collect?
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Property taxes
Impact fees
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Utility fees
State & federal grants
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When Does Your
Future Land Use Plan
Have to be Financially Feasible?
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Any FLUM amendments that occur after December
1, 2007 must be accompanied by a demonstration
that your Future Land Use Plan is financially feasible.
You must also demonstrate financial feasibility with
your EAR-based amendments, and any subsequent
FLUM amendments thereafter.
DCA may develop a standard for FLUM amendments
that are too minor to require a financial feasibility
demonstration, but has not done so yet.
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FIAM - The “Official” Way
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The Department of Community Affairs (DCA) has created a
program called the Fiscal Impact Analysis Model (FIAM) to
help local governments assess the financial feasibility of their
comprehensive plans. While not mandatory, it is the
methodology preferred by DCA.
FIAM is a lengthy, complex spreadsheet that runs in
Microsoft Excel. It requires each community to input a large
quantity of detailed budget, land use, population,
employment, public service, and other data.
The community can use FIAM to test different development
scenarios by altering its projected mix of future land use
categories, taxes, fees, and level-of-service standards for
public services within a timeframe of its choice.
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Where to Get Help with FIAM
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The Tampa Bay Regional Planning Council:
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DCA has designated the
regional planning councils as
the training and technical
support base for FIAM.
Initial training classes are over,
but there is an ongoing FIAM
Users Group.
Patrick O’Neil, Sr. Econ. Planner
727-570-5151 ext. 31
[email protected]
Avera Wynne, Planning Director
727-570-5151 ext. 30
[email protected]
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Where to Get Help with FIAM
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The Tampa Bay Regional Planning Council:
http://www.tbrpc.org/FIAM/Default.htm
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Where to Get Help with FIAM
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The FIAM Web Forum:
http://www.myfiam.com
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Where to Get Help with FIAM
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The Department of Community Affairs:
http://www.dca.state.fl.us/fdcp/dcp/FIAM/index.cfm
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Alternatives to FIAM
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FIAM is a professionally-accepted methodology developed
and supported by DCA, but there are other methodologies
that could be utilized.
DCA recognizes that what might be professionally
accepted and appropriate for a large urban area with a
complicated capital budget might be quite different than a
professionally acceptable approach for a small local
government.
If your local government decides not to utilize FIAM,
please contact DCA as soon as possible to discuss
alternate approaches that could meet the “professionally
accepted” requirement. (Mike O'Connell, 850-921-3775 or
[email protected])
Source: TBRPC
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Alternatives to FIAM
The Hillsborough City-County Planning Commission
has created its own model, the Fiscal Impact
Estimates of Land Decisions (FIELD).
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Alternatives to FIAM
Community Guide to Development Impact Analysis
by Mary Edwards
Source: DCA Web Site
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What Help Can the PPC Provide?
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The PPC is currently assessing possible approaches for
assisting local governments with meeting their financial
feasibility requirements.
Our efforts will be concentrated on assisting smaller
communities (< 10,000 population) who have neither
the staff resources nor the need to use FIAM.
We will likely select a single community to use as a “test
case” for creating a simplified model, which would then
be distributed to local governments for their own use.
More information will be distributed to the local
governments as it becomes available.
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