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HomeMy WebLinkAboutRes 2014-105 - Dvlpmnt Impact Fees CITY OF PALM DESERT FINANCE DEPARTMENT STAFF REPORT Request: Adoption of Resolution No. 2014- 105 making certain findings pursuant to Government Code Section 66001 relative to the Annual Report of Calculation of Government Code Section 66006, Development Impact Fees for the City of Palm Desert Submitted by: Paul S. Gibson, Finance Director Date: December 11, 2014 Contents: Resolution making certain findings pursuant to Government Code Section 66001 Annual Report of Calculation of Government Code Section 66006 Capital Improvement Program FY 2014-2015 Recommendation By Minute Motion, that the City Council: 1. Receive public testimony on annual report and findings; and 2. Adopt Resolution No. 2014- 105 making certain findings pursuant to California Government Code Section 66001 and 66006. Backqround Following the passage of Proposition 13 in 1978, many cities began charging fees on new development to fund public improvements and services such as streets, traffic signals, parks, drainage, housing and art in public places. These fees are commonly known as development impact fees. In order to ensure that these fees were spent in a timely manner and on projects for which they were being collected, the State Legislature passed a bill known as AB 1600 (Mitigation Fee Act). This bill applies to developer fees, increased or imposed on or after January 1, 1989. AB 1600 enacts Government Code Sections 66000-66008 that generally contain four requirements: 1. A Iocal jurisdiction must follow the process set forth in the bill and make certain determinations regarding the purpose and use of the fees, and establish a "nexus" or connection between a development project or class of project and the public improvement being financed with the fee. 2. The fee must be segregated from the general fund in order to avoid commingling of public improvement fees and the general fund. Resolution No. 2014-105 Staff Report Adoption of Resolution relative to Government Code Section 66001 — Development Impact Fees December 11, 2014 Page 2 of 4 3. If a local jurisdiction has had possession of a developer fee for five years or more and has not committed that money to a project or actually spent that money, then it must make findings describing the continuing need for that money. In addition, an annual report must be made of fees collected, interest earned, projects on which fees were expended, and any transfers or loans from the fee account. This report is to be reviewed by the local agency assessing the fees. 4. If a local jurisdiction cannot make the findings required under paragraph 3, the city must refund the fees collected. The Transportation Uniform Mitigation Fee, Housing Mitigation, New Construction Tax, Drainage Faciliry, Fringe-toed Lizard, Park & Recreation Fee, Traffic Signalization Fee, Art in Public Places Fee, AIPP Maintenance, Child Care Facility and Fire Facility Fund fees that the Ciry collects, qualify as development impact fees. Therefore, these fees must comply with the above-referenced Government Code Sections. Government Code Section 66001 requires the City to make available to the public certain information regarding development impact fees for each fund within 180 days after the end of the each fiscal year. Expenditures of the fees collected must occur within a five-year period. The annual report attached hereto reflects the required information to conform to Government Code Sections 66001 and 66006. Originally when the fees were adopted the Ordinance/staff reports contained the necessary Nexus findings to establish each of the fees. The fees are used to assist the City in handling the increased population affecting Palm Desert on our streets, traffic signals, parks, public facilities like City Hall, housing needs for low-income housing, public art and mitigation fees to protect environmental plants and wildlife due the new development. Each fee is held in a separate fund and the report shows the fees collected and interest earned along with the expenditures paid. Lastly, the report shows the fees collected up to the five year requirement and compares it to the fund balance to verify that the fees were spent within those five years. The Building Industry Association (BIA) has been provided a copy of this report. The following are the fees that exceeded the five-year expenditures test: New Construction Tax, Housing Mitigation Fee, Drainage Facility Fee, Park