v . 0 0 5 P a g e | 1
January 20, 2026
ITEM TITLE
Annual Report: Fiscal Year 2024 -25 Development Impact Fees, the Parkland Acquisition and Development In-Lieu Fees, Trunk Sewer Capital Reserve Fee, and Parking In-Lieu Fee Report Number: 25-0291
Location: No specific geographic location
Department: Development Services
G.C. § 84308 Regulations Apply: No
Environmental Notice : The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act (“CEQA”) State Guidelines. Therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.
Recommended Action
Receive the annual report regarding Development Impact Fees, the Parkland Acquisition and Development In-Lieu Fees, Trunk Sewer Capital Reserve Fee, and Parking In-Lieu Fee for fiscal year 2024-25.
SUMMARY
California Government Code Section 66000 , et seq. requires local agencies assessing Development Impact Fees (“DIFs”) and sewer capacity charges to make available specified financial data to the public each fiscal year. This report satisfies that requirement and has been available in the City Clerk’s Office for public review since December 1, 2025. An equivalent report for the Parkland Acquisition and Development ( “PAD”) fees and Parking In-Lieu Fees is included in this report for ease of reference and convenience to the public.
ENVIRONMENTAL REVIEW
The proposed activity has been reviewed for compliance with the California E nvironmental Quality Act (“CEQA”) and has been determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines because the activity consists of a governmental fiscal/administrative activity which does not result in a physical change in the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.
P a g e | 2
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not Applicable
DISCUSSION
The City of Chula Vista (“City”) collects several types of Development Impact Fees, Parkland Acquisition and Development Fees, Trunk Sewer Capital Reserve Fees, and a Parking In-Lieu Fee which were assessed during the fiscal year ending June 30, 2025. The major categories of facilities f inanced via DIFs include transportation, traffic signals, pedestrian bridges, drainage, sewer, and public facilities.
Development Impact Fees are updated in two manners: 1) Through a comprehensive DIF program review; or 2) a Council-enacted automatic annual adjustment, based upon an appropriate index.
There were no comprehensive DIF updates completed in fiscal year 2024-25 (“FY 2024-25”).
In October of 2024, the following automatic index-based annual adjustments went into effect:
Fee Description
(Per Single Family Unit)
Previous
Amount
Updated Amount
(Oct 2024) Difference
Eastern Transportation DIF
(“ETDIF”) $17,647 $18,108 $461
Western Transportation DIF
(“WTDIF”) $5,322 $5,508 $186
Bayfront DIF (“BFDIF”) $12,864 $13,314 $450
Traffic Signal Fee $482 $486 $4
Salt Creek Sewer Basin DIF $1,800 $1,847 $47
Otay Ranch Village 1, 2, 5, & 6
Pedestrian Bridge DIF $1,117 $1,146 $29
Otay Ranch Village 11 Pedestrian
Bridge DIF $3,170 $3,253 $83
Public Facilities Development Impact
Fee (“PFDIF”) $14,286 $14,680 $394
Parkland Acquisition & Development
Fee (West of I-805) $14,527 $14,620 $93
Parkland Acquisition & Development
Fee (East of I-805) $22,209 $22,302 $93
Trunk Sewer Capital Reserve Fee $4,671 $4,793 $122
Other fees addressed in this report remain at the same rate as the previous fiscal year.
P a g e | 3
DEVELOPMENT IMPACT FEES
Eastern Transportation Development Impact Fee (“ETDIF”) The ETDIF was established on January 12, 1988, via Ordinance No. 2251 to finance and coordinate the construction of new transportation facilities so that new streets are built when needed to serve new development. This fee is applicable to all new development s east of Interstate 805. Prior to the program, streets were built by developers in a fragmented fashion. In addition, equity issues arose, as some developers with frontages on large streets were required to improve those streets while other developers with only smaller local street frontages had less improvement requirements. Now, all developers in the eastern portion of Chula Vista pay the same fee per average daily trip (“ADT”) based on the number of vehicle trips generated for a specific land use. The City then constructs the street, or a developer performs the construction. If the developer constructs the street, th ey receive a ETDIF fee credit which is then applied towards payment of these fees at time of final inspection.
The ETDIF is subject to an annual index -based adjustment. On October 1, 202 4, the fee increased from $1,764.70 to $1,810.80 per ADT. The rate per single-family dwelling unit increased from $17,647 to $18,108.
