HomeMy WebLinkAboutResolution 2014-039 N.C.S. 3/3/2014 Resolution No. 2014-039 N.C.S.
of the City of Petaluma, California
REPLACING THE CURRENT OPEN SPACE LAND ACQUISITION FEE
RESOLUTION FOR NEW DEVELOPMENT PROJECTS PROVIDING FOR OPEN
SPACE LAND ACQUISITION NECESSARY TO SERVE FUTURE DEVELOPMENT
WITHIN THE CITY OF PETALUMA, RESOLUTION NO. 2012-123 N.C.S., ADOPTED
AUGUST 27, 2012, TO AMEND PROVISIONS GOVERNING HOUSING DEFINITIONS
AND CREDIT FOR PRIOR USES
RECITALS
WHEREAS, the City of Petaluma: General Plan 2025 ("General Plan") outlines future
land uses within the City of Petaluma ("City") and applies to a planning area which includes the
City and land outside the City in unincorporated Sonoma County which must also be considered
to properly plan for the City's future; and,
WHEREAS, the General Plan of the City was adopted by the Petaluma City Council
("City Council") on May 19, 2008; and,
WHEREAS, an Environmental Impact Report ("EIR",) was prepared for the General
Plan (State Clearinghouse Number 2004082065) pursuant to the California Environmental
Quality Act ("CEQA") and certified by the City Council on April 7, 2008 by Resolution No.
2008-058 N.C.S.; and,
WHEREAS, the General Plan area is shown on the land use maps contained in the
General Plan; and,
WHEREAS, the City Council last updated the City's Open Space Acquisition Fee for
New Development by Resolution No. 2012-123 N.C.S., adopted August 27, 2012; and,
WHEREAS, the General Plan designates a defined land use for all property within the
City and, based on those uses, calculates the expected number of residents, residential units,
employees, and square footage of nonresidential development that will result if all property in
the City is developed as planned by the year 2025. The General Plan incorporates policies and
programs to mitigate the impacts of such new development, including policies that require new
development to pay for its proportional fair share of the costs of acquiring and improving public
facilities, including community and neighborhood park improvements, necessary to meet the
demands of residents, employees, customers, and businesses; and,
WHEREAS, the General Plan and its EIR analyze the impacts of development under the
General Plan and proposed mitigation measures, including the creation of fee programs to
require new development to pay for its proportional fair share of the cost of acquiring and
improving public facilities necessary to meet the demands of new residents, employees,
customers, and businesses for such facilities; and,
Resolution No. 2014-039 N.C.S. Page t
WHEREAS, Goal 1-G-6 of Chapter 1 of the General Plan provides that the City should
"Maintain a residential growth management system to ensure public infrastructure keeps pace
with growth"; and,
WHEREAS, Policy 1-P-48 of Goal 1-G-6 of Chapter 1 of the General Plan provides that
the City should "Ensure that all new development provides necessary public facilities to support
the development," and includes program A which provides that the City should: "Collect
proportionate fair share of long-term infrastructure improvement costs as entitlements are
granted" and program B: "Initiate design of long term infrastructure improvements in a timely
manner to ensure their completeness to coincide with demand"; and,
WHEREAS, Goal 1-G-1 of Chapter 1 of the General Plan provides that the City should
"Maintain a balanced land use program that meets the long-term residential, employment, retail,
institutional, education, recreation, and open space needs of the community"; and,
WHEREAS, Policy 1-P-18 of Goal 1-G-3 of Chapter 1 of the General Plan provides that
the City should "Maintain a permanent open space around the city through the continued use of
the Urban Separator and the use of an Urban Separator Pathway, as designated"; and,
WHEREAS, Goal 2-G-1 of Chapter 2 of the General Plan provides that the City should
"Preserve Petaluma's setting as an urban place surrounded largely by rural land uses and
densities, agriculture and open space"; and,
WHEREAS, Program (E) of Policy 6-P-1 of Goal 6-G-1 of Chapter 6 of the General
Plan provides that the City should "As part of the City's Development regulations establish
common open space requirements for multi-family development. Such open space shall NOT be
counted toward public park dedication/in lieu fee requirements for meeting neighborhood and/or
community park needs"; and,
WHEREAS, Policy 6-P-6 of Goal 6-G-1 of Chapter 6 of the General Plan provides that
the City should "Achieve and maintain a park standard of 5 acres per 1,000 residents
(community park land at 3 acres per 1,000 population and neighborhood park land at 2 acres per
1,000 population) and an open space/urban separator standard of 10 acres per 1,000 population,
in order to enhance the physical environment of the City and to meet the recreation needs of the
community"; and,
WHEREAS, Chapter 20.34 of the Petaluma Municipal Code, adopted pursuant to
California Government Code section 66477 (the "Quimby Act"), requires the dedication of park
land as a part of residential development subject to the Quimby Act, or the payment of a fee in
lieu of dedicating property. The Quimby Act applies only to fees and/or dedications imposed on
certain subdivisions subject to the Subdivision Map Act (Government Code Section 64410 et
.seq.) to fund land acquisition costs for park or recreational purposes, and the Quimby Act does
not apply to imposition of fees for open space land acquisitions; and,
WHEREAS, the City retained Municipal Resource Group, LLC to determine, based in
part on the land use designations provided by the General Plan, the acquisition of open space
