Article III — North Natomas Land Acquisition Program

This article is adopted pursuant to the general powers reserved to the city under its City Charter for the purpose of implementing and providing funding for the North Natomas land acquisition program of the North Natomas financing plan. The development of land in the North Natomas finance plan area will cause the need for public facilities and improvements. The acquisition of public land and regional park land is required to provide land upon which to construct such facilities and improvements, to provide open space and buffers, and for other public purposes. The North Natomas land acquisition program is formulated to allow for the location of public facilities and improvements based upon sound planning principles by spreading the cost of public land and regional park land uniformly across the North Natomas finance plan area. It is intended to provide a method by which landowners may provide public land and regional park land needed for such facilities and improvements, above and beyond standard city dedication requirements for individual development projects, and which is required within the North Natomas finance plan area as a condition of allowing development in that area, at no cost to the city. The program is structured to provide a consistent, fair and equitable method to handle public land and regional park land acquisition and establishes assigned values which are intended to avoid the effects of wide swings in land values over time and across locations. The purpose of this chapter is to establish and impose the fees which are an integral part of the program, and which are needed to provide funding required for acquisition of land under the program. (Prior code § 84.03.300)

In addition to the definitions set forth in Section 18.24.010 of this chapter, unless the contrary is stated or clearly appears from the context in which a term is used, the following definitions set forth in this section shall govern construction of the words and phrases used in this article:

"Average amount of public land" means that amount of land to be held for public purposes, as described in the North Natomas land acquisition program, calculated per net acre, for the purpose of assigning landowners a fair share of the costs of providing public land under the program, which amount may change from time to time.

"Acquired public land" means that public land that actually is acquired from property owners within the North Natomas finance plan area to the city and at no cost to the city. "Acquired public land" shall not include public land that is acquired from property owners by condemnation or otherwise.

• "Land acquisition fee" is comprised of the gross public land acquisition fee and the regional park fee.

• "Net acres" means that property within the North Natomas finance plan area that is available after the dedication of all public uses and rights-of-way.

"North Natomas land acquisition program" means that program as described in the North Natomas financing plan designed to provide a means for the transfer to or acquisition by the city, or such other public agency as is appropriate, of public land and regional park land within the North Natomas finance plan area, as such program exists as of the date of the adoption of this chapter, or as may thereafter be amended or supplemented from time to time.

• "Program" means the North Natomas land acquisition program.

"Public facilities land acquisition fee" means that fee, as described in the North Natomas land acquisition program, calculated per residential unit or per net acre, designed to equalize the cost of public land among the various landowners of the total amount of net acres within the North Natomas finance plan area, the amount of which may change from time to time.

"Public land" means the property acquired for public purposes for the North Natomas finance plan area, excluding the regional park land, under the North Natomas land acquisition program. All public land is required as a condition of allowing development to proceed in the area in order to facilitate the installation of infrastructure and other public facilities required to meet the needs and address the impacts caused by such development. Public land also is required to provide buffers and open space pursuant to the North Natomas community plan and North Natomas financing plan. All public land is to be dedicated, transferred to or acquired by the city without cost to the city.

• "Public land acquisition value" means the three-year weighted average of estimated land value, as described in the North Natomas land acquisition program, calculated per acre within the North Natomas finance plan area, for purposes of determining fees, credits, and reimbursements under the program, the amount of which may change from time to time.

"Regional park" means the approximately two hundred (200) acre park within the North Natomas finance plan area that is designated for use as a regional park and certain conjunctive uses pursuant to the North Natomas community plan.

• "Regional park land" means the portion of the property on which the regional park is to be established that is to be acquired by the city under the North Natomas land acquisition program.

"Regional park land acquisition cost" means the actual cost to the city of the acquisition, by condemnation or otherwise, of the regional park land, which cost shall include, without limitation, the land cost and attorney's fees, legal costs, and administrative and other costs associated with such acquisition.

