HomeMy WebLinkAboutCC RES 2011-86RESOLUTION NO. 2011- 86
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, TO MAKE CERTAIN FINDINGS PURSUANT
TO CALIFORNIA GOVERNMENT CODE SECTION 66001
WHEREAS, the City of Palm Desert is required to make certain findings every
five years with respect to the unexpended fund balance of certain development fee
funds pursuant to California Government Code Section 66001; and
WHEREAS, the information to make the required findings can be found in the
Annual Report Calculation, in the 2011-2012 Capital Improvement Program, the original
ordinance adopting the fees filed with the City Clerk; and
WHEREAS, the City Council has approved a master drainage plan, a general
plan for parks and a regional traffic signal plan that demonstrates the purpose of the fee
being charged; and
WHEREAS, these findings need to be made in conjunction with the public
information required in Code Section 66006.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm
Desert, California, as follows:
1. That the above recitations are true and correct.
2. That the following findings are made as required under the Government Code
Section 66006:
a. That the purpose to which the developer fee is to be put has been
identified.
b. That a reasonable relationship has been demonstrated between the
fee and the purpose for which it is charged.
c. That all sources and amounts of funding anticipated to complete
financing on incomplete improvements have been identified.
d. That the approximate dates on which the funding referred to above is
expected to be deposited into the appropriate fund have been
designated.
Page 1 of 2
Resolution No. 2011- 86
3. That these findings are based on information provided in the City of Palm
Desert Annual Development Impact Report, Operating Budget and Capital
Improvement Program 2011-2012 and master plans for improvements, which
is incorporated herein by reference.
PASSED, APPROVED AND ADOPTED at the regular meeting of the Palm
Desert City Council held on this 10th day of November 2011, by the following vote, to
wit:
AYES: FINERTY, HARNIK, KROONEN, SPIEGEL, and BENSON
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
s4��-C.�' CZ
��.. JEAN M. BENS OfN t#61OR
RA LE D. KLASSEN, JCITY CLERK
CITY OF PALM DESERT, CALIFORNI�
Page 2 of 2
Annual Report
of Calculation of Government Code 66006
Development Impact Fees for the City of Palm Desert
for Fiscal Year ending June 30, 2011
Government Code Section 66006 requires local agencies to submit annual and five-year
compliance reports detailing the status of development impact fees. The annual report must be
made available to the public and presented to the public agency (City Council) at least fifteen days
after it is made available to the public.
This report summarizes the following information for each of the development fee programs:
1. A brief description of the fee program.
2. Schedule of fees.
3. Beginning and ending balances of the fee program.
4. Amount of fees collected and the interest earned.
5. Disbursement information and percentage funded by fees, including operating transfers.
6. Five year compliance testing of unexpended fees and future capital project commitments to
expend the funds.
The fee programs included in this report are the following:
Section A — Transportation Uniform Mitigation Fee
Section B — Housing Mitigation Fee
Section C — New Construction Tax Fee
Section D — Drainage Facility Fee
Section E — Fringe -toed Lizard Fee/ MSHCP
Section F — Park & Recreation Fee
Section G — Traffic Signalization Fee
Section H — Art In Public Places Fee
Section I —A.I.P.P. Maintenance Fund
Section J — Child Care Facility Fund
Section K — Fire Facility Fund
Page 1 of 12
Section A — Transportation Uniform Mitigation Fee (T.U.M.F.)
The TUMF program is collected by the City and administered by the Coachella Valley Association
of Governments (CVAG). The City of Palm Desert collects the fee based on an ordinance
adopted by City Council based on type of building usage and vehicles generated by the residential
or commercial activity on city streets. The fee is remitted to CVAG on a monthly basis to be
disbursed regionally for street widening projects determined yearly through the CVAG Capital
Project Program Budget. The fee for residential building is $1,837.44, and all commercial
buildings are based on the attached formula and data sheet schedule which varies from project to
project (per the established ordinance).
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions
Transfers In
Total Sources
Expenditures & Other Uses:
Capital Projects (Paid to CVAG)
Transfers Out
Beginning Fiscal Year
Fund Balance 2010-11
$269,770
269,770
269,770
Ending
Fund Balance
Total Uses j 269,770 1 1
Total Available 1- 0 - - 0 - 1 0 1
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Revenues Collected from FY 2010-2011
June 30, 2011
269,770
Total Ending Fund Balance - 0 -
Result: Five-year spent test met in accordance
With Government Code Section 66001
Capital Improvement
Projects
CVAG Payments
FY 2010-2011
269,770
% Complete
% Funded with Fee
100% 100%
Page 2 of 12
Section B— Housing Mitigation Fee (Fund 214)
The Housing Mitigation Fee is used to mitigate the low-income housing impacts caused by
commercial and industrial development through constructing or providing low-income housing
assistance to Palm Desert residents. An annual and five-year Low-income Housing Needs
Report/Plan is compiled to assess the needs within the city. The fee is based on $1/sq. ft. —
Commercial; $0.33/sq. ft. — Industrial; $0.40/sq. ft. — Professional; $1,000/room — Resort Hotel;
and $620/Room Non -resort.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions (State Grant) Neighbor
Stabilization Program
Transfers In (Note Receivable)
Total Sources
Expenditures & Other Uses:
Capital Projects
Transfers Out to Low -Income Housing
Total Uses
Total Available
Beginning Fiscal Year Ending
Fund Balance 2010-11 Fund Balance
2,129,102
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Revenues Collected from FY 2006-2007
Revenues Collected from FY 2007-2008
Revenues Collected from FY 2008-2009
Revenues Collected from FY 2009-2010
Revenues Collected from FY 2010-2011
Total Ending Fund Balance
Result: Five-year spent test met in accordance
with Government Code Section 66001 (Two-year
balance)
Capital Improvement
Projects
Low -Income Housing
Project (Falcon/La
Rocca Apartments)
FY 2010-2011
302,088
June 30, 2011
1,064,110
1,214,744
2,309,418
175,553
583,696
2,410,710
15,759
32,406
325,531
210,000
583,696
302,088
302,088
281,605
Five-year
Future Commitments
Working on Design &
Land Purchase
500,000
2,410,710J
% Funded with Fee
100%
Page 3 of 12
Section C — New Construction Tax Fee (Fund 231)
The New Construction Tax Fee is used for acquisition and development of public facilities such as
playgrounds, public structures, and street improvements. The City Council annually approves a
five-year Capital Improvement Budget that reflects current projects along with future committed
projects utilizing these fees. The fee for Industrial Buildings is $0.05/sq. ft.; Residential units' fee
is $0.40/sq. ft.; all other development $0.40/sq. ft.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Prior Yr Adjustment
Transfers In from General Fund -LOAN
Total Sources
Expenditures & Other Uses:
Capital Projects
Transfers Out
Total Uses
LTotal Available
Beginning
Fund Balance
Fiscal Year Ending
2010-11 Fund Balance
1,122,373
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Revenues Collected from FY 2006-2007
Revenues Collected from FY 2007-2008
Revenues Collected from FY 2008-2009
Revenues Collected from FY 2009-2010
Revenues Collected from FY 2010-2011
Total Ending Fund Balance
Result: Five-year spent test met in accordance
with Government Code 66001 (Two-year balance)
Capital Improvement FY 2010-2011
Projects
ADA Retrofit
Parking Lot
*Repayment of General
Fund
Sheriff Substation
PS Art Museum
ADA Curb
89,151
58,000
June 30, 2011
597,098
344,582
398,829
112,873
148,811
1,124, 033
Five-year
129,262
19,549
148,811
147,151
147,151
1,660 1,124,033
Future Commitments
433,650
350,000
70,000
100,000
% Funded with Fee
100%
100%
100%
100%
100%
20%
Page 4 of 12
Section D — Drainage Facility Fee (Fund 232)
The Drainage Facility Fee is used for planned local drainage created by a development and
adjoining streets to the project. The City has adopted a master drainage plan which is modified as
new development occurs. In addition, the five-year City Capital Improvement Budget includes
both current and future projects planned for use of the fees connected to the various development
projects. Fees are based upon the drainage map zone within which they are located: 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 through the
Public Works Department upon request.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions from CVAG
Total Sources
Expenditures & Other Uses:
Capital Projects
Total Uses
1
1 Total Available
Beginning Fiscal Year
Fund Balance 2010-11
5,430,898
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Revenues Collected from FY 2006-2007
Revenues Collected from FY 2007-2008
Revenues Collected from FY 2008-2009
Revenues Collected from FY 2009-2010
Revenues Collected from FY 2010-2011
Total Ending Fund Balance
Result: Five-year spent test is over the limit by
$2,746,801. However, City has budgeted capital
projects ($4,936,811) well above the excess that
will be completed within 24 months from 6/30/11
which will comply with Government Code 66001.
Capital Improvement FY 2010-2011
Projects
Portola Ave Drainage
North Sphere -
Drainage (ADA)
Country Club Drive 210,470
Frank Sinatra/Portola 1,457,758
Hwy 111 Non -State
7,050
37,872
205,470
250,392
1,668,228
Ending
Fund Balance
1,668,228 1
(1,417,836) 1 4,013,062 1
June 30, 2011
395,204
310,925
168,043
141,697
250,392 Total=1,266,261
4,013,062-1,266,261=2,746,801
Five-year % Funded with Fee
Future Commitments
100%
1,852,188 100%
1,741,605 -Const. 100%
3,095,200 -Const. 100%
100,000 -Design 100%
Page 5 of 12
Section E — Fringe -toed Lizard Fee / Wildlife Mitigation (MSHCP)
This fee is collected in connection with environmental agreements relative to endangered plants
and wildlife with State and Federal environmental agencies. The fee is collected, placed into a
Trust, and remitted monthly to the Center for Natural Lands Management to be used to acquire
open space land for various plants and wildlife preserves. The new fee is $1,284 per acre.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions
Transfers In
Total Sources
Expenditures & Other Uses:
Capital Projects
(paid to CV Conservation)
Transfers In
Total Uses
Total Available
Beginning Fiscal Year
Fund Balance 2009-10
-0-
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Revenues Collected from FY 2006-2007
Revenues Collected from FY 2007-2008
Revenues Collected from FY 2008-2009
Revenues Collected from FY 2009-2010
Revenues Collected from FY 2010-2011
Total Ending Fund Balance
June 30, 2011
Result: Five-year spent test met in accordance
With Government Code Section 66001
-0-
- 0-
- 0-
- 0-
- 0-
-0-
82,870
82,870
82,870
Ending
Fund Balance
82,870
0- 0
Capital Improvement FY 2010-2011 Five-year
Projects Future Commitments
Payment to Coachella 82,870 -0-
Valley Conservation
Committee
% Funded with Fee
100%
Page 6 of 12
Section F — Park & Recreation Fee (Fund 233)
The fee is used to acquire land, construct parks and recreational areas, open space, and other
public facilities for city residents. The City Council annually adopts a five-year Capital
Improvement Plan detailing the current and future projects necessary for use of the fee. The fee
is only charged to residential properties based on the following formula: Number of units x 2.292
(people per household) x 5 acres - 1000 (population) x land market value per acre.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions (Insurance Settlement)
Transfers In
Total Sources
Expenditures & Other Uses:
Capital Projects
Transfers In
Total Uses
Beginning
Fund Balance
Total Available 1,755,053
Part II — Compliance with Expending Funds within
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Revenues Collected from FY 2006-2007
Revenues Collected from FY 2007-2008
Revenues Collected from FY 2008-2009
Revenues Collected from FY 2009-2010
Revenues Collected from FY 2010-2011
Total Ending Fund Balance
Result: Five-year spent test met in accordance
With Government Code 66001 (1 Years)
Capital Improvement Projects
*Civic Center Amphitheater & Park Improvements
New Community Center Design
Hiking Trail
Park Improvements (various parks)
All Playground Upgrade to meet new ADA
Mid Valley Parkway bike path
Aquatic Center
Fiscal Year
2010-11
Five Years
June 30, 2011
1,896,904
210,664
226,960
42.757
78,073
1,395,193
FY 2010-
2011
170,601
267,332
67,305
10,768
78,073
437,933
437,933
(359,860) 1
Ending
Fund Balance
1,395,193
Five-year % Funded
Future with Fee
Commitments
209,860 100%
50%
25%
880,000 50%
Page 7 of 12
Section G — Traffic Signalization Fee (Fund 234)
The fee is used for acquisition and development of the regional traffic signals in Palm Desert
created by increase traffic load added by the development. The City Council annually 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 as follows:
Residential $50 per unit; Commercial $500 per 1,000 sq. ft.; Industrial $500 per acre.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions
Transfers In
Total Sources
Expenditures & Other Uses:
Capital Projects
Transfers Out (Traffic Signal payout of
Measure A Fund — Reimbursement for
Traffic Signals
Total Uses
Total Available
Beginning Fiscal Year Ending
Fund Balance 2010-11 Fund Balance
6,484
4,425
129,587
140,496
328,463
328,463
725,250 (187,967)
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance June 30, 2011
Revenues Collected from FY 2006-2007 374,812
Revenues Collected from FY 2007-2008 137,663
Revenues Collected from FY 2008-2009 70,972
Revenues Collected from FY 2009-2010 38,342
Revenues Collected from FY 2010-2011 140,496
Total Ending Fund Balance
Result: Five-year spent test met in accordance 537,283
With Government Code 66001 (3 1/2 Years)
Capital Improvement
Projects
Frank Sinatra
Fred Waring Modification
Signal Coordination
FY 2010-2011
237,352
1,171
89,940
537,283
Five-year % Funded with Fee
Future Commitments
783,426
100%
100%
100%
Page 8 of 12
Section H — Art In Public Places Fee (Fund 436)
The fee is used to acquire, develop, install and maintain artwork to be displayed in the city (City
owned land), the administration of the program and community public art education programs.
The City has an Art in Public Places committee that meets monthly to decide both location and
type of art that will be placed throughout the City. Developers may choose to place and develop
art within their project site without paying a fee to the City. Yearly the City Council adopts a five-
year Capital Improvement Plan and administration plan detailing the current and future projects
necessary for use of the fee.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions
Total Sources
Expenditures & Other Uses:
Capital Projects/Administration of Project
Transfers Out — AIPP Maint Fund per Ord
Total Uses
Total Available
Beginning
Fund Balance
2,098,556
Fiscal Year Ending
2010-11 Fund Balance
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Revenues Collected from FY 2006-2007
Revenues Collected from FY 2007-2008
Revenues Collected from FY 2008-2009
Revenues Collected from FY 2009-2010
Revenues Collected from FY 2010-2011
Total Ending Fund Balance
Result: Five-year spent
With Government Code
Capital Improvement
Administration
Prof. Architecture/Eng
Art Work —El Paseo
Art/Placement/Purchase
AIPP Maintenance 1%
test met in accordance
66001 (3 Years)
FY 2010-2011
277,769
4,848
57,425
55,256
42,877
38,068
14,856
133
53,273
438,175
-0-
438,175
(384,902)
June 30, 2011
923,567
412,842
378,299
122,440
53,273
1,713.654
Future Commitments
100,000
1,713,654
% Funded with Fee
60%
100%
100%
100%
100%
Page 9 of 12
Section I — A.I.P.P. Maintenance Fund (Fund 240)
A portion of the Art in Public Places fee is used to cover the annual maintenance of all art placed
in Palm Desert public locations. The City of Palm Desert placed General Fund cash within the
fund in the amount of $300,000 to be used as a loan in order to have funds available to
adequately maintain the Artwork until sufficient funds are collected to cover the yearly costs.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions (Damage Restitution)
Transfers In
Total Sources
Expenditures & Other Uses:
Maintenance of Art Work
Transfers Out
Beginning
Fund Balance
Fiscal Year Ending
2010-11 Fund Balance
-0-
-0-
-0-
1 Total Uses 1 -0- 1
1 Total Available -0- 1 -0- 1
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Loan from General Fund — Transfer In
Revenues Collected from FY 2010-2011
June 30, 2011
$300,000 Loan from General Fund
Total Ending Fund Balance -0-
Result: Five-year spent test met in accordance
With Government Code 66001
Capital Improvement
Projects
Maintenance of Art
FY 2010-2011
Five-year
Future Commitments
-0- 100%
-0-
% Funded with Fee
Page 10 of 12
Section J — Child Care Facility Fund 228
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 City Council in August
2005. Yearly, the City adopts a budget to use these funds to create new facilities and equipment.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions
Transfers In
Total Sources
Expenditures & Other Uses:
Design, Construction & Equip
(Wallaroo)
Transfers Out
Total Uses
Total Available
Beginning
Fund Balance
1
1
1,565,680
Fiscal Year Ending
2010-11 Fund Balance
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Loan from General Fund — Transfer In
Revenues Collected from FY 2006-2007 766,590
Revenues Collected from FY 2007-2008 257,680
Revenues Collected from FY 2008-2009 212,717
Revenues Collected from FY 2009-2010 120,213
Revenues Collected from FY 2010-2011 29,845
June 30, 2011
Total Ending Fund Balance 1,489,707
Result: Five-year spent test met in accordance
With Government Code 66001 (Five years)
19,232
10,613
29,845
105,818
105,818
(75,973) 1,489,707
Capital Improvement FY 2010-2011 Five-year % Funded with Fee
Projects Future Commitments
Land Purchase(Spanish) 100,923 1,340,000 (Land & New Fac) 100%
Wallaroo Center 4,895
Attempting to locate land and facility to acquire.
Page 11 of 12
Section K — Fire Facility Fund (235)
The City of Palm Desert is interested in providing funding, through impact fees, for new Fire
Station and equipment in order to meet the needs of 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 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. Yearly, the City will adopt a budget to use these funds to
create new facilities and equipment.
Part 1 — Fund Balance, Revenue, Interest, Expenditures, Ending Balance
Account Description
Revenues & Other Sources:
Developer Fee
Interest Income
Contributions
Transfers In
Beginning Fiscal Year Ending
Fund Balance 2010-11 Fund Balance
48,460
4,465
Total Sources 52,925
Expenditures & Other Uses:
Design, Construction & Equipment -0-
Total Uses
Total Available
644,560 52,925 697,485
Part II — Compliance with Expending Funds within Five Years
Five-year Revenue Test
Using First In First Out Method
Unspent Funds Represents Ending Fund Balance
Loan from General Fund — Transfer In
Revenues Collected from FY 2006-2007 235,604
Revenues Collected from FY 2007-2008 118,306
Revenues Collected from FY 2008-2009 130,326
Revenues Collected from FY 2009-2010 29,954
Revenues Collected from FY 2010-2011 52,925
Total Ending Fund Balance 697,485
Result: Five-year spent test met in accordance
With Government Code 66001 (Five-year balance)
June 30, 2011
Capital Improvement FY 2010-2011 Five-year % Funded with Fee
Projects Future Commitments
New Fire Station - 0 - 3,504,271 50%
Land Purchase 100%
Land acquired, preliminary design complete, awaiting development prior to building facility. City
budget could not support new facility.
Page 12 of 12