Sierra Madre Municipal Code Ch. 15.52 Public Facilities Fee

The chapter shall be known and may be cited as the "Sierra Madre Public Facilities Fee Ordinance."

(Ord. 1251 § 3 (part), 2006)

For the purposes of this chapter, the following definitions shall apply:

"Construction Cost Index" means the Construction Cost Index for the Los Angeles Area set forth in the Engineering News Record published by McGraw Hill and Associates. In the event the Engineering News Record ceases to calculate and publish this index, then the city manager may designate a comparable, alternative index to serve as the Construction Cost Index.

"Eligible facilities" means: (1) the improvements identified in the Public Facilities Fee Study approved by the city council, and (2) another improvement that is approved by the city council to be substituted for an identified improvement because it will mitigate similar impacts of new development. For the purpose of this chapter, an improvement may include any land or tangible property with an expected useful life of five or more years, including fixtures, equipment, vehicles and similar property that may or may not be a part of an improvement to real property.

"Fee" means the public facilities fee imposed pursuant to this chapter.

Government Code. Any reference in this chapter to the "Government Code" or to a section of the "Government Code" shall refer to the California Government Code as it exists at the time this chapter is applied and shall include amendments to that code made subsequently to the adoption of this chapter, it being the intent of the city to maintain the fee in compliance with applicable law.

"Project" means the construction of new structures or additions to existing nonresidential structures in the city and, with respect to residential development, any development project that creates additional dwelling units. "Project" shall not mean replacement or expansion of an existing dwelling unit. With respect to nonresidential development, "project" shall also mean any development project that creates additional square footage of useful area or changes the use class of an existing structure. When a project occurs on a parcel (or group of parcels), the "project" includes all structures on the parcel or parcels.

"Recreation fee" means the portion of the fee that is designated by ordinance or resolution of the city council for the mitigation of the demand for the city's park and parkland facilities arising from new development.

"Use class" means the class of use of a nonresidential structure, which classes include commercial, office and industrial.

(Ord. 1251 § 3 (part), 2006)

The fee is hereby imposed as a condition of the issuance of any permit for any project, unless expressly exempted by this chapter. The rate of the fee shall be calculated pursuant to Section 15.52.060 of this chapter.

(Ord. 1251 § 3 (part), 2006)

The provisions of this chapter shall not apply to any project that is exempt from the fee by virtue of the Constitutions of the United States or California or by virtue of other applicable state or federal law.

(Ord. 1251 § 3 (part), 2006)

A. Except as otherwise required by Government Code Section 66007, the fee shall accrue when the first discretionary approval is given for a project after the effective date of the ordinance codified in this chapter, or, if no such discretionary approval is required subsequent to the effective date of the ordinance codified in this chapter, when an application is submitted for a building permit for that project. In either case, the fee shall be payable when an application is submitted for a building permit for the project. A fee shall be calculated at the rate in effect when the fee accrues.

B. Payment of the fee may be deferred, for residential development only, to the date of approval of the final building inspection of the development, provided the owner of the real property for which the fees are required enters into a recordable agreement with the city prior to issuance of the building permit for the development, which shall constitute a lien on the property from the date of recordation and shall be enforceable against successors in interest to the property owner. The agreement shall provide that approval of the final building inspection shall not be granted until the fee is paid. The agreement shall also provide that, in any action to collect the fee or any portion thereof, the city shall be entitled to all of its costs of enforcement and collection, including reasonable attorney's fees. The city manager may execute such agreements on behalf of the city in a form acceptable to the city attorney. Any deferral granted pursuant to this subsection shall be consistent with the requirements of Government Code Section 66007.

C. A credit against the fee may be given for dedications of eligible facilities constructed or provided at private expense and for the value of land dedicated to the city that is necessary or useful to an eligible facility. Such credit will be granted only if the city council determines that: (1) the city will experience a substantial cost savings or service quality improvement as a result of private construction of the eligible facilities or the dedication of land and (2) the grant of the credit, in lieu of the fee, will not cause the city to delay the implementation of elements of the program that are of higher priority, in the judgment of the city council, than the land or eligible facility to be dedicated. The credit shall be applied when the city accepts the land or eligible facility. If the city council has made the determinations required by this subsection, payment of a portion of the fee equal to the amount of an expected credit against the fee may be deferred to the date of approval of the final building inspection of the development, provided the owner of the real property for which the fee is required enters into a recordable agreement with the city prior to issuance of the building permit for the development, which shall constitute a lien on the property from the date of recordation and shall be enforceable against successors in interest to the property owner. The agreement shall provide that approval of the final building inspection shall not be granted until the fee is paid or the credit issued. The agreement shall also provide that, in any action to collect the fee or any portion thereof, the city shall be entitled to all of its costs of enforcement and collection, including reasonable attorney's fees. The director may execute the agreement on behalf of the city in a form acceptable to the city attorney. Any deferral granted pursuant to this subsection shall be consistent with the requirements of Government Code Section 66007.

