R-2025-021 - 1/23/2025 RESOLUTION NO. R-2025-021
WHEREAS, Section 395.058 of the Texas Local Government Code ("the Act") requires the
Capital Improvement Advisory Committee ("CIAC") to report to the City Council the progress of the
capital improvements plan and any perceived inequities in implementing the plan or imposing the
impact fee; and
WHEREAS, the CIAC is also required to advise the Council of the need to update the land use
assumptions, capital improvements plan and impact fees; and
WHEREAS, the CIAC has submitted Capital Improvements Plan Progress Semi-Annual
Report regarding Water and Wastewater Impact Fee Update; and
WHEREAS, the City Council has reviewed the attached Capital Improvements Plan Progress
Semi-Annual Report and has determined same to be in compliance with the Act, Now Therefore
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK,TEXAS,
That the Capital Improvements Plan Progress Semi-Annual Report, attached hereto as Exhibit
"A" and incorporated herein, are hereby approved.
The City Council hereby finds and declares that written notice of the date, hour, place and
subject of the meeting at which this Resolution was adopted was posted and that such meeting was
open to the public as required by law at all times during which this Resolution and the subject matter
hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act,
Chapter 551, Texas Government Code, as amended.
RESOLVED this 23rd day of January, 2025.
CRA163 MOR AN, Mayor
City of Rounjr Rock,Texas
ATTE
ANN FRANKLIN, City Clerk
0112.20252:4911-1212-8014 '
EXHIBIT
„A„
Capital
Improvements Plan
Progress
Semi-Annual Report
November 2024
ROUND ROCK TEXAS
PUBLIC WORKS
SUMMARY
The Local Government Code Section 395.058 requires the Capital Improvement
Advisory Committee (CIAC)to report to the political subdivision the progress of the
capital improvements plan and any perceived inequities in implementing the plan
or imposing the Impact Fee. Included herein is the semi-annual report for the
reporting period of April 1, 2024, to September 30, 2024. This report assesses the
actual growth rate compared to the projected growth rate, the status update of
capital improvement projects, and the Impact Fees collected during the reporting
period.
The local government code also requires the CIAC to advise the City Council on
updating the land use assumptions, capital improvements plan, and Impact Fees.
The City last updated these items in September 2023, and the new Impact Fees
went into effect on January 1, 2024.
1
Figure 1 shows the groundwater and surface water produced and the number of
active water services over the past two years. Although the City continues to grow,
overall water production has remained relatively steady. However, water demand
fluctuates significantly with weather conditions, particularly during summer. The
City's water conservation and reuse programs play a key role in managing and
reducing overall water usage.
Figure 1
Water Treatment Plant
3,000 39
38
2,500
37
2,000 36 0
O a
35 O
L
1,500 ~
� c
CU 34
3 �
� u
d1,000 33 `y
a
c �
32 u
io Q
500
31
0 1st Qtr FY'23 2nd Qtr FY'23 3rd Qtr FY'23 4th Qtr FY'23 1st Qtr FY'24 2nd Qtr FY'24 3rd Qtr FY'24 4th QtrFY'24 30
Active Services 36,771 36,914 37,437 37,556 37,844 37,979 38,151 38,356
�.Growdwater 148,340,000 105,131,000 182,608,000 290,551,000 125,692,000 57,041,000 69,872,000 177,517,000
-,..-Surface Water 1,788,654,000 1,515,888,000 1,865,962,000 2,691,567,000 1,655,524,000 1,392,921,000 1,736,168,000 2,284,669,000
2
Figure 2 reflects the daily average of potable water produced each month over the
last five years. Total water production is dependent on weather conditions;
therefore, discretionary water usage is higher during the summer months.
Figure 2
Average Potable Daily Demand Each Month
40
35
30
25
0
o j
M 20
0
2 15
10
5
0
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
■FY-20 FY-21 _.,FY-22 a FY-23 td FY-24
3
Figure 3 reflects the monthly potable treated water production and the Type I
Reuse treated water production. The City's reuse water system began production
in October 2012 with three customers: Old Settlers Park, Dell Diamond, and Forest
Creek Golf Course. The City has since expanded the system to Forest Creek HOA,
Legends Village Subdivision, Austin Community College, Texas A&M Health
Science Center, Forest Grove and Vizcaya Subdivisions, and Kalahari Resort. The
City continues to promote reuse water in the northeast part of Round Rock, and as
depicted in Figure 3, the demand continues to grow.
