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HomeMy WebLinkAboutReso 2001-014 RESOLUTION NO. 2001 ~014 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MAKING FINDINGS THAT THE UNEXPENDED FUNDS 1N THE PARKLAND ACQUISITION AND DEVELOPMENT (PAD) FEE FUND ARE STILL NEEDED TO PROVIDE CONSTRUCTION OF FACILITIES FOR WHICH THE FEES WERE COLLECTED WHEREAS, state law requires local agencies assessing Development Impact Fees CDIF") and capacity charges to make available specified financial data to the public each fiscal year; and WHEREAS, these reports have been available in the Office of the City Clerk for public review since December 22, 2000; and WHEREAS, it also required that the local agency review this information at a public meeting; and WHEREAS, local agencies are also required to make available to the public, within 180 days after the last day of each fiscal year, information about capacity charges; and WHEREAS, Government Code Section 66001(d) requires the local agency to make findings every five years with respect to any portion of the DIF fees remaining unexpended to identify the purpose for which it was charged. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby make findings that the unexpended funds in the PAD Fee Fund are still needed to provide construction of facilities for which the fees were collected for the following projects: EastLake Park Development Impact Fee The fees collected prior to Fiscal Year 1993 plus the interest earned are still needed for park facilities. Per Council approval and a request from the Eastlake Development Co. for their cash flow needs, the funds are on loan to EastLake Development Company to be repaid on demand. No other DIF or PAD funds contain monies that have been on deposit for five or more years. BE IT FURTHER RESOLVED that the staff report and all exhibits are hereby incorporated into the record of these proceedings. Presented by Approved as to form by Ro//k~be~p'p~o well John M. Kaheny Deputy City Manager Cit~/Attorney Resolution 2001-014 Page 2 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, Califomia, this 16th day of January, 2001, by the following vote: AYES: Councilmembers: Padilla, Rindone, Salas, and Horton NAYS: Councilmembers: None ABSENT: Councilmembers: Davis Shirley Ho~don, Mayor ATTEST: Donna Norris, Deputy City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Donna Norris, Deputy City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2001-014 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 16th day of January, 2001. Executed this 16th day of January, 2001. Donna Norris, Deputy City Clerk R2001-014 Page 1, Item 17 Meeting Date 1/16/2001 COUNCIL AGENDA STATEMENT ITEM TITLE: Report Regarding the Development Impact Fee (DIF), Park Acquisition and Development (PAD) Fee, and Trunk Sewer Capital Reserve Funds for the Fiscal Year Ended June 30, 2000 Resolution No. Making Findings that the Unexpended Funds in the PAD Fee Fund are still needed to provide construction of facilities for which the fees were collected SUBMITTED BY: Deputy City Manager-Administ tive Services~'~ Director of Public Works ~ REVIEWED BY: City Manager~bg~ (4/5THS Vote: Yes No X ) SUMMARY: State law requires local agencies assessing Development Impact Fees CDIF") fees and capacity charges to make available specified financial data to the public each fiscal year. This report satisfies that requirement and also includes for ease of reference and for the convenience of members of the public information on Parkland Acquisition and Development (PAD) fees. RECOMMENDATION: That Council accepts the report and approves the Resolution making findings that the unexpended PAD funds are still needed to provide construction of facilities for which the fees were collected. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable. DISCUSSION: State law requires local agencies assessing Development Impact Fees CDIF") fees and capacity charges to make available specified financial data to the public each fiscal year. This report satisfies that requirement and also include for ease of reference and for the convenience of members of the public information on Parkland Acquisition and Development (PAD) fees. It Page 2, Item ~/ Meeting Date 1/16/2001 also requires that the local agency provide this information to the public for a minimum of fifteen days prior to reviewing this information at a public meeting. SB 1760 likewise requires local agencies to make available to the public, within 180 days after the last day of each fiscal year, information about capacity charges. These reports have been available in the City Clerk's office for public review since December 22, 2000. The City of Chula Vista has several types of Development Impact Fees CDIF"), Parkland Acquisition and Development fees ("PAD"), and