HomeMy WebLinkAboutRES 2022-100RESOLUTION NO. 2022-100
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, MAKING FINDINGS REGARDING THE
CONTINUING NEED FOR UNEXPENDED BALANCES OF IMPACT FEES
AS OF JUNE 30, 2022
WHEREAS, Government Code Sections 66000 through 66008 (known as and
referenced to herein as “AB1600”) regulate the imposition, collections, maintenance,
expenditure and reporting of impact fees imposed on developers for the purpose of
defraying costs of public facilities; and
WHEREAS, a public hearing on the annual report of development impact fees for
the period ending June 30, 2022 was held by the City Council on December 15, 2022,
and the public testimony, if any, provided therein was duly considered; and
WHEREAS, in accordance with the provisions of AB1600, the City of Palm Desert
(“City”) has set up separate special revenue funds for each type of fee the City imposes,
crediting earned interest to those funds, and spending the accumulated fees and related
interest on appropriate expenditures; and
WHEREAS, AB1600 requires the City to make specific findings every five (5) years
with respect to any portion of the fees remaining unexpended or uncommitted after a
period of five (5) years; and
WHEREAS, the City Council desires to make the findings required by law, with
respect to the unexpended fees.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT
RESOLVES, FINDS, DECLARES AND DETERMINES AS FOLLOWS:
Section 1. That the City finds that all of the foregoing recitals are true and correct
and are hereby incorporated and adopted as findings and determinations by the City
Council as if fully set forth herein.
Section 2. That the City has identified impact fees collected from developers that
are subject to AB1600’s requirements. Those funds are:
Housing Mitigation Fee (Fund 214)
Child Care Facility Fund (Fund 228)
New Construction Tax Fee (Fund 231)
Drainage Facility Fee (Fund 232)
Park & Recreation Fee (Fund 233)
Traffic Signalization Fee (Fund 234)
Fire Facility Fund (Fund 235)
Resolution No. 2022-100 Page 2
Section 3. That pursuant to Section 66006, the City has prepared an annual
report for at least the last five fiscal years, reflecting the beginning and ending balances
of each separate fund containing impact fees, the amount of fees collected and the
interest earned for the year, the amount of expenditures attached hereto as Exhibit A.
Section 4. That a copy of the annual report has been on file and available for
review in the City Clerk’s Office by the public, for at least 15 days prior to action taken
herewith.
Section 5. That the City Council hereby makes the findings required by law, with
respect to these unexpended fees, and has: 1) identified the purpose to which the fees
are to be put; 2) demonstrated the relationship between the fees and the purposes for
which they are charged; 3) identified all sources and amounts of funding anticipated, to
the extent that they are known, to complete financing of the improvement.
Section 6. That these findings are based on the information provided in the City
of Palm Desert’s Development Impact Fees Annual Report, the City of Palm Desert’s
annual operating budget and the Capital Improvement Program for Fiscal Year 2022-
2023 to 2026-2027. Which is incorporated herein by reference.
ADOPTED ON DECEMBER 15, 2022.
KATHLEEN KELLY
MAYOR
ATTEST:
ANTHONY J. MEJIA
CITY CLERK
Kathleen Kelly (Dec 22, 2022 12:07 PST)
Kathleen Kelly
Anthony Mejia (Dec 22, 2022 12:21 PST)
Resolution No. 2022-100 Page 3
I, Anthony J. Mejia, City Clerk of the City of Palm Desert, hereby certify that
Resolution No. 2022-100 is a full, true, and correct copy, and was duly adopted at a
regular meeting of the City Council of the City of Palm Desert on December 15, 2022, by
the following vote:
AYES: HARNIK, NESTANDE, QUINTANILLA, TRUBEE, AND KELLY
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
RECUSED: NONE
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal
of the City of Palm Desert, California, on _____________________.
ANTHONY J. MEJIA
CITY CLERK
Anthony Mejia (Dec 22, 2022 12:21 PST)
Dec 22, 2022
EXHIBIT A
1) A brief description of the type of fee in the account or fund.
2) The amount of the fee.
3) The beginning and ending balance of each account or fund.
4) The amount of the fees collected and the interest earned.
