Carpinteria Municipal Code Ch. 15.80 Development Impact Mitigation Fees

The council finds and declares as follows:

A. The state of California, through the enactment of Government Code Sections 66001 through 66009 has, among other things, determined a nexus must be established in the enactment of development impact fees.

B. The imposition of development impact fees is one of the preferred methods of ensuring that new development bears a proportionate share of the cost of public facilities and service improvements necessary to accommodate such development. This must be done in order to promote and protect the public health, safety, and welfare.

C. This chapter recognizes that all new development within the city will result in additional growth and that such growth will place additional burdens on various city facilities, infrastructure, and services. This chapter further recognizes the types of land development that will generate impacts necessitating the acquisition of land and construction of public facilities and expansion of services and infrastructure in order to meet and accommodate them.

D. All land uses within the city should bear a proportionate financial burden in the construction and improvement of public facilities and services necessary to serve them.

E. By separate resolutions on file in the office of the city clerk, the council has adopted the development impact fee study update and capital improvement plan.

F. The development impact fees established by this chapter are based upon the costs which are generated through the need for new facilities and other capital acquisition costs required, incrementally, by new development within the city.

G. The fees established by this chapter do not exceed the reasonable cost of providing public facilities occasioned by development projects within the city.

H. The fees established by this chapter relate rationally to the reasonable cost of providing public facilities occasioned by development projects within the city, which public facilities consistent with the city's general plan and the housing element of the general plan.

I. The public facilities and anticipated future development herein referenced are based upon an analysis of existing land use and zoning.

J. The fees established by this chapter are consistent with the goals and objectives of city's general plan and are designed to mitigate the impacts caused by new development throughout the city. Development impact fees are necessary in order to finance the required public facilities and service improvements and to pay for new development's fair share of their construction costs.

K. Imposition of fees to finance public facilities and service improvements is necessary in order to protect the public health, safety and welfare.

L. It is necessary for the provisions of this chapter to apply to these developments in order to protect the public health, safety and welfare by the provision of adequate public facilities, to afford developers certainty with regard to their financial obligations, and to ensure that such development will not create a burden on the interrelated public facilities and services networks of the city.

(Ord. No. 718, § 2, 9-25-2017; Ord. 597 § 1 (part), 2004; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

For purposes of this chapter, the following terms, phrases, words and their derivation shall have the meanings respectively ascribed to them by this section:

A. "Development" or "development project" means any project undertaken for the purpose of development. "Development" or "development project" shall include all projects involving any use or work requiring a development permit under the Carpinteria Municipal Code or ordinances of city, as the same presently exist or may be amended from time to time hereafter. The term "development" or "development project" shall also include permits for erection of manufactured housing or structures, and structures moved into the city.

B. "Fee" means a monetary exaction, other than a tax or special assessment, which is charged by city to an applicant in connection with approval of a development project for the purpose of defraying all or a portion of the cost of public facilities related to the development project, but does not include fees specified in Section 66477 of the California Government Code, fees for processing applications for governmental regulatory actions or approvals, or fees collected under development agreements adopted pursuant to Article 2.5 (commencing with Section 65864) of Chapter 4, Division 1, Title 7 of the California Government Code.

C. "Public facilities" includes public improvements, public services, and community amenities.

D. "Development permit" means any building permits, electrical and plumbing permits, moving permits and the like required for construction, reconstruction, remodeling, moving structures into the city or similar activities as well as any land use permits including temporary use permits, conditional use permits and the like required to undertake certain types of activities compatible with the zoning district.

(Ord. 620 §§ 2, 3, 2007; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. The following development impact fees are established and imposed on the issuance of all development permits for development within the city to finance the cost of the following categories of public facilities and improvements required by new development.

1. General Government Facilities. A development impact fee is established for general government facilities.

2. Highways and Bridges. A development impact fee is established for highways and bridges.

3. Storm Drain Facilities. A development impact fee is established for storm drain facilities.

4. Traffic Control Facilities. A development impact fee is established for traffic control facilities.

5. Streets and Thoroughfares. A development impact fee is established for streets and thoroughfares.

B. The following development impact fees are established and imposed on the issuance of non-subdivision residential development permits for development within the city to finance the cost of the following category of public facilities and improvements required by new residential development. "Non-subdivision residential" means construction or installation of new residential units which do not involve the subdivision of land, and includes second units, mobile homes, apartments, single-family duplexes, and single-family homes on preexisting lots.

