Elk Grove Municipal Code Ch. 16.60 Public Improvements

The purpose of this chapter is to provide a process for the construction and/or deferral of public improvements as part of qualifying private development projects. The provisions of this chapter shall apply to qualifying development projects which are not covered by the Subdivision Map Act (Division 2, Title 7 of the California Government Code) and EGMC Title 22, as such projects are addressed in the provisions of EGMC Chapter 22.24, Improvements.

As of the initial effective date of this chapter, the provisions herein shall apply to any existing deferral or in-lieu agreements established under the prior EGMC Chapter 12.03.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

For purposes of this chapter, the following terms shall have the meaning described below:

A.

“City Engineer”

means the City Engineer for the City as that position is defined in EGMC Title 22, Land Division.

B.

“Major addition”

means any of the following:

Any addition to a residential building or a structure when said addition exceeds fifty (50%) percent of the floor area of the existing buildings and structures;

Any addition to a commercial or industrial building or structure when said addition exceeds ten (10%) percent of the floor area of the existing buildings and structures or where any remodeling within such a building or structure will, in the opinion of the City Engineer, result in increased traffic upon the public streets; or

Where remodeling is undertaken to convert a structure from a residential use to any commercial or industrial use.

C.

“New construction”

means any building permit that results in the creation of a new residential dwelling unit; or a new commercial or industrial building or structure five thousand (5,000 ft2) square feet or greater; or if the cumulative improved area (e.g., grading, buildings, structures, parking, land-scaping, etc.) exceeds twenty-five (25%) percent of the total developable parcel area.

D.

“Public improvements”

means any improvement that, upon completion, is to be dedicated to the City. Examples include, but are not limited to, streets, curbs, gutters, sidewalks, trails, open space, storm drain facilities (including pipelines, detention or retention facilities, and channels), traffic signals, street lighting, landscaping, other public open space or recreation facility or area, or any other public facility or improvement specified in the conditions of approval for the qualifying private development project.

E.

“Qualifying development project”

means either major addition to an existing development or new construction and which are not covered by the Subdivision Map Act (Division 2, Title 7 of the California Government Code) and EGMC Title 22.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

A. Public improvements, as determined by the City Engineer and/or the designated approving authority, shall be required in conjunction with any qualifying development project. The City Engineer may waive the installation of public improvements for which public improvements would otherwise be required as follows; however, the City Engineer may still require the dedication of the necessary right-of-way for future improvement by the City or others, consistent with the General Plan.

1. Improvements are already planned to be completed by the City.

2. As determined by the City Engineer due to the character of the surrounding neighborhood and that the present development thereof does not require the installation and construction of the improvements required by this chapter.

3. For any addition to a residential building or structure, or new construction of a new residential dwelling unit, where the cost to install street improvements (including but not limited to grading improvements, landscaping and public utility relocation) would be equal to or greater than twenty (20%) percent of the fair market value of the proposed major addition(s) as determined by the City Engineer.

B. The extent of public improvements required of the qualifying development project shall be as specified in the General Plan, any applicable area plan or Specific Plan, applicable infrastructure master plan, mitigation measure, or condition of approval for any required entitlement or permit as required by EGMC Title 23, Zoning, as applicable to the project.

C. The design, location, and specifications of required public improvements shall conform to the City of Elk Grove Improvement Standards and Standard Construction Specifications, in addition to the design requirements of any applicable infrastructure master plan or other document specifying the required design. To the extent the City Engineer approves any design exceptions as provided in the Improvement Standards or Standard Construction Specifications, the final design and construction shall also conform to those exceptions.

D. Right-of-way and/or other necessary property rights shall be dedicated, in a form acceptable to the City, for all required street improvements prior to the issuance of any building permit for any qualifying development project. The timing of required dedications shall not be affected by deferral of improvements pursuant to EGMC Section 16.60.060, Public improvement agreements.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

A. Plans for all required public improvements, as well as for all additional improvements to be installed in, over, or under any existing or proposed rights-of-way, easements, or parcels, shall be filed with the Community Development Department for plan review and approval. No construction shall begin until the improvement plans have been approved and signed by the City Engineer, or their designee, and all applicable utility or other public agencies.

B. The construction of all public improvements shall be subject to inspection by the City Engineer, or their designee, at such points in time as determined by the City Engineer. No public improvements shall be accepted by the City until the City Engineer, or their designee, first approves of the improvements as being constructed consistent with the approved plans, the City Improvement Standards, Standard Drawings, and Standard Construction Specifications, any approved design exceptions, and any other applicable design requirements or conditions of approval.

C. A fee shall be paid to the City for plan checking, inspection, material testing services, and other services performed, or authorized to be performed, by the City in completing the tasks and obligations of this chapter, in accordance with the fee schedule adopted, and amended from time to time, by resolution of the City Council.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

A. Except as otherwise provided herein, the improvements required by EGMC Section 16.60.030 shall be constructed or otherwise installed after approval of the improvement plans and before the approval of the building permit(s) for any qualifying development project.

B. A developer may concurrently construct the public and private improvements, including any subsequent building permit issuance and building construction, for the qualifying development project upon the execution of a public improvement agreement as provided in EGMC Section 16.60.060, Public improvement agreements. No construction shall commence and no building permits shall be issued until the owner of the property enters into the public improvement agreement with the City.

