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Resolution 15598CITY OF ALAMEDA RESOLUTION NO. 15598 FINDING THAT A MAJORITY PROTEST DOES NOT EXIST, DIRECTING A PROPERTY OWNER BALLOT PROCEEDING FOR THE CITY'S 2019 WATER QUALITY AND FLOOD PROTECTION FEE AND DIRECTING CITY MANAGER TO VOTE "YES" FOR CITY- OWNED PARCELS WHEREAS, on July 16, 2019, the City Council of the City of Alameda adopted Resolution No. 15574 initiating proceedings to obtain approval of the proposed new 2019 Water Quality and Flood Protection Fee ("fee"), which is a property-related fee conforming to Article XI liD, Section 6 of the California Constitution; approving the Fee Report dated July 2019 for the 2019 Water Quality and Flood Protection Fee ("Fee Report"); and setting a public hearing before the City Council on October 1, 2019, to consider all property owner protests to the proposed fee; and WHEREAS, on July 16, 2019, the City Council of the City of Alameda adopted Resolution No. 15575 adopting ballot procedures applicable to the proposed fee pursuant to Article XIIID, Section 6(c) of the California Constitution; and WHEREAS, pursuant to the provisions of Article XIIID of the California Constitution, the City has provided 45-days' written mailed notice to each record owner of parcels of real property subject to the 2019 Water Quality and Flood Protection Fee of a public hearing, which was held at a regular meeting of the City Council on October 1, 2019, at 7:00 pm in the City Council Chambers on the issue of whether the proposed property-related fee should be levied and collected as proposed in the Fee Report for Fiscal Year 2020-21; and WHEREAS, the mailed notice of the public hearing contained the following information: (a) the total amount of fee proposed to be levied for Fiscal Year 2020-21; (b) the fee chargeable to each owner's parcel; (c) the reason for the 2019 Water Quality and Flood Protection Fee; (d) the basis upon which the amount of the proposed 2019 Water Quality and Flood Protection Fee was calculated; (e) the date, time and place of the public hearing as specified in this resolution; and (f) a summary of the effect of a majority protest. NOW, THERE FORE, BE IT RESOLVED by the City Council of the City of Alameda as follows: SECTION 1. Tabulation of the Written Protests. The tabulation of written protests by the City Clerk is complete. A total of 64 written protests have been submitted representing .31% of the 20,578 identified parcels subject to the 2019 Water Quality and Flood Protection Fee. Therefore, the City Council hereby finds that a majority protest does not exist as defined in Section 6(a)(2) of Article XIIID of the California Constitution and Sections 53755(b) and (d) of the California Government Code with respect to the proposed Water Quality and Flood Protection Fee. SECTION 2. Voter Approval for the 2019 Water Quality and Flood Protection Fee. Pursuant to the provisions of Article XIII D, Section 6(c) of the California Constitution, the City of Alameda shall conduct a ballot proceeding to obtain property owner approval of the 2019 Water Quality and Flood Protection Fee consistent with the procedures described in Resolution 15575. SECTION 3. BALLOTS FOR CITY-OWNED PARCELS. The City Manager shall vote "yes" on all parcels owned by the City, Alameda Reuse and Redevelopment Authority, and Community Improvement Commission, and return those ballots to the City Clerk within the time period to cast ballots. SECTION 4. ORDINANCE. The City Council hereby approves the submission of the ordinance related to the 2019 Water Quality and Flood Protection Fee for voter approval pursuant to Article XIII D, Section 6(c) of the California Constitution, in the form, attached hereto as Attachment A. Such ordinance shall be made available to the public upon request. EXHIBIT A CITY OF ALAMEDA ORDINANCE NO. __ New Series AMENDING THE ALAMEDA MUNICIPAL CODE BY ADDING ARTICLE IV TO CHAPTER 18 TO ESTABLISH THE WATER QUALITY AND FLOOD PROTECTION FEE WHEREAS, the City of Alameda ("City") oversees and manages a municipal separate storm sewer system ("MS4"), which includes making capital improvements, overseeing maintenance and operations, and conducting activities to ensure compliance with all state and federal regulations associated with the Clean Water Act and the City's National Pollutant Discharge Elimination System ("NPDES") permit; and WHEREAS, the City's MS4 is made up of a comprehensive drainage infrastructure system that includes man-made drainage elements such as curbs and gutters, ditches, culverts, pipelines, manholes, catch basins (inlets), outfall structures and lagoons; and WHEREAS, the City, through its MS4, provides storm drainage services ("Services") that include, but are not limited to, collecting, conveying, protecting, treating, and managing stormwater runoff from improved parcels within the City; and WHEREAS, in 1992, the City adopted a stormwater utility fee to conserve and protect the MS4 from the burden placed on it by the increasing flow of nonpoint source runoff and to otherwise meet the requirements of the Clean Water Act, EPA regulations and the City's NPDES permits, which charge has not been increased since 2005; and WHEREAS, the City does not currently have adequate funding to fully finance the system needs of its MS4, and in order to finance the infrastructure, maintenance, and regulatory oversight of the MS4 and the provision of services, the City Council has determined that there is a need to adopt an additional fee ("Water Quality and Flood Protection Fee"), in compliance with Article XIIID of the California Constitution (Proposition 218), to cover the costs associated with capital improvements, operations and maintenance, and regulatory compliance needs of the MS4; and WHEREAS, on July 16, 2019, the City Council approved the Fee Report for the Water Quality and Flood Protection Fee, which is attached hereto as Exhibit A ("Fee Report") and which sets forth the basis and the amount of the Water Quality and Flood Protection Fees on various parcels of land in order to finance, in compliance with Article XI liD of the Constitution, the Water Quality and Flood Protection Fee program needs; and WHEREAS, the City Council on July 16, 2019 adopted Resolution No. 1557 4 initiating proceedings in accordance with Article XIIID of the Constitution, approving the Fee Report, and setting the date of October 1, 2019 for a public hearing and directing the mailing of a notice to the owners of real property affected by the proposed Water Quality and Flood Protection Fee, which notice includes a description of the proposed Water Quality and Flood Protection Fee, the amount to be charged, the total amount to be 1 collected, and the right of property owners to protest the Water Quality and Flood Protection Fee; and WHEREAS, the City Council on July 16, 2019 adopted Resolution No. 15575 establishing procedures for conducting a ballot proceeding in accordance with Article XI liD of the Constitution; and WHEREAS, the Water Quality and Flood Protection Fee is a property-related fee, that requires following a two-step process for approval: 1) the City must provide a Notice of Public Hearing and opportunity to protest to all property owners subject to the fee; and 2) if no majority written protest is received, then the City may proceed with a ballot proceeding where the Water Quality and Flood Protection Fee must be approved by a majority of votes received from property owners subject to the Water Quality and Flood Protection; and WHEREAS, the City mailed notices of a public hearing on August 14, 2019 and conducted said public hearing on October 1, · 2019 and heard testimony from residents and property owners regarding the proposed Water Quality and Flood Protection Fee, and a majority protest was found not to exist; and WHEREAS, the City Council introduced this Ordinance on October 1, 2019, after a duly noticed public hearing; and WHEREAS, Article XIIID of the Constitution requires that the property-related fees defined in the Fee Report and included in this Ordinance shall not be imposed unless and until that fee is submitted and approved by a majority vote of the property owners of the property subject to the Water Quality and Flood Protection Fee; and WHEREAS, upon introduction of this Ordinance, the City Council will direct that it be submitted to the affected property owners in a mail ballot proceeding in accordance with Article XI liD of the Constitution, Section 53755.5 of the Government Code, and City of Alameda Resolution No. 15575. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ALAMEDA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1 MUNICIPAL CODE REVISED Chapter 18, Article IV of the Alameda Municipal Code is hereby established to read as follows: 2 18-31 TITLE, PURPOSE AND GENERAL PROVISIONS 18-31.1 Purpose of the Fee-Limitation of Use. A. The purpose of the Water Quality and Flood Protection fee is to conserve and protect the City's essential values of maintaining our aging storm drainage infrastructure, making improvements to meet future challenges such as climatic and land use changes, and maintaining a sustainable environment in accordance with the Clean Water Act, Environmental Protection Agency (EPA) regulations and the City's National Pollutant Discharge Systems (NPDES) permits. B. The specific purpose of the Water Quality and Flood Protection fee established pursuant to this chapter is to derive fee revenue, which shall only be used for the acquisition, construction, reconstruction, maintenance, and operation of the storm drainage and flood control system of the City or related green infrastructure or other activities required by the City's NPDES permits, to repay principal and interest on any bonds which may hereafter be issued for said purposes, to repay loans or advances which may hereafter be made for said purposes. C. The Water Quality and Flood Protection fee is imposed pursuant to Articles XIIID of the California Constitution, Government Code Sections 38900 -38901 and 53755-53756, and Health and Safety Code Section 5471 -5473.11. D. Proceeds from the Water Quality and Flood Protection fee will be deposited in an account entitled the Clean Water and Flood Protection Fund. 18-31.2 Definitions. Except where the context otherwise requires, the following definitions in this section shall govern the construction of this chapter: A. "City" means and includes all territory lying within the municipal boundaries of the City of Alameda as presently existing plus all territory which may be added thereto during the effective term of the ordinance codified herein. B. "Condominium" means a parcel that is an individually-owned single residential unit attached to an undivided or joint ownership of the remaining portion of the property. The "Condominium-Medium Density" category refers to a condominium complex where each residential unit has no other units above or below it. The "Condominium High- Density" category refers to a condominium complex where residential units are built above or below other residential units. C. "Public Works Director" means the Public Works Director and his/her duly authorized agents and representatives. D. "Fee Report" means the report prepared by SCI Consulting Group dated July 2019 which was approved by the City Council on July 16, 2019 in Section 2 of Resolution No. 15574. The Fee Report sets forth the rate structure and methodology of 3 apportionment of the fee to various categories of parcels and shall be the basis for the Water Quality and Flood Protection fee. E. "Finance Director'' means the Finance Director and his/her duly authorized agents and representatives. F. "Impervious Area" means any part of any parcel that has been modified by the action of any person in a manner which reduces the land's natural ability to absorb and hold storm and surface water. This includes, but is not limited to, activities such as: grading of property, the creation of any hard surface area which either prevents or retards the entry of water into the soil mantle, or the hardening of an existing surface which causes water to flow at an increased rate. Common impervious areas include, but are not limited to, roof tops, walk-ways, patios, driveways, parking lots or storage areas, concrete or asphalt paving, gravel roads, or any cleared, graded, paved, graveled, or compacted surface or paved earthen materials used for vehicular travel, or areas covered with surfaces which similarly impede the natural infiltration of surface water into the soil mantle. Impervious area can be expressed as a percentage of a parcel's total size. G. "Maintenance and operation" means the administration, operation, maintenance and repair of any facility in the City's storm drain system, including, but not limited to: 1. Items ordinarily recognized as capital items (e.g., interests in land) when reasonably necessary; 2. Street sweeping, catch basin cleaning, and capture and removal of trash from the storm drain system; 3. Replacement of portions of existing facilities damaged or destroyed as a result of accident or natural disasters or found to be of inadequate size or condition; 4. Damages or settlements paid in the course of, or because of, threatened or actual legal actions to the City's storm drain system or non-point source program; 5. Regional monitoring, permit fees, public education and awareness programs regarding the City's storm drain system and the City's nonpoint source program; 6. Management of the City's non-point source program including, but not limited to, BMP manuals, public outreach, printed materials, City staff and legal costs related thereto. H. "Multi-Family Residential" means parcels improved or used for a residence for five or more families living independently of each other and doing their own cooking and which is not separately assessed by the county tax assessor for each such family dwelling. This term is synonymous with "apartment" and is categorized as non-residential in this ordinance . 