C. The following development impact fees are established and imposed on the issuance of all residential development permits (whether associated with subdivisions or not) for development within the city to finance the cost of the following category of public facilities and improvements required by new residential development.

1. Park and Recreation Facilities. A development impact fee is established for park and recreation facilities.

2. Aquatic Facilities. A development impact fee is established for aquatic facilities.

D. The following development impact fee is established and imposed on the issuance of all commercial, retail, and industrial development permits for development within the city to finance the cost of the following categories of public facilities and improvements required by new commercial, retail, and industrial development.

1. Open Space. A development impact fee is established for open space land acquisition.

E. The following development impact fee is hereby established for development within the city's downtown "T" that does not provide adequate on-site parking, as required by the Carpinteria Municipal Code. The downtown "T" is generally defined as that portion of the city bounded to the north by Carpinteria Avenue, to the south by Union Pacific Railroad, to the east by Maple Avenue, and to the west by Elm Avenue and more particularly described in Exhibit A to the ordinance codified in this section, which is on record at the office of the community development director. The development impact fee shall be imposed on the issuance of a development permit and shall be used to finance the cost of the following categories of public facilities and improvements:

1. Parking Facilities. A development impact fee is established for the establishment of parking facilities and improvements within the downtown area.

F. The council shall from time to time adopt, after noticed public hearing, a resolution setting forth specific development mitigation fees. In adopting the resolution, the council shall:

1. Identify the purpose of the fee;

2. Identify the use to which the fee is to be put. If the use is financing public facilities, the facilities shall be identified as required by subsection (a)(2) of Section 66001 of the Government Code;

3. Determine a reasonable relationship between the fee's use and the type of residential development project on which the fee is imposed;

4. Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed; and

5. Establish a schedule of fees.

(Ord. No. 718, § 2, 9-25-2017; Ord. 620 §§ 4—8, 2007; Ord. 597 § 1 (part), 2004; Ord. 576 § 1 (part), 2002; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. Any person who, after the effective date of the ordinance codified in this chapter, seeks to develop land within the city by applying for a development permit, is required to pay the appropriate development impact fees established pursuant to Section 15.80.030 as the same may be applicable, in the manner, amount and for the purposes therein referenced.

B. No permits or extension of permits for the activities referenced in subsection A of this section shall be granted unless and until the appropriate development impact fees required have been paid to the city.

C. Notwithstanding anything to the contrary set forth in subsection A of this section or in any other provision of this chapter, the development impact fees as established pursuant to Section 15.80.030 shall apply to any development project which has heretofore received a tentative map approval from the city, where the approval of the same, assented to by the developer, has been conditioned upon payment of the fees established as a result of the analysis and study pertaining to development impact fees undertaken by MuniFinancial Inc., and the city (the analysis and study constitute the reports referenced in Section 15.80.010).

(Ord. 620 § 9, 2007; Ord. 597 § 1 (part), 2004; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. Each fee imposed pursuant to Section 15.80.030 of this chapter shall be adjusted automatically on July 1 of each fiscal year, beginning on July 1, 2025, by a percentage equal to the Construction Cost Index as published by Engineering News Record for the preceding twelve months.

B. These automatic adjustments shall not apply to fees which are based on variable factors which result in automatic adjustments or those which specifically indicate otherwise.

(Ord. 627 § 2 (part), 2008: Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

(Ord. No. 640, § 2, 10-12-2009; Ord. No. 787, § 2, 12-9-2024)

The amount of each fee established pursuant to this chapter may be more specifically set and revised periodically by resolution of the council, with the ordinance codified in this chapter being considered as enabling and directive in this regard.

(Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

Each fee collected pursuant to this chapter shall be deposited in a special fund created to hold the revenue generated by each such fee. Moneys within each such fund may be expended only by appropriation by the council for specific projects which are of the same category as that for which the money was collected. In this regard, the following special funds are created and established for the purposes indicated:

A. A general government facilities fund is established. The general government facilities fund is a fund for payment of the actual or estimated costs of constructing and improving the general municipal facilities within the city, including any required acquisition of land.

B. A highways and bridges fund is established. The highways and bridges fund is a fund for payment of the actual or estimated costs of constructing and improving the overpasses to Highway 101 and several key intersections within the city, including any required acquisition of land.

C. A storm drain facilities fund is established. The storm drain facilities fund is a fund for payment of the actual or estimated costs of constructing and improving the storm drain facilities within the city, including any required acquisition of land.

D. A traffic control facilities fund is established. The traffic control facilities fund is a fund for the payment of the actual or estimated costs of constructing and improving the traffic control facilities within the city, including any required acquisition of land.

