Cities Index.
Agenda

Hesperia City Council
June 20, 2023

Document
Agenda
Meeting
June 20, 2023
Body
Hesperia City Council
Pages
305
Original file
22.9 MB
Text extracted from the city's file for reading and search. Open the original on hesperia.legistar.com. That file is the official record.

Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Year 2021 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
1 Projection Period 3 4
RHNA Allocation by
Income Level
Projection Period -
06/30/2021-
10/14/2021
2021 2022 2023 2024 2025 2026 2027 2028 2029 Total Units to Date (all years)
Total Remaining
RHNA by Income
Level
Deed Restricted - - - - - - - - - - Non-Deed Restricted - - - - - - - - - - Deed Restricted - - - - - - - - - - Non-Deed Restricted - - - - - - - - - - Deed Restricted - - - - - - - - - - Non-Deed Restricted 111 3 - - - - - - - - Above Moderate 3,594 54 20 - - - - - - - - 74 3,520 8,155
165 23 - - - - - - - - 188 7,967 5 6 7
Extremely low-Income
Need 2021 2022 2023 2024 2025 2026 2027 2028 2029 Total Units to Date
Total Units
Remaining
961 - - - - - - - - - - 961 Please note: The APR form can only display data for one planning period. To view progress for a different planning period, you may login to HCD's online APR system, or contact HCD staff at [email protected].
1,295
-
This table is auto-populated once you enter your jurisdiction name and current year data. Past year information comes from previous APRs.
114 Moderate
1,921
1,231
1,409
Please contact HCD if your data is different than the material supplied here -
2 Table B
Regional Housing Needs Allocation Progress
Permitted Units Issued by Affordability
1,921
1,231
Please note: For the last year of the 5th cycle, Table B will only include units that were permitted during the portion of the year that was in the 5th cycle. For the first year of the 6th cycle, Table B will only include units that were permitted since the start of the planning period. Projection Period units are in a separate column.

Total RHNA
Total Units
Income Level
Very Low
Low
Extremely Low-Income Units*
Note: units serving extremely low-income households are included in the very low-income RHNA progress and must be reported as very low-income units in section 7 of Table A2. They must also be reported in the extremely low-income category (section 13) in Table A2 to be counted as progress toward meeting the extremely low-income housing need determined pursuant to Government Code 65583(a)(1). *Extremely low-income houisng need determined pursuant to Government Code 65583(a)(1). Value in Section 5 is default value, assumed to be half of the very low-income RHNA. May be overwritten.

Progress toward extremely low-income housing need, as determined pursuant to Government Code 65583(a)(1).

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Year 2021 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Date of Rezone Rezone Type
2 4 5 6 7 9 10 11
APN Street Address Project Name+
Local
Jurisdiction
Tracking ID+
Date of Rezone Very Low-
Income Low-Income Moderate-Income Above Moderate-
Income
Rezone Type P arcel Size
(Acres)
General Plan
Designation Zoning M inimum
Density Allowed
Maximum
Density Allowed
Realistic
Capacity Vacant/Nonvacant D escription of Existing
Uses
Note: "+" indicates an optional field
C
ells in grey contain auto-calculation formulas
Summary Row: Start Data Entry Below
83 Project Identifier RHNA Shortfall by Household Income Category Sites Description 1 Sites Identified or Rezoned to Accommodate Shortfall Housing Need and No Net-Loss Law Table C

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Jurisdiction Hesperia
Reporting Year 2021 (Jan. 1 - Dec. 31)
123 4
Name of Program Objective Timeframe in H.E Status of Program Implementation

1.1 Help low/moderate own homes Ongoing

1.2 Use density bonuses for low/moderate Ongoing

1.3 Work w/agencies&developers housing Ongoing

1.4 Housing for homeless&lowest incomes Ongoing

1.5 Energy conservation in housing Ongoing Following building codes, providing information

2.1 Enforce health/safety codes Ongoing Code Enforcement and Building Inspectors working together

2.2 Improve housing through task force Ongoing

2.3 Offer rehab programs to low/mod Ongoing

2.4 Help remove dangerous housing Ongoing Code Enforcement notices owners, remedies issues

2.5 Preserve existing low/mod housing Ongoing

2.6 Offer services/facilities to help residents Ongoing

3.1 Use Land Uses for variety of housing Completed Completed

3.2 Encourage housing near employment Completed Completed

3.3 Encourage residential in unused areas Ongoing Many vacant lots have seen development over the years

3.4 Allow flexibility in zoning for housing Ongoing

4.1 Remove constraints to housing Ongoing Modified codes to prevent speculators from tying up property for long periods

5.1 Provide fair housing info to residents Ongoing Ongoing through Code Enforcement

5.2 Equal access to housing special needs Ongoing

5.3 Promote accessible units in housing Ongoing
Housing Programs Progress Report
Describe progress of all programs including local efforts to remove governmental constraints to the maintenance, improvement, and development of housing as identified in the housing element.

Table D
Program Implementation Status pursuant to GC Section 65583

ANNUAL ELEMENT PROGRESS REPORT
Housing Element Implementation

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Period 2021 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Description of Commercial
Development Bonus
Commercial Development Bonus
Date Approved
34 APN Street Address Project Name+ Local Jurisdiction
Tracking ID+
Very Low
Income
Low
Income
Moderate
Income
Above Moderate
Income
Description of Commercial
Development Bonus
Commercial Development Bonus
Date Approved
Summary Row: Start Data Entry Below
Units Constructed as Part of Agreement
Commercial Development Bonus Approved pursuant to GC Section 65915.7 Table E
Note: "+" indicates an optional field
Project Identifier
1 2
Cells in grey contain auto-calculation
formulas
(CCR Title 25 §6202)
Annual Progress Report January 2020

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT Note: "+" indicates an optional field Reporting Period 2021 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning Period 6th Cycle 10/15/2021 - 10/15/2029
The description should adequately document how
each unit complies with subsection (c) of Government
Code Section 65583.1+.

For detailed reporting requirements, see the chcklist
here:

Extremely Low-
Income+ Very Low-Income+ Low-Income+ TOTAL UNITS+
Extremely Low-
Income+
Very Low-
Income+ Low-Income+ TOTAL UNITS+
https://www.hcd.ca.gov/community-
development/docs/adequate-sites-checklist.pdf
Rehabilitation Activity
Preservation of Units At-Risk
Acquisition of Units
Mobilehome Park Preservation
Total Units by Income
Table F
Please note this table is optional: The jurisdiction can use this table to report units that have been substantially rehabilitated, converted from non-affordable to affordable by acquisition, and preserved, including mobilehome park preservation, consistent with the standards set forth in Government Code section 65583.1, subdivision (c). Please note, motel, hotel, hostel rooms or other structures that are converted from non-residential to residential units pursuant to Government Code section 65583.1(c)(1)(D) are considered net-new housing units and must be reported in Table A2 and not reported in Table F.

Activity Type
Units that Do Not Count Towards RHNA+
Listed for Informational Purposes Only
Units that Count Towards RHNA +
Note - Because the statutory requirements severely limit what can be counted, please contact HCD to receive the password that will enable you to populate these fields.

Units Rehabilitated, Preserved and Acquired for Alternative Adequate Sites pursuant to Government Code section 65583.1(c) Annual Progress Report January 2020

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Note: "+" indicates
an optional field
Reporting Period 2021 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Notes
23 6
Prior APN+ Current APN Street Address Project Name+
Local
Jurisdiction
Tracking ID+
Unit Category
(2 to 4,5+)
Tenure
R=Renter
Very Low-
Income Deed
Restricted
Very Low-
Income Non
Deed
Restricted
Low- Income Deed
Restricted
Low- Income
Non Deed
Restricted
Moderate- Income
Deed Restricted
Moderate- Income
Non Deed
Restricted
Above
Moderate-
Income
Total Moderate Income Units
Converted from Above
Moderate
Date Converted Notes
Summary Row: Start Data Entry Below
Table F2
Above Moderate Income Units Converted to Moderate Income Pursuant to Government Code section 65400.2 For up to 25 percent of a jurisdiction’s moderate-income regional housing need allocation, the planning agency may include the number of units in an existing multifamily building that were converted to deed-restricted rental housing for moderate-income households by the imposition of affordability covenants and restrictions for the unit. Before adding information to this table, please ensure housing developments meet the requirements described in Government Code 65400.2(b). 5 Project Identifier Unit Types
1 4
Affordability by Household Incomes After Conversion Units credited toward Above Moderate RHNA

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Jurisdiction Hesperia
Reporting Period 2021 (Jan. 1 - Dec. 31)
Planning Period 6th Cycle 10/15/2021 - 10/15/2029 ANNUAL ELEMENT PROGRESS REPORT Housing Element Implementation
23 4
APN Street Address Project Name+ Local Jurisdiction
Tracking ID+
Realistic Capacity
Identified in the
Housing Element
Entity to whom the site
transferred Intended Use for Site
1 Summary Row: Start Data Entry Below
Note: "+" indicates an optional field
Cells in grey contain auto-calculation
formulas
Table G
Locally Owned Lands Included in the Housing Element Sites Inventory that have been sold, leased, or otherwise disposed of Project Identifier
NOTE: This table must only be filled out if the housing element sites inventory contains a site which is or was owned by the reporting jurisdiction, and has been sold, leased, or otherwise disposed of during the reporting year.

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Jurisdiction Hesperia Note: "+" indicates an optional field Reporting Period 2021
(Jan. 1 - Dec.
31)
Cells in grey contain auto-calculation
formulas
Designation Size Notes
12 3 4 5 6 7
APN Street Address/Intersection Existing Use Number of
Units
Surplus
Designation
Parcel Size (in
acres) Notes
NOTE: This table is meant to contain an invenory of
ALL surplus/excess lands the reporting jurisdiction
owns
Summary Row: Start Data Entry Below
Parcel Identifier

ANNUAL ELEMENT PROGRESS REPORT
Housing Element Implementation
Table H
Locally Owned Surplus Sites
For San Bernardino County jurisdictions, please format the APN's as follows:9999-999-99-9999

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Note: + indicates an
optional field
Reporting Period 2021 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain
auto-calculation
formulas
Planning Period 6th Cycle
10/15/2021 - 10/15/2029
Project Type Date
23 APN Street Address Project Name+ Local Jurisdiction
Tracking ID+ Activity Date Very Low
Income
Low
Income
Moderate
Income
Above Moderate
Income
Table I
Units Constructed Pursuant to Government Code 65852.21 and Applications for Lot Splits Pursuant to Government Code 66411.7 (SB9) NOTE: SB 9 PROJECTS ONLY. This table only
needs to be completed if there were lot splits
applied for pursuant to Government Code
66411.7 OR units constructed pursuant to
65852.21.

Units entitled/permitted/constructed must also
be reported in Table A2. Applications for these
units must be reported in Table A.

