Article 3 — Impact Fee Procedures

Ojai Municipal Code · 2026-07 edition · updated 2026-09-27 · Ojai

§ 10-9.301. Hearing required.¶

Prior to the establishment or increase of any impact fee, the City Council shall hold a public hearing at which oral or written presentations can be made, as a part of a properly noticed meeting.

Notice of the time and place of the meeting, including a general explanation of the matter to be considered, shall be published in accordance with State law. (§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.302. Effective date.¶

An ordinance or resolution establishing a new fee or increasing an existing impact fee shall take effect no sooner than 60 days following the final action by the City on the ordinance or resolution.

(§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.303. Imposition, calculation and collection of impact fees.¶

Impact fees shall be imposed, calculated and collected in the following manner:

(a) Impact fees shall be imposed as a condition of approval of all development projects. No tentative or final subdivision map, parcel map, grading permit, building permit, final inspection or certificate of occupancy shall be approved unless the provisions of this section have been fulfilled.
(b) Impact fees shall be imposed by affixing the following language to the development approval:

"Approval of this Development Project is conditioned upon payment of all applicable Impact Fees and connection fees in the manner provided in Chapter 9 of Title 10 of the Ojai Municipal Code."

(c) Impact fees shall be calculated and collected for those development projects requiring subdivision approval at the time of approval of the final parcel or subdivision map and for all other types of development projects at the time of issuance of a building permit. The calculation of impact fees due shall be based on the impact fee schedule set forth in the ordinance or resolution establishing or implementing such fees in effect at the time of application for a building permit.
(d) No building permit shall be issued until all impact fees due for the development project have been paid.
(§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.304. Impact fee accounts.¶

(a) There is hereby established an impact fee account for each benefit area for each type of capital improvement for which an impact fee is imposed, calculated and collected. In the event that an account has previously been established pursuant to separate ordinance for

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City of Ojai, CA

PLANNING AND ZONING

§ 10-9.304

§ 10-9.307

deposit of impact fee proceeds, such account shall be deemed an impact fee account under this section and shall be subject to the provisions of this chapter.

(b) All impact fees collected within the benefit area shall be deposited in the impact fee account which shall be interest-bearing which interest shall be considered funds of the account.
(c) The funds of the account shall be expended within the benefit area and shall be used exclusively for capital improvements for which the impact fees were collected.
(§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.305. Use of impact fee proceeds.¶

(a) Impact fees shall be expended only for the type of capital improvement for which they were imposed, calculated and collected and shall be expended or committed in accordance with the time limits and procedures established in this chapter. Impact fees may be used to pay the principal sum and interest and other finance costs on bonds, notes or other obligations issued by or on behalf of the city to finance such capital improvements.
(b) Impact fees shall not be expended to maintain, repair or operate capital improvements. (§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.306. Time limit on expenditures.¶

The City shall expend or commit impact fees deposited in the impact fee account within five years from the date of deposit into the fund.

(§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.307. Refunds.¶

(a) Once each fiscal year, the City shall make findings identifying all unexpended or uncommitted impact fees in each impact fee account.
(b) Except as described in subsection (c) of this section, upon application of the property owner, the City shall refund the portions of any impact fee which have been on deposit over five years and which are unexpended or uncommitted. Refunds shall be made to the then current record owner or owners of the development project or projects on a prorated basis, together with accrued interest.
(c) With respect to impact fees unexpended or uncommitted within five years of deposit in an impact fee account, the city may make findings to identify the purpose to which the impact fee is to be put and to demonstrate a reasonable relationship between the impact fee and the purpose for which it was charged. If the City makes such findings, the impact fees shall be exempt from the refund requirement.
(d) If the City finds that the administrative costs of refunding the unexpended or uncommitted impact fees exceed the amount to be refunded, the City Council, after a public hearing, notice of which has been published in accordance with state law and posted in three prominent places within the area of each development project subject to a refund, may determine that the revenues shall be allocated for other capital improvements of the type for which the impact fees were collected and which serve the development projects.

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City of Ojai, CA § 10-9.307

OJAI CODE

§ 10-9.309

(e) The City may refund the unexpended or uncommitted portions of impact fees by direct payment, by offsetting such refunds against other impact fees due for development projects on the property or by other means subject to agreement by the property owner.
(§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.308. Audits.¶

The applicant or project owner may request an audit of any impact fee imposed by the City in order to determine whether the amount of the impact fee levied by the City exceeds the amount reasonably necessary to finance capital improvements, the need for which is attributable to new development projects. After such request, the City Council may retain an independent auditor to conduct an audit to determine whether the impact fee is reasonable. Any costs incurred by the City in having an audit conducted by an independent auditor shall be recovered from the person who requested the audit. If an audit is requested, the City may require a deposit equal to the estimated cost of the audit.

