In-Fill Development Plan

PWC has developed an incentive plan that we hope will help to encourage in-fill development within the City of Fayetteville.  The incentives in the form of facility investment fee waivers or credits are available for new construction within the 3000 acres shown on the Vision Plan and also identified corridors which have experienced limited new development in recent years.  In addition, FIF credits will be considered for new construction where the developer is installing water and sanitary sewer mains within the balance of the incorporated area of the City of Fayetteville as of September 30, 2005 (through Annexation Phase V).  The Incentive Plan is described as follows:

Map/Search Properties Within Incentative Area


Procedure:  PWC Development Incentive Plan

I. Purpose

To promote and encourage quality development within the City of Fayetteville and specific portions of the PWC service area as identified below through in-fill development.  A major benefit of the program being to spur economic growth during a slow local economy while also increasing PWC customer base and City of Fayetteville tax base in areas of the City where infrastructure is already in place.  The program will  run for a one year period from the date of approval by Public Works Commission, after which the program will expire unless the Commission takes further action to extend or modify the incentive program at that time.

II. Qualifying Areas

A. Zone One: Described as being those properties in the downtown area identified in the Vision Plan as shown in greater detail on Exhibit “A” entitled City of Fayetteville/Public Works Commission Economic Development Incentive Areas.

B. Zone Two:  Described as being those areas identified by PWC and City of Fayetteville staff as also shown on Exhibit “A” entitled City of Fayetteville/Public Works Commission Economic Development Incentive Areas.

C. Zone Three:  Described as being the balance of the City of Fayetteville incorporated area as shown in greater detail on Exhibit “A” entitled City of Fayetteville/Public Works Commission Economic Development Incentive Areas.

III. General Criteria

A. For new commercial and residential construction located within a designated zone as referenced above.

B. Must meet or exceed four units per acre for residential development (owner/developer may request a waiver of the density requirement which shall be reviewed by staff and submitted to Commission with their recommendation).

C. Must provide a buildout schedule for the project acceptable to PWC that will be included in the contractual agreement.  Such agreement must be executed by all parties prior to expiration of this incentive program with construction completed based on the buildout schedule but not later than five years following execution of the contract unless otherwise approved in the buildout schedule.

D. Based on anticipated water and sanitary sewer utility sales and buildout rate.  Project should, through the value added for new customers, provide over a ten year time frame from issuance of the building permit an amount equal to or greater than the estimated value of the FIF waiver.

E. FIF waivers will be considered on a case-by-case basis taking into consideration the merits of a particular project requiring City/PWC staff recommendation for approval based on the goal of promoting quality growth and increased customer/tax base within the corporate limits of the City of Fayetteville.

F. For all qualifying development projects, PWC will be the electric, water, and sanitary sewer provider.

G. FIF waivers for development projects requiring greater than a 2” water service meter will be considered on a case-by-case basis.

H. In the event construction does not proceed as set forth in the approved buildout schedule, PWC may require payment of facility investment fees for those structures where building permits have expired or have not been issued.

I. Additional Criteria for Zone Three

1. For new development occurring within Zone three, FIF waivers do not apply where building improvements are connecting to existing water and sanitary sewer mains. 
   
   
2. The FIF waiver for Zone Three will apply to new construction where the developer is installing water and sanitary sewer mains in accordance with PWC approved plans and specifications under contract with PWC.
    
3. The value of the utility infrastructure as determined by PWC which does not include engineering, contingencies or right-of-way acquisition expense, should equal or exceed the FIF amount projected by PWC for such project. 
   
   
4. In the event the value of the utility infrastructure is less than the projected FIF, the waiver will be limited to the amount as determined by PWC as the value of the utility infrastructure.
   
   
5. There is no FIF credit or carryover for the value of on-site infrastructure that exceeds FIF for the project under contract.

IV. Incentive Plan

For all approved new construction projects in Zone One, Two, or Three that meet the above criteria, PWC will waive both the water and sanitary sewer facility investment fees under the terms and conditions as set forth above.

V. Effective Date

This procedure shall become effective on the date of adoption with expiration within one year of such date.