land that would be necessary to maintain the level of those services provided to the community
and to fund new development's share of the costs of maintaining the developed park acreage and
improvements available to Petaluma; and,
Resolution No. 2014-039 N.C.S. Page 2
WHEREAS, Municipal Resource Group, LLC prepared the "City of Petaluma
Mitigation Fee Act Nexus Report & Quimby Act In-Lieu Fee Report" ("Report"), dated August
14, 2012 ("Report"), a copy of which is on file in the Office of the City Clerk and hereby made a
part of this Resolution by reference. The Report, in Chapter VII and Appendix T, outlines the
cost of open space lands necessary to maintain the current levels of open space provided to the
community and thereby meet the demands of new residents for such open space through build
out under the General Plan. The Report estimates the cost in current dollars of acquiring the
amount of suitable open space land to meet the General Plan standard, and calculates the fees
necessary to raise the revenue necessary to pay for that cost attributable to new development;
and,
WHEREAS, the Report, the General Plan and the General Plan EIR describe the impacts
of contemplated future development on existing public facilities in the City of Petaluma related
to maintaining the General Plan open space standard and analyze the need for new open space
land acquisition required by future development within the City of Petaluma, described above
and in Chapter VII and Appendix T of the Report; and,
WHEREAS, the Report estimates the cost in current dollars of the required additional
open space land, assigns hose costs attributable to new development, and calculates the fees
necessary to raise the revenue necessary to pay for the open space land acquisition costs
attributable to new development; and,
WHEREAS, the Report demonstrates the appropriateness of adopting a fee based on
current estimates of the need for and cost of open space land acquisition needed to accommodate
new development including (1) an evaluation of the open space currently available; (2) an
estimate of the increase in the City's service population by the year 2025, the planning horizon
of the General Plan; and (3) the average cost of acquiring adequate open space to meet the
demands of the estimated increases in the City's service population by 2025 with respect to
residential and non-residential development projects; and,
WHEREAS, the Open Space Land Acquisition Fee is not a "tax" as defined in Section
1, paragraph (e) of Article XIIIC of the California Constitution ("Proposition 26") because such
fee is imposed for a specific benefit conferred or privilege granted directly to the payor that is
not provided to those not charged, and which does not exceed the reasonable cost to the City of
providing the service or product; and/or the fee is imposed for a specific government service or
product provided directly to the payor that is not provided to those not charged, and which does
not exceed the reasonable cost to the City of providing the service or product; and/or the fee is
imposed for the reasonable regulatory costs to the City of issuing licenses and permits,
performing investigations, inspections and audits, enforcing agricultural marketing orders and
the administrative enforcement and adjudication thereof; and/or the fee is imposed as a condition
of property development; and,
WHEREAS, the Open Space Land Acquisition Fee is not subject to the requirements of
Article XIIID of the California Constitution ("Proposition 218") concerning property related
assessments and fees pursuant to Apartment Association of Los Angeles County v. City of Los
Angeles (2001) 24 Ca1.4°1 830, in that such fee is not applicable to incidents of property
ownership, but rather to actual use of and need for City services and/or facilities; and,
WHEREAS, in accordance with Government Code Section 50076, fees and charges that
do not exceed the reasonable cost of providing the service or regulatory activity for which the
fees are charged and which are not levied for general revenue purposes are not special taxes as
defined in Article 3.5 of the Government Code; and,
Resolution No. 2014-039 N.C.S. Page 3
WHEREAS, in accordance with Government Code Section 66016, at least fourteen (14)
days prior to the public meeting at which this Resolution was adopted, notice of the time and
place of the meeting was mailed to eligible interested parties who filed written requests with the
City for mailed notice of meetings on new or increased fees or service charges; and,
WHEREAS, in accordance with Government Code Section 66016, the Report was
available for public inspection, review, and comment for ten (10) days prior to the public
meeting at which the City Council considered the adoption of this resolution; and,
WHEREAS, ten (10) days advance notice of the public meeting at which the City
Council considered adoption of this resolution was given by publication in accordance with
Government Code Section 6062a; and,
WHEREAS, on September 10, 2012, the City Council adopted Ordinance No. 2444
N.C.S., which adds new Title 19, entitled "Development Fees," to the Petaluma Municipal Code
("Code") and amends, repeals and/or recodifies various provisions authorizing the City's
development-related fees, including the City Facilities Development Impact Fee, Park Land
Development Impact Fee, Open Space Land Acquisition Fee, Park Land Acquisition Fee (Non-
Quimby Act), Park Land Acquisition Fee (Quimby Act), Traffic Development Impact Fee,
Water and Wastewater Capacity Fees and the Commercial Development Housing Linkage Fee.
