Right-of-Way Control through Fees
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1 Right-f-Way Cntrl thrugh Fees September 12, :00 PM Jerld A. Tapsctt, P.E. Public Wrks Department Kansas City, Missuri 1
2 ROW Cntrl Thrugh Fees I. Intrductin A. Excavatin, Traffic Cntrl and Other Permit Fees II. Excavatin Permit Fees and Prcess A. Determinatin f Damage B. Excavatin Permit Fee Structure C. Example f Fee Cst III IV V VI Traffic Cntrl Fees and Prcess A. Determinatin f Fee B. Traffic Cntrl Fee Structure C. Example f Fee Cst Other Permit Types Inspectin Cnclusins 2
3 Intrductin On several ccasins, the City f Kansas City, Missuri, attempted t implement a fee structure that recvered the cst f damages t its streets by utility cuts. Anther gal is t minimize disruptin t the public while ensuring safety f traffic and wrkers. These types f permits were met with ppsitin and threat f legal actin by affected parties. After the streets were verwhelmed by the destructin caused by the telecmmunicatin industry in the late 1990 s and 2000, a revised rdinance was passed in 2001 fr the excavatin permits and degradatin fee. The traffic cntrl rdinance was nt apprved until 2002 and went int full effect the next fiscal year, beginning in May. Other permits with fees help in the verall cntrl f the right-f-way but the fee amunts are small cmpared t the excavatin and traffic cntrl permit types. The ther permit types we have are annual traffic cntrl, versize lad, parade, hauling, lading zne, and residential parking. Als, we issue blck party permits with n fee. Excavatin Permit Fee and Prcess The City has a respnsibility t prtect public assets. The lack f a recvery fee assessed against thse wh cut the streets means that the cst f damages is brne by thse wh have nt caused the damage and are nt in a psitin t reduce the damage. The excavatin permit prcess, when cmbined with damage recvery fee based n the damage that a cut causes, is an equitable methd f making thse respnsible pay fr the damage they cause. Determinatin f Damage The excavatin prgram was audited by the city auditr s ffice in 1994 and prblems were revealed. In rder t determine the damage caused by the excavatin area a cnsultant was hired t prvide that analysis. The city selected Terracn Cnsulting Engineers t cnduct analysis f the effect f utility cuts n structural capacity f surrunding pavement. Their analysis fund the zne f influence was abut 2.5 feet utside the cut area. The study als reprted that an verlay f 1.5 inches wuld ffset the structural deficiency in the zne f influence, but wuld nt address the reductin f capacity f the jint f the restred cut and the surrunding pavement. After the initial reprt, Terracn was directed t further assess the area surrunding cuts where wrk culd feasibly be cnducted t repair structural deficiencies. Terracn fund the surrunding pavement shuld be saw cut (full depth) in a rectangle pattern extending 21 inches beynd the edge f the utility cut. The findings f this study were used in the develpment f the fee structure. Excavatin Permit Fee Structure 3
4 In rder t btain a permit fr an excavatin, an applicatin fee, a pavement degradatin fee and bnd fr restratin expenses is required by the cntractr. The applicatin fee is the nnrefundable amunt sufficient t defray the expenses f investigating the applicatin, issuing the permit, and inspecting the excavatin site. The minimum fee fr all excavatin up t 100 lineal feet is $52.00 and fr each additinal 100 lineal feet f excavatin r prtin theref an additinal $52.00 is charged. As a cnditin fr issuance f an excavatin permit, the applicant is als required t furnish and maintain restratin depsit(s). These depsits depend n the lcatin and length f the excavatin; fr excavatin lengths f less than 1,000 feet they range frm $ t $2, In additin t the abve fees, if the excavatin is lcated in the paved prtin f the right-f-way, degradatin fees are charged t recver the