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HEARING - The Board is asked to consider a request from the El Dorado Hills Community Services District ("District") to adopt and authorize the Chair to sign Resolution 101-2018 revising parks and recreation development impact mitigation fees for the District. (Est. Time: 30 Min.)
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DISCUSSION / BACKGROUND
The California Mitigation Fee Act (Cal. Gov. Code §§ 66000-66025) provides for the establishment of fees on new development for the purpose of mitigating the effects of development on existing public facilities. Special districts do not have statutory authority to impose these fees. As a result, the Board of Supervisors has passed an ordinance providing for the establishment of such fees on behalf of special districts. The ordinance was codified as Chapter 13.20. Development impact mitigation fees were first collected on the District's behalf in 1998. The District's fee was last updated in 2007.
The District has contracted with David Taussig and Associates to review the fee and provide a nexus study report using the "Standards-Based Approach." This method uses a facility "standard" established for future development, against which facilities costs are determined based on "units of demand" or a "level of service" from a development. This approach established a generic unit cost for capacity, which is then applied to each land use type per unit of demand. This standard is not based on the cost of a specific existing or future facility, but rather on the cost of providing the current level of service for the District, which is 5.33 acres of park and recreational facilities per 1,000 residents. The nexus study has been reviewed by County staff and appears to meet all the requirements of the California Mitigation Fee Act.
The current fees were established by Resolution 177-2007 (Legistar file #07-1203). The current and proposed fees are as follows:
Current Proposed
Residential Development Per Unit Per Unit
Single Family Unit $9,806 $11,718
Single Family - Serrano $2,452 $11,718
Age-Restricted $5,736 $6,848
Multi Family $8,103 $7,734
Multi Family - Serrano $2,025 $7,734
Mobile Home $7,184 $11,718
The number of fee categories has been reduced. Previously, housing in Serrano was assessed a reduced fee and mobile homes were distinguished from other single family residential units. The current nexus study found no basis for charging reduced fees on these types of units. All single family units, including those located in Serrano developments and mobile homes, will be charged the same fee. All multi-family residential, including units within Serran developments will be charged the same fee. The District Board approved the nexus study and adopted the recommended fees on February 10, 2016, at a noticed public hearing.
Notice of today's public hearing was published in the Mountain Democrat on May 11, 2018 and May 18, 2018. The nexus study and staff report were made available for public review on May 11, 2018.
If approved by the Board, the proposed fees will become effective 60 days following the Board's adoption of the resolution. The County Building and Planning Department currently calculates and collects the fee, and will continue to do so as provided in the collection and indemnity agreement approved by the Board of Supervisors on December 19, 2017 (Legistar File 17-1355). That agreement provides for the County to retain up to 1% of fee revenue to offset the actual and necessary costs of administering the fee program. The CAO is working with all affected departments to determine an appropriate methodology for recovering costs associated with impact fee program administration.
For informational purposes, attachments to this item include letters the Board of Supervisors received from Serrano Associates (Attachment C) and the North State Building Industry Assocation (Attachment D) and the District's response (Attachment E). In addition, a letter from the District to the Chief Administrative Office is attached, providing some additional clarification of some items in the nexus study (Attachment F).
ALTERNATIVES
The Board could choose to not adopt this resolution, and the existing fees would continue in effect.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
El Dorado Hills Community Services District; County Counsel
CAO RECOMMENDATION
See attached memo (Attachment G).
FINANCIAL IMPACT
There is no direct fiscal impact to the County related to adoption of the fee other than the cost to publish the notice of the required public hearing. The calculation, collection, and disbursement of fee revenue require some County staff time, the cost of which may be recovered through an administrative fee.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Don Ashton, Chief Administrative Officer
Sue Hennike, Principal Analyst