and Recreation Fee, Art in Public Places, Child Care Facility and Fire Facility. All of these fees have current capital improvement budgeted projects (copy of capital budgets attached) which would bring the fees under the five-year test and will be spent within one to two years dependent on State, local and design issues. New Construction Tax Fee: The New Construction Tax Fee fund balance is $1,301,858 versus the five-year revenue collected of $849,415, and exceeds the five-year test by $452,443. The future projects scheduled to draw down these funds below the five-year test are the ADA Retrofit $100,000, Material Storage $100,000, Parking Lot Improvements $300,000 and PS Art Museum $70,000 for a total of $570,000. Housinq Mitiqation Fee: The Housing Mitigation Fund banlance is 2,424,158 versus the five-year revenue collected of $1,031,439, and exceeds the five-year test by $1,087,658. The future projects scheduled to Res'olution No. 2014-105 Staff Report Adoption of Resolution relative to Government Code Section 66001 — Development Impact Fees December 11, 2014 Page 3 of 4 draw down these funds below the five-year test are the Housing Subsidies $300,000, Neighbor Stabilization $300,000, and Low Income Housing of $1,072,030. Drainaqe Facilitv Fee: The Drainage Facility Fee fund balance is $2,592,605 versus the five-year revenue collected of $470,852, and exceeds the five-year test by $2,121,753. We currently have a drainage facility master plan that indicates the various projects that the fee is being collected to build. Unfortunately, the cost of installation of these projects requires a large fund balance to be accumulated prior to implementing the capital budget and must also be timed with other improvements occurring around these capital projects. The future projects scheduled to draw down these funds below the five-year test are the extension of Portola Drainage, Country Club Drive, Fred Waring Drainage, Frank Sintra and Gerald Ford for$6,157,565. Park and Recreation Fee: The Park and Recreation Fee fund balance is $1,201,756 versus the five-year revenue collected of $347,466, and exceeds the five-year test by $854,290. We currently have a Committee that recommends the improvements needed for the various parks that the fee is being collected to build. The future projects scheduled to draw down these funds below the five-year test are the Civic Center park improvements, hiking trails modifications, all playground equipment upgrades to comply with new ADA standards, Mid-Valley parkway bike path and the Aquatic Center equipment. The total budgeted for the various projects is $3,420,312 which exceeds the excess five-year fund balance. Traffic Siqnalization Fee: The Traffic Signalization fee fund balance is $307,497 versus the five-year revenue collected of $516,910, and exceeds the five-year test by $0. The future projects scheduled to draw down these funds below the five-year test are the Fred Waring and San Pasqual modification, Signal coordination, and vehicle speed feedback signs for at total of 956,306. Art in Public Places: The Art in Public Places fund balance is $1,435,597 versus the five-year revenue collected of $1,014,572, and exceeds the five-year test by $421,025. The future projects scheduled to draw down these funds below the five-year test are the artwork on EI Paseo, art purchases, maintenance of art pieces, and administrative costs to oversee projects, for a total of $500,000. General Fund is covering 50%of the cost of Salaries 8� Benefits. Child Care Facilitv: The Child Care Facility fund balance is $1,491,881 versus the five-year revenue collected of $227,231, and exceeds the five-year test by $1,264,650. The future projects scheduled to draw down these funds below the five-year test are the purchase of land and creation of a new center for a total of $1,497,650. City is in the process of acquiring land at San Pablo and Fred Waring. ' Resolution No. 2014-105 Staff Report Adoption of Resolution relative to Government Code Section 66001 - Development Impact Fees December 11, 2014 Page 4 of 4 Fire Facilitv Fund: The Fire Facility fund balance is $935,874 versus the five-year revenue collected of $321,268, and exceeds the five-year test by $614,606. The future project scheduled to draw down these funds below the five-year test is the construction of a new fire station for which the land has been dedicated next to the UCR campus. The new station is estimated to cost approximately $10,679,195 with roughly 50% of the funds coming