E. A streets and thoroughfares fund is established. The streets and thoroughfares fund is a fund for payment of the actual or estimated costs of the design, upgrading or improvement of the traffic network.

F. An open space fund is established. The open space fund is a fund for the payment of the actual or estimated costs of acquiring additional acreage to be reserved as open space.

G. A park and recreation facilities fund is established. The park and recreation facilities fund is a fund for the payment of the actual or estimated costs of designing and constructing park and recreation facilities on land acquired for park and recreational purposes.

H. An aquatic facilities fund is established. The aquatics facilities fund is a fund for the payment of the actual or estimated costs of designing and constructing aquatic facilities.

I. A parking facilities fund is established. The parking facilities fund is a fund for payment of the actual or estimated costs of establishing parking improvements and facilities in the downtown area, including any required acquisition land.

(Ord. No. 718, § 2, 9-25-2017; Ord. 597 § 1 (part, 2004; Ord. 576 § 1 (part), 2002; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

The approved zoning for the property to be developed shall be used in the computation of fees required to be paid with respect to any property. If a parcel contains more than one, then the applicable fees shall be prorated by acreage or units, as appropriate, attributable to each one. Properties shall be classified into the category of use as between residential, commercial or industrial, and resort or hotel and shall pay fees pursuant to that classification, as determined by the city manager or a duly authorized designee. All fees due hereunder shall be determined and calculated by the city manager or his duly authorized designee.

(Ord. No. 718, § 2, 9-25-2017; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1996: Ord. 500 § 1 (part), 1994)

A. The fees established pursuant to this chapter shall be paid for the property on which a development project is proposed at the time of the issuance of any required development permit, except as otherwise provided below. Fees imposed on residential development, however, shall be collected in accordance with the provisions of California Government Code Section 66007, as the same presently exists or may hereafter be amended from time to time.

(Ord. 620 §§ 10, 11, 2007; Ord. 597 § 1 (part), 2004; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. A developer of any project subject to the fees described in this chapter may apply to the council for a reduction, adjustment or waiver of any one or more of the fees, based upon the absence of any reasonable relationship or nexus between the impacts of that development and either the amount of the fee(s) charged or the type of facilities to be financed. In the case of fees for land for parks and recreational purposes, the developer may also seek a fee adjustment on the grounds that there is land appropriate for park and recreational purposes that is available at a cost lower than the per acre cost adopted by the city by resolution pursuant to Section 15.80.060. Such a showing shall be made by reference to recent purchase agreements, an appraisal performed by a registered appraiser approved by the city, or a similar and acceptable mechanism. The city's cost for review of such showing shall be borne by the developer. If the council determines that there is appropriate land available at a lower cost, the fee shall be correspondingly recalculated.

B. The application shall be made in writing and filed with the city clerk not later than (1) ten days prior to the public hearing on the development permit for the project, or (2) if no development permit is required, at the time of the filing of the request for a building permit. The application shall state in detail the factual basis for the claim of waiver, reduction or adjustment. As provided herein development permit is defined as the discretionary permit issued for the development project.

C. The council shall consider the application at the public hearing on the development permit or at a separate public hearing held within sixty days after the filing of the fee adjustment application, whichever is later. The decision of the council shall be final. If a reduction, adjustment or waiver is granted, any change in use within the project shall invalidate the waiver, adjustment or reduction of the fee if such change in use would render the same inappropriate. The hearing shall be noticed and conducted in the same fashion and manner as prescribed by the laws of the city for hearing on development permits.

D. The council may, from time to time, and as the need may arise, set forth by resolution specific limitations which will apply to reductions, adjustments or waivers of development impact fees which may be made pursuant to this section. In this regard, this chapter shall be considered enabling and directory.

(Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. Funds collected from development impact fees shall be used for the purpose of (1) paying the actual or estimated costs of constructing and/or improving the public facilities within the city to which the specific fee or fees relate, including any required acquisition of land or rights-of-way therefor; (2) reimbursing the city for the development's share of those public facilities already constructed by the city or to reimburse the city for costs advanced, including without limitation, administrative costs incurred with respect to a specific public facility project; or (3) reimbursing other developers who have constructed public facilities described in the resolution adopted pursuant to Section 15.80.030, where those facilities were beyond those needed to mitigate the impact of the developer's project or projects.

B. In the event that bonds or similar debt instruments are issued for advanced provision of public facilities for which development impact fees may be expended, impact fees may be used to pay debt service on such bonds or similar debt instruments to the extent that the facilities provided are of the type to which the fees involved relate.

