San Bernardino Municipal Code Ch. 15.73 Verdemont Area - Infrastructure Fee

The Mayor and City Council hereby find and determine as follows:

(A) The City of San Bernardino (the “city”) must provide for the acquisition, construction and installation of certain right-of-way and related infrastructure improvements (as hereinafter defined and as hereinafter referred to as the “right-of-way improvements”) and certain other public improvements (as hereinafter described and as hereinafter referred to as the “public improvements”) within the Verdemont Area of the city in order to maintain current levels of service if new development is to be accommodated without decreasing current levels of service and in order to ensure that the infrastructure system is in conformity with the requirements of the city’s general plan.

(B) It is in the interests of the present landowners within the Verdemont Area and the residents, both within the Verdemont Area and within the city generally, that the city causes the acquisition, construction and installation of the right-of-way improvements and the public improvements within the Verdemont Area.

(C) The imposition of infrastructure development fees (the “infrastructure fees”) is one of the preferred methods of ensuring that development in the Verdemont Area bares a proportionate share of the cost of capital facilities necessary to accommodate such development in order to effectively provide the quality and extent of infrastructure required within the Verdemont Area.

(D) Development within the Verdemont Area will (i) generate increased traffic volumes necessitating the acquisition, construction and installation of the right-of-way improvements; and (ii) create a need for the acquisition, construction and installation of the public improvements.

(E) Revenues generated from the levy of the infrastructure fees will be used to facilitate the acquisition, construction and installation of the right-of-way improvements and the public improvements which in turn will allow for the future development of property within the Verdemont Area by providing additional traffic flow capacity and other public improvements.

(F) The infrastructure fees established by § 15.73.050 shall be calculated pursuant to a resolution duly adopted by the Mayor and City Council simultaneously herewith (the “resolution”). The infrastructure fees established by this chapter and as calculated pursuant to the resolution are derived from, and based upon, and do not exceed the costs of undertaking the acquisition, construction and installation of the right-of-way improvements.

(G) It is anticipated that certain excess revenues may be generated through the levy of the infrastructure fees for the acquisition, construction and installation of the right-of-way improvements, and to the extent such revenues are generated, such revenues as are in excess of the amount required for the acquisition, construction and installation of the right-of-way improvements shall be used for the purposes of funding the acquisition, construction and installation of the public improvements as defined in § 15.73.030(E); provided, however, that if such excess revenues are not generated, then the infrastructure fees established by § 15.73.050 and calculated pursuant to the resolution will be increased in accordance with the terms of the resolution or any subsequent resolution adopted by the Mayor and the City Council of the city in order to cause the funding of the acquisition, construction and installation of the public improvements.

(H) That certain engineers report entitled “Engineers Report - Right-of-Way Improvements - Verdemont Area” (the “engineers report”) sets forth the scope and extent of the right-of-way improvements and the public improvements required in the Verdemont Area and sets forth a reasonable methodology and analysis for the determination of the impact of development on the need for, and costs of, acquisition, construction and installation of the right-of-way improvements and the public improvements in the Verdemont Area.

(I) This chapter shall apply only to that area of the city known as the Verdemont Area and is intended to assist in the continued development of the Verdemont Area.

(J) The purpose of this chapter is to regulate the use and development of land so as to assure that new development bears a proportionate share of the cost of capital expenditures necessary to provide right-of-way improvements and public improvements within or for the benefit of the Verdemont Area.

(K) The city has the authority to enact this chapter pursuant to Cal. Gov’t Code §§ 66000, et seq. and the City Charter.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

(A) The provisions of this chapter shall be liberally construed so as to effectively carry out its purpose in the interest of the public health, safety and welfare.

(B) For the purposes of administration and enforcement of this chapter, unless otherwise stated in this chapter, the following rules of construction shall apply to the text of this chapter:

(1) In the case of any difference of meaning or implication between the text of this chapter and any caption, illustration or summary table, the text shall control.

(2) The word “shall” is always mandatory and not discretionary; the word “may” is permissive.

(3) Words used in the present tense shall include the future tense; and words used in the singular number shall include the plural, and the plural the singular unless the context clearly indicates to the contrary.

(4) The word “person” includes an individual, a corporation, a partnership, an unincorporated association, or any other similar entity.

(5) The word “includes” shall not limit the term to the specific example but is intended to extend its meaning to all other instances or circumstances of like kind or character.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

DEVELOPMENT. Every project for which either (i) a building permit is required, except that it shall not include those projects increasing either the size or value of a single-family residence by 25% or less; or (ii) a permit is required in connection with the installation of a mobile home.

ENGINEER’S REPORT. That certain engineer’s report prepared for the Verdemont Area dated January 3, 1990.

EQUIVALENT DWELLING UNIT. A numerical value designation for residentially zoned property whereby one EQUIVALENT DWELLING UNIT is equivalent to a residential unit whether such residential unit be a single family attached or detached unit, or multi-family unit within a multi-family structure, or a mobile home. For land uses other than residential uses, the EQUIVALENT DWELLING UNIT shall equal the density of residential units that could be built per acre as determined by the zoning of the immediately adjacent or, if not immediately adjacent, the most proximate residentially zoned property.