from this fee. Staff expects the fee to reach approximately $3,000,000 in 3 to 5 years, depending on development. The remaining balance of the station cost was originally budgeted from redevelopment funding prior to elimination of redevelopment agencies by the State. This elimination coupled with the housing construction slowdown has forced the City to wait for housing to be built in the north sphere prior to bidding the project. Staff recommends that City Council adopt a resolution finding that the City has complied with the five-year test under Government Code Section 66006. The attached resolution outlines the findings and should be utilized in conjunction with the Annual Report and the Capital Improvement Budget for FY 2014-2015. Fiscal Analvsis: Since these findings have been made and the City is in compliance with the Code, no refunds are required. There is no fiscal impact associated with the action. Report was provided to the local Desert Builders Association and Riverside BIA. Submitted By: CITY COUNCILA ON APPROVED � DEN�ED RE EIVED OTHER G'� � , G DATE - �� Paul S. Gibson pyFs; CcI� I l,►t��,�j- Director of Finance/City Treasurer NOES: ABSENT: �- AI3STAIN: ApprovaL VERIFIED BY Original on File with City ' rk's Office �,�,� •�l�n+�G,titc/r,�,� John ohlmuth, City Manager Dave Erwin, City Attorney RESOLUTION NO. 2014- 105 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CQLIFORNIA, TO MAKE CERtAIN FINDINGS PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 66001 WHEREAS, the Ciry 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 2013-2014 & 2014-2015 Capital Improvement Program, the original ordinance adopting the fees file with the City Clerk; and WHEREAS, the Ciry Council has approved a master drainage plan, a general plan f4r parks and approved 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. 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 2014-2015 and master plans for improvements, which is incorporated herein by reference. Page 2 of 2 of Resolution No. 2014-105 PASSED, APPROVED AND ADOPTED at the regular meeting of the Palm Desert Ciry Council held on this day of 2014, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE KLASSEN, CITY CLERK SUSAN MARIE WEBER, MAYOR CITY OF PALM DESERT, CALIFORNIA . • Annual Report of Calculation of Government Code 66006 Development Impact Fees For the City of Palm Desert For Fiscal Year Ending June 30, 2014 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 informadon 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 eamed. 5. Disbursement information and percentage funded by fees,including operating transfers. 6. Five year compliance testlng of unexpended fees and future capital project commitments to expend the funds. The fee programs included in this report are the following: Section A-Transportatlon Uniform Mitlgation Fee Section B-Housing Mitigation Fee Section C-New Construction Tax Fee Section D-Drainage Facility Fee Section E-Multi Species Habitat Conservation Programn(MSHCP) Section F-Park&Recreation Fee Section G-Traffic Signalizat�on Fee SecGon H-AR In Public Places Fee Section I-A.I.P.P.Maintenance Fund Section J-Child Care Facility Fund Section K-Fire Facility Fund Cities Five Year Capital Improvement Budget is attached as a reference to future projects using existing cash balances for FY 2014-2015 through 2018-2019 S�ction A—Transportation Uniform Mitigation Fee (T.U.M.F.) The TUMF program is collected by the City and administer by the Coachella Valley Association of Govemment(CVAG). The City of Palm Desert collects the fee based on a Ordinance adopted by Ciry Council based on type of building usage and vehicles generated by the residential or commercial activity on City streets. The City monthly remits the fee to C.V.A.G.to be disbursed on a regional basis for street widening projects determine yearly by CVAG Capital Project Program Budget. Fee for residential is$1837.44 and all commercial buildinqs are based on attached formula and data sheet schedule which varies from project to project(per Part 1 —Fund Balance,Revenue,Interest,Expenditures,Ending Balance Fund 610-Trust Beginning Ending Fiscal Year 13-14 Account Description Fund Balance Fund Balance Revenues b Other Sources: Developer Fee 541,531 Interest Income COntributions Transfers In Total Sources 541,531 Exaenditures&Other Uses: Capital Projects(Paid to CVAG) 541,531 Transiers Out Total Uses 541,531 Total Available 0 0 0 Part II—Compliance with expending funds wkhin 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2013-2014 541,531 Total Ending Fund Balance -0- Result: Five year spent test met in accordance Wkh Government Code 66001 Capkal Improvement Projects Fiscal Year 13-14 9'o Comp/ete 9'e Funded wfth Fee CVAG Paytilents Sa1,531 /(��/0 100°l0 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. Used to help construct or provide low-income housing assistance with the City of Palm Desert residence. A yearly and five year Low Income Housing Needs Report/Plan is compile to access the needs within the City. 