C. The city shall deposit, invest, account for, and expend the development impact fees pursuant to California Government Code Section 66006, as the same may be amended from time to time.

D. Funds may be used to provide refunds as described in Section 15.80.120.

(Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. If a development permit expires without commencement of development, then the feepayer shall be entitled to a refund, without interest, of the impact fee paid as a condition for its issuance. The feepayer must submit an application for such a refund to the city manager within thirty (30) calendar days of the expiration of the permit. Failure to timely submit the required application for refund shall constitute a waiver of any right to the refund.

B. In the event any fee collected pursuant to this chapter remains unexpended in any fund established pursuant to Section 15.80.070 the city council shall make the following findings, for the fifth fiscal year following the first deposit into such account, and every five (5) years thereafter, with respect to that portion of the account or fund remaining unexpended, whether committed or uncommitted: (1) identify the purpose to which the fee is to be put; (2) demonstrate a reasonable relationship between the fee and the purpose for which it was charged; (3) identify all sources and amounts of funding anticipated to complete financing of public improvements identified pursuant to subsection E of Section 15.80.030; and (4) designate the approximate dates on which such funding is expected to be deposited into the appropriate fund.

C. The unexpended portion of the fee, and any interest accrued thereon, for which need cannot be demonstrated pursuant to subsection B of this section, shall be refunded to the then current record owner or owners of lots or units of the development project or projects on a prorated basis.

D. The provisions of California Government Code Section 66001(d), (e) and (f), as the same may be amended from time to time, shall apply fully to any refund of fees, and the provisions of subsections B and C of this section shall be subordinate to the section and shall be applied consistent therewith.

(Ord. 620 § 12, 2007; Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. Any claim of exemption with respect to any one or more of the fees referenced in Section 15.80.030 must be made no later than the time for application for fee adjustment pursuant to Section 15.80.100 of this chapter. The following shall be exempted from payment of the development impact fees referenced in Section 15.80.030:

1. Alterations, renovations or expansion of an existing residential building or structure where no additional dwelling units are created and the use is not changed; provided, however, that the expansion of or change of use of an existing commercial or industrial building or structure shall not be exempt from the fees established in this chapter. For purposes of this section, "expansion" shall be defined as any increase in the gross floor area of the existing building or structure and "change of use" shall be defined as the initiation of a use which requires approval of a conditional use permit, development plan, zone change, or local coastal plan amendment.

2. The replacement of a destroyed or partially destroyed or damaged building or structure with a new building or structure of the same size and use.

(Ord. 557 § 1 (part), 1999: Ord. 520 § 1 (part), 1996; Ord. 500 § 1 (part), 1994)

A. New development that, through demolition or conversion, will eliminate existing development is entitled to a fee credit if the existing development is a lawful use under Title 14 of this code, including a nonconforming use.

B. New development that will replace development that was partially or totally destroyed by fire, flood, earthquake, mudslide, or other casualty or act of God, is entitled to a fee credit if the development that was partially or totally destroyed was a lawful use under Title 14 of this code, including a nonconforming use, at the time thereof.

C. Credit for such eliminated development or development that was partially or totally destroyed (as above specified) shall be calculated by the city manager or a designee in accordance with the fee schedule set forth in the resolution to be adopted pursuant to Section 15.80.030 and shall be applied to new development on the same site.

(Ord. 557 § 1 (part), 1999: Ord. 520 § 1 (part), 1996; Ord. 500 § 1 (part), 1994)

A. In-Lieu Fee Credits for Construction of Improvements.

1. A developer that has been required by the city to construct any facilities or improvements (or a portion thereof) referenced in the resolution adopted pursuant to Section 15.80.030 as a condition of approval of a development permit may request an in-lieu credit of the specific development impact fee(s) involved for the same development. Upon request, an in-lieu credit of fees shall be granted for facilities or improvements that mitigate all or a portion of the need therefor that is attributable to and reasonably related to the given development.

2. Only costs proportional to the amount of the improvement or facility that mitigates the need therefor attributable to and reasonably related to the given development shall be eligible for in-lieu credit, and then only against the specific relevant fee(s) involved to which the facility or improvement relates.

3. Fees required under this chapter shall be reduced by the actual construction costs of the facilities or improvements that relate to said fees, as demonstrated by the applicant and reviewed and approved by the city engineer, all consistent with the provisions of subsections (A)(1) and (2) of this section. Subject to the applicable provisions of subsection B of this section, if the cost of the facilities or improvements is greater than required relevant fees, this chapter does not create an obligation on the city to pay the applicant the excess amount.