FEE PAYER. A person commencing a land development activity which generates traffic, necessitates the construction of additional publicly owned facilities or improvements and which requires the issuance of a building permit or a permit for the installation of a mobile home.

PUBLIC IMPROVEMENTS. The acquisition, construction and installation of drainage facilities, park facilities, fire station facilities and landscaping, all as more fully described in the engineer’s report.

RIGHT-OF-WAY IMPROVEMENTS. The acquisition, construction and installation of full width streets including, full-width paving, curbs and gutters, sidewalks, streetlights, sewer mains, storm drains, catch basins and water mains in the following locations and all as more fully described in the engineer’s report.

VERDEMONT AREA. That area of the city delineated by the Verdemont Area Plan adopted by the Mayor and City Council on November 17, 1986, excepting therefrom that area southwesterly of Kendall Drive, from the southerly boundary of the Verdemont Area Plan to Palm Avenue and portions north of Kendall Drive and southeasterly of Pine as shown in the engineer’s report, and southwesterly of Route I-215 Freeway, from Palm Avenue to the northerly boundary of the Verdemont Area Plan and as more fully described in the engineer’s report.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

Any person who seeks to develop land within the Verdemont Area by applying for a building permit, an extension of a building permit, a permit for a mobile home installation, or an extension of a permit for mobile home installation to make improvements to land which will generate additional traffic or increase the need for public facilities is hereby required to pay an infrastructure fee in the manner set forth in this chapter.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

(A) The infrastructure fee for any given parcel of property shall be determined by ascertaining the land use category of the parcel and multiplying the amount of the infrastructure fee by the number of equivalent dwelling units allocated to such land use category. The initial amount of the infrastructure fee shall be set by the resolution, and may be subject to increase pursuant to the terms of any subsequent resolutions to be adopted by the Mayor and City Council, which resolutions shall provide for increases to the infrastructure fee in order to cover any administrative and carrying costs incurred in connection with the issuance of bonds required in order to finance the acquisition, construction and installation of all or any portion of the right-of-way improvements and/or the public improvements.

(B) It is anticipated that there may be certain excess revenues generated in connection with the levy of the infrastructure fee in the initial dollar amounts and to the extent any such excess revenues do exist, said excess revenues will be applied to fund the costs of the acquisition, construction and installation of the public improvements. To the extent said excess revenues do not exist, the infrastructure fee in the dollar amount as initially established, may be subject to additional increases by subsequent resolutions of the Mayor and Common Council in order to cause the funding of the acquisition, construction and installation of the public improvements.

(C) The above-referenced subsequent resolutions and the dollar amount of the infrastructure fee initially established pursuant to this chapter and the resolution shall be reviewed and amended at least annually, or more often as may be necessary under the circumstances to reflect any increases in costs.

(1) For applications for an extension of a building permit or an extension of a permit for mobile home installation, the amount of the fee is the difference between the fee then applicable and any amounts previously paid in connection with the application for the initial permit.

(2) In the case of change of use, rehabilitation, expansion or modification of an existing use which requires the issuance of a building permit or permit for mobile home installation, the infrastructure fee shall be based upon the net positive increase in the demands placed upon the right-of-way improvements and the public improvements by the new or expanded use compared to the previous use or level of use.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

(A) (1) Except as may otherwise be provided in division (B) hereof, each applicant for a commercial or industrial building permit shall pay to the city the then applicable infrastructure fee, as initially established pursuant to this chapter and adjusted pursuant to any subsequent resolutions of the city as more fully described in § 15.73.050 hereof, upon the submission to the city of an application for a commercial or industrial building permit, which application is complete, and in a form acceptable to the city. Each applicant for a residential building permit who submits an application, which application is complete, and in the form acceptable to the city, shall pay to the city the then applicable infrastructure fee, as initially established pursuant to this chapter and adjusted pursuant to any subsequent resolutions of the city as more fully described in § 15.73.050 hereof, for all residential units subject to a building permit upon the earlier of the following dates:

(a) Upon the date of final inspection of the first dwelling unit completed in the residential development to which the building permit is applicable; or

(b) Upon the date a certificate of occupancy is issued for the first dwelling unit completed in the residential development to which the building permit is applicable.

(2) In the event the city accepts any payment of infrastructure fees in connection with the submission of a building permit application, which application is incomplete or not in a form satisfactory to the city, all payments made in connection with such application shall be returned to the applicant and such applicant shall be required to submit a complete and acceptable application, and, at the time of such submission, shall pay any then applicable infrastructure fees. Notwithstanding any provision herein to the contrary, the city, by official action of the Mayor and City Council, may require the payment of applicable infrastructure fees for residential units prior to the approval of a final tract or parcel map applicable to residential development if one of the following conditions are met:

(a) The City Engineer has determined that the applicable infrastructure fee will be collected from the subdivider for public improvements or facilities for which an account has been established and funds have been appropriated, and for which the city has adopted a proposed construction schedule or plan; or

(b) The applicable infrastructure fee will reimburse the city for expenditures previously made by the city. All applicants for permits for the installation of mobile homes will be subject to the procedures applicable to residential developments set forth hereinabove.

