Chapter 16.80
PARK LAND IN-LIEU FEE
Sections:
16.80.040 Calculation of in-lieu fee.
16.80.010 Purpose.
The City’s General Plan provides that new residential development shall provide park land at a rate of five (5) acres for every one thousand (1,000) residents. New residential developments that are part of a subdivision provide dedications of park land or, in some instances, an in-lieu fee for park land acquisition, pursuant to the Quimby Act (Section 66477 of the Government Code) and EGMC Chapter 22.40 (Park and Recreation Dedication and Fees). However, certain residential developments are allowed under the General Plan and EGMC Title 23 (Zoning) without having to first subdivide the land. This chapter provides a process to ensure that those residential developments provide their fair share of funding towards the acquisition of park land consistent with General Plan policy. [Ord. 16-2021 §4 (Exh. B), eff. 9-10-2021]
16.80.020 Definitions.
The following terms, as used in this chapter, shall have the following meanings:
A. “Apartment area” means an area of land used for or proposed for residential occupancy in buildings or structures designed for five (5) or more families for living or sleeping purposes and having kitchen and bath facilities for each family. Included are condominiums and cluster developments.
B. “Dwelling unit” means one (1) or more rooms in a building or structure or portion thereof designed exclusively for residential occupancy by one (1) family for living or sleeping purposes and having kitchen and bath facilities, including mobile homes.
C. “Mobile home development” means an area of land used for or proposed for residential occupancy in vehicles which require a permit to be moved on a highway, other than a motor vehicle designed or used for human habitation and for being drawn by another vehicle.
D. “Multiple-family area” means an area of land used for or proposed for residential occupancy in buildings or structures designed for two (2) to four (4) families for living or sleeping purposes and having kitchen and bath facilities for each family, including two (2) family, group and row dwelling units.
E. “Park factor” means the factor, or ratio, that describes the amount of park land required per dwelling unit based upon the average household size for the applicable dwelling unit type. See EGMC Section 16.80.040(A)(3).
F. “Qualifying residential development” means any residential development that excludes, as part of its planning and entitlement approval, a tentative parcel map or tentative subdivision map, or for which a tentative parcel map or tentative subdivision map was previously approved or a parcel map or final map recorded, and for which no land dedication or in-lieu fee was collected pursuant to the Quimby Act and EGMC Chapter 22.40. Examples include, but are not limited to, a multifamily residential development such as an apartment development, where no subdivision of land is required or proposed. A qualifying residential development shall exclude a home constructed on a legal lot of two (2) gross acres or more and that is located in an Agricultural or Rural Residential General Plan designation. It shall also exclude any accessory dwelling unit or junior accessory dwelling unit as provided in EGMC Chapter 23.90.
G. “Single-family area” means an area of land used for or proposed for detached buildings designed for residential occupancy by one (1) family. [Ord. 16-2021 §4 (Exh. B), eff. 9-10-2021]
16.80.030 Applicability.
The requirements of this chapter shall apply to any qualifying residential development. [Ord. 16-2021 §4 (Exh. B), eff. 9-10-2021]
16.80.040 Calculation of in-lieu fee.
A. A qualifying residential development shall make payment to the City, prior to issuance of the first building permit for the development, for the park land necessary to support the development consistent with the General Plan, pursuant to the following:
1. The value of the payment shall be a sum calculated pursuant to the following formula:
|
A x V = M |
|
|
where, |
|
|
A = |
the amount of park land required; |
|
V = |
fair market value (per acre) of the qualified residential development, as determined by this section; and |
|
M = |
the number of dollars to be paid in lieu of dedication of land. |
2. The amount of park land required shall be determined according to the following formula:
|
D x F = A, where: |
|
|
D = |
the number of dwelling units; |
|
F = |
a “park factor” herein described in subsection (A)(3) of this section; |
|
A = |
the park land required. |
3. The park factor shall be determined by the Development Services Director and updated from time to time, based upon the following:
a. The park factor shall be the acreage required for each of the four (4) types of dwelling units defined in this chapter. The method for calculating the park factor shall be as illustrated in the following equation. To complete the calculation, the Development Services Director shall, using data for the City of Elk Grove as reported by the U.S. Census Bureau for the City of Elk Grove, identify the household size for each of the four (4) dwelling unit types. The household size shall be determined based upon the total population in each dwelling category, divided by the total number of occupied units in that dwelling category.
|
Park Land Requirement (e.g., 5 acres) |
= Park Factor |
|
(1,000 ÷ Household Size) |
b. For qualifying residential developments located within a specific plan, special planning area, or similar master or strategic plan for a geographic area, the park factors shall be established at the time of adoption of the plan as provided in subsection (A)(3)(a) of this section.
4. For multifamily developments, the number of dwelling units used to determine the amount of park land required shall be the number of units approved as part of the planning or entitlement approval.
5. The fair market value shall be determined based upon an appraisal. The developer of the qualifying residential development shall request that the City cause the appraisal to be conducted. The appraisal shall be consistent with the following requirements:
a. Upon request by the developer of the qualifying residential development to calculate the in-lieu fee, the City shall request that an appraisal be conducted by a qualified licensed real estate appraiser from the City’s list of approved appraisers. The appraiser shall hold a certified general appraisal license issued by the California Bureau of Real Estate Appraisers (BREA) or equivalent certification, as determined in the sole discretion of the City. The cost of the appraisal and the City’s review of the appraisal shall be borne by the developer of the qualifying residential development. A deposit for such fees, established by the City’s Development Services Department services fees schedule as approved by resolution of the City Council, shall be deposited with the City at least one hundred twenty (120) days prior to the issuance of the building permit. If the deposit is nearing depletion, the City may request an additional deposit. If an unbilled balance remains at the end of the appraisal process, a refund will be issued to subdivider.
The appraisal shall render a value based upon the land type normally acquired in Elk Grove for parks, including but not limited to single residential dwelling unit and multiple residential dwelling unit development, utilizing the following market value: The most probable price, as of a specific date, in cash, or terms equivalent to cash, or in other precisely revealed terms, for which the specified property rights should sell after reasonable exposure in a competitive market under all conditions requisite to a fair sale, with the buyer and seller each acting prudently, knowledgeably, and for self interest, and assuming that neither is under undue duress.
The appraisal shall value the property as of a date no earlier than ninety (90) days prior to the issuance of the building permit. The appraisal report shall be subject to approval by the Development Services Director.
b. Nothing here shall preclude the City from determining fair market value by an appraisal procedure that is alternative to the procedures set forth above, as long as the alternative appraisal method is reasonably likely to determine the substantially same fair market value as if conducted by the appraisal method above, all as determined by the City in its sole discretion. [Ord. 12-2022 §3 (Exh. A), eff. 6-24-2022; Ord. 16-2021 §4 (Exh. B), eff. 9-10-2021]
16.80.050 Use of in-lieu fee.
The City shall, in its sole discretion, determine the use of the funds towards the acquisition of one (1) or more properties, or portions thereof, in order to achieve the park land policy. [Ord. 16-2021 §4 (Exh. B), eff. 9-10-2021]