C. A developer may request, and the City Engineer may approve, acceptance of an in-lieu fee for the improvements as provided in EGMC § 16.60.080, In-lieu payment agreements.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

A. The City Engineer may defer the required construction of public improvements for qualifying development projects to a point after issuance of the project’s building permits upon the approval and execution of a public improvement agreement as provided in this section. The City Engineer may execute the agreement on behalf of the City and shall be the agent of the City for the performance, completion, or release of the agreement.

B. The public improvement agreement shall be in a form approved by the City Attorney and shall provide all of the following:

1. That the owner install the improvements at their own cost;

2. Security for the completion of the improvements as provided in EGMC Section 16.60.070, Security for public improvements.

C. No deferment shall be effective until the owner of the property enters into a public improvement agreement with the City.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

Where a public improvement agreement is entered into, the improvements shall be secured by the developer as part of the agreement. Improvement security shall be provided and released consistent with the requirements below.

A. Form of Security. Security shall be provided in one (1) or more forms described in Section 66499 of the California Government Code to the satisfaction of the City Engineer.

B. Amount of Security. Security shall be provided in the following amounts:

1. Performance Security (Performance). An amount of one hundred percent (100%) of the total City-approved estimated cost of the construction or installation of the public improvements or of the acts to be performed, securing the faithful performance and completion of the improvements or acts to be performed; and

2. Payment Security (Labor and Materials). An amount of fifty percent (50%) of the total City-approved estimated cost of the improvement or required acts, securing payment to the contractor, to the subcontractors, and to persons furnishing labor, materials or equipment for the construction or installation of the improvements or the performance of the required acts; and

3. Warranty Security. An amount of ten percent (10%) of the total City-approved estimated cost of the improvement to be necessary for the guarantee and warranty of the work for a period of one (1) year following the completion and acceptance thereof against any defective work or labor done, or defective materials or equipment furnished; and

4. Monument Security. An amount of one (1%) percent of the total City-approved estimated total public improvement costs.

5. Reduced Security. Performance security required in this subsection may be reduced if a portion of the required improvements has been deemed substantially complete prior to issuance of a building permit or permit for development, as determined by the City Engineer. The amount of the reduced security required shall be at the sole discretion of the City Engineer.

C. Calling of Security. In the event that the improvements are not completed in a timely manner, or if the project is occupied before the improvements are complete, or if the project is suspended, or if the improvements are left in a condition that is detrimental to the public health and safety, the City may take action to complete the improvements and to collect unpaid fees and costs by calling the security.

D. Release of Improvement Security. Public improvement security shall be released upon completion of the improvements as follows:

1. Performance Security. The performance security shall be released only upon completion or fulfillment of all terms and conditions of the subdivision improvement agreement and upon issuance of an acceptance letter by the City. The performance security may be partially released if a portion of the required improvements has been deemed substantially complete, as determined by the City Engineer. The amount of the partially released security shall be at the sole discretion of the City Engineer.

2. Payment Security. Security given to secure payment to the contractor, subcontractors, and to persons furnishing labor, materials, or equipment may, following full or partial completion and acceptance of the improvements by the City, be reduced to an amount equal to the amount of all claims filed and of which notice has been given to the City. The balance of the security shall be released upon the settlement of all claims and obligations for which the security was given.

3. Warranty Security. The warranty security shall be released upon satisfactory completion of the warranty period; provided, that all warranty deficiencies have been corrected.

4. The release of improvement security as set forth above shall not apply to any costs, reasonable expenses, or fees, including reasonable attorneys’ fees.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

When the City agrees to accept an in-lieu payment for public improvements, pursuant to EGMC Section 16.60.050(C), the in-lieu payment shall conform to the following:

A. The City shall not accept cash payments in lieu of improvements from any developer or owner of property until the developer or owner enters into a payment agreement with the City. The City Engineer may execute the agreement on behalf of the City. The agreement shall be in a form approved by the City Attorney and shall include the following:

1. A statement of the basis for the amount of the payment; and

2. The consent of the owner to the amount of the payment.

B. The in-lieu payment agreement shall be executed, and the payment deposited with and accepted by the City, prior to the issuance of the first corresponding building permit for the qualifying development project.

C. The City may utilize the in-lieu funds at its sole discretion to complete the corresponding improvements or may, at its sole discretion, assign the funds to another developer to complete the improvements.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)

A. The applicant or any interested person adversely affected by any action relating to the provisions of this chapter may appeal the action by submitting a written notice of appeal, accompanied by a filing fee established by City Council resolution, with the City Clerk within fifteen (15) days of the date of the decision. The filing of an appeal shall stay the issuance of subsequent permit(s) (e.g., building permits).

B. The notice of appeal shall include the following information:

1. A complete description of the factual basis for the appeal;

2. The legal basis for the appeal; and

3. The remedy sought by the appellant.

C. The designated appeal authority shall be the City Manager. The City Manager shall conduct an informal hearing on the appeal within fifteen (15) days of receipt of the notice of appeal.

D. Where the appeal provisions of this chapter conflict with other provisions of the Elk Grove Municipal Code, the appeal provisions of this section shall apply with regard to matters pursuant to this chapter.

(Ord. 13-2025 § 3 (Exh. C), eff. 7-25-2025)