FINDINGS
WHEREAS, the City Council finds as follows:
A. After considering Chapter VII and Appendix T of the Report, the testimony
received at the noticed public meeting at which this Resolution was adopted, the
accompanying staff report, the General Plan, the General Plan EIR, and all
correspondence received at or prior to the public meeting (the "Record"), the
Council approved and adopted the Report by Resolution No. 2012-123 adopted
August 27, 2012; and the City Council further found that the future development
in the City of Petaluma will generate the need for the Facilities, and the Facilities
are consistent with the City's General Plan.
B. The City currently provides open space amenities to Petaluma residents and
employees at the ratio of 10 acres of open space per 1,000 population, and the fee
set forth in this Resolution will be used to maintain current service levels. As
such, the Open Space Land Acquisition Fee as it relates to development within the
City is not a "project" within the meaning of CEQA (Pub. Res. Code
§21080(b)(8)(D)).
C. In adopting this resolution, the Council is exercising its powers under Article Xl,
§§5 and 7 of the California Constitution, Chapter 5 of Division 1 of the
Government Code ("Mitigation Fee Act"), commencing with Section 66000,
Section 54 of the City of Petaluma Charter, and Chapter 19.08 of the Petaluma
Municipal Code, collectively and separately.
Resolution No. 2014-039 N.C.S. Page 4
D. The Record establishes:
1. In accordance with Section 66000, subdivision a, paragraph I of the
Mitigation Fee Act, the purpose of the Open Space Land Acquisition Fee
("Fee"), set forth in this Resolution, as specified in Chapter VII of the
Report, is to provide funding to achieve the City's goal of maintaining
existing service levels and to provide adequate open space amenities for
Petaluma residents and employees as established in the General Plan.
Existing standards for community and neighborhood parks have been
identified which have been used as the basis to maintain these standards
for future development, and to mitigate the impacts caused by future
development in the City.
2. In accordance with Section 66000, subdivision a, paragraph 2 of the
Mitigation Fee Act, the Fee collected pursuant to this Resolution shall be
used to purchase open space land as described in the Report and the
General Plan ("the Facilities"). The Facilities, which are specifically
described in Chapter VII and Appendix T of the Report, include the
following:
• Acquisition of 14.07 acres of open space land
3. In accordance with section 66000, subdivision a, paragraph 3 of the
Mitigation Fee Act, there is a reasonable relationship between the Fee's
use (to pay for the construction of the Facilities) and the type of
development for which the Fee is charged in that the fee will be applied all
development in the City — including residential, commercial, office, and
industrial development projects, which will generate new demands for
open space amenities. The open space acquired with the proceeds of the
Fee will address and mitigate the additional impacts and demands created
by residential and non-residential development projects.
4. In accordance with Section 66000, subdivision a, paragraph 4, there is a
reasonable relationship between the need for the Facilities and the types of
development projects on which the Fee is imposed in that the Fee will be
applied to new development in the City of Petaluma — both residential and
non-residential. These development projects will generate new residents
and employees who live, work, and/or shop in Petaluma and who generate
or contribute to the demand for open space, because the new residents and
employees will benefit from open space acquired and the same standard of
open space will be provided to new residents and employees as to existing
residents and employees.
