Development community leaders, Orange County Public Schools and the Orange County Government are looking for a way forward after House Bill 7103 last year adopted a language that hinders developers` ability to mitigate the impact of capacity on nearby schools. The language of House Bill 7103 stops the option of capacity expansion agreements, Jacobs said. Indeed, HB eliminated 7103 CEAs as a method of realizing the capabilities created by a new development. Under HB 7103, local governments must provide dollar-by-dollar impact fee credits for “any contribution” related to public educational institutions. As a result, any capacity capacity to capacity added under an AE would be fully offset by credits for impact costs to the developer. In response to this request, the school authority has not completed the CAEs since HB 7103 came into effect. The statement is the school committee`s latest attempt to bring the county`s charter into line with HB 7103, passed by the Florida legislature and signed in 2019. In Orange County, capacity expansion agreements have been developed to satisfy a provision in the Charter prohibiting approval of a comprehensive plan initiated by developers or a change in development mode in the absence of academic capacity. To move forward, developers can either get approval from the two state legal departments involved in the project — an option that is never used due to growing capacity issues, Jacobs said — or they can mitigate the project`s impact through a capacity improvement agreement in addition to the Impact`s royalties. This involves paying a sum of money – about 22% of the cost of an impact fee – which allows the borough to rent portable devices for schools likely to be affected by the influx of new students. Jacobs stressed that reducing capacity expansion agreements is also important, as it compensates for the need to withdraw money for the construction of new schools. Impact fees, also paid by developers, often don`t cover all of the new school capacity needed. Under the CEAs, developers pay the additional amount of necessary capacity, which is not covered by impact fees, and the school authority certifies that there are development capacities.
Capacity issues cannot be alleviated without these additional mitigation revenues and, as a result, the Orange County School Council cannot approve capacity improvement agreements, Jacobs said. “The local government must charge the collection of the Impact Fee for any contribution, whether identified in a proportional action agreement or in some other form of extrusion related to public educational institutions, including land use, site planning and design, or construction,” the House bill reads. “Each contribution must be applied to reduce education-based impact fees on a dollar-for-dollar basis at fair market value.” In the statement, the school authority said it could no longer enter the CEAs to certify abilities, as “HB 7103 makes it impossible to mitigate the effects of school overcrowding through new developments that would cause or aggravate school overcrowding.” Instead, the school authority said developers must “rely on the process imposed by voters for the joint approval of all FLUM and rezoning applications that cause or exacerbate school overcrowding.” A comprehensive Orange County directive also prohibits land-use change or zoning when schools are overcrowded. The school authority must provide a certificate that there is capacity before an application can move forward, said Chris Testerman, deputy regional councillor for Orange County. DISCLAIMER: Given the overall quality of this update, the information contained in this update may not apply in all situations and should not be implemented without specific legal advice based on certain situations. Lee Steinhauer – Director of Government and Legal Affairs for the Greater Orlando Builders Association as well as Government Affairs and Legal Counsel for the Orlando Apartment Association – said the development community is working with OCPS and the Orange County Government to find a solution. . .