Summary Row: Start Data Entry Below
Project Identifier Unit Constructed
1 4
Annual Progress Report January 2020

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Period 2021 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Project Type Date
2 3
APN Street Address Project Name+ Local Jurisdiction
Tracking ID+
Unit Category
(SH - Student Housing) Date Very Low- Income
Deed Restricted
Very Low- Income
Non Deed
Restricted
Low- Income
Deed Restricted
Low- Income
Non Deed
Restricted
Moderate- Income
Deed Restricted
Moderate- Income
Non Deed
Restricted
Above
Moderate-
Income
Summary Row: Start Data Entry Below
Note
Cells in g
Table J
Student housing development for lower income students for which was granted a density bonus pursuant to subparagraph (F) of paragraph (1) of subdivision (b) of Section 65915 Project Identifier Units (Beds/Student Capacity) Approved 1 4
NOTE: STUDENT HOUSING WITH DENSITY BONUS ONLY. This
table only needs to be completed if there were student housing projects WITH a density bonus approved pursuant to
Government Code65915(b)(1)(F)
Annual Progress Report January 2020

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Jurisdiction Hesperia
Reporting Year 2021 (Jan. 1 - Dec. 31)
Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 121
234
355
Units by Structure Type Entitled Permitted Completed
SFA 0 0 0
SFD 0 234 0
2 to 4 2 8 0
5+ 0 108 0
ADU 29 5 0
MH 0 0 0
Total 31 355 0
13 312
97 0
0 0
0 0
Income Rental Ownership Total
Very Low 00 0
Low 00 0
Moderate 00 0
Above Moderate 00 0
Total 00 0
Cells in grey contain auto-calculation formulas
Very Low
Low
Moderate
Above Moderate
Units Constructed - SB 35 Streamlining Permits
Number of Streamlining Applications Approved
Total Developments Approved with Streamlining
Total Units Constructed with Streamlining
Total Housing Applications Submitted:

Number of Proposed Units in All Applications Received:

Total Housing Units Approved:

Total Housing Units Disapproved:

Total Units
Housing Applications Summary
Use of SB 35 Streamlining Provisions
Note: Units serving extremely low-income households are included in the very low-income permitted units totals Number of Applications for Streamlining
Building Permits Issued by Affordability Summary
Income Level

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Jurisdiction Hesperia
Reporting Year 2021 (Jan. 1 - Dec. 31)
Total Award Amount Total award amount is auto-populated based on amounts entered in rows 15-26.

Task $ Amount Awarded $ Cumulative Reimbursement
Requested
Other
Funding Notes
Summary of entitlements, building permits, and certificates of occupancy (auto-populated from Table A2) Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 31
0 31
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 121
234
355
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
0 0

ANNUAL ELEMENT PROGRESS REPORT
Local Early Action Planning (LEAP) Reporting
(CCR Title 25 §6202)
Please update the status of the proposed uses listed in the entity’s application for funding and the corresponding impact on housing within the region or jurisdiction, as applicable, categorized based on the eligible uses specified in Section 50515.02 or 50515.03, as applicable.
-$
Task Status
Total Units
Certificate of Occupancy Issued by Affordability Summary Income Level
Very Low
Low
Moderate
Above Moderate
Moderate
Above Moderate
Total Units
Completed Entitlement Issued by Affordability Summary
Income Level
Very Low
Low
Moderate
Above Moderate
Total Units
Building Permits Issued by Affordability Summary
Income Level
Very Low
Low

Page 152 ends

Jurisidiction Name
Reporting Calendar Year
First Name
Last Name
Title Click here to download APR Instructions
Email
Phone
Street Address
City
Zipcode
1_23_23
Optional: Click here to import last year's data. This is best used when the workbook is new and empty. You will be prompted to pick an old workbook to import from. Project and program data will be copied exactly how it was entered in last year's form and must be updated. If a project is no longer has any reportable activity, you may delete the project by selecting a cell in the row and typing ctrl + d.
9700 Seventh Avenue
Hesperia
92345
Please Start Here
General Information
2022
Hesperia
Contact Information
Ryan
Leonard
Senior Planner
[email protected]
7609471651
Mailing Address
Annual Progress Report January 2020
Attachment 2-E

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT Note: "+" indicates an optional field Reporting Year 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Date
Application
Submitted
Total
Approved
Units by
Project
Total
Disapproved
Units by
Project
Streamlining
2 3 4 6 7 8 9
Prior APN+ Current APN Street Address Project Name+ Local Jurisdiction Tracking ID+
Unit Category
(SFA,SFD,2 to
4,5+,ADU,MH)
Tenure
R=Renter
O=Owner
Date
Application
Submitted+
(see
instructions)
Very Low-
Income Deed
Restricted
Very Low-
Income Non
Deed
Restricted
Low-Income
Deed
Restricted
Low-Income
Non Deed
Restricted
Moderate-
Income
Deed
Restricted
Moderate-
Income
Non Deed
Restricted
Above
Moderate-
Income
Total P ROPOSED
Units by Project
Total

APPROVED
Units by project
Total

DISAPPROVED
Units by Project
Was APPLICATION

SUBMITTED
Pursuant to GC
65913.4(b)?
(SB 35
Streamlining)
Ddi the housing
development
application seek
incentives or
concessions
pursuant to
Government Code
section 65915?
Summary Row: Start Data Entry Below 0 0 0 0 0 180 199 379 379 0 0413-162-19 N/A SPR22-00003 TPM22- SFA O 3/15/2022 34 34 34 No No 0415-021-19 N/A SPR22-00004 2 to 4 R 3/18/2022 8 8 8 No No 0414-031-22 N/A SPR22-00005 2 to 4 R 3/21/2022 8 8 8 No No 0414-021-18 15932 Seqouia
Street SPR22-00006 2 to 4 R 3/21/2022 8 8 8 No No
0410-242-27 N/A SPR22-00008 SFA O 5/3/2022 12 12 12 No No 0407-251-12 N/A SPR22-00010 5+ R 5/31/2022 86 86 86 No Yes 3057-131-33 N/A SPR22-00016 5+ R 9/14/2022 36 36 36 No Yes 0410-192-19 N/A SPR22-00019 5+ R 10/31/2022 24 24 24 No Yes 0414-011-17 N/A SPR22-00020 2 to 4 R 12/20/2022 10 10 10 No Yes 0405-052-42 N/A TT22-00002 SFD O 3/31/2022 79 79 79 No No 0410-221-08 N/A TT22-00004 SFA O 8/8/2022 74 74 74 No No 0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 Table A
Cells in grey contain auto-calculation formulas
51 Project Identifier Unit Types Proposed Units - Affordability by Household Incomes Density Bo Applica
10 Housing Development Applications Submitted