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. Part 1 -Fund Balance,Revenue,I�terest,Expenditures,Ending Balance Beginning Ending Fiscal Year 13-14 Account Description Fund Balance Fund Belance Revenues&Other Sources: Developer Fee 53,954 Interest Income 10,286 Contributions(State Grant)Prior Year Adjustment Neighbor Grant 0 Transfers In(Note Rec.) TotalSources 64,240 Expenditures&Other Uses: Capital Projects 125,850 Transfers Out to Low Income Housing Total Uses 125,850 Total Avatlable 2,485,768 -61,6f0 2,424,158 Part II-Compliance with expending funds within 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 175,553 Revenues Collected From FY 2010-2011 583,696 Revenues Collected From FY 2011-2012 154,052 Revenues Collected From FY 2012-2013 53,898 Total 5 Year Revenue= Revenues Collected From FY 2013-2014 64,240 1,031,439 Total Ending Fund Balance(52,010,000-Restricted HUD grant received 2,424,158 in FY 2008-2009) Less 5 Year Revenue -1,031,439 HUD Begin Grant Balance -305,061 Result:Five year spent test over the Iimft by 51,087,658 however,City has Budgeted capital projects(FY 2014-15-600,000 plus following year we will be budgeting another 600,000)well above 1,087,658 the excess that will be completed within 24 months from 6/30/14 which will comply with Government Code 66001 **Grant received from/State-Federal-restricted use timin unrestricted. Flve Year Capital Improvement Projects Flscal Year 13-14 %Funded wkh Fee Future Commitments Low Income Housing (Unfunded Projects-Housing) 0 1.072,030 I cx)�� Homebuyrr Subsidies` 60,000 300,U(Nl 10070 Neighlxx Stabilization' 65,A50 300,000 100�'e Section C- New Construction Tax Fee(Fund 231) The New Construction Tax Fee is used for acquisiNon and development o(public(acilities like playgrounds,public structures,and street improvements. Yearly the City Council approves a five year Capital Improvement Budget that reflects current projects along with future committed projects utilizing these fees. The fee is for Industrial Buildings$0.05/sq.ft.;Residential units'$0.40/sq.ft.;all other development$0.40/sq.ft. Part 1 —Fund Balance,Revenue,Interest,Expenditures,Ending Balance Beginning Ending Fiscal Year 13-14 Account Descriptton Fund Balance Fund Balance Revenues&Other Sources: Developer Fee 275,579 Interest Income 1961 Reimbursement 7,951 Total Sources 285,491 Exoenditures&Other Uses: Capital Projects 44,087 Total Uses 44,087 Total Available 1,060,454 241,404 1,301,858 Part II—Compliance with expending funds within 5 Years Five Year Revenue Test Using First In Ftrst Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 112,873 Revenues Collected From FY 2010-2011 148,811 Revenues Collected From FY 2011-2012 119,384 Revenues Collected From FY 2012-2013 182,856 Total 5 Year Revenue= Revenues Collected From FY 2013-2014 285,491 849,415 Total Ending Fund Balance 1,301,858 Less: 5 Year Revenue Collected -849,415 ResuR: Five year spent test over the Iimit by 5452,443 however,Cky has Budgeted capital projects 2014-2015(5570,000)well 452,443 above the excess that will be completed within 24 months from 6/30/14 which will comply with Government Code 66001. Five Year Capkal Improvement Projects Fiscal Year 13-14 Future Commftments(Capkal ProJects Approved Bud et) ADA Retrofit 44,087 100,000 �latrrial Storage 100,000 PS Art Muscum Upgrades 70,000 Parking Lot Improvrmcnb 300,000 510.000 Section D- Drainage Facility Fee(Fund 232) The Drainage Facility Fee is used tor planned local drainage created by the development and adjoining streets to the project. The City has adopted a master drainage plan which gets modi(y 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 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 with the public works department upon request. Part 1-Fund Balance,Revenue,Interest,Expenditures,Ending Balance Beginning Ending Fiscal Year 13-14 Account Description Fund Balance Fund Balance Revenues&Other Sources: Developer Fee 12,740 Interest Income 9,004 Adjust Fair Market