cst f the diminutin f the life f the pavement. The same fee structure prvides incentives t avid recently cnstructed r resurfaced streets. In calculating degradatin fees in paved prtins f the right-f-way, an area f influence equal t 2 feet all the way arund the cut is added t the size f the cut that is expected t be made. The calculated area f influence is based n the Terracn study previusly described. The basic frmula adpted t calculate the degradatin fees and prvide incentives t avid cutting recently cnstructed r resurfaced street is: (area f cut + 2 feet all the way rund the cut) x csts (cnstructin + verlay + slurry seal). The cnstructin and maintenance csts and the depreciatin rates fr Kansas City are shwn in the table belw. Cnstructin Cst $10.00/Sq. Ft. Maintenance Cst $0.40/Sq. Ft. Maintenance Cst $0.11/Sq. Ft. Age All Streets Age Mill & Overlay Age Slurry Seal Year Rate Cst/ Sq. Ft. Year Rate Cst/ Sq. Ft. Year Rate Cst/ Sq. Ft Straight Line Depreciatin Between Years 1 and 25 Straight Line Depreciatin Between Years 1 and 10 Straight Line Depreciatin Between Years 1 and Residual Value An illustratin t demnstrate the use f the frmula and table fllws. 4
5 Example f Fee Cst 3 feet by 5 feet pavement restratin in a street cnstructed in 1960 and verlaid in Cnstructin cst = $2.00/sq. ft (ver 25 years ld) Overlay cst = $.00.36/sq. ft. (verlay 2 years ld) Slurry seal cst = $0.00 Ttal cst = $2.36/sq. ft The area f influence is equal t the area f restred pavement plus 2 feet n each side x = 63 sq. ft Degradatin fee + cst x area f influence $2.36 x 63 sq. ft = $ Other significant features f the excavatin and degradatin rdinance include the fllwing: Befre beginning any wrk in the ROW, all ROW users shall first prvide nt less than 24 hurs ntice t persns residing n prperty adjacent t the ROW site f the excavatin. If the ROW user damages r interferes with facilities f ther parties r services t ther parties, the ROW user shall repair r cause t be repaired thse facilities n an emergency basis and shall discntinue repair wrk until all damages are cmpleted and all services restred. A ROW user must respnd within 30 days in writing t any persn making a claim against the ROW user arising ut f use f the ROW. The installatin f a new facility and the relcatin f an existing facility in the ROW shall maintain a minimum hrizntal separatin f 2 feet and a minimum separatin when crssing all ther facilities f 1 ft. If directinal bring methds are used in the installatin f a facility in the ROW, then a minimum hrizntal separatin f 3 feet and a minimum vertical separatin f 3 feet frm ther facilities in the ROW shall be maintained unless the directr f public wrks apprves a variance and the ROW user field lcates all ptential facility cnflicts by expsing the ther facilities. The perid f maintenance f an excavatin restratin will extend fr 3 years frm the acceptance f the restratin perfrmed pursuant t the permit. Adjustment f fees-the city manager shall have the authrity t adjust the applicatin fees listed abve t reflect change in the cnsumer price index. Revenues Generated 5
6 The number f permits issued and revenues generated by ur excavatin permits have been as fllws: FY 04 Number f Permits 11,092 Permit Fees $570, Degradatin Fee $647, Residential Traffic Fee $102, Ttal $1, FY 05 Number f Permits 12,638 Permit Fees $604, Degradatin Fee $654, Residential Traffic Fee $111, Ttal $1,370, Traffic Cntrl Fees and Prcess In rder t minimize disruptin t the public and ensure the safety f traffic and wrkers, the city requires thse needing t clse rights-f-way t acquire a permit frm the Department f Public Wrks. Prtins f the right-f-way may be temprarily clsed t vehicular and pedestrian traffic fr a variety f reasns, such as excavatins, parking cnstructin equipment, r parking vehicles in areas where parking is therwise restricted. By issuing permits, the Department f Public Wrks is able t review the