Chapter 3.28
DEVELOPMENT IMPACT FEES
Sections:
3.28.040 Establishment of development impact fees.
3.28.050 Calculation and payment of development impact fees.
3.28.060 Exemptions, credits and adjustments.
3.28.070 Refund of development impact fees.
3.28.080 Annual findings and reporting.
3.28.090 Fee monitoring and update.
3.28.010 Authority.
The ordinance codified in this chapter is enacted pursuant to Government Code Sections 66000 and following. (Ord. 704 § 4 (Exh. A), 2014).
3.28.020 Application.
A. It is intended that every person who develops or redevelops land in the City pay development impact fees established by this chapter in an amount equal to the fees in effect at the time that an applicant submits a complete building permit application for such development.
B. Except as specifically provided herein, this chapter does not replace subdivision map exactions or other measures and exactions required to mitigate site-specific impacts of a development project; other regulatory, development and processing fees; school impact fees; utility demand fees and connection charges; funding required pursuant to a development agreement; funds collected pursuant to a reimbursement agreement for amounts that may exceed a development’s share of public improvement costs; assessment district proceedings; benefit assessments; property taxes or fees required under Chapter 3.20 CMC (Excise Tax); CMC 13.18.020 (Water rates and charges) and 13.18.030 (Wastewater rates and charges); and CMC 17.08.040 (Affordable housing requirements – Nonresidential development) and 17.36.110 (In-lieu parking).
C. No developer, property owner or other person or entity shall be eligible to receive a building permit unless such developer, property owner or other person or entity has first complied with all applicable provisions of this chapter. The requirements of this chapter shall be imposed prior to the issuance of each building permit. (Ord. 709 § 3, 2015; Ord. 704 § 4 (Exh. A), 2014).
3.28.030 Definitions.
The following terms shall have the following meanings as used in this chapter:
A. “Applicant” means the person(s) or legal entity or entities, who may also be the property owner, who is applying for a building permit.
B. “City” means the City of Calistoga, including its future boundaries.
C. “Director” or “Planning and Building Director” means the Director of the Planning and Building Department and any person(s) within the Department designated by the Director to exercise or carry out any of the Director’s powers, authority and responsibilities under this chapter.
D. “Development impact fee study” and “study” mean the development impact fee study prepared by Economic and Planning Systems, Inc., and W-Trans, Inc., dated September 2014 and numbered EPS No. 131015, and any amendments, additions, and updates to said study, all of which are deemed included in such definitions as used in this chapter, which is on file with the Planning and Building Department and the City Clerk.
E. “Development impact fee” means a fee charged in connection with the issuance of a building permit to defray the cost of certain public facilities and equipment required to serve new development within the City of Calistoga.
F. “Capital facilities and equipment” means the capital facilities and equipment identified in the study that may be funded by development impact fees. (Ord. 704 § 4 (Exh. A), 2014).
3.28.040 Establishment of development impact fees.
A. Except as otherwise provided in this chapter, an applicant for a building permit shall pay the following fees according and pursuant to the procedures set forth in this chapter:
1. Police Development Impact Fee.
a. Purpose. Police development impact fees are intended to cover new development’s share of the costs associated with the replacement of the Calistoga Police Department’s capital equipment. Each new development project will add to the incremental use of existing police equipment and vehicles. The existing set of equipment and vehicles will require more frequent replacement due to the greater use levels associated with new development (and associated service population) in the City. The Police Development impact fee will help ensure adequate replacement intervals for department equipment and vehicles.
b. Use of Fee. Fee revenue will be used to replace capital equipment, including patrol vehicles, protective equipment and communications technology, after a period of use.
c. Proportionality. The replacement costs of equipment are allocated proportionately between new and existing development based on their relative share of demand. Replacement costs associated with new development are similarly allocated between land uses proportional to their relative generation of demand, as measured by service population.
d. Police Development Impact Fee Fund. There is established and created a fund of the City entitled “Police Development Impact Fee Fund” and all revenues derived from and moneys collected under this section, including accrued interest thereon, shall be deposited in such fund. The Police Development Impact Fee Fund is established for the sole purpose of providing moneys for the replacement of capital equipment needed for the Calistoga Police Department in providing police services.
