HomeMy WebLinkAbout1T OCRCITY COUNCIL STAFF REPORT
DATE: December 10, 2020 CONSENT CALENDAR
SUBJECT: CITY OF PALM SPRINGS DEVELOPMENT PROJECT FEE REPORT
FOR FISCAL YEAR 2019-20
FROM: David H. Ready, City Manager
Department of Finance and Treasury BY:
SUMMARY
The City is required by Government Code Section 66000 to annually prepare a report
for the proceeding fiscal year concerning the activity of the City's development project
fees. The report must be submitted to the City Council within 180 days of the end of the
fiscal year.
RECOMMENDATION:
Receive and File the City's Development Project Fee Report for Fiscal Year
2019-20.
STAFF ANALYSIS:
In 1987, Government Code Section 66000 became effective with the passage of
Assembly Bill 1600. AB 1600 was enacted to regulate the establishment of any new
development fee or fee increase after January 1, 1989.
A key provision of the legislation, namely, Section 66006 (b) (1) of the Government
Code requires that local agency shall, within 180 days of the close of each fiscal year,
make available to the public the following information for each separate account or fund:
(a) A brief description of the type of fee in the account.
(b) The amount of the fee.
(c) The beginning and ending balance of the account.
(d) The amount of fees collected and interest earned.
2City Council Staff Report December 10, 2020 --Page 2 Development Project Fee Report for FY 2019-20 (e) 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. (f) An identification of an approximate date by which construction of the public improvement will commence if the local agency determines that sufficient funds have been collected to complete financing on an incomplete public improvement, as identified in paragraph (2) of subdivision (a) of Section 66001, and the public improvement remains incomplete. (g) A description of each interfund transfer or loan made from the account, including the public improvement on which the transferred or loaned fees will be expended. In the case of an interfund loan, an identification of that date on which the loan will be repaid, and the rate of interest the account will receive on the loan. In FY 2019-20, the City has five developer project fees subject to the requirements of Government Code Section 66000 --Drainage Construction, Public Arts, Quimby Act Park, Sewer Connection Fees, and Special Development Fees. Staff has prepared the reports that provide an analysis of each fee. The attached reports have been submitted to the Building Industry Association (BIA) and to the Desert Valleys Builders Association (DVBA) for their review. FISCAL IMPACT: The City must expend or commit developer fees from Drainage Construction Fund, Waste Water Treatment Plant Fund, Quimby Act Park Fund, Public Arts Fund, and Special Development Fund within five years of their receipt and these fees must be accounted for in a separate fund. Nancy Pau y Director of Finance and Treasurer Attachments: Reports by fund
3w..----Government Code Section 66000 Annual Report Special Development Fund, Fund 123 For Fiscal Year Ended June 30, 2020 Description of Fee: Special building fees assessed on residential development within Specific Plan I in the South Palm Canyon Area for use in the plan area for housing, drainage, fire services, bridges and roads. Amount of Fee: The fees per dwelling unit or per acre are variable based upon the development and range from $0 to $2,704 per dwelling unit, or $469 to $4,213 per acre. lnterfund Transfer or Loan: None. Amount of Refunds: None. Reconciliation of Fund Balance Beginning Fund Balance 2,061,696 Revenues: Developer Fees 29,754 Investment Income 36,155 GASB 31 Mark-to-Market Value of Investments at June 30 -Expenditures: Capital Projects (55,093) Ending Fund Balance 2,072,512 Less: Committed Fund Balance (1,632,059) Balance Uncommitted 440,453 Five Year Financial Analysis Fund Balance at June 30 Investment Developer Fees Income* Total Revenue 7 /1/15 -6/30/16 106,456 11,787 118,243 7 /1/16 -6/30/17 92,873 5,352 98,225 7 /1/17 -6/30/18 36,816 4,326 41,142 7 /1/18 -6/30/19 27,898 62,729 90,628 7 /1/19 -6/30/20 29,754 36,155 65,909 * Net of GASB 