"Regional park land acquisition fee" means that fee, as described in the North Natomas land acquisition program, calculated per residential unit or per net acre, designed to equalize the cost of the regional park land among the various landowners of the total amount of net acres within the North Natomas finance plan area, the amount of which may change from time to time. (Ord. 2000-017 § 2(b)(ii)(a)-(g); Ord. 99-043 § 2(a)-(g); prior code § 84.03.301)

Participation in the North Natomas land acquisition program and compliance with this article shall be required by all development agreements concerning the development of land in the North Natomas finance plan area and made conditions to approval of discretionary land use entitlements, including, without limitation, approval of zoning matters, tentative subdivision maps, and master parcel maps for property being developed in the North Natomas finance plan area. (Prior code § 84.03.302)

A. A public facilities land acquisition fee is established and imposed pursuant to the provisions of this chapter to provide for the acquisition of public land within the North Natomas finance plan area pursuant to the North Natomas land acquisition program.

B. A regional park land acquisition fee is established and imposed pursuant to the provisions of this chapter to finance the acquisition of regional park land within the North Natomas finance plan area as set forth in the North Natomas land acquisition program.

C. The city council, by resolution, shall establish the specific initial amounts of the public facilities land acquisition fee and the regional park acquisition fee and subsequent amounts of the fees pursuant to Section 18.24.400 relating to the annual review of such fees. The amount of the fees shall be consistent with the North Natomas land acquisition program. The public facilities land acquisition fee shall take into consideration actual costs of the acquisition of public land as set forth in the North Natomas land acquisition program. The amount of the regional park land acquisition fee shall be based upon the actual or estimated regional park land acquisition costs. If the regional park land acquisition cost is not known at the time the amount of the regional park land acquisition fee is established, the city council shall use a reasonable estimate of such cost, plus a reasonable contingency component, to set the fee and adopt procedures for the refund of any excess fees paid to the extent that the actual acquisition cost is less than the estimate and for the payment of additional fees to the extent that the actual acquisition cost exceeds the estimate. (Ord. 2000-017 § 2(b)(iii); Ord. 99-043 § 2(h); prior code § 84.03.303)

A. The public facilities land acquisition fee and regional park land acquisition fee established under Section 18.24.280 of this chapter shall be imposed upon the owners of real property located within the North Natomas finance plan area in connection with the following types of development:

1. For residential property:

• a. The construction on the property of a new building containing one or more dwelling units.

2. For nonresidential property:

• a. The construction on the property of a new building or structure.

B. Except as may be expressly provided in this chapter, including, without limitation, those provisions for a deferral in the payment of fees, no building permits or extension of permits for the activities described in subsections (A)(1) and (A)(2) of this section shall be granted unless and until the public facilities land acquisition fee and regional park land acquisition fee have been paid to the city in accordance with the provisions of this chapter.

C. Notwithstanding anything to the contrary set forth in subsection A of this section or in any other provision in this chapter, the fees established pursuant to this chapter shall apply to any development project (1) which has heretofore received a tentative map approval or other approval, whether discretionary or nondiscretionary, from the city where the approval of the same has been conditioned upon payment of the fees established as a result of the implementation of the North Natomas financing plan, or (2) which is subject to a development agreement between the landowner and city which requires the payment of fees established as a result of the implementation of the North Natomas financing plan. (Ord. 2000-017 § 2(b)(iv); Ord. 99-043 § 2(i); prior code § 84.03.304)

A. The methodologies set forth in the North Natomas land acquisition program shall be used as the basis to set the amount of fees pursuant to any resolution referenced under subsection B of Section 18.24.280. Applicants for building or other development permits shall include plans and calculations prepared by the applicant or applicant's agent, specifying date necessary to calculate said fees, including, without limitation, the amount by acreage of net acres on such applicant's property. All fees due under this chapter shall be determined and calculated by the city director of public works, or his or her authorized designee.

B. The amount of net acres, average amount of public land, and acquired public land, and the amount of the public land acquisition value, public facilities land acquisition fee and regional park land acquisition fee shall be determined at the time of approval of final master parcel maps and final subdivision maps.

