WILLOW GROVE PARK
Transcript of WILLOW GROVE PARK
EXISTING TAX BASEMALL ONLY
County $492,171
MCCC $407,291
Township $657,383
School $4,433,984
TOTAL $5,990,829
Current Taxes Per Montgomery County Website.
INCREMENTAL NEW TAXESMULTIFAMILY PROJECT
County $120,000
MCCC $10,000
Township $160,000
School $1,100,000
TOTAL $1,390,000
Stabilized estimate
Source: Third party real estate tax study provider, RYAN
NET ECOMONIC IMPACT OF MULTIFAMILY ADDITION
Subtotals Totals
Revenue $331,000
Property Tax $160,000
Earned Income Tax (1) $139,000
Local Service Tax (2) $32,000
Expenses ($168,000)
Administration ($33,000)
Police ($102,000)
Fire ($33,000)
Net Change $163,000
TOWNSHIP
Subtotals Totals
Revenue $1,239,000
Property Tax $1,100,000
Earned Income Tax (1) $139,000
Expenses (3) ($187,000)
Net Change $1,052,000
SCHOOL DISTRICT
1.) 287 new fully employed residents (Estimate from EconSult Report) with estimated income is $94K. 16 Property Mgmt Employees with avg. salary of $50,000
2.) 595 FTE Jobs Created contributing $52/Yr. Plus $1,000 from New Residents
3.) Estimated cost of $13,500 per student and estimated 14 additional new school children (per EconSult Report
ESTIMATED ONE TIME PROJECT FEES PAID TO TOWNSHIPAssumption Fee
Transfer Taxes - Initial 1% of land sales price$153,000
Impact Fees $6,000 per door$2,190,000
Building Permit and Application Fees
New Construction – Residential and
Institutional Uses Permit Fee
Per Abington Township Permit Fee Schedule:
440,600 SF * $180
$80,000
Impervious Coverage Permit Fee
Per Abington Township Permit Fee Schedule:
$50 for up to 250 SF and $10 for each additional 100 SF or fraction
thereof
$50,000
Plan Review Fee Fee for Commercial Zones$250
Swimming Pool Permit $100K pool + $25k decking/equipment = $125k*$35/1,000$5,000
Building Permit Fees
Remainder of the above permit fees using 1% of the total FMV with an
equalization rate of 2.24, which is $78,176,000 from Angelides Report
$650,000
Trade Permits Per Harkins, $1,800 per unit in 2017/2018$660,000
Work License Fee
Per Harkins, 75% of subcontractors will have to renew/apply for the license
fee; $5,000-$7,500$10,000
$3,798,250
ABSENT REINVESTMENT, THE ASSET VALUE WILL DETERIORATE
20% 30% 40% 50% 60%
County (98,434) (147,651) (196,868) (246,086) (295,303)
MCC (81,458) (122,187) (162,916) (203,646) (244,375)
Township (131,477) (197,215) (262,953) (328,692) (394,430)
School (886,797) (1,330,195) (1,773,594) (2,216,992) (2,660,390)
TOTAL (1,198,166) (1,797,249) (2,396,332) (2,995,415) (3,594,497)
*Assumes total project assessment reduced by the % in the header column above
ESTIMATED IMPACT OF REDUCTION IN TAX REVENUE
SCHOOL AGED CHILDRENBelow are three potential methods for calculating the impact on schools of new multifamily housing developments:
ESI RUTGERS NAHB
Apartment Type Count
(365 Total)
Public School
Students
All Students HHI >$100K HHI $50K-
$100K
All Residents Recent Movers
Studio/1BR 165 0 0 2 3
2 BR 182 14 21 16 24
3 BR 18 0 3 4 3
Total Children 14 24 23 30 26 15
ESI RUTGERS NAHB
Apartment Type Count
(365 Total)
Public School
Students
All Students HHI
>$100K
HHI $50K-
$100K
All Residents Recent Movers
Studio/1BR 165 0.000 0.000 0.013 0.016
2 BR 182 0.078 0.114 0.089 0.134
3 BR 18 0.000 0.189 0.239 0.176
Total 0.071 0.040
•ESI calculated the number of new public school Children. This number does not include other school age children who do not attend public school. ESI calculated 14 public school children.
• ESI also calculated the number of school age children, regardless of where the children went to school. ESI calculated 24 school age children.
• The Rutgers study and the National Association of Home Builders study both report the number of school age children, regardless of where the children went to school. The Rutgers study implies 23-30 school age children. The NAHB study implies 15-26 school age children for the Bel Canto development.
• The ESI number of school age children is consistent with both the Rutgers study and the NAHB study, which gives credibility to the method and estimates. In other words, the ESI number of 24 is between the 23-30 from the Rutgers study and between the 15-26 from the NAHB study.
• The relevant analysis is how many public school children will there be. The ESI analysis is the only one that calculates that number.
• Therefore 14 public school children is the appropriate number to use.
SUPPORT FOR CALCULATION METHODOLOGY