Chapter 21.18 — ADDITIONAL STANDARDS FOR DETERMINING

IMPROVEMENT REQUIREMENT OR IMPACT FEE Sections:

• 21.18.010 Improvements shall be necessary to meet needs of development project.

• 21.18.020 Engineer's report.

• 21.18.030 Findings, impact fees generally.

• 21.18.040 Findings, impact fees imposed on a specific development project.

• 21.18.050 Conditions of approval.

No provision of this title shall be construed to permit the imposition of an impact fee which is excessive. An impact fee is excessive if it is imposed in an amount not reasonably proportional to the cost of improvements made necessary by the development project on which the fee is imposed. (Ord. 91-06-1100 § 1 (part))

For each fee imposed under this title on a citywide or areawide basis, or for any increases in such fees not occurring automatically from fluctuations in the index to which the fee may be tied, the city engineer or his or her designate shall prepare and present to the city council or other approving body an engineer's report. The engineer's report may include any references to any master plan, capital improvement plan, improvement study, general or specific plan, or other such planning document. The engineer's report shall be made available to the public not less than ten days prior to any public hearing on the fee, and shall be incorporated in full into the administrative records or proceedings in connection with the fee. No engineer's report shall be required for fees imposed on a development project for which an improvement study has been prepared. (Ord. 91-06-1100 § 1 (part))

Before imposing any impact fee, the approving body shall do all of the following: A. Identify the purpose of the fee; B. Identify the use to which the fee is to be put, including any public facilities to be financed by the fee. This identification may be made by reference to a capital improvement plan, master plan, general or specific plan, or other public documents identifying the facilities; C. Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed; D. Determine how there is a reasonable relationship between the need for the public facility or other use of the fee and the type of development project on which the fee is imposed. These findings may be made with reference to an engineer's report, improvement study, capital improvement plan, master plan, general or specific plan, or other such document, and shall be supported by substantial evidence. (Ord. 91-06-1100 § 1 (part))

Before imposing payment of any impact fee as a condition of approval for any development project, the approving body shall determine how there is a reasonable relationship between the amount of the fee and the cost, or portion of the cost, of the public facility or other public expenditure attributable to the development project on which the fee is imposed. These findings shall be supported by substantial evidence. (Ord. 91-06-1100 § 1 (part))

As a condition of approval of any development project, the approving body shall impose conditions requiring that the developer comply with the provisions of this title. Such conditions may include specification of the required improvements; time for construction; phasing of the development project in accordance with construction of the improvements; posting of security for construction; dedication of land; payment of impact fees; reimbursement for improvements constructed, or fees paid by others; performance of necessary studies and design services; reimbursement of staff or legal expenses; and related matters. At the time of development project approval, the approving body may permit the later establishment of any of the foregoing based upon any further studies it determines to be necessary to establish or coordinate construction of funding of improvements with completion of the development project. In addition, the approving body may require the payment of fees established in accordance with the procedures established in this chapter to reimburse any person, including the city, for the previous construction of improvements which benefit the development project. (Ord. 91-06-1100 § 1 (part)) Chapter 21.28

TIME OF PAYMENT AND FINANCIAL CONTROLS Sections:

• 21.28.010 Improvement security.
• 21.28.020 Dedication.
• 21.28.030 Impact fees.
• 21.28.040 Capital improvement plan.
• 21.28.050 Accounting for funds or fees.
• 21.28.060 Audit of accounts.
• 21.28.070 Advance of city moneys.
• 21.28.080 Review of fees.
• 21.28.090 Refund of fees.

The city may require the developer to enter into an agreement for completion of the improvements and may require the posting of security to secure the obligations of the agreement in accordance with the provisions of Title 18 of this code. (Ord. 91-06-1100 § 1 (part))

The city may require the dedication of land pursuant to this title concurrent with the issuance of building permits or at such other time as may be appropriate. (Ord. 91-06-1100 § 1 (part))

Unless otherwise specified in this title, all impact fees shall be paid directly to the city cashier upon the date of final inspection, or the date the certificate of occupancy is issued, whichever occurs last. In the case of residential dwelling units, the city may require payment on a pro rata basis for each dwelling or upon a percentage of dwellings when they have received final inspection or certificate of occupancy, whichever occurs last. Notwithstanding the foregoing, the city may require earlier payment of such fees if necessary to reimburse city for previous expenditures or if the fees are collected for improvements for which the city has established an account, appropriated funds, and set a construction schedule or plan for the improvements prior to final inspection or issuance of certificate of occupancy. (Ord. 91-06-1100 § 1 (part))

Pursuant to Government Code Section 65403, the city may adopt a capital improvement plan indicating the approximate location, size, and design; time and availability; and estimated cost for all improvements to be financed with the impact fees established hereby. The capital improvement plan may be updated from time to time by resolution of the city council following a noticed public hearing. (Ord. 91-06-1100 § 1 (part))

The city shall deposit any impact fees in separate capital facilities account(s) or fund(s) in a manner to avoid any commingling of the fees with other revenues and funds of the city, except for temporary investments, and expend those fees solely for the purpose for which the fee was collected. Separate accounts or funds may be established for different public improvement projects. Any interest income earned by moneys in the capital facilities account(s) or fund(s) shall also be deposited in that account or fund and shall be expended only for the purpose for which the fee was originally collected. (Ord. 91-06-1100 § 1 (part))

Any person may request an audit to determine if any fee levied by the city exceeds the amount reasonably necessary to cover the cost of such service. In such event the city will hire an independent auditor to make such determination, the expense of said auditor to be paid by the person making the request. Prior to initiating the audit, the person making the request shall deposit with the city clerk the city's estimated cost of such audit, and shall deposit additional funds as may be necessary to pay for such audit immediately upon request by the city. Failure of any person requesting an audit to deposit the necessary funds within five days of request by the city shall authorize the city to terminate the audit. (Ord. 91-06-1100 § 1 (part))

The city may advance moneys from its general fund or other funds to pay the cost of constructing improvements required in connection with a development project, and may reimburse such funds for any advances from fees paid pursuant to this title. The resolution transferring funds to prepay improvement costs shall state that the city is entitled to reimbursement from impact fees. (Ord. 91-06-1100 § 1 (part))

During preparation and review of city's annual budget, the director of public works shall prepare a report reviewing all of the city's then-existing impact fees, including the following: A. The estimated cost of all remaining capital improvements; B. The continued need for such improvements; C. The areas benefitted by the improvements; D. The relationship of the impact fee to the improvements to be constructed; E. The status of all funds collected for the improvements; F. The estimated schedule for fee payment; and G. The estimated schedule for construction of the improvements. The director of public works shall present the report to the city council which may, after a noticed public hearing, by ordinance or resolution, adjust any fee after making the appropriate findings required by Section 21.18.030, and the California Government Code, or discontinue any fee which the city council determines is no longer necessary. (Ord. 91-06-1100 § 1 (part))

At the time of adoption of the municipal budget, the city council shall make findings with respect to any portion of any fee remaining unexpended or uncommitted in its account five or more years after deposit, identifying the purpose to which the fee is to be put and demonstrating the reasonable relationship between the fee and the purpose for which it was charged, and shall refund to the then-current record owner of the development project(s), on a pro rata basis, such unexpended or uncommitted portion of such fee for which such need cannot be demonstrated. These findings need not be made with respect to bonds, letters of credit, or similar instruments of credit, or for moneys not in the city's possession. If the administrative costs of making the refund exceed the amount of refund, the funds may be kept by the city and reallocated to another project serving the development project which paid the fee, following a noticed public hearing. (Ord. 91-06-1100 § 1 (part))