(B) Any person or entity who would otherwise be required to pay the infrastructure fee pursuant to division (A) hereinabove may receive as a credit towards the infrastructure fee attributable to such person or entity, all or a portion of the costs of any right-of-way improvements or public improvements that may be or may have been acquired, constructed or installed by such an entity.

(C) All funds collected shall be promptly identified as right-of-way/public improvement infrastructure fees and promptly transferred for deposit in the appropriate right-of-way/public improvement infrastructure fee fund to be held in a separate account and, together with interest earnings thereon, used solely for the purposes specified in this chapter.

(D) Notwithstanding anything in this section to the contrary, for any subdivision for which a final map has been approved prior to the effective date of this chapter the fee established pursuant to § 15.73.050 may be paid at the close of escrow on each individual lot, unless a later time is allowed by this chapter.

(Ord. MC-707, passed 3-19-1990; Ord. MC-755, passed 11-21-1990; Ord. MC-1027, passed 9-9-1998; Ord. MC-1666, passed 8-5-2026)

For the construction of new single-family homes, the fees imposed by § 15.73.060 may be deferred at the request of the owner of the property until the release of utilities is issued or 18 months from the issuance of the building permit, whichever is less. The owner of the property must personally guarantee payment of the fees, sign documents authorizing the city to place a lien on the property in the amount of the fees, agree to place the payment of the fees in any escrow for the sale of the property, authorize the city to demand payment in any such escrow, and pay an administrative fee set by resolution of the Mayor and City Council. The amount of the fees due shall be the amount in effect at the time of collection of the fees. In no event shall utilities be released until the fees are paid, except that electrical service may be released at the discretion of the Building Official where necessary for security or maintenance purposes.

(Ord. MC-961, passed 3-20-1996; Ord. MC-1011, passed 12-16-1997; Ord. MC-1044, passed 4-7-1999; Ord. MC-1045, passed 4-20-1999; Ord. MC-1666, passed 8-5-2026)

There is hereby established a Right-of-Way/Public Improvement Infrastructure Fee Fund. The funds withdrawn from this account must be used in accordance with the provisions of § 15.73.080.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

(A) Funds collected from the infrastructure fees shall be used for the purpose of causing the acquisition, construction and installation of the right-of-way improvements and/or public improvements within the verdemont area, as more specifically described in the engineer’s report.

(B) No funds collected pursuant to this chapter shall be used for periodic or routine maintenance.

(C) Funds may also be used to pay debt service on bonds or similar debt instruments issued in order to provide financing for the acquisition, construction and installation of the right-of-way improvements and/or the public improvements for which the infrastructure fee may be expended.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

Any funds not expended or encumbered by the end of the calendar quarter immediately following six years from the date the infrastructure fee was paid shall, upon application of the then current landowner, be returned to such landowner with accrued interest thereon, provided the landowner submits an application for refund to the City Finance Officer within 180 days of the expiration of the six-year period.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

A violation of this chapter shall be prosecuted in the same manner as misdemeanors are prosecuted and upon conviction the violator shall be punishable according to law; however, in addition to or in lieu of any criminal prosecution, the city shall have the power to sue in civil court to enforce the provisions of this chapter.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

If any section, phrase, sentence or portion of this chapter is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion or portions hereof shall be deemed to be a separate, distinct and independent provision, and such holding shall not affect the validity of the remaining portions hereof.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)

(A) Notwithstanding the payment of infrastructure fees as set forth in this chapter, any developer or fee payer shall be responsible for the payment of any applicable installation fees, sewer connection fees, water acquisition charges or other fees or charges levied by the city and all other public bodies in connection with the development of property with the Verdemont Area, and such developer or fee payer shall either:

(1) Provide for the acquisition, construction and installation of any and all other public improvements required by the city of such developer or fee payer as a condition to approval of any development which are in addition to both (a) the right-of-way improvements to be funded by the infrastructure fees as established by this chapter in the initial dollar amount; and (b) the public improvements to be funded by subsequent increases to the infrastructure fees or as established by this chapter in the initial dollar amount;

(2) Pay any other on or off-site improvement fees, assessments or special taxes as may be levied by the city as a condition to the approval of any development in lieu of the actual acquisition, construction or installation of public improvements as set forth in division (A)(1) above.

(B) Unless a developer or fee payer has provided for the payment of infrastructure fees in an amount to provide for the acquisition, construction and installation of the right-of-way improvements and the public improvements, plus any financing costs if applicable, or has constructed a proportionate share of the right-of-way improvements and the public improvements, such developer or fee payer shall not be relieved from the obligation to participate in any benefit assessment district or special tax district established for the purpose of funding that portion of the right-of-way improvements and/or the public improvements not covered by the infrastructure fees as may have been previously paid by a developer or fee payer.

(Ord. MC-707, passed 3-19-1990; Ord. MC-1666, passed 8-5-2026)