[§302A-1606]  Impact fee:  land component - determiningthe amount of land or fee in lieu.  (a)  The area requirements for newschool facilities shall be determined based on the recent school constructionaverages.

(b)  The procedure for determining whether thededication of land is required or a payment of a fee in lieu is required for anew school facility shall be as follows:

(1)  A new residential development of greater than orequal to fifty units, shall include a written agreement, prior to the issuanceof a building permit, between the owner or developer of the property and thedepartment, under which the owner or developer has:

(A)  Agreed to designate an area to bededicated for one or more schools for the development, subject to approval bythe department; or

(B)  Agreed to pay to the department, at a timespecified in the agreement, a fee in lieu of land dedication;

(2)  New residential developments of less than fiftyunits shall include a written agreement, between the owner or the developer ofthe property and the department, under which the owner or developer has agreedto a time specified for payment for the fee in lieu prior to the issuance ofthe building permit;

(3)  Prior to approval of any subdivision, change ofzoning, or any other approval for a:

(A)  Residential development equal to orgreater than fifty units; or

(B)  Condominium property regime development offifty units or more,

the department shall notify the approving agencyof its determination on whether to require the dedication of land, the paymentof a fee in lieu thereof, or a combination of both;

(4)  When land dedication is required, the land shallbe conveyed to the State upon completion of the subdivision improvements andany offsite infrastructure necessary to serve the land;

(5)  When the payment of a fee in lieu is required,the fee in lieu shall be paid based on the terms contained in the writtenagreement;

(6)  Whether the department determines to require landdedication or the payment of a fee in lieu, shall be guided by the followingcriteria:

(A)  The topography, geology, access, value,and location of the land available for dedication;

(B)  The size and shape of the land availablefor dedication;

(C)  The location of existing or proposedschooling facilities; and

(D)  The availability of infrastructure; and

(7)  The determination of the department as to whetherlands shall be dedicated or whether a fee in lieu shall be paid, or acombination of both, shall be final.

(c)  In determining the value per acre for anynew residential development, the fee simple value of the land identified forthe new or expanded school facility shall be based on the appraised fair marketvalue of improved, vacant land, zoned for residential use, and serviced byroads, utilities, and drainage.  An appraiser, licensed pursuant to chapter466K, who is selected and paid for by the developer, shall determine the valueof the land.  If the department does not agree with the developer's appraisal,the department may engage another licensed appraiser at its own expense, andresolve, through negotiation between the two appraisers, a fair market value. If neither party agrees, the first two appraisers shall select the thirdappraiser, with the cost of the third appraisal being shared equally by thedepartment and the developer, and the third appraisal shall be binding on bothparties.

(d)  The developer or owner of new residentialdevelopments of greater than fifty units shall either pay the in lieu fee basedon the land value as determined in subsection (c) or convey appropriate acreageas determined in subsection (b).  When conveying the fee simple interest forthe new or expanded school facility, the developers shall be credited thedifference between the fair market fee simple value of the property and thedevelopers' proportionate share of the value of the land as determined insubsection (c) against any impact fees for construction.  Any excess may betransferred and used as credit against any future land or construction costrequirements on any other development of the State.

(e)  The dollar amount of the fee in lieu shallbe determined using the following formula:

Acresof land calculated according to subsection (b) multiplied by the value per acreof land determined pursuant to subsection (c). [L 2007, c 245, pt of §2]