Earlier editions: 2026-09
Title 3 — REVENUE AND FINANCE›Chapter 3.85 — DEVELOPMENT IMPACT FEES
Chico Municipal Code Art. IV Storm Drainage Facility Fees
Chico Municipal Code · 2026-10 edition · updated 2026-10-04 · Chico
Cite as: Chico Municipal Code Article IV · Text as of 2026-10-04
3.85.405 Imposition of storm drainage fees.¶
A. Residential Property. A storm drainage fee shall be assessed and levied upon the owner of residential property located within the city, including any public agency owning residential property located within the city, at any time the owner of such property:
Commences to use the property for residential purposes by constructing a building on the property containing one or more dwelling units;
Expands an existing residential use on the property either by expanding the area of the property devoted to such existing residential use or by constructing alterations or additions to an existing building on the property which adds one or more dwelling units to such building; or
Changes the use of the property from a previous nonresidential use to a residential use.
B. Nonresidential Property. A storm drainage facility fee shall be assessed and levied upon the owner of nonresidential property located within the city, including any public agency owning nonresidential property located within the city, at any time the owner of such property:
Commences to use the property for a nonresidential purpose by devoting all or any part of the property to a nonresidential use;
Expands an existing nonresidential use of the property by expanding the area of the property devoted to such existing nonresidential use; or
Changes the use of the property from a previous residential use to a nonresidential use, or from a previous nonresidential use to another nonresidential use requiring a certificate of occupancy under the building regulations adopted by or pursuant to this code.
C. Mixed Used Projects. A transportation facility fee, consisting of a street facility improvement fee, a street maintenance equipment fee and a bikeway improvement fee shall be assessed and levied upon the owners of a mixed use project, however, the mixed uses may be divided into separate fee categories (e.g. residential, non-residential) based on varying uses by building story (vertical) or reasonable separation on the same level (horizontal), so long as the different uses do not support the higher intensity use. Supporting uses will be considered as part of the more intense use for fee category determination. Subsequent changes in use may require payment of fees to account for a more intense use.
(Ord. 1956 §1 (part), Ord. 2521 §15)
3.85.407 Definitions¶
As used in this chapter, the term “storm drainage facility” shall mean all facilities associated with and including pipes greater than 18 inches in diameter, water quality facilities, peak attenuation facilities, collector and outfall facilities, channel stabilization projects, and the design and data collection program which are developed for the purpose of transmitting storm water to a natural stream or public drainage channel.
(Ord. 2235 §1 (part))
3.85.410 Basis of storm drainage facility fees.¶
The storm drainage facility fee assessed and levied on the owner of residential or nonresidential property at the time the owner of such property commences to use the property for a residential or nonresidential use, expands an existing residential or nonresidential use of the property, or changes the use of the property to a different use shall be based on the kind of residential or nonresidential development occurring on the property and the acreage or fraction of an acre of the property devoted to the residential or nonresidential use, devoted to the expanded residential or nonresidential use, or devoted to the changed use.
(Ord. 1956 §1 (part))
3.85.415 Establishing the amount of storm drainage facility fees.¶
A. Refer to the adopted Development Impact Fee schedule in place for both residential and non-residential uses.
(Ord. 1956 §1 (part), Ord. 2521 §16)
3.85.420 Annual adjustment to storm drainage facility fees.¶
If, on July first following the city council's adoption of a resolution establishing the amount of the storm drainage facility fee to be assessed and levied pursuant to the provisions of this chapter, or on July first of any year thereafter, there has been a change in the cost of constructing and installing storm drainage facilities within the city, the city manager, without any further action by the city council, shall adjust the storm drainage facility fee and, where appropriate, the storm drainage facility fee credits hereinafter provided for in this chapter in an amount proportional to the change in such costs. The determination of whether there has been a change in the cost of constructing and installing storm drainage facilities and the amount of the adjustment in the storm drainage facility fee and storm drainage facility fee credits which is proportional to the change in such costs shall be made by the city manager and shall be based exclusively on the net percentage change during the preceding year, as published in the Caltrans Highway Construction cost index. The index used shall be a rolling three (3) year average, or prior twelve (12) quarters index average.
(Ord. 1956 §1 (part), Ord. 2521 §17, Ord. 2620 §1)
3.85.425 Credits against facility fees.¶
In determining the storm drainage facility fees to be assessed and levied upon the owner of residential or nonresidential property pursuant to the provisions of this chapter at the time the owner of such property commences to use the property for a residential or nonresidential purpose, expands the area of the property devoted to an existing residential or nonresidential use, or changes the use of the property to a different use, the owner of the property shall be entitled to 1 or more of the following credits against such fee; provided, however, that no such credit or credits shall exceed the amount of such fee, nor shall any credit or credits be transferable from one property to another property. Note that credits shall only be given for the most intense use dating back to November 4th, 1997, which is the date the city council adopted its first development impact fee program. In the downtown area (as delineated in the General Plan's Downtown Element), credits are allowed for past uses with no time limitation; however, proper documentation of the prior use must be furnished by the applicant if city records do not indicate such use.
