Irwindale Municipal Code Ch. 3.50 Development Impact Fees

This Chapter 3.50 of the Irwindale Municipal Code may be referred to as the development impact fee ordinance and is adopted pursuant to the police power of the city and under Government Code Section 66000 et seq. (Mitigation Fee Act), as amended. All words, phrases, and terms used in this chapter shall be interpreted in accordance with the definitions set forth in the Mitigation Fee Act, unless otherwise specifically defined herein.

(Ord. No. 726, § 4, 7-11-18)

A. The city has prepared a fee study. It demonstrates, and the city council finds, that there is a reasonable relationship between the purpose for which the fees established by this chapter are to be used and the type of development projects on which the fees are imposed, and between the amount of the fees and the cost of the facilities attributable to the development on which the fees are imposed.

B. It is the intent of the city that the fees required by this chapter shall be supplementary to any conditions imposed upon a development project pursuant to other provisions of the municipal code, the Subdivision Map Act, the California Environmental Quality Act, other state and local laws, which may authorize the imposition of project specific conditions on development.

C. It is intended that, as further provided for in this chapter, every person who develops or redevelops land in the city pay development impact fees established by this chapter, as provided herein. No developer, property owner, or other person or entity shall be eligible to receive a building certificate of occupancy unless such developer, property owner, or other person or entity has first complied with all applicable provisions of this chapter.

D. This chapter shall apply to all development projects in the city. This chapter shall not apply, however, to a development project for which an application for a development project was submitted and deemed complete by the city prior to June 27, 2018.

(Ord. No. 726, § 4, 7-11-18)

For the purpose of this chapter, the following terms shall have the meaning set forth herein:

"Applicant" means the person(s) or legal entity or entities, who may also be the property owner, who is applying for a building permit.

"City" means the City of Irwindale.

"Development" or "development project" means any manmade change to improved or unimproved real property, the use of any principal structure or land, or any other activity that requires issuance of a development permit or building permit.

"Development impact fee" means each and all of the development impact fees established by this chapter.

"Development impact fee study" and "fee study," as used in this chapter, mean the final draft development impact fee study dated June 5, 2018 and any present and future amendments, additions, and updates to said fee study, all of which are deemed included in such definitions as used in this chapter, which is on file with the community development department and the city clerk.

"Public facilities" means public facilities identified in the study, including a capital improvement project list and cost estimates of the public facilities, which may be funded by the development impact fees, and may include public improvements, public services, and community amenities.

(Ord. No. 726, § 4, 7-11-18)

A. It is the purpose and intent of this section to implement a unified development impact fee program to fund the acquisition, design, and construction of certain public facilities necessary to serve new development within the city.

B. The public facilities to be funded by the development impact fees are in the following categories:

1. Administrative facilities;

2. Transportation facilities;

3. Library facilities;

4. Storm drain facilities;

5. Police facilities;

6. Sewer facilities; and

7. Parks and recreation facilities.

C. Except as otherwise provided in this chapter, an applicant for a building permit proposing a development shall pay the development impact fees identified in subsection B above according and pursuant to the procedure set forth in this chapter.

D. The amount of each development impact fee shall be as established by resolution of the city in accordance with the procedures set forth in state law.

E. The development impact fees imposed under this chapter are in addition to any other fees, dedications, construction requirements, or other exactions imposed as a condition of approval for a development project, or under the provisions of any state or federal law, or other provisions of this code, or city resolutions and policies.

F. The city may impose such additional conditions of approval as are necessary or appropriate to implement the purposes of this chapter.

(Ord. No. 726, § 4, 7-11-18)

A. The amount of the charge due under this chapter shall be determined at the time of submittal into building plan check for the project. Following project submittal the city shall provide the applicant with a notice in writing, a statement of the amount of the fees and notification of the ninety-day appeal period in which the applicant may protest the imposition of the fees. Said notice shall be in substantially the following form:

"The conditions of project approval for your project, identified as _______, include development impact fees, more specifically described as: _______ (identification of the amount of the fee). The applicant is hereby notified that the ninety-day protest period to challenge such fees has begun as of the date of the fee imposition, which date was _______."

B. If the applicant fails to file a protest regarding the fees, as specified in California Government Code Section 66020, the applicant shall be legally barred from later challenges.

C. The full amount shall be due and payable to the city prior to or at the issuance of building permits. No developer, property owner, or other person or entity shall be eligible to receive building permits, nor any occupancy permits, for any development project unless the provisions of this section have first been complied with for that project. The requirements of this section are hereby imposed as a condition of development approval for each development project in addition to being a requirement of this code.