4 I. "Open Space" means land that is substantially in a natural condition and includes agricultural or other lands that demonstrate stormwater absorption equal to or greater than natural conditions. J. "Parcel" means a unit of land which is designated by the tax assessor of Alameda County for property tax purposes. K. "Rate Category" means a group of parcels that are of similar imperviousness characteristics and are charged the same rate. Residential Parcels are categorized by size; Non-Residential Parcels are categorized by impervious percentage ranges. L. "Residential" means parcels, other than multi-family parcels, improved or used solely as a residence for one, two, three or four families living separately in separate dwelling units. M. "Storm drainage system" means any pipe, conduit, or sewer of the City designed or used for the collection, conveyance and management of storm and surface waters and drainage including unpolluted cooling water and unpolluted industrial process water but excluding any community sanitary sewer system. N. "Vacant (developed)" means a parcel which has been altered from its natural condition through grading or compaction activity or in another manner which reduces the land's natural ability to absorb and hold storm and surface water without any structure existing upon it. 18-32 DETERMINATION AND IMPOSITION OF FEES. 18-32.1 Categories and Fee Amounts For purposes specified in Section 18-31.1, the Water Quality and Flood Protection fees established pursuant to this chapter are hereby prescribed and imposed for Fiscal Year (FY) 2020-21, and shall be paid to and collected by the City, for services and facilities furnished by the City in connection with its storm drainage system to or for each parcel which is benefited directly or indirectly by said storm drainage system or any part thereof, or from which any storm water is conveyed or discharged directly or indirectly into the storm drainage system. Said fee is imposed annually and will be assessed and collected as follows: A. Residential Class Category· Small Lot Parcel Siz.e (aeres) Under 0.08 5 Annual Fee per Parcel $47.72 Categ!Ory Parcel ·Size Annua-l ' Fe,e per (acre$) P·arce:t · Medium Lot 0.08 to 0.14 $78.00 Large Lot Over 0.14 $85.06 Condominium-Medium Na $47.72 Density Condominium -High Density Na $24.55 B. Non-Residential Class . Ca,teg;ory 1 Annua ,f Fee pe:r Acre of Parcef Size:2 Apartment $908.18 Commercial/ Retail/ $1,083.80 Industrial Office $756.06 Church /Institutional $866.58 Institutional with play field $619.22 Park $59.76 Vacant (developed) $59.76 Rate Structure Notes: 1. The Rate Category for any Non-Residential parcel shall be assigned by the description of the land use of the parcel. For Non-Residential land uses that do not fit the descriptions in Table 8 of the Fee Report (for example, 6 mixed use parcels), the rate with the nearest percent impervious area shown in Table 8 of the Fee Report shall be assigned to a parcel. 2. Non-Residential fees are calculated in 0.01-acre increments. 18-32.2 Adjustments to Fees A. Low Impact Development Credit: All parcels that comply with Provision C.3 (New Development and Redevelopment Requirements) of the City's NPDES permit that is applicable at the time of building permit issuance shall have their fees reduced by 25%> in recognition of the reduced impact on the City's storm drainage system inherent in C.3 compliance, as documented in the Fee Report (Low Impact Development Rate Credit). B. Direct-Drain-to-Bay Credit: All parcels that drain directly to the Bay or estuary shall have their fees reduced by 57°/o in recognition of the reduced impact on the City's storm drainage system as documented in the Fee Report (Direct Drain Rate Credit). C. Residential parcels with more than one residential structure shall have their fees increased by 16°/o in recognition of the higher percentage of impervious surfaces found on those parcels. D. For non-residential parcels that have both improvements and significant open space areas (described in the Fee Report as "hybrid parcels"), the chargeable acreage shall be adjusted downward in recognition that the open space areas do not increase the need for the fee. E. Open space and agricultural parcels are not subject to the Water Quality and Flood Protection fees. 18-32.3 Annual Review of Fee and Inflationary Adjustments. Commencing with FY 2021-22, the City Council shall, by resolution, annually determine the Water Quality and Flood Protection fee in accordance with the following: A. In no event shall the rate for any category of property be increased beyond the rate approved by a majority vote of property owners subject to the Water Quality and Flood Protection fee. Commencing in FY 2020-21, the Water Quality and Flood Protection Fee rates may be increased by an amount equal to the change in the Consumer Price Index for all Urban Consumers for the San Francisco-Oakland-Hayward, CA area (the "CPI"), including all items as published by the U.S. Bureau of Labor Statistics as of December of each succeeding year, not to exceed a maximum increase of three percent (3°/o) in any single year. B. The Water Quality and Flood Protection fee shall not be deemed to be increased in the event the actual fee upon a parcel in any given year is higher due to a change in use of the subject parcel or an increase in the amount of the impervious area of the subject parcel. 7 C. In any year in which the City Council does not change the Water Quality and Flood Protection fee rate, pursuant to the voter-approved CPI allowable annual increase, the previously adopted fee shall continue in full force and effect for the next fiscal year. D. The City Council shall not be required to enact a CPI increase each year. 18-33 ADMINISTRATIVE PROCEDURES. 18-33.1 Various Actions. Without a vote of the property owners, in any year the City Council may do any and all of the following: (a) discontinue the Water Quality and Flood Protection fee; (b) reduce the rate for all parcel categories; or (c) increase the rate up to or below the maximum voter-authorized rate if it has been previously set below such rate. 18-33.2 Effective Date of Fees. The Water Quality and Flood Protection fees shall become effective on July 1, 2020. 18-33.3 Fees Collected with General Taxes. A. Subject to the exceptions hereinafter set forth, the City elects, as an alternative procedure for the collection of Water Quality and Flood Protection fees prescribed or imposed by the provisions of this chapter, to have all such Water Quality and Flood Protection fees for each fiscal year collected on the tax roll in the same manner, by the same persons and at the same time as, and together with and not separately from, its general taxes. B. The Public Works Director is hereby directed to prepare and file with the City Clerk, on or before the fifteenth day of June of each year, or such other date or dates as the City Council may specify by resolution, a written report containing a description of each and every parcel of real property receiving the benefit of the storm drainage system mentioned in this chapter, except for those parcels the fees for which are not to be collected on the tax roll, and the amount of the Water Quality and Flood Protection fees for each parcel for the forthcoming fiscal year, computed in conformity with the fees prescribed by the provisions of this chapter. C. The City Clerk shall cause notice of the filing of said report and of a time and place of hearing thereon to be published, prior to the date for hearing, in a newspaper of general circulation printed and published within the City. The publication of said notice shall be once a week for two consecutive weeks. Two publications in a newspaper published once a week or more often, with at least five days intervening between the respective publication dates, not counting such publication dates, are sufficient. The period of notice commences upon the first day of publication and terminates at the end of the fourteenth day. D. At the time stated in the above-mentioned notice, the City Council shall hear and consider all objections or protests, if any, to the report referred to in said notice, and 8 may continue the hearing from time to time. If the Council finds that protest is made by owners of a majority of separate parcels of property described in the report, then the report shall not be adopted, and fees shall be collected separately from the tax roll and shall not constitute a lien against any parcel or parcels. E. Upon the conclusion of the hearing, the City Council may adopt, revise, change, reduce, or modify any fee or overrule any or all objections and shall make its determination upon each fee as described in said report, which determination shall be final. F. 1. On or before the first day of August of each year following such final determination, the City Clerk shall file with the Finance Director a copy of the report with a statement endorsed thereon over the City Clerk's signature that it has been finally adopted by the City Council. 2. The Finance Director shall thereupon cause said fees to be placed on the property tax roll and collected by the County for the City, as hereinafter provided. The County's tax collector shall enter the amounts of the fees against the respective parcels as they appear on the current assessment roll. If the property is not described on the roll, the County's tax collector may enter the description thereon, together with the amounts of the fees as shown in the report. G. The amount of the fees shall constitute a lien against the parcel against which the fee has been imposed as of noon on the first Monday in March immediately preceding the date of the levy. H. The tax collector shall include the amount of the fees on bills for taxes levied against the respective parcels. Thereafter the amount of the fees shall be collected at the same time and in the same manner and by the same persons as, together with and not separately from, the general taxes for the City, and shall be delinquent at the same time and thereafter be subject to the same delinquency penalties. I. All laws applicable to the levy, collection and enforcement of general taxes of the City including, but not limited to, those pertaining to matters of delinquency, collection, cancellation, refund and redemption, are applicable to such fees. J. The tax collector may, at the tax collector's discretion, issue separate bills for such fees and separate receipts for collection on account of such fees. K. If any parcels receiving benefit from the storm drainage system are omitted from the abovementioned report or said tax roll, either because the fee for such parcels has not yet been ascertained by the City as of the date of said report, or for any other reason, the Water Quality and Flood Protection fee for such parcels shall be collected in the manner provided elsewhere in this chapter. If the fee for any parcels, as shown on said report for the forthcoming fiscal year, should be less than what should be the fee therefor under the provisions of this chapter, the balance of such fee shall be collected in the manner provided elsewhere in this chapter. If, however, the fee for any parcels shown 9 in the report and collected on the tax roll should exceed the correct fee for such parcels for the fiscal year, the Finance Director shall refund the excess amount so collected. 