Figure 3
Potable vs. Reuse Water
Average Daily Demand Each Month
40
35
30
25
c
0
20 —
C7
0
15
10
5
0
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sept
El FY-20 ■FY-21 ■FY-22 ■FY-23 ❑FY-24 ■Reuse
4
Figure 4 shows the number of new single-family building permits issued in the City
of Round Rock and the City's extra-territorial jurisdiction (ETJ). Over the past five
years, new single-family housing starts in the City have ranged from 533 to 1,057
per year.
The City issued 906 single-family building permits in FY-24. Most of the current
construction activity is in the northeast part of Round Rock in the Salerno and
Avery East Subdivisions.
As noted in Figure 4, all Municipal Utility Districts (MUDs) in Round Rock's ETJ
have potentially been built out for their single-family properties since FY-21.
Figure 4
Annual Single-Family Building Permits Issued
Residential & MUDS
1400
1200 1121
1043 1057
1000
906
800
600 533
400
200
0
FY-2020 FY-2021 FY-2022 FY-2023 FY-2024
■Round Rock ■Paloma 41 v Paloma#2 ■Teravista#11 Siena#1 Siena 02
5
Table 1 reflects the number of multi-family units permitted annually. Currently,
there are five multi-family complexes under construction.
Table 1
In-City Retail
Fiscal Year Multi-Family Units
FY 2020 430 (196.5 LUEs)
FY 2021 584 (391.5 LUEs)
FY 2022 1626 (896 LUEs)
FY 2023 841 (420.5 LUEs)
FY 2024 369 (184.5 LUEs)
Out-of-City Wholesale
Fiscal Year Multi-Family Units
FY 2022 720 (404.4 LUEs)
6
Table 2 shows the number of new commercial building permits issued annually.
Over the past five years, this number has been steady, ranging from 39 to 52
annually, and commercial development in the City continues to be consistent. We
currently see a mix of business, retail, and light industrial commercial development.
Table 2
Fiscal Year Commercial Building '-
FY 2020 44 (150.5 LUEs)
FY 2021 39 (161 LUEs)
FY 2022 39 (234.5 LUEs)
FY 2023 29 (89.5 LUEs)
FY 2024 52 (292.5 LUEs)
7
Table 3 and Figure 5 summarize the Water and Wastewater Impact Fees collected
from In-City residential (single-family and multi-family) and commercial customers,
as well as Out-of-City wholesale customers. In FY-20, there was a significant
decrease in collections, largely due to the pandemic. In FY-21, In-City residential
and commercial collections rebounded, while Out-of-City wholesale collections
declined, primarily due to the buildout of most MUDs. FY-22 saw a substantial
increase in In-City commercial water and wastewater connections. By FY-23,
Impact Fee collections had returned to the City's anticipated average, but there
was a slight decline in FY-24.
Table 3
FY-20 FY-21 FY-22 FY-23 FY-24
In-City Residential
Water $2,008,822 $2,649,580 $2,043,907 $2,938,553 $2,769,582
Wastewater $ 930,467 $ 1,296,554 $ 1,695,908 $ 1,522,930 $ 1,632,281
In-City Commercial
Water $ 1,752,110 $2,934,225 $4,085,751 $ 1,338,332 $ 607,902
Wastewater $ 461,347 $ 1,457,580 $ 1,900,865 $ 1,153,932 $ 283,337
Out-of-City Wholesale
Water $ 406,253 $ 114,713 $ 52,534 $0 $0
Wastewater $ 895,448 $ 20,711 $ 870,291 $ 671,680 $0
Total Collected $6,454,447 $8,473,363 $10,649,256 $7,625,427 $5,293,102
8
Figure 5
Impact Fees Collected FY 20- FY 24
$12
$10,649,255
$10 — -- - — - -- -- ----- - -
$8,473,362
$8 ----- -- - - - — $7,625,427 _
o $6,454,447
$6 $5,293,102
$2 -
$-
FY-2020 FY-2021 FY-2022 FY-2023 FY-2024
■ Residential Water ■ Commercial Water ■ Wholesale Water
■ Residential Wastewater ■ Commercial Wastewater ■ Wholesale Wastewater
During the 2023 water model update, the City projected that 880 Living Unit
Equivalents (LUEs)would be added to the water system annually. With an Impact
Fee of $4,912 per LUE, this suggests the City should collect approximately $4.3
million in Water Impact Fees each year, assuming growth follows projections.
