Development Impact Fees Agreement with John Reichel (dba Sunwest Enterprises)

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REQUEST FOR FEE CREDITSIWAIVERS SUNWEST ENTERPRISES (Traffic Impact Fees) any changes in the City's traffic impact fee schedules. The area fee for tentative tracts originally approved prior to 1993 in CFD 89-2 was established at $266.00 to $266.50 per unit. For example, the condition of approval for Tract 14158 stated that "the developer shall contribute a $266.50 per dwelling unit fee as set by the City's Traffic Engineer for this Project's fair share of public improvements within this Project's Impact Area". 4. The commercially zoned parcels at the northeast corner of Pepper Avenue and San Bernardino Avenue (17 acres) were zoned for residential purposes when CFD 89-2 was formed. A zone change was approved for this site on May 18, 1993 by Ordinance No. 0-11-93. The conditions of zone change approval stated that any proposed development will be required to have an environmental assessment and possibly a focused traffic impact study. No traffic impact fee was set for this property at that time. 5. On September 7, 1993 the City Council adopted Resolution 94-93 establishing the fees recommended in the Mohle-Grover study. The Mohle-Grover study set the traffic impact fee at $1,281.75 per single family unit. This fee was to pay for major community and regional traffic improvements necessitated by new development. The City's practice has been to collect such fees at the time of issuance of building permits. 6. No tentative tracts or parcel maps have been approved for property within CFD 89-2 since the adoption of Resolution 94-93. The Community Development Department is currently processing one small tract (Tract 16025 with a total of 43 units of which 6 units are located in the CFD). 7. Developers have paid estimated traffic signalization fees of $58,364 from development in the CFD 89-2 at the rates as specified in the conditions of approval for each tract. 8. The Developer (through the CFD) has constructed approximately 2 miles of "regional" roadways representing $700,000 in total project costs in 1989 dollars and equivalent to $1,300,000 in 2001 dollars. 9. The estimated traffic impact fees for the Developer's remaining undeveloped acreage under the City's current traffic impact fee program would be approximately $265,386 as illustrated in Exhibit D. This estimate is based upon development of 120,200 square feet of commercial uses and 26 residential units using the fees established by Ordinance 0-02-00. 10. The estimated cost to complete the two remaining segments of San Bernardino Avenue (curb, gutter, sidewalk, patch, etc.) originally planned is $83,138. These segments were deleted from the original scopes of work and replaced by other work along Pepper Avenue and San Bernardino Avenue in accordance with agreement between the parties. We have been unable to confirm the actual CFD expenditures for street improvements to determine whether all of the budgeted funds were used for that purpose or whether other funds that could be used for street improvement purposes (other than drainage set -asides) comprised the remaining $700,000 on deposit for the benefit of the CFD. Page 3 of 7