18-33.4 Payment of Balance of Fee. A. If the fee for any parcels placed on the tax roll, or for any parcels collected based upon billing, was less than what should be the fee therefor under the provisions of this chapter due to error, the balance of said fee shall be collected by a bill or invoice based on a detailed statement showing the basis of the calculations, the location of the parcels and other relevant information, and prepared on or after January 1st for the preceding six months from July to December during which a discrepancy between the amount collected and the correct fee is discovered, and on or after July 1st for the preceding six months from January to June during which such a discrepancy is discovered. The Finance Director shall mail said bill or invoice to the person or persons listed as the owners of the parcels on the last equalized assessment roll of the County at the address shown on such assessment roll or to the successor in interest of such owner if the name and address of such successor in interest is known to the Finance Director. Failure to mail any such bill or invoice, or failure of any owner to receive any such bill or invoice shall not excuse the owner of any parcels from the obligation of paying the balance of any Water Quality and Flood Protection fee upon receipt of adequate notice that the fee is due and payable. B. The interested owner may, at any reasonable time, review the detailed statement prepared by the Finance Director. C. The balance of the Water Quality and Flood Protection fee for such parcels shall be due and payable immediately upon receipt of the bill or invoice referred to in this section. 18-33.5 Collection of Fees Omitted from Tax Roll-Billing. A. The Finance Director shall semi-annually, on or after July 1st, prepare or cause to be prepared a detailed statement containing the basis of the calculations, the location of the parcels and other relevant information, showing the total monthly fee for the preceding six months from January to June and on or after January 1st, for the preceding six months from July to December for any parcels the fee for which should be collected on the tax roll pursuant to Section 18-31.070A but was omitted from the report referred to in Section 18-31.0708, or parcels the fee for which is collected pursuant billing. B. . An invoice may be rendered for a period of less than six months if the commencement date of fees is other than July 1st or January 1st, as may be the case with new accounts. C. On the basis of the statement, the Finance Director shall prepare a bill or invoice showing the total fee for such six months or less, and shall mail said bill or invoice to the person or persons listed as the owners of the parcels on the last equalized assessment roll of the County at the address shown on such assessment roll, or to the successor in interest of such owner if the name and address of such successor in interest 10 is known to the Finance Director. Failure to mail any such bill or invoice, or failure of any owner to receive any such bill or invoice shall not excuse the owner of any parcels from the obligation of paying the balance of any Water Quality and Flood Protection fee upon receipt of adequate notice that the fee is due and payable . D. The interested owner may, at any reasonable time, review the detailed statement prepared by the Finance Director. E. The Water Quality and Flood Protection fee for such parcels shall be due and payable immediately upon receipt of the bill or invoice referred to in this section. 18-33.6 Payment of Fees-Owner Responsibility. The owner of any parcel is and shall be responsible for payment of any and all Water Quality and Flood Protection fees applicable to parcels owned by him or her. It shall be and is hereby made the duty of each such owner to provide to the Finance Director information sufficient to calculate the land area of the parcels within thirty days after request of the Finance Director and ascertain from the Finance Director the amount and due date of any such fee applicable to parcels owned by such owner and to pay such fee when due and payable. It also shall be and is hereby made the duty of all owners of all parcels to inform the Finance Director immediately of all circumstances, and of any change or changes in any circumstances, which will in any way affect the applicability of any fee. In particular, but not by way of limitation, an owner of any parcel shall immediately inform the Finance Director of any sale or transfer of such parcel by or to such owner. 18-33.7 Payment of Fees-Location. Except as otherwise provided elsewhere in this chapter, all Water Quality and Flood Protection fees shall be payable at the office of the Finance Director in the City Hall of the City. 18-33.8 Payment of Fees-Delinquency Date. Except as otherwise provided elsewhere in this chapter, each Water Quality and Flood Protection fee shall be delinquent if not paid on or before the fortieth day immediately following the date upon which such Water Quality and Flood Protection fee became due and payable. 18-33.9 Penalty for Delinquency. Except as otherwise provided elsewhere in this chapter, whenever any Water Quality and Flood Protection fee becomes delinquent, there shall be imposed a penalty equal to ten percent of the amount as set forth under Section 18-33.3. 11 18-33.1 0 Disputed Fees. If any owner disputes the amount of the fee in any bill or invoice, the owner shall, within thirty days from and after the date such bill or invoice is mailed, and no later, file a claim with the Public Works Director accompanied by detailed supporting factual data in support of the claim. It shall be the duty of each such owner to prove to the Public Works Director, that such fee is in error and the correct amount thereof. If the Public Works Director determines that the bill or invoice was in error, the Finance Director shall correct said bill. Failure to dispute the amount of the fee in accordance with this section shall be deemed acceptance of the correctness of the fee. 18-33.11 Refunds. Whenever any refunds should become owing by virtue of any relief granted by the City Council pursuant to the provisions of Section 18-31.140 or by virtue of any error made in ascertaining the fee applicable to any parcels, the Finance Director is authorized to make such refunds and to expend for such purpose the moneys in the Clean Water and Flood Protection Fund. Notwithstanding the provisions of Section 18-33.10, any claim for refund for fees collected under Section 18-33.3 must be made within one year after the date bills for taxes are received by the owner. The City shall not be liable for interest on any amount determined to be refundable. 18-33.12 Inspection of Parcels Authorized. The Public Works Director, the Finance Director and their authorized representatives are hereby given power and authority to enter upon and within any parcels to ascertain the nature of such parcels; to inspect, observe, and review the benefit received from the storm drain system as may be allowed by law. 18-33.13 Payment of Delinquent Fees-City Enforcement Powers. A. Notwithstanding other remedies, in the event of the failure of any owner to pay when due any Water Quality and Flood Protection fees applicable to parcels owned by such owner, the City may enforce payment of such delinquent fees by instituting action in any court of competent jurisdiction to collect any fees which may be due and payable in the same manner as any other debts owing to the City may be collected. B. Any and all delinquent payments may be placed on the tax roll, and collected with property taxes, as provided in Section 18-31.070. C. Such other action may be taken as may be authorized by law and by the City Council. D. Remedies under this section are in addition to and do not supersede or limit any and all other remedies, civil and criminal. 12 18-34 FISCAL ACCOUNT ABILITY 18-34.1 Annual Audit The City shall retain an independent auditor to conduct an annual audit of the Water Quality and Flood Protection fee and the Clean Water and Flood Protection Fund as part of its comprehensive annual financial report. The auditor shall include an accounting of the revenue received from the fee and expenditures thereof in the audited financial statements. The auditor's report shall be presented to the City Council and made available to the public. The Finance Director or the Public Works Director shall prepare and present to the City Council an annual report in conjunction with the annual audit that reviews the status and performance of the programs, services and projects funded wholly or partially with proceeds of the Water Quality and Flood Protection fee. 18-34.2 Special Fund-Restricted Use of Revenues. A. All revenues collected pursuant to the provisions of this chapter shall be placed into a special fund, which is known as the "Clean Water and Flood Protection Fund." Such revenues may be used for the purposes specified in Section 18-31.1, and for no other purpose; provided, however, that moneys deposited in the fund may be used for direct and administrative costs of the City in providing storm drainage services. B. As used in this section, "direct costs" means wages and salaries and costs of employee fringe benefits incurred by the City, and mileage reimbursement attributable to said collection activities. As used in this section, "administrative costs" includes, but is not limited to all costs for human resources, finance and payroll, legal, information technology, and public information services. C. Notwithstanding subsections 18-34.2AA and 18-34.28, interest on revenues in the Clean Water and Flood Protection Fund may be credited to the general fund of the City or to any other fund in the discretion of the City Council. SECTION 2. CEQA EXEMPTION The City Council finds, based on its own independent judgement, that the proposed amendments to the Alameda Municipal Code are statutorily exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21 080(b)(8) and CEQA Guidelines 15273(a) -Rates, Tolls, Fares, and Charges and categorically exempt pursuant to CEQA Guidelines Section 15301. A Notice of Exemption will be filed with the County Clerk. SECTION 3. INCONSISTENCIES REPEALED This Ordinance is intended to be controlling on the authority to establish the Water Quality and Flood Protection fee, and shall supersede all prior ordinances, resolutions, rules or regulations that are in conflict herewith. Any provision of the Alameda Municipal Code, or appendices thereto, or any other ordinances of the City inconsistent herewith, are repealed only to the extent of such inconsistencies and no further. 13 SECTION 4. IMPLEMENTING POLICIES AND REGULATIONS The City Manager or the City Manager's designee shall have the authority to promulgate all necessary policies, procedures, and regulations to implement the requirements and fulfill the policies and purposes of this Ordinance, and to take any other action and sign any documents necessary to implement this ordinance. SECTION 5. SEVERABILITY If any section, subsection, sentence, clause or phrase of this Ordinance is for any reason held by a court of competent jurisdiction to be invalid, such a decision shall not affect the validity of the remaining portions of the Ordinance. The City Council of the City of Alameda and the property owners who approved the Water Quality and Flood Protection fee hereby declare that they would have passed this Ordinance and each section or subsection, sentence, clause and phrase thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid. SECTION 6. EFFECTIVE DATE This ordinance shall take effect on July 1, 2020 if approved by a majority of the property- owner voters, provided that the Fee Report for the 2019 Water Quality and Flood Protection Fee Report, which is attached as Appendix A, may be published as an appendix to the Municipal Code. Presiding Officer of the City Council ATTEST: Lara Weisiger, City Clerk 14 Appendix A C ITY OF ALAM EDA .FEE REPORT W ATER QUALITY AND FLOOD PROTECTION FEE JULY2019 PURSUANT TO THE ARTICLES XIII( & D OF THE CALIFORNIA CONSTITUTION, AND THE GOVERNMENT (ODE SECTIONS 38900-38901 ET AL. ENGINEER OF WORK: ·?:f"~ConsultingGroup 4745 MANGELS BOULEVARD FAIRFIELD, CALIFORNIA 94534 PHONE 707.430.4300 FAX 707.430.4319 WWW.SCI-CG.COM CITY OF ALAMEDA CITY OF ALAMEDA CITY COUNCIL Marilyn Ezzy Ashcraft, Mayor John Knox White, Vice Mayor Tony Daysog, Councilmember Jim Oddie, Councilmember Malia Vella, Councilmember CITY MANAGER Eric Levitt PUBLIC WORKS DEPARTMENT Liam Garland, Director ENGINEER OF WORK Jerry Bradshaw, SCI Consulting Group WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 PAGEi ~con$UitingGroup PAGEii TABLE OF CONTENTS INTRODUCTION ....................................................................................................................... 1 OVERVIEW ...................................................................................................................... 1 CITY'S FACILITIES ............................................................................................................ 2 STORMWATER FUNDING BACKGROUND ............................................................................. 2 LEGAL REQUIREMENTS OF STORMWATER FEE ................................................................... 3 FACILITIES AND SERVICES ................................................................................................ 