Similarly, the wastewater model update estimated that 1,513 LUEs would be
added to the wastewater system annually. At an Impact Fee of $2,921 per LUE,
this would result in the City collecting approximately $4.4 million per year in
Wastewater Impact Fees, assuming growth meets expectations.
The actual Impact Fees collected show that new connections to the water and
wastewater systems were less than projected in FY-24.
9
Table 4 provides population projections for Round Rock and Round Rock's ETJ.
These projections, anticipating a steady growth rate, indicate that capital
improvements to the City's water and wastewater utility systems will be necessary
to keep up with growth in Round Rock.
Table 4
.RR
City's ED•.. .
Year - Projection Growth Rate
2020(Census) 119,468 - 178,704 -
2021 122,455 122,827 2.5% 2.8% 182,336 2.0%
2022 125,516 124,614 2.5% 1.5% 184,993 1.5%
2023 128,292 131,235 2.2% 5.3% 189,286 2.3%
2024 134,540 134,858 4.9% 2.8% 196,035 3.6%
2025 139,834 3.9% 202,208 3.1%
2026 145,208 3.8% 208,843 3.3%
2027 149,621 3.0% 214,486 2.7%
2028 153,530 2.6% 219,624 2.4%
2029 157,298 2.5% 224,320 2.1%
2030 161,136 2.4% 228,933 2.1%
2031 164,982 2.4% 233,479 2.0%
2032 168,791 2.3% 237,885 1.9%
2033 172,520 2.2% 242,143 1.8%
2034 176,163 2.1% 246,273 1.7%
2035 179,507 1.9% 250,040 1.5%
2036 182,560 1.7% 253,433 1.4%
2037 185,513 1.6% 256,700 1.3%
2038 188,427 1.6% 259,901 1.2%
2039 191,306 1.5% 263,017 1.2%
2040 194,151 1.5% 1 1 266,051 1 1.2%
Note: 2020 is the base year for all projections in this table.
10
Table 5 summarizes the status of the Water System (Impact Fee eligible) Capital
Improvement Projects included in the September 2023 Impact Fee Analysis.
Table 5
Completed Water Projects Completion Impact Fee Report Actual Cost
Estimated Cost
South 81 Elevated Storage Tank Pump Station 2019 $157,000 $1,070,900
Arterial H Phase II 2020 $1,470,500 $1,375,045
BCRUA Phase 1C-WTP Expansion to 32MGD 2020 $4,465,000 $3,635,540
Water Dist. Master Plan& Impact Fee 2020 $66,000 $220,570
University Blvd extension from end of 36" main to CR- 2022 $1,150,000 $775,481
110
E Liberty Ave, N Shephard St& Fannin Ave 2022 $500,000 $938,983
Kenny Fort Blvd from Old Settlers to Chandler Creek(24" 2024 $4,212,134 $4,212,134
WL)
$12,020,634 $12,228,653
ProjectsWater ••ress Completio
Estimated Cost Estimate
Kenny Fort Blvd from Forest Creek Blvd to SH45 (12"WL) 2024 $1,787,073 $1,787,073
Old Settlers from Red Bud to CR-110(16" WL) 2025 $1,500,000 $1,584,000
Sam Bass Rd from FM-1431 to Wyoming Springs (42"WL) 2025 $10,770,000 $10,770,000
BCRUA Phase 1D-WTP Expansion to 42MGD 2025 $4,934,911 $4,934,911
Kenny Fort Blvd 5 &6(24" WL)* 2026 $1,800,000 $1,800,000
Red Bud from south of Palm Valley Blvd to Gattis School 2026 $4,560,000 $4,560,000
(24" WL)*
BCRUA Phase 2 - Deep Water Intake 2027 $77,437,930 $77,437,930
BCRUA 6MG Clearwell* 2027 $4,760,000 $4,760,000
BCRUA Phase 2A-WTP Expansion to 64MGD* 2028 $35,000,000 $46,000,000
$142,549,914 $153,633,914
*Current estimates based on updated industry rates for projects in the design phase.
