Economic Benefits

of DRGR Land Use Change

July 2014

Original DRGR Purpose

• Areas that provide significant recharge• Wellfield Development• Public Uses, Non-Profit Recreation,

Essential Services• Maximum Density – one dwelling unit per

10 gross acres

“What is already out there?”

• BSU Water Reclamation Plant• BSU Operations Center Headquarters• Bonita Springs YMCA• Bonita Springs Soccer Fields• Bonita Springs Fire and Rescue Headquarters

“What is already out there?”

• Bonita Springs Future Charter High School• 40 Acre Middle/Elementary School Site• 2,000 existing homes• 1,000 acres of conservation lands• 2,000 acres of vacant, developable lands

Efficiencies of Services- Specific Benefits

• City Government Services• Parks, Recreation, Library• Water and Sewer – BSU• Fire and EMS – BSFR• Additional tax dollars for Old 41 Redevelopment

Other Benefits

• Drainage, flow ways, water quality solutions, including new funding mechanisms

• Environmental solutions, with new funding• Design standards to provide for quality,

environmentally sound new development

Other Benefits

• Tax base increase of this area from 1% currently, to 25%, or more, of added property taxes

• New sources of revenue to solve infrastructure problems - MSTU, impact fees

• Roadway funding help – especially for East Terry Street and Bonita Grande widening

• New jobs in construction and services for several years to come

Property Tax Analysis

Bonita Springs Fort Myers Bonita

Springs %

Taxable Value (2013) $6,810,794,001 $3,685,321,093 84% Higher

City & Fire Millage 3.1978 8.7760 64% Lower

Total Millage (2013) 16.2735 21.8517 26% Lower

SOURCE Lee County Property Appraiser

What Does This Tell Us?

Bonita Springs has a solid tax base, due to relatively high residential prices in the city-planned communities, beach area.

This allows the city to maintain a very low tax rate

What Does This Tell Us?

2013 Bonita Springs Tax Millage Rates

Rate

Lee Co General Revenue 4.1506

Public Schools 7.598

City of Bonita Springs 0.8173

Lee Co Library Dist 0.5956

SFWMD 0.411

Bonita Springs Fire District 2.3805

Lee Co Hyacinth, Mosquito, West Coast Inland Navigation Districts 0.3205

Total 16.2735

City Millage is only

5% of total Ad Valorem

Bonita DRGR Taxable Impact

Land Area 8.28 Sq Mi (5,300 +/- Ac)

Percentage of City Area 21.5%

2011 Current Assessed Value $100,000,000 (Approx.)

Percentage of City Tax Base 1.5%

SOURCE Lee County Property Appraiser

(2011 Data)

Imperial District Add-on Tax Millage

• 0.55 mils (MTSU)• 65% to City of Bonita Springs• 35% to CREW/Environmental Lands

Source: 2013 Barraco Report

Bonita Springs DRGR Tax Revenues with $1.5 Billion Add’l Tax Base

Rate Add’l Taxes/Yr

Lee Co General Revenue 3.6506 $5,475,900

Public Schools 7.584 $11,376,000

City of Bonita Springs 0.8173 $1,225,950

Lee Co Library Dist 0.3541 $531,150

Lee Co Preservation Lands 0.5000 $750,000

SFWMD 0.4289 $643,350

Bonita Springs Fire District 2.2353 $3,352,950

Lee Co Hyacinth, Mosquito, West Coast Inland Navigation Districts 0.2992 $448,800

Total 15.8694 $23,804,100

Imperial District Add-on 0.55 $825,000

Total $24,629,100

Bonita Springs DRGR Tax Revenues with $1.5 Billion Add’l Tax Base

Rate Add’l Taxes/Yr

Imperial District Add-on 0.55 825,000

City of Bonita Springs 0.8173 1,225,950

Total 2,050,950

2013 -2014 FY Budgeted Ad Valorem Revenues $5,507,000. Potential Increase in City Ad Valorem Tax would be 37%

City of Bonita Springs CurrentImpact Fees

Single Family Unit Rate

Road $8,719

Regional Park $253

Community Park $619

Schools $784.80

Fire $437

EMS $50

BSU ANC Water $2,600

BSU ANC Sewer $3,925

Total $17,388

Imperial District Add-on Impact Fee(2013 Barraco Study)

Roads $3,000

Stormwater/Quality $700

Parks/Land Purchase $1,000

Streetscape $300

Total $5,000

Bonita Springs DRGR Impact Fees with 80% Fee Reductions Lifted and Add-On Fee

Single Family Unit Rate 5,000 Units

Road $8,719 $43,595,000Regional Park $253 $1,265,000

Community Park $619 $3,095,000

Schools $3,924 $19,620,000

Fire $437 $2,185,000EMS $50 $250,000BSU ANC Water $2,600 $13,000,000BSU ANC Sewer $3,925 19,625,000

SubTotal $20,527 102,635,000Imperial District Add on Fee $5,000 $25,000,000

Total $25,527/SF Unit 127,635,000

This also means more jobs

• Estimated 400 New Construction Jobs/Year

• Estimated 1,500 New Services Jobs Annually at Buildout

What I am suggesting for the

DRGR

Imperial District Add-on Impact Fee(Gilkey Suggestions)

Flow Way Projects $500/unit $2.5 million

Environmental Land Fund $3,500/unit $17.5 million

Water Quality Projects $1,000/unit $5 million

Total $25 million

Imperial District Add-on Tax Millage

Source: DEG Suggestions

- Base taxes @ .8173 mils $1,225,500/year

- Add on millage of .55 mils

- To City 65% $536,250/year

- To Environmental/Water $288,750/year

Annually $2,050,500/year

This is a 37% increaseover the $5,507,000 2013/2014 Ad ValoremCity Taxes

This Provides For:

• New environmental lands funding• Funding for Spring Creek Flow Way, Others• Funding for Water Quality Projects in the DRGR (2011

Plan)• Additional taxes for DRGR ordinances, studies,

monitoring

This is a great opportunity for funding water solutions and enhancing the city’s tax base