2. Fire Development Impact Fee.
a. Purpose. Fire development impact fees are intended to cover new development’s share of the costs associated with the replacement of the Calistoga Fire Department’s capital equipment. Each new development project will add to the incremental use of existing department equipment and vehicles. The existing set of equipment and vehicles will require more frequent replacement due to the greater use levels associated with new development (and associated service population) in the City. The Fire Development impact fee will help ensure adequate replacement intervals for equipment and vehicles.
b. Use of Fee. Fee revenue will be used to replace department capital equipment, such as fire vehicles, protective equipment and communications technology, after a period of use.
c. Proportionality. The replacement costs of equipment are allocated proportionately between new and existing development based on their relative share of demand. Replacement costs associated with new development are similarly allocated between land uses proportional to their relative generation of demand, as measured by service population.
d. Fire Development Impact Fee Fund. There is established and created a fund of the City entitled “Fire Development Impact Fee Fund” and all revenues derived from and moneys collected under this section, including accrued interest thereon, shall be deposited in such fund. The Fire Development Impact Fee Fund is established for the sole purpose of providing moneys for the replacement of capital equipment needed for the Calistoga Fire Department in providing fire services.
3. Cultural/Recreational Development Impact Fee.
a. Purpose. Cultural/recreational development impact fees are intended to cover the costs associated with new cultural and recreational facilities required to serve future growth in Calistoga. New development will add to the incremental need for cultural and recreational facilities.
b. Use of Fee. Fee revenue will contribute funding towards cultural and recreational facilities.
c. Proportionality. The cultural and recreational facilities and costs allocated to new development are based on the ratio between capital facilities (parkland and cultural/recreation facilities) and service population existing at the time the City of Calistoga development impact fee study was prepared. The scale of the capital facilities and associated costs are directly proportional to the expected levels of new development. As a result, the costs of these facilities are applied to new development based on the existing service standard for modified service population. This standard is primarily based on population but also captures employee and visitor demand.
d. Cultural/Recreational Development Impact Fee Fund. There is established and created a fund of the City entitled “Cultural/Recreational Development Impact Fee Fund” and all revenues derived from and moneys collected under this section, including accrued interest thereon, shall be deposited in such fund. The Cultural/Recreational Development Impact Fee Fund is established for the sole purpose of providing moneys for the development of cultural and recreational facilities.
4. City Administrative Facilities Development Impact Fee.
a. Purpose. City administrative facilities development impact fees are intended to help maintain adequate levels of City administrative facilities services in Calistoga, including adequate City Hall and community center space as well as associated land needs.
b. Use of Fee. Fee revenue will be used to help fund land acquisition and construction of a new City Hall and community center.
c. Proportionality. The cost of new City administrative capital facilities is allocated proportionately between new and existing development based on their relative share of demand (as measured by their relative share of service population) over a 20-year period. The cost share associated with new development is similarly allocated between land uses proportional to their relative generation of demand, as measured by service population.
d. City Administrative Facilities Development Impact Fee Fund. There is established and created a fund of the City entitled “City Administrative Facilities Development Impact Fee Fund” and all revenues derived from and moneys collected under this section, including accrued interest thereon, shall be deposited in such fund. The City Administrative Facilities Development Impact Fee Fund is established for the sole purpose of providing moneys for land acquisition and construction of a new City Hall and community center.