The Development fee programs included in this report are the following:
Section A – Housing Mitigation Fee (Fund 214)
Section B – Child Care Facility Fund (Fund 228)
Section C – New Construction Tax Fee (Fund 231)
Section D – Drainage Facility Fee (Fund 232)
Section E – Park & Recreation Fee (Fund 233)
Section F – Traffic Signalization Fee (Fund 234)
Section G – Fire Facility Fund (Fund 235)
6) An identification of an approximate date by which the construction of the public improvement(s) will commence if the
County determines that sufficient funds have been collected to complete financing of an incomplete public improvement(s),
and the public improvement(s) remains incomplete.
7) A description of each interfund transfer or loan made from the account or fund, if any, including the public improvement
on which the transferred or loaned fees will be expended, and, in the case of an interfund loan, the date on which the loan
will be repaid, and the interest rate that the account or fund will receive on the loan.
8) The amount of refunds made due to sufficient funds being collected to complete financing on incompete public
improvements, and the amount of reallacation fo funds made due to adminstratvie costs of refunding unexpended revenues
exceeding the amount to be refunded.
The City's Five Year Capital Improvement Program Budget is attached as a reference to future projects using existing
cash balances for FY 2022-2023 through 2026-2027.
CITY OF PALM DESERT
DEVELOPMENT IMPACT FEE ANNUAL REPORT
FISCAL YEAR 2021-2022
This report contains certain information required to be filed annually by the City of Palm Desert (the “City”) in accordance
with the Mitigation Fee Act, commencing with Section 66000 of the California Government Code. The reporting requirements
set forth in the Mitigation Fee Act (the “Act”) are applicable to the impact fees imposed on new development in the City. The
Act requires that a public agency, on an annual basis, make available to the public within 180 days after the last day of each
fiscal year the following information for the past fiscal year:
5) An identification of each public improvement on which fees were expended and the amount of the expenditures on each
improvement, including the total percentage of the cost of the public improvement that was funded with fees.
11/30/2022
Attachment 2
Section A– Housing Mitigation Fee (Fund 214)
Brief description of the type of fee in the fund:
Part 1 – Fund Balance, Revenue, Interest, Expenditures, Ending Balance
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Beginning Balance 2,797,065$ 2,858,798$ 3,026,646$ 3,489,660$ 3,575,892$
Developer Fees 30,975$ 113,651$ 309,046$ 85,098$ 27,247$
Interest Income 34,599$ 66,427$ 65,569$ 25,560$ 18,355$
Gain (Loss) on Fair Value-GASB 31 16,181$ 11,002$ (17,336)$ (68,100)$
65,574$ 196,258$ 385,617$ 93,322$ (22,498)$
HCD Grant
Loan Proceeds 26,699$ -$ 90,000$ -$ 30,000$
Interest on Loan -$ -$ 22,387$ -$ 12,802$
Expenditures (30,540)$ (28,411)$ (34,989)$ (7,090)$ (49,048)$ (a)
Transfers out -$ -$ -$ -$ -$
Ending Fund Balance 2,858,798$ 3,026,646$ 3,489,660$ 3,575,892$ 3,547,149$
Part II – Compliance with expending funds within 5 years
Five Year Revenue Test Using First In First Out
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Current 65,574$ 196,258$ 385,617$ 93,322$ (22,498)$
Prior Year (2-Yrs Old) 258,212$ 65,574$ 196,258$ 385,617$ 93,322$
Prior Year (3-Yrs Old) 273,417$ 258,212$ 65,574$ 196,258$ 385,617$
Prior Year (4-Yrs Old) 57,767$ 273,417$ 258,212$ 65,574$ 196,258$
Prior Year (5-Yrs Old)63,693$ 57,767$ 273,417$ 258,212$ 65,574$
Greater Than 5 Prior FY 1,454,318$ 1,489,600$ 1,512,378$ 1,778,705$ 1,987,870$
