Parks put Housing Size, Type at Center of Development Fee changes
Northern Wasco County Parks and Recreation Executive Director Scott Baker will provide a presentation to The Dalles City Council on Monday about its new sliding scale for housing development charges.
Parks eliminated its development fee for tiny homes - 500 square feet or less - in July. Previously the fee was $6,853.
By Tom Peterson
The Dalles, Ore., Sept. 10, 2026 — The cost of building a new home has changed significantly when it comes to park development fees, with Northern Wasco County Parks & Recreation District moving away from a flat charge for single-family homes to a sliding scale based on the size of the house.
The Dalles City Council meets at 5:30 p.m. Monday, Sept. 14, at City Hall, 313 Court St.
Parks District Executive Director Scott Baker is scheduled to present the district's new system development charge structure to The Dalles City Council, explaining changes that took effect July 1.
Baker’s presentation is informational. The City Council is not being asked to approve the rates, which were established by the Parks District.
The biggest change is how single-family housing is treated.
“Instead of charging every new home the same flat fee, the District will scale the charge to the size of the home, so that smaller homes pay a lower SDC and larger homes pay more. As a result, most single-family homes under roughly 1,800 square feet will see their SDC decrease under the new rates, while larger homes will see a modest increase,” according to a Parks press release included in the City Council packet.
Previously, a new single-family home faced a $6,853 park SDC regardless of its size. Under the new schedule, the charge ranges from zero for the smallest homes to slightly more than the old flat rate for larger houses.
SDC or Service Development Charges are a one-time fee issued against new construction for housing and provide the park district cash that can only be used for capital improvements or growing the park system for new users. In July, the district changed the fee structure, greatly reducing the cost for homes under 1,800 square feet while increasing it for multi-family - housing that feature two or more housing units.
A home of 500 square feet or less now pays $0. The charge for a home from 501 to 1,000 square feet was dropped $1,880 to $4,973, while a home from 1,001 to 1,800 square feet dropped $690 to $6,163.
The rate, however, rises to $6,936 for a home between 1,801 and 2,500 square feet and $7,045 for homes larger than 2,500 square feet.
System development charges have long been a point of contention in the housing debate. Builders and some community leaders argue the fees increase the cost of producing housing and are ultimately reflected in what buyers or renters pay, adding another hurdle in a market already beyond the financial reach of many working-class households.
The district's new sliding scale addresses one side of that affordability argument by substantially reducing park SDCs on smaller single-family homes.
Multifamily housing, however, moved in the opposite direction
These duplexes on West 16th Street were charged a parks system development charge per unit, so the fee is 4 times. Under the new fee schedule, this project would pay $19, 452 in system development charges to Parks to help build capacity in the park system for additional residents.
The district increased its multifamily park SDC from $4,731 to $4,863 per dwelling unit. A new duplex, for example, now carries $9,726 in park SDCs, $264 more than under the previous rate.
That distinction highlights a persistent tension in the affordable-housing debate. Reducing fees on smaller homes lowers one of the upfront costs of producing more modestly priced housing. Increasing the per-unit charge on apartments and other multifamily development adds to the cost of producing rental housing — costs developers may seek to recover through rents or the economics of the overall project.
Baker argues SDCs serve another purpose: making sure growth helps pay for the additional public infrastructure it requires rather than shifting those costs onto existing residents.
As new homes and businesses are built, they create additional demand on public infrastructure. SDCs require new development to contribute toward the capital improvements needed to accommodate that growth rather than placing those costs on existing residents through higher taxes or utility rates.
The Parks District describes that approach as “growth pays for growth.” Park SDC revenue is used for capital improvements rather than the district's day-to-day operations or maintenance.
The result leaves policymakers with a difficult balancing act: Lower development charges can make housing less expensive to build, but somebody still has to pay for the parks and infrastructure needed to serve the people who eventually live there.
SDC’s for Lodging Increase
Lodging is assessed separately at $2,818 per room, up $77 from the previous $2,741 rate. The increases for multifamily housing and lodging reflect a 2.8% construction-cost adjustment.
Grant for Mill Creek Bridge on Sixth Street
Councilors will also consider supporting a grant application for up to $165,000 from Business Oregon's Regional Infrastructure Fund for engineering and planning work on the West Sixth Street/Mill Creek Bridge.
The bridge, built in 1920, has undergone multiple reductions in its load rating as it has deteriorated. The proposed $220,000 planning project would examine the structure's condition and determine options for rehabilitation or replacement, along with conceptual designs, environmental and historic-preservation requirements, potential pedestrian and bicycle improvements and future Mill Creek Trail connectivity.
The grant would cover up to 75% of the planning cost. The work is already included in the city's fiscal year 2026-27 plan and budget.
Transient Lodging Tax Collections
Councilors will also consider turning administration of the city's 8% transient lodging tax over to the Oregon Department of Revenue beginning Oct. 1. The city's tax rate would not change, but lodging operators would file and pay the city tax through the state rather than separately through the city.
Under the agreement, the state could initially withhold 4% of local lodging taxes collected to cover administrative costs, with the amount reconciled annually against DOR's actual expenses. City distributions would also move from monthly to quarterly.
Franchise for Charter
Another item would grant Spectrum Pacific West LLC, locally known as Charter Communications, a new 10-year nonexclusive cable television franchise in The Dalles. Charter would continue paying the city 5% of its qualifying cable-service gross revenues. Internet and other non-cable revenues are excluded from the franchise fee.
The existing franchise expires Sept. 28. Staff is recommending an emergency clause allowing the new ordinance to take effect immediately upon passage to avoid a gap between agreements.
Holiday Pay, Municipal Judge Salary
Council will also consider extending the city's recognition of Indigenous Peoples' Day as a paid holiday across employee groups and approving an 8.2% salary increase for Municipal Judge Jason R. Corey, raising his annual compensation from $23,018.80 to $24,906.34. Both costs are covered within the city's existing budget.