plans fr traffic cntrl and change thse plans as needed t minimize disruptins and prtect the safety f traffic and wrkers. Determinatin f Cst In 1972, the city impsed a $10.00 fee fr street clsure permits. The fee was waived fr City prjects and t prtect health r safety r fr blck parties. In 1985, the street clsure fee was raised t $20.00 with a maximum allwable fee f $ In 1988, the permit fee was raised t $25.00 and the perid the permit was valid was changed frm a negtiated time t 30 days. The audit f the street clsure permit activities cnducted by the city auditr s ffice f Kansas City in December 1994 revealed many prblems assciated with the prgram. These included the fllwing: 1. The city realized far less revenue than is prvided fr under the cde due t lw cmpliance with street clsure permit requirements. 6
7 2. The public was expsed t a greater safety risk resulting frm lw cmpliance. 3. The public was expsed t greater csts and incnvenience than necessary as the city s permit fee did nt encurage thse making clsures t cmplete their wrk quickly t minimize csts and incnvenience t the public. 4. N written plicies r prcedures fr the street clsure permit prcess had been prepared. In general, the Directr f Public Wrks agreed with all the findings f the audit and frmed a street permit task frce t address the issues. This task frce was made f representatives frm utility cmpanies, the hme builders assciatin, plumbers, varius city departments, and ther business interests wh may be affected by the recmmendatins. With assistance frm the task frce, all administrative and enfrcement issues assciated with the permit prcess have been addressed and the prgram is perating smthly and successfully. The new traffic cntrl rdinance was apprved in late Traffic Cntrl Fee Structure This innvative technique was develped t revise the street clsure fee structure that includes ecnmic incentives t reduce negative impacts f the clsure. This traffic cntrl permit fee is in additin t a $50 applicatin fee fr the permit. If n traffic cntrl plan is prvided by the applicant, a minimum charge $ fr develping such a plan is als levied. The traffic cntrl permit fee frmula is described belw. The basic frmula adpted t determine the permit fee fr clsing the driving lanes f a rad is: The ADT (Average Daily Traffic) fr the designated classificatin f the rad is multiplied by the number f days fr the clsure f the street r part theref, multiplied by the detur distance in linear miles multiplied by the unit cst, multiplied by the specified factr fr directin f travel, multiplied by the specified factr fr driving lanes. The factrs used in the frmula are described belw. Factrs fr the Frmula Average Daily Traffic (ADT): The figures shwn belw fr the street classificatin, based n the city s majr street plan, are t be used in the frmula. If the applicant prvides traffic cunts btained under the supervisin f a prfessinal engineer, this data may be used in lieu f the values specified, if apprved by city staff. 7
8 Classificatin Expected ADT ADT t be Used Freeway At least 15,000 vehicles per day 15,000 vehicles per day Primary Arterials At least 10,000 vehicles per day 10,000 vehicles per day Secndary Arterials 5,000 t 10,000 vehicles per day 5,000 vehicles per day Other Streets Less than 5,000 vehicles per day 500 vehicles per day Detur Distance: (1) The distance f a lane clsure including appraches if nly a prtin f the public right-f-way is clsed s that traffic is diverted t different lanes in the same public right-f-way as determined by a traffic cntrl plan apprved by the directr f public wrks and (2) the distance f alternate rute as determined by a traffic cntrl plan apprved by the directr resulting frm a cmplete clsure f the public right-f-way. The minimum detur distance t be used t calculate the traffic cntrl permit fee shall be.0625 miles. Unit Cst (UC): Shall be ten cents per linear mile which shall be adjusted annually t the nearest cent by the directr t reflect the change in cnsumer price index published by the United States Department f Labr, Bureau f Labr Statistics. Directin f Travel: Fr a tw-way street, the factr fr each directin f travel shall be.50. Fr a ne-way street, the factr fr directin f travel shall be 1.0. Factrs fr Driving Lanes: The chart shwn belw is t be used t determine this factr. Ttal Number f Driving Lanes fr Directin f Travel Number f Driving Lanes Clsed fr Directin f Travel The fllwing is a listing f ther parameters used t calculate the ttal traffic cntrl permit fee. 8