4 fiNANCIAL NEEDS AND REVENUE REQUIREMENTS .................................................................... 5 SUMMARY OF CLEAN WATER AND STORM PROTECTION SYSTEM NEEDS .............................. 5 ANNUAL REVENUE REQUIREMENT ..................................................................................... 7 RATE STRUCTURE ANALYSIS .................................................................................................. 9 SINGLE-FAMILY RESIDENTIAL PARCELS AS BENCHMARK ..................................................... 9 NON-RESIDENTIAL PARCELS .......................................................................................... 11 RATE CREDITS .............................................................................................................. 13 STORMWATER FEE CALCULATION ................................................................................... 15 ANNUAL COST INDEXING ................................................................................................ 17 MANAGEMENT AND USE OF STORMWATER FUNDS ............................................................ 17 APPENDICES ....................................................................................................................... 18 APPENDIX A-FULL LIST OF CAPITAL PROJECT NEEDS ..................................................... 18 APPENDIX B -PERCENTAGE OF IMPERVIOUS AREA ESTIMATIONS ...................................... 21 APPENDIX C-LOW IMPACT DEVELOPMENT RATE CREDIT ANALYSIS ................................. 22 APPENDIX 0-STORMWATER RATES FROM OTHER MUNICIPALITIES .................................. 27 APPENDIX E -LIST OF ACRONYMS AND ABBREVIATIONS .................................................... 30 CITY OF ALAMEDA WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 i:ConsultingOroup PAGE iii LIST OF TABLES TABLE 1 -SUMMARY OF PROGRAM REVENUES ........................................................................ 5 TABLE 2-SUMMARY OF OPERATIONS & MAINTENANCE COSTS ................................................. 6 TABLE 3-SUMMARY OF HIGH-PRIORITY CAPITAL IMPROVEMENT PROJECTS .............................. 7 TABLE 4 -ESTIMATE OF ANNUAL REVENUE REQUIREMENT ....................................................... 8 TABLE 5-SUMMARY OF RESIDENTIAL PARCELS ..................................................................... 11 TABLE 6-SUMMARY OF NON-RESIDENTIAL PARCELS ............................................................. 12 TABLE 7-SUMMARY OF SINGLE-FAMILY RESIDENTIAL PARCELS ............................................. 15 TABLE 8-PROPOSED 2019 WATER QUALITY & FLOOD PROTECTION FEE SCHEDULE ............... 16 TABLE 9-LIST OF CAPITAL IMPROVEMENT PROJECTS-ALL PRIORITIES .................................. 18 TABLE 1 0 -PERCENT OF IMPERVIOUS AREA FROM SAMPLING RESULTS ................................... 21 TABLE 11-RECENT STORM DRAIN BALLOT MEASURES .......................................................... 28 TABLE 12-SAMPLE OF RATES FROM OTHER MUNICIPALITIES ................................................. 29 CITY OF ALAMEDA -..-..-........._ WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 'ConsultingGroup INTRODUCTION OVERVIEW CITY OF ALAMEDA The City of Alameda ("City") has engaged SCI Consulting Group to study, make recommendations, and assist in the implementation of a funding approach for its municipal separate storm sewer system 1 ("MS4") including environmental programs, maintenance and operations, capital improvements, and compliance with all state and federal regulations associated with the National Pollutant Discharge Elimination System2 ("NPDES") permit. Since 2008 the City's Public Works Department has developed several planning documents pertaining to its Storm Drainage Program ("Program"). These include the Storm Drain Master Plan (2008), Storm Drain Pump Station Study (2011), Storm Drain Outfall Assessment (2013), Long-Term Trash Load Reduction Plan (2014), South Shore and Bay Farm Island Lagoon Operations Studies (2015), 18-lnch and 55-Inch Sea Level Rise Studies (2008 and 2016), and the Storm Drain Master Plan Update Memorandum (2017). Other planning documents currently in development include the Green Infrastructure Plan and the Climate Action and Resiliency Plan. These plans made it clear that the Program would need to expand its levels of service to achieve the goals of responsible environmental stewardship and smart investment in the City's aging infrastructure. In 2018, the City embarked on a two-phase project to determine the feasibility of implementing an increase to the City's storm drain fees to fund the City's Clean Water and Flood Protection needs. The first phase evaluated the feasibility of increasing the City's storm drainage fees and included exploring potential funding sources, estimating user rate ranges for various budget scenarios, and conducting a public opinion survey of Alameda residents and property owners to determine storm drain-related priorities and willingness to support a fee increase for these services. The results of the feasibility evaluation showed that the community valued the storm drainage system and was willing to invest in improvements to service and pursuing projects that would ensure environmental stewardship and protection from flooding. The City Council has now embarked on the second phase: implementation of a funding mechanism. This Fee Report, the first step in that process, incorporates information from the feasibility phase, establishes needs and associated revenues required, and presents a fee structure that is fair and meets all legal requirements. Subsequent steps in this implementation phase include a public hearing and a ballot proceeding over the coming months. 1 In this report, the terms "storm sewer," "storm drainage," "storm protection," and "stormwater" are used interchangeably, and are considered to be synonymous. 2 Created in 1972 by the Clean Water Act, the NPDES permit program is authorized by the EPA to allow state governments to perform many permitting, administrative, and enforcement aspects of the program. DRAFT-2019 CLEAN WATER AND STORM PROTECTION FEE REPORT FEBRUARY 2019 S ConsultingGroup CITY'S FACILITIES The City operates and maintains a storm drainage system, as it is empowered to do per Government Code Sections 38900 and 38901. This complex system is comprised of integrated storm drainage pipes, inlets, outfalls. culverts, pump stations, lagoons and sea walls and perimeter levees to prevent flooding. As the community grew and neighborhoods and business districts expanded, the City's storm drainage system was developed. Parts of the system may date back nearly 100 years. When the first NPDES permit was issued in the early 1990s, the City recognized the fiscal burden these new clean water requirements would bring and established a property fee on most parcels to fund this activity. Since that time the City has worked diligently and efficiently to continue meeting the ever-increasing requirements of the NPDES permit, while the State's clean water requirements have evolved into a comprehensive environmental stewardship program. The operations and maintenance ("O&M") side of the Program has also developed many activities that support clean water goals and maintain the City's aging infrastructure to protect the neighborhoods and businesses from local flooding. On average, the industry-standard life expectancy of a storm drain system is approximately 60 years. The majority of the City's storm drainage pipes were installed more than 50 years ago, leaving the City with a system that is approaching the end of its useful life. Moreover, as noted in the storm drainage planning documents, some of the drainage system does not have adequate capacity. The City's complex storm drainage system has evolved to meet the unique needs dictated by the City's flat topography and location along the tidal waters of San Francisco Bay. The system's balance has historically protected the City from flooding from storm runoff as well as tidal influences. Climate change is bringing about new challenges with a predicted rise in sea level of more than two feet of elevation as well as more frequent and more intense storms. These challenges were summarized in the 2017 Storm Drain Master Plan Update Memorandum and are also being incorporated into the Climate Action and Resiliency Plan being drafted this year. While the City's storm drainage system (designed primarily to convey storm runoff to the Bay) must adapt to these changes, it alone cannot supply the full scope of remedies to meet these climate change challenges. Therefore, the fee recommendations in this Report will not fully address climate change. STORMWATER FUNDING BACKGROUND CITY OF ALAMEDA The City historically has funded its storm drainage program primarily through two sources: The General Fund and the Storm Water Utility Fee established in 1992. Although it was increased over the years, the last inflation adjustment, authorized in 2001, was implemented in 2005. Due to changes in the law the City can no longer increase the fee without the approval of property owners through a ballot measure. a For that reason, the storm drain 3 This "freeze" on the stormwater fees is due primarily to the stringent requirements of Proposition 218 for a ballot measure to increase fees. See next section for more details. ~~~~. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ConsultingGroup fees have not been increased in nearly 15 years. As a result, the City has needed to limit capital expenditures and keep operations and maintenance activities to a less than desirable level of service, mostly responding to storm-related emergencies and basic regulatory compliance. The scale and projected needs of the storm drainage system point toward the need for asking property owners to approve an increase in storm drainage fees in order to ensure a dedicated and sustainable funding stream. As many other municipalities in California have done, including Berkeley, Culver City, Palo Alto and San Jose, the City of Alameda is considering developing a new, additional, more secure and predictable source of funding for the Program. This Fee Report is the first step in that process, should the City decide to proceed. LEGAL REQUIREMENTS OF STORMWATER FEE CITY OF ALAMEDA This Report calculates the Stormwater Fee as a property-related fee . Property-related fees are subject to the requirements of Articles XIIIC and D of the State Constitution, which were approved by voters in 1996 through Proposition 218, as well as the Proposition 218 Omnibus Implementation Act (Government Code Sections 53750 -53758). Any property-related fee must comply with requirements of Article XI liD, Section 6. These include the following: • Revenues derived from the fee shall not exceed the funds required to provide the property-related service; • Revenues derived from the fee shall not be used for any purpose other than that for which the fee was imposed; • The amount of a fee upon any parcel or person as an incident of property ownership shall not exceed the proportional costs of the service attributable to the parcel; • No fee may be imposed for a service unless that service is actually used by, or immediately available to, the owner of the property in question. Fees based on potential or future use of service are not permitted. Standby charges, whether characterized as charges or assessments, shall be classified as assessments and shall not be imposed without compliance with the assessment section of the code; and • No fee may be imposed for general governmental services including, but not limited to, police, fire, ambulance or library services where the service is available to the public at large in substantially the same manner as it is to the property owners. The procedural requirements of Proposition 218 require that new or increased property- related fees submit to a two-step process: 1) a 45-day public protest period culminating in a public hearing, and 2) a ballot proceeding whereby it must be approved by a 50% simple majority of property owners (or a two-thirds supermajority of registered voters) before new or increased fees could be authorized. However, fees for water, sewer and refuse collection were exempt from the second step. In the years following the passage of Proposition 218, there was uncertainty whether stormwater fees qualified as a type of sewer fee and therefore ----·:""~-- WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 'ConsultingGroup were not subject to the ballot proceeding requirement. The California Sixth Appellate District Court clarified the question in a 2002 ruling 4 that found stormwater fees did not qualify as a type of sewer fee, and new or increased fees must be approved through a ballot proceeding. Subsequent to that date, the City Alameda did not authorize any further inflation