Page 154 ends

Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Year 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Table A2
Streamlining Infill
Housing without Financial
Assistance or Deed
Restrictions
Term of Affordability
or Deed Restriction Notes
23 56 89 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25
Prior APN+ Current APN Street Address Project Name + Local Jurisdiction Tracking ID+
Unit Category
(SFA,SFD,2 to
4,5+,ADU,MH)
Tenure
R=Renter
O=Owner
Very Low-
Income Deed
Restricted
Very Low- Income Non Deed Restricted
Low- Income
Deed
Restricted
Low- Income
Non Deed
Restricted
Moderate-
Income Deed
Restricted
Moderate-
Income Non
Deed
Restricted
Above
Moderate-
Income
Entitlement
Date Approved
# of Units issue d
Entitlements
Very Low-
Income Deed
Restricted
Very Low- Income Non Deed Restricted
Low- Income
Deed
Restricted
Low- Income
Non Deed
Restricted
Moderate-
Income Deed
Restricted
Moderate-
Income Non
Deed
Restricted
Above
Moderate-
Income
Building Permits
Da te Issue d
# of Units Issue d
Building Permits
Very Low-
Income Deed
Restricted
Very Low-
Income Non
Deed
Restricted
Low- Income
Deed
Restricted
Low- Income
Non Deed
Restricted
Moderate-
Income Deed
Restricted
Moderate-
Income Non
Deed
Restricted
Above
Moderate-
Income
Certificates of
Occupancy or other
forms of re a dine ss
(see instructions)
Da te Issue d
# of Units
issued
Certificates of
Occupancy or
other forms of
readines s
How many of
the units were
Extremely Low
Income?
+
Was Project
APPROVED using
GC 65913.4(b)?
(SB 35
Streamlining)
Y/N
Infill Units?
Y/N+
Assista nce Progra ms
for Each Development
(may select multiple -
s ee ins tructions )
Deed Res triction
Type
(may select
multiple - see
instructions)
For units affordable without
financial assistance or deed
restrictions, explain how the
locality determined the units
were affordable
(s ee ins tructions )
Term of Affordability or
Deed Res triction (years )
(if affordable in perpetuity
enter 1000)+
Number of
Demolis hed/Des
troyed Units
Demolished or
Destroyed Units
Demolished/De
stroye d Units
Owner or
Renter
Total Density Bonus Applied
to the Project (Percentage
Increase in Total Allowable
Units or Total Maximum
Allowable Residential Gross
Floor Area)
Number of Other
Incentives,
Concessions, Waivers,
or Other Modifications
Given to the Project
(Excluding Parking
Waivers or Parking
Reductions)
List the incentives,
conce ssions,
waivers , and
modifications
(Excluding Parking
Waivers or Parking
Modifications)
Did the project receive a
reduction or waiver of
parking standards? (Y/N)
Notes+
Summary Row: Start Data Entry Below 0 0 0 0 0 37 0 37 0 0 0 0 0 12 243 255 0 0 0 0 0 0 0 0 00 00 0399-153-10 18121 PITACHE ST RES22-00001 SFD O 0 17 / 1 / 2 0 2 2 1 0N Y 0398-113-14 350 MINSTEAD AVE RES22-00004 SFD O 0 1 1/10/2022 1 0N Y 0414-143-06 0535 SEVENTH AVE RES22-00005 SFD O 0 1 1/10/2022 1 0N Y 0398-465-07 9153 DANBURY AVE RES21-00064 SFD O 0 1 5/26/2022 1 0N Y 0415-112-27 17082 BIRCH ST RES21-00120 SFD O 0 1 2/24/2022 1 0N Y 0399-156-34 7726 SYCAMORE ST RES21-00347 SFD O 0 15 / 9 / 2 0 2 2 1 0N Y 0408-012-21 1138 HEMLOCK AVE RES21-00491 SFD O 0 1 5/23/2022 1 0N Y 0411-352-20 18517 LIVE OAK RES21-00535 SFD O 0 1 5/10/2022 1 0N Y 3046-301-29 912 CLEAR CREEK ST RES21-00624 SFD O 0 13 / 9 / 2 0 2 2 1 0N N 3046-301-30 8694 CHESTER AVE RES21-00625 SFD O 0 13 /9/2022 1 0N N 3046-301-31 8684 CHESTER AVE RES21-00626 SFD O 0 13 /9/2022 1 0N N 3046-301-32 8672 CHESTER AVE RES21-00627 SFD O 0 13 /9/2022 1 0N N 3046-301-33 8660 CHESTER AVE RES21-00628 SFD O 0 13 /9/2022 1 0N N 3046-311-01 8648 CHESTER AVE RES21-00629 SFD O 0 13 /9/2022 1 0N N 0413-171-13 15707 ORANGE ST RES21-00640 ADU R 0 12 / 4 / 2 0 2 2 1 0 N Y Moderate Income 3046-311-02 8630 CHESTER AVE RES21-00643 SFD O 0 13 /9/2022 1 0N N 3046-311-03 2913 TEHACHAPI ST RES21-00644 SFD O 0 13 / 9 / 2 0 2 2 1 0N N 3046-261-69 3053 SARATOGA ST RES21-00645 SFD O 0 13 / 9 / 2 0 2 2 1 0N N 3046-261-70 3059 SARATOGA ST RES21-00647 SFD O 0 1 2/10/2022 1 0N N 3046-261-71 3069 SARATOGA ST RES21-00648 SFD O 0 1 2/10/2022 1 0N N 3046-261-72 3073 SARATOGA ST RES21-00649 SFD O 0 1 2/10/2022 1 0N N 3046-261-73 3087 SARATOGA ST RES21-00650 SFD O 0 1 2/10/2022 1 0N N 3046-261-74 3097 SARATOGA ST RES21-00651 SFD O 0 1 2/10/2022 1 0N N 0407-291-12 16316 SPRUCE ST RES21-00656 SFD O 0 1 9/28/2022 1 0N Y 0407-154-05 70 SEVENTH ST UNIT 2 RES21-00674 ADU R 0 14 / 1 / 2 0 2 2 1 0 N Y Moderate Income 0398-223-11 8078 CORONA RES21-00692 SFD O 0 1 4/14/2022 1 0N Y 0398-231-15 300 BUCKTHORN AVE RES21-00695 SFD O 0 1 11/17/2022 1 0N Y 0398-301-13 18838 HINTON ST RES21-00706 SFD O 0 13 / 8 / 2 0 2 2 1 0N Y 3046-321-03 4364 HARTFORD ST RES22-00020 SFD O 0 14 / 5 / 2 0 2 2 1 0N N 0397-441-13 921 RANCHWOOD CT RES22-00022 SFD O 0 12 / 3 / 2 0 2 2 1 0N N 3046-321-02 4378 HARTFORD ST RES22-00023 SFD O 0 14 / 5 / 2 0 2 2 1 0N N 0399-137-16 8014 CAPRI STREET RES22-00024 SFD O 0 1 1/31/2022 1 0N Y 0411-347-06 18175 VINE STREET RES22-00026 SFD O 0 1 1/31/2022 1 0N Y 0408-064-12 0753 ARROYO ROAD RES22-00028 SFD O 0 1 1/19/2022 1 0N Y 0399-182-01 17999 SYCAMORE RES22-00029 SFD O 0 1 2/28/2022 1 0N Y 0415-063-19 1454 SECOND AVE RES22-00030 SFD O 0 1 2/28/2022 1 0N Y 0399-206-05 18303 CATALPA RES22-00035 SFD O 0 1 1/26/2022 1 0N Y 0406-043-07 11967 ARROYO RES22-00037 SFD O 0 1 8/30/2022 1 0N Y 0408-181-11 9 BALSAM AVE UNIT 2 RES22-00042 ADU R 0 1 7/25/2022 1 0 N Y Moderate Income 0411-354-18 280 LA GRANGE AVE RES22-00051 SFD O 0 1 4/21/2022 1 0N N 0408-112-23 14865 CASHEW ST RES22-00058 SFD O 0 1 2/11/2022 1 0N Y 0411-251-05 9465 I AVE RES22-00064 SFD O 0 1 2/15/2022 1 0N Y 0408-145-14 14569 WALNUT AVE RES22-00066 SFD O 0 1 2/16/2022 1 0N Y 0412-031-22 15796 PALM ST RES22-00067 SFD O 0 1 2/16/2022 1 0N Y 0398-214-24 8235 DANBURY AVE RES22-00068 SFD O 0 1 2/16/2022 1 0N Y 0399-042-09 11170 E AVE RES22-00069 SFD O 0 1 2/18/2022 1 0N Y 0412-092-09 8362 NINTH AVE RES22-00073 SFD O 0 1 3/21/2022 1 0N N 0412-091-22 8360 TENTH RES22-00074 SFD O 0 1 3/25/2022 1 0N Y 0405-371-17 N/A 7896 BAYLOR AVE RES22-00078 SFD O 0 13 /3/2022 1 0N N 0405-371-17 N/A 14102 CHAPMAN ST RES22-00079 SFD O 0 13 /3/2022 1 0N N 0405-371-17 N/A 14114 CHAPMAN ST RES22-00080 SFD O 0 13 /3/2022 1 0N N 0405-371-17 N/A 14126 CHAPMAN ST RES22-00081 SFD O 0 13 /3/2022 1 0N N 0405-371-17 N/A 14138 CHAPMAN ST RES22-00082 SFD O 0 13 /3/2022 1 0N N 0398-327-25 7951 GAYLOP AVE RES22-00092 SFD O 0 13 /1/2022 1 0N N 0398-161-02 17836 HINTON ST RES22-00093 SFD O 0 1 6/29/2022 1 0N Y 3046-261-32 8757 ALTURAS AVE RES22-00104 SFD O 0 1 3/22/2022 1 0N N 3046-261-35 8723 ALTURAS AVE RES22-00105 SFD O 0 1 3/22/2022 1 0N N 3046-261-26 3082 ROSAMOND CT RES22-00106 SFD O 0 1 3/22/2022 1 0N N 3046-261-30 3118 ROSAMOND CT RES22-00107 SFD O 0 1 3/22/2022 1 0N N 3046-261-42 8774 ALTURAS AVE RES22-00108 SFD O 0 1 3/22/2022 1 0N N 3046-261-39 8750 ALTURAS AVE RES22-00109 SFD O 0 1 3/22/2022 1 0N N 3046-261-41 8768 ALTURAS AVE RES22-00110 SFD O 0 1 3/22/2022 1 0N N 3046-261-28 3102 ROSAMOND CT RES22-00111 SFD O 0 1 3/22/2022 1 0N N 3046-261-31 3113 ROSAMOND CT RES22-00112 SFD O 0 1 3/22/2022 1 0N N 3046-261-37 8730 ALTURAS AVE RES22-00113 SFD O 0 1 3/22/2022 1 0N N 3046-261-33 8745 ALTURAS AVE RES22-00114 SFD O 0 1 3/22/2022 1 0N N 3046-261-36 8720 ALTURAS AVE RES22-00115 SFD O 0 1 3/22/2022 1 0N N 3046-261-25 3074 ROSAMOND CT RES22-00116 SFD O 0 1 3/22/2022 1 0N N 3046-261-43 8778 ALTURAS AVE RES22-00117 SFD O 0 1 3/22/2022 1 0N N 3046-261-27 3096 ROSAMOND CT RES22-00118 SFD O 0 1 3/22/2022 1 0N N 3046-261-38 8740 ALTURAS AVE RES22-00119 SFD O 0 1 3/22/2022 1 0N N 3046-261-34 8735 ALTURAS AVE RES22-00120 SFD O 0 1 3/22/2022 1 0N N 3046-261-29 3110 ROSAMOND CT RES22-00121 SFD O 0 1 3/22/2022 1 0N N 3046-261-40 8760 ALTURAS AVE RES22-00122 SFD O 0 1 3/22/2022 1 0N N 0413-061-14 16443 JUNIPER ST RES22-00125 2 to 4 R 0 2 11/1/2022 2 0 N Y Moderate Income 0405-371-17 N/A 14113 CHAPMAN ST RES22-00126 SFD O 0 1 3/14/2022 1 0N N 0405-371-17 N/A 14173 CHAPMAN ST RES22-00127 SFD O 0 1 3/14/2022 1 0N N 0405-371-17 N/A 14125 CHAPMAN ST RES22-00128 SFD O 0 1 3/14/2022 1 0N N 0405-371-17 N/A 14161 CHAPMAN ST RES22-00129 SFD O 0 1 3/14/2022 1 0N N 0405-371-17 N/A 14137 CHAPMAN ST RES22-00130 SFD O 0 1 3/14/2022 1 0N N 0405-371-17 N/A 14149 CHAPMAN ST RES22-00133 SFD O 0 1 3/14/2022 1 0N N 0409-201-03 7535 MAPLE RES22-00138 SFD O 0 1 3/16/2022 1 0N Y 3046-301-24 966 CLEAR CREEK ST RES22-00144 SFD O 0 1 3/23/2022 1 0N N 3046-301-46 927 CLEAR CREEK ST RES22-00145 SFD O 0 1 3/23/2022 1 0N N 3046-301-52 983 CLEAR CREEK ST RES22-00146 SFD O 0 1 3/23/2022 1 0N N 3046-301-16 2951 CARLSBAD S T RES22-00147 SFD O 0 1 3/23/2022 1 0N N 3046-301-20 2995 CARLSBAD S T RES22-00148 SFD O 0 1 3/23/2022 1 0N N 3046-301-27 940 CLEAR CREEK ST RES22-00149 SFD O 0 1 3/23/2022 1 0N N 3046-301-49 957 CLEAR CREEK ST RES22-00150 SFD O 0 1 3/23/2022 1 0N N 3046-301-22 984 CLEAR CREEK ST RES22-00151 SFD O 0 1 3/23/2022 1 0N N 3046-301-54 025 CLEAR CREEK ST RES22-00152 SFD O 0 1 3/23/2022 1 0N N 3046-301-05 2964 CARLSBAD S T RES22-00153 SFD O 0 1 3/23/2022 1 0N N 3046-301-26 950 CLEAR CREEK ST RES22-00154 SFD O 0 1 3/23/2022 1 0N N 3046-301-21 004 CLEAR CREEK ST RES22-00155 SFD O 0 1 3/23/2022 1 0N N 3046-301-51 973 CLEAR CREEK ST RES22-00156 SFD O 0 1 3/23/2022 1 0N N 3046-301-04 2976 CARLSBAD ST RES22-00157 SFD O 0 1 3/23/2022 1 0N N 3046-301-47 939 CLEAR CREEK ST RES22-00158 SFD O 0 1 3/23/2022 1 0N N 3046-301-53 003 CLEAR CREEK ST RES22-00159 SFD O 0 1 3/23/2022 1 0N N 3046-301-17 2961 CARLSBAD ST RES22-00161 SFD O 0 1 3/23/2022 1 0N N 3046-301-55 039 CLEAR CREEK ST RES22-00162 SFD O 0 1 3/23/2022 1 0N N 3046-301-48 965 CLEAR CREEK ST RES22-00164 SFD O 0 1 3/23/2022 1 0N N 3046-301-19 2983 CARLSBAD ST RES22-00165 SFD O 0 1 3/23/2022 1 0N N 3046-301-23 974 CLEAR CREEK ST RES22-00166 SFD O 0 1 3/23/2022 1 0N N 3046-301-25 958 CLEAR CREEK ST RES22-00167 SFD O 0 1 3/23/2022 1 0N N 3046-301-28 928 CLEAR CREEK ST RES22-00168 SFD O 0 1 3/23/2022 1 0N N 3046-301-18 2971 CARLSBAD S T RES22-00169 SFD O 0 1 3/23/2022 1 0N N 0412-152-10 15589 LA RCH ST 2 RES22-00186 ADU R 0 1 10/19/2022 1 0 N Y Moderate Income 3046-301-06 2942 CARLSBAD S T RES22-00190 SFD O 0 14 /6/2022 1 0N N 3046-301-08 2926 CARLSBAD S T RES22-00191 SFD O 0 14 /6/2022 1 0N N 3046-301-07 2936 CARLSBAD S T RES22-00192 SFD O 0 14 /6/2022 1 0N N 3046-301-11 2901 CARLSBAD S T RES22-00194 SFD O 0 14 /6/2022 1 0N N 3046-301-14 2933 CARLSBAD S T RES22-00195 SFD O 0 14 /6/2022 1 0N N 3046-301-10 2902 CARLSBAD S T RES22-00197 SFD O 0 14 /6/2022 1 0N N 3046-301-12 2913 CARLSBAD S T RES22-00199 SFD O 0 14 /6/2022 1 0N N 3046-301-09 2916 CARLSBAD S T RES22-00201 SFD O 0 14 /6/2022 1 0N N 3046-301-15 2939 CARLSBAD S T RES22-00202 SFD O 0 14 /6/2022 1 0N N 3046-301-13 2923 CARLSBAD S T RES22-00203 SFD O 0 14 /6/2022 1 0N N 3046-261-04 3030 LANCASTER ST RES22-00204 SFD O 0 14 /6/2022 1 0N N 3046-261-08 3056 LANCASTER ST RES22-00205 SFD O 0 14 /6/2022 1 0N N 3046-261-13 3092 LANCASTER ST RES22-00206 SFD O 0 14 /6/2022 1 0N N 3046-261-20 3103 LANCASTER ST RES22-00207 SFD O 0 14 /6/2022 1 0N N 3046-261-06 3042 LANCASTER ST RES22-00208 SFD O 0 14 /6/2022 1 0N N 3046-261-45 3047 LANCASTER ST RES22-00209 SFD O 0 14 /6/2022 1 0N N 3046-261-11 3076 LANCASTER ST RES22-00210 SFD O 0 14 /6/2022 1 0N N 3046-261-15 3106 LANCASTER ST RES22-00211 SFD O 0 14 /6/2022 1 0N N 3046-261-05 3036 LANCASTER ST RES22-00212 SFD O 0 14 /6/2022 1 0N N 3046-261-09 3064 LANCASTER ST RES22-00213 SFD O 0 14 /6/2022 1 0N N 3046-261-22 3093 LANCASTER ST RES22-00214 SFD O 0 14 /6/2022 1 0N N 3046-261-14 3098 LANCASTER ST RES22-00215 SFD O 0 14 /6/2022 1 0N N 3046-261-19 3111 LANCASTER ST RES22-00216 SFD O 0 14 /6/2022 1 0N N 3046-261-44 3055 LANCASTER ST RES22-00217 SFD O 0 14 /6/2022 1 0N N 3046-261-47 3035 LANCASTER ST RES22-00218 SFD O 0 14 /6/2022 1 0N N 3046-261-12 3084 LANCASTER ST RES22-00219 SFD O 0 14 /6/2022 1 0N N 3046-261-24 3073 LANCASTER ST RES22-00220 SFD O 0 14 /6/2022 1 0N N 3046-261-17 3120 LANCASTER ST RES22-00222 SFD O 0 14 /6/2022 1 0N N 3046-261-07 3048 LANCASTER ST RES22-00223 SFD O 0 14 /6/2022 1 0N N 3046-261-23 3081 LANCASTER ST RES22-00224 SFD O 0 14 /6/2022 1 0N N 3046-261-16 3112 LANCASTER ST RES22-00225 SFD O 0 14 /6/2022 1 0N N 3046-261-46 3041 LANCASTER ST RES22-00226 SFD O 0 14 /6/2022 1 0N N 3046-261-10 3070 LANCASTER ST RES22-00228 SFD O 0 14 /6/2022 1 0N N 3046-261-18 3119 LANCASTER ST RES22-00229 SFD O 0 14 /6/2022 1 0N N 3046-261-21 3097 LANCASTER ST RES22-00230 SFD O 0 14 /6/2022 1 0N N 3046-201-36 8792 REDONDO AVE RES22-00231 SFD O 0 14 /6/2022 1 0N N 3046-201-40 13144 UPLAND ST RES22-00232 SFD O 0 14 /6/2022 1 0N N 0413-202-15 9075 SIXTH ST RES22-00233 SFD O 0 1 3/31/2022 1 0N Y 3046-201-46 8793 REDONDO AVE RES22-00234 SFD O 0 14 /7/2022 1 0N N 3046-201-39 13138 UPLAND ST RES22-00235 SFD O 0 14 /7/2022 1 0N N 3046-201-47 8789 REDONDO AVE RES22-00236 SFD O 0 14 /7/2022 1 0N N 3046-201-45 13176 UPLAND ST RES22-00237 SFD O 0 14 /7/2022 1 0N N 0398-381-17 ARROWHEAD LAKE RD RES22-00240 SFD O 0 1 3/31/2022 1 0N N 0405-303-32 10227 TOPAZ AVE RES22-00243 SFD O 0 1 4/28/2022 1 0N N 0405-303-33 10219 TOPAZ AVE RES22-00244 SFD O 0 1 4/28/2022 1 0N N 0405-303-34 10211 TOPAZ AVE RES22-00245 SFD O 0 1 4/28/2022 1 0N N 0405-303-35 10205 TOPAZ AVE RES22-00246 SFD O 0 1 4/28/2022 1 0N N 0399-052-26 413 EUCALYPTUS ST RES22-00252 SFD O 0 14 /5/2022 1 0N N 0399-052-25 393 EUCALYPTUS ST RES22-00253 SFD O 0 14 /5/2022 1 0N N 0398-232-14 17424 ADOBE RES22-00254 SFD O 0 14 /6/2022 1 0N Y 0411-101-01 17721 MOJAVE ST RES22-00255 SFD O 0 14 /6/2022 1 0N Y 3057-341-15 2951 CAMPBELL C T RES22-00256 SFD O 0 1 5/12/2022 1 0N N 3057-341-21 2980 CAMPBELL C T RES22-00257 SFD O 0 1 5/12/2022 1 0N N 3057-341-23 2960 CAMPBELL C T RES22-00258 SFD O 0 1 5/12/2022 1 0N N 3057-341-16 2963 CAMPBELL C T RES22-00259 SFD O 0 1 5/12/2022 1 0N N 3057-341-18 2985 CAMPBELL C T RES22-00260 SFD O 0 1 5/12/2022 1 0N N 3057-341-22 2972 CAMPBELL C T RES22-00261 SFD O 0 1 5/12/2022 1 0N N 3057-341-17 2975 CAMPBELL C T RES22-00262 SFD O 0 1 5/12/2022 1 0N N 3057-341-19 2991 CAMPBELL C T RES22-00263 SFD O 0 1 5/12/2022 1 0N N 3057-341-20 2990 CAMPBELL C T RES22-00264 SFD O 0 1 5/12/2022 1 0N N 3057-341-24 2948 CAMPBELL C T RES22-00265 SFD O 0 1 5/12/2022 1 0N N 0411-031-27 293 TIMBERLANE AVE RES22-00283 SFD O 0 1 4/19/2022 1 0N Y 0412-262-10 6965 PALM STREE T RES22-00284 SFD O 0 1 4/18/2022 1 0N N 0406-112-10 11547 ARROYO RES22-00290 SFD O 0 18 /9/2022 1 0N Y 0409-102-11 14990 JOSHUA ST 2 RES22-00291 ADU R 0 1 7/29/2022 1 0 N N Moderate Income 0414-121-11 11150 FOURTH AVE RES22-00292 SFD O 0 1 4/22/2022 1 0N Y 0412-172-07 63 THIRD AVE UNIT 2 RES22-00295 ADU R 0 1 8/23/2022 1 0 N Y Moderate Income 0405-303-28 10251 TOPAZ AVE RES22-00296 SFD O 0 1 5/10/2022 1 0N N 0405-303-29 10245 TOPAZ AVE RES22-00298 SFD O 0 1 5/10/2022 1 0N N 0405-303-30 10239 TOPAZ AVE RES22-00299 SFD O 0 1 5/10/2022 1 0N N 0405-303-31 10233 TOPAZ AVE RES22-00300 SFD O 0 1 5/10/2022 1 0N N 0398-381-18 88 ARROWHEAD LAKE RES22-00302 SFD O 0 1 4/28/2022 1 0N N 0406-161-25 1522 HEMLOCK AVE RES22-00303 SFD O 0 1 4/28/2022 1 0N Y 0399-207-26 18334 DEODAR RES22-00304 SFD O 0 1 5/26/2022 1 0N Y 0405-371-17 N/A 14156 CORNELL CT RES22-00306 SFD O 0 1 5/10/2022 1 0N N 0405-371-17 N/A 14159 CORNELL CT RES22-00307 SFD O 0 1 5/10/2022 1 0N N 0405-371-17 N/A 14166 CORNELL CT RES22-00308 SFD O 0 1 5/10/2022 1 0N N 0405-371-17 N/A 14135 CORNELL CT RES22-00309 SFD O 0 1 5/10/2022 1 0N N 0405-371-17 N/A 14144 CORNELL CT RES22-00310 SFD O 0 1 5/10/2022 1 0N N 0405-371-17 N/A 14147 CORNELL CT RES22-00311 SFD O 0 1 5/10/2022 1 0N N 0405-371-17 N/A 14178 CORNELL CT RES22-00312 SFD O 0 1 5/10/2022 1 0N N 0413-061-13 16476 Y UCCA ST 2 RES22-00313 ADU R 0 1 6/15/2022 1 0 N Y Moderate Income 0405-371-17 N/A 14171 CORNELL CT RES22-00315 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14251 FIR ST RES22-00326 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14227 FIR ST RES22-00327 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14197 FIR ST RES22-00328 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14235 FIR ST RES22-00329 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14219 FIR ST RES22-00330 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14201 FIR ST RES22-00331 SFD O 0 1 5/17/2022 1 0N N 0415-111-26 7184 SYCAMORE ST RES22-00332 SFD O 0 1 7/14/2022 1 0N N 0405-371-17 N/A 14243 FIR ST RES22-00337 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14189 FIR ST RES22-00338 SFD O 0 1 5/17/2022 1 0N N 0405-371-17 N/A 14211 FIR ST RES22-00339 SFD O 0 1 5/17/2022 1 0N N 0397-441-19 16992 RYELAND RD RES22-00340 SFD O 0 1 5/17/2022 1 0N Y 0406-043-04 11897 ARROYO RD RES22-00344 SFD O 0 1 5/19/2022 1 0N Y 0405-303-23 10299 TOPAZ AVE RES22-00355 SFD O 0 1 5/25/2022 1 0N N 0405-303-24 10285 TOPAZ AVE RES22-00356 SFD O 0 1 5/25/2022 1 0N N 0405-303-25 10273 TOPAZ AVE RES22-00357 SFD O 0 1 5/25/2022 1 0N N 0405-303-26 10265 TOPAZ AVE RES22-00358 SFD O 0 1 5/25/2022 1 0N N 0405-303-27 10257 TOPAZ AVE RES22-00359 SFD O 0 1 5/25/2022 1 0N N 3046-321-15 4313 PLYMOUTH S T RES22-00360 SFD O 0 1 5/25/2022 1 0N N 3046-321-16 4323 PLYMOUTH S T RES22-00361 SFD O 0 1 5/25/2022 1 0N N 3046-321-14 4303 PLYMOUTH S T RES22-00362 SFD O 0 1 5/25/2022 1 0N N 3046-321-13 28 ROCKINGHAM AVE RES22-00363 SFD O 0 1 5/25/2022 1 0N N 0399-121-14 17996 WISTERIA RES22-00371 SFD O 0 1 7/20/2022 1 0N Y 0411-281-14 8962 PECAN AVE RES22-00376 SFD O 0 1 9/26/2022 1 0N N 0397-441-06 16917 MORA CT RES22-00378 SFD O 0 16 /2/2022 1 0N N 0397-441-15 16934 RYELAND RD RES22-00379 SFD O 0 16 /2/2022 1 0N N 0415-123-10 068 EUCALYPTUS ST RES22-00381 SFD O 0 18 /5/2022 1 0N N 0398-211-21 8343 LANGDON AVE RES22-00382 SFD O 0 1 8/30/2022 1 0N N 0405-371-17 N/A 772 TAMARISK AVE RES22-00390 SFD O 0 16 /9/2022 1 0N N 0405-371-17 N/A 760 TAMARISK AVE RES22-00391 SFD O 0 16 /9/2022 1 0N N 0405-371-17 N/A 733 TAMARISK AVE RES22-00392 SFD O 0 16 /9/2022 1 0N N 0405-371-17 N/A 748 TAMARISK AVE RES22-00393 SFD O 0 16 /9/2022 1 0N N 0405-371-17 N/A 769 TAMARISK AVE RES22-00394 SFD O 0 16 /9/2022 1 0N N 0405-371-17 N/A 757 TAMARISK AVE RES22-00395 SFD O 0 16 /9/2022 1 0N N 0405-371-17 N/A 743 TAMARISK AVE RES22-00396 SFD O 0 16 /9/2022 1 0N N 0413-202-03 8811 6TH AVE RES22-00419 SFD O 0 1 10/3/2022 1 0N Y 0412-091-04 40 MESQUITE ST UNIT 2 RES22-00423 ADU R 0 1 7/22/2022 1 0 N Y Moderate Income 0408-134-17 14763 JUNIPER RES22-00425 SFD O 0 1 7/19/2022 1 0N N Note: "+" indicates an optional field
Housing with Financial Assistance
and/or Deed Restrictions Demolished/Destroyed UnitsProject Identifier Annual Building Activity Report Summary - New Construction, Entitled, Permits and Completed Units Density Bonus
1 Unit Types Affordability by Household Incomes - Completed Entitlement Affordability by Household Incomes - Building Permits Affordability by Household Incomes - Certificates of Occupancy 4 7 10