5. In accordance with Section 66000, subdivision b of the Mitigation Fee
Act, there is a reasonable relationship between the amount of the Fee and
the cost of the Facilities, or the portion thereof attributable to the
development in the City on which the Fee is imposed in that the Fee has
been calculated by apportioning the cost of acquiring new open space land
to each type of new residential unit, and to the "resident equivalent" of
each employee generated by commercial, office and industrial
development projects. The full cost of the Facilities has been allocated to
the Fee because the entire cost will be incurred to provide the same
Resolution No. 2014-039 N.C.S. Page 5
standard of open space amenities to future residents and employees as is
provided to existing residents and employees.
6. The cost estimates set forth in the Report are reasonable estimates for
acquiring the Facilities, and the Fees expected to be generated by future
development will not exceed the projected cost of acquiring the Facilities.
7. The method of allocation of the Fee to a particular development bears a
fair relationship and is roughly proportional to each development's burden
on and benefits from the Facilities to be funded by the Fee, in that the Fee
is calculated based on the number of residents or employees each
particular development will generate.
8. The Report is a detailed analysis of how public services will be affected
by development in the City and the public facilities required to
accommodate that development.
9. The Fee is consistent with the General Plan and, pursuant to Government
Code Section 65913.2; the City Council has considered the effects of the
Fee with respect to the City's housing needs as established in the housing
element of the General Plan.
10. The Fee amounts set forth in Exhibit A include the reasonable costs of
administration and compliance of the Fee program with the requirements
of the Mitigation Fee Act and other applicable law. The Fee program and
administration cost is calculated to be approximately 2% of the total Fee
as indicated in Chapter VII of the Report.
ADOPTION OF FEE
NOW, THEREFORE, BE IT RESOLVED,
1. Definitions.
a. "Accessory Dwelling" shall mean a second unit which meets the standards
set forth in Section 7.030 of Chapter 7, "Standards for Specific Land
Uses" of the City of Petaluma Implementing Zoning Ordinance ("IZO"),
as modified by any subsequent amendment or successor zoning ordinance
and/or development code provision adopted by the City which defines
Accessory Dwelling, second unit or second dwelling unit."
b. "Commercial" shall mean any development constructed or to be
constructed on land having a General Plan 2025 land use or zoning
designation, as established in the Implementing Zoning Ordinance, No.
2300 N.C.S., or any successor ordinance, for facilities for the purchase and
sale of commodities and services and the sales, servicing, installation, and
repair of such commodities and services and other uses incidental to these
activities. Commercial land uses include but are not limited to: apparel and
clothing stores; auto dealers and malls; auto accessories stores; banks and
savings and loans; beauty salons; book stores; discount stores and centers;
dry cleaners; drug stores; eating and drinking establishments; furniture
Resolution No. 2014-039 N.C.S. Page 6
stores and outlets; general merchandise stores; hardware stores; home
furnishings and improvement centers; laundromats; liquor stores; service
stations; shopping centers; supermarkets; bicycle shops; cameras and
photographic supply stores; convenience stores; department stores; drug
stores and pharmacies; jewelry stores; luggage and leather goods stores;
sporting goods and equipment stores; stationery stores; collectible stores;
second hand goods stores; religious goods stores; hobby materials stores;
small wares stores; plant sales; bowling alleys; coin-operated amusement
arcades; dance halls, clubs and ballrooms; electronic game arcades; ice
skating and roller skating establishments; pool and billiard rooms;
amusement and theme parks; go-cart tracks; golf driving ranges; miniature
golf courses; water slides; banks and trust companies; credit agencies;
holding companies; lending and thrift institutions; securities/commodity
contract brokers and dealers; fueling stations and gas stations; security and
commodity exchanges; vehicle finance leasing agencies; restaurants, cafés
and coffee shops; and movie theatres and civic theatres.
c. "Developed" and "Development" shall mean the construction or alteration
of or addition to, other than by the City, of any building or structure within
the City of Petaluma.
d. "Facilities" shall include those municipal public facilities as are described
in the Report related to providing general improvements to community
and neighborhood park lands. "Facilities" shall also include comparable
alternative facilities should later changes in projections of development in
the region necessitate construction of such alternative facilities; provided
that the City Council later determines (1) that there is a reasonable
relationship between development within the City of Petaluma and the
need for the alternative facilities; (2) that the alternative facilities are
comparable to the facilities in the Report; and (3) that the revenue from
the Fee will be used only to pay new development's fair and proportionate
share of the alternative facilities.
