Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: Creation of an In-Lieu Tree Fund and In-Lieu Tree Planting Program Date: July 25, 2023
Written by: Noah Housh, Director of Community Development Recommendation
It is recommended that the City Council adopt a resolution creating the in-lieu tree fund as a new special revenue fund within the City budget, and direct staff to create a in-lieu tree program to allocate the funds within this account.
Background
In the City of Cotati, many trees are protected from removal under Chapter 17.54 of the Cotati Municipal Code (CMC). When removal of a protected tree is requested, a permit application is reviewed by the Community Development Department to determine compliance with the requirements governing tree removal. Generally, removal of the tree is remedied through the replanting of replacement tree(s) on the same property. From time to time there are instances when the remedy for the removal of trees is completed through the payment of an in-lieu fee, intended to cover the cost of purchasing, planting, irrigating and maintaining each tree for a period of ten years. CMC Section 17.54.050 identifies the in-lieu fee shall be deposited into the City’s tree fund.
Analysis/Discussion
Although the CMC occasionally allows the payment of in-lieu fees for the cost of purchasing, planting, irrigating, and maintaining each tree for a period of ten years, the City has not created a separate “in-lieu tree fund” to accept these in-lieu fees and allocate their expenditure. Rather, the in-lieu fees collected to remedy tree removal have historically been deposited into the general fund.
Given the need to track and allocate in-lieu tree funds, and the language of the CMC directing the creation of such a fund, staff has attached a draft resolution to implement this direction and create a “in lieu tree fund” special revenue account.
Separately, staff has identified a need to create a program whereby in-lieu funds collected are allocated, as authorized by the City Council in adoption of CMC Section 17.54.050(C), to remedy the impacts resulting from tree removal within the City boundaries. The in-lieu fee provides that the City “may determine that the remedies . . . are not feasible or desirable and may instead require the payment of an in-lieu fee for the cost of purchasing, planting, irrigating, and maintaining each tree for a period of ten years.” Up to this point, staff have allocated the in-lieu tree funds consistent with CMC Section 17.54.050(C), but would benefit from the creation of a specific program to implement use of the in-lieu funds to make such funds available for purchasing, planting, irrigating, and maintaining trees for both City projects and to make such funds available for purchasing, planting, irrigating, and maintaining trees to be planted on private property within the City of Cotati, consistent with the City’s intended use of the in-lieu tree funds. This conceptual program would not create a new use for the in-lieu funds, but instead would allow staff to implement the original intended use of in-lieu funds. The program would allow Cotati property owners/residents to purchase and plant up to two trees (one native/drought tolerant; one fruit/ornamental) per year, with in-lieu tree funds being used to re-pay the costs of these purchases upon confirmation that the trees have been planted and maintained. The program would be administered by the Community Development Department and marketed through various means including the City website, social media channels and in-person events such as the Farmers Market.
Financial Considerations
The primary financial consideration is the creation of a new special revenue account within the City budget. There are not anticipated to be any new budget allocations associated with this effort, however some funds previously allocated to the general fund, will now be collected and budgeted specifically to address impacts associated with the removal of trees within the City. Any previously collected in-lieu tree funds available in the general fund will be transferred to this special revenue account and available for immediate dispersal. One secondary budget impact will be the allocation of Community Development staff time to managing and implementing this program. No new hard costs are anticipated to arise from this effort.
Environmental Issues
This action to create a new special revenue fund is exempt from the California Environmental Quality Act (CEQA) because it is not a project which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, pursuant to CEQA Guideline section 15378. Future implementation of the in-lieu tree program will implement existing direction of Chapter 17.54 of the Cotati Municipal Code and is found to be consistent with the Cotati General Plan Environmental Impact Report as no new unanticipated impacts will result from this effort. Therefore, this program meets the requirements of CEQA Section 15183, and no additional environmental analysis is warranted.