(Ord. 1251 § 3 (part), 2006)

A. The fee imposed upon a project shall be calculated by subtracting any pre-existing impact credits for that project (calculated pursuant to subsection C of this section) from the sum of the base amounts (calculated pursuant to subsection B of this section) for all uses constituting that project. If the pre-existing impact credits for a project exceed the base amounts for that project, then the fee shall be zero.

B. A base amount shall be calculated for each residential use and each nonresidential use class on a project. With respect to any residential use, the base amount for a project shall be calculated by multiplying the number of dwelling units (after the completion of the project) on the parcels comprising the project by the then applicable residential rate. With respect to any nonresidential use class, the base amount shall be calculated by multiplying the number of square feet of each such use class (after the completion of the project) on the parcels comprising the project by the then applicable rate for such nonresidential use class.

C. The existing impact credit for project shall be the sum of the base amounts that would be imposed on a project comprised of the structures that existed on the parcels comprising the project prior to the occurrence of the new project. No existing impact credit shall be allowed for structures demolished without required permits.

D. The rate of the fee shall be established from time to time by resolution or ordinance of the city council in the manner required by Government Code Sections 66004 and 66018 and other applicable law.

E. Beginning July 1, 2007, and on each July 1st thereafter, the rate of the fee shall increase without further action by the city according to the following formula:

Where the "Council-Approved Rate" is the rate most recently established by resolution or ordinance of the city council, "Most Recent ENR" is the most recently published Construction Cost Index when the calculation is made and "ENR at Council-Approval" is the Construction Cost Index published for the month in which the council approved the "Council-Approved Rate." The city manager or his/her designee shall calculate the increased fee annually and give notice of that calculation in the manner required by law for the publication of ordinance of the city council.

(Ord. 1251 § 3 (part), 2006)

(Ord. No. 1386, Exh. A, § 3, 2-28-17)

A. There is hereby established a special fund, entitled the "public facilities fee fund," into which all fee proceeds and any interest thereon shall be deposited. The fund shall be maintained, as required by Government Code Section 66006.

B. Moneys in the fund shall be expended only on the installation, acquisition, construction and improvement of eligible facilities.

(Ord. 1251 § 3 (part), 2006)

A. At least annually and as required by Government Code Section 66006, the city manager or his/her designee shall review the estimated cost of the public improvements to be funded by the fee, the continued need for those improvements and the reasonable relationship between such need and the impacts of pending or anticipated new development. The city manager or his/her designee shall report his/her findings to the city council at a noticed public hearing and recommend any adjustment to the fee or such other action as he/she may deem appropriate.

B. The city council shall review such report, as required by Government Code Section 66006(b)(2).

C. The city council shall make the findings on the report if and as required by Government Code Section 66001(d).

(Ord. 1251 § 3 (part), 2006)

The developer of any project subject to the fee may apply to the city council for a reduction or adjustment of that fee, or a waiver of that fee, based on the absence of any reasonable relationship or nexus between the cumulative impacts of that development and either the amount of the fee charged or the type of facilities to be financed. The application shall be made in writing and filed with the city clerk not later than: (1) ten days prior to the public hearing on any discretionary city approval for the project, or (2) if no discretionary city approval is required, when a request for a building permit is filed. The application shall state in detail the factual basis for the claim of waiver, reduction, or adjustment. The city council shall consider the application at the public hearing on the permit application or at a separate hearing held within sixty days after the filing of the fee adjustment application, whichever is later. The decision of the city council shall be final. If a reduction, adjustment, or waiver is granted, any change in use within the project or the scope of the project shall invalidate the waiver, adjustment or reduction of the fee.

(Ord. 1251 § 3 (part), 2006)

Where a project would otherwise be subject both to the requirements of Chapter 16.44 of this code and a requirement of payment of a recreation fee, the project shall be exempt from the recreation fee, but not from any other portion of the fee, and shall be subject to the requirements of Chapter 16.44 of this code.

(Ord. 1251 § 3 (part), 2006)