Ordinance 2854ORDINANCE 2854
AMENDING THE ALAMEDA MUNICIPAL CODE BY ADDING
ARTICLE 27 -3 (CITYWIDE DEVELOPMENT FEES) TO
CHAPTER XXVII (DEVELOPMENT FEES) ESTABLISHING A
CITYWIDE DEVELOPMENT FEE
BE IT ORDAINED by the City Council of the City of Alameda that:
Section 1. Article 27 -3 is hereby added to the Alameda Municipal Code to read as
ARTICLE 27 -3
CITYWIDE DEVELOPMENT FEES
Section 27 -3.1. Authority.
W
.a 11 a unless otherwise specifically defined herein.
r
Section 27 -3.2. Application.
This Chapter applies to Citywide Development Fees charged as a condition of
development to defray the cost of certain public facilities, services, improvements and amenities.
The cost of developing and administering the City's Citywide Development Fee program may be
included as a component of the established fees. The fees charged under this Article do not replace
or repeal any other fee or charge levied pursuant to any section of the Alameda Municipal Code, nor
do the fees charged under this Article replace any subdivision map exactions; other site specific
mitigation measures or conditions; other regulatory, or processing fees, funding required pursuant
to a development agreement or reimbursement agreement or special assessments, unless such
charges, exactions or assessments relate to the facilities funded pursuant to this Ordinance.
Section 27 -3.3. Intent and Purpose.
The intent and purpose of the Citywide Development Fee is to mitigate the impacts
of new residential and new or intensified industrial, and commercial development on traffic
safety/capital replacement, parks and recreation, public facilities, public safety, and transportation
as more specifically described in the Projects listed in Exhibit B to the Nexus Study. The purpose
of each component of the Citywide Fee is as follows:
�y.
a. The purpose of the Traffic Safety/Capital Replacement and Traffic component
is to fund required improvements related to public safety such as traffic signals, street overlays,
handicap ramps at intersections, and other traffic safety improvements and to mitigate the
degradation in the levels of service on public roads from new developments.
b. The purpose of the Parks and Recreation component is to fund a portion of
the capital costs associated with construction of new park and recreation improvements and facilities,
renovations to existing park and recreation facilities, and other related improvements such as new
lighting and play equipment at existing parks.
c. The purpose of the Public Facilities component is to fund a portion of the
capital costs associated with the construction of a number of public buildings including a new
library, seismic upgrades to new buildings, and other improvements to existing public facilities.
d. The purpose of the Public Safety Facilities and Improvements component is
to fund a portion of the costs associated with construction of public safety facilities and the purchase
of public safety equipment.
Section 27 -3.4. Findings.
The City Council finds and declares:
a. The City provides public services and constructs and maintains public
facilities for the benefit of residents, businesses and employees within the City.
b. New development potential in the City has been made available by the closure
of the Naval Air Station Alameda ( "Alameda Point") and the Fleet Industrial Supply Center
("FISC") , which will be conveyed to the City by the Federal government. Additional development
potential exists along the Northern Waterfront area through redevelopment and intensification of
existing uses and development of new uses such as housing as well as other infill or urban
redevelopment activity throughout the City.
c. This anticipated residential and commercial development will generate an
increase in the need for City services and the corresponding capital facilities necessary to provide
those services. New residential and new or intensified commercial development will thus create an
additional burden on the existing capital facilities and services.
d. If additional capital facilities and public services are not added as
development occurs, the existing facilities and services will not be adequate to serve the community.
This could result in adverse impacts, such as inadequate public safety services, inadequate traffic
safety and transportation improvements, inadequate parks and recreation facilities, as well as
inadequate other important public facilities.
e. There is a reasonable relationship between the need and use of Citywide
Development Fee projects and new development.
The determination of how there is a reasonable relationship between the use
of the Citywide Development Fee and the type of development project on which the Fee is imposed
is set forth in more detail in the Nexus Study.
f. To prevent these undesirable consequences, and to reduce the impacts of new
development on capital facilities, equipment, and services, the City's capital facilities must be
constructed, and the City's public services must be provided, at a rate which will accommodate the
expected growth in the City.
g. The Citywide Development Fees established by this Chapter will be imposed
upon development projects for the purpose of mitigating the impact of the development on the ability
of the City to provide specified public facilities and services.
h. The City has caused to be prepared the Alameda Citywide Development Fee
Nexus Study, dated January, 2001, ( "Nexus Study"), by Economic and Planning Systems, Inc. The
Nexus Study is on file with the City Clerk.
