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ITEM: RESOLUTION NO. R2026-36 (FEE WAIVER FOR AFFORDABLE HOUSING PROJECTS AT 16651 VAN GOGH ROAD AND 16651 VELAZQUEZ ROAD)
A RESOLUTION OF WELLINGTON, FLORIDA’S COUNCIL, WAIVING THE PARKS AND CIVIC LAND DEDICATION REQUIREMENTS, CERTAIN IMPACT FEES, AND BUILDING PERMIT FEES FOR THE DEVELOPMENT OF AFFORDABLE HOUSING AT 16651 VAN GOGH ROAD AND 16651 VELAZQUEZ ROAD, AS PERMITTED BY CHAPTER 163.31801, FLORIDA STATUTES; AND PROVIDING AN EFFECTIVE DATE.
REQUEST: Approval of Resolution No. R2026-36 waiving the Parks and Civic land dedication requirements, and a portion of the Multi-modal, Parks and Recreation Impact, and Public Facilities Fees, and Building Permit Fees for the development of affordable housing at 16651 Van Gogh Road and 16651 Velazquez Road.
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EXPLANATION: The Live Local Act (Senate Bill 102) was approved by the Florida Legislature in 2023 and amended each year since. The Act requires local governments to allow multifamily and mixed-use developments in areas zoned commercial, industrial, or mixed-use without a land use amendment, rezoning, or similar approval. The Act establishes the maximum density and height for the development, and the percentage of units required to be affordable. The developments must meet the land development regulations for multifamily residential and be administratively approved.
NuRock is developing two Live Local projects at 16651 Van Gogh Road and 16651 Velazquez Road in Wellington, north of Southern Boulevard, adjacent to Seminole Pratt Whitney Road. Each project is 106 units that are 100 percent affordable. The developer is obtaining financing assistance from Palm Beach County through the $200 million housing bond loan program approved by voters in 2022. NuRock is also receiving a credit of $257,742 towards the Palm Beach County impact fees of $402,974.90 for Roads, Parks, and Public Buildings. No credit is being provided for fees for fire, library, and public schools.
NuRock has also requested a waiver of Wellington’s land dedication requirements, impact and building permit fees. The fee waiver requests are included with this agenda item.
The Wellington Land Development Regulations, Section 8.5.2.C., require the developer to dedicate land, pay a fee in lieu, or a combination, at the option of Wellington, for public parks and civic facilities. The land dedication requirement is 10 acres per 1,000 residents generated by the development for parks and 1 acre per 1,000 residents for civic facilities. The resident generation is calculated using Wellington’s median household size of 2.81 persons per unit. Based on the requirement, the developer would need to contribute for each project either 3.01 acres (2.98 acres for parks and 0.30 acres for civic) or pay a fee in lieu of the land dedication.
Wellington’s Code of Ordinances, Chapter 10 - Impact Fees, establishes impact fees for its Multi-modal Facilities, Parks and Recreation Facilities, and Public Facilities. The impact fees for multi-modal facilities are based on the project’s total square footage. The Parks and Recreation and Public Facilities impact fees are based upon the number of units. Section 10-9 of the Code of Ordinances details how the impact fee proceeds can be used. Generally, the proceeds can be used for new or expanded facilities. The funds may not be used for maintenance, repairs, or operations.
Building permit fees are adopted by the Village Council by resolution. The latest building permit fees were adopted by Resolution No. R2017-29. For projects with a construction value greater than $500,000, the permit rate is 1.50 percent of the construction valuation. However, Wellington’s building permit fees are subject to a change by January 2027 from a percentage of construction valuation to the cost incurred in providing the services. This is required by House Bill 803, approved by the Governor this year. Florida Statutes limit how building permit fees may be used. Municipalities can only use building permit and inspection fees to cover the direct and reasonable indirect costs associated with enforcing and administering the Florida Building Code.
An exhibit to this agenda item is provided that presents the calculations for all of the respective fees. A table of waiver amounts from 25 percent to 100 percent is also provided.
The requested waivers are supported by s. 163.31801, F.S., which allows municipalities to provide an exemption or waiver for an impact fee for the development or construction of housing that is affordable, as defined in s. 420.9071, Florida Statutes.
The recommendation for waiving the Parks and Civic land dedication requirements, and a portion of the Multi-modal, Parks and Recreation Impact, and Public Facilities Fees, and Building Permit Fees for the development of affordable housing at 16651 Van Gogh Road and 16651 Velazquez Road is supported by the following:
• The development is 100 percent affordable. The Live Local Act only requires 40 percent of the units to be affordable.
• The property is restricted as affordable for 50 years. The Live Local Act only requires the restriction for 30 years.
• The roadways surrounding the project sites are Palm Beach County’s, the State of Florida’s, and private.
• The development includes private recreation areas for the residents. There are Palm Beach County parks in proximity to the project sites.
• The land dedication requirement is at Wellington’s option. The waiver is an incentive for the affordable housing.
BUDGET AMENDMENT REQUIRED: N/A
PUBLIC HEARING: NO QUASI-JUDICIAL:
FIRST READING: YES SECOND READING:
LEGAL SUFFICIENCY: YES
FISCAL IMPACT: The estimated fees for the projects are approximately $150,000 for the Multi-modal Impact Fee, $358,000 for Parks and Recreation, $361,000 for the parks and civic land dedication in lieu, and $450,000 for building permit fees.
WELLINGTON FUNDAMENTAL: Responsive Government
RECOMMENDATION: Approval of Resolution No. R2026-36 waiving the Parks and Civic land dedication requirements, and a portion of the Multi-modal, Parks and Recreation, and Public Facilities Impact Fees, and Building Permit fees for the development of affordable housing at 16651 Van Gogh Road and 16651 Velazquez Road.