Trunk Sewer Capital Reserve fees, which were assessed during the fiscal year, ended June 30, 2000. The major categories of DIFs are for transportation, traffic signal, park, drainage, sewer and public facilities. The Transportation DIF was increased in November 1999 from $3,998 to $5,920 per EDU. The Public Facilities DIF fees were increased in June 2000 from $2,150 to $2,618 per EDU. Other existing DIFs remained at the same rate as the previous year. DEVELOPMENT IMPACT FEES (DIF) TRANSPORTATION DEVELOPMENT IMPACT FEE - This fee was adopted by the City to finance and coordinate the construction of new transportation facilities so that streets are built when needed. This fee is applicable to all new development east of 1-805. Prior to the program, streets were built by developers in a fragmented fashion with 6-lane facilities, necking down to 2-lanes and expanding back to 6 lanes again. In addition, there was a fairness issue since some developers fronted on large streets and others did not. Now all developers in the Eastern portion of Chula Vista pay the same fee per dwelling unit and either the City constructs the street or a developer does, using the cost to offset the TransDIF fee at the building permit stage. The fee for FY00 was $5,920 per equivalent dwelling unit (EDU). Detailed FY00 financial information is presented on Attachment A - Schedule 1. EASTLAKE PARK DEVELOPMENT IMPACT FEE - This fee was adopted by the City to finance and coordinate the construction of park facilities in the Eastlake area. During FY00, the City and Eastlake changed the terms of the loan through the Amended and Restated Eastlake III Development Agreement, which was approved by the City Council on February 1, 2000. It is ordinance number 2805 which became effective March 6, 2000. Under the revised agreement, the City has loaned the principal plus accrued interest for a total of $880,738 from this fund to Eastlake. The demand for payment shall be within 90 days of City's written request or June 1, 2002 whichever occurs first. The amount of interest shall accrue based on the average quarterly interest earnings rate on the City's investment pool of funds. When the funds are repaid, they will be used to build a community center. Detailed FY00 financial information is presented on Attachment A - Schedule 2. TRAFFIC SIGNAL FEE - This fee was adopted to provide for the projected traffic signal needs for the City that result from increases in traffic volume caused by development. As funds are accumulated they are expended on traffic signal projects that meet the warrants at the time the funds are available. This is a citywide fee with a FY00 rate of $13 per trip generated. Detailed FY00 financial information is presented on Attachment A - Schedule 3. Page 3, Item Meeting Date 1/16/2001 TELEGRAPH CANYON DRAINAGE DIF - This fee is applicable to all new development within the Telegraph Canyon Drainage Basin. Detailed FY00 financial information is presented on Attachment A - Schedule 4. INTERIM PRE-SR125 DEVELOPMENT IMPACT FEE - This fee was adopted by the City to finance transportation facilities in the Eastern Territories that would be needed to provide adequate and safe transportation facilities if there are delays in the construction of State Route (SR) 125 by CALTRANS or others. The fee in FY00 was $820 per EDU. Detailed FY00 financial information is presented on Attachment A - Schedule 5. TELEGRAPH CANYON GRAVITY SEWER DIF - This is a fee for the expansion of the trunk sewer within the basin for tributary properties. The fee in FY00 was $216.50 per EDU. Detailed FY00 financial information is presented on Attachment A - Schedule 6. TELEGRAPH CANYON PUMPED SEWER DIF - This fee is collected for the expansion of the Telegraph Canyon trunk sewer to serve those properties outside of the basin. These flows are pumped into the trunk line temporarily and it is anticipated they will ultimately drain to another basin, either Pogo or Salt Creek, by gravity. If Telegraph Canyon basin becomes built out, there may be no reserve capacity for the temporary pumped flows and a parallel system must be built. At the time that the Pogo Canyon and/or Salt Creek Basin sewer facilities are completed, the unused funds paid by developments in the basin will be returned to the current property owners. The FY00 fee was $560 per EDU. Detailed FY00 financial information is presented on Attachment A - Schedule 6. SALT CREEK SEWER BASIN DEVELOPMENT IMPACT FEE - This fee was adopted to provide the necessary financing to construct the Salt Creek Interceptor. This fee is applicable to the Salt Creek Sewer Basin, that portion of the Upper Otay Lake Basin north of the Salt Creek Sewer Basin, and that portion of the Lower Otay Lake Basin east of the Salt Creek Sewer Basin. The fee in FY00 was $284 per EDU. Detailed FY00 financial information is presented on Attachment A - Schedule 6. POGGI CANYON SEWER BASIN DEVELOPMENT IMPACT FEE - This fee was adopted to provide the necessary financing to construct a trunk sewer in the Poggi Canyon Sewer Basin from a proposed regional trunk sewer west of 1-805 along Olympic Parkway to the boundary of Eastlake. The fee was established at $400 per single-family dwelling. Detailed FY00 financial information is presented on Attachment A- Schedule 6. OTAY RANCH VILLAGE 1 & 5 PEDESTRIAN BRIDGE DEVELOPMENT IMPACT FEE - This fee was adopted to provide the necessary financing to construct the facilities. The fee was established at $545 per EDU. Detailed FY00 financial information is presented on Attachment A - Schedule 7. Page 4, Item Meeting Date 1/16/2001 PUBLIC FACILITIES DIF - The Public Facilities DIF is a citywide fee with several components levied to fund that portion of public facilities projects attributable to new development. The total fee for all components is $2,618 per EDU. Detailed FY00 financial information is presented on Attachment B - Schedules 1 and 2. The components of the Public Facilities DIF with the current fees are as follows: ADMINISTRATION ($134) - Administration of the Public Facilities DIF program, overseeing of expenditures and revenues collected, preparation of updates, calculation of costs. etc. CIVIC CENTER EXPANSION ($480) - Expansion of the Civic Center per the Civic Center Master Plan prepared in 1989, to provide sufficient building space and parking for the existing and anticipated staff and the public. The 1989 civic center master plan has also been updated to include the Otay Ranch impacts. POLICE FACILITY ($735) - Accommodation of the building space needs per the Civic Center Master Plan, which included upgrading of the communications center, construction of a new (or expanded) police facility, office improvements and installation of new communication consoles. Also included is the purchase and installation of a new computer aided dispatch system (CAD), a new Records Management System, and new Mobile Digital Terminals. CORPORATION YARD RELOCATION ($386) - Relocation of the City's existing corporation yard from the bay front area to the former SDG&E site rather than building from scratch. LIBRARIES ($638) - Improvements include construction of the South Chula Vista library and Eastern Territories library(ies), and installation of a new automated library system. This component is based on the updated Library Master Plan. FIRE SUPPRESSION SYSTEM ($203) - Projects include the relocation of Fire Station #4 & #3, construction of a fire training tower and classroom, purchase of a brush rig, expansion of Fire Station #1, installation of a radio communications tower and construction of an interim and permanent Station #6. This fee also reflects the updated Fire Station Master Plan, which includes needs associated with the Otay Ranch. GEOGRAPHIC INFORMATION SYSTEM ($16) - Purchase and installation of a GIS system for mapping of various base maps and creation of geo-data files to aid in planning and processing of land developments. This is a joint impetus project, with both a City and new development share. MAINFRAME COMPUTER ($7) - Purchase and installation of a new mainframe computer and various enhancements to meet existing and future needs for additional memory and storage space and enhanced processing speed. Page 5, Item Meeting Date 1 / 16/2001 TELEPHONE SYSTEM UPGRADE ($13) - Upgrading and expansion of the City's existing telephone system to accommodate growth, including installation of new conduit, wiring additional telephone lines, and a voice processing system. RECORDS MANAGEMENT SYSTEM ($6) - Updating and modernization of the existing records system to prepare the City for anticipated increases in transactions and volumes of records. Although the majority of project costs are to be borne by new development, it's important to note that various components or specific projects within a component contain both a City and new development cost share. The City share generally reflects "joint impetus" projects, which are necessitated by both growth and non-growth factors and/or the City's obligation to correct pre-existing space/equipment deficiencies. The PFDIF fees only relate to new development's cost share for each component. PARKLAND AQUISITION AND DEVELOPMENT (PAD) FEES This in lieu fee was adopted by the City to acquire neighborhood community parkland and construct parks and recreational facilities. The FY00 fee was $4,375 per single-family dwelling unit. Detailed FY00 financial information is presented on Attachment C. TRUNK SEWER CAPITAL RESERVE FEES This fee was established to pay all or any part of the cost and expense to enlarge sewer facilities of the City