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Year 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Note: "+" indicates an optional field
0398-094-02 7866 KENYON RES22-00616 SFD O 0 1 8/29/2022 1 0N N 0412-262-11 16975 PALM ST RES22-00617 SFD O 0 1 7/18/2022 1 0N N 0405-244-01 14645 HARDING S T RES22-00622 SFD O 0 1 9/15/2022 1 0N N 0414-033-15 11891 SIXTH RES22-00627 SFD O 0 1 7/19/2022 1 0N Y 0405-242-09 7164 KINGSLEY RES22-00646 SFD O 0 1 9/19/2022 1 0N Y 0399-101-01 18237 VALENCIA ST RES22-00658 SFD O 0 1 9/12/2022 1 0N N 0398-462-14 9161 WESTLAWN ST RES22-00666 SFD O 0 1 8/22/2022 1 0N N 0406-022-10 838 REDWOOD RD 2 RES22-00672 ADU R 0 1 10/18/2022 1 0 N Y Moderate Income 0414-134-13 10710 THIRD AVE RES22-00674 SFD O 0 1 10/7/2022 1 0N Y 0397-261-40 7098 EL CAJON LN RES22-00686 SFD O 0 18 /8/2022 1 0N Y 0397-441-14 16920 RYELAND RD RES22-00687 SFD O 0 1 9/23/2022 1 0N N 0397-441-18 16980 RYELAND RD RES22-00688 SFD O 0 1 9/12/2022 1 0N N 0397-441-02 16932 MORA CT RES22-00689 SFD O 0 1 10/27/2022 1 0N N 0414-051-06 64 FOURTH AVE UNIT 2 RES22-00691 ADU R 0 19 /7/2022 1 0 N Y Moderate Income 0411-222-08 17475 SULTANA S T RES22-00700 SFD O 0 1 11/22/2022 1 0N Y 0413-062-02 16537 JUNIPER ST RES22-00712 SFD O 0 1 8/24/2022 1 0N N 0415-022-30 17340 CAPRI ST RES22-00717 SFD O 0 1 10/4/2022 1 0N N 0414-111-31 0995 SEVENTH AVE RES22-00732 SFD O 0 1 9/21/2022 1 0N N 0409-161-39 14586 ASH ST RES22-00766 SFD O 0 1 11/9/2022 1 0N N 0408-171-32 14956 WALNUT RES22-00782 SFD O 0 1 10/17/2022 1 0N N 0399-192-08 18107 CATALPA RES22-00785 SFD O 0 1 10/6/2022 1 0N N 0415-112-07 7199 SYCAMORE ST RES22-00795 SFD O 0 1 11/8/2022 1 0N N 0410-221-23 7050 MUSCATEL S T RES22-00802 SFD O 0 1 10/18/2022 1 0N N 0409-041-32 5218 MUSCATEL S T RES22-00806 SFD O 0 1 10/25/2022 1 0N N 0406-132-12 01 COTTONWOOD AVE RES22-00811 SFD O 0 1 10/28/2022 1 0N Y 0398-201-15 7948 DANBURY AVE RES22-00847 SFD O 0 1 11/30/2022 1 0N N 0398-073-16 7716 I AVE RES22-00863 SFD R 0 1 12/4/2022 1 0N N 0407-172-17 16440 PINE ST ADU22-00001 ADU R 1 1/27/2022 1 0 0 N Y Moderate Income 0412-152-10 15589 LARCH ST
2 ADU22-00002 ADU R 1 2/14/2022 1 0 0 N Y Moderate Income 0412-172-07 7463 THIRD AVE
UNIT 2 ADU22-00003 ADU R 1 4/19/2022 1 0 0 N Y Moderate Income 0411-241-10 17515 LIVE OAK
ST ADU22-00004 ADU R 1 3/8/2022 1 0 0 N Y Moderate Income 0406-072-51 11446 ELEVENTH
AVE ADU22-00005 ADU R 1 3/2/2022 1 0 0 N Y Moderate Income 0407-103-22 9945 SEVENTH
AVE ADU22-00006 ADU R 1 3/29/2022 1 0 0 N Y Moderate Income 0397-161-52 N/A ADU22-00007 ADU R 1 4/1/2022 1 0 0 N Y Moderate Income 0409-102-11 14990 JOSHUA ST ADU22-00008 ADU R 1 4/1/2022 1 0 0 N Y Moderate Income 0413-061-13 16476 YUCCA ST
2 ADU22-00009 ADU R 1 4/8/2022 1 0 0 N Y Moderate Income 0414-081-18 11526 TENTH AVE ADU22-00010 ADU R 1 4/8/2022 1 0 0 N Y Moderate Income 0412-182-05 15441 WELLS
FARGO RD ADU22-00011 ADU R 1 6/27/2022 1 0 0 N Y Moderate Income 0407-291-12 16316 SPRUCE
ST 2 ADU22-00012 ADU R 1 4/8/2022 1 0 0 N Y Moderate Income 0412-091-04 15440 MESQUITE
ST ADU22-00013 ADU R 1 6/3/2022 1 0 0 N Y Moderate Income 0407-273-10 16015 SPRUCE
STREET ADU22-00014 ADU R 1 5/20/2022 1 0 0 N Y Moderate Income 0409-111-24
8460

