Chapter 18.08 — DEVELOPMENT AGREEMENTS

The purpose of this Chapter is to establish procedures and requirements for which the City may enter into a development agreement with an applicant for developments subject to the regulation and requirements of Government Code Section 65864 as may be amended from time to time. (Ord. 1201, 12/9/2025)

• A. Development Agreements may be considered for developments where an increased certainty in the approval of development would create a substantial community benefit, including developments that encourage private participation in comprehensive planning or that provide substantial provisions of public facilities or dedication of land.

• B. The City incorporates by reference the provisions of Government Code Sections 65864 through 65869.5. In the event of any conflict between the statutory provisions of State law and this Chapter, the statues under State law shall control.

• (Ord. 1201, 12/9/2025)

• A. The Zoning Administrator shall negotiate the specific components and provisions of the Development Agreement on behalf of the City for Planning Commission review and recommendation to City Council.

• B. The Planning Commission shall act as the recommending body for Development Agreements and shall review and make recommendations to the City Council.

• C. The City Council shall act as the Review Authority and, after receiving recommendations from the Planning Commission, shall adopt, modify, or deny a Development Agreement.

• (Ord. 1201, 12/9/2025)

• A. The Zoning Administrator shall review an application for a proposed Development Agreement and determine its completeness. Once the Zoning Administrator has deemed a Development Agreement application complete, they shall process the application in accordance with this Chapter and any requirements under State law.

• B. Application Requirements.

  1. Any property owner may file an application for a proposed Development Agreement with the Zoning Administrator. The application shall be prepared, filed, and processed in compliance with Section 18.04.020 (Applications and Fees) and as provided in this Chapter.

  2. The Zoning Administrator may obtain the opinion of the City Attorney as to the sufficiency of the applicant's interest in the real property to enter into the Development Agreement.

  3. If the application is found to be complete, the Zoning Administrator shall accept the application for filing and forward a copy of the proposed Development Agreement to the City Attorney for review.

• C.

Development Agreement Contents.

1. Required Contents. A Development Agreement shall specify the duration of the agreement, the permitted uses of the property, the density or intensity of use, the maximum height and size of proposed buildings, and provisions for reservation or dedication of land for public purposes.

2. Supplemental Contents. Development Agreements may also include the following:

   • a. Conditions. Development Agreements may include conditions, terms, and restrictions, but such conditions shall not prevent development of the property for the uses of and to the density or intensity of development set forth in the agreement.

   • b. Approval and Permits. Development Agreements may include requirements for subsequent approvals and permits, if applicable.

   • c. Phasing. Development Agreements may provide that the development be constructed within specified phases, specify the start of construction, and specify the development or construction phase(s) completion time.

   • d. Financing. Development Agreements may also include terms and conditions relating to applicant financing of necessary public facilities and subsequent reimbursement over time.

   • e. Obligations. Development Agreements may include provisions to guarantee the obligations of the applicant/developer and/or the City as stated in the agreement.

   • f. Public Benefit. Public benefit offered by the applicant as consideration for entering into the Development Agreement.

• g. Other Items. Other components and provisions as negotiated by the City, and/ or any other information deemed necessary by the City Attorney in consultation with the Zoning Administrator. Any subsequent rule, regulation, or policy, which conflicts with the rules, regulations, or policies in force at the time of execution of the Development Agreement, shall not be applicable to the development project unless otherwise provided for in the Development Agreement. However, nothing in this Subsection shall prevent the City from denying or conditionally approving any subsequent development project application on the basis of such subsequent rule, regulation, or policy pursuant to Government Code Section 65866. At a minimum, the Development Agreement shall include an obligation for the applicant to defend, indemnify, and hold harmless the City, in a form approved by the City Attorney's office.

• D. Public Notice and Hearing. The Review Authority shall notice and hold a public hearing in compliance with Section 18.04.040 (Public Noticing and Hearings) and as provided below. Notice of the hearings shall also be mailed or delivered to any other local agency expected to provide water, sewage, streets, roads, schools, or other essential facilities or services to the property that is the subject of the Development Agreement.

• E. Planning Commission Hearing and Recommendation.

  1. Planning Commission Notice and Hearing. The Planning Commission shall issue a notice of intention and hold a public hearing in compliance with Section 18.04.040 (Public Noticing and Hearings) and as provided in this Chapter.

  2. Recommendation to City Council. Following the public hearing, the Planning Commission shall make a written recommendation to City Council on the proposed Development Agreement pursuant to Section 18.04.050 (Notice of Decision and Findings Required).

• F. City Council Hearing and Action.

  1. Applicant Execution of Agreement. A proposed Development Agreement shall be executed by the applicant before it is placed before City Council for consideration at a public hearing.

