What are System Development Charges?
System development charges (SDCs) are fees that are collected when new development occurs in the city and are used to fund a portion of new streets, sanitary sewers, parks and water. These fees are necessary to provide adequate funding for growth-related capital improvements vital to maintaining the city's level of service in transportation, water and sewer and Bend Metropolitan Parks & Recreation's service in the city parks. (Reference: ORS 223.297 to 223.314)
How are System Development Charges calculated?
Water, sewer and transportation SDCs are charged on new commercial, industrial, professional and residential development as development adds a higher use to the system. Sewer and water fees are based on a fee established for one residential unit. This fee is called an equivalent dwelling unit (EDU). The fee resolution sets the amount for an equivalent dwelling unit. The transportation SDCs are based on a trip rate from the Institute for Transportation Engineers (ITE) Manual. Please note that shell buildings will be charged based upon an estimated use and will be reviewed with each tenant improvement.