REPORT TO COUNCIL
SUBJECT
Title
Action on a Resolution Accepting the AB1600 Report on Development Impact Fees for Fiscal Year Ended June 30, 2024
Report
COUNCIL PILLAR
Enhance Community Engagement and Transparency
BACKGROUND
A development impact fee is a monetary exaction other than a tax or special assessment that is charged by a local governmental agency to an applicant in connection with approval of a development project for the purpose of defraying all or a portion of a development project's impact on public facilities with certain exceptions. The legal requirements for enactment of a development impact fee program are set forth in Government Code ?? 66000-66025 (the "Mitigation Fee Act"), the bulk of which were adopted as 1987's AB 1600 and thus are commonly referred to as "AB 1600 requirements." Under AB 1600, there must be reasonably relation between amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed.
The allocation of all development impact fees is included in the annual budget process and detailed in the most recent FY 2024/25 & FY 2025/26 Biennial Capital Budget. In addition to the legal required uses of these fees, the allocation of these fees aligns with department and Council priorities. All programmed project allocations will strategically incorporate those priorities, community needs and the goals outlined in specific infrastructure plans (e.g. Park Master Plan).
DISCUSSION
Attached is the AB1600 Report on Development Impact Fees for the fiscal year ended June 30, 2024. This report contains all the information required by Government Code Section 66006(b). AB 1600 also require that the City make certain findings with respect to unexpended funds held by the City in excess of five years. Staff has determined that the following City funds and amounts meet this threshold: 1) Traffic Mitigation funds of $3,134,582; 2) Sanitary Sewer Conveyance funds ...
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