adjustments. FACILITIES AND SERVICES CITY OF ALAMEDA The City operates and maintains a municipal separate storm sewer system within the City's boundaries. The system is made up of man-made drainage systems including, but not limited to, curbs and gutters, ditches, culverts, pipelines, manholes, catch basins (inlets), outfall structures, pump stations, lagoons, and sea walls and perimeter levies. The system serves the entire City. The primary storm drainage service provided by the City is the collection, conveyance, and overall management of the stormwater runoff from parcels. By definition, all parcels that shed stormwater into the City's system, either directly or indirectly utilize, or are served by, the City's storm drainage system. The need and necessity of this service are derived from property improvements, which historically have increased the amount of stormwater runoff from the parcel by constructing impervious surfaces such as rooftops, pavement areas, and certain types of landscaping that restrict or retard the percolation of water into the soil beyond the conditions found in the natural, or unimproved, state. As such, open space land (in a natural condition) and agricultural lands that demonstrate stormwater absorption equal to or greater than natural conditions, are not charged a fee. Other vacant land that was once improved or has been prepared for future improvements do not qualify as open space or natural land and will typically be charged a fee. A critical service provided by management of the City's storm drainage system is compliance with all water quality requirements through the City's NPDES permit. This service ensures that all parcels within the City are monitored and, in some cases, individually regulated to ensure such compliance. This applies to parcels that drain directly to the Bay as well as all other parcels in the City. For this reason, all parcels (other than natural open space and agricultural) are included in the fee structure. The storm drainage planning documents referenced above contain thorough sets of maps and lists of various elements within the stormwater system. Those descriptions are the basis for this Report. 4 Howard Jarvis Taxpayers Association v. City of Salinas, No. H022665.Sixth Dist. June 3, 2002. ,.. . .,_",;<!l;.i"$~~ .. WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 '~ConsultingQroup FINANCIAL NEEDS AND REVENUE REQUIREMENTS SUMMARY OF CLEAN WATER AND STORM PROTECTION SYSTEM NEEDS CITY OF ALAMEDA As part of the fee implementation task, the SCI team conducted an analysis of the City's Water Quality and Flood Protection system needs. This analysis included information from several source planning documents as well as recommendations from City staff members. PROGRAM REVENUES The first step of the analysis was to review the revenues available to the City's Program. Based on information provided by in the City's draft 2019-21 budget, the existing revenues are projected through Fiscal Year 2020-21 as shown in Table 1 below. Revenues are projected to not increase with the exception of the existing Storm Water Utility Fee, which will experience growth only through the addition of new properties to the rate base. TABLE 1 -SUMMARY OF PROGRAM REVENUES Shown in thousands FY 2019-FY 2020· Revenue Source 20 21 $term Water Utilily ;fees r;Jase Reuse Prope rtles La§oom Service Agre:ement Interest & Other Transe,rtn-Gea:era1 fund Transertn-Re-Use PROGRAM COSTS $ $ a,D7 238 50 8 fi1 2,5!9 $ 2,.231 238 5D 8 67 $ 2,599 The City's Program is influenced primarily by the requirements to prevent local flooding and to comply with the Municipal Regional Permit (''MRP 2.0"). 5 Cost estimates were based on budgetary and supplemental information provided by the City as well as the following storm drainage planning documents: • Storm Drain Master Plan (2008) • Storm Drain Pump Station Study (2011) • Storm Rain Outfall Assessment (2013) • Long-Term Trash Load Reduction Plan (2014) s NPDES permits for most Bay Area cities are administered by the Bay Area Water Quality Control Board. In 2009, they brought all those cities in this region under a single permit called the Municipal Regional Permit. The renewed MAP, 2015, is referred to as MAP 2.0. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 S ConsultingGroup CITY OF ALAMEDA • South Shore and Bay Farm Island Lagoon Operations Studies (2015) • 18-lnch and 55-Inch Sea Level Rise Studies (2008 and 2016) • Storm Drain Master Plan Update Memorandum (2017) In broadly assessing the Program's costs and following the City's current Budget structure, two main categories were used: Operations and Maintenance ("O&M") Costs, which include compliance with the MRP 2.0, and Capital Improvement Program (''CIP") costs. These categories reflect how the City generally allocates funds to implement its day-to-day storm drainage-related programs. In addition, SCI worked closely with City staff from both the Engineering Division and the Storm Drain Maintenance Division to develop priorities for a sustainable Water Quality and Flood Protection program. These documents and additional input from City staff resulted in the following needs recommendations. O&M costs are relatively stable from year to year and present a firm basis for a fee structure. Table 2 below shows the budgeted O&M expenditures contained in the City's draft 2019-21 budget. TABLE 2-SUMMARY OF OPERATIONS & MAINTENANCE COSTS Shown in thousands FY 2019-FY 2020- Eiement 20 21 Ope,rati:ons a Mfdnl:enanc:e Storm DraiMI& o aM Stre,et Swe.e·ph'lg $ TGW Opetattou.a ~nee ·Cotts J ·um. 1,32'6 '\~ $ 3,-061 l,383 $ :\449 The CIP costs shown in Table 3 below are a compilation of high-priority capital improvement projects derived from all sources totaling approximately $30 million. Costs are shown as one-time project expenses and include all phases such as environmental, permitting, design, and construction. Costs are expressed in 2019 dollars. These projects are taken from a larger list of project needs including 87 high-, moderate-and low-priority projects totaling approximately $170 million. A full listing of all projects is shown in Appendix A. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ConsultingGroup TABLE 3-SUMMARY OF HIGH·PRIORITY CAPITAL IMPROVEMENT PROJECTS Pipes I Lagoons S.noretht~e Culvert BFl Gate Opener lla"lew Wei:r Rebab Tidal Protecton of Outfalls Veterans Ct>uft lagoonWaHs Seawa!J @ Bft Gate Dredge Lagoon -South Or-ed:&e Lagoo,n -BF Pipes /Lagoons Subtotal Pump Stations Arbor Webster CentraljEastshore Pump Stations Subtotal $ 400 400 200 1,800 1;,910 7,500 500 600 600 $ 13,910 $ 3#570 1,050 2~700 $ 7,320 Environmental <keen tnf:rastructure Trash Capture Env1ronmenta:l Subtotal Operational Enhancements Ouif:talil Upgrades Intersection Culverts Pondingl:mproveme:nts line Clean & Video Lagoon Ops Enhancement Subtotat TOTAL H{gh·Priority CIP S tllOO 1,.Q25 $ 3,125 $ ... 3!97 2,100 l,Sl» 788 1,012 $ 5,667 ANNUAL REVENUE REQUIREMENT CITY OF ALAMEDA Since stormwater fees are subject to voter approval, it is recommended that a fee be structured in the beginning to be steady over the long term as well as sustainable. Unlike other utilities (e.g., water and sewer) where the fees can be reviewed and re"set at five"year (or less) intervals, stormwater fees are usually set at a level that can be increased annually in accordance with a predetermined formula or index for many years to come. As a result, the revenue requirements must be expressed in annual terms that will reflect future years' needs (with the formulaic adjustments). While the O&M costs are shown in Table 2 as annual costs, the CIP costs in Table 3 are shown as lump"sum, one-time costs. Therefore, the CIP costs must be annualized. Further, the $30 million CIP costs are more than can be paid for through a reasonable fee amount. As a result, portions of the CIP are identified for funding from other sources such as General Fund, other City funds, grants or future bond funds. Finally, the revenue needs shown below in Table 4 convert the CIP costs to annual amounts based on an assumed 15"year, pay"as" you"go expenditure plan. WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 ·ConsultingGroup TABLE 4-ESTIMATE OF ANNUAL REVENUE REQUIREMENT I'Qperattons & Malnte:nance Stotm~OIW Stre-et swe.-plng 0 & M Subtotaf tmprovement Pretram c•""sa~ CIP P,um:ps Stati:ons Of .. G.t. a Trull C&ldure OP -Operational Enhancements Capttat~~ Total Auual Rev Recft Lessblslfa&Revenue $ i Z,&O 1,326 ~ 7,320 1,.125 51667 $ Jt,Dl2 Total Su:cfgeted. R•ven:ues (Existing :Fees + mlsc) $ $ $ (4,8Z) ,3,150) f~ (2,.500} !t1U41J A -Capital costs are amortized over a 15-year pay-as-you-go period CITY OF ALAMEDA WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 $ 2.ta0 $ 2,120 1,326 1,326 $ !l!! $ 4,24'6 $ uu $ as 3,570. 2~ ·ua 142 3)167 211 11!8!0 .......;.$_____. . ...;_1,201_· ......... f ¥!. (2~559) , !,!!! ..... ;'OonsultingGroup RATE STRUCTURE ANALYSIS Proposition 218 states that the amount of a fee upon any parcel shall not exceed the proportional costs of the service attributable to the parcel. It also states that no fee may be imposed for a service unless that service is actually used by, or immediately available to, the owner of the property. In compliance with Proposition 218, the proposed Water Quality and Flood Protection Fee will only be imposed on properties that shed water, directly or indirectly, into the City's system or are otherwise served by the system. Additionally, the amount of use attributed to each parcel is proportionate to the amount of storm water runoff contributed by the parcel, which is, in turn, proportionate to the amount of impervious surface area on a parcel {such as building roofs and pavements). SINGLE-FAMILY RESIDENTIAL PARCELS AS BENCHMARK CITY OF ALAMEDA The most widely used method of establishing storm drainage rates 6 is to use the average or median single-family residential parcel? ("SFR") as the basic unit of measure, or benchmark, which is called the single-family equivalent, or "SFE." Since the metric for this fee structure is impervious surface area, a benchmark amount of impervious surface area {"ISA") must be established. Alameda has a wide range of sizes of SFR parcels, which have varying percentages of impervious area ("%lA"). Generally, smaller, denser parcels tend to have a higher proportion of impervious area than larger, less dense parcels, which tend to have a lower percentage of impervious area. {This can be best visualized by the fact that larger residential properties tend to have a larger proportion of pervious landscaping, and therefore a smaller proportion of impervious area.) A random sample of 279 SFR parcels was selected, and the ISA of each sample parcel was measured using aerial photographs. This sample data forms the basis for determining the median I SA, which will then be the basis for determining the SF E. The range of SFR parcels was grouped into three size categories based on trends that emerged in the %lA. The median sized SFR parcel is 0.11 acre (approximately 4,792 square feet), which is also the median parcel size for the medium SFR rate category. The average %lA for the medium size group was found to be 59.33%. Therefore, the median parcel in Alameda contains 2,843 square feet of impervious surface area ("ISA") as shown in the calculation below. This will be used as the benchmark {1 SFE) for all other size categories and other non-residential land uses. e Stormwater Utility Survey, 2017, page 2, Western Kentucky University. Other common names for this benchmark unit are Equivalent Runoff Unit (ERU) and Equivalent Drainage Unit (EDU). 1 The SFR category also includes multiplex parcels of two, three or four units, since the lot development characteristics do not vary significantly from the SFR parcels of similar size. In all, this includes the approximately 1,783 multiplex parcels in the City, which were distributed to the same three parcel size categories as the other SFRs. Any residential parcel with five or more units is categorized as apartments, which is calculated separately. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ,ConsultingGroup CITY OF ALAMEDA 1 SFE = %/A x Median Parcel Size = 59.33% x 4, 792 sf = 2,843 sf This becomes the basis for calculating the SFEs for all other types of land uses. The %lA for each size category was applied to the median size parcel in that category to calculate its median I SA. The SFE per parcel for each size category is a simple ratio of the median ISA for each category to the ISA (2,843 s~ for the benchmark category of medium-sized parcels as shown in the following formula: SFE per Parcel = CONDOMINIUMS Median/SA 2,843 Condominium units are particularly difficult to categorize as they are often on very small individual parcels yet share larger common areas that are made up of landscaped (pervious) areas, parking lots and shared roofs, and other recreational uses (either pervious or impervious). The data for these variables is not readily available, so some assumptions are made about their characteristics. Condominiums can be grouped into two categories: Medium density where there is only one level of residential units (e.g., townhomes) and high density where there are multiple levels of residential units (similar to apartment buildings). For the medium-density condominium units, the presence of common areas with landscape features make them very similar to the small-lot SFR parcels, and therefore they are assigned the same ISA (1,739 s~ and SFE (0.6118) per parcel as a small-lot SFR parcel. For the high-density condominium units, further analysis was done. Twelve condominium complexes with 1,246 units were sampled throughout the City. Using aerial photographs, measurements were made of the impermeable areas. The average ISA per unit was 895 square feet. Therefore, the high-density condominiums are assigned an ISA of 895 square feet. This is 31.48% of the ISA for the median SFR, resulting in an SFE of 0.3148 per parcel. Table 5 below shows a summary of the SFEs for residential parcels. WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 ;OonsultingGroup TABLE 5-SUMMARY OF RESIDENTIAL PARCELS ~ : ----· ---#of Median SFE per lot Type Parce _l Size Range Parcels A Acres A ISA (sf) 8 Parcel Acres Square Footage Smalft un{r)l~r o.os Medium 0.08 to 0~14 tar~e over 0.14 Condo-Med Density<: Condo .. Hi Density unf.te'r 3,.M6 3,266 to 6,316 ove·r 6,316 na na 2,171 9.899 2,1:64 2,899 1,41'9 tD.74 1,052.35 394.03 665.68 497.&8 TOTAL 18,552 2,743.83 1,139 2,843 3#ll00 na na fMJJ21 LOOOO LI!IJ6 0.6118 8.1148 A Numbers of Parcels and Acres do not factor into the basis of the SFE calculation; they are shown for informational purposes only. B From Table 12, Appendix B. C Medi urn-density condominiums are assumed to be similar to Small category of SFR NON-RESIDENTIAL PARCELS CITY OF ALAMEDA Unlike the residential parcels, the non-residential parcels can vary widely in size as well as impervious characteristics. For this reason, the parcels have been grouped into land use categories according their %lA characteristics (as shown in Appendix B). The SFE for each land use category is based on a per-acre basis, so size can be a variable in the calculation of the fee. The SFE-per-acre can be computed for each category using the following formula: (43,560 sf/ acre) x %I A _ S'DE r A 2,843 sf I SFE -r. pe ere where 2,843 square feet is the amount of ISA in one SFE. Table 6 below shows a summary of resulting parcel SFEs for each non-residential land use category. ------------- WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 1ConsultingGroup CITY OF ALAMEDA TABLE 6-SUMMARY OF NON-RESIDENTIAL PARCELS , ,~, " -¥ , ~, ' '·. ·#at ·: " · .. · % tmperv ;~~~F~-p~r~: landUseCatego,Y -_ · · Parcels .A ·AcresA . · ~rea .8 -~:.-~ .... ~·~cre _'.: A.partm&nts 7t9 29S.42 7$.0% Com~f,....Jm~ esa 1A&Gl 90.n& Ot'fi·te 1i1 211.06 64.0% Churdl/ ~onat 146 U1.13. n.• School w/Piayfield 20 384.84 5:1~8% Park 18 -· 5.m6 · Vacant (developed) 185 224.96 s.cm 1.,701.61 tl:;~!t~' ~;>:}.;···:>;. QpeA ·~I AgrieulturaJ iti · TOTAL 2717 4_,3·7S.l0 A Aggregate numbers of Pa reels and Acres do not factor into the bas is of the SFE calculation; they are shown for informational purposes only. B %lA Is from Table 12, Appendix B. 11.643 aat4 9.808 11.110 7.988 0.761 0.766 Each individual parcel's SFE is then calculated by multiplying the parcel size (in acres) times the SFE per acre for that land use category, as shown in the following formula: Parcel Size (acres) x SFE per Acre = SFE NON-RESIDENTIAL CONDOMINIUMS Non-residential condominium parcels such as commercial or office condominiums cannot be charged on the acreage of the individual unit because that would omit the acreage of the common areas, which are often parking lots with high o/oiA. In turn, the common area acreage data is partially duplicative of the acreages assigned to the individual units. For these reasons, and because there are relatively few such condominiums in the City, the full site acreage for each complex of condominiums has been apportioned to the individual units. From that, their SFEs are calculated in the normal method. DEVELOPED VACANTB PARCELS Developed vacant parcels are devoid of obvious structures or improvements but are distinguished from natural open space by one of several characteristics. Typically, a developed vacant parcel has been graded to be ready for building construction (possibly as part of the original subdivision or adjacent street grading). In some cases, the parcel previously contained a structure or improvement that has been removed, but its fundamental alteration from a natural state remains. Although developed vacant parcels may have significant vegetative cover, the underlying soil conditions resulting from grading work or previous improvements usually cause some rainfall to runoff into the storm drainage system. 8 "Vacant" in this Report refers to land that is devoid of improvements. It does not refer to land with vacant buildings or improvements, which would continue to shed water to the MS4 the same as if they were occupied. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 The %lA for developed vacant parcels is reasonably assumed to be 5%, which is also used as a minimum value of imperviousness for any land use type (excluding open space and agricultural land-see next section). Vacant parcels that have significant impervious paving remaining from prior improvements may be classified as Commercial or some other classification best representing the %lA of the parcel. OPEN SPACE AND AGRICULTURAL PARCELS ARE NOT CHARGED The City's storm drain system was developed in response to land development over the many decades. Tracts of land that have not yet been developed, or have been used primarily for agricultural purposes, have not created an impact on the system beyond the natural condition, and are therefore considered to receive no service from the system. In practical terms, these parcels generate no additional storm runoff beyond the natural condition. For these reasons, open space and agricultural parcels are not charged a Fee. HYBRID PARCELS Some parcels may have both improvements as well as significant open space areas. For such parcels that contain a residence, the open space acreage does not increase the fee because residential parcels are not charged on a per-acre basis. Rather, they are charged based on the median ISA for that size category. For such parcels that contain non-residential improvements (which are charged on a per- acre basis), the chargeable acreage should be adjusted downward to reflect the improved area only, leaving the open space area "invisible" to the fee calculation. Where parcels have been found in this category, that acreage adjustment has been made. OTHER PARCELS Parcels that do not fall within the land use descriptions listed above may be placed into the category having the closest %lA characteristics. RATE CREDITS CITY OF ALAMEDA LOW IMPACT DEVELOPMENT RATE CREDIT The MRP 2.0 (as well as previous permits) requires certain properties to construct stormwater treatment and attenuation facilities, also known as low impact development ("LID"). These facilities are typically designed to capture a portion of the storm flows, retain them, and enable them to filter though a landscape, be used as an alternative water supply, or infiltrate into the ground. While this is intended to help filter pollutants from the water, it also can reduce the parcel's stormwater runoff quantity to some extent, which in turn can reduce a parcel's impact on the system. In addition to MRP 2.0-required LID, other parcel owners may elect to follow LID guidelines voluntarily. The section of the MRP 2.0 that requires LID facilities is Provision C.3 (New Development and Redevelopment). Compliance with C.3 is a well-established and convenient metric on which to base customer activities that further Program goals and affect Program costs. C.3 compliance can have impacts to many of the Program elements. Based on a detailed study --------.............. WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 .. :ico.nsultingGroup CITY OF ALAMEDA done for a similar city in the Bay Areas (operating under the same MRP 2.0), it has been determined that compliance with Provision C.3 equates to a reduction of Program impacts of approximately 25% based on the overall Program costs. Based on that analysis, C.3- compliant parcels shall receive a credit of 25% of their otherwise-calculated fee. Some non-residential parcels may implement LID for only a portion of the parcel acreage. Since that effort and reduction in impacts to the City's storm drainage system should be recognized, those parcels should receive a partial credit. For any parcel that implements LID for 26% to 50% of the site acreage, the credit shall be 12.5%. For any parcel that implements LID for 25% or less of the site acreage, the credit shall be 6.3%. DIRECT DRAIN RATE CREDIT Some parcels along or near the shoreline drain directly into the Bay and do not contribute flows to the City's storm drain system. Those parcels do not place additional burden on the physical storm drainage infrastructure, but the City does provide a certain level of storm drainage system service in two significant ways: • NPDES Com pliance: Compliance with the MRP 2.0 applies to all parcels within the City limits including those that drain directly to the Bay. The City's Program must continue to perform task such as monitoring compliance with pollutant and trash generation, illicit discharges and Provision C.3 regulation. In addition, certain activities such as beach clean-ups provide a direct benefit to shoreline parcels. The impact to this Program element is not reduced due to a direct-drain status. • Shared Facilities: All parcels in the City benefit from a well-maintained storm drainage system that keeps roads clear of flooding and infrastructure failures that could impede the movement of people, goods and emergency vehicles. These parcels also benefit from a reduced chance of flooding and the damage to private property that can accompany such instances. An estimate of the costs of the various O&M Program elements determined that approximately 33% of the costs are related to NPDES compliance as shown in Table 7 below. CIP costs were not included in this analysis due to the variability of the funding and project impacts on the NPDES program. In addition, it is conservatively estimated that an additional 10% of the costs can be linked to the shared facilities element. Therefore, it is determined that direct-drain parcels shall receive a credit of (100%-33%-10% =)57% of their otherwise-calculated fee. 9 City of Cupertino, CA, 2019 Clean Water and Storm Protection Fee Report, February 2019, pages 11 and 12, as reproduced in Appendix C of this Report. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ~'~ .... ConsultingGroup TABLE 7-SUMMARY OF SINGLE·FAMIL Y RESIDENTIAL PARCELS $ ALAMEDA POINT RATE CREDIT 1,120 1,326 4,246 . lS% 500..(; $ $ 730 663 The City's existing storm drainage infrastructure does not serve some parcels on Alameda Point similar to the direct-drain situation discussed above. While the reach of City storm drainage infrastructure may be extended in the future, it is determined that such parcels be treated as direct-drain parcels until such time as they are served by City storm drainage infrastructure. This type of reclassification of a parcel's landuse shall not require further balloting under Proposition 218.10 CUMULATIVE CREDITS There are two independent types of credits available under this rate structure: LID and direct drain (including both shoreline parcels and certain Alameda Point parcels). Accordingly, a parcel may qualify for both credits. In such cases, the credit multipliers are compounded in the following manner: LID Mulitplier = 0.75 Direct Drain Multiplier = 0.43 Multiplier for dual credit = 0. 75 x 0.43 = 0.32 This equates to a credit of (1 00% -32% =) 68% for parcels qualifying for both credits. STORMWATER FEE CALCULATION CITY OF ALAMEDA The primary metric in this analysis is the SFE as illustrated above. To arrive at the fee amount for the various land use categories, the total City-wide SFEs must be divided into the total revenue requirement to arrive at the rate per SFE. Using the analysis above, that calculation is represented by the following formula: 10 California Government Code Section 53750(h)(3). WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 CITY OF ALAMEDA SPERate Annual Revenue Req 't = Total SPEs $2,892,100 = 37,079.320 = $78.00 per SFE This SFE rate amount is then multiplied by the SFEs per parcel or per acre for the various land use categories to arrive at the Stormwater Fee Rate Schedule shown in Table 8 below. It should also be noted that the proposed rates shown below are in addition to the existing storm water utility fees charged by the City. Appendix D has information about stormwater rate initiatives done by other municipalities and rates adopted by other municipalities. TABLE 8 -PROPOSED 2019 WATER QUALITY & FLOOD PROTECTION FEE SCHEDULE .. Proposed Fee land Use Category SFE Rate FY 201S..20 R,esi,de·ntf,a:J '*' Smelt l.hltler Medium o.os to Ltqe rMrl' Condo ~ Med Density· Condo ... Hi Density 401 " 0.14 QC A.l4 til£ 0.1118 $ 47.72 1..0000 $ 78.00 1.0801 $ 85.01 0.6118 $ 47.72 0.1l41 $ 24.55 Mu:ltlple SFR on single parcel pa'y's 16% higher rate Non~:R,es,•den·tial 8 Apat'tment Comme rofa ,ll Retai I/ tndustri al Office Ch:u:rch /Institutional IA'stituttomd w /Pleyfifid Park Vacant (clevelopad) Open Space I Asricuftural 1L6Gt 1J.8945 9.8011 11.1016 7.MIS 0.7662 0.7662 $ 90&12 $1,0$3.74 $ 715.01 $ 866.:52 $ ,1 ... 