Denton, Texas

Water and Wastewater Impact Fee Study
   

Duncan Associates conducted a two-phase project for the City of Denton. The first phase was an impact fee feasibility study for transportation and drainage facilities. As part of the second phase of this project, the firm explored several options while updating the water and wastewater fees and adding line costs. One option was to charge residential development a variable rate fee based on the size and type of the dwelling unit, rather than the current practice of basing all fees on meter size. This option was partially based on analysis the City has done indicating that apartments consume less water per unit than

single-family homes and small homes consume less water than larger units. Another option was to develop a separate wastewater fee for one drainage basin that will be served by a new, smaller treatment plant and a separate collection systems. Yet another option was to include interest costs related to the funding of improvements with revenue bonds, which are an eligible item under the Texas impact fee enabling act. The final option was to use calculated revenue credits or the alternative method of dividing the fees in half authorized by the recent amendments to the state act contained in SB 243. The updated fees were adopted in May 2003. The firm is currently assisting the City in updating the water and wastewater fees.