5. Transportation Development Impact Fee.
a. Purpose. Transportation development impact fees are intended to cover new development’s share of the costs associated with providing infrastructure improvements necessary to accommodate the increase in traffic and bicycle-associated improvements associated with new development.
b. Use of Fee. Fee revenue will be used to help fund infrastructure improvements needed to maintain acceptable traffic operation and provide adequate access for users of alternative modes.
c. Proportionality. The cost of infrastructure improvements is allocated proportionately to p.m. trips that would be generated by new development. The cost share associated with new development is based on the allocation that assigns a majority of the total cost to existing residents through other funding sources, many of which are funded through local taxes.
d. Transportation Development Impact Fee Fund. There is established and created a fund of the City entitled “Transportation Development Impact Fee Fund” and all revenues derived from and moneys collected under this section, including accrued interest thereon, shall be deposited in such fund. The Transportation Development Impact Fee Fund is established for the sole purpose of providing moneys for vehicular capacity and pedestrian and bicycle improvements.
B. The amount of each development impact fee shall be as established by resolution of the City Council. (Ord. 704 § 4 (Exh. A), 2014).
3.28.050 Calculation and payment of development impact fees.
A. Calculation of Development Impact Fees. The amount of each development impact fee assessed on an applicant for a building permit shall be calculated based on the fee schedule in effect at the time of issuance of the building permit.
B. Time for Payment of Development Impact Fees. All development impact fees assessed on an applicant shall be paid by the applicant at the time of issuance of the building permit, except in the case of residential development, when the payment of such fees may be deferred until the date of the final inspection, or the date the certificate of occupancy is issued, whichever occurs first, pursuant to Government Code Section 66007.
C. When a project will include both residential and nonresidential uses, the Director shall determine the development impact fee amounts by applying to each use the applicable fee for that individual use, and add the totals of fees applicable to all of the uses within the project. (Ord. 704 § 4 (Exh. A), 2014).
3.28.060 Exemptions, credits and adjustments.
A. Exemptions. The following are exempt from the requirement to pay development impact fees:
1. The demolition of one existing residential structure and the building of one new residential structure on the same site where any additional living area is 400 square feet or less and no additional dwelling units are created, provided the demolished structure was in use as a residential dwelling within two years prior to the issuance of the building permit for the new residential structure.
2. The alteration, remodeling or reconstruction of a nonresidential structure that does not increase the gross floor area above what was in existence and in use on the effective date of this chapter, nor change the type of use to one with higher development impact fees per the adopted fee schedule.
B. Credits.
1. Where a building permit involves a change of use to one with higher development impact fees per the adopted fee schedule, credit shall be given against the obligation to pay development impact fees for the existing use of the space or structure.
2. The Director may grant in favor of an applicant subject to the requirements of this chapter a credit against the obligation to pay development impact fees for a building permit that involves the demolition of an existing structure and the construction of a new structure. The applicant shall be entitled to a credit in the amount of the applicable development impact fees for the structure to be demolished; provided, that such structure has been in use in the past two years; and provided, that no development impact fee shall be reduced below $0.00.
C. Adjustments. An applicant may apply to the Planning and Building Director for an adjustment to one or more of the development impact fees assessed pursuant to this chapter. The following procedure shall be used to consider such an application:
1. The adjustment application shall be in writing and filed with the Director no later than 10 days before submittal of the building permit application. The application shall state in detail the factual and legal basis for the requested adjustment(s). The applicant bears the burden of proof in presenting substantial evidence to support the application. The applicant must present evidence, in the form of technical information, to show that a development impact fee, or the amount of a development impact fee, is inappropriate for the particular development, which evidence shall be comparable in detail to the technical information found in the development impact fee study.
2. The Director shall consider the following factors to determine whether or not to approve any adjustment to a development impact fee:
a. The characteristics of the development project which is the subject of this review procedure;
b. The appropriate land use category for the development project which is the subject of this review procedure;
c. The relationships between:
i. The purpose of the development impact fee and the nature of the project; and
ii. The need for the public facilities funded by the development impact fee and the nature of the project.
d. Whether the development impact fee is reasonably related in extent to the likely impacts of the development project.
3. The Director is authorized to reduce the amount of a development impact fee based upon the determination made pursuant to this section.
4. The decision of the Director shall be appealable to the City Manager according to the following procedure.
5. A person appealing a decision of the Director made pursuant to this section (the “appellant”) shall file a written appeal with the City Manager, stating the factual and legal basis of the appeal, within 10 calendar days following the decision of the Director. A person seeking judicial review shall first seek an appeal hearing under this section.
a. The City Manager, or a hearing officer appointed by the City Manager, shall set the time and place for the hearing, provide notice of the hearing as required by the California Government Code, notify the appellant and any other relevant parties, conduct the appeal hearing, prepare written findings of fact and a written decision on the matter, and shall preserve the complete administrative record of the proceeding.
b. In making the decision to affirm or adjust the development impact fee(s), the hearing officer shall consider relevant evidence presented by the appellant and by the Director and shall consider the factors listed in subsection (C)(2) of this section.
c. The decision of the City Manager shall be the final decision of the City.
d. This section provides an administrative remedy that must be exhausted prior to compliance with the procedure provided in Government Code Sections 66020 and 66021. (Ord. 704 § 4 (Exh. A), 2014).
3.28.070 Refund of development impact fees.
A. If a building permit expires, is canceled, or is voided without the permitted construction thereunder having occurred, and any development impact fees paid pursuant to this chapter have not been expended, the Director shall, upon the written request of the applicant, order the refund of all development impact fees paid by the applicant.
B. A written refund request shall only be honored if actually received by the Director within a period of one year from the date of the expiration, cancellation, or voiding of the building permit(s) for which the development impact fees were paid. Following the expiration of the one-year period, no refunds shall be granted on the basis of expired, cancelled or voided permits or approvals. If a partial refund is granted under the provisions of this section, the property involved shall be credited with the amount paid but not refunded against any similar development impact fees due for the same or subsequent use.
C. During the annual review of the development impact fees pursuant to CMC 3.28.080, the City Council shall make the findings required by Government Code Section 60001 (or any successor statute) with respect to any development impact fee revenue not expended five years or more after it was paid. If the City Council cannot make the required findings, it shall authorize a refund of the unexpended development impact fee revenue to the then current record owner of the property for which the development impact fee was paid, or otherwise allocate the unexpended revenues, as provided in Government Code Section 66001 (or any successor statute). (Ord. 704 § 4 (Exh. A), 2014).
3.28.080 Annual findings and reporting.
A. Each year, on or before July 1st, the City Council shall make the findings described in Government Code Section 66001(d)(1) for unexpended development impact fees collected pursuant to this chapter.
B. In accordance with State law (at Govt. Code Sections 66001(c) and 66006(b)(1)), the City’s Administrative Services Department shall make the following information available to the public annually within 180 days of the last day of the fiscal year:
1. A description of the type of fee in the account;
2. The amount of the fee;
3. The beginning and ending balance of the fund;
4. The amount of fees collected and interest earned;
5. Identification of the improvements constructed;
6. The total cost of the improvements constructed;
7. The fees expended to construct the improvements;
8. The percentage of total costs funded by the fee.
C. If sufficient fees have been collected to fund specific improvements, the City shall specify the approximate date for the development of that improvement. (Ord. 704 § 4 (Exh. A), 2014).
3.28.090 Fee monitoring and update.
A. A copy of the information provided by CMC 3.28.080 shall be provided to and reviewed by the City Council. Because of the dynamic nature of growth and capital facilities and equipment requirements, the City shall monitor the need for capital facilities and equipment requirements, and the adequacy of the fee revenues and other available funding. As part of the annual review, staff shall recommend whether any adjustments to fees are warranted.
B. At least every five years, the City Council shall conduct a comprehensive review of the development impact fees and increase or decrease the amount of the development impact fees established by this chapter based on updated capital facilities and equipment requirements costs and needs, and available alternative revenue sources and other economic considerations. Failure to undertake this review shall not invalidate the imposition of the fees. (Ord. 704 § 4 (Exh. A), 2014).