18 $ 59476 $ 59..76 nQ fee perperqJ perpaKet pefpaR:e~ pe,rparce1 perpaRe'l ~acnl per acre per acre pera,cre perar;re pera<;re P&f'acN A-Residentia I category also includes duplex, triplex and four-pi ex units. B-Non-Residential parcel size is calculated to the hundredth of an acre. WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 tOonsultingGroup These rates are proposed to be maximum rates . If the City chooses to propose, adopt or implement rates that are lower than these, the reductions should be uniform across all rate classes in order to preserve the proportionality and remain in compliance with Proposition 218. ANNUAL COST INDEXING The 2019 Water Quality and Flood Protection Fee is subject to an annual adjustment tied to the Consumer Price lndex-U for the San Francisco Bay Area as of December of each succeeding year (the "CPI"), with a maximum annual adjustment not to exceed 3%. Any change in the CPI in excess of 3% shall be cumulatively reserved as the "Unused CPI" and shall be used to increase the maximum authorized rate in years in which the CPI is less than 3%. The maximum authorized rate is equal to the maximum rate in the first fiscal year the Fee was approved adjusted annually by the lower of either 3% or the change in the CPI plus any Unused CPI as described above. NOTE: In order for the City's dedicated storm drainage revenue sources to satisfy cost requirements into the future, the annual adjustment for each property may be calculated based · upon the sum of the Water Quality and Flood Protection Fee and the existing Storm Water Utility Fee. MANAGEMENT AND USE OF STORMWATER FUNDS CITY OF ALAMEDA The City shall deposit into a separate account(s) all Water Quality and Flood Protection Fee revenues collected and shall appropriate and expend such funds only for the purposes outlined by this Report. The specific assumptions utilized in this Report, the specific programs and projects listed, and the division of revenues and expenses between the two primary categories (O&M and CIP) are used as a reasonable model of future revenue needs and are not intended to be binding on future use of funds. Dated: July 03, 2019 Engineer of Work Jerry Bradshaw, License No. C48845 WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 .;consultingGroup APPENDICES APPENDIX A-FULL LIST OF CAPITAL PROJECT NEEDS All figures are shown in thousands CITY OF ALAMEDA TABLE 9-LIST OF CAPITAL IMPROVEMENT PROJECTS-ALL PRIORITIES . ·· .. :·.:.·.:.:.··:.: .. · ... ··:·.·· ....... A~a 2019 COst L,1 __ _JP~!f!!!•!!!!l~t;!!!!tbJ!L __ _ ~IPt!$/LgPPrl$< .. •· · • · High ' Moderate . L Shcir~ltne cuh;~ft 400 · • ·2 ~ayFarm.l~landGa~eOpener Bayfarm 400 a £!!LviewW~lr Rehab ~iew .. · 200 t------1!.... ,....._____ _ __ _ 4 Tidal ;Pr()tectlon of Outtalls Citywide 1,800 UCD 5 Veteransce~~rt Bay ~arm Island 1,910 ~ & . ~~on Wall~·. South .Shore 15,000 ;g _JA!L -~..;....;.. 1 seawall·@rtl;FiiGate Bay Farrrilslaod. sbo a ' ~. · Orec:tse Lagoon -South ShOre South Shore 600 • 9 Dredge ~goon.,-BFI Bay Farm .Island · 600 ~ ,._.....,.. .. ....,.___. _ ___,....,._.. 10. Sayviev,tWeir Bay Farm Island 121(X)O. t lla . 1LGibbons. .Easuide 3;1~ .t.O .·1a .. Th~m . ...;J,e"""so""'n_· ---------~ti:a=sts=·i"""'d.::.e. ____ ___.· .~1r...,.17..;.....o ,__ _ _,_. · . 1,17(). 13.~iJ~.··:· Eastsid~ 3,390 · 1;390-. 14 Femside Eastsicte. 1~91() ·1,910 1$ W~shi!Jjt<m i. · .. East~i·de . 850 , ... • _,._ ·------~ 16. · qalhriun: · Eastside ~.20 . · 320 11 Grand : · . North central 3;500 . 1$0 ~~a """YJ.....c.·'i""'-lloc:;.;w.;...,· ··,"'"':··. -----------'·~No;;.;;_rt.;;;..h;..;;t=e~~.ral_-"-·-. ____ 3i.07o ._: ___ ·-· -~ ._ .. _ ____;.;_ · 19 Waln~t . ·North Central 2,440 2,440. 20 ()~~~'-'~ North Central 2,~2,() · .. 2;120 · · il P~'rtt .. _·• ...,..,_..........c.--.....--------'-'N'"""ort'-"h;.c_C=e=nt..::..ra=l---·--·-640_' ... ____ l---_,...,.. ---~ · 22 ~ver~tt North Central 950. 9SO : 23 .. Broadway Nprth ce.ntral 64Q M ~2~4~·P~·e~a~rl ~·~·~·~----------------·-No~rt~h_c~e_nt_~~~~~------a~.~~-------~·: ____ __ 25 THd~n . · · NorthCentral S30 26 Caml:)ri.dg¢ · NorthCentfcd · 950 530 950 it Const1t~ .. t.·J:2.l'J_ .. ~ .... -·-···· . . Northside · 4,660 at MA .. ... .;.,;..;;;:.;;.;;;:::= • .,;.._.........;,.;;_;..,. _ __,;4.~,1.;;;;;•30':;.;,. ... --·--"" _., .. ~----. ~a yv~st.Atta!'ltic · Northsid~ 4,130 29 ~~~~ ~tlj)ntlc; (1) · N.orthSid·e 850 sso .,..;;'30;;;;;; .. ··;.;..\>E~a;.;;;;St+A~·tl;.;;an.;;.;·ti:;.;;.e.,\;;(2;;£..) _. __________ _.:.:.N;::;;ort.:::.h.::::;si;..::;d;;.e ........... "....,._,__._--. _640 -·-----'---~ __ .....;;640~· ·....., .31. NeVI Outfall North$ide . 4,98() 4,9lll 32 Mahi St.. . . · ~orthside ·· sao · ··. sao·· 33 w•b~!!Jt): .___;. ___ .;..... _......_._~ortti~side ~· 3rtfsveet Northside . 150> . 1$0 . . . -----~~ -.. -............... $a ~a 35 'Webster{3). North~ide 1,170 1,110 WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ~. ·ConsultingGroup CITY OF ALAMEDA Category I Project Area 2019 Cost ____ Pn_·o_rlty..!.-.Le_ve_ls __ ___:. Pipes I Lagoons (continued) . Hlf .. Moderate Low 36 Chapin Northside 320 320 37 Paru Northside 1,800 1,800 38 Bay Sherman Northside 1,910 1910 ........................................................................................................................ -............................... " ............................................................................ , ....................................... ,...-...... ,....... _ ................. _ .. ( .. ~· ............ -... !._,_ .. 39 Main St (2) Northside 850 · 850 40 5th Street Northside 1,480 1,480 41 PacificSt Northside 1,170 ·-1,170 _ 42 Fountain 43Mound South Shore South Shore 1,590 530 1,590 530 ... ~ .. ~~r..~r.~.~~~·~·-···-·--·-·-................................................................... ~2~.!.~ .. ?.~.~~~ ............................... __ , ....... !~.?.~ ..... ~.-............... ,...... . ............... _,_.,, ............ h?99 .. .. 45 Harbor light South Shore 2,440 · · 2,44$ · 46 Rosewood South Shore 1,170 1,.1'70 47 Pearl _ 950 South Shore 950 48 Alameda Park 49 3rd 50 Willow 51 S Shore Center W 52 Regent 53 Park . ~···Page 55 Webster 56 Ballena 57 Paru $8 Shoreline 59 Dub!in Way 60 lslandD~ve 61 verde mar Orive 62 R()bertDavey Jr Dr 63 Mecartney Road 64 Arvlngton 65 camelia 66 Fitchburg 67 Holly 68 .Pipe Extension_N..,:..o __ _ 69 Pipe Extension NC 70 Pipe .Extension So 71 Pipe Extension Ea Pipes I Lagoons Subtotal Pump Stations South Shore 1,800 South Shore 530 South Shore so South Shore 1,170 South Shore 530 South Shore 530 South Shore 1,590 South Shore 950 South Shore 850 South Shore 100 South Shore 640 Bay Farm Island 950 Bay Farm Island so Bay Farm Island 1,170 Bay Farrt_! Island ·210 Bay Farm Island 1,270 Bay Farm Island 950 Bay Farm Island 1,270_ Bay Farm Island 640 Bay Farm Island 1,170 Northside ___ 1,48Q... North Central 1,590 South 1,910 Eastside 210 115,320 72 Arbor North Central 3,570 t579 ; 73 Webster Westside 1,050 1,.8 530 so 1,170 530 530 1,590 950 850 74 Centrai/Eastshore Ea~tside 2,700 -~!!L ·--~. --· ~- .... ?.~ .... §.2!.! .. ~g~-~~ ................................................................................... ~.~Y. .. f.~~.~.~~.~-~.~ ..................................... !!.!!Q .... · .................. ,.............. . ... -...... ~!~~ .. ;. . .............................. " --------- WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 s :·consultingGroup Pngn 20 CITY OF ALAMEDA Low ·76 · Harb9r Bav 1:' · · · ·· Bay Farm Island : 950 ·. r B . fj H*Bavir , , ·. ·. · ~vF~m11~'and: ··_·. · · . t,t70' : UlO -"-'-7,..;;;.S...;,.M8..;.i""";f\.S~Jre .... < e;.;;.J.;..., ....... · .;...........-...~.;.;;............u;;.,;;.~;..;...;.;;.;W..;;;;··.·est..i..;;SI;.,;;;:.d.;...·--· ·'·~__.._,-·'""?'"-. ~···""""'·: alt}. . QD ·------~~~·~_.- . 79, Northside • · . Westsl~~ -,:, · .· · · .. ,_· ''; 2,440 ' 1,441 · 80. third Street ·. w~s~sld~ · ' · .,.._....,640 ..... ·· ...... ,· · 140 ,PumP: Stations S~btotai :. · · 7J!: ¥! · ... __ .··. : .. ·_ .. · £nyifO~mt~: .. i ~t Gteefi1riff-8structure .':: ·. ~,.:,fta$nc~~tu~' · ··. Environme~WS.Iibtotal . .. . .. . 84 lntersection;Culverts ~ ,Pondlngtmproverllents 86 ~C~eattJtVideO,. ' 87 -~goon .. ..•.. . bps Enhanee.meots Su:btotal . . l().TAJJ, .. Ci1VW1de : ... · ... , . ·.·'a~ide .. Ci~l~e Citywidtl ___ ..;;..···.....;;Ci-!.tyw..._l..,..de ___ .. . CltyWl~~ _: . . · South ShO~& Say farm l.sland . /i;;t(xj ~ ''1;025· . 1,!5 : ---_......,...__ ~t125 tUS. ----.......-- 1,319 .. 16,500 3,500 3$0 ·t~~3~ .... : .. 37;845 • • 759 Uta~ 5)(1 8, 700 ~--~----~M -~ l,D 1,160 1)!2 1¥! ¥!1 ' •• 11,219 ........ WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 tConsultingGroup APPENDIX 8 -PERCENTAGE OF IMPERVIOUS AREA ESTIMATIONS CITY OF ALAMEDA For most land use categories, a sample of parcels was analyzed using aerial photography and other data to determine the average percentage of impervious area ("%lA"). Table 10 below shows the results of that analysis. TABLE 10-PERCENT OF IMPERVIOUS AREA FROM SAMPLING RESULTS I"' • ' q l,.; ~ I ~ "' '< ' ,._, ," <-~ 1-l ~ ~ ~ ' , · Total Acres #of #Parcels Total Acres Impervious Impervious Land Use Category Parcels Analyzed Sampled Area Area A Singre .. family Residential Smaclif Under Medium 0.08 to tar"'Qe over Condo Med~Denisty 8 Concto Hi "'Density (l fJB 0.14 fU4 QC ac rx Non-Single-Family Residential 4171 9,899 4164 2,899 1,419 M~Jiiti .. famHy ~es:identta.;l 7119 Commercial/ Retail/Industrial 662 Office lll Church /lnsti tuti ona I 146 lin$ltuti,onal w/Pta,fietd 20 Park c Vaeant {develapedi) c TOTAL '163 11! 41 2JJ4 1.19 1, ?5 sf 189 19.94 11.83 2,843 sf 4a 8. 79 B.ea :3,100 sf :n:::mer:~rn :::r??t::m~m:~:~~(~~~:~~~~~?m:tt?J t:;)::lt:r??:~?:m 1,048 27 .55 21.53 &SS af IS 61.83 46..9:8 7S.J8~ 58 16.41 14.88 90.68% 2l 4l.l 6 27.0$ M.Gl" 31 24.62 17.85 72.50% 9 48.70 2S .. 2J 51,11'1! 252 •. 94 na A For Residential, Impervious area is the median value of all parcels analyzed. For Non-Residential, impervious area is expressed as a percentage of parcel area (TotaiiA/Total Acres sampled). B Condominium-Not sampled as explained on Page 11 ofthis Report. c Park and Vacant-Park and Vacant parcels were estimated to have a 5% impervious area based on other similar municipalities . -·--"""-·~ .. 2019 CLEAN WATER AND STORM PROTECTION FEE REPORT FEBRUARY 2019 ConsultingGroup p i APPENDIX C-LOW IMPACT DEVELOPMENT RATE CREDIT ANALYSIS CITY OF ALAMEDA On the following pages is an analysis done for the City of Cupertino in February 2019 that estimated the extent that low impact development ( .. LID") reduces the impact on the City's storm drain system. Cupertino is similar to the City of Alameda in that both are mid-sized cities with similar land use patterns, storm drainage systems, and magnitude of costs and needs. Further, both cities operate under the same MRP 2.0. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 \ConsultingGroup CITY OF CUPERTINO FEE REPORT 2019CLEAN WATER AND STORM PROTECTION FEE FEBRUARY 2019 PURSUANT TO THE ARTICLES XIII( & D OF THE CALIFORNIA CONSTITUTION, AND THE GOVERNMENT (ODE SECTIONS 38900-38901 ET Al. ENGINEER OF WORK: :Consulting Group 4745 MANGELS BOULEVARD FAIRFIELD, CALIFORNIA 94534 PHONE 707.430.4300 FAX 707.430.4319 WWW.SCI-CG.COM a ... CITY OF ALAMEDA -----:----...._ WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ConsultingGroup Pa ~- OPEN SPACE AND AGRICULTURAL PARCELS ARE Nor CHARGED The CttY~ storm drain system was developed 1n response to land development over the tnany decades Tracts of tand that have not yet been develooed. or have been used pnmanly for agricultural purposes have not created an lmp:act on he system tre~tond the natura! conditton. and ate therefore cons1derea ~J receive no serv1ce from the system !'1 practical terms these parcets generate no addttJonCJl stc!fm runoff beyond the natuta~ condJtiOn For these r~asons, open space and agncu1tura! parceb ~re not chargee! B Fee HYBRID PARCEL$ Some parcels may have both Improvements as weH as s1gmfrcart open space areas For such parcels that contain a res1dence . the open space acreage does not increase the fee because residential pa!cef<; are 1101 charged on a peh3Cte ba~rs Ra hei, they are charged based on the median ISP. for thai size category . For such p~rcets that contam non-r~stdeFttaltmorov~ments (wttidl are charged on a p;:r- acre basts) the chargeable acreage showa be adjusted downward to reflect the improved aree only, leav1ng tne open space area 'invlstble ·to the fee calculatton Where parcels have been found in thts category. that acreage adjustment has been made LOW IMPACT DEVELOPMENT RATE ADJUSTMENT CJTYOF CUPERnMO The current NPDES Permit requires certain properties to construct stormwater trea.fment and attenuati.on fa.cilities, also known as low impact development ('liD"). These facilities are typically designed to capture a portion of the storm flows, retain them I and enable them to infiltrate into the ground. While this is intended to help filter pollutants from the water, it also can red1,1ce the parcel's stormwater runoff quantity to some extent, which in turn can reduce a parcel's impact on the system. In addihon to NPOES~required LID, other parcel owners may elect to follow LID guidelines voluntarily. The section of the MRP that requires LID facilities is Provision G .3 (New Development and Redevelopment). Compliance with G.3 is a well~establishedand convenient metric on which to base ous·tomer activities that further Program goals and affect Program costs. C.3 compliance can have impacts to many of the Program elements. In order to analyze the extent to which G:3 compliance will impactProgram costs, each Program element was rated with one of four impact levels: none (0%), minor (25%), medium (50%), and major (80%). By applying those impact levels to the costs of each Program element~ it was determined that compliance>with Provision C.3 equates to approximately 25% of the overall Program costs. Tabte 6below shows the results of that analysis. Based on that analysis, a commensurate reduction in the fees for certain C.3~compliant parcels is warranted. However, C.3 compliance brings with it some additional administrative burdens to verify ongoing compliance. While this burden is· relatively minor, for single-family parcels where the annual fee is also relatively small, the administrative burden negates the LID benefits· to the program. Therefore~ single~family residential parcels do not qualify for the reduced fee. Conversely, C.3 compliance for condominiums is typically accomplished on a collective bas.is, so the minor administrative burden is spread across. many parcels __..,,,.~,··~ .. 2019 ClEANWATERAND STORM PROTECTION FEE REPORT FEBRUARY 2019 S ~ConsotUngQroup CITY OF ALAMEDA WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ·ConsultingGroup 12 making it insignificant. Therefore, a 25% reduction in fees will be applied to all C.3-compliant parcels that are either non~single-family or condominium. TABLE 6-LOW IMPACT DEVELOPMENT RATE ADJUSTMENT ANALYStS · · Impact Level e ~ g ~ .2. MRP Provision ~ i _:e i Notes Operations & Maintenance Program Management C.2 Municipal Operations Clean Water Program C.l Permit Compliance C.2 Municipal Operations ·c.3 New Development and Redevelopment Industrial and Commercial C.4 Site Controls Illicit Discharge Detection and C.S Elimination C.6 Construction Site Control Public Information and C.7 Outreach C.8 Water Quality Monitoring C.9 Pesticides Toxicity Control C.10 Trash Load Reduction C.11 Mercury Controls C.12 PCBs Controls C.13 Copper Controls C.17 Annual Reports .............................. .1 ......... . ... -·---___ I .... __ Does not lessen Prognim Management burden R.educes storm llowsln minor storm. (educing burden on operations Is a small . part of overall Program Compliance Does not lessen Municipal Operations compliance burden Is all about C.3 Provides controls Does not lessen Illicit Discharge burden Does not lessen Construc.tion Corltrols bt.irden Aids in educating property owners Does not lessen WQ. Monitoring burden Capture & infiltration may filter out pesticides Mary C.3 devices are considered a partial trash capture device Capture & infiltration may filter out pollutants Capture & infiltration may filter out .!?.~.~~.~~~.~.!~ ......................................................... . Capture & infiltration may filter out pollutants Does. not lessen reporting requirements STORMWATER FEE CALCULATION CITY OF CUPERTINO The pnmary metnc m 1 ana st~ ts the SFE as illustrated above To arnve at he fee amount forth vanous tand us ... categones. the total Ctty wi e SFEs must be dtv ded mto the t()tal revenue requtremen to amve at the rate per SFE Ustn the anal sts above that calculatton ts represen1ed by 1he fotlowtng ot mula 2019 ClEAN WATER AND STORM PROTECTION FEE REPORT FEBRUARY 2019 CITY OF ALAMEDA WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 ;Con.sultingGroup ~ 4. City Estimated Expenditures for MRP, by Cost Category (Fund) and Fiscal Year I PflooiOI I _.... I net MAP PftA\t$lOA _ 20t1-2018 _ IOtM$19 _ ...... C.2 Munieim:tl Oper~tipns $493,000 C.1 Perrni;~ QofTiplianc~ $23;000 C,2 Munieipat O~.ra~ns $148,0,00 c.s New ~vefqpmeht and Redevelopment $70,000 0.4 Industrial and Commercial Site Controls $83,000 c .. s Illicit Discharge Detection and Elimination $129,000 C.6 Construction Site Control $43,000 C.7 P!Jblic Information and Outreach $118,000 c.s Water Qu$1ity Monitoring $11,000 C.9 Pest~ides Toxicity ContrOl $21,000 ~.10 Trash Load Reduction $130,000 :.11 Mercury· Controls $24,000 :~12 Pci3s Controls $51,000 :;.13 Copper Controls $11,000 :;;17 Annual Repql't$ $29,000 Fund'Tctfal $7tJ1,72iJ. .$72().1M. ~1.tJg(} Total $1,211,670 $1,197,288 $1,443,000 p ~-Pr~ 20QCHOJ1 .t,.,.. ~~ $61,()()0 . $(93,000 se5,ooo· $508,000 $523,000 $539,000 $24,000 $25,000 $25;000 $153;000 $157,000 $162,000 $72,000 $.77,000 $80,000 $86,000 $88,000 $91,000 $133,000 $137,000 $141,000 $44,000 $46,000 $47,000 $122,000 $126;000 $129,000 $11,000 $.12,000 $12,000 $21,000 $22,000 $23,000 $134,.000 $148,000 $152,000 $25,000 $27,000 $27,000 $52,000 $57,000 $59,000 $11,000 $·12,000 $12,000 $30,000 $33;000 $34,00() •. 1:8,CJqO $~4,:000 $994.:(100 $1,487,000 $1,650,000 $1,598,000 $67,000 $555,000 $26,000 $167,000 $.82,000 $94,000 $145,000 $49,000 $133,000 $13,000 $23;000 $157,000 $28,000 $61,000 $13,000 $35,000 $1J)zt),OOO $1,646;000 !dues are from the City's Fiscal Year 2018-,20.19 Adopted Budge~ (2018 Adopted Budget and 2019 Adopted Budget for both Non-Point Source (Fund 230-81) (p. 407 -409) and :tlrt'n. [)rain Maint~n•nc~ (Fund 100..85) (p. 434-4~)). 1cn val.ue for. the fiscal years under the "Future -Projected" column is coosldered to be estimated and has been rounded to the nearest $1 ,000; thus, summing individual values ay result in a slightly.dlfferent.total than those shown in the "Fund Total" and "Total" rows-. :/Jwww.cuoertino;omih9meishowd.ocument?id=21776 iixA 2019 Clean Water and storm Protectioo Fee Report CITY OF ALAMEDA WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 Page 27 ___ 011111....,.__....._,._ ............. -. ''COii$UitingGroup Pag 2 APPENDIX 0-STORMWATER RATES FROM OTHER MUNICIPALITIES CITY OF ALAMEDA There have been relatively few voter-approved local revenue measures in the past 15 years to support stormwater programs in California. A summary of those efforts plus some others in process or being studied is shown in Table 11 on the following page, in roughly chronological order. Amounts are annualized and are for single family residences or the equivalent. WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ---~ , :;consultingGroup CITY OF ALAMEDA TABLE 11 -RECENT STORM DRAIN BALLOT MEASURES · --, -, , Annual · < .. ·-.. Municipality Status · .R Year Mechanism _ _ . at~ .. -. San ct-.mente Carmel PafoAt:to ~ PaJoAito Entlnitas SantaMomca San ~ SsienaBeacb Woodland ·DelMar Kawlfmme sar.taCruz Burlingame s a.nta Oarita. Stockton Co.un-tv of Contra Costa Santa ·CiuaVdtyWatef tllslriet City of Berkeley County ol LA san. <:temente Vallejo SanfJeROGd Culver City h.loAI!t'O Su~essfuf ; $ aUS 2002 ; Baltoted Property-,R.-ted· Fee una~ $ ._. Ml ~,_,~Fee unsucces.sf.tll $ 57"00 2003 Ball·oted Propeny~Related Fee Stlceetsftd $ 28JI) I 211M SP'8dtf,.-tt O.llmd Strecessfui : $ 12fU)(!) 2005 . Balloted 'P·roperty .. Related· Ff!e Sttassff.d ~ h raded... ~ ... ~li -~ ._..._Lhtated Fe• I F~ ~ ~~ v~~~ Unsuccessful ~ Overtul'htlby Court of Appeal&, Decett1fde4 $ lB.m b¥ SupfeJMe CGtlft Successful : $ 87.00 Su~rett•wed $ aa t Notrlaltotedt 1'tlreatened by . $ 2LS4 Lawsuit, 8altoted., Successful 1 u.u.... $ .. Suceessful · $ 163.38 ~ $am Successful $ 28.00 SVCM~fvt $ Jl50.I& Sutce$$ful · I $ 21.00 Unsuossfut $ 94.56 Unsu¢tessful ; S 22.00 Successfu:l ·~ Strctessfu,l iuetestfut iuccessfut varies $ 5441) $ 74.76 $ a• $ 99.00 $ 18.80 2006 -'11»7 'Zfl1l 2008 .. : Non..Balloted P.ro;perty..f.te.tated Fee adopted.1tt2004, · · ~ chaUenged, balloted and failed ln 200'6 Special lax ~PlrQp~ate4 .. Noo-8al1$,t•d & Balloted Property..:Reiated Fe.e ~,..,.~ate4 Fu ! Bal.loted P·roperty-Related Fee lal--~teCIFee 2008· Spedal T:ax 28 llalot4d Pr<Jpertr-<Reiate4 f!ee 2009 : Ballot.-d ~pe~Related Fee • aattete:dPm~~ Pee 2012 ' Balloted Property .. R~Jated Fee 2.012 ' 82 2013 -201~ 2117 Measure M-GO Bond NA BaUoted Property·Refated Fee ta.lloted~d Fe• Special Tax Town of Mo·rasa I City ef Berkeley Unsuccessful Stlaesslut 1 $ 12CU&j 2018 s 42 .... 181'-ed PropertV""Rtdate4 Fee Ilea~ of-fee ' 8aUoted P·rope·rty·'ReJated Fe.e hlltJM;cf Pr operty-Rltatecl fee Ctty of 'l.Qs Af.tos 1 CountvefS.laq-n Cltv of Sacrame:nto Cit\'ofSdft8& Clty of Santa Clara Cllnmt¥ of san Mateo Coun.ty of El Dorado County el Ornp Cqunty ofV'n~!Jra lnProtess ~· Studylng ~ Studyif18 SWEI¥tna Studylna SttHI¥iftg Studyin g N.A NA NA .-A NA NA rtA NA NA NA M NA NA NA NA M NA NA i · sal loted l>rOperty-ReJated Fee ~~Fee Qalloted Pr.operty .. ftelated Fee NA Balloted Prop-erty .. Related Fee NA NA ~ NA WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ,,eonsultingGroup CITY OF ALAMEDA Pa In addition to the agencies listed above in Table 11 that have gone to the ballot for new or increased Stormwater Fees, there are several other municipalities throughout the State that have existing Stormwater Fees in place. Some of these rates are summarized in Table 12 below. Amounts are annualized and are for single family residences or the equivalent. The City's proposed $78.00 SFR rate is well within the range of stormwater rates adopted by other municipalities. TABLE 12 -SAMPLE OF RATES FROM OTHER MUNICIPALITIES -' ~ ... -~ • ... ~ A . , . Annual . Muni-cipality Rate Type of Fee Bakersfield CuJ:ver City Davis E,JkGrove Hayward LosAnge·le,s Los Angeles County Pa)<>Aito Redding Sacramento (City) Sacramento (County) S-c~:n&runo San Clemente san Jose SantaCruz Stockton* VaUejo Sanitation and Flood Control District West Saera;mento Woodland $ 200 Property-Related Fee $ $ $ $ s $ $ $ $ $ $ $ $ $ $ $ $ $ 99 85 70 29 27 83 164 16 136 70 46 60 t2 109 221 24 144 6 Special Tax Property-Related Fee P,ro,pe,rty-Re,fated Fee Property-Related Fee S-pedi'l ta:x. Special tax Prope·rty·,Re·l:aled F,ee Property-Related Fee P·roperty .. Re·tated Fee Property-Related Fee Property-Related Fee Property-Related Fe·e Prope·rty-.Related Fe,t SpeciatTax Property-~elated Fee Property-Related Fee Prop;e tty-Related fe,e Property .. Related Fe·e *This is the calculated average rate for the City of Stockton, which has 15 rate zones with rates ranging from $3.54 to $651 .68 per year. .. WATER QUALITY AND FLOOD PROTECTION FEE JULY2019 'ConsultingGroup APPENDIX E • LIST OF ACRONYMS AND ABBREVIATIONS %lA Percent Im pervious Area C.3 Provision C.3 of the MRP -New Develo pment and Redevelo pment CIP Ca pital Im provement Pro gram CPI Consumer Price Index (from the Bureau of Labor & Statistics ) FY Fiscal Year G.l. Green Infrastructure GO Bond General Obli gation Bond ISA Im pervious surface area LID Low impact development MFR Multi-famil y residential MRP Munici pal Re gional Permit (current version is MRP 2.0 ) NPDES National Pollution Dischar ge Elimination System (EPA ) O&M Operations and maintenance sf Square feet SFE Sin gle-famil y equivalent SFR Sin gle-famil y residential CITY OF ALAMEDA WATER QUALITY AND FLOOD PROTECTION FEE JULY 2019 ~ S 'ConsultingOroup ***** 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 _ day of , 2019, by the following vote to wit: AYES: NOES: ABSENT: ABSENTIONS: IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said City this __ day of , 2019. APPROVED AS TO FORM: Yibin Shen, City Attorney City of Alameda 16 Lara Weisiger, City Clerk City of Alameda ***** I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly adopted and passed by the Council of the City of Alameda in a regular meeting assembled on the 1st day of October 2019, by the following vote to wit: AYES: Councilmembers Daysog, Knox White, Oddie, Vella and Mayor Ezzy Ashcraft-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 2"d day of October 2019. ~ Lara Weisiger, ~ City of Alameda Approved as to form: