HomeMy WebLinkAbout2010/09/14 Item 2
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SECOND READING AND ADOPTION
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ORDINANCE NO.
ORDINANCE OF THE CITY OF CHULA VISTA MODIFYING
nlE FEE DEFERRAL PROGRAM
WHEREAS, the City of Chula Vista (City) requires the payment of various types offces to
help off-set the, impacts of new development; and
WHEREAS, Chapter 5 of the California Government Code starting with ~66000 and titled
the "Mitigation Fee Act" Cthe Act") establishes processes and conditions for the charging and
payment of impact fees for development project; and
WHEREAS, ~66007(a) and (b) provides that fees on residential development shall not be
required to be paid prior to the date of final inspection or certificate of occupancy; however, if the
local agency determines that fees or charges for public improvements or facilities that are part of a
plan are needcd prior to such dates, they may be required at an earlier time; and
WHEREAS, the City has adopted several fees and charges for public improvemcnts and
facilities as part of a plan, including:
L Telegraph Canyon Drainage Fee, adopted on August 7, 1990, pursuant to Ordinance
No. 2384
2. Poggi Canyon Sewer Basin Development Impact Fee, adopted on December 9, 1997,
pursuant to Ordinance No. 2716
3. Salt Creek Sewer Basin Development Impact Fee, adopted on August 24, 2004,
pursuant to Ordinance No. 2974
4. Otay Ranch Village 1 and 5 Pedestrian Bridge Development Impact Fee, adopted on
January 5, 1999, pursuant to Ordinance No. 2767
5. Pedestrian Bridge Development Impact Fee Program for Otay Ranch Village II,
adopted on February 18,2003, pursuant to Ordinance No. 2898
6. "PFDlF" to pay for various public facilities, pursuant to Chapter 3.50 of the Chula
Vista Municipal Code
7. Transportation Development Impact Fee for the Eastern Territories of the City (TDIF),
pursuant to Chapter 3.54 of the Chula Vista Municipal Code
8. Western Transportation Development Impact Fee (WTDIF), pursuant to Chapter 3.55
of the Chula Vista Municipal Code
9. Park lands and Public Facilities Fees (Pad Fees) to pay for park related lands acquisition
and the development of park facilities, pursuant to Chapter 17.10 of the Chula Vista
Municipal Code
10. Scwage Capacity Charge, pursuant to Section 13.14.090 of the Chula Vista Municipal
Code
WHEREAS, the City requires the preceding fees to be paid prior to or upon issuance of
building permits; and
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Ordinance No.
Page 2
WHEREAS, the City recognizes that the payment of fees represents a substantial tinancial
commitment for many projects; and
WHEREAS, the City recognizes that delaying certain fees may assist in the development of
projects; and .
WHEREAS, City Council has adopted Ordinance 3120 to establish a payment plan
program to help lower the financial commitment for projects within the City until December 31,
2010; and
\VHEREAS, City Council has adopted Ordinance 3126 to provide for the deferral of Park
Acquisition and Development Fees; and
WHEREAS, the building community has requested that the deferral program be modified
such that the above refcrenced fees would be payable prior to final inspection of each building
permit; and
WHEREAS, the City agrees that, provided it determines such fees are not needed prior to
or upon issuance of building permits and that deferral shall not impact related Capital
Improvement Programs or the provision of facilities, during the period of economic downturn, it
would be appropriate to collect fees prior to final inspection or certificate of occupancy; and
WHEREAS, the City would like to adopt an ordinance with a sunset period allowing for
the payment of such fees prior to final inspection or certificate of occupancy upon request of the
applicant and a determination by the City that such fees are not needed at an earlier time.
NOW THEREFORE, the City Council of the City of Chula Vista docs ordain that
Ordinances 3120 and 3126 sh31l be repealed and replaced as follows:
Section 1. Environmental Review
TIle City's Environmental Review Coordinator has reviewed the proposed activity for compliance
with the California Environmental Quality Act (CEQA) and has determined that the activity is not
a "Project" as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to
Section 15060(e)(3) of the State CEQA Guidelines the activity is not subject to CEQA.
Section 2. Purpose
The City Council of the City of Chula Vista desires to encourage the construction of residential
and nonresidential development projects within the City. The City Council finds that the early
payment of cert3in impact fees for new development is not always essenti31 to the orderly and
efficient development and in the current economic downturn. cre3tes a barrier to such
development. The City, therefore desires, by the adoption of this Ordin3nce, to ease such barrier
by delaying the trigger for the payment of some fees for a certain period of time, provided the City
deterrnines that such fees will have no imp3ct on the City's improvement programs 3rld provision
of public facilities.