Ending Balance 2,172,981$ 2,340,829$ 2,691,457$ 2,777,689$ 2,706,143$ (1)
Exclude Loan Proceeds 626,699$ 626,699$ 716,699$ 716,699$ 746,699$ (2)
Exclude Interest on Loan 59,118$ 59,118$ 81,505$ 81,505$ 94,307$ (2)
Exclude HCD grant -$ -$ -$ -$ -$
Ending Balance 2,858,798$ 3,026,646$ 3,489,660$ 3,575,892$ 3,547,149$
FY 2022-2023
Future Years
Commitments
Total
Commitments
% Funded with
Dev. Fee
Funding
Available Date
Merle (14) Self-Help 705,000$ -$ 705,000$ 100% Ongoing
Housing Mitigation -$ 1,250,000$ 1,250,000$ 100% Ongoing
Sands Apartments 180,000$ -$ 180,000$ TBD
ARC Village Development 250,000$ -$ 250,000$ TBD
Vitalia Apartments (10 Acre Affordable Dev)500,000$ 500,000$ TBD
Homebuyer Subsidies -$ 786,405$ 786,405$ 100% Ongoing (2)
1,135,000$ 2,536,405$ 3,671,405$
(a) FY21-22 Expenditure Details:AMOUNT
HOMEBUYER SUBSIDIES 30,000$
RICHARDS WATSON HSG MIT LGL SERVICE 15,020$
FIRST AMERICAN LTO-6144923 CVH 1,500$
NEW WEST LANDSCAPING-MERLE SELF HELP 2,500$
FED EX 29$
Total :49,048$
(2) Loan proceeds and interest from loans are program funds and are used to fund Homebuyer subsidies for programs
meeting the requirements.
The Housing Mitigation Fee is used to mitigate the low-income housing impacts caused by commercial and industrial
development. The fee is used to help construct or provide low-income housing assistance to employees, working within the
juridictional boundaries of the city, with affordable housing. The fee is based on: $1/sq. ft. – Commercial; $0.33/sq. ft. –
Industrial; $0.40/sq. ft. – Professional; $1,000/room – Resort Hotel; $620/Room Non-Resort.
Affordable Projects
(1) The Housing Mitigation Fees being held beyond the five years as described by AB1600. This fee is being collected for
the purpose of subsidizing housing cost as part of the City's program to provide affordable housing for low and very low
income households that have at least one employee working within the jurisdictional boundaries of the City.
Section B – Child Care Facility Fund 228
Brief description of the type of fee in the fund:
Part 1 – Fund Balance, Revenue, Interest, Expenditures, Ending Balance
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Beginning Balance 1,273,376$ 1,332,828$ 1,396,599$ 1,479,283$ 1,549,239$
Developer Fees 43,649$ 25,499$ 50,309$ 66,213$ 32,945$
Interest Income 15,803$ 31,126$ 27,992$ 10,992$ 6,823$
Gain (Loss) on Fair Value-GASB 31 7,146$ 4,384$ (7,249)$ (15,143)$
59,452$ 63,771$ 82,685$ 69,956$ 24,624$
Expenditures -$ -$ -$ -$ (900,000)$ (1)
Transfers out -$ -$ -$ -$ -$
Ending Fund Balance 1,332,828$ 1,396,599$ 1,479,283$ 1,549,239$ 673,863$
Part II – Compliance with expending funds within 5 years
Five Year Revenue Test Using First In First Out
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Current 59,452$ 63,771$ 82,685$ 69,956$ 24,624$
Prior Year (2-Yrs Old) 76,387$ 59,452$ 63,771$ 82,685$ 69,956$
Prior Year (3-Yrs Old) 175,924$ 76,387$ 59,452$ 63,771$ 82,685$
Prior Year (4-Yrs Old) 29,520$ 175,924$ 76,387$ 59,452$ 63,771$
Prior Year (5-Yrs Old)29,136$ 29,520$ 175,924$ 76,387$ 59,452$
Greater Than 5 Prior FY 962,409$ 991,545$ 1,021,065$ 1,196,989$ 373,376$ (2)
Ending Balance 1,332,828$ 1,396,599$ 1,479,283$ 1,549,239$ 673,863$
FY 2021-22
Carryover
Projects
Future
Years
Commitments
Total
Commitments
% Funded
with Dev. Fee
Funding
Available Date
Child Care Facilities 1,584,000$ TBD 1,584,000$ TBD Ongoing
1,584,000$ -$ 1,584,000$
(1) The City has entered into an operating covenant agreement with Bermuda Dunes Learning Center to use this
$900,000 to make improvements to accommodate 150 spaces for toddlers, preschoolers, and elementary-age
children at 47549 Highway 74, south of St. Margaret's Episcopal Church.