COTTONWOOD
AVE
ADU22-00015 ADU R 1 6/27/2022
1 0 0 N Y Moderate Income
0413-052-23 16380 YUCCA ST
2 ADU22-00016 ADU R 1 7/12/2022 1 0 0 N Y Moderate Income 0413-052-02 16376 YUCCA
STREET 2 ADU22-00017 ADU R 1 7/12/2022 1 0 0 N Y Moderate Income 3057-131-37 9525 PRIMEROSE
ST ADU22-00018 ADU R 1 7/25/2022 1 0 0 N Y Moderate Income 0406-162-23 11444 OAKWOOD
AVE ADU22-00019 ADU R 1 12/9/2022 1 0 0 N Y Moderate Income 0412-012-15 8545 NINTH ST ADU22-00020 ADU R 1 7/15/2022 1 0 0 N Y Moderate Income 0399-09-221 18330 VALENCIA
STREET ADU22-00022 ADU R 1 7/28/2022 1 0 0 N Y Moderate Income 0411-071-22 HE RCULES ST ADU22-0 0024 ADU R 1 8/16/2022 1 0 0 N Y Moderate Income 0406-022-10 11838 REDWOOD ADU22-00025 ADU R 1 8/3/2022 1 0 0 N Y Moderate Income 0412-112-09 16007 ASH ST ADU22-00027 ADU R 1 8/16/2022 1 0 0 N Y Moderate Income 0409-022-08 15097 OLIVE ST ADU22-00028 ADU R 1 10/27/2022 1 0 0 N Y Moderate Income 0406-123-08 10990 BALSAM
RS ADU22-00029 ADU R 1 8/24/2022 1 0 0 N Y Moderate Income 3057-311-28 14143 DRY
CREEK ST ADU22-00030 ADU R 1 9/19/2022 1 0 0 N Y Moderate Income 0414-081-07 11525 ELEVENTH
ST ADU22-00031 ADU R 1 9/27/2022 1 0 0 N Y Moderate Income 0412-131-09 16011 MISSION
AVE ADU22-00032 ADU R 1 11/8/2022 1 0 0 N Y Moderate Income 0412-032-09 8516 FIFTH AVE ADU22-00033 ADU R 1 12/14/2022 1 0 0 N Y Moderate Income 0412-102-02 15343 ASH ST ADU22-00034 ADU R 1 11/17/2022 1 0 0 N Y Moderate Income 0399-041-01 18220
EUCALYPTUS ST ADU22-00035 ADU R 1 11/23/2022 1 0 0 N Y Moderate Income 0405-283-01 10147 PRIMROSE ADU22-00036 ADU R 1 11/29/2022 1 0 0 N Y Moderate Income 0414-182-39 16057
MAUNALOA ST ADU22-00037 ADU R 1 11/29/2022 1 0 0 N Y Moderate Income 0409-083-15 15070 PLAM ST ADU22-00038 ADU R 1 12/15/2022 1 0 0 N Y Moderate Income 0407-083-02 16457 VINE ST ADU22-00039 ADU R 1 12/15/2022 1 0 0 N Y Moderate Income 0413-202-29 8820 FIFTH ST ADU22-00040 ADU R 1 12/20/2022 1 0 0 N Y Moderate Income

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Year 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
1 Projection Period 3 4
RHNA Allocation by
Income Level
Projection Period -
06/30/2021-
10/14/2021
2021 2022 2023 2024 2025 2026 2027 2028 2029 Total Units to Date (all years)
Total Remaining
RHNA by Income
Level
Deed Restricted - - - - - - - - - - Non-Deed Restricted - - - - - - - - - - Deed Restricted - - - - - - - - - - Non-Deed Restricted - - - - - - - - - - Deed Restricted - - - - - - - - - - Non-Deed Restricted - - 12 - - - - - - - Above Moderate 3,594 5 152 242 - - - - - - - 399 3,195 8,155
5 152 254 - - - - - - - 411 7,744 5 6 7
Extremely low-Income
Need 2021 2022 2023 2024 2025 2026 2027 2028 2029 Total Units to Date
Total Units
Remaining
961 - - - - - - - - - - 961 1,231
Please note: For the last year of the 5th cycle, Table B will only include units that were permitted during the portion of the year that was in the 5th cycle. For the first year of the 6th cycle, Table B will only include units that were permitted since the start of the planning period. Projection Period units are in a separate column.

Total RHNA
Total Units
Income Level
Very Low
Low
Extremely Low-Income Units*
Note: units serving extremely low-income households are included in the very low-income RHNA progress and must be reported as very low-income units in section 7 of Table A2. They must also be reported in the extremely low-income category (section 13) in Table A2 to be counted as progress toward meeting the extremely low-income housing need determined pursuant to Government Code 65583(a)(1). *Extremely low-income houisng need determined pursuant to Government Code 65583(a)(1). Value in Section 5 is default value, assumed to be half of the very low-income RHNA. May be overwritten.