31 adjustment, Mark to Market Value Of Capital Project Status Capital Project Fund 123-Dept-Expenditures Account Project Description -Canyon South 7 /1/19 -6/30/20 4901-61005 Acanto Housing 4902-61005 El Porto Housing 4903-61003 Monte Sereno Drainage 4903-61005 Monte Sereno Housing 4904-61001 Fire Station & Equipment 4904-61003 Other Drainage 55,093 4905-61005 Tract 36723 Housing 4904-61004 Bridges/Roads 55,093 Capital Project Expenditures 500 55,093 Commitment for Future Improvements As of 6/30/20 90,480 184,080 48,458 308,880 73,628 240,465 31,200 654,868 1,632,059 Committed 1,686,436 1,779,309 1,779,309 1,778,809 1,632,059 Percent of Cost Funded with Fee 100% 100% 100% 100% 100% 100% 100% 100% Uncommitted Total 145,765 1,832,201 151,117 1,930,426 192,259 1,971,568 282,887 2,061,696 440,453 2,072,512 Date Construction to Commence If Sufficent Fund Collected June 2021 June 2021 June 2021 June 2021 June 2021 June 2021 June 2021 June 2021
4Fund 135-Dept Account 4370-55000 4370-55009 4371-55000 4371-55004 4371-55012 4372-55000 4372-55005 4373-55000 4374-55000 4374-55007 4374-55011 4375-55000 Government Code Section 66000 Annual Report Drainage Construction, Fund 135 For Fiscal Year Ended June 30, 2020 Description of Fee: Fees assessed on new contruction for the purpose of building and maintaining a drainage and flood control system within the City. Amount of Fee: Per acre fee based on region ranging from $4,213.00 to $10,311.99 lnterfund Transfer or Loan: None. Amount of Refunds: None. Reconciliation of Fund Balance Beginning Fund Balance 1,340,433 Revenues: Developer Fees 205,279 Investment Income 23,262 GASS 31 Mark-to-Market Value of Investments at June 30 -Expenditures: Capital Projects (226,146) Ending Fund Balance 1,342,829 Less: Committed Fund Balance (1,342,829) Balance Uncommitted -Five Year Financial Analysis Fund Balance at June 30 Investment Capital Project Developer Fees Income• Total Revenue Expenditures Committed Uncommitted Total 7 /1/15 -6/30/16 204,044 8,317 212,361 4,103 815,247 391,343 1,206,590 7 /1/16 -6/30/17 302,194 3,902 306,096 58,734 892,741 561,211 1,453,952 7 /1/17 -6/30/18 283,324 3,575 286,899 238,894 648,066 853,891 1,501,957 7 /1/18 -6/30/19 188,575 44,581 233,156 394,679 510,154 830,280 1,340,434 7 /1/19 -6/30/20 205,279 23,262 228,541 226,146 1,342,829 1,342,830 • Net of GASB 31 adjustment, Mark to Market Value Of Capital Project Status Date Commitment Construction to Capital Project for Future Commence If Expenditures Improvements Percent of Cost Sufficent Fund Improvement Description 7 /1/19 -6/30/20 As of 6/30/20 Funded with Fee Collected Future Zone Projects 1,019,155 100% FY 2020-2021 North Zone Projects 168,321 39,133 100% FY 2020-2021 Storm Drain Line GA 6,956 100% FY 2020-2021 Central Zone Projects-Drainage Program 4,863 100% Tahquitz Creek Project 79,832 100% FY 2020-2021 Storm Drain Line 9 100,000 100% FY 2020-2021 South Zone Projects 47,531 100% Storm Drain Line 23 61,321 100% FY 2020-2021 East Zone Projects 10,000 100% FY 2020-2021 Southeast Drainage 6,000 100% FY 2020-2021 Drain Line 1 18,977 100% FY 2020-2021 Tahquitz Creek Levee Cert 5,431 100% Eagle Canyon Drainage 1,455 100% FY 2020-2021 226,146 1,342,829
5Government Code Section 66000 Annual Report Public Arts, Fund 150 For Fiscal Year Ended June 30, 2020 Description of Fee: Development fees paid in lieu of placment of approved artwork, at approved sites in a manner consistent with Chapter 3.37 ofthe Municipal Code. Amount of Fee: Commerical/lndustrial -1/2% based on value; Residential -1/4% based on value lnterfund Transfer or Loan: None. Amount of Refunds: None. Reconciliation of Fund Balance Beginning Fund Balance 435,689 Revenues: Developer Fees 293,063 Other Income -Investment Income 10,894 Expenditures: Operating Expenses (240,200) Ending Fund Balance 499,446 Less: Committed Fund Balance (499,446) Balance Uncommitted -Five Year Financial Analysis Fund Balance at June 30 7 /1/15 -6/30/16 7 /1/16 -6/30/17 7 /1/17 -6/30/18 7 /1/18 -6/30/19 7 /1/19 -6/30/20 Expenditures Fund 150-Dept 4408-Account Project Description Future Art Installations/Projects 49000 Insurance 42570 Art Show