C. The amount of the fee pursuant to this section shall be adjusted annually from and after the date on which said fee is computed under this section to and until the date on which the fee actually is paid under Section 18.24.310 of this chapter, to take into account changes in the public land acquisition value. (Ord. 2000-017 § 2(b)(v); Ord. 99-043 §§ 2(j), (k); prior code § 84.03.305)

Except as otherwise provided in any deferral measures adopted under Section 18.24.320 of this chapter, the fees established by this chapter shall be paid for the property on which a development project is proposed at the time of the issuance of any required building permit relating to such development. With respect to development projects completed or commenced as of the effective date of this chapter, the director of public works, or his or her designee, shall have the authority to enter into agreements with landowners concerning the amount, time and manner of payment of fees with respect to such development projects. (Prior code § 84.03.306)

The city council, by resolution, may adopt policies, guidelines and procedures regarding the deferral or other adjustment of the time in which the fees established under this chapter must be paid. The policies, guidelines, and procedures shall be subject to annual review and adjustment to assure that funds are available to acquire public property in a timely manner pursuant to the North Natomas land acquisition program and the North Natomas financing plan and to promote fairness and equity relating to such deferrals and adjustments. The obligation to pay any portion of a fee established by this chapter in installments over time shall be pursuant to an agreement in a form approved by the city attorney and secured in manner satisfactory to the city. (Prior code § 84.03.307)

The city council, by resolution, may adopt policies, guidelines and procedures regarding the allowable credits against and reimbursements of the fees established under this chapter; provided that the sole source of any reimbursement made to a landowner shall be the fee revenue generated under the North Natomas land acquisition program. The policies, guidelines, and procedures shall be subject to annual review and adjustment to assure that funds are available to acquire public property in a timely manner pursuant to the North Natomas land acquisition program and the North Natomas financing plan and to promote fairness and equity relating to such credits and reimbursements. (Prior code § 84.03.308)

A. A landowner subject to a fee established by this chapter may apply to the city director of public works, or his or her designee (for purposes of this section, the "director"), for a reduction, adjustment, or waiver of any one or more of the fees, or any portion thereof. The application shall state in detail the factual basis for the claim of reduction, adjustment, or waiver, and shall include any and all written materials which the landowner deems appropriate in support of the application.

B. The application shall be made in writing and filed with the director at or before the time required for the filing of protests under Government Code Sections 66020 and 66021. For purposes of determining the applicable limitations period set forth in Government Code Section 66020, the date of the imposition of the fees under this chapter shall be the date of the earliest discretionary approval by the city of the subject development project. The application shall be accompanied by the payment of a filing fee in an amount established by the city council. The applicant shall be liable for the actual cost of the city in processing and ruling upon the application to the extent such cost exceeds the filing fee. Such excess amount may be deducted from any refund found due and owing to the applicant or may be added to the amount of fees found to be due or owing from the applicant, as the case may be.

C. Notwithstanding the filing of an application and the pendency of any hearing or procedure under this section, the landowner shall pay the fees originally determined by the city in a timely manner pursuant to Section 18.24.310 of this chapter. Such payment shall be deemed to be a payment under protest pursuant to Government Code Sections 66020 and 66021.

D. It is the intent of this section that the fee categories established by this chapter shall be considered individually; thus it may occur that a fee adjustment or waiver is made to one category of fees and not affect another.

E. The director shall consider the application at an informal hearing held within sixty (60) days after the filing of the fee adjustment application. The decision of the director shall be final and not appealable, except as provided in subsections H and I of this section. The director shall make his or her determination of the fee calculation within fifteen (15) days from the date of the informal hearing or the date on which said director sets for the submission of additional engineering or other studies, other information, or additional calculations as found necessary by the director during the course of the informal hearing. Applicant's failure to submit, on a timely basis, additional information requested by the director may result in denial of the application. The applicant shall be notified of the director's decision, in writing, by the mailing of such decision by first-class mail, postage prepaid, and addressed to the address provided by the applicant.