Progress toward extremely low-income housing need, as determined pursuant to Government Code 65583(a)(1).

Please note: The APR form can only display data for one planning period. To view progress for a different planning period, you may login to HCD's online APR system, or contact HCD staff at [email protected].
1,397
-
This table is auto-populated once you enter your jurisdiction name and current year data. Past year information comes from previous APRs.
12 Moderate
1,921
1,231
1,409
Please contact HCD if your data is different than the material supplied here -
2 Table B
Regional Housing Needs Allocation Progress
Permitted Units Issued by Affordability
1,921

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Year 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Date of Rezone Rezone Type
2 4567 9 1 0 1 1
APN Street Address Project Name+
Local
Jurisdiction
Tracking ID+
Date of Rezone Very Low-
Income Low-Income Moderate-Income Above Moderate-
Income
Rezone Type Parcel Size
(Acres)
General Plan
Designation Zoning Minimum
Density Allowed
Maximum
Density Allowed
Realistic
Capacity Vacant/Nonvacant Description of Existing
Uses
0406‐012‐19‐0000 Sequoia Street 10/20/2024 No Net Loss 1 .49 C 2 C 21 53 01 1 V acant N one 0406‐013‐22‐0000 Hemlock Avenue 10/20/2024 No Net Loss 1.04 C2 C2 15 30 7 Vacant None 0406‐061‐16‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.7 C2 C2 30 5 Vacant None 0406‐061‐15‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.7 C2 C2 30 5 Vacant None 0406‐061‐14‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.7 C2 C2 30 5 Vacant 0406‐061‐13‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.7 C2 C2 30 5 Vacant 0406‐061‐12‐0000 Bear Valley Road 10/20/2024 No Net Loss 1.4 C2 C2 15 30 10 Vacant 0406‐051‐11‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.69 C2 C2 30 5 Vacant 0406‐051‐10‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.7 C2 C2 30 5 Vacant 0406‐051‐06‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.8 C2 C2 30 6 Vacant 0406‐041‐13‐0000 Bear Valley Road 10/20/2024 No Net Loss 0.7 C2 C2 30 5 Vacant Note: "+" indicates an optional field
Cells in grey contain auto-calculation formulas
Summary Row: Start Data Entry Below
83 Project Identifier RHNA Shortfall by Household Income Category Sites Description 1 Sites Identified or Rezoned to Accommodate Shortfall Housing Need and No Net-Loss Law Table C

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Jurisdiction Hesperia
Reporting Year 2022 (Jan. 1 - Dec. 31)
123 4
Name of Program Objective Timeframe in H.E Status of Program Implementation

1.1 Help low/moderate own homes Ongoing Ongoing

1.2 Use density bonuses for low/moderate Ongoing

1.3 Work w/agencies&developers housing Ongoing

1.4 Housing for homeless&lowest incomes Ongoing

1.5 Energy conservation in housing Ongoing Following building codes, providing information

2.1 Enforce health/safety codes Ongoing Code Enforcement and Building Inspectors working together

2.2 Improve housing through task force Ongoing

2.3 Offer rehab programs to low/mod Ongoing

2.4 Help remove dangerous housing Ongoing Code Enforcement notices owners, remedies issues

2.5 Preserve existing low/mod housing Ongoing

2.6 Offer services/facilities to help residents Ongoing

3.1 Use Land Uses for variety of housing Completed Completed

3.2 Encourage housing near employment Completed Completed

3.3 Encourage residential in unused areas Ongoing Many vacant lots have seen development over the years

3.4 Allow flexibility in zoning for housing Ongoing

4.1 Remove constraints to housing Ongoing Modified codes to prevent speculators from tying up property for long periods

5.1 Provide fair housing info to residents Ongoing Ongoing through Code Enforcement

5.2 Equal access to housing special needs Ongoing

5.3 Promote accessible units in housing Ongoing
Housing Programs Progress Report
Describe progress of all programs including local efforts to remove governmental constraints to the maintenance, improvement, a nd development of housing as identified in the housing element.

Table D
Program Implementation Status pursuant to GC Section 65583

ANNUAL ELEMENT PROGRESS REPORT
Housing Element Implementation

Page 159 ends

Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Period 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Description of Commercial
Development Bonus
Commercial Development Bonus
Date Approved
34 APN Street Address Project Name+ Local Jurisdiction
Tracking ID+
Very Low
Income
Low
Income
Moderate
Income
Above Moderate
Income
Description of Commercial
Development Bonus
Commercial Development Bonus
Date Approved
Summary Row: Start Data Entry Below
Units Constructed as Part of Agreement
Commercial Development Bonus Approved pursuant to GC Section 65915.7 Table E
Note: "+" indicates an optional field
Project Identifier
1 2
Cells in grey contain auto-calculation
formulas
(CCR Title 25 §6202)
Annual Progress Report January 2020

Page 160 ends

Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT Note: "+" indicates an optional field Reporting Period 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning Period 6th Cycle 10/15/2021 - 10/15/2029
The description should adequately document how
each unit complies with subsection (c) of Government
Code Section 65583.1+.

For detailed reporting requirements, see the chcklist
here:

Extremely Low-
Income+ Very Low-Income+ Low-Income+ TOTAL UNITS+
Extremely Low-
Income+
Very Low-
Income+ Low-Income+ TOTAL UNITS+
https://www.hcd.ca.gov/community-
development/docs/adequate-sites-checklist.pdf
Rehabilitation Activity
Preservation of Units At-Risk
Acquisition of Units
Mobilehome Park Preservation
Total Units by Income
Table F
Please note this table is optional: The jurisdiction can use this table to report units that have been substantially rehabilitated, converted from non-affordable to affordable by acquisition, and preserved, including mobilehome park preservation, consistent with the standards set forth in Government Code section 65583.1, subdivision (c). Please note, motel, hotel, hostel rooms or other structures that are converted from non-residential to residential units pursuant to Government Code section 65583.1(c)(1)(D) are considered net-new housing units and must be reported in Table A2 and not reported in Table F.

Activity Type
Units that Do Not Count Towards RHNA+
Listed for Informational Purposes Only
Units that Count Towards RHNA +
Note - Because the statutory requirements severely limit what can be counted, please contact HCD to receive the password that will enable you to populate these fields.

Units Rehabilitated, Preserved and Acquired for Alternative Adequate Sites pursuant to Government Code section 65583.1(c) Annual Progress Report January 2020

Page 161 ends

Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Note: "+" indicates
an optional field
Reporting Period 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Notes
23 6
Prior APN+ Current APN Street Address Project Name+
Local
Jurisdiction
Tracking ID+
Unit Category
(2 to 4,5+)
Tenure
R=Renter
Very Low-
Income Deed
Restricted
Very Low-
Income Non
Deed
Restricted
Low- Income Deed
Restricted
Low- Income
Non Deed
Restricted
Moderate- Income
Deed Restricted
Moderate- Income
Non Deed
Restricted
Above
Moderate-
Income
Total Moderate Income Units
Converted from Above
Moderate
Date Converted Notes
Summary Row: Start Data Entry Below
Table F2
Above Moderate Income Units Converted to Moderate Income Pursuant to Government Code section 65400.2 For up to 25 percent of a jurisdiction’s moderate-income regional housing need allocation, the planning agency may include the number of units in an existing multifamily building that were converted to deed-restricted rental housing for moderate-income households by the imposition of affordability covenants and restrictions for the unit. Before adding information to this table, please ensure housing developments meet the requirements described in Government Code 65400.2(b). 5 Project Identifier Unit Types
1 4
Affordability by Household Incomes After Conversion Units credited toward Above Moderate RHNA

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Jurisdiction Hesperia
Reporting Period 2022 (Jan. 1 - Dec. 31)
Planning Period 6th Cycle 10/15/2021 - 10/15/2029 ANNUAL ELEMENT PROGRESS REPORT Housing Element Implementation
23 4
APN Street Address Project Name+ Local Jurisdiction
Tracking ID+
Realistic Capacity
Identified in the
Housing Element
Entity to whom the site
transferred Intended Use for Site
1 Summary Row: Start Data Entry Below
Note: "+" indicates an optional field
Cells in grey contain auto-calculation
formulas
Table G
Locally Owned Lands Included in the Housing Element Sites Inventory that have been sold, leased, or otherwise disposed of Project Identifier
NOTE: This table must only be filled out if the housing element sites inventory contains a site which is or was owned by the reporting jurisdiction, and has been sold, leased, or otherwise disposed of during the reporting year.

Page 163 ends

Jurisdiction Hesperia Note: "+" indicates an optional field Reporting Period 2022
(Jan. 1 - Dec.
31)
Cells in grey contain auto-calculation
formulas
Designation Size Notes
12 3 4 5 6 7
APN Street Address/Intersection Existing Use Number of
Units
Surplus
Designation
Parcel Size (in
acres) Notes
NOTE: This table is meant to contain an invenory of
ALL surplus/excess lands the reporting jurisdiction
owns
Summary Row: Start Data Entry Below
Parcel Identifier

ANNUAL ELEMENT PROGRESS REPORT
Housing Element Implementation
Table H
Locally Owned Surplus Sites
For San Bernardino County jurisdictions, please format the APN's as follows:9999-999-99-9999

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Note: + indicates an
optional field
Reporting Period 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain
auto-calculation
formulas
Planning Period 6th Cycle
10/15/2021 - 10/15/2029
Project Type Date Notes
23 APN Street Address Project Name+ Local Jurisdiction
Tracking ID+ Activity Date Very Low
Income
Low
Income
Moderate
Income
Above Moderate
Income Notes
Table I
Units Constructed Pursuant to Government Code 65852.21 and Applications for Lot Splits Pursuant to Government Code 66411.7 (SB9 ) NOTE: SB 9 PROJECTS ONLY. This table only
needs to be completed if there were lot splits
applied for pursuant to Government Code
66411.7 OR units constructed pursuant to
65852.21.

Units entitled/permitted/constructed must also
be reported in Table A2. Applications for these
units must be reported in Table A.

Summary Row: Start Data Entry Below
Project Identifier Unit Constructed
1 4
Annual Progress Report January 2020

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Jurisdiction Hesperia ANNUAL ELEMENT PROGRESS REPORT
Reporting Period 2022 (Jan. 1 - Dec. 31) Housing Element Implementation Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Project Type Date
2 3
APN Street Address Project Name+ Local Jurisdiction
Tracking ID+
Unit Category
(SH - Student Housing) Date Very Low- Income
Deed Restricted
Very Low- Income
Non Deed
Restricted
Low- Income
Deed Restricted
Low- Income
Non Deed
Restricted
Moderate- Income
Deed Restricted
Moderate- Income
Non Deed
Restricted
Above
Moderate-
Income
Summary Row: Start Data Entry Below
Note
Cells in g
Table J
Student housing development for lower income students for which was granted a density bonus pursuant to subparagraph (F) of paragraph (1) of subdivision (b) of Section 65915 Project Identifier Units (Beds/Student Capacity) Approved 1 4
NOTE: STUDENT HOUSING WITH DENSITY BONUS ONLY. This
table only needs to be completed if there were student housing projects WITH a density bonus approved pursuant to
Government Code65915(b)(1)(F)
Annual Progress Report January 2020

Page 166 ends

Jurisdiction Hesperia
Reporting Year 2022 (Jan. 1 - Dec. 31)
Planning Period 6th Cycle 10/15/2021 - 10/15/2029
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 12
243
255
Units by Structure Type Entitled Permitted Completed
SFA 0 0 0
SFD 0 243 0
2 to 4 0 2 0
5+ 0 0 0
A
DU 37 10 0
MH 0 0 0
Tot
al 37 254 0
11 379
379
0 0
0 0
0 Income Rental Ownership Total
Very Low 0 0 0
Low 0 0 0
Moderate 0 0 0
Above Moderate 0 0 0
Total 0 0 0
Cells in grey contain auto-calculation formulas
Very Low
Low
Moderate
Above Moderate
Units Constructed - SB 35 Streamlining Permits
Number of Streamlining Applications Approved
Total Developments Approved with Streamlining
Total Units Constructed with Streamlining
Total Housing Applications Submitted:

Number of Proposed Units in All Applications Received:

Total Housing Units Approved:

Total Housing Units Disapproved:

Total Units
Housing Applications Summary
Use of SB 35 Streamlining Provisions
Note: Units serving extremely low-income households are included in the very low-income permitted units totals Number of Applications for Streamlining
Building Permits Issued by Affordability Summary
Income Level

Page 167 ends

Jurisdiction Hesperia
Reporting Year 2022 (Jan. 1 - Dec. 31)
Total Award Amount Total award amount is auto-populated based on amounts entered in rows 15-26.

