Vision SMTX Appendix Adopted 2024

Economic & Planning Systems, Inc.

APPENDIX C: KEY FINDINGS FROM FISCAL IMPACT ANALYSIS

Static Model Approach For this analysis, EPS utilized a static approach to modeling future revenues and costs. This means that we did not use growth or escalation rates for revenues or costs, and estimated impacts in constant dollars. The static model approach is preferred for several reasons. First, identifying reliable and accurate growth or escalation numbers for major revenue sources and expenditure items is difficult and may not accurately project likely future conditions. Second, variations in growth or escalations - even minor ones - can cause major differences in costs and revenues that may misrepresent fiscal impacts. Third, cities plan for the long term. Development that is built and at stabilized occupancy has long term fiscal impacts best modeled, in our opinion, in the static end state.

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SAN MARCOS COMPREHENSIVE PLAN 2024

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