For City Council Meeting [January 9, 2024]
TO: Honorable Mayor and City Council
APPROVAL: Henry Garcia, Interim City Manager
FROM: Katherine Stevens, Director of Finance
Title
Request City Council to Receive, File, and make available to the public the Development Impact Fee Report (AB 1600) for the Fiscal Year ending June 30, 2023.
Body
BACKGROUND
Government Code Section 66006 requires development impact fees collected by the City, the related interest income earned, expenditures paid, and beginning and ending fund balance as of June 30 to be made available to the public on an annual basis. The Development Impact Fee Report is an informational report meeting the State legislative requirements for the Fiscal Years ended June 30, 2023.
ANALYSIS/DISCUSSION
Pursuant to the Rialto Municipal Code and the City’s adopted fee resolution, property developers are required to pay their share of future public facility or improvement costs impacted by the increased demand of new property development projects. The following are the development impact fees collected by the City:
1. Parks and Recreation Development Impact Fee;
2. Regional Traffic Impact Mitigation Development Fee;
3. Local Traffic Development Impact Fee;
4. Street Median Development Impact Fee;
5. General Municipal Facilities Development Fee;
6. Library Facilities Development Fee;
7. Law Enforcement Facilities Development Impact Fee;
8. Fire Protection Facilities Development Fee;
9. Open Space Development Impact Fee;
10. Sewage Collection Facilities Development Impact Fee;
11. Sewage Treatment Facilities Development Impact Fee;
12. Domestic and Recycled Water Facilities Development Fee;
13. Storm Drain Facilities Development Impact Fee; and
14. Fair Share Mitigation Fee.
Fees apply to residential and non-residential development. The amounts per project vary based on various factors including, the size of land, location of development, square footage of the buildings, and number of units. Specific amounts for each fee and the methodology determining the charge are included in the City’s Comprehensive Fee Schedule as adopted by Ordinance 1532.
Fiscal Year 2022-23 Expenditures:
The Fire Protection Facilities Development fund (217) expended $17,864 during FY23 on capital project expenses. Costs included the development of the temporary facility for Fire Station 205 which will be repurposed for training and storage upon completion of a permanent facility. The costs also include the permanent facility for Fire Station 205 which will expedite access to the southern part of the City, avoiding delays from train transportation routes.
The Open Space Development fund (220) expended $199,421 during FY23 on capital project expenses. Costs included initial design costs associated with the Cactus Walking Trail and Parking Lot, which runs along the flood control on Cactus Avenue ending at Baseline Avenue.
The Storm Drain Facilities fund (230) expended $287,055 during FY23 on capital project expenses. Costs included the retention of a consultant to estimate design costs for the Baseline Storm Drain project, and the Storm Drain Vault at Cedar & Merrill.
The Regional Traffic Impact Mitigation Development fund (250) expended $495,402 during FY23 on capital project expenses. Costs expended were for the Alder Widening project, Randall Ave Widening project, Riverside & Upper Bridge Widening project, and the Randall Ave Widening at Flood Control CHN.
The General Municipal Facilities Development fund (270) expended $47,119 during FY23 on capital project expenses. Costs included the permanent facility for Fire Station 205.
ENVIRONMENTAL IMPACT
This report is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. According to Section 15378(b), a Project does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY
The proposed report is consistent with the City’s General Plan Guiding Principle 3A in that the City will lead by example, will operate in an open, transparent, responsive manner, that meets the needs of the citizens, and is a good place to do business.
LEGAL REVIEW
The City Attorney has reviewed and approved this staff report.
FINANCIAL IMPACT
The report summarizes expenditures of Development Impact Fees on capital projects throughout the City. Thus, Development Impact Fees collected assist with offsetting costs associated with new development which reduce financial impacts to the City’s General Fund.
RECOMMENDATION
Staff recommends the City Council to receive, file, and make available to the public, the Development Impact Fee Report for the Fiscal Years Ended June 30, 2023 pursuant to Government Code Section 66006.