  2. City Council Notice and Hearing. After receiving the recommendation report from the Planning Commission, the City Council shall issue a notice of intention and hold a public hearing in compliance with Section 18.04.040 (Public Noticing and Hearings) and as provided in this Chapter.

3. City Council Action. After the conclusion of the hearing, the City Council may approve, modify, or deny the proposed Development Agreement, shall announce its findings and decisions pursuant to Section 18.04.050 (Notice of Decision and Findings Required), and shall give the Planning Commission and applicant written notice of its actions and decision. If public testimony or City Council proposes any substantial revision not previously considered by the Planning Commission during its hearings, the proposed revision may be referred to the Planning Commission for review, report, and recommendation, but the Planning Commission shall not be required to hold a public hearing.

4. Adoption by Ordinance. Approval of a Development Agreement shall be by ordinance and shall incorporate by reference the text of the agreement.

(Ord. 1201, 12/9/2025)

• A. After the public hearing, the City Council may approve, modify, or disapprove the proposed Development Agreement. The City Council shall make the following findings for the approval of a Development Agreement:

  1. The Development Agreement provides benefit to the City.

  2. The proposed Development Agreement is in conformance with the goals, policies, and actions of the City's General Plan and the intent and purpose of any applicable Specific Plan and this Zoning Code (Title 18).

  3. The Development Agreement promotes the public health, safety and welfare of the City.

  4. The Development Agreement has a positive effect on orderly development of property and preservation of neighboring property values.

• (Ord. 1201, 12/9/2025)

• A. Execution. The City Manager, or their designee, shall execute a Development Agreement on behalf of the City within 10 days after the ordinance approving the Development Agreement takes effect.

• B. Recordation. The City Clerk shall record the fully executed agreement, which shall include a description of the subject land, with the County Recorder within 10 days after the City executes the Development Agreement.

• (Ord. 1201, 12/9/2025)

• A. Applicant Submission. The applicant shall be required to report to the City at least once a year to demonstrate good faith compliance with the terms and provisions of the Development Agreement, at which time the Zoning Administrator or designee shall serve as the Review Authority and review each approved Development Agreement.

• B. Review of Compliance.

  1. Compliant Development Agreements. If the Zoning Administrator finds and determines, on the basis of substantial evidence, that the applicant or successor has complied in good faith with the terms or conditions of the agreement, no action is required.

  2. Noncompliant Development Agreement. If the Zoning Administrator finds and determines, on the basis of substantial evidence, that the applicant or successor has not complied in good faith with the terms or conditions of the agreement, the City may terminate or modify the agreement in compliance with this Chapter.

     • a. Finding of Noncompliance. If the Zoning Administrator finds the applicant or successor has not complied with the provisions of the Development Agreement, the Zoning Administrator may issue a finding of noncompliance which may be recorded by the City with the County Recorder after it becomes final. The Zoning Administrator shall specify in writing the terms or conditions of the agreement which the applicant has failed to comply with and shall set forth terms of compliance and specify a reasonable time for the applicant to meet the terms of compliance. If the applicant does not comply with the terms of compliance within the prescribed time limits, the Development Agreement shall be subject to termination or revision pursuant to this Chapter.

  3. Appeal of Determination. Findings made pursuant to this Section may be appealed to the City Council in accordance with Section 18.04.100 (Appeals). The issuance of a finding of compliance or noncompliance and the expiration of the appeal period without appeal, or the confirmation by the City Council of the issuance of the finding on such appeal, shall conclude the review for the applicable period and such determination shall be final.

• (Ord. 1201, 12/9/2025)

• A. Any portion of a Development Agreement may be canceled or amended by mutual consent of the parties or initiated by the City for noncompliance. A City Council public hearing and notice of intent to amend or cancel the agreement shall be provided in compliance with the requirements of this Chapter.

  1. Mutual Agreement. Any Development Agreement may be canceled or amended by mutual consent of the parties following compliance with the procedures specified in this Section.

  2. After Finding of Noncompliance. If a finding of noncompliance does not include terms of compliance, or if the applicant does not comply with the terms of compliance within the prescribed time limits, the Zoning Administrator may refer the Development Agreement to the City Council for termination or revision. After issuing a notice of intention and holding a public hearing, the City Council may terminate the Development Agreement, modify the finding of noncompliance, or rescind the finding of noncompliance and issue a finding of compliance.

• B. If the parties to the agreement amend or cancel the Development Agreement or if the City terminates or modifies the Development Agreement, the City Clerk shall record notice of such action with the County Recorder.

• (Ord. 1201, 12/9/2025)