Boulder County Transferable Development Credits (TDC) Clearinghouse

TDC Policy Frequently Asked Questions

	WHAT is the Expanded TDR Program or TDC Program?
	WHY did the Commissioners adopt these regulations?
	WHAT are Development Credits, also known as TDCs?
	WHAT is the County-wide size threshold?
	WHY not use lot size to determine the appropriate size house?
	WHO will be required to comply with these new regulations?

For more information
on the TDC Clearinghouse
please contact:

Ruth Cornfeld Becker, LLC
1942 Broadway • Suite 314
Boulder, CO 80302
Phone: 303-554-6150
Fax: 720-304-0020

WHAT is the Expanded TDR Program or TDC Program?

The Expanded TDR Program including Structure Size Thresholds (also known as the Transferable Development Credit Program or TDC Program) requires the purchase of development credits to build houses over a specific threshold size and allows the owners of small houses and vacant land to sell development credits. There is no maximum house size limitation included in this program.

WHY did the Commissioners adopt these regulations?

The TDC Program implements the goals and policies included in the Sustainability Element of the Boulder County Comprehensive Plan. During 2005 and 2006, the Land Use Department held numerous public meetings and hearings to discuss the Boulder County Land Use Code. During that time, staff and the Commissioners heard from residents in the County that they are deeply concerned with the trend in large-scale development in areas that previously have sustained modest houses that fit with the landscape. The concern is about the increasing use of resources to build larger homes, the impacts of this development on the environment and watersheds, and the negative impact to the rural neighborhood character of their local area. In the past ten years, there has been a steady increase in the size of homes being built on vacant properties as well as the replacement of smaller existing homes with larger homes. The TDC Program allows for larger homes to be built, as there is not a limit on house size, but requires that the impacts of those homes be offset through the preservation of either vacant land or smaller homes. The preservation of smaller homes also preserves a diversity of housing stock, which is another goal of the Comprehensive Plan.

WHAT are Development Credits, also known as TDCs?

A development credit, or TDC, is a measure of square footage, which must be bought to allow the construction of residential square footage above the defined Size Threshold, and may be sold to preserve vacant land and smaller scale development.

WHAT is the County-wide size threshold?

The County-wide size threshold is 6,000 square feet. This threshold is a measure of total residential floor area and includes houses, garages, basements, and residential accessory structures, but does not include covered porches.

WHY not use lot size to determine the appropriate size house?

In the unincorporated areas of Boulder County, we have many shapes and sizes of lots with varied topography. Unlike a city, or any other area with more regular lot configurations, there is not always a correlation between the size of the lot and the impact of the development on that lot. For example, someone may have a very large lot – tens of acres – that is either extremely visible from public roads and trails, is covered by significant environmental resources like wetlands or wildlife habitat, or is extremely steep. Allowing a large house on that lot would have significant negative impacts on both the land and the surrounding area. On the other hand, a much smaller lot that is not visible or does not have associated environmental resources would be appropriate for a larger home. Adopting size allowances based on lot size alone, without regard to the specific characteristics of the particular lot, would unfairly penalize some property owners and would allow impacting development on other property.

WHO will be required to comply with these new regulations?

Any residential development, which does not meet any of the exemptions included in the regulations, and is larger in size than the threshold, will have to purchase TDCs depending on the size of the residential development.

WILL the County control the transfer of credits from one property owner to another?

Development credits (TDCs) may be purchased either from the TDC Clearinghouse, which is run by a third party, or through private market transactions between buyers and sellers. The function of the TDC Clearinghouse is to sell credits to individuals who want to deal directly with the County, to register private transactions and to provide the necessary documentation to facilitate these transfers. The County may buy TDCs at some point in the future, depending on market conditions. There will be choices and options for sellers and buyers alike.

WHAT was the September 7, 2007 deadline?

Under the regulations, there are several “safe harbors” which outline the types of applications that will not be subject to these new regulations; one of these is complete SPR applications received on or before 9/7/07. In order to allow for applicants who had begun work on their SPR application prior to consideration of these regulations, any complete SPR application submitted by 9/7/07 will not be subject to these new regulations regardless of when the home is built, so long as the SPR approval does not expire.

WHAT are the other safe harbors?

Approvals that have vested rights under state statute will be exempt until their vested rights expire plus an additional three-year exemption period. In addition, projects approved with a specific house size associated with that approval and developments which have a complete building permit submitted prior to the effective date of the regulations (August 8, 2008) or a complete site plan review application submitted by September 7, 2007 are subject to specific exemptions from the regulations. Development in an approved TDR/PUD subdivision is subject to a size threshold of 9,000 square feet of residential floor area.

HOW will this program impact the current Site Plan Review process?

Site Plan Review will still be required for new homes or homes with additions in excess of either 1,000 square feet or that will have a total square footage greater than 125% of the median size in the defined neighborhood. Under the TDC regulations, property owners could apply through Site Plan Review for whatever house they would like to build, just as they do today. That proposal will be evaluated based on the criteria included in the Land Use Code. These criteria will include an analysis of neighborhood compatibility with the neighborhood being defined as either a subdivision with more than seven lots, the mapped townsites of Allenspark, Eldora, Eldorado Springs, Gold Hill, Raymond and Riverside, or the area within 1500 feet of the subject property. If a home above the appropriate threshold were approved through Site Plan Review, the property owner would then have to obtain the required number of development credits to build that home.

WHY doesn’t the County just enact a green building program if there is a concern about the impact of larger homes?

BuildSmart, the Boulder County green building program was enacted this spring and became effective on May 1, 2008. BuildSmart will require mandatory measures regarding deconstruction of existing structures, recycling and reuse of construction waste, energy efficiency and conservation, carbon emissions, and indoor water conservation. Those requirements will address the ongoing effects of larger homes in terms of energy use, but BuildSmart does not address the use of materials and resources to build larger homes, or the effect of larger homes on the character of neighborhoods.

WHEN was this program enacted?

The Commissioners took final action on the program on June 12, 2008, and the program went into effect on August 8, 2008.