Detailed FY 2024-25 financial information is presented in Attachment 1, Schedule A of this report.
Western Transportation Development Impact Fee (“WTDIF”) The WTDIF was adopted on March 18, 20 08, via Ordinances No. 3106 through No. 3110 to finance and coordinate the construction of new transportation facilities in the western neighborhoods of the City, as well as to spread the costs associated with the construction of the facilities equitably a mong the developing properties within the benefit area.
The WTDIF is subject to an annual index -based adjustment. On October 1, 202 4, the fee increased from $532.20 to $ 550.83 per ADT. The rate per single -family dwelling unit increased from $ 5,322 to $ 5,508.
Detailed FY 2024-25 financial information is presented in Attachment 1, Schedule B of this report.
Bayfront Transportation Development Impact Fee (“BFDIF”) The BFDIF was adopted on November 18, 2014, via Ordinance No. 3327 to finance and coordinate the construction of new transportation facilities in the Chula Vista Bayfront area, as well as to spread the costs associated with the construction of the facilities equitably among the developing properties within the benefit area. This fee is applicable to new developments in the Chula Vista Bayfront area, generally described as properties west of Interstate 5 and between E Street and Naples Street.
The BFDIF is subject to an annual index -based adjustment. On October 1, 202 4, the fee increased from $1,286.42 to $1,331.44 per ADT. The rate per single-family dwelling unit increased from $12,864 to $13,314.
Detailed FY 2024-25 financial information is presented in Attachment 1, Schedule C of this report.
Traffic Signal Fee
The Traffic Signal fee was adopted to finance and facilitate construction of traffic signal improvements required to mitigate increases in traffic volume caused by new development in the WTDIF benefit area. This P a g e | 4
fee is assessed per average daily trip generated . The Traffic Signal fee is subject to an annual index -based adjustment. On October 1, 202 4, the fee increased from $ 48.22 to $ 48.69 per ADT. Detailed FY 202 4-25 financial information is presented in Attachment 1, Schedule D of this report.
Poggi Canyon Sewer Basin Development Impact Fee
The Poggi Canyon Sewer Basin DIF was adopted to finance and facilitate construction of the Poggi Canyon Trunk Sewer, serving properties within the benefit area. This fee is applicable to the Poggi Canyon Basin. The fee was established at $400 per Equivalent Dwelling Unit (“EDU”) in 1997. In June 2009, the Poggi Canyon Sewer Basin DIF was updated, and the fee was reduced to $265 per EDU. The City is in the process of preparing a comprehensive update of the Poggi DIF. The fee remains unchanged since the 2009 action.
Detailed FY 2024-25 financial information are presented in Attachment 1, Schedule E of this report.
Salt Creek Sewer Basin Development Impact Fee
The Salt Creek Sewer Basin DIF was adopted to finance and facilitate construction of the Salt Creek Trunk Sewer, serving properties within the benefit area. This fee is applicable to the Salt Creek Sewer Basin, a portion of the Upper Otay Lake Basin north of the Salt Creek Sewer Basin, Wolf Canyon Basin, and a portion of the Lower Otay Lake Basin east of the Salt Creek Sewer Basin.
In July 2015, the City Council approved a comprehensive update of the Salt Creek Sewer Basin DIF. The 2015 action confirmed the existing rate of $1,330 per EDU and authorized annual index-based updates. The City is in the process of preparing a comprehensive update of the Salt Creek Sewer DIF. An index-based update was implemented on October 1, 202 4, increasing the fee from $ 1,800 to $1,847 per EDU. Detailed FY 202 4-25 financial information is presented in Attachment 1, Schedule E of this report.
Otay Ranch Village 1, 2, 5, & 6 Pedestrian Bridge Development Impact Fee The Otay Ranch Village 1, 2, 5, & 6 Pedestrian Bridge DIF was adopted to finance and facilitate construction of pedestrian bridge facilities that will serve the subject villages. A comprehensive update of the fee program was approved by the City Council in December 2015. The 2015 action reduced the fee from $1,114 to $844 per single -family dwelling unit and authorized annual index -based updates. An index -based update was implemented on October 1, 202 4, increasing the fee from $ 1,117 to $1,146 per single-family dwelling unit.
Detailed FY 2024-25 financial information is presented in Attachment 1, Schedule F of this report.