i. The Nexus Study identifies the development potential of the City from the
year 2000 until buildout; identifies five categories of capital facilities and equipment required to
serve and accommodate new development; and provide both a summary of the portion of each
improvement category's costs that can be funded by new development.
j. The four categories of capital facilities that will be funded by the Citywide
Development Fee established by this Chapter are (1) traffic safety/capital replacement and
transportation; (2) parks and recreation facilities; (3) public facilities; and (4) public safety. These
capital facilities are needed to promote and protect the public health, safety and general welfare
within the City, to facilitate orderly urban development, to maintain existing levels of service, and
to promote economic and social well - being.
k. The City Council has relied upon the factual information, analysis, and
conclusions in the Nexus Study in adopting this Article.
Section 27 -3.5. Citywide Development Fee Established.
a. A Citywide Development Fee is hereby established on development in the
City to pay for traffic safety/capital replacement and transportation improvements and facilities;
parks and recreation improvements and facilities; public facilities; and public safety facilities. The
Citywide Development Fee will be imposed by land use category of development. The Citywide
Development Fee shall be imposed upon all new, or expanded existing, commercial development
and on new residential development and also upon Use Permits which intensify the use of existing
commercial or residential structures as set forth in the Citywide Development Fee Resolution, except
as provided in Section 27 -3.12.
b. The improvements summarized by category in Section 27- 3.4(j), are listed
specifically in Exhibit B to the Nexus Study ( "Projects ").
(1) There is a reasonable relationship between the need for Traffic
Safety/Capital Replacement Projects and the type of development project on which the fee will be
imposed since new development throughout the City will increase trips on local, citywide, and
regional roads, leading to the need for more traffic signals, additional turn lane signals, and other
improvements. The resurfacing of streets and pathways ensures that both drivers and pedestrians
are safe from accidents resulting from cracks, potholes, and other damage that occurs. New
development also adds to the wear of city streets. Further, there is a reasonable relationship between
the need for the Traffic Safety/Capital Facilities Projects and the type of development project on
which the fee will be imposed since each new development project will add to the incremental need
for new safety or replacement projects in order to meet public safety standards.
(2) There is a reasonable relationship between the need for Parks and
Recreation Facilities and Improvements and the type of development project on which the fee will
be imposed since new residents will use parks and recreational facilities throughout the City.
Further, there is a reasonable relationship between the need for the Parks and Recreation Projects
and the type of development project on which the fee will be imposed since current parks and
recreation service levels will fall if additional facilities and equipment are not provided and a greater
variety of facilities, as called for in the General Plan, will not be able to be provided.
(3) There is a reasonable relationship between the need for Public
Facilities and the type of development project on which the fee will be imposed since new residential
and commercial development will result in new City residents and employees who will demand and
use the services offered by the new public buildings and improvements included in this program.
Further, there is a reasonable relationship between the need for the Public Facilities Projects and the
type of development project on which the fee will be imposed as further explained in the City's
Capital Improvement Program, the Alameda Free Library Feasibility Study, and the City's General
Plan.
(4) There is a reasonable relationship between the need for Public Safety
Facilities and Improvements and the type of development project on which the fee will be imposed
since new development throughout the City will increase the need for public safety improvements.
Further, there is a reasonable relationship between the need for Public Safety Facilities and
Improvements and the type of development project on which the fee will be imposed since current
levels of police and fire services cannot be maintained if additional facilities and equipment are not
provided to serve new development. The need for these facilities and equipment is further explained
in the Land Use Element of the General Plan and the City's Capital Improvement Program.
(5) There is a reasonable relationship between the need for Transportation
Projects and the type of development project on which the fee will be imposed since new
development will increase trips on local, citywide, and regional roads, leading to a potential
deterioration of service levels. The City's General Plan establishes a service standard for traffic
congestion Xs LOS "13" on all arterial street corridors. New development will lower this level of
service unless improvements are made. Further, there is a reasonable relationship between the need
for Transportation Projects and the type of development project on which the fee will be imposed
since each new development project will add to the need for roadway capacity.
c. Except as otherwise provided in subsections 27- 3.5(d), the Citywide
Development Fee shall be paid by each developer prior to the issuance of building permit.
d. For development which intensifies the use of an existing structure by means
of a Use Permit, for which no building permit is otherwise required, the fees shall be payable prior
to the issuance of a certificate of occupancy or the commencement of the use.