The City of Palm Desert is interested in providing funding, through impact fees for new child care homes and
centers, in order to meet some of the child care demand generated by employees and commercial uses in the
City. A nexus study was prepared and approved by the City Council in August 2005. Annually, the City considers
projects and any applicable budget requests to use these funds to create new facilities and equipment.
(2) This fee is being collected for land acquision and development of new child care facilities and therefore must
be retained until enough fees have been collected to start the project.
Section C – New Construction Tax Fee (Fund 231)
Brief description of the type of fee in the fund:
Part 1 – Fund Balance, Revenue, Interest, Expenditures, Ending Balance
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Beginning Balance 1,486,099$ 1,656,520$ 1,342,716$ 1,530,265$ 1,078,653$
Developer Fees 158,147$ 174,981$ 163,899$ 121,565$ 326,092$
Interest Income 12,274$ 27,570$ 28,575$ 5,444$ 2,094$
Gain (Loss) on Fair Value-GASB 31 -$ 6,845$ 5,099$ -$ (35,864)$
170,421$ 209,396$ 197,573$ 127,009$ 292,321$
CVAG-Reimbursed CV Link Project 12,083$ 5,141,123$ 1,681,840$
Expenditures -$ -$ (22,107)$ (5,719,744)$ (1,600,466)$ (a)
Write-off Advance to RDA -$ (523,200)$ -$ -$ -$
Ending Fund Balance 1,656,520$ 1,342,716$ 1,530,265$ 1,078,653$ 1,452,348$
Exclude Advance to RDA write-off:(654,000)$ (130,800)$ (130,800)$ (130,800)$ (130,800)$
1,002,520$ 1,211,916$ 1,399,465$ 947,853$ 1,321,548$
Part II – Compliance with expending funds within 5 years
Five Year Revenue Test Using First In First Out
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Current 170,421$ 209,396$ 197,573$ (4,193,270)$ (360,292)$ (1)
Prior Year (2-Yrs Old)204,788$ 170,421$ 209,396$ -$ -$
Prior Year (3-Yrs Old)228,499$ 204,788$ 170,421$ -$ -$
Prior Year (4-Yrs Old)208,723$ 228,499$ 204,788$ -$ -$
Prior Year (5-Yrs Old)190,089$ 208,723$ 228,499$ -$ -$
Greater Than 5 Prior FY 190,089$ 376,706$ -$ -$
Ending Balance 1,002,520$ 1,211,916$ 1,387,383$ (4,193,270)$ (360,292)$
CVAG- Reimburse CV Link -$ -$ 12,083$ 5,141,123$ 1,681,840$
Tie to ending balance on Fund Balance 1,002,520$ 1,211,916$ 1,399,465$ 947,853$ 1,321,548$
FY 2021-22
Carryover
Projects
Future Years
Commitments
Total
Commitments
% Funded with
Dev. Fee
Cooperative
Agreement
CV Link Connectors 2,249,907$ 1,000,000$ 3,249,907$ TBD
CV Link Enhancements -$ 500,000$ 500,000$ TBD
2,249,907$ 1,500,000$ 3,749,907$
(a) FY21-22 Expenditure Details:AMOUNT
GRANITE CONSTRUCTION - CV LINK CONSTR 1,296,943$
M. BAKER, INTERNATIONAL INC 6,825$
DHS CONSULTING LLC-CV LINK CONSULTANT 81,104$
KOA CORPORATION-CV LINK DESIGN 215,594$
Total :1,600,466$
(1) CVAG reimburses 100% of the CV Link project cost, excluding project design. The negative amount shown here is
before the CVAG reimbursement received. After the reimbursement, the remaining impact fee balance was $1,321,548.
Ending Balance of available Revenue:
Note: Not include interest on Advance
The New Construction Tax Fee is used for acquisition and development of public facilities like playgrounds, public
structures, and street improvements. Annually, the City Council approves a five-year Capital Improvement Program budget
that reflects current projects along with future committed projects utilizing these fees. The fee is based on: Industrial
Buildings $0.05/sq. ft.; Residential units $0.40/sq. ft.; all other development $0.40/sq. ft.
