Too many students. Not enough space. So, construction in Yorkville is about to become more expensive

Residential developments could be delayed while new higher fees implemented

Buses arrive and let off the students on the first day of school at Grande Reserve Elementary in Yorkville on Thursday, Aug. 24, 2023.

The Yorkville School District 115 needs help from the city. It has too many kids and not enough space. With the population growth in the community far outpacing investment in classroom spaces, the district’s financial pocketbook cannot keep up. To remedy the imbalance, construction fees for residential developments throughout the city are about to become more expensive.

City officials are considering increasing transition fees developers pay to the school district to a higher temporary rate, in anticipation of the school district recommending far larger future increases. City council will vote to approve the increases at their March 11 meeting.

While the temporary increase from $3,000 to $5,000 per home may seem small, for townhome developers like the 1115, LLC development at the former-Parfection Park site, also known as Fox Haven, with 105 dwelling units in 18 townhome buildings, their $471,000 impact fee bill would jump to around $785,000.

Fox Haven, a proposed town home development with 18 buildings and 105 dwelling units, will be located at 115 South Bridge Street if the project receives city approval.

The school district is expected to request the city to approve an updated transition fee in the $8,000 to $10,000 per home range following an analysis conducted in late April or early May, according to city documents.

The city said the increased transition fees would be applied to all residential subdivisions that do not have a current fee lock.

“The city has two new residential subdivisions up for consideration, and these subdivision approvals could be delayed until the school’s transition fee analysis is completed,” said City Administrator Bart Olson in city documents.

Transition fees, are impact fees designed to offset the costs of student enrollment growth spurred by new residential developments. They help cover lags between new students using district resources before their household pays their first property bills.

“The school district is in the middle of finalizing an analysis and recommendation to significantly increase those transition fees to reflect 2025 financial impacts of property tax timing, the cost of providing an education to each student, and the school district’s capital needs,” Olson said in city documents.

The city’s transition fee has not been adjusted since 2002, when it was raised from $1,500 to $3,000 per home. Freezing the fees helped turn Yorkville into a builder’s paradise, with the population exploding from 6,000 in 2000 to more than 25,000 currently.

Capacity issues at the school district have become so severe, the district is currently installing temporary “pole barn classrooms” outside of three elementary schools, to provide students 12 extra classrooms at the expense of $3 million.

The district also recently purchased more than 100-acres for $2 million to provide extra space to potentially build additional classrooms, an athletic field house, or a performing arts center.

However, to fully upgrade the school district’s infrastructure and capacity space, a public referendum will be likely, requesting community taxpayers to pay higher rates to support the needed construction.

In the meantime, the school district has voiced their opposition to recent subdivision and townhome development proposals, arguing to city officials that the school district cannot afford any more students. This included, Kreg Wesley, the school district’s assistant superintendent of business services, cautioning city officials against the 1115, LLC townhome development at the former-Parfection Park site, arguing it would exacerbate the district’s capacity troubles.

To avoid delaying the project and risk paying the higher fees later, the current developers of the 1115, LLC project are likely to agree to the city’s proposal of a $5,000 per home transition fee, according to city documents.

It is not yet clear if other townhome and subdivision developers in the city will also agree to the temporary city-recommended increase or wait for the completion of the school district’s analysis and new fees.