Value-GASB 31 0 Total Sources 21,744 Exaenditures&Other Uses: Capital Projects 340,711 Total Uses 340,711 Total Available 2,230,150 362,455 2,592,605 Part II-Compliance with expending funds wkhin 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 141,697 Revenues Collected From FY 2010-2011 250,392 Revenues Collected From FY 2011-2012 gg��� Revenues Collected From FY 2012-2013 17,308 Total 5 Year Revenue= Revenues Collected From FY 2013-2014 21,744 470,852 Total Ending Fund Balance 2,592,605 Less:5 Year Revenue -470,852 Result: Five year spent test over the Ilmit by 52,121,753 however,City has Budgeted capttal projects(S6,157,565)well above the excess that will be completed within 24 months irom 6/30/14 which will comply wfth Government Code 66001. 2,121,753 Five Year Capital Improvement Projects Fiscel Year 13-14 Future Commitments(Capkal Projects Approved Budget) Fred Waring Drain 0 North Sphere-Drainage(ADA) 76,698 440,000.00 Nuisance Water 1,317,565.00 Frank Sinatra/Portola 264,013 Gerald Ford Drainage 4,400,000.00 6,157,565.00 Section E-Mulit Species Habitat Conservation Programn(MSHCP) This fee is collected in connection with environmental endanger plants 8 wildlife agreements with State and Federal environmental agencies. The fee is collected and placed into trust and remitted monthly to Coachella Valley Conservation commission to be used to acquire open space land to preserve for various plants and wildlife preserves.The new fee is$1284 per acre. Part 1—Fund Balance,Revenue,Interest,Expenditures,Ending Balance Beginning Ending Account Description Fund Balance Fiscal Year 13-14 Fund Balance Revenues&Other Sources: Developer Fee 17g,g37 Interest Income Contributions Transfers In Total Sources 178,937 Ex�enditures&Other Uses: Capital Projects (paid to CV Conservation) 17g,g37 Transfers In Total Uses �7g,g37 Total Available -0- 0 -0- Part II—Compliance with expending funds wkhin 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 - 0— Revenues Collected From FY 2010-2011 -0— Revenues Collected From FY 2011-2012 - 0— Revenues Collected From FY 2012•2013 -0- Revenues Collected From FY 2013-2014 -0- Total Ending Fund Balance -0- Resuft: Five yearspenttest metin accordance With Government Code 66001 Five Year Capital Improvement Projects Fiscal Year 13-14 %Funded wkh Fee Future Commitments Payment to C.V. 178.9�7 -0- 1 W�7o Conscrvation Comm. Section F— Park & Recreation Fee(Fund 233) The fee is used to acquire land,construct parks and recreadonal areas,open space,and other public facilities for the city residents. 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 only charged to residential properties based on the tollowing formula:Number of units x 2.292(people per household)x 5 acres divided by 1000 population x land market value per acre. Part 1 —Fund Balance,Revenue,Interest,Expenditures,Ending Balance Beginning Ending Fiscal Year 13-14 Account Descript(on Fund Balance Fund Balance Revenues&Other Sources: Developer Fee 100,611 Interest Income 5,006 Reimbursement(General Fund Contribution) 79,375 Total Sources 184,992 Exaenditures&Other Uses: Capital Projects 171,403 Transfers In Total Uses 171,403 Total Available"(Beg Bal Adjusted) 1,188,167 13,589 1,201,756 Part II—Compltance with expending funds within 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 42,757 Revenues Collected From FY 2010-2011 78,073 Revenues Collected From FY 2011-2012 6,167 Revenues Collected From FY 2012-2013 35,477 Total 5 Year Revenue= Revenues Collected From FY 2013•2014 784,992 347,466 Total Ending Fund Balance 1,201,756 Less:5 Year Revenue -347,466 Result:Five year spent test over the limit by 5854,290 however,City has Budgeted capkal projects (3,420,312)well above the excess that will be completed within 24 months from 6/30/14 which will 854,290 comply with Government Code 66001 Capital Improvement Projects Five Year Fiscal Year 2013-14 (Completed in FY or Future Projects) Future Commitments 'Civic Center Amphitheater 8�Park Improvements 63,643 New Park-Land next to Future Portola Interchange 1,000,000 Hiking Trail Park Improvements(Various Parks) 106,101 320,312 All Playground Upgrade to meet new ADA Mid Valley Parkway Bike path 2,000,000 Aquatic Crnter 1,659 100,000 Total I 3-I4 171 AO) 3s2Q 3I? • Section G -Traffic Signalization Fee(Fund 234) The fee is used for acquisition and development of the regional traffic signals within the City created by increase 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. Part 1-Fund Balance,Revenue,Interest,Expenditures,Ending