e. "Industrial" shall mean any development constructed or to be constructed
on land having a General Plan 2025 land use or zoning designation as
established in the Implementing Zoning Code, Ordinance No. 2300
N.C.S., or any successor ordinance, for the manufacture, production,
assembly, and processing of consumer goods, uses incidental to those
activities, and research, development and warehousing. Industrial land
uses include, but are not limited to: assembly; contractor's storage yards;
fabrication; lumber yards; manufacturing; outdoor stockyards and service
yards; printing; processing; warehouses and distribution centers;
wholesale and heavy commercial enterprises; clothing, fabric and other
product manufacturing; electronics, equipment, and appliance
manufacturing; metal products fabrication, machine and welding shops;
paper product manufacturing; food and beverage product manufacturing;
small-scale manufacturing; lumber and wood product manufacturing;
machinery manufacturing; motor vehicle and transportation equipment
manufacturing; stone and cut stone product manufacturing; structured clay
and pottery product manufacturing; processing of building materials,
chemicals, fabricated metals, paper products, machinery, textiles, and/or
equipment; and collection, sorting and processing enterprises.
Resolution No. 2014-039 N.C.S. Page 7
f. `Mixed Development" shall mean a development that includes more than
one of the types of development defined in this Section I. Mixed
developments may combine residential types of development (Single
Family and Multifamily), non-residential types of development
(Commercial, Industrial, and Office), or a combination of residential and
non-residential types of development.
g. "Multifamily Residential" shall mean any residential Development that
does not qualify as detached single family dwelling unit Development as
defined in the Report, as adopted by the City.
h. "Office" shall mean any development constructed or to be constructed on
land having a General Plan 2025 land use or zoning designation, as
established in the Implementing Zoning Ordinance, Ordinance No. 2300
N.C.S., or any successor ordinance, for general business offices, medical
and professional offices, administrative or headquarters offices for large
wholesaling or manufacturing operations, and other uses incidental to
these activities. Office land uses include but are not limited to:
administrative headquarters; business parks; finance offices; insurance
offices; legal offices; medical and health services offices; office buildings;
professional and administrative offices; professional associations; real
estate offices; and travel agencies.
i. "Single Family Residential" shall mean detached, single-family dwelling
unit development as defined in the Report, as adopted by the City.
2. Open Space Land Acquisition Fee Imposed.
Pursuant to the Mitigation Fee Act and Chapter 19.08 of the City of Petaluma
Municipal Code, an Open Space Land Acquisition Fee shall be imposed and paid
at the times and in the amounts and otherwise apply and be administered as
prescribed in this Resolution on each type of development set forth in Exhibit A,
which is attached to and made a part of this Resolution, including each portion of
such Development within Mixed Development.
3. Time for Imposing Fee.
In accordance with Government Code Section 65961, the Fee for residential
subdivision development for which tentative or parcel maps are required pursuant
to the Subdivision Map Act (Government Code Section 66410 et seq.) shall be
imposed at the time of approval of the conditions that apply to the tentative or
parcel map for such residential subdivision development, as applicable. Payment
of the Fee shall be deemed to be a condition of all such tentative or parcel maps.
Notwithstanding this Section 3, the time for payment of the Fee for all
development, including Single Family Residential and Multiple Family
Residential subdivisions, shall be as specified in Section 4, below.
4. Time for Fee Payment.
a. In accordance with Government Code Section 66007, the Fee shall be
charged and paid for each residential development upon the date of final
Resolution No. 2014-039 N.C.S. Page 8
inspection or issuance of the certificate of occupancy for such residential
development, whichever is earlier; however, if the Fee is to reimburse the
City for expenditures previously made, or if the City determines that the
Fee will be collected for Facilities for which an account has been
established and funds appropriated and for which the City has adopted a
proposed construction schedule prior to issuance of the building permit for
such residential development, then the Fee shall be charged and paid upon
issuance of the building permit for such residential development.
However, with respect to a residential development proposed by a
nonprofit housing developer in which at least forty-nine percent (49%) of
the total units are reserved for occupancy by lower income households, as
defined in Health and Safety Code Section 50079.5, at an affordable rent,
as defined in Health and Safety Code Section 50053, the payment
procedures described in Government Code Section 66007(b)(2)(A)-(B)
shall apply.
b. The Fee shall be charged and paid for each non-residential Development
upon issuance of the building permit for such non-residential
Development.
c. The Fee shall be charged and paid for each Mixed Development upon the
times specified in this Section 4 that apply to such Mixed Development.
