For Economic Development Meeting [October 23, 2019]
TO: Honorable Economic Development Committee Members
APPROVAL: Rod Foster, City Administrator
FROM: Thomas J. Crowley, P.E., Utilities Manager
Title
Consideration of the Addition of Chapter 17.50 to the Rialto Municipal Code to Establish a Procedure for the Application and Approval of Reimbursement Agreements.
Body
BACKGROUND:
There are situations in which a developer decides to construct an improvement that will be dedicated to the City for public use. These improvements will often benefit other properties that have not been developed and whose property owners are not participating in the cost of the improvement. This results in the developer bearing the full burden of costs of constructing a public improvement that unfairly benefits other properties and property owners.
To ease the burden of the developer in constructing the public improvements, Government Code Section 66485 et seq. authorizes a city to adopt an ordinance establishing a legal mechanism for the developer to be reimbursed for constructing such public improvements by other property owners who will benefit from the public improvements. The proposed ordinance will allow the City to establish procedures for reimbursement agreements between the burdened developer who is constructing the public improvements and the benefited property owner(s) who will eventually pay their fair share in the costs of constructing the public improvements.
It should be noted that the public improvements contemplated under this proposed Ordinance section would be for improvements that are not already provided for though Development Impact Fees as discussed in Chapter 3.33 of the Rialto Municipal Code.
ANALYSIS/DISCUSSION:
Government Code Section 66485, et seq. allows a local agency to enact an ordinance authorizing the use of reimbursement agreements for the construction of public improvements by a developer and requiring the owners of properties which be...
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