(5)AR 081908 second reading of O-09-08

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CITY OF COLTON AGENDA REPORT FOR THE COUNCIL MEETING OF August 19, 2008 TO: Honorable Mayor and City Council Members FROM: Bill Smith - Community Services Director ITEM #7 SUBJECT: Waive Second Reading, Read by Title Only, and Approve an Ordinance Approving a Park Development Impact Fee (Nexus) Study; Amending Sections 4, 11 and Exhibit "A" of Ordinance 0- 02-00; and Adopting Necessary Findings for the Establishment of Revised Park Development Impact Fees to Finance Public Improvements and Facilities, ORDINANCE NO. 0-09-08 DATE: August 13, 2008 BACKGROUND: As part of the City Council -approved Community Services Department work plan for fiscal year 2007-08, SCI Consulting Group was contracted to examine current park development impact fees for property improvements and development in the City of Colton. These requirements seek to ensure that there is adequate funding for park improvements in the city to accommodate the parkland needs created by population growth as the result of new development in the city. This study was presented to, and approved by City Council at their regular meeting of August 5, 2008. DISCUSSION/ANALYSIS: The recommendations as the result of this study were presented to the City Council, after meetings with the Building Industry Association (BIA). The BIA also spoke at the City Council meeting of August 5, 2008. Through working with the BIA, the attached fee schedule was approved by City Council, which calls for a 3 -year fee phasing program. This program calls for an initial phasing of 66% of the recommended fee, followed by a second year increment of 75% of this recommended fee, followed in year three by the implementation of the full fee. The second and third year increases are also indexed for inflation. The fee phasing for industrial development is effective on October 5, 2008, October 5, 2009, and October 5, 2010. For residential development, City Council approved a six month delay to the initial fee increase, making fee phasing effective on April 1, 2009, April 1, 2010, and April 1, 2011. These dates are correctly noted in the attached, approved fee schedule. FINANCIAL IMPACT: These adjusted development fees will have a positive impact on funds available for development of new parks, as new development occurs within the city. ENVIRONMENTAL IMPACT: The adoption of this ordinance is exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines sections 15061(b)(3), 15273 and 15301. This ordinance merely updates the costs needed to support new development in the City. Thus, this action is categorically exempt and staff has filed a Notice of Exemption with the San Bernardino County Clerk's office pursuant to City Council approval at the August 5, 2008 Council meeting.