For example, if a Mixed Development includes residential Development
and non-residential Development, and the Fee is to reimburse the City for
expenditures previously made, or the City has made the required
determination to permit requiring payment of the Fee upon issuance of the
building permit, and the procedures in Government Code section
66007(b)(2)(A)-(B) do not apply, the Fee as applicable to the entire mixed
development shall be paid upon issuance of the building permit for the
Mixed Development. If a Mixed Development includes residential and
non-residential development, and the Fee is not to reimburse the City for
expenditures previously made or the City has not made the required
determination to permit requiring payment of the Fee upon issuance of the
building permit, the Fee as to the residential portion of the mixed
development shall be paid upon the earlier of the date of final inspection
or issuance of the certificate of occupancy for such residential portion, and
the Fee as to the non-residential portion of the Mixed Development shall
be paid upon issuance of the building permit for such non-residential
portion.
5. Amount of Fee.
a. The amount of the Fee for residential and non-residential development
shall be as set forth in Exhibit A.
b. The amount of the Fee for Mixed Development shall be the sum of the
following, as applicable:
I. The applicable amount per unit pursuant to Section 5(a), above, for
each residential development within a Mixed Development.
Resolution No. 2014-039 N.C.S. Page 9
2. The applicable amount per 1,000 square feet of Development pursuant
to Section 5(a), above, for each nonresidential Development or portion
of such Development within a Mixed Development.
c. Any non-residential development on property on which a building or
structure was demolished or on which the use of an existing structure
changes to a more intensive use shall pay a prorated fee equal to the fee
calculated pursuant to this Resolution that is applicable to the new
development or use, less the fee applicable to the prior development or
use, so long as such prior use was in existence at the time of adoption of
General Plan 2025.
d. Any development on any parcel any portion of which is located within one
half-mile of any portion of a parcel identified as a possible future location
for a SMART Rail Station on which parcel proposed for development a
building or structure was demolished or on which the use of an existing
structure changes to a more intensive use shall pay a prorated fee equal to
the fee calculated pursuant to this resolution that is applicable to the new
development or use, less the fee applicable to the prior development or use,
so long as such prior use was in existence at the time of adoption of General
Plan 2025.
6. Designation of Developments.
Nonresidential developments, other than Mixed Developments (but including
non-residential within Mixed Developments) that are not within the definition of a
use defined in this Resolution shall be assigned to one of the defined use
categories by the City Manager for purposes of imposition and charging of the
Fee. The City Manager shall assign such categories as consistently as possible
within the definitions of such categories established pursuant to this Resolution or
as later amended by the City Council. The City Manager may also designate
Development as Multifamily or Single-Family based on the actual number of
dwelling units per structure within the development.
7. Inapplicability of Fee.
The Fee shall not apply to:
a. Any alteration or addition to a residential structure, except to the extent
that a residential unit is added to a single family residential unit or another
unit is added to an existing multi-family residential unit;
b. Any replacement or reconstruction of an existing residential structure that
has been destroyed or demolished, if the building permit for reconstruction
is obtained within one year after the building was destroyed or
demolished. This subsection shall not apply if the replacement or
reconstruction increases the square footage of the structure by 50 percent
(50%) or more.
Resolution No. 2014-039 N.C.S. Page 10
c. Any replacement or reconstruction of an existing non-residential structure
that has been destroyed or demolished, if the building permit for
reconstruction is obtained within one year after the building was destroyed
or demolished, there is no change in the land use designation of the
property, and the square footage of the replacement building does not
exceed the square footage of the building that was destroyed or
demolished.
d. Any addition to an existing non-residential structure of 500 square feet or
less.
e. Any public or quasi-public development on lands designated Public/Semi-
Public or Education on the General Plan Land Use Map, as of the effective
date of the Fee, so long as such development is intended to serve
development in the City and does not itself generate a need for additional
public infrastructure needed to serve new development, as in the way new
residential development generates new residents requiring City services,
and new non-residential development generates new employees in the City
using City services.
f. The City Council, in its discretion, may determine that the Fee is
inapplicable to certain development constructed or to be constructed by a
public entity on land having an appropriate General Plan land use
designation provide that the City Council finds that such inapplicability is
in the interest of the public health, safety and/or welfare, for reasons
specified in the findings. Such reasons may include, but are not limited to,
that the Fee as it would apply to such development by a public entity will
be sufficiently recovered in whole or in part from residential development,
the residents of which may constitute the primary users of the public entity
development.