A. Where the owner of the property constructs and installs a portion of the off-site drainage facilities which would be necessary to collect the runoff from stormwater falling on the property, transport such stormwater runoff to a natural stream or an existing public drainage channel, detain and/or treat the stormwater runoff where necessary and dispose of the stormwater runoff in such stream or drainage channel in a manner provided for or authorized by this code, the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to the reasonable actual costs of the collector/outfall, peak attenuation, and water quality facilities;
B. Where the owner of the property is changing the use of the property to a different use having a runoff coefficient which is greater than the runoff coefficient for the property when devoted to its previous use, the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this in an amount equal to the collector/outfall, peak attenuation, and water quality portions of the storm drainage fees which would have been assessed and levied pursuant to the provisions of this chapter for such previous use;
C. Where the property is or was located within an assessment district formed for a purpose which included construction and installation of a portion of the storm drainage facilities necessary to collect, treat, and/or detain the runoff from stormwater falling on the property, transport such stormwater runoff to a natural stream or a public drainage channel and dispose of the stormwater runoff in such stream or drainage channel, and where the owner of the property is commencing to use the property for a use which has the same runoff coefficient as the existing or assumed use of the property at the time an assessment was levied against the property as part of the assessment district proceedings, then the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to that portion of the assessment levied against the property as part of the assessment district proceedings reasonably attributable to the property's fair share of the cost of the collector/outfall, peak attenuation, and water quality portion of the storm drainage facilities constructed as part of the assessment district proceedings; and
D. Where the property is located within an assessment district formed for a purpose which included construction and installation of all or a portion of the storm drainage facilities necessary to collect, treat, and/or detain the runoff from stormwater falling on the property, transport such stormwater runoff to a natural stream or public drainage channel and dispose of the stormwater runoff in such stream or drainage channel, and the owner of the property is commencing to use the property or changing the use of the property to a use which has a runoff coefficient which is greater than the existing or assumed runoff coefficient for the property at the time an assessment was levied against the property as part of the assessment district proceedings, then the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to the storm drainage fees which would have been assessed and levied pursuant to the provisions of this chapter for the existing or assumed use of the property at the time an assessment was levied against the property as part of the assessment district proceedings, or that portion of the assessment levied against the property as part of the assessment district proceedings which is reasonably attributable to the property's fair share of the cost of the collector/outfall, peak attenuation, and water quality portion of the storm drainage facilities constructed and installed as part of the assessment district proceedings, whichever is less.
E. Where the owner of the property reconstructs a building or structure located on the property which was damaged or destroyed by fire or other casualty or which was voluntarily demolished during the prior 3-year period, the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to the collector/outfall, peak attenuation, and water quality portions of the storm drainage facility fees which would have been assessed and levied pursuant to the provisions of this chapter. However, if the owner of the property expands the area of the property devoted to a residential or nonresidential use incident to the reconstruction of such building or structure, storm drainage facility fees shall be assessed and levied upon the owner of the property for all additional area of the property devoted to such residential or nonresidential use;
F. Where the owner of the property constructs and installs all of the onsite storm drainage facilities necessary to retain and dispose of 100% of the stormwater falling on the property, the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to the peak attenuation, and water quality portions of the storm drainage facility fees which would have been assessed and levied pursuant to the provisions of this chapter, all in the manner provided for or authorized by this code;
G. Where the owner of such property constructs and installs all of the off-site storm drainage facilities necessary to collect the runoff from stormwater falling on such property, transport all such stormwater runoff to a natural stream or an existing public drainage channel, treat and/or detain the stormwater runoff where necessary and dispose of the stormwater runoff in such stream or drainage channel, the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to the collector/outfall, peak attenuation, and water quality portions of the storm drainage facility fees which would have been assessed and levied pursuant to the provisions of this chapter, all in the manner provided for or authorized by this code;
H. Where the owner of the property is changing the use of the property to a different use having runoff coefficient equal to or less than the runoff coefficient for the property when devoted to its previous use the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to the collector/outfall, peak attenuation, and water quality portions of the storm drainage facility fees which would have been assessed and levied pursuant to the provisions of this chapter; or
I. Where the property is or was located within an assessment district formed for a purpose which included construction and installation of all storm drainage facilities necessary to collect, treat and/or detain runoff from the stormwater falling on the property and transports all such stormwater runoff to a natural stream or an existing public drainage channel and disposes of such stormwater runoff in such stream or drainage channel, provided the owner of the property is not proposing to develop the property in a manner or at a density which increases the runoff coefficient for the property above the runoff coefficient used in designing the drainage facilities constructed and installed as part of the assessment district, the owner of the property shall be entitled to a credit against the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in an amount equal to the collector/outfall, peak attenuation, and/or water quality portions of the storm drainage facility fees which would have been assessed and levied pursuant to the provisions of this chapter.