Balance Beginning Ending Fiscal Year 13-14 Account Description Fund Balance Fund Balance Revenues&Other Sources: Developer Fee 18,991 Interest Income 1831 Contributions-Fed/State Grant 112,626 Fair Market Value GASB 31 0 0 Total Sources 0 133,448 Exaendkures&Other Uses: Capital Projects 378,723 i ransTers vuc�i ramc a�gnai payout or nneasure r+runo-r+e�mo ror i rar Total Uses 378,723 Total Available (Revised Beg Total) 552,772 -245,275 307,497 Part 11-Compliance wkh expending funds within 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 38,342 Revenues Collected From FY 2010-2011 140,496 Revenues Collected From FY 2011-2012 37,979 Revenues Collected From FY 2012-2013 166,645 Total 5 Year Revenue= Revenues Collected From FY 2013-2014 133,448 516,910 Total Ending Fund Balance 307,497 Less:5 Year Revenue -516,910 Result: Five year spent test met in accordance -209,413 With Government Code 66001 Capital Improvement Projects Five Year 9'o Funded with Fee Fiscal Year 13-14 Frank Slnatra d�GF Capital Approved Budget Portola d�Frank 100% Fred Waring Mod 100% Signal Coordination 378,723 276,306 100% Accessible Ped. 0 240,000 100% Vehicle Speed Feedb 300,000 100°ia 140,000 100% 956,306 Secron H —Art In Public Places Fee(Fund 436) The fee is used to acquire,develop,install and maintain artwork to be displayed in the ciry(Ciry owned land),the administration of the program and community public art educatlon programs. The City has an Art in Public Places committee that meets monthly to decide both Iocallon 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 Beginning Ending Fiscal Year 13-14 Account Descriptfon Fund Balance Fund Balance Revenues&Other Sources: Developer Fee 428,692 Interest Income 6,502 Contributions 216 Total Sources 435,410 Expenditures&Other Uses: Capital Projects/Administration of Project 361,617 Transfers Out-AIPP Maint Fund per Ord -0- Total Uses 361,617 Total Available 1,361,804 73,793 1,435,597 Part II-Compliance with expending tunds within 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 122,440 Revenues Collected From FY 2010-2011 53,273 Revenues Collected From FY 2011-2012 151,168 Revenues Collected From FY 2012-2013 252,281 Total 5 Year Revenue= Revenues Collected From FY 2013-2014 435,410 1,014,572 Total Ending Fund Balance 1,435,597 Less:5 Year Revenue -1,014,572 Result:Five year spent test over the Iimit by 5421,025 however,City has Budgeted capital pro�ects(5500,000)well above the excess that will be 421,025 completed withfn 24 months from 6/30/14 which will comply with Government Code 66001 With Government Code 66001 Capkal Improvement Fiscal Year 13-14 Five Year Capital Budget Admmistration(General Fund pickmg up 50%ot Salaries) 300,000 Proi.Architecture/Eng 0 Art Work-EI Paseo 50,000 An iPlacemenvPurcnase 0 100,000 AIPP Maint ol ART 0 50,000 Section I —A.I.P.P. Maintenance Fund (Fund 240) A portion of the AR in Public Places fee is used to cover the yearly maintenance of all the art placed within the City on public places. The City of Palm Desert placed General Fund cash within the fund of a sum of$300,000 to be used as a loan to have sufficient funds to adequately maintain the Artwork until sufficient funds are collected to cover the yearly costs. Part 1—Fund Balance,Revenue,Interest,Expenditures,Ending Balance Beginning Ending Fiscal Year 13-14 Account Description Fund Balance Fund Balance Revenues&Other Sources: Developer Fee Interest Income Contributlons(Damage Restitution) Transfers In -p- Total Sources -p- Expendkures&Other Uses: Maintenance of Art Work -0- Transfers Out Total Uses -0- Total Available -0- -0- -p- Part II—Compliance with expending funds wfthin 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Loan From General Fund—Transfer In Revenues Collected From FY 2012-2013 Total Ending Fund Balance -0- Resuk: Five year spent test met in accordance With Government Code 66001 Capftal Improvement Projects Fiscal Year 13-14 Five Year Capkal Project Budget Maintenance of Art -0- IOO�o 11:\N'YSI\(-fll�\('II.Unnual Rrpun�Ih�elopmen�Impart F'ee 1012.Ii.J�r Section J —Child Care Facility Fund 228 The City of Palm Desert is interested in providing funding,through impact tees 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 will adopt a budget to use these funds to create new facilities and equipment. Part 1—Fund Balance,Revenue,Interest,Expenditures,Ending Balance Beginning Ending Fiscal Year 13-14 Account Description Fund Balance Fund Balance Revenues�Other Sources: Developer Fee 