On May 1, the City of Bend approved changes to how it calculates system development charges. Now, Redmond plans to follow suit. The City of Redmond is proposing an increase in its transportation system development charges, which are one-time charges developers pay to cover infrastructure-related improvements in the city.
City staff members presented a proposed SDC increase to city councilors at a May 7 City Council meeting, where they asked for the council’s direction on what range of SDCs would best help the City meet its goals.
Redmond city councilors decided to move forward with a proposed range of $11,000 to $15,000. This is a significant increase from the current transportation SDC, which is $5,160.
The current charges for a residential single-family dwelling are $22,466 in total, which includes water, wastewater, transportation and park SDCs. With updated transportation SDC’s that total would rise to a range of $28,306 to $32,306.
Redmond last updated its SDC methodology in 2008. The City is proposing this change to support needed transportation infrastructure to serve the growing number of residents, services and businesses within the City of Redmond.
In January, the City’s five-year capital improvement plan identified a number of transportation projects needed to address growth. In February, council members adopted a rental car tax, which went into effect in March. With this fee implemented, the City still has a $15 million funding gap for the identified transportation projects. City staff believe that increasing the SDCs would bridge this gap.
In June, the City plans to hold stakeholder meetings, reaching out to groups such as the Redmond Economic Development Inc. and the Central Oregon Builders Association, to inform and provide the opportunity for input.
After this, staff will hold another Council work session, followed by public hearings. According to Redmond Staff Member Jessica MacClanahan at the May 7 meeting, the City will likely hold an adoption hearing in August or September. The SDC increase, if implemented, will likely be phased in.
This article appears in Source Weekly May 9, 2024.
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