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Ordinance No.
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Section 3. Definitions
"Applicant" means the owner of the real property or the developer with an approved development
project who seeks to defer a development impact fee until final inspection or certificate of occupancy.
"Approved Residential Development Project" means a market rate residential development consisting of
single-family or multifamily residential units sold or rented at prevailing market rates and free of any
affordabilily restrictions which has received final discretionary action by the City and which is in
compliance with all environmental requirements due prior to issuance of a building permit.
"Approvcd Development Project" means a nonresidential development which has received final
discretionary action by the City and which is in compliance with all environmental requirements due
prior to issuance of a building permit.
Section 4. Application of this Ordinance
This Ordinance shall apply only to Approved Residential Development Projects and Approved
Development Projects as defined in this Ordinance.
Section S. Fees Subject to the I'ayment Plan Program
Notwithstanding the provisions of Chapters 3.54, 3.55 and 17.10 of the Chula Vista Municipal Code and
the Ordinances listed below to the contrary, the provisions of this Ordinance shall apply only to the
following fees:
(A) the Sewer Capacity ree codified in Section 13.14.090 of the Chula Vista Municipal Code;
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(B) the Development Impact Fees to Pay for Various Public Facilities codified in Chapter 3.50 of the
Chula Vista Municipal Code; .
(Cl the Eastern Area Transportation Development Impact Fee eodificd in Chapter 3.54 of the Chula
Vista Municipal Code;
(D) the Western Transportation Development Impact Fee codified in Chapter 3.55 of the Chula Vista
Municipal Code;
(E) the Telegraph Canyon Drainage Fee established on August 7,1990 pursuant to Ordinance No. 2384;
(F) the Poggi Canyon Sewer Basin Development Impact Fee established on December 9, 1997, pursuant
to Ordinance No. 2716;
(G) The Salt Creek Sewer Basin Development Impact Fee established on August 24, 2004 pursuant to
Ordinance No.2974;
(I-l) the Otay Ranch Village I and 5 Pedestrian Bridge Development Impact Fee established on January
5 1999 pursuant to Ordinance No. 2767; and
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Ordinance No.
Page 4
(I) the Pedestrian Bridge Development Impact Fee Program for Otay Ranch Village II established on
February 18,2003, pursuant to Ordinance No. 2898.
(1) the Parklands and Public Facilities fees of Title 17.10 of the Chula Vista Municipal Code
Section 6. Time of Payment of Fcc
(A) All fees subject to this Ordinance shall be paid prior to Final Inspection or Certificate of Occupancy.
(B) Nothwithstanding Section 6(A), above, the City Manager, in his/her sole discretion, may require
payment of the fees at an eClrlier date upon the occurrence of any of the following events:
I. the change of ownership of the Approved Residential Development Project, Approved
Development Project, or any portion or portions thereof.
2. upon the City's Finance Director determination that the fees are necessary based on the adopted
facilities programs in accordance "ith section 66007 (b) I of the Government Code.
3. upon a determination by the City' Finance Director, that there exists a risk associated with the
collection of fees at a date later than permit issuance.
Section 7. Amount of Fees Due and Payable
(A) The amount of development impact fees due and payable by the Applicant shall be the amount of the
fee at the time of payment, not the time of building permit issuance.
(B) In the event that the City, for any reason, fails to collect any or all fees prior to Final Inspection or
Certificatc of Occupancy, such fee shall remain the obligation of the applicant, be subject to interest at the
rate of 2% per annum from the date on which Final Inspection or Certilicate of Occupancy was issued,
and be adjusted and increascd by any amOlmt incurred by the City related to the collection of such fees.
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Section 8. Expiration of this Ordinance
This Ordinance shall take effect thirty days after final pClssage and shall automatically expire on Dccember
31,201 I, and as of that date, is deemed repealed. Notwithstanding the foregoing, any building permit
issued prior to the expiration of this Ordinance shall not be required to pay fees until Final Inspection or
Certificatc of Occupancy, provided none of the events identified in Section 6(B) have occurred.
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Presented by
A pproved as to form by
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~l3art c. Miesfeld -f\n~'" I LI
City! Agency Attorney
Wi lLot.
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Gary Halbert, AICP, PE
Assistant City ManagerlDirector of
Development Services
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