23,373 Interest Income 6,099 Contributions � Trans(ers In Total Sources 29,472 Exoendkures�Other Uses: Design,Constructlon 8 Equip(Wallaroo) 0 Transfers Out Total Uses 0 7otal Available i,462,4U9 29,472 1,491,881 Part II—Compflance with expending funds within 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 120.213 Revenues Collected From FY 2010-2011 29,845 Revenues Collected From FY 2011-2012 26,854 Revenues Collected From FY 2012-2013 20,847 Total 5 Year Revenue= Revenues Collected From FY 2013-2014 29,472 227,231 Total Ending Fund Balance 1,491,881 Less:5 Year Revenue -227,231 Resuft:Five year spent test over the limit by 51,264,650 however,City has Budgeted capkal projects(51,497,650)well above the excess that will be �,2gq�650 completed within 24 months irom 6/30/14 which will comply with Govemment Code 66001 Five Year Capital Improvement ProJects Fiscal Year 13-14 %Funded with Fee Capftal Budget Land Purchase(San Pablo&Fred W:uing SE Corncr) ��y�R� 1,497,650(Land& Design ����� Bcrmuda DunesC�Portola of New Facility) Attempting to locate land and facility to acquire. Section K- Fire Facility Fund (235) The City of Palm Desert is interested in providing funding,through impact fees for new Fire Statlon and equipment,in order to meet some of the new commercial and residentlal development in the northem half o(the City. A Nexus Study was prepared and approved by City Council in June 2006. Commercial development rate is$0.22 per square foot,industriaUoffice 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 Beginning Ending Fiscal Year 13-14 Account Description Fund Balance Fund Balance Revenues�OtherSources: Developer Fee 104,243 Interest Income 3�8 Contribu6ons Total Sources 107,781 Expenditures&Other Uses: Design,Construction 8 Equipment -�- Total Uses � Total Available 828,093 107,781 935,874 Part II—Compliance wfth expending funds wfthin 5 Years Five Year Revenue Test Using First In First Out Method Unspent Funds Represents Ending Fund Balance June 30,2014 Revenues Collected From FY 2009-2010 29,954 Revenues Collected From FY 2010-2011 52,925 Revenues Collected From FY 2011-2012 41,478 Revenues Collected From FY 2012-2013 89,130 Total 5 Year Revenue= Revenues Collected From FY 2013-2014 107,781 321,268 Total Ending Fund Balance 935,874 Less:5 Year Revenue -321,268 Result:Five year spent test over the limit by 5854,290 however,City hes Budgeted capital projects(510,679,195)well above the excess that will be 614,606 completed in next 5 years from 6/30/14 which will comply with Government Code 66001 Half the building cost will be peid by this fund and the balance irom City reserves per Nextus study. Five Year Capkal Improvement Projects Fiscal Year 13-14 %Funded with Fee CapRal Budget $10,679J95 Upon New New Fire Station(OOF approved land transfer to City-May 2014) -0- Housing unics buili in North 50�a S here Land acquired, preliminary desiRn complete,awaiting develupment prior to buildinq facility. City bud�et could not support new fycility. Sanchez, Gloria From: Moeller, Charlene <CMOELLER@palmspri.gannett.com> Sent: Thursday, November 06, 2014 11:08 AM To: Sanchez, Gloria Subject: RE: Legal Notice - PH 12/11/2014 Developer Impct Fees Hi Gloria, A�� rerc�ivec.i and will puhlish c�n date(s) rc�yuc�stc�a. Charlene Moetler � Media Sales Legal Notice Coordinator The Desert Sun Media Group 750 N. Gene Autry Trail, Palm Springs, CA 92262 t 760.778.4578 � f 760.778.4528 legals _thedesertsun.com /dpwle�als@thedesertsun.com The Coachella VaUey's�1 Source m News&Advert�smg� www.DesertSun.com � twitter ••��vtv�-� • ,� � facebook ���� ����., �' ,���: This email and any files transmitted with it are confidential and intended for the individual to whom they are addressed. If you have received this email in error, please notify the sender and delete the i�essage from your system From:Qsanchez@citvofpalmdesert.or� [mailto:�sanchez@citvofqalmdesert.or�] Sent:Thursday, November 06, 2014 10:48 AM To: Email,TDS-Legals Cc:pgibson@citvofpalmdesert.or�; norteaa@citvofpalmdesert.or� Subject: Legal Notice- PH 12/11/2014 Developer Impct Fees Good morning, Charlene! PLEASE PUBLISH THE FOLLOWING: NOTICE OF PUBLIC HEARING Public Hearing Realtive to Annual Report of Developer Impact Fees as of June 30, 2014 TWICE !N THE DESERT SUN Thursday, November 27, 2014 Thursday, December 4, 2014 If you have any questions or require additional information, please call me. Thank you and have a wonderful day! M. G(.ori,a� Sa+��c.l�.e�z. Records Technician 73510 Fred Waring Drive 1