e. The City Council shall adopt a resolution setting forth the specific amount of
the fee. The amount of the fee shall not exceed the estimated reasonable cost of providing the
facility for which the fee is imposed.
f. The City Council shall review the Citywide Development Fee annually
following the first deposit into the account or fund established pursuant to Section 27 -3.6, and shall
identify the purpose of the Fee, demonstrate a reasonable relationship between the fee and the
purpose for which it is charged; identify all sources and amounts of funding anticipated to complete
financing incomplete improvements funded by the Fee; designate the approximate dates on which
the funding referred to is expected to be deposited into the appropriate account or fund; and adjust
the fee schedule if necessary.
g. It is the intent of this Article 27 -3, that the Alameda Reuse and
Redevelopment Authority shall pay an amount which would be equivalent to the Citywide
Development Fee which would otherwise be applicable to new or renewed leases at the former
Alameda Naval Air Station if such new leases or lease renewals would have triggered the application
of the Citywide Development Fee, even though these new leases or lease renewals may require
neither a building permit or a Use Permit at the time the lease agreements are entered into. The terms
of such payment shall be established by mutual agreement between the Alameda Reuse and
Redevelopment Authority and the City.
Section 27 -3.6. Use of Citywide Development Fee.
Citywide Development Fee revenues shall be deposited in a segregated account and
all interest earned on deposited fee revenues shall be used solely to:
a. Pay for the cost of providing the specified Projects listed in Exhibit B to the
Nexus Study. The Projects are divided into four categories: Traffic safety capital replacement and
transportation; parks and recreation; public facilities; and public safety;
b. Reimburse the City for such Projects if funds were advanced by City for such
Projects from other sources to pay new development's share of such costs;
c. Fund reimbursement under Section 27 -3.10;
d. Fund loans or transfers made in conformance with Government Code section
66006(b)(1)tG).
e. The use of each component of the Citywide Fee is more specifically set forth
in the resolution referenced in Section 27- 3.5(e) establishing the amount of the Fee and making
certain findings.
Section 27 -3.7. Developer Construction of Facilities: Fee Credit.
Whenever a developer constructs a public facility described on Exhibit B to the Nexus
Study which is determined by the City to have supplemental size, length or capacity over that needed
for the impacts of that development, either voluntarily or as required by a condition of approval of
a development permit, and when such construction is necessary to ensure efficient and timely
construction of the facilities network, a reimbursement agreement with the developer and a credit
against the fee, which would otherwise be charged pursuant to this Chapter, shall be offered. The
reimbursement amount shall not include the portion of the improvement needed to provide services
or mitigate the need for the facility or the burdens created by the development. The amount of the
reimbursement shall be determined by the Public Works Director and shall be appealable pursuant
to Section 27 -3.9.
Section 27 -3.8. Fee Adjustments.
a. A developer of any project subject to the fee described in Section 27 -3.5 may
apply to the Public Works Director for a reduction or adjustment to the fee, or a waiver of the fee,
based upon the absence of any reasonable relationship or nexus between the impacts of that
development and the amount of fee charged or the type of facilities to be financed. The application
shall be made in writing and filed with the Public Works Director no later than the time of the
issuance of a building permit authorizing construction of the project that is subject to the fee. 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 Nexus Study.
b. No building permit shall be issued prior to the payment of the fee, adjusted
or reduced fee, or the grant of a fee waiver. The applicant may elect to pay the full fee under protest
at the time of the submittal of the fee adjustment application in order to obtain a building permit in
advance of the determination of the fee adjustment application. If the full fee is paid under protest
and the application is subsequently granted, then the applicant shall receive a refund in the amount
of the difference between the amount of the fee paid and the amount of the fee due after the
application of the adjustment, waiver or reduction.
c. The Public Works Director shall consider the application and respond in
writing setting forth the reasons for the denial of the appeal within 30 days. The decision of the
Public Works Director is appealable pursuant to Section 27 -3.9.
d. If a reduction, adjustment, or waiver is granted, any change in use within the
project shall invalidate the waiver, adjustment or reduction of the fee.
e. The cost of an application for a reduction or adjustment to the fee or a waiver
of the fee shall be bome by the applicant in an amount established by Master Fee Resolution of the
City Council.
