Las Vegas Sun

March 29, 2024

Developers must predict impact on services

The County Commission will require all major projects in the future to submit a financial analysis of the project's impact on public services before final approval.

The first company to provide the fiscal impact study will be the Olympic Group, based in Scottsdale, Ariz. Olympic is a major player in the federal land exchange business. The commission imposed that requirement on the company Wednesday as a condition of its conceptual plan for a 1,700-acre development on former federal land along the southern edge of the valley.

"Before we make a final decision they're going to have to provide a fiscal impact analysis to show the deficits that exist in services, and use that document as a means to negotiate who's going to pay for what," Commission Chairwoman Yvonne Atkinson Gates said. "If a deficit exists in services, then somebody has to pay."

The commission agreed that fiscal impact studies be mandatory for all major developments and projects that put a strain on public services.

"I agree that this fiscal impact analysis should be an essential condition here," said Commissioner Bruce Woodbury, noting the county is facing a severe infrastructure financing deficit. "On prior projects I couldn't even support the concept plan without that information."

The idea came to Gates as she was considering how she would vote on the project's concept plan, she said. The concept plan is the first step in the county's major projects review process, and is used to identify issues and concerns of the developer and county staff, and ways to resolve those issues.

"I was really torn about moving forward on even allowing us to enter into negotiations on this project," Gates said. "I was uneasy, because there was much discussion on infrastructure and how to pay for it."

After discussing her concerns with county planners, Gates said it occurred to her that the fiscal impact study was missing from the major projects review.

Most commissioners agreed a fiscal impact study would help, but that it couldn't be started until the concept plan review was begun and the county and developer started discussing the issues raised by the project.

"I don't know how you can determine fiscal impact until you have a land-use plan," Commissioner Mary Kincaid said. "But obviously, if you don't have that then you don't approve any zoning."

Olympic Group President Garry Goett said he recognized the value of the impact study.

"This is the blueprint for doing development here in the valley for the future, when responsible growth pays for growth," Goett said. "The fiscal impact study is going to be positive in addressing issues commissioners would have with regard to a project like this."

The Olympic Group has entered a joint venture with the Collins Bros. to build Olympic Hills, a master-planned community on 1,700 acres from Cactus Avenue south to Lake Mead Drive, and Interstate 15 west to Jones Blvd.

Most of the property came out of a recently completed swap with the Bureau of Land Management valued at $42 million. In exchange for 174 acres of pristine wilderness, the BLM gave Olympic 2,326 acres in the southern Las Vegas Valley and Blue Diamond.

Plans for the Blue Diamond property have not been developed yet, Goett said.

The Olympic Group has had other joint ventures with local contractors, but this is its first foray into large residential community development.

The preliminary plans for Olympic Hills calls for 1,200 acres of low- to medium-density residential development, a 200-acre golf course, several hundred acres of business parks and industrial centers, parks, schools and a 20-acre gaming district.

The company has already agreed to spend over $150 million in public service improvements, said Chris Kaempfer, an attorney for Olympic. Those improvements include upgrading the I-15/Lake Mead interchange, donating land for parks and schools, building a flood detention basin and other improvements, he said.

archive