Awards & Supplies 43200 Contractual Services 50015 Specialized Equipment 56034 Acquisitions 43160 Misc Artwork Maintenance 65209 Palm Springs Art Museum Sponsorship 49010 Administrative Costs Investment Collections Income 332,968 4,267 301,947 7,283 212,003 8,738 227,464 8,184 293,063 10,894 Commitment for Future Expenditures Improvements 7 /1/19 -6/30/20 as of 06/30/20 499,446 2,302 350 51,000 118 82,153 38,377 50,000 15,901 240,200 499,446 Total Revenue Expenditures Committed Uncommitted 337,235 216,816 360,417 309,230 183,453 486,194 220,741 295,043 411,892 235,648 211,851 435,689 303,957 240,200 499,446 (O) Percent of Cost Funded with Fee 100% 100% 100% 100% 100% 100% 100% 100% 100% Total 360,417 486,194 411,892 435,689 499,446
6Fund 152-Dept Government Code Section 66000 Annual Report Quimby Act Fees, Fund 152 For Fiscal Year Ended June 30, 2020 Description of Fee: Developer fees assessed in lieu of dedicated land as a condition of the approval of a tentative parcel subdivision map. Fees restricted for parks or recreation purposes. Amount of Fee: Based on number of bedrooms per residential dwelling unit ranging from $750 to $1,500 lnterfund Transfer or Loan: None. Amount of Refunds: None. Reconciliation of Fund Balance Beginning Fund Balance 4,362,731 Revenues: Quimby Act Fees 577,622 Investment Income 81,573 GASB 31 Mark-to-Market Value of Investments at June 30 -Expenditures: Capital Projects (1,501,719) Principal Retirement -Interest and fiscal charges -Ending Fund Balance 3,520,206 Less: Committed Fund Balance (3,520,206) Balance Uncommitted -Five Year Financial Analysis Quimby Act Fees & Investment Prior Period Income* Total Revenue Expenditures 7 /1/15 -6/30/16 317,355 16,773 334,128 24,133 7 /1/16 -6/30/17 611,509 8,065 619,574 38,894 7 /1/17 -6/30/18 721,782 5,647 727,429 1,501,719 7 /1/18 -6/30/19 807,973 119,002 926,975 89,342 7 /1/19 -6/30/20 577,622 81,573 659,195 1,501,719 * Net of GASB 31 adjustment, Mark to Market Value Of Investments Capital Project Status Date Commitment Construction to Capital Project for Future Commence If Expenditures 7 /1/19 Improvements Percent of Cost Sufficent Fund 2460 -Account Improvement Description -6/30/20 As of 6/30/20 Funded with Fee Collected 49997 Transfers 250,000 100% 59464 Downtown Park 1,251,719 3,520,206 100% FY 2020-2021 1,501,719 3,520,206 Fund Balance at June 30 Committed Uncommitted Total 1,051,000 1,273,446 2,324,446 2,474,983 430,143 2,905,126 3,498,075 27,023 3,525,098 4,362,731 4,362,731 3,520,206 0 3,520,206
7Government Code Section 66000 Annual Report Wastewater Treatment, Fund 420 For Fiscal Year Ended June 30, 2020 Description of Fee: Sewer connection fees Amount of Fee: Residential -$3,000 / dwelling unit; Commerical Industrial -Variable per fixture rate lnterfund Transfer or Loan: None. Amount of Refunds: None. Reconciliation of Fund Balance Beginning Fund Balance 152,431 Revenues: Sewer Connection Fees 608,185 Investment Income -GASB 31 Mark-to-Market Value of Investments at June 30 -Expenditures: Capital Projects and Maintenance (45,739) Applied to PY Qualified Expenditures -Ending Fund Balance 714,877 Less: Committed Fund Balance -Balance Uncommitted 714,877 Five Year Financial Analysis Sewer Investment Capital Project Connection Fee Income Total Revenue Exeenditures As of 6/30/2012 7 /1/12 -6/30/13 589,626 589,626 589,626 7 /1/13-6/30/14 673,754 673,754 673,754 7 /1/14 -6/30/15 1,114,692 1,114,692 1,114,692 7 /1/15 -6/30/16 877,347 877,347 877,347 7/1/16-6/30/17 873,452 873,452 873,452 7 /1/17 -6/30/18 747,011 747,011 84,144 7 /1/18 -6/30/19 947,157 947,157 794,726 7 /1/19 -6/30/20 608,185 608,185 45,739 Capital Project Status Date Capital Project Commitment Construction to Expenditures for Future Percent of Commence If 7/1/19-Improvements Cost Funded Sufficent Fund lmerovement Descrietion 6/30/20 As of 6/30/20 with Fee Collected Sewer Fee Study and Const. 45,739 30,404,677 100% FY 2020-2021 45,739 30,404,677 NetQualifid Expenditures in Excess of Fees to be Recovered from Future Fees/Fund Balance Sewer Committed Uncommitted Connection 4,213,015 3,623,389 2,949,635 1,834,943 957,596 84,144 152,431 714,877