11
Estimated Impact -..
Upcoming
Groundwater GST and Pump Station Land Purchase 2025 $784,000
Hester's Crossing and CR-172 from west 971 zone to S-81 EST 2026 $2,500,000
Eagle's Nest in Connection w/Road Extension 2027 $2,300,000
Red Bud &Gattis School to High County EST(24" WL) 2030 $1,500,000
East Groundwater Supply(Joint Project w/Georgetown) 2030 $35,000,000
$42,084,000
12
Table 6 summarizes the status of the Wastewater System (Impact Fee eligible)
Capital Improvement Projects included in the September 2023 Impact Fee Analysis.
Table 6
ProjectsCompleted Wastewater
Estimated Cost At
Brushy Creek 2 2019 $685,000 $349,000
Brushy Creek 4 2019 $173,000 $173,000
MC-1: New 6,760LF of 18-in 2022 $1,973,000 $0
$2,831,000 $522,000
ProjectsWastewater .•
Estimated Cost Estimate
Lake Creek 1 2024 $3,786,150 $3,951,150
Kenny Fort(2/3)from Forest Creek to Gattis School (18" 2024 $844,872 $844,872
WW)
Cottonwood Lift Station and Forcemain* 2026 $5,535,000 $9,500,000
MC-2-West side of SH130(15"WW)* 2026 $3,961,000 $3,961,000
CC-4-Near Old Settlers Park(18" WW)* 2027 $2,092,000 $1,132,012
WWTP Expansion to 40MGD* 2030 $99,000,000 $109,000,000
$115,219,022 $128,389,034
*Current estimates based on updated industry rates for projects in the design phase.
ProjectsEstimatUpcoming Wastewater
-. -..
Completion .
CC-2-West of AW Grimes(12"WW) 2026 $516,000
CC-1-Sunrise Rd South of University(15" WW) 2026 $2,560,000
BC-1-Downtown Round Rock(12"-18"WW) 2027 $2,294,000
MC-3-North of Paloma Lake(24"WW) 2028 $4,978,000
LC-3-Near Round Rock West(15"WW) 2028 $2,748,000
MC-4-South of University between AW Grimes and CR110(10"-15"WW) 2029 $7,433,000
LC-4-South of McNeil Rd along 135 (24"WW) 2030 $3,694,000
$24,223,000
13
Table 7 summarizes the status of the Reuse Water System (Impact Fee eligible)
Capital Improvement Projects included in the September 2023 Impact Fee Analysis.
Table 7
Reuse Projects in Progress Completion Impact Fee Report Current
Estimated Cost
Kenny Fort Blvd 16-inch Reuse Line 2024 $1,705,468 $1,705,468
Reuse High Service Pump Addition* 2026 $750,000 $1,617,000
Kenny Fort Blvd 24-inch Reuse Line* 2026 $6,000,000 $5,800,000
Reuse 2MG Ground Storage Tank* 2026 $4,000,000 $4,000,000
$12,455,468 $13,122,468
*Current estimates based on updated industry rates for projects in the design phase.
Estimated Impact Fee Report
Upcoming Reuse Projects Completion Estimated Cost
Reuse Line to Dell Way 2027 $4,995,000
$4,995,000
14
Figure 6 compares Single-Family Residential Utility Rates for Round Rock to
surrounding Central Texas Municipalities and Municipal Utility Districts. As
depicted, Round Rock utility rates remain among the lowest in the region.