8. Use of Fee Revenue.
The revenues raised by payment of the Fee shall be placed in a separate, interest
bearing account to permit accounting for such revenues and the interest that they
generate. Such revenues and interest shall be used only for the Facilities and the
purposes for which the Fee was collected, which are the following:
a. To pay for design, engineering, right-of-way or land acquisition and
construction and/or acquisition of the Facilities and reasonable costs of
outside consultant studies related thereto;
b. To reimburse the City for the Facilities constructed by the City with funds
from other sources including funds from other public entities, unless the
City funds were obtained from grants or gifts intended by the grantor to be
used for the Facilities.
c. To reimburse developers who have designed and constructed any of the
Facilities with prior City approval and have entered into an agreement, as
provided in Section 9, below; and
Resolution No. 2014-039 N.C.S. Page I I
d. To pay for and/or reimburse costs of program development and ongoing
administration and maintenance of the Fee program, including, but not
limited to, the cost of studies, legal costs, and other costs of updating the
Fee.
9. Credits and Reimbursement for Developer Constructed Facilities.
The City and a developer may enter into an improvement agreement to allow the
developer to construct certain of the Facilities. Entering such an agreement is in
the City's sole discretion. Such agreement shall provide for security for the
developer's commitment to construct the Facilities and shall refer to this
Resolution for credit and reimbursement. If the City enters into such an agreement
with a developer prior to construction of one or more of the Facilities, the City
shall provide the developer a credit in accordance with the following:
a. Credit Amount.
The credit shall be in the amount of the lowest bid received for
construction of the facility, as approved by the City Engineer. However, in
no event shall a credit pursuant to this provision exceed the current facility
cost. For the purposes of this section, such current facility cost shall be the
amount listed in the Report for the particular facility, as subsequently
adjusted pursuant to Sections 13 and 14 of this Resolution prior to
issuance of the building permit for that facility. Once issued, credit
pursuant to this section shall not be adjusted for inflation or any other
factor. Credit provided pursuant to this section is not transferable.
b. Application of Credit.
Developers may apply credit given pursuant to this section against the Fee
applicable to a particular project until the credit is exhausted or an excess
credit results. The total credit shall be divided by the number of units or
square footage of building space (or combination thereof for a Mixed Use
Development) to determine the amount of credit which can be applied
against the Fee for each unit of measurement and, if the credit per unit of
measure is less than the Fee per unit of measurement, the developer shall
pay the difference for each residential unit or square footage of building
space.
c. Reimbursement for Excess Credit.
Reimbursement for excess credit shall only be from remaining unspent
Fee revenues. Once all the Facilities have been constructed or acquired,
and to the extent Fee revenues are sufficient to cover all claims for
reimbursement of Fee revenues, including reimbursement for excess
credit, developers with excess credit shall be entitled to reimbursement,
subject to such developers certifying in writing to the City that the cost of
constructing the facility that resulted in an excess credit was not passed on
to homeowners, and indemnifying the City from land-owner claims for
reimbursement under the Mitigation Fee Act, and Section 66001 in
Resolution No. 2014-039 N.C.S. Page 12
particular. If remaining Fee revenues after all of the Facilities have been
constructed or acquired are insufficient to cover all claims for
reimbursement of Fee revenues, such claims, including claims for
reimbursement of excess credit, shall be reimbursed on a pro rata basis in
accordance with applicable law.
10. Standards.
The standards upon which the need for the Facilities is based are the standards of
the City, including the standards contained in the General Plan and its FIR and
those City standards reflected in the Report.
11. Periodic Review.
a. During each Fiscal year, the City Manager shall prepare a report for the
City Council, pursuant to Government Code Section 66006, identifying
the balance of Fee revenues in the Fee account.
b. Pursuant to Government Code Section 66002, the City Council shall also
review, as part of any adopted City Capital Improvement Plan each year,
the approximate location, size, time of availability and estimates of cost
for all Facilities to be financed with the Fee. The estimated costs shall be
adjusted in accordance with appropriate indices of inflation. The City
Council shall make findings identifying the purpose to which the existing
Fee revenue balances are to be put and demonstrating a reasonable
relationship between the Fee and the purpose for which it is charged.
