Title
Planning and Building Department recommending the Board approve the attached Fiscal Impact Analysis and Public Facilities Financing Plan Process Manual and Guidelines.
FUNDING: Project Applicant Time and Materials Funding.
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DISCUSSION/BACKGROUND
With the help of Goodwin Consulting Group, and in consultation with the Chief Administrative Office, County Counsel, and the Department of Transportation, the Planning and Building Department has developed a set of protocols and procedures to assist applicants in the preparation of a Fiscal Impact Analysis (FIA) and a Public Facilities Financing Plan (PFFP) for proposed projects within unincorporated areas of El Dorado County (Attachment A).
In brief, an FIA is prepared for development projects to estimate the ongoing revenues that would be generated by it and the ongoing costs that will be incurred in order to determine the fiscal impacts that will result to the County General Fund. The FIA will include a projection of property tax and sales tax revenues, transient occupancy taxes, property tax in-lieu of vehicle license fees, gas taxes, and other revenues that will result from new development within the Project. These revenues will be compared to the total cost of providing police, fire, street maintenance, park maintenance, County administration, and other services that may be funded by the General Fund. To the extent service costs exceed estimated revenues, a mechanism should be proposed in the FIA to mitigate the projected deficit.
The PFFP for a project will set forth a proposed funding strategy for public infrastructure and community facilities that are needed to serve the project. Funding capacity from land-secured financing, such as Mello-Roos or assessment districts, will be estimated and applied to assist in funding facilities in a timely manner. The PFFP will also provide an estimate of the total infrastructure burden for each land use, and determine whether these burdens are viable based on the competitive marketplace and industry-standard tests of feasibility.
When it is determined that a project will require an FIA and/or a PFFP, pursuant to General Plan Policy 10.2.1.5 or otherwise, the attached Guidelines will be provided to the applicant. An Early Project Review meeting is set up to discuss the report requirements and suitable assumptions with the Project Applicant, the consultant preparing the FIA and/or PFFP, and the County Project Manager and/or consultant. Once a draft FIA and/or PFFP is completed and submitted by the Applicant, the draft will be reviewed by County staff, as appropriate.
ALTERNATIVES
The Board could choose to not approve or to amend the FIA/PFFP Guidelines. If the Board decides to not approve the Guidelines, the Planning and Building Department will continue to rely on outside consultants, as they do now, to review FIA and PFFP documents for development projects; however, without the Guidelines in place, neither the Project Applicant nor the reviewing consultant will have a clear set of expectations from the County. The cost of the FIA/PFFP review, whether performed by staff or consultants, is paid by the Project Applicant.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT/AGENCY INVOLVEMENT
Chief Administrative Office
County Counsel
Auditor-Controller
Department of Transportation
CAO RECOMMENDATION
Approve as recommended.
FINANCIAL IMPACT
There is no financial impact associated with approval of the FIA/PFFP Guidelines. Staff costs to review FIA and PFFP documents will be funded by the Project Applicant.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
Economic Development: The FIA/PFFP Guidelines further General Plan Economic Development Element Objectives 10.2.1 - Public and Civic Facilities Investment and 10.2.5 - New Development Fiscal Effects.
CONTACT
Tiffany Schmid, Director
Planning and Building Department