D. No certificate of occupancy shall be granted for the project, no one shall occupy the new dwelling unit or the new nonresidential building area, and no utility connections shall be permitted until the fees required by this chapter are paid in full.

E. When improvement plans include more than one land use type, the impact fee shall be calculated separately for each land use type.

(Ord. No. 726, § 4, 7-11-18; Ord. No. 751, § 2, 12-9-20)

A. For public facilities constructed as part of a development project, the city council may establish policies and procedures for granting credit against a development impact fee or providing for reimbursement from development impact fees paid by other developers.

B. A credit against a development impact fee may be granted for nonresidential projects as follows:

1. If the new nonresidential project does not add building square footage or intensity of land use, then it is exempt from paying additional development impact fees.

2. If the new nonresidential project does not change land use, but adds building square footage, then the increase in square footage will be charged the corresponding development impact fees.

3. If the new nonresidential project does not add square footage, but changes use to a more intense use, then the development impact fees charged will be the difference between those charged to the existing use and the fees charged to the more intense use.

C. A new nonresidential project is subject to paying the full development fee amount when the previous development did not pay impact fees.

D. Development impact fees will be charged for new dwelling units added to a parcel of a residential project. Accessory dwelling units (ADUs) shall not be subject to development impact fees.

E. Development impact fees will be charges at the current multifamily rate for each additional unit in a multifamily project.

(Ord. No. 726, § 4, 7-11-18; Ord. No. 751, § 3, 12-9-20)

An applicant for any project subject to the development impact fees described in this chapter may apply to the city council for an adjustment, reduction, or waiver of the development impact fee based upon the absence of any reasonable relationship between the impact on public facilities of that development and either the amount of fee charged or the type of facilities to be financed. Such requests shall be subject to the process outlined below:

A. The application shall be made in writing and filed with the city clerk not later than the time for filing of the request for a building permit.

B. The application shall state in detail the factual basis and legal theory for the claim of waiver, reduction or adjustment. The applicant shall bear the burden of proof of presenting substantial evidence to support the request for an adjustment or waiver.

C. The city council shall consider the application at a public hearing held within sixty days after the filing of the fee adjustment application. The decision of the city council shall be final.

D. 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.

(Ord. No. 726, § 4, 7-11-18)

Pursuant to Government Code Section 66006, an impact fee reserve account is hereby established for each fee category. The fees paid to the city pursuant to the provisions of this chapter shall be deposited into the appropriate impact fee reserve account and used solely for the purpose described in this chapter. All monies deposited into the reserve accounts shall be held separate and apart from other city funds. All interest or other earnings on the unexpended balance in the reserve account shall be credited to the reserve account.

(Ord. No. 726, § 4, 7-11-18)

All monies and interest earnings in each of the impact fee reserve accounts shall be expended on the construction and related design and administration costs of constructing public facility improvements and purchasing land and equipment identified in the fee study. Such expenditures may include, but are not necessarily limited to the following:

A. All direct and indirect costs incurred by the city to construct facility improvements pursuant to this chapter, including but not limited to, the cost of land and right-of-way acquisition, planning, legal advice, engineering, design, construction, construction management, materials and equipment.

B. Costs of issuance or debt service associated with bonds, notes or other security instruments issued to fund facility improvements identified.

C. Administrative costs incurred by the city in establishing or maintaining the impact fee reserve accounts required by this chapter, including but not limited to the cost of studies to establish the requisite nexus between the fee amount and the use of fee proceeds and yearly accounting and reports.

(Ord. No. 726, § 4, 7-11-18)

The city shall comply with the annual and five-year reporting requirements of the Mitigation Fee Act. For facilities to be funded by a combination of impact fees and other revenues, identification of the source and amount of these non-fee revenues shall be included in the report. Identification of the timing of receipt of other revenues to fund the facilities is also important.

(Ord. No. 726, § 4, 7-11-18)

The amount of the development impact fees and the formula for the automatic annual adjustment established by this chapter may be reviewed and revised periodically by resolution of the city council in accordance with the procedures set forth in state law. This chapter shall be considered enabling and directive in this regard.

(Ord. No. 726, § 4, 7-11-18)

The city manager, or her/his designee, is authorized to adopt written administrative regulations or guidelines that are consistent with and that further the terms and requirements set forth within this chapter.

(Ord. No. 726, § 4, 7-11-18)