(Ord. 1956 §1 (part); Ord. 2235 §2; Ord. 2521 §18)
3.85.435 Agreements with certain public agencies on the amount of storm drainage facility fees.¶
Notwithstanding the provisions of this article to the contrary, the amount of the storm drainage facility fees assessed and levied upon the Trustees of the California State University, the Butte County Superintendent of Schools, any school district and/or any state agency pursuant to the provisions of this chapter at the time any such public agency commences to use property owned by it for a residential or nonresidential purpose, expands the use of property owned by it, or changes the use of property owned by it from an existing use to a different use, shall be established by mutual agreement between the city and the public agency, which is negotiated and made in the manner provided for by Section 54999.3 of the Government Code.
(Ord. 1956 §1 (part))
3.85.440 Payment of storm drainage facility fees.¶
The storm drainage facility fees assessed and levied pursuant to the provisions of this chapter shall be due and payable as follows:
A. Where a storm drainage facility fee is assessed and levied upon the owner of real property located within the city who is commencing the use of such property for a residential or nonresidential purpose, or expanding an existing residential or nonresidential use of the property by constructing a new building or structure on the property or by constructing alterations or additions to an existing building on the property which requires a building permit under the building regulations adopted by or pursuant to this code, such fee shall be due and payable prior to the issuance of the building permit for such new building or structure, or alteration or addition to such existing building or structure;
B. Where a storm drainage facility fee is assessed and levied upon the owner of real property located within the city commencing the use of such property for a residential or nonresidential purpose, expanding an existing residential or nonresidential use of the property, or changing the use of the property in a manner requiring the issuance of a certificate of occupancy under the building regulations adopted by or pursuant to this code, such fee will be due and payable prior to the issuance of such certificate of occupancy for such initial use, changed use or expanded use;
C. However, where a storm drainage facility fee is assessed and levied upon the owner of real property located within the city commencing the use of such property for a residential or nonresidential purpose, expanding an existing residential or nonresidential use of the property, or changing the use of the property in a manner that does not require a building permit or a certificate of occupancy, such fee will be due and payable prior to initiating, expanding or changing such use.
(Ord. 1956 §1 (part))
3.85.445 Deferral of storm drainage facility fees imposed on low income housing projects financed by the city.¶
Where a storm drainage facility fee is assessed and levied upon the owner of residential property located within the city incident to the construction of a new building on the property, construction of an addition to an existing building on the property, or the alteration of an existing building on the property which is or will be occupied by "persons and families of low and moderate income" as defined by Section 50093 of the Health and Safety Code, and the entire amount of such fee will be financed with a loan or grant made by the city, then such fee may be deferred by the owner of the property to the date of the issuance of a certificate of occupancy for such building.
(Ord. 1956 §1 (part); Ord. 2521 §19)
3.85.450 Disposition of storm drainage facility fee revenues.¶
All revenues from the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter shall be deposited in the city's storm drainage facility fund and thereafter used solely for the purpose of constructing and installing the storm drainage facilities for which the fees were imposed in any of the various storm drainage basins located within the city.
(Ord. 1956 §1 (part))
3.85.455 Use of storm drainage facility fees to reimburse developers of property for…¶
A. Reimbursement Obligation. Any developer of property located within the city who is required to construct and install storm drainage facilities incident to the approval of a tentative map, tentative parcel map or certificate of compliance authorizing the subdivision of property or incident to the issuance of a building permit authorizing construction of a building or structure, shall be entitled to a reimbursement, paid by the city out of the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter, for the cost of any portion of such storm drainage facilities which are in excess of that reasonably required to serve the property within the subdivision approved by such tentative map, tentative parcel map or certificate of compliance, or reasonably required to serve the property improved with the building or structure authorized by such building permit, all as determined by the director.
B. Reimbursement Agreement. Any reimbursements for the oversizing costs of storm drainage facilities required by this section shall be made in accordance with the terms and conditions of a written reimbursement agreement between the city and the developer, which shall provide for the payment to the developer of a portion of the revenues received by the city from the storm drainage facility fees assessed and levied pursuant to the provisions of this chapter in incremental amounts reasonably calculated to reimburse the developer for such oversizing costs over a stipulated period between 15 and 30 years in duration, beginning the date the storm drainage facilities are completed and accepted by the city, all as determined by the director. Such agreement shall be in a form approved by the city attorney, and shall be executed on behalf of the city by the city manager or the city manager's designee at the time of approval of the final map, final parcel map, or certificate of compliance in the case of subdivisions approved by a tentative map, tentative parcel map or certificate of compliance, or at the time of the issuance of a certificate of occupancy in the case of a building or structure authorized by a building permit.
(Ord. 1956 §1 (part), Ord. 2158 §4, Ord. 2364 §94)
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