Section 27 -3.9. Appeal Procedure.
a. A decision of the Public Works Director on an application for fee credit
(pursuant to Section 27 -3.7), fee waiver (pursuant to Section 27 -3.9), fee offset calculation (pursuant
to Section 27- 3.13), fee exemption (pursuant to Section 27 -3.12) shall be appealable in accordance
with this section. A person seeking judicial review of a decision shall first complete an appeal under
this section.
b. Any person wishing to appeal a decision of the Public Works Director shall
file an appeal to the City Council in writing with the City Clerk not later than (10) ten days from the
date of the Public Works Director's written decision. The written appeal shall state completely and
in detail the factual and legal grounds for the appeal.
c. The City Council shall consider the appeal at a regular or special meeting of
the City Council within 60 days after the filing of the appeal of the Public Works Director's
determination.
d. The decision of the City Council shall be final.
e. The cost of the appeal shall be borne by the applicant in an amount
established by the Master Fee Resolution of the City Council. The cost of an appeal from the
decision of the Public Works Director to City Council shall be borne by the applicant in the amount
of a fee set forth in the Master Fee resolution of the City Council.
Section 27 -3.10. Refund of Fee.
a. If the Citywide Development Fee is paid and the building permit is later
canceled or voided, or if a Use Permit which triggers the application of the Fee fails to vest within
the term of the Use Permit, the Public Works Director shall, upon written request of the developer,
order retum of the fee and interest earned on it less administrative costs if (1) the fees paid have not
been committed; and (2) work on the private development project has not progressed to a point that
would permit commencement of a new, changed or expanded use for which a fee would be payable.
b. If the findings required by Government Code section 66001(d) are not made,
a refund to the then owner of the property for which the fee was paid shall be made pursuant to
Government Code section 66001.
Section 27 -3.11 Notice of Protest Rights.
This section shall constitute notice, pursuant to Government Code section 66020, that
the ninety (90) day period in which the developer may protest the imposition of any fees,
dedications, reservations, or other exactions imposed on a development project shall begin on the
date that the development project is approved or conditionally approved.
Section 27 -3.12. Exemptions.
a. The Citywide Development Fee shall not be imposed upon a building permit for
remodeling or for an addition to an existing residential structure so long as the remodeling or
addition does not add a dwelling unit.
b. The Citywide Development Fee shall not be imposed upon a building permit
for the demolition of an existing structure and the construction of a new structure on the same site, .
provided the demolished structure was in use during the two year period prior to the issuance of a
building permit for the new structure, and the size and use of the new structure is substantially
similar to the size and use of the demolished structure.
c. The Citywide Development Fee shall not be imposed on any alteration of a
nonresidential structure, where the square footage is not increased by more than 200 square feet or
10% of the existing structure, whichever is less, cumulatively over a two year period, unless the
alteration includes an intensification of use as set forth in the Citywide Development Fee Resolution.
Section 27 -3.13. Fee Offsets.
The amount of Citywide Development Fee shall be offset or adjusted to account for
any previously existing unabandoned use. The offset for existing use shall not exceed the amount
computedifor the proposed use.
Section 27 -3.14. Fee Escalators.
a. The Citywide Development Fee resolution may provide for an annual increase
in the amount of the fee to reflect the percentage increase in the cost of construction or public
improvements as reported in the Engineering News Record - Construction Price Index for the San
Francisco Bay Area.
b. The Citywide Development Fee may be adjusted from time to time, based
upon amendments or updates to the Nexus Study, to reflect extraordinary changes in the cost of
construction of any of the improvements listed in Appendix B of the Nexus Study, changes in the
levels of actual or projected development, or the actual or estimated proportionate share of costs as
determined byadditional or amended engineering analysis.
Section 2. Effective Date.
This Ordinance shall be in full force and effect from and after the expiration of thirty
(30) days from the date of its final passage. The fees imposed pursuant to this ordinance shall not
be effective upon any development project which received a preliminary entitlement including but
not limited to the approval of a Planned Development, Master Plan, Development Plan, Use Permit,
Variance, Preliminary Plan or Design Review, but not including General Plan or Zoning, prior to
January 1, 2001, and which preliminary entitlement has not lapsed.
Attest:
i ty Clerk
I, the undersigned, hereby certify that the foregoing Ordinance was duly and regularly
adopted and passed by the Council of the City of Alameda in a regular meeting assembled on the
20th day of February, 2001 by the following vote to wit:
AYES: Councilmembers Daysog, DeWitt, Johnson, Kerr and Mayor
Appezzato - 5.
NOES: None.
ABSENT: None.
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said City this
21st day of February, 2001.
rvaP 6 lei
Diane Felsch, City Clerk
City of Alameda