F. The director shall consider the following factors in his or her determination whether or not to approve an application:

1. The reasonableness of the provisions of the North Natomas land acquisition program in addressing the need for an equitable method for the financing of necessary public lands;

2. The substance and nature of the evidence presented by the applicant;

3. The facts, findings and conclusions stated in the North Natomas community plan, the North Natomas financing plan and the nexus study, including technical information, studies, and reports contained within and supporting said plans and study, together with findings supporting the resolution setting the amount of the fee or fees in question. The applicant must present comparable technical information, studies, and reports to demonstrate that the fee is inappropriate for the particular development involved.

G. If the application is granted, any change in use within the particular development involved in an application shall invalidate the reduction, adjustment, or waiver of the fee if such change in use would render the same inappropriate.

H. Within ten (10) days of the date of the mailing of the decision of director's decision, an applicant may appeal the director's decision to the city council, by filing a notice of appeal with the city clerk. The provisions of Chapter 1.24 of this code shall govern the appeal to the city council. The city council or the appointed hearing examiner, as the case may be, shall consider the factors set forth in subsections A and F of this section in arriving at a decision on the appeal. The decision on the appeal shall be mailed within five days following the hearing held pursuant to this section by first-class mail, postage prepaid, and addressed to the address provided by the applicant. The decision shall be final and not appealable, except as provided in subsection I of this section.

I. The protest procedures set forth in this section are administrative procedures which must be exhausted prior to the institution of any judicial proceeding concerning the fees protested. Any petition seeking judicial review of a decision by the city council shall be made under Code of Civil Procedure Section 1094.5 and shall be filed by or before (1) ninety (90) days following the date on which such decision is mailed to the applicant or (2) the expiration of the limitation period set forth in subsection (d) of Government Code Section 66020, whichever occurs later. For purposes of determining the applicable limitations period set forth in Government Code Section 66020, the date of the imposition of the fees under this chapter shall be the date of the earliest discretionary approval by the city of the subject development project. (Prior code § 84.03.309)

The public facilities land acquisition fee and the regional park land acquisition fee established and collected pursuant to this chapter shall be deposited in the following separate special funds created specifically to hold the revenue generated by such fees. Moneys within such fund may be used solely for the purposes set forth in Section 18.24.360 of this chapter. In this regard, the following special funds are created and established:

A. Public land acquisition fund for the deposit and collection of the public facilities land acquisition fee;

B. Regional park land acquisition fund for the deposit and collection of the regional park land acquisition fee. (Ord. 2000-017 § 2(b)(vi); Ord. 99-043 § 2(l); prior code § 84.03.310)

A. Funds collected from the fees established by this chapter and deposited in their respective special funds established under Section 18.24.350 of this chapter, shall be used for the purpose of:

1. Expending for the payment of the costs of acquiring public land and regional park land under the North Natomas land acquisition program;

2. Providing for reimbursements as set forth in any resolution adopted pursuant to Section 18.24.330 of this chapter;

3. Providing for reimbursements to the city for the administrative costs in administering the North Natomas land acquisition program;

4. Providing for reimbursement to the city for the cost of acquisition of public land by condemnation or purchase and the regional park land acquisition costs expended by it; and

5. Providing refunds as provided in this article.

B. The city council, by resolution, may authorize the city manager to make loans among the different funds established pursuant to this chapter, and, where expressly authorized, other articles of this chapter, to assure adequate cash flow for the timely accomplishment of the purposes and uses of the fees deposited in each of the borrowing funds, while not causing an unreasonable delay in the accomplishment of the purposes and uses of the fees deposited in each of the lending funds.

C. Unless used or refunded as otherwise permitted under this section, moneys, including any accrued interest, not assigned in any fiscal period shall be retained in the same fund until the next fiscal period. (Prior code § 84.03.311)

A. Commencing with the fifth fiscal year following the first year of receipt of any revenues from the fees established and imposed pursuant to the provisions of this chapter, and in each fiscal year thereafter, the city treasurer, or his or her designee, shall provide the city council with a report which sets forth the total amount of all such fee revenues that were received and deposited in the appropriate special fund established under Section 18.24.350 of this chapter in each fiscal year prior to the date of such report, but which remain unexpended or unappropriated as of the date of the report; provided, however, that no report shall be required in any year in which there were no unspent or unappropriated fee revenues in such fund which were received and deposited in the fund more than five years prior to the date of the report.