so as to enhance efficiency of utilization and/or adequacy of capacity. Detailed FY00 financi: °ormation is presented on Attachment D. FY00 FINANCIAL INFORMATION Attachment A, Schedules 1 through 7 reports the required financial information for all DiFs other than public facilities. Attachment B, Schedules 1 and 2 reports the required financial information for the Public Facilities DIF and its components. Attachment C reports the required financial information for the PAD fees. Attachment D reports the required infoHnation for the Trunk Sewer Capital Reserve fees. The schedules contain the following items: The beginning balances as of July 1, 1999 The fees received during the fiscal year ended June 30, 2000 Other miscellaneous revenues received during the fiscal year ended June 30, 2000 The interest earned from investing the cash balances available in each fund during the Page 6, Item Meeting Date 1/16/2001 fiscal year ended June 30, 2000 The expenditures from each of the funds during the fiscal year ended June 30, 2000 A description of each capital project with expenditures funded emirely or in part by DIF/PAD/Trunk Sewer in FY00 and the percentage of rite project funded by this fee through FY00. More detailed information on any project is available in the annual Capital Improvement Project (CIP) Budget. Information on any loans from DIF/PAD/Trunk Sewer Capital Reserve funds during FY00 The ending balances as of June 30, 2000 for each of the DIF/PAD/Trunk Sewer Capital Reserve Funds The amount, description and purpose of the fee An identification of an approximate date by which the construction of the public improvement will commence The ending balances as of June 30, 2000 are in the process of being audited as part of the audit of citywide financial statements, and are therefore subject to adjustment. FINDINGS REQUIRED FOR FUNDS IN POSSESSION OVER 5 YEARS Government Code Section 66001(d) requires the local agency to make findings every five years with respect to any portion of the DIF fees remaining unexpended to identify the purpose for which it was charged. This year the City has elected to make such findings for any funds remaining unexpended for five or more years. The following project has fees, which were collected five or more years ago, which remain unexpended and is listed to satisfy Section 66001 (d) of the Government Code. a. Eastlake Park Development Impact Fee The fees collected prior to FY93 plus the interest earned is still needed for park facilities. Per Council approval and a request from the Eastlake Development Co. for their cash flow needs, the funds are on loan to Eastlake Development Company to be repaid on demand. No other DIF or PAD funds contain monies that have been on deposit for five or more years. Copies of this report were sent to the Ayres Land Company, the Building Industry Association of San Diego, the Eastlake Development Company, the McMillin Companies, the Otay Ranch Company and Pacific Bay Homes. Page 7, Item Meeting Date 1/16/2001 FISCAL IMPACT: With findings that identify the continued need for the unexpended and/or committed or uncommitted fees, the City retains the fees for the future projects. Without findings that the unexpended funds are still needed for the projects, the City would be obligated to refund the $783,060 in park funds plus interest accrued that have been held for five or more years pursuant to State Government Code Section 66000. Since the City has loaned $800,000 of the park funds to the developer, Eastlake Development Company, money would have to come from some other source to refund the $783,060 plus interest. The loss of the funds would jeopardize the Eastlake Park Agreement and the future EastLake community center. Attachment A - Schedules 1 through 7:FY00 Financial Information for all DIFs except Public Facilities DIF Attachment B - Schedules 1 & 2:FY00 Financial Information for Public Facilities DIF Attachment C - FY00 Financial Information for PAD fees Attachment D - FY00 Financial Information for Trunk Sewer Capital Reserve fees ATTACHMENT A ATTACHMENT A | ATTACHMENT A ATTACHMENT A 't~l~' _ ~o ~ 0 c~ ~_w c ~ w ~ o o w · 'r '~' ~ ,c2_ o .~ o ILl "' ~ ~ o°o°8°°°°°°°°oo'~o I-- IZ~ · - o ~0Z ~ ~o~o~~oo~ (~ w ~ o ~ E < ~w ,~ ~E~,_s._o ~ '~ E '~ ~ ~ ~ " " ~EcE~ X Z -- O ATTACHMENT A ATTACHMENT A ATTACHMENT A ATTACHMENT A ATTACHMENT A 7~-./7 ATTACHMENT B 0(~' v-~Ot'-~Dh-~ wOE ..... ~ ~ ~ ~ o ~ .- ~ W>~E9~ 9~'~ ATTACHMENT B ATTACHMENT B ATTACHMENT C 0 I- v-~ cq¢,,o ¢-4co co IAI ~--D ~ ~ ~-'~- ', au_ wa_ IAII' ma 0"' >w a~ o, o --= .=-._ .~-= = ~ o° a>, o "o ~a.o~ I- o w~ -- m~ ~EE :~ o =~ ~l LOOOLOOO LA, PN ._O ~ IH a ~ c e = ~ z ~ ~__.x u_ ~ z :D · E >- Q ~ u, 7A,?t ATTACHMENT C.1 0 z o ~ o oooooooNmooo OW -~o ~W ~.- ~ ~ ~w o~w ~> X x ~=~ $~ o~m_~oo ATTACHMENT D ATTACHMENT D.1