Figure 6
Single-Family Residential
Water&Wastewater Rates Monthly Comparison
$220
$200 $195.90
$180
$161.31 $161.17
$160 $149.28
$142.27
$140
$120 $120.49
$114.47 $108.76107.20
$ $1os.za
$100 $97.80 $96.42
$89.64 $87.15 $86.16
$80 $83.16
$75.92
$60
$40
$20
$ 111 11 11111 111111 1
Pflugerville San Hutto Austin Manville Jonah Leander Georgetown Paloma Walsh Fem Cedar Vista Brushy Teravista Teravista Round
Marcos 1&2 Ranch Bluff Park Oaks Creek 11 10 Rock
■Water ■Wastewater
*assumes 10,000 gallons water and 6,000 gallons wastewater used
15
Table 8 provides a comparison of Round Rock's Water and Wastewater Impact
Fees with those of neighboring cities and Municipal Utility Districts. Historically,
Round Rock had one of the highest total Impact Fees for new water and
wastewater connections. However, in recent years, several nearby cities have
raised their fees, surpassing Round Rock. Round Rock's philosophy is for new
customers and developments to pay for the required capital improvements driven
by growth.
Table 8
Area Impact Fee Comparison
City/Utility Last Update Water Wastewater Total
Brushy Creek MUD 2012 $2,095 $1,804 $3,899
Cedar Park 2020 $3,160 $3,170 $6,330
San Marcos 2018 $3,801 $2,684 $6,485
Austin 2023 $4,800 $2,900 $7,700
Round Rock 2023 $4,912 $2,921 $7,833
Leander 2023 $8,762 $2,301 $11,063
Hutto 2021 $8,832 $2,788 $11,620
Pflugerville 2023 $14,713 $1,316* $16,029
Georgetown 2023 $11,000 $6,129* $17,129
'Indicates the City has two different Wastewater Impact Fees based on service area.
The table shows the lowest fee charged by that City.
16
CONCLUSION AND RECOMMENDATIONS
Due to the volatility in growth rates and infrastructure demands, the City
recommends reviewing Impact Fees approximately every three years. The most
recent Impact Fee update report was completed in September 2023, adopted by
the City Council in November 2023, and became effective on January 1, 2024.
In recent years, Round Rock's population growth has aligned with projections from
the Impact Fee Analysis. As a result, connections to the water and wastewater
systems have increased as generally expected in terms of forecasts.
Given the increase in system connections and the upcoming infrastructure projects
required to support this growth, the City updates its Water and Wastewater Master
Plans and Impact Fee Report approximately every three years. This approach
ensures that the City collects appropriate fees, ensuring that new development
contributes its fair share toward the cost of necessary water and wastewater
infrastructure.
The next Capital Improvements Plan Progress Report will be presented to the
CIAC and the City Council in approximately six months.
17
Mayor Councitmembers City Manager
Craig Morgan Michetle Ly Laurie Hadley
Rene Flores
Frank Ortega
ROUND ROCK TEXAS Mayor Pro-Tem Kristin Stevens City Attorney
PWNNING ANO DEVELOPMENT SERVICES Matthew Baker Hilda Montgomery Stephanie Sandre
May 1, 2024
Mayor Morgan
Mayor Pro-Tem Baker
Councilmember Ly
Councilmember Flores
Councilmember Ortega
Councilmember Stevens
Councilmember Montgomery
RE: Capital Improvements Advisory Committee—Semi-Annual Meeting
Dear Mayor Morgan and Council Members:
The Capital Improvements Advisory Committee met on May 1, 2024, to consider and approve
the semi-annual report to the City Council with respect to the progress of the Capital
Improvements Plan and identification of any perceived inequities in the Impact Fees. The
findings are addressed in Chapter 395.058(c) of the Texas Local Government Code.
After discussion, the Committee found no perceived inequities in implementing the plan or
imposing the Impact Fee. Therefore, a motion was made to approve and forward the report
from the Utilities and Environmental Services Department to the City Council, with updated city
comparison data.
Sincerely,
((3� J&A
Rob Wendt, Chairman
Capital Improvements Advisory Committee
CITY OF ROUND ROCK PLANNING AND DEVELOPMENT SERVICES-301 W Bagdad, Round Rock,Texas 78664
Planning 512 218 5428-Code Enforcement 512218 3329-Community Development 512 341 3148-round rocktexas.gov