Otay Ranch Village 11 Pedestrian Bridge Development Impact Fee The Otay Ranch Village 11 Pedestrian Bridge DIF was adopted to finance and facilitate construction of four pedestrian bridges in Otay Ranch Village 11. The Village 11 Pedestrian Bridge DIF is subject to an an nual index-based adjustment. On October 1, 202 4, the fee increased from $ 3,170 to $ 3,253 per single -family dwelling unit. Detailed FY 2024-25 financial information is presented in Attachment 1, Schedule F.
Eastern Urban Center (Millenia) Pedestrian Bridge Development Impact Fee The Eastern Urban Center (Millenia) Pedestrian Bridge DIF was adopted to finance and facilitate construction of the Eastlake Parkway Pedestrian Bridge in the Eastern Urban Center (Millenia) project area.
The facility has been completed and is in use. The fee will be assessed on a small remaining area within the Eastern Urban Center (Millenia) when it is developed. The fees collected will be reimbursed to the developer P a g e | 5
who constructed the bridge. The EUC Pedestrian Bridge DIF was estab lished with an initial rate of $615.13 per single-family dwelling unit via Ordinance No. 3273, adopted in August of 2013. Detailed FY 202 4-25 financial information is presented in Attachment 1, Schedule F of this report.
Public Facilities Development Impact Fee (“PFDIF”)
The PFDIF was adopted to finance and facilitate construction of public facilities necessary to serve new development. The fee includes six (6) components. All components are subject to an annual index -based adjustment. On October 1, 20 24, the combined fee increased from $ 14,286 to $ 14,680 per single -family dwelling unit. Detailed FY 202 4-25 financial information is presented in Attachment 1, Schedule G of this report.
The components of the PFDIF, including current fees per single family dwelling are as follows:
Administration ($ 860) - Administration of the PFDIF program, oversight of expenditures and revenues, preparation of updates, calculation of costs, etc.
Civic Center Expansion ($ 4,284) - Expansion of the Civic Center per the 1989 Civic Center Master Plan to provide sufficient building space and parking needed to serve new development. The Civic Center Master Plan was updated in July 2001 to include impacts of Otay Ranch development. Project phases included the remodel and expansion of City Hall, remodel of the Public Services Building and remodel of the former Police Facility, Community Development and Legislative Buildings, including associated capital expenses.
Police Facility ($ 2,395) - Improvements per the Civic Center Master Plan to provide sufficient building space and associated facilities needed to serve new development. Improvements include construction of a new police facility, upgrading the communications center and installation of new communication consoles. This fee al so includes the purchase and installation of a computer -aided dispatch system (“CAD”), Police Records Management System, Mobile Data Terminals, and police vehicles.
Corporation Yard Relocation ($643) - Relocation of the City’s Public Works Center from the Bayfront area to the more centrally located site on Maxwell Road. Also includes the purchase of new vehicles directly attributable to new development and the need to maintain an expanding infrastructure network.
Libraries ($2,463) - Improvements include construction of the South Chula Vista Library and future planned libraries and installation of an automated library system. This component is based on the facility needs identified in the Library Master Plan and is applicable to new residential development only.
Fire Suppression System ($2,165) – The 1999 Fire Station Master Plan, as addended in 2018, includes new fire stations, training facilities, fire apparatus, and a communications tower that are required to serve new development.
P a g e | 6
Major Recreation Facilities ($1,870) - Component added in November 2002 to build major recreation facilities required to serve new development such as community centers, gymnasiums, swimming pools, and senior/teen centers. This component is based on the facility needs iden tified in the Park & Recreation Master Plan and is applicable to new residential development only.
Although the majority of the public facility project costs are borne by new development, it is important to note that some public facility projects contain b oth a City and new development cost share. The City share often reflects “joint impetus” projects, which are necessitated by growth and non-growth factors and/or the City’s obligation to correct pre -existing space/equipment deficiencies. The PFDIF fees onl y relate to new development’s cost share for each component.
Parkland Acquisition and Development (“PAD”) In-Lieu Fees The Parkland Acquisition and Development in -lieu fees were adopted by the City to acquire neighborhood and community parkland and to cons truct parks, including recreational amenities. The acquisition component of the fee is set at $12,676 for areas east of Interstate 805 and $4,994 for areas west of Interstate 805, per single-family dwelling unit.