9 Additinal Parameters If the lane clsure is pen t traffic during the peak perids and clsed nly during the hurs f 9 a.m. and 4 p.m., the traffic cntrl permit fee is reduced by 50 percent. If the lane clsures ccur nly during the hurs f 6 p.m. and 7 a.m. r n a Saturday, Sunday, r hliday nly, the traffic cntrl permit fee is reduced by 70 percent. The traffic cntrl permit fee fr the clsure f each alley within the blck is $1.50 per day r prtin theref. Turn lanes and lanes fr bus stps shall be treated as driving lanes. The lanes fr each directin f travel f the intersecting street are treated separately. The traffic cntrl permit fee fr the clsure f parking lanes with meters is $3.00 per meter per day r prtin theref, except fr Saturday, Sunday, and hlidays. The traffic cntrl permit fee fr the clsure f parking lanes withut meters is $.60 per day r prtin theref fr each 20 ft. f such right-f-way. A parking lane with designated hurs fr parking is cnsidered a driving lane if it is clsed during the hurs when parking is prhibited. The traffic cntrl permit fee fr the clsure f sidewalks r nn-radway area f public right-f-way is $.60 per day r prtin theref fr each 20 ft. increment. Examples f Fee Calculatin A few illustratins fr calculating traffic cntrl permit fees using the abve described frmula and assumptins are shwn belw. These examples attempt t explain many aspects f the prcedure described in the paper. Example 1: Clsure f ne lane f 10 th Street between McGee and Oak fr ten days Clsure will be 24 hurs per day and include clsure f sidewalk Existing cnditins: Three lane rad, ne-way street, 10 th Street is a secndary arterial, blck length = 330 ft. Traffic cntrl plan prvided 9
10 Apprach ADT = 100% ADT = 5,000 vehicles per day One lane clsure = 20% f apprach ADT = 1,000 vehicles per day Detur = 330 ft. Street clsure fee = 1,000 x 330/5,280 x $.10 = $6.25/day Sidewalk clsure fee = 330 ft. /20 ft. increments = 16.5 increments x $.60 = $9.90/day R/W clsure fee = ($ $9.90) x 10 days: $ Applicatin fee: $ Ttal clsure fee: $ Example 2: Clsure f residential street fr three days Clsure will nt clse sidewalk Existing cnditins: Tw lane radway, tw-way traffic, detur 3 blcks lng = 990 ft. N traffic cntrl plan prvided Apprach ADT = 50% ADT = 250 vehicles per day Tw appraches with lss f all apprach lanes = 2 x 250 vehicles per day = 500 vehicles per day Street clsure fee = 500 x 990/5,280 x $.10 = $9.38 per day R/W clsure fee = $9.38 x 3: $ Applicatin fee: $ Traffic cntrl plan fee: $ Ttal clsure fee: $ Example 3: Clsure f Little Blue Rad fr 38 days frm Nland Rad t Ess Rad Clsure will be 24 hurs per day Existing cnditins: tw lane radway, tw-way traffic, lcal cllectr, detur = 9 miles Traffic cntrl plan prvided Apprach ADT = 50% ADT = 250 vehicles per day Tw appraches with lss f all apprach lanes = 2 x 250 vehicles per day = 500 vehicles per day 10