B. Upon review of each report described in subsection A of this section, the city council shall take one of the following actions with respect to any unexpended or unappropriated fee revenue in the appropriate special fund established under Section 18.24.350 of this chapter which was received and deposited in such fund five or more years prior to the date of such report:

1. Appropriate all or any part of such unexpended or unappropriated fee revenue for the acquisition of public land or regional park land for which the fee was imposed;

2. Make findings with respect to all or any part of such unexpended or unappropriated fee revenue which identify the purposes to which the revenue are to be put; or

3. Provide for the refund of all or any part of such unexpended or unappropriated fee revenue, together with any actual interest accrued thereon to the current record owner of any property for which a fee was paid; provided, however, that if the administrative costs of refunding such fee revenue exceed the amount to be refunded, the city council, after considering the matter at a noticed public hearing, may appropriate such revenue for the acquisition of public land or regional park land in the North Natomas finance plan area, or to make reimbursements required by this chapter or shall appropriate it for any other public improvement, facility, or property for which fees are charged or otherwise imposed pursuant to this chapter and which the city council determines will benefit the properties for which such fees were charged or otherwise imposed; and provided further that the portion of any fee revenue received by the city as reimbursement of its costs in administering the provisions of this chapter shall not be refunded, but shall be applied to reduce the amount of the fee charged for administrative purposes. (Prior code § 84.03.312)

If a building permit or, if appropriate, a grading permit, expires without commencement of construction, then the fee payer shall be entitled to a refund, without interest, of the fees paid as a condition for its issuance, provided, however, that the portion of any fee revenue received by the city as reimbursement of its costs in administering the provisions of this chapter shall not be refunded. The fee payer must submit an application for such a refund to the city manager within ninety (90) calendar days of the expiration of the permit. Failure to timely submit the required application for refund shall constitute an absolute waiver of any right to the refund. (Prior code § 84.03.313)

The provisions of this chapter shall not release any owner of residential or nonresidential property located within the North Natomas finance plan area from the obligation of paying other applicable fees relating to development of property, including, without limitation, the application fees, processing fees, mitigation fees, and other development fees within the control of the city, from complying with any public facility improvement requirements which are imposed pursuant to applicable law, including, without limitation, the provisions of this code, and from complying with any requirement to dedicate property for public use pursuant to applicable law, including without limitation, the other provisions of this code and the Government Code, at the time of approval of a development agreement, tentative subdivision map, tentative master parcel map, certificate of compliance, building permit or other land use entitlement. (Prior code § 84.03.314)

The city council, by resolution, may revise the public facilities land acquisition fee and the regional park land acquisition fee, time to time, to take into account any changes in the public land acquisition value, the average amount of public land, the net acres, the amount of public land and regional park land required under the North Natomas land acquisition program, and the actual costs of acquiring public land and regional park land. The director of public works, or his or her designee, is authorized to retain the services of an appraiser to perform a valuation study of the North Natomas finance plan area in order to update the public land acquisition value. Any revision in the fees or other matters set forth in this section shall be consistent with the formula and methodologies set forth in the North Natomas land acquisition program. (Ord. 2000-017 § 2(b)(vii); Ord. 99-043 § 2(m); prior code § 84.03.315)

In the event the fees established by this article have failed or will fail to generate revenue sufficient to acquire public land or regional park land, or both, in a timely manner, city staff, North Natomas landowners, and other interested parties shall explore alternative sources of funding of such land. If the city council finds that there is no feasible alternative source of funding for the timely acquisition of such land, the council, in its sole discretion and in the exercise of its police powers to protect the public health, safety and welfare, may curtail or cease development within the North Natomas finance plan area pursuant to applicable law. (Prior code § 84.03.316)