12. Subsequent Analysis and Revision of the Fee.
The Fee set forth herein is adopted and implemented by the City Council in
reliance on the Record identified above. The City will continue to conduct further
study and analysis to determine whether the Fee should be revised. When
additional information is available, the City Council may review the Fee to
determine that the Fee amounts remain reasonably related to the impacts of
development within the City of Petaluma and areas included in the City's General
Plan. The City Council may revise the Fee to incorporate findings and
conclusions of further studies and any standards in General Plan and/or the
General Plan EIR, as well as increases due to inflation and increased construction
costs.
13. Fee Adjustments.
a. Annual CPI Adjustments. The Fee established will escalate or decrease
annually by the same percentage the latest `Engineering News Record
Construction Cost Index-20 City Average" ("Index") annually escalates
or decreases. The adjustment shall be based on a comparison of the most
recent Index to the Index in the month of adoption of the Fee, or the Index
used for the prior adjustment of the Fee. The Finance Director shall
compute the increase or decrease in such Fee. Such Fee adjustments will
take effect each July 1st.
Resolution No.2014-039 N.C.S. Page 13
b. Refund Applications Based on 2008 Development Fees Paid. Current
owners of development that paid development fees pursuant to Resolution
No. 2008-091 N.C.S. may apply for a refund of the difference, if any,
between the total development fees that owner paid pursuant to said
Resolution ("prior fee"), and the Resolution(s) that superseded the
Resolution listed in this provision ("current fee"), if the total amount of
prior fees paid exceeds the total amount of current fees applicable to that
development, subject to the following:
I. To be eligible for a refund, current development owners must
certifying in writing to the City that the owner has not recovered or is
not recovering from third parties such as tenants or others the amount
of the prior fee paid or the amount by which the prior fee exceeds the
current fee.
2. Any refunds pursuant to this provision shall only be paid from
existing, un-obligated, unspent Fee revenue balances. The City will
have no obligation to pay refunds to any owner absent sufficient
existing, un-obligated, unspent Fee revenue balance available for that
purpose.
3. If existing, un-obligated. unspent Fee revenue balances are insufficient
to cover eligible applications for refund, such eligible applications
shall be paid refunds on a pro rata basis in accordance with applicable
law.
14. Administrative Guidelines.
The Council may, by resolution, adopt administrative guidelines to provide
procedures for calculation, credit, reimbursement, or deferred payment and other
administrative aspects of the Fee. Such guidelines may include procedures for
construction of designated Facilities by developers.
15. Effective Date.
This Resolution shall become effective 60 days following its adoption in
accordance with California Government Code section 66017, subdivision (a).
I6. Severability.
Each component of the Fee and all portions of this Resolution are severable.
Should any individual component of the Fee or other provision of this Resolution
be adjudged to be invalid and unenforceable, the remaining component or
provisions shall be and continue to be fully effective, and the Fee shall be fully
effective except as to that component that has been judged to be invalid.
17. Supersession/Repeal/Savings Clause.
All Resolutions and parts thereof in conflict with the provisions of this resolution
are superseded and repealed, effective on the effective date of this resolution.
Resolution No. 2014-039 N.C.S. Page 14
However, violations, rights accrued, liabilities accrued, or appeals taken, prior to
the effective date of this resolution, under any chapter, ordinance, or part of an
ordinance, or resolution or part of a resolution, shall be deemed to remain in full
force for the purpose of sustaining any proper suit, action, or other proceedings,
with respect to any such violation, right, liability or appeal.
Under(he power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the Approved as to
Council of the City of Petaluma at a Regular meeting on the 3rd day of March.2014, /� f
by the following vote:
City Morrie
AYES: Albertson. Harris, Kealy,Vice Mayor Kearney,Miller
NOES: 13arrett, Mayor Glass
ABSENT: None
ABSTAIN: None
ATTEST:
City Clerk Mayor
Resolution No. 2014-039 N.C.S. Page 15
EXHIBIT A
OPEN SPACE ACQUISITION FEE
yes
Land Use Type - Fee Amount IJAitof Measurement
Single Family Residential $379 Unit
Multi-Family Residential $255 Unit
Accessory Dwelling $130 Unit
Commercial $72 1,000 square feet of building space
Office $69 1,000 square feet of building space
Industrial $44 1,000 square feet of building space
Resolution No. 2014-039 N.C.S. Page 16