Hanford Municipal Code Ch. 15.49 Water System Development Impact Fee

In order to continue to provide for efficient water service to the citizens of the city of Hanford and to provide an adequate supply of quality water and to provide for the necessary expansion of the city's water system, the city council of the city of Hanford has determined that a water system development impact fee is needed in order to provide funding for these capital improvements to the city's water system and to ensure that new development pays its share of the costs of these capital improvements. In establishing the development impact fee described in the following sections, the city council has found the development impact fee to be consistent with the city's general plan.

(Ord. 98-14, 1998)

A water system development impact fee is hereby established for development projects in the city of Hanford to pay the cost of capital improvements for the city's water system. In order to establish the actual amounts of the impact fee or any subsequent change thereto, the city council shall, at a duly noticed public hearing, by separate city council resolution, identify the purpose of the fee, identify the use to which the fee is to be put (if the use is financing public facilities, the public facilities shall be identified), identify the specific amount of the fee, identify the estimated cost of the capital improvement, determine the reasonable relationship between the fee's use and the type of development project on which the fee is imposed, determine the reasonable relationship between the need for the capital improvement and the type of development project on which the fee is imposed, and determine the reasonable relationship between the amount of the fee and the costs of the capital improvement or portion of the capital improvement attributable to the development project on which the fee is imposed. The separate city council resolution shall identify when the development impact fee shall be paid by each developer. On an annual basis, in accordance with Government Code 66006(b), the city council of the city of Hanford shall hold a regularly scheduled public meeting to review the annual report pertaining to water system development impact fee.

(Ord. 98-14, 1998)

The following shall be exempted from payment of the water system development impact fee:

A. Alterations of an existing building where no additional square footage is constructed, where the use is not changed, and where the need for water is not increased over and above such need from the existing use.

B. The construction of accessory buildings or structures which will not produce additional need for water over and above such need associated with the principal building or from the existing use of the land.

C. The replacement of a destroyed or partially destroyed building or structure with a new building or structure of the same size and use provided such replacement does not result in an increased need for water over and above from the original use of the building or structure.

D. The installation of a replacement mobilehome on a lot or other such site when a water development impact fee for such mobilehome site has previously been paid pursuant to this chapter or where a mobilehome legally existed on such site on or prior to the effective date of the ordinance codified in this chapter.

(Ord. 98-14, 1998)

The revenues raised by payment of this development impact fee shall be placed in a separate and special account and such revenues, along with any interest earnings on that account, shall be used solely to:

A. Pay for the capital improvements identified in the separate city council resolution described in Section 15.49.020 above, or to reimburse the city for funds advanced by the city or from other sources for such capital improvements; or

B. Reimburse developers who have been required or permitted by Section 15.49.050, to install such described capital improvements which are oversized with supplemental size, length or capacity.

(Ord. 98-14, 1998)

Subject to Section 13.04.140 of the Hanford Municipal Code, whenever a developer is required, as a condition of approval of a development project permit, to construct or purchase a capital improvement described in a resolution adopted pursuant to Section 15.49.020 which capital improvement is determined by the city to have supplemental size, length or capacity over that needed for the impacts of that development and when such construction or purchase is necessary to ensure efficient and timely construction of the capital improvement, a reimbursement agreement with the developer and a credit against the development impact fee, which would otherwise be charged pursuant to this chapter on the development project, shall be provided. The reimbursement amount shall not include the portion of the capital improvement needed to provide services or mitigate the need for the capital improvement created by that development project.

(Ord. 98-14, 1998)

A developer of any project subject to the development impact fee described in Section 15.49.020 above, may apply to the city for an adjustment of that fee by completing an independent fee calculation study.

(Ord. 98-14, 1998)

The water system development impact fee established hereunder shall apply to the issuance of any building permit issued on or after the date identified in the separate city council resolution.

(Ord. 98-14, 1998)

The water system development impact fee established hereunder may be adjusted by resolution of the city council of the city of Hanford on or before July 1st of each fiscal year by a percentage no greater than the engineering cost index as published by the Engineer News Record for the preceding 12 months.

(Ord. 04-09, 2004)