18.105 — DEVELOPMENT IMPACT FEES

This chapter is enacted under the police power of the City and under Government Code Section 66000 et seq.

(Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)

This chapter applies to development impact fees charged as a condition of development to defray the cost of public services, facilities, improvements and amenities. The cost of developing and administering the City's development impact fee program may be included as a component of the established fees. This chapter is not intended to and does not apply to in lieu fees for park land acquisition imposed under Government Code Section 66477 (Quimby fees); regulatory and processing fees; fees required under a development agreement; fees collected under agreements with the City's Redevelopment Agency which provide for the redevelopment of property in furtherance or for the benefit of a redevelopment project; funds collected under a reimbursement agreement; or assessment district proceedings, assessments or taxes. (Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)

• A. The Director is authorized to credit development fees imposed under this chapter in consideration for certain on-site and off-site facilities, improvements constructed or paid for by the developer, or the inclusion of below market rate housing units within the project. A developer is entitled to credit for the value of improvements if the improvement is identified by the City as a priority project to be funded within the three year period immediately following the completion of the facility and the developer (1) dedicates an appropriate site, (2) constructs the improvements, (3) finances an improvement by cash, assessment district, or Mello-Roos Community Facilities District, or (4) a combination of the above.

• B. A decision regarding a fee credit is appealable under Section 18.105.050. (Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)

• A. The developer of a project subject to a development fee under this chapter may apply to the Director for an adjustment to or waiver of that fee or for a finding that the project is exempt from the fee. The waiver or adjustment of a fee shall be based upon the absence of any reasonable relationship between the impact on public facilities of that development and either the amount of fee charged or the type of facilities to be financed. Additionally, in considering a fee adjustment, waiver or exemption, for a project with below market rate housing units, the developer must demonstrate that the project would not be economically feasible and could not be built with the imposition of the fee.

• B. The application shall be made in writing and filed with the Director no later than the time of the issuance of a building permit authorizing construction of a new residential dwelling unit. The application shall state completely and in detail both the applicant's factual basis and legal theory for adjustment or waiver, and compare its proposal with the analysis set forth in the technical report prepared for the fee being challenged. The Director may refuse to consider factual assertions or legal theories not set forth in the written application.

• C. The Director shall consider the application at an informal hearing, which may be continued from time to time, and which shall be held within 60 calendar days after the filing of the complete application. The decision of the Director is appealable under Section 18.105.050.

• (Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)

• A. The Director is responsible for administering, collecting, crediting, adjusting and refunding development fees. A decision by the Director regarding a fee imposed under this chapter shall be appealable in accordance with this section. A person appealing under this section shall have first sought a fee credit under Section 18.105.030, or an adjustment or waiver, or a finding of fee exemption under Section 18.105.040. A person seeking judicial review shall first complete an appeal under this section and shall pay all City charges for that appeal.

• B. A person appealing a decision under this chapter shall file an appeal with the City Clerk, who is responsible for processing the appeal toward a hearing. The appeal shall be in writing, stating completely and in detail the factual and legal grounds, and shall be filed within 10 calendar days following the decision being appealed.

• C. The cost of the appeal shall be borne by the applicant, who shall pay a deposit against such cost at the time of filing the appeal. The amount of the deposit shall be established by resolution of the City Council. The cost of an appeal must be paid in full before the appeal hearing takes place.

• D. The City Clerk shall notify the City Manager of the appeal, and the City Manager shall appoint a hearing officer.

• E. The appointed hearing officer shall set the time and place for the hearing, serve notice on the parties, conduct the hearing, prepare written findings of fact and a written decision on the matter, and shall preserve the complete administrative record of the proceeding. The hearing officer may issue directives, including but not limited to directives that legal briefs be submitted in accordance with an established briefing schedule, to the parties in order to facilitate resolution of the appeal. The hearing officer shall consider relevant evidence presented by the appellant and by the Economic and Community Development Department.

• F. The decision of the hearing officer is final and may not be further appealed; it is reviewable by a court under Code of Civil Procedure Section 1094.5.

• (Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)

• A. If a building permit or use permit is canceled or voided and the fees paid have not been committed, the Director may, upon the written request of the applicant and provided that work has not progressed to a point that would permit commencement of a new, changed or expanded use for which a fee would be payable, order return of the fee and interest earned on it less administrative costs.

• B. If a fee is not spent or committed five years or more after it was paid, the Director may authorize a refund to the then owner of the property for which the fee was paid, under Government Code Section 66001.

• C. A decision regarding refund of a fee is appealable under Section 18.105.050. (Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)

A developer seeking to proceed with his or her project during the pendency of an application for adjustment or waiver or a finding of exemption or during the pendency of an appeal may do so by following the procedures set forth in Section 66020 of the Government Code. (Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)

The Director or the hearing officer appointed under Section 18.105.050 may require as a condition of adjustment, waiver or a finding of exemption that the developer provide a recordable document in a form acceptable to the Director acknowledging the factual basis of waiver or adjustment and further acknowledging that a subsequent change of facts may result in the requirement that additional fees be paid.

(Ord. 532-99 § 2, 1999; Ord. 629-04 § 2, 2004; Ord. 670-06 § 3, 2006)