4. An amount of in-lieu credit that is greater than the specific fee(s) required under this chapter may be reserved and credited toward the fee of any subsequent phases of the same development, if determined appropriate by the city engineer. The city engineer may set a time limit for reservation of the credit.

5. Credits shall be calculated by the city engineer in accordance with the fee schedule set forth in the resolution to be adopted pursuant to Section 15.80.030.

B. Developer Construction of Facilities Exceeding Needs Related to Development Project. Whenever an applicant is required, as a condition of approval of a development permit, to construct any facility or improvement (or a portion thereof) referenced in the resolution adopted pursuant to Section 15.80.030, which facility or improvement is determined by the city to exceed the need therefor attributable to and reasonably related to the given development project, a reimbursement agreement with the applicant and a credit against the specific relevant fee which would otherwise be charged pursuant to this chapter on the development project shall be offered. The credit shall be applied with respect to that portion of the improvement or facility which is attributable to and reasonably related to the need therefor caused by the development, and shall be determined, administered and processed in accordance with and subject to the provisions of Section 15.80.150. The amount to be reimbursed shall be that portion of the cost of the improvement or facility which exceeds the need therefor attributable to and reasonably related to the given development. The reimbursement agreement shall contain terms and conditions mutually agreeable to the developer and the city, and shall be approved by the council. Reimbursement shall be provided from fees which are deposited into the relevant fund or funds by other applicants for development projects.

C. Site-Related Improvements. Credit shall not be given for site-related improvements, including, but not limited to, traffic signals, right-of-way dedications, or providing paved access to the property, which are specifically required by the project in order to serve it and which do not constitute facilities or improvements specified in the resolution referenced in Section 15.80.030 of this chapter.

D. Determination of Credit. The developer seeking credit and/or reimbursement for construction of improvements or facilities, or dedication of land or rights-of-way, shall submit such documentation, including without limitation, engineering drawings, specifications, and construction cost estimates, and utilize such methods as may be appropriate and acceptable to the city engineer to support the request for credit or reimbursement. The city engineer shall determine credit for construction of improvements or facilities based upon either these cost estimates or upon alternative engineering criteria and construction cost estimates if he determines that such estimates submitted by the developer are either unreliable or inaccurate. The city engineer shall determine whether facilities or improvements are eligible for credit or reimbursement.

E. Time for Making Claim for Credit. Any claim for credit must be made no later than the application for a building permit. Any claim not so made shall be deemed waived.

F. Transferability of Credit—Council Approval. Credits shall not be transferable from one project or development to another without the approval of the city council.

G. Appeal of Determinations of City Engineer. Determinations made by the city engineer pursuant to the provisions of this section may be appealed to the council by filing a written request with the city manager, together with a fee established by resolution of the council, within ten calendar days of the determination of the city engineer.

(Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

A. Except for the first year this chapter is in effect, no later than one hundred eighty days following the end of each fiscal year the city manager shall prepare a report for the council identifying the balance of fees in the various funds established pursuant to Section 15.80.070, the facilities constructed, and the facilities to be constructed. In preparing the reports, the city manager shall adjust the estimated costs of the public improvements in accordance with Section 15.80.050.

B. At a noticed public hearing, the council shall review estimated costs of the capital improvements described in the reports, and the continued need for these improvements. The council may revise the development impact fees to include additional projects not previously foreseen as being needed; and such revisions shall comply with Government Code Section 66001.

C. The report prepared by the city manager and its review by the council, as well as any findings thereon, shall be subject to the provisions of California Government Code Section 66006, to the extent applicable (the sections being controlling in the event of any applicable conflict).

(Ord. 627 § 2 (part), 2008: Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

(Ord. No. 640, § 2, 10-12-2009; Ord. No. 787, § 2, 12-9-2024)

The provisions of this chapter and any resolution adopted pursuant hereto, shall at all times be subject and subordinate to the provisions of Chapter 5 (commencing with Section 66000), Division 1, of Title 7 of the California Government Code, as the same presently exist or may hereafter be amended from time to time, to the extent the same are applicable. In the event of any applicable conflict between the provisions of this chapter and the state law, the latter shall control.

(Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)

The provisions of this chapter and any resolution adopted pursuant hereto, shall supersede any previous ordinance or resolution to the extent the same is in conflict herewith.

(Ord. 557 § 1 (part), 1999: Ord. 500 § 1 (part), 1994)