(§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.309. Appeals.¶

(a) The property owner or applicant may appeal to the City Council any decision of a City official with respect to the imposition or calculation of an impact fee or the amount of any refund due. The burden of proof shall be on the appellant to demonstrate that the imposition of the impact fee or amount of the impact fee or refund was not calculated according to the procedures established herein.
(b) An appellant protesting the imposition of an impact fee must file a notice of appeal with the City Clerk within 10 calendar days following the final decision on the imposition of the impact fee or refund.
(c) An appellant protesting the calculation of an impact fee or the determination of applicability and calculation of a refund must file a notice of appeal with the City Clerk within 10 calendar days following the final decision on the calculation of the impact fee or on the applicability or calculation of a refund. If the notice of appeal is accompanied by a bond or other sufficient surety satisfactory to the City Attorney in an amount equal to the impact fee calculated by the City official to be due, the development application shall be processed. The filing of an appeal shall not stay the collection of the impact fee which is due unless a bond or other sufficient surety has been filed.
(d) Failure to appeal within the time limits set forth herein shall be deemed a waiver of the right to appeal.
(e) Any judicial action or proceeding to attack, review, set aside or annul the reasonableness, legality or validity of the imposition of an impact fee must be filed and service of process effected within 90 days after the date of imposition.
(f) Any judicial action or proceeding to attack, review, set aside or annul the calculation of an impact fee or the determination of applicability and calculation of a refund must be preceded or accompanied by a valid protest within 90 days after the date of calculation. A valid protest must meet both of the following requirements:
- (1) Tendering the required payment in full or providing satisfactory assurance of payment;

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City of Ojai, CA

PLANNING AND ZONING

§ 10-9.309

§ 10-9.312

(2) Serving written notice on the City including:
- (A) A statement that the required payment is/has been tendered under protest,
- (B) A statement informing the City of the factual elements of the dispute over the calculation of the impact fee or the determination of applicability and calculation of a refund,
- (C) A statement informing the City of the legal theory forming the basis for the protest.
(g) Only a party who files a valid protest may file a judicial action to attack, review, set aside, void or annul a decision on the calculation of an impact fee or the applicability and calculation of a refund. Such judicial action must be filed and service of process effected within 180 days after the date of calculation.
(§ 1, Ord. 664, eff. October 12, 1989, as amended by § 175, Ord. 941, eff. November 10, 2023)

§ 10-9.310. Exceptions.¶

Petitions for exceptions to the application of this chapter shall be made in accordance with procedures established by resolution of the City Council. If the City Council grants an exception in the amount of the impact fee due for a development project under this section, it shall cause to be appropriated from other City funds an amount equal to said reduction in the impact fee due and such funds shall be allocated to the account for the benefit area in which the subject property is located.

(§ 1, Ord. 664, eff. October 12, 1989)

§ 10-9.311. Amendment procedures.¶

At least once every year prior to City Council adoption of the annual budget and capital improvements plan, the City Manager shall prepare a report to the City Council on the subject of impact fees and shall incorporate:

(a) Recommendations on amendments, if appropriate, to this chapter, to ordinances imposing impact fees or to resolutions establishing impact fee amounts;
(b) Proposed changes to the capital improvements plan identifying capital improvements to be funded by impact fees;
(c) Proposed changes to the boundaries of benefit areas; and
(d) Proposed changes to impact fee rates or schedules.

Based upon the report and such other factors as the City Council deems relevant and applicable, the City Council may amend this chapter, specific ordinances imposing impact fees and resolutions establishing impact fee rates or schedules. Changes to the impact fee rates or schedules, to the boundaries of benefit areas, or to the list of capital improvements to be funded by impact fees may be made by resolution. Nothing herein precludes the City Council or limits its discretion to amend this chapter, ordinances imposing impact fees or resolutions establishing impact fee rates or schedules at such other times as may be deemed necessary.

(§ 1, Ord. 664, eff. October 12, 1989)

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City of Ojai, CA § 10-9.312

OJAI CODE

§ 10-9.313

§ 10-9.312. Conflicts.¶

In the event of a conflict between the provisions of Title 10, Chapter 9 (Impact Fees) and the provisions of any other ordinance or resolution establishing or amending impact fees, the provisions of Title 10, Chapter 9 (Impact Fees) shall govern.

(§ 1, Ord. 664, eff. October 12, 1989, as amended by § 176, Ord. 941, eff. November 10, 2023)

§ 10-9.313. Severability.¶

If any section, subsection, sentence, clause, phrase or portion of Title 10, Chapter 9 (Impact Fees) is for any reason held to be invalid or unconstitutional by the final decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of Title 10, Chapter 9 (Impact Fees). The City Council declares that it would have adopted Title 10, Chapter 9 (Impact Fees) and each section, subsection, sentence, clause, phrase or portion thereof, irrespective of the fact that any one or more sections, subsections, phrases or portions be declared invalid or unconstitutional.

(§ 1, Ord. 664, eff. October 12, 1989, as amended by § 177, Ord. 941, eff. November 10, 2023)

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City of Ojai, CA

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