11 Street clsure fee = 500 x 9 x $.10 = $450/day R/W clsure fee = ($450.00) (38): $17, Applicatin fee: $ Ttal clsure fee: $17, Revenues Generated FY 04 Permits Issued 5549 Traffic Cntrl $399, Annual Traffic Cntrl $ Ttal $475, FY 05 Permits Issued 6199 Traffic Cntrl $438, Annual Traffic Cntrl $ 72, Ttal $511, Other Permit Types In rder fr the City t cntrl the right-f-way we have ther permits which include annual traffic cntrl, versize lad, hauling, parade, lading zne, residential parking and blck party permits. These permits represent a small prtin f the ttal number f permit we issue each year. The annual traffic cntrl permits are nly issued t the franchised utility cmpanies and their spnsred cntractrs. The cst fr this permit is $ per vehicle per year. This allws the utilities r there cntractrs t clse lanes during nn peak hurs fr up t 3 days. Any lnger time requirement r wanting t keep a lane clsed during the peak hurs requires a separate traffic cntrl permit. Oversize lad permits are needed fr items larger than legal limits pertaining t height, width, length r weight. There fee is $ fr a single lad. We ffer 6 mnth permits fr business that have multiple lads fr $ Because f freight terminals lcated in Kansas City, we have triple unit permits fr thse vehicles cming in frm Kansas which is $ per year. Our hauling permit basically lets us knw the ruting f the debris hauling, s when cmplaints arise, the cntractr can be cntacted t clean up the mess. Parade permits are fr parades, runs and walks where smene wants t use the street t have their event. The cst f the parade permit is $ Lading znes allw fr deliveries t the frnt f the business. In the dwntwn area the cst is $ per ft per year and elsewhere the cst is $ 7.00 per ft per year. Residential Parking permits are issued in ne neighbrhd at this time 11
12 and the fee is $10.00 per vehicle per year. Blck Party permits are free and lcated nly n residential streets. Inspectin The inspectin f the excavatin and traffic cntrl permits is a key item in regulating the rightf-way. In the early 80 s the inspectin f excavatins and traffic cntrl were separated between tw departments. The excavatin inspectin staff included ne supervisr and three technicians. The traffic cntrl inspectin did nt have a dedicated staff but was additinal duties fr the technicians in the traffic cntrl sectin. These inspectrs have t cver 5900 lane miles f streets which makes up the City street system The audits in the 90 s allw the staff t be increased s that the numbers f inspectrs fr excavatins is 10 and 6 fr traffic cntrl. We have cmbined the tw grups f inspectrs and crss trained them t better utilize ur staff. This prvides 14 inspectrs n the street each day cvering a gegraphic area f the city. The inspectrs are charged t inspect the excavatin and traffic cntrl permits in their area and t identify the cntractrs ding wrk withut permits. The permit sftware used allws us t send ntices t the inspectrs t schedule the inspectins. With a mre systematic inspectin prcess ur jb f cntrlling the right-f-way will be easier. Cnclusins The street system represents a substantial investment f public funds. As a steward f the system, the City is bligated t prtect that investment. Lcal gvernments, in rder t fulfill their fiduciary and stewardship respnsibilities t the public, must nw find ways t effectively manage this public asset. Plans must be develped fr the rderly use f public right-f-way, as well as creating methds fr identifying and recvering public cst invlved with the prcess. The inspectins during the warranty perid will allw better Reference Perfrmance Audit, Public Wrks Department Utility Cuts Prgram, March 1994, by City Auditr s Office. City f Kansas City, Missuri Perfrmance Audit, Public Wrks Department Street Clsure Permit Activities, December 1994, by City Auditr s Office. City f Kansas City, Missuri Fllw up Audit, Public Wrks Department Street Cut Inspectin Prgram, March 1999, by City Auditr s Office, City f Kansas City, Missuri Pavement Evaluatin Reprt, Utility Cut Study, Prepared fr Kansas City, Missuri, by Terracn Cnsultants, Inc., Lenexa, Kansas 12
13 Addendum t Pavement Evaluatin Reprt, Utility Cut Study, Prepared fr Kansas City, Missuri, by Terracn Cnsultants, Inc., Lenexa, Kansas Meredith, Jere (2004) Innvative Street Clsure Ordinance, APWA Reprter, July, pg
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