CVAG to
reimburse 100%
CVAG to
reimburse 95% of
Section D – Drainage Facility Fee (Fund 232)
Brief description of the type of fee in the fund:
Part 1 – Fund Balance, Revenue, Interest, Expenditures, Ending Balance
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Beginning Balance 1,997,999$ 1,592,857$ 1,617,655$ 664,009$ 707,674$
Developer Fees 7,330$ 38,855$ 18,020$ 61,455$ 43,295$
Interest 21,852$ 36,315$ 22,881$ 5,247$ 3,800$
Gain (Loss) on Fair Value-GASB 31 8,290$ (2,466)$ (3,563)$ (14,233)$
29,182$ 83,460$ 38,435$ 63,139$ 32,862$
Reimbursed from CVAG -$ -$ -$ -$ -$
Reimbursed from RDA -$ -$ -$ -$ -$
Expenditures (434,324)$ (58,663)$ (992,081)$ (19,474)$ -$
Transfers out
Ending Fund Balance 1,592,857$ 1,617,655$ 664,009$ 707,674$ 740,536$
Part II – Compliance with expending funds within 5 years
Five Year Revenue Test Using First In First Out
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Current 29,182$ 83,460$ 38,435$ 63,139$ 32,862$
Prior Year (2-Yrs Old) 48,726$ 29,182$ 83,460$ 38,435$ 63,139$
Prior Year (3-Yrs Old) 155,837$ 48,726$ 29,182$ 83,460$ 38,435$
Prior Year (4-Yrs Old) 13,372$ 155,837$ 48,726$ 29,182$ 83,460$
Prior Year (5-Yrs Old)21,313$ 13,372$ 155,837$ 48,726$ 29,182$
Greater Than 5 Prior FY 1,118,957$ 1,081,608$ 102,898$ 239,262$ 287,988$ (1)
Ending Balance 1,387,387$ 1,412,185$ 458,539$ 502,204$ 535,066$
Exclude Reimbursement:
Reimbursed from CVAG 105,235$ 105,235$ 105,235$ 105,235$ 105,235$
Reimbursed from RDA 100,235$ 100,235$ 100,235$ 100,235$ 100,235$
Tie to ending balance on Fund Balance 1,592,857$ 1,617,655$ 664,009$ 707,674$ 740,536$
FY 2021-
2022
Carryover
Future Years
Commitments
Total
Commitment
s
% Funded
with Dev.
Fee
Funding
Available
Date
-$ TBD TBD 12% Ongoing
-$ 239,262$ 239,262$ 100% Ongoing
-$ 239,262$ 239,262$
Gerald Ford Drive Drainage Line 3B
AKA: North Sphere Drainage
Section 29 and Gerald Ford Drive Regional
Detention Basins Improvements
The Drainage Facility Fee is used for the drainage needs created by the development and adjoining streets to a project.
The City has adopted a master drainage plan which gets modified as new development occurs. In addition, the City's
Capital Improvement Program budget includes both current and future projects planned for use of the fees connected to
the various development projects. Fees are based on which drainage map zone they reside within: Zone 1 fee is $4,000;
Zone 2 is $1,000; Zone 3 is $1,000; Zone 4 is $1,000. The map is available in the Public Works Department upon
request.
(1) The Drainage Fees are being held beyond the five years as described by AB1600. This fee is being collected for the
construction of drainage in the drainage map zones and therefore must be retained until enough fees have been collected
to start construction of the project.