The development component of the fee is app licable citywide and is subject to an annual index -based adjustment. On October 1, 202 4, the development component increased from $ 9,533 to $9,626 per single- family dwelling unit. This action increased the combined fee from $ 22,209 to $22,302 and from $14,527 to $14,620; for areas east and west of I-805, respectively.
The PAD fee is applicable to new residential development only. In fiscal year 2013 -14, the fee requirement for hotel and motel developments was eliminated via Ordinance No. 2014-3303. Detailed FY 202 4-25 financial information is presented in Attachment 2 of this report.
Trunk Sewer Capital Reserve Fees (Sewer Capacity)
The Trunk Sewer Capital Reserve fee was established in 1985 by Ordinance No. 2107 to finance all or a portion of the cost to enlarge sewer facilities to enhance efficiency of utilization and/or adequacy of sewer capacity. The fee program was last comprehensively updated in 2014, decreasing the fee per EDU from $3,478 to $3,450. The 2014 action also authorized annual index-based updates. An index-based update was implemented on October 1, 202 4, increasing the fee from $ 4,671 to $4,793 per EDU. Detailed FY 202 4-25 financial information is presented in Attachment 3 of this report.
Parking In-Lieu Fee
Established in 1980, the City’s Parking In-Lieu Fee program allows for development projects within the City’s Downtown Parking District to accommodate a portion of their minimum parking requirements off-site. The method for calculating the Parking In Lieu Fee is provided in Resolution No. 1980-9943, and the calculation is based in part on the fair market value of the land needed to accommodate each parking space. Fees collected under this program are for the construction future parking facilities. Detailed FY 2024-25 financial information is presented in Attachment 4 of this report.
P a g e | 7
Interfund Loans
On February 17, 2015, the City Council approved an Interfund Loan Policy (the “Policy”), along with a series of resolutions affirming and consolidating various interfund loans between DIF, PAD , and Trunk Sewer Capital Reserve Funds. Pursuant to the Policy, all interfund loans will accrue interest charges equal to the City’s actual pooled cash investment return.
FY 2024-25 Financial Information
Detailed FY 2024-25 financial information is presented in the attachments as follows:
Attachment 1, Schedules A through G, reports the required financial information for all DIFs. Attachment 2 reports the required financial information for the Parkland Acquisition and Development fees.
Attachment 3 reports the required information for the Trunk Sewer Capital Reserve fees. Attachment 4 reports the required information for the Parking In Lieu Fee.
The schedules contain the following:
The amount, description, and purpose of each fee.
Beginning balance as of July 1, 2024.
Fees received during the fiscal year ending June 30, 2025. Other miscellaneous revenues received during the fiscal year ending June 30, 2025. Investment earnings from the cash balances available in each fund or from interfund loans during the fiscal year ending June 30, 2025.
Expenditures from each of the funds during the fiscal year ending June 30, 2025. A description of each capital and non-capital project with expenditures funded entirely or in part by DIF/PAD/Trunk Sewer funds in FY 202 4-25 and the percentage of the project funded by this fee through FY 2024-25. More detailed information on capital projects is available in the annual Capital Improvement Program Budget.
Outstanding balances of interfund loa ns made from DIF/PAD/Trunk Sewer Capital Reserve funds, rate of interest to be received, expected repayment date, and funded improvements as of the end of FY 2024-25.
Ending balances as of June 30, 202 5, for each fund (unaudited). Note that ending balances do not include funds that have been appropriated by City Council but not spent as of June 30, 2025.
Therefore, ending balances may not reflect actual available funds. Identification of an approximate date by which the construction of public improvements w ill commence. An updated commencement date is included if the facility did not start construction when initially projected, and the reason for the delay.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and consequently, the real property holdings of the City Council members do not create a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
P a g e | 8
Staff is not independently aware and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
This is an informational report and there is no current-year fiscal impact associated with accepting or rejecting the report.
ONGOING FISCAL IMPACT
This is an informational report and there is no ongoing fiscal impact associated with accepting or rejectin g the report.
ATTACHMENTS
1. FY 2024-25 Financial Information for all DIFs: Schedules A through G
2. FY 2024-25 Financial Information for Park Development and Acquisition Fees
3. FY 2024-25 Financial Information for Trunk Sewer Capital Reserve Fees
4. FY 2024-25 Financial Information for Parking In-Lieu Fee Staff Contact: Alyssa Moreno, Senior Management Analyst, Development Services Rebecca Bridgeford, Deputy Director, Development Services Roy Sapa’u, AICP, Director of Development Services