Section E– Park & Recreation Fee (Fund 233)
Brief description of the type of fee in the fund:
Part 1 – Fund Balance, Revenue, Interest, Expenditures, Ending Balance
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Beginning Balance 1,448,171$ 1,416,407$ 1,662,454$ 1,588,447$ 1,599,065$
Developer Fees 24,179$ 247,187$ 4,453$ 10,443$ 133,411$
Refund Developer Fees (7,125)$ -$ -$ -$ -$
Interest 17,882$ 36,237$ 32,590$ 11,526$ 8,620$
Gain (Loss) on Fair Value-GASB 31 8,485$ 4,058$ (8,102)$ (32,465)$
34,936$ 291,909$ 41,101$ 13,867$ 109,566$
Expenditures (66,700)$ (45,862)$ (115,108)$ (3,249)$ -$
Transfers out
Ending Fund Balance 1,416,407$ 1,662,454$ 1,588,447$ 1,599,065$ 1,708,631$
Exclude Insurance reimb:
Insurance reimb. playground (33,570)$ (33,570)$ (33,570)$ (33,570)$ (33,570)$
Reimburse playground equipment (164,713)$ (164,713)$ (164,713)$ (164,713)$ (164,713)$
Insurance reimb. damage (159,113)$ (159,113)$ (159,113)$ (159,113)$ (159,113)$
SARDA reimb shade structure (15,896)$ (15,896)$ (15,896)$ (15,896)$ (15,896)$
Ending Balance 1,043,115$ 1,289,162$ 1,215,155$ 1,225,773$ 1,335,339$
Part II – Compliance with expending funds within 5 years
Five Year Revenue Test Using First In First Out
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Current 34,936$ 291,909$ 41,101$ 13,867$ 109,566$
Prior Year (2-Yrs Old) 322,198$ 34,936$ 291,909$ 41,101$ 13,867$
Prior Year (3-Yrs Old) 309,926$ 322,198$ 34,936$ 291,909$ 41,101$
Prior Year (4-Yrs Old) 84,574$ 309,926$ 322,198$ 34,936$ 291,909$
Prior Year (5-Yrs Old) 188,365$ 84,574$ 309,926$ 322,198$ 34,936$
Greater Than 5 Prior FY 103,116$ 245,618$ 215,084$ 521,761$ 843,959$ (1)
Ending Balance 1,043,115$ 1,289,162$ 1,215,155$ 1,225,773$ 1,335,339$
FY 2021-22
Carryover
Projects
Future Years
Commitments
Total
Commitment
s
% Funded with
Dev. Fee
Funding
Available Date
1,000,000$ TBD 1,000,000$ 100% Ongoing
Installation of Outdoor Fitness Facilities 250,000$ TBD 250,000$ 100% Ongoing
1,250,000$ -$ 1,250,000$
Dinah Shore Park (North Sphere) - Future
Improvements
(1) The Park & Recreation Fees are being held beyond the five years as described by AB1600. This fee is being collected
for the purpose of developing new or rehabilitation of existing park or recreational facilities to serve the community.
The fee is used to acquire land, construct parks, recreational areas, open space, and other public facilities for the city
residents. Annually, the City Council adopts a Capital Improvement Program Budget detailing the current and future
projects necessary for use of the fee. The fee is charged to residential properties based on the following formula: Number
of units x 2.292 (people per household) x 5 acres divided by 1,000 population x land market value per acre.
Section F – Traffic Signalization Fee (Fund 234)
Brief description of the type of fee in the fund:
Part 1 – Fund Balance, Revenue, Interest, Expenditures, Ending Balance
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Beginning Balance $ 389,674 $ 410,318 $ 496,178 $ 417,052 $ 436,491
Developer Fees 16,512$ 91,274$ 29,677$ 18,467$ 8,400$
Interest Income 4,912$ 9,965$ 9,682$ 3,062$ 2,259$
Gain (Loss) on Fair Value-GASB 31 2,537$ 765$ (2,090)$ (8,400)$
21,424$ 103,775$ 40,124$ 19,439$ 2,259$
Expenditures (780)$ (17,915)$ (119,250)$ -$ -$
Transfers out -$ -$ -$ -$ -$
Ending Fund Balance 410,318$ 496,178$ 417,052$ 436,491$ 438,750$
Part II – Compliance with expending funds within 5 years
Five Year Revenue Test Using First In First Out
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Current 21,424$ 103,775$ 40,124$ 19,439$ 2,259$
Prior Year (2-Yrs Old) 38,654$ 21,424$ 103,775$ 40,124$ 19,439$
Prior Year (3-Yrs Old) 103,710$ 38,654$ 21,424$ 103,775$ 40,124$
Prior Year (4-Yrs Old) 17,722$ 103,710$ 38,654$ 21,424$ 103,775$
Prior Year (5-Yrs Old) 228,808$ 17,722$ 103,710$ 38,654$ 21,424$
Greater Than 5 Prior FY -$ 210,893$ 109,365$ 213,075$ 251,729$ (1)
Ending Balance 410,318$ 496,178$ 417,052$ 436,491$ 438,750$
FY 2021-2022
Carryover
Projects
Future Years
Commitments
Total
Commitment
s
% Funded
with Dev. Fee
Funding
Available Date
225,000$ 75,000$ 300,000$ 100% Ongoing
-$ 235,075$ 235,075$ 100% Ongoing
225,000$ 310,075$ 535,075$
Market Place Drive and Cook Street
Signal Improvement
Traffic Signal Hardware Upgrade
increased load capacity
The fee is used for acquisition and development of the regional traffic signals within the City created by increased
traffic load added by the development. Yearly, the City Council adopts a five-year Capital Improvement Plan detailing
the current and future projects necessary for use of the fee. The fee is charged based on the type of building
constructed, which is: Residential $ 50 per unit; Commercial $500 per 1,000 sq. ft.; Industrial $500 per acre.
(1) The Traffic Signalization Fee being held beyond the five-years as described by AB1600. The use of the fee is
contingent on development growth and will be used to install and develop regional traffic signals as the traffic load
increases.
Section G – Fire Facility Fund (235)
Brief description of the type of fee in the fund:
Part 1 – Fund Balance, Revenue, Interest, Expenditures, Ending Balance
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Beginning Balance 1,073,087$ 1,108,171$ 1,153,479$ 1,212,787$ 1,261,388$
Developer Fees 21,766$ 13,655$ 32,713$ 45,624$ 125,925$
Interest Income 13,318$ 25,750$ 23,043$ 8,943$ 6,708$
Gain (Loss) on Fair Value-GASB 31 5,903$ 3,552$ (5,966)$ (25,936)$
35,084$ 45,308$ 59,308$ 48,601$ 106,698$
Expenditures -$ -$ -$ -$ -$
Transfers out -$ -$ -$ -$ -$
Ending Fund Balance 1,108,171$ 1,153,479$ 1,212,787$ 1,261,388$ 1,368,086$
Part II – Compliance with expending funds within 5 years
Five Year Revenue Test Using First In First Out
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022
Current 35,084$ 45,308$ 59,308$ 48,601$ 106,698$
Prior Year (2-Yrs Old) 41,063$ 35,084$ 45,308$ 59,308$ 48,601$
Prior Year (3-Yrs Old) 53,168$ 41,063$ 35,084$ 45,308$ 59,308$
Prior Year (4-Yrs Old) 43,193$ 53,168$ 41,063$ 35,084$ 45,308$
Prior Year (5-Yrs Old) 107,570$ 43,193$ 53,168$ 41,063$ 35,084$
Greater Than 5 Prior FY 828,093$ 935,663$ 978,856$ 1,032,023$ 1,073,086$ (1)
Ending Balance 1,108,171$ 1,153,479$ 1,212,787$ 1,261,388$ 1,368,086$
FY 2021-22
Carryover
Projects
Future Years
Commitments
Total
Commitments
% Funded with
Dev. Fee
Funding
Available Date
North Sphere Fire Station 1,223,471$ -$ 1,223,471$ TBD On going (2)
(2) North Sphere Fire Station is expected to cost $12,000,000.
The City of Palm Desert is interested in providing funding, through impact fees for a new Fire Station and
equipment, in order to meet some of the new commercial and residential development in the northern half of the
City. A Nexus study was prepared and approved by City Council in June 2006. The fee is calculated as follows:
Commercial development rate is $0.22 per square foot, industrial/office rate is $0.20 per square foot, and
residential development would be based on a $2,262 per acre depending on density of units built or $709 per
single residence. Annually, the City will adopt a budget to use these funds to create new facilities and
equipment.
(1) The Fire Facilities Fee being held beyond the five years as described by AB1600. This fee is being collected
for the purpose of construction of a new North Sphere Fire Station necessary to serve the growing population
within the North sphere of Palm Desert and therefore must be retained until enough fees have been collected to
start contruction of the project.