Task $ Amount Awarded $ Cumulative Reimbursement
Requested
Other
Funding Notes
Summary of entitlements, building permits, and certificates of occupancy (auto-populated from Table A2) Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 37
0 37
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 12
243
255
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
0 0
Moderate
Above Moderate
Total Units
Completed Entitlement Issued by Affordability Summary
Income Level
Very Low
Low
Moderate
Above Moderate
Total Units
Building Permits Issued by Affordability Summary
Income Level
Very Low
Low
Total Units
Certificate of Occupancy Issued by Affordability Summary Income Level
Very Low
Low
Moderate
Above Moderate

ANNUAL ELEMENT PROGRESS REPORT
Local Early Action Planning (LEAP) Reporting
(CCR Title 25 §6202)
Please update the status of the proposed uses listed in the entity’s application for funding and the corresponding impact on housing within the region or jurisdiction, as applicable, categorized based on the eligible uses specified in Section 50515.02 or 50515.03, as applicable.
-$
Task Status

Page 168 ends

City of Hesperia

STAFF REPORT

DATE: June 6, 2023
TO: Mayor and Council Members

FROM: Nils Bentsen, City Manager SECOND READING AND ADOPTION BY: Rachel Molina, Assistant City Manager
Ryan Leonard, Senior Planner
SUBJECT: Development Code Amendment DCA2 3-00001 and Specific Plan Amendment SPLA23-00003; Applicant: City of Hesperia; Area affected: City-wide.

RECOMMENDED ACTION

It is recommended that the City Council introduce and place on first reading Ordinance No. 2023-09 approving Development Code Amendment DCA23-00001 and Specific Plan Amendment SPLA23 -00003 modifying development standards associated with the establishment of new vehicle wash facilities.

BACKGROUND

Within the past year the City has seen in increase in the number of new carwash development applications. In response to the recent expansion of carwash developments, the City Council determined that w ithout further regulation of the location and operation of carwash facilities , there is the potential for significant negative impacts from the development of such uses that cannot be mitigated . To that end, on February 7, 2023, the City Council adopted Urgency Ordinance No. 2023-01 establishing a 45-day moratorium on the establishment or expansion of new carwash facilities in the City. On March 21, 2023, the moratorium was extended for an additional period of ten (10) months and fifteen (15) days, for a total period of one year (Attachment 1).

The purpose of the development moratorium was to allow staff time to study the issues associated with carwash facilities and to present recommendations which would regulate the location of future carwash establishments and the types of development standards that should be imposed on their operation to mitigate any potential impacts.

Planning Commission Review: On April 13, 2023, the Planning Commission voted 4 -0 (Commissioner Bartz was absent) to forward this item to the City Council with a recommendation for denial. The Planning Commission deliberated and discussed the proposed project and generally concluded that the proposed Development Code Amendment was not necessary. The overall consensus was that a carwash business would do their own market research and would only choose to invest at a specific location if there was enough consumer demand to warrant it.

There were no residents who spoke either in favor or opposition to the project.

ISSUES/ANALYSIS

Existing Regulations: Hesperia Municipal Code section 16.16.320 currently allows vehicle wash facilities in the General Commercial (C2), Service Commercial (C3), and the Limited Manufacturing (I1) zones with approval of a Conditional Use Permit (CUP). Vehicle wash facilities

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Page 2 of 3 ends

Staff Report to the City Council
DCA23-00001 and SPLA23-00003
June 6, 2023

are listed as prohibited uses in the Convenience Commercial (C1) and General Manufacturing (I2) zones. The proposed Development Code Amendment would not make any modifications to the above zoning designations.

Additionally, within the Main Street and Freeway Corridor Specific Plan (Specific Plan), carwash facilities are allowed in the Regional Commercial (RC), Auto Sales Commercial (ASC) Neighborhood Commercial (NC) and Commercial Industrial Business Park (CIBP) zones with approval of a CUP. Carwash facilities are listed as a permitted use in the General Industrial (GI) zone of the Specific Plan. In addition, carwash facilities are listed as a prohibited uses in the Office Park (OP) and Office Commercial (OC) zones of the Specific Plan. Staff is proposing to change the current requirement to require a CUP for vehicle wash facilities within the General Industrial (GI) zone.

Additionally, Section 16.16.365 of the Municipal Code contains specific design and use standards for carwash facilities. This particular section of the Municipal Code is applicable to properties that are located within and outside of the Specific Plan.

Proposed Regulations: There are three common types of carwash facilities: full service, express, and ancillary facilities. Full - service carwash facilities are usually stand -alone facilities where employees either hand wash or detail vehicles. Express carwash facilities are usually fully automated carwash facilities with self - serve vacuum stalls. Ancillary facilities are typically automated facilities that are associated with gas stations, and more commonly called drive- thru carwashes.

Staff is proposing to create specific development standards that would apply to all future carwash facilities. The proposed Development Code Amendment will add ne w distance and separation requirements that would require that each full service or express carwash facility be separated by a minimum of 2,000 feet from the nearest standalone carwash facility (i.e. full service or express facility). In addition, ancillary carwash facilitates which are part of a gas station would have to be located 1,000 feet away from the nearest standalone carwash facility. However, staff is not proposing a separation requirement from an ancillary carwash facility to another ancillary wa sh facility. Lastly, any new carwash facility application must submit a market research study supporting the viability of the project in the proposed location.

Carwash facilitates will continue to require a Conditional Use Permit, allowing the Planning Commission final say in determining whether a proposed project is suitable and appropriate

Environmental: Approval of the Development Code Amendment is exempt from the requirements of the California Environmental Quality Act per Section 15061(b)(3), where it can be seen with certainty that there is no significant effect on the environment. The proposed Development Code Amendment is also exempt from the requirements of the California Environmental Quality Act by Section 16.12.415(B)(10) of the City’s CEQA Guidelines, as the Development Code Amendment does not propose to increase the density or intensity allowed in the General Plan.

Conclusion: The Development Code Amendment complies with the General Plan. Ensuring that all future vehicle wash facilities are subject to a conditional use permit and adding minimum separation requirements between full service and express carwash facilities will ensure that future sites are developed in an orderly and quality manner.

FISCAL IMPACT
There are no fiscal impacts identified with this action.

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Staff Report to the City Council
DCA23-00001 and SPLA23-00003
June 6, 2023

ALTERNATIVE(S)

1. Provide alternative direction to staff.

ATTACHMENT(S)

1. Ordinance 2023-09

2. Exhibit A

3. April 13, 2023, Planning Commission staff report (includes March 21, 2023 City Council staff report as an attachment.)

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ORDINANCE NO. 2023-09

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HESPERIA,

CALIFORNIA, RECOMMENDING THAT THE CITY COUNCIL ADOPT A

DEVELOPMENT CODE AMENDMENT AND SPECIFIC PLAN AMENDMENT

MODIFYING DEVELOPMENT STANDARDS ASSOCIATED WITH CARWA SH DEVELOPMENTS (DCA23-00001 AND SPLA23-00003)

WHEREAS, on January 5, 1998, the City Council of the City of Hesperia adopted Ordinance No. 250, thereby adopting the Hesperia Municipal Code; and

WHEREAS, On September 2, 2008, the City Council of the City of Hesperia adopted Ordinance No. 2008-12, thereby adopting the Main Street and Freeway Corridor Specific Plan; and

WHEREAS, the City proposes to amend Chapter 16.16.365 (C) of the City of Hesperia Municipal Code which contains specific land use standards for vehicle wash facilities; and

WHEREAS, the City has a compelling interest in protec ting the public h ealth, safety, a nd welfare of its citizens, residents, visitors and businesses, and preserving the peace and quiet of the neighborhoods within the City by regulating the establishment and expansion of car washes within City limits; and

WHEREAS, the City is responsible for adopting and implementing land use regulations within its boundaries; and

WHEREAS, the City has no other development standards or regulations applicable to the operation of Cash Washes; and

WHEREAS, the City’s permissive policy towards car washes could result in a proliferation or oversaturation of said uses within the City; and
WHEREAS, developable land becomes scarcer in the City, there is concern that the proliferation of car washes without due consideration presents an immediate threat to public health, safety, or welfare because car washes generate undesirable conditions for adjacent properties as a result of noisy, large-scale industrial equipment including vacuums, pumps, pressurized sprayers, and dryers; and

WHEREAS, the oversaturation of car washes in the City provides little economic benefit to the City or City residents; and
WHEREAS, absent clear regulation, the proliferation and oversaturation of car washes in the City poses a threat to the public peace, health, and safety, and, unless the City takes action to regulate, the impacts described above are likely to continue to occur; and WHEREAS, the City desires to regulate car washes to ensure that public right-of-ways and public property remain free of public nuisances, safe and accessible for all users, and clear of conditions that pose threats to public health, safety, and welfare, to ensure that future development is undertaken in a manner consistent with the City’s General Plan, and to ensure that car wash operators comply with State and City regulations that consider the public’s health, safety, and welfare; and

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WHEREAS, the City finds that it is necessary to amend the development regulations applicable for carwash developments and require that all full service or ex press carwash facilities be separated by a minimum of 2,000 feet from the nearest standalone carwash facility. In addition, ancillary carwash facilitates which are par t of a gas station would have to be located 1,000 feet away from the nearest standalone carwash facility (i.e. full service or express carwash). Lastly, any new carwash facility application must submit a market research study supporting the viability of the project in the proposed location; and

WHEREAS, the City finds that it is necessary to amend the dev elopment regulations within the Man Street and F reeway Corridor Specific Plan to require a C UP for vehicle wash facilities within the General Industrial (GI) zone. Currently, carwash facilities are allowed as a p ermitted use within the GI zone but do not require a CUP; and

WHEREAS, on February 7, 2023, the City Council adopted Urg ency Ordinance No. 2023 -01 establishing a 45-day moratorium on the establishment or expansion of new carwash facilities in the City; and

WHEREAS, on March 21, 2023, the City Council adopted Urg ency Ordinance No. 2023 -04 extending the moratorium for an additional period of ten (10) months and fifteen (15) days, for a total period of one year; and

WHEREAS, as of the effective date of this ordinance, Urgency Ordinance No. 2023-04 will be repealed and will no longer be in effect; and

WHEREAS, the proposed Development Code Amendment is exempt from the California Environmental Quality Act (CEQA) per Section 1506 1(b)(3), where it can be seen with certainty that there is no signifi cant eff ect on the environment. The proposed Amendments are also exempt fr om the requirements of the California Environmental Quality Act by Section

16.12.415(B)(10) of the City’s CEQA Gu idelines, as the Amendments are exempt if they do not propose to increase the density or intensity allowed in the General Plan; and

WHEREAS, on April 13, 2023, the Planning Commission of the City of Hesperia conducted a duly noticed public hearing pertaini ng to the proposed amendment and concluded said hearing on that date; and

WHEREAS, on June 6, 2023, the City Council of the City of Hesperia conducted a duly noticed public hearing pertaining to the proposed Amendment and concluded said hearing on that date; and

WHEREAS, all legal prerequisites to the adoption of this Ordinance have occurred.

NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF HESPERIA DOES ORDAIN AS FOLLOWS:

Section 1. The City Council hereby specifically finds that all of the facts set forth in this Ordinance are true and correct.

Section 2. Based upon substantial evidence presented to the City Council, including written and oral staff reports, the City Council specifically finds that the propos ed Ordinance is consistent with the goals and objectives of the adopted General Plan as it will enhance the quality of life by preserving the peac e and quiet of the neighborhoods within the City by regulating the establishment and expansion of car washes within City

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limits and will ensure that future development is undertaken in a manner consistent with the City’s General .
.

Section 3. The proposed develop ment code amendment is ne cessary because the existing regulations do not co ntain any development standards as to the placement or operational characteristics of carwash facilities. As developable land becomes scarcer in the City, there is co ncern that the proliferation of car washes without due consideration presents an imme diate threat to public health, safety, or wel fare b ecause car washes generate undesirable conditions for adj acent properties as a result of noisy, large -scale industrial equipment including vacuums, pumps, pressurized s prayers, and dryers. The Development Code Amendment will provide standards for sites to be eligible for carwash facilities These development standards address adverse impacts of carwash facilities on vehicular and pedestrian traffic, as well as nearby sensitive uses including residenc es and are necessary to protect public health, safety and general welfare.

Section 4. Based on the findings and conclusions set forth in this Ordinance, the City Council hereby adopts Development Code Amendment DCA23-00001 and Specific Plan Amendment SPLA23-00003 modifying development standa rds associated with the establishment of new of car wash facilities as shown on Exhibit “A.”

Section 5. This Ordinance shall take effect thirty (30) days from the date of adoption.

Section 6. The City Clerk shall certify to the adoption of t his Ordinance and shall cause the same to be posted in three (3) public places within the City of Hesperia pursuant to the provisions of Resolution No. 2007-101.

ADOPTED AND APPROVED on this 20th day of June 2023.

__________________________________ _______________________________ Brigit Bennington, Mayor

ATTEST:

_________________________________________
Erin Baum, Assistant City Clerk

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EXHIBIT “A”
DCA23-00001 and SPLA23-00001

The following are modifications to Chapter 16.16.365 of the City of Hesperia Development Code regulations and Chapter 9 of the Main Street and Freeway Corridor Specific Plan (additions are in underlined red text and deletions are shown with red and strikethrough):

1) The following are modifications to Chapter 16.16.365 (C)-Vehicle Wash Facilities of the City Municipal Code

C. Vehicle Wash Facilities.

1. Vehicle wash facilities shall be developed in compliance with the following additional standards:
a. Full service and express vehicle wash facilities (i.e. standalone facilitates) shall be separated by a minimum of 2,000 feet, as measured from property lines.
b. Vehicle wash facilities that are ancillary to a primary use (i.e. a gas station) shall be separated by a minimum of 1,000 feet, as measured from the property line, from the nearest full service or express vehicle wash facility (i.e. standalone facility)
c. All gas station and car wash Conditional Use Permit applications shall include a market research study that analyses the feasibility of the project at the subject location.
d. All lights shall be reflected away from adjacent uses. e. Premises shall be maintained in a neat, orderly and environmentally safe manner, and all improvements shall be continuously maintained. f. Noise from vehicle wash activities shall not exceed levels established in Chapter 16.20, Article V (General Performance Standards).

MAIN STREET AND FREEWAY CORRIDOR SPECIFIC PLAN
Chapter 9, Subsection (I)- General Industrial Zone shall be amended to read:

1. Permitted Uses
The following uses are permitted in the General Industrial zone:
a) Commercial storage facilities (mini-warehouse).
b) Contractor’s storage yard.
c) Equipment (large) sales and rental.
d) Equipment (small) sales and rental.
e) Lumber yard and building materials (wholesale).
f) Manufacturing (indoors).

Attachment 2

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g) Offices (administrative, business, executive and professional, but not including medical or dental).
h) Outdoor storage, incidental to the primary use.
i) Publishing and printing.
j) Retail sales ancillary to a manufacturing use on-site (floor area not to exceed 15% of gross floor area up to a maximum of 7,500 square feet). k) Truck terminal.
l) Vehicle repair – major.
m) Vehicle repair – minor.
n) Vehicle wash facilities.
o) Warehousing and wholesale distribution centers – 200,000 square feet or less. p) Accessory structures and uses customarily incidental to any permitted uses when located on the same site with the main building and use. q) Veterinary services- clinics and small animal hospitals (short term boarding). r) Other similar uses, as interpreted by the Development Services Director or his/her designee

2. Conditionally Permitted Uses
The following uses are conditionally permitted in the General Industrial zone:
a) Bus terminals.
b) Kennels – boarding of domestic animals.
c) Vehicle fuel stations (i.e,. gasoline stations).
d) Warehousing and wholesale distribution centers – 200,000 square feet or more e) Vehicle wash facilities.

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City of Hesperia

STAFF REPORT
DATE: April 13, 2023
TO: Planning Commission
FROM: Rachel Molina, Assistant City Manager
BY: Ryan Leonard, Senior Planner
SUBJECT: Development Code Amendment DCA2 3-00001 and Specific Plan Amendment SPLA23-00003; Applicant: City of Hesperia; Area affected: City-wide.

RECOMMENDED ACTION
It is recommended that the Planning Commission adopt Resolution No. PC -2023-14 recommending that the City Council introduce and place on first reading an ordinance approving Development Code Amendment DCA23-00001 and Specific Plan Amendment SPLA23-00003 modifying development standards associated with establishment of new vehicle wash facilities.

BACKGROUND
Within the past year the City has seen in increase in the number of new carwash development applications. In response to the recent expansion of carwash developments, the City Council determined that w ithout further regulation of the location and operation of carwash facilities , there is the potential for significant negative impacts from the development of such uses that cannot be mitigated . To that end, on February 7, 2023 the City Council adopted Urg ency Ordinance No. 2023-01 establishing a 45 -day moratorium on the establishment or expansion of new carwash facilities in the City. On March 21, 2023 the moratorium was extended for an additional period of ten (10) months and fifteen (15) days, for a tota l period of one year (Attachment 1).

The purpose of the development moratorium was to allow staff time to study the issues associated with carwash facilities and to present recommendations which would regulate the location of future carwash establishments and the types of development standards that should be imposed on their operation to mitigate any potential impacts.

ISSUES/ANALYSIS
Existing Regulations: Hesperia Municipal Code section 16.16.320 currently allows vehicle wash facilities in the General Commercial (C2), Service Commercial (C3), and the Limited Manufacturing (I1) zones with approval of a Conditional Use Permit (CUP). Vehicle wash facilities are listed as prohibited uses in the Convenience Commercial (C1) and General Manufacturing (I2) zones. The proposed Development Code Amendment would not make any modifications to the above zoning designations.

Additionally, within the Main Street and Freeway Corridor Specific Plan (Specific Plan), carwash facilities are allowed in the Regional Commercial (RC), Auto Sales Commercial (ASC) Neighborhood Commercial (NC) and Commercial Industrial Business Park (CIBP) zones with approval of a CUP. Carwash facilities are listed as a permitted use in the General Industrial (GI)

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Attachment 3

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Staff Report to the Planning Commission
DCA23-00001 and SPLA23-00003
April 13, 2023

zone of the Specific Plan. In addition, carwash facilities are listed as a prohibited uses in the Office Park (OP) and Office Commercial (OC) zones of the Specific Plan. Staff is proposing to change the current requirement to require a CUP for vehicle wash facilities within the G eneral Industrial (GI) zone.

Additionally, Section 16.16.365 of the Municipal Code contains specific design and use standards for carwash facilities. This particular section of the Municipal Code is applicable to properties that are located within and outside of the Specific Plan.

Proposed Regulations: There are three common types of carwash facilities: full service, express, and ancillary facilities. Full- service carwash facilities are usually stand-alone facilities where employees either hand wash or detail vehicles. Express carwash facilities are usually fully automated carwash facilities with self- serve vacuum stalls. Ancillary facilities are typically automated facilities that are associated with gas stations, and more commonly called drive- thru carwashes.

Staff is proposing to create specific development standards that would apply to all future carwash facilities. The proposed Development Code Amendment will add n ew distance and separation requirements that would require that each full service or express carwash facility be separated by a minimum of 2,000 feet from the nearest standalone carwash facility (i.e. full service or express facility). In addition, ancillary carwash facilitates which are part of a gas station would have to be located 1,000 feet away from the nearest standalone carwash facility. However, staff is not proposing a separation requirement from an ancillary carwash facility to another ancillary w ash facility. Lastly, any new carwash facility application must submit a market research study supporting the viability of the project in the proposed location.

Carwash facilitates will continue to require a Conditional Use Permit, allowing the Planning Commission final say in determining whether a proposed project is suitable and appropriate

Environmental: Approval of the Development Code Amendment is exempt from the requirements of the California Environmental Quality Act per Section 15061(b)(3), where it can be seen with certainty that there is no significant effect on the environment. The proposed Development Code Amendment is also exempt from the requirements of the California Environmental Quality Act by Section 16.12.415(B)(10) of the City’s CEQA Guidelines, as the Development Code Amendment does not propose to increase the density or intensity allowed in the General Plan.

Conclusion: The Development Code Amendment complies with the General Plan. Ensuring that all future vehicle wash facilities are subject to a conditional use permit and adding minimum separation requirements between full service and express carwash facilities will ensure that future sites are developed in an orderly and quality manner.

FISCAL IMPACT
There are no fiscal impacts identified with this action.

ALTERNATIVE(S)

1. Provide alternative direction to staff.

ATTACHMENT(S)

1. March 21, 2023 City Council staff report

2. Resolution No. PC-2023-14 with Exhibit A.

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City of Hesperia

STAFF REPORT
DATE: March 21, 2023
TO: Mayor and Council Members
FROM: Nils Bentsen, City Manager
BY: Rachel Molina, Assistant City Manager
Ryan Leonard, Senior Planner
SUBJECT: Consideration of an Urgency Ordinance Adopting an Interim Urgency Ordinance Pursuant to California Government Code Section 65858 Extending a Moratorium on the Establishment or Expansion of Car Washes for a Period of Ten (10) Months and Fifteen (15) Days.

RECOMMENDED ACTION
It is recommended that the City Council adopt Urgency Ordinance 2023 -04 pursuant to California Government Code Section 65858, extending a moratorium for a period of ten (10) months and fifteen (15) days a moratorium on the establishment or expansion of car washes.

BACKGROUND
Pursuant to State law, Government Code Section 65858, a city may enact an interim zoning ordinance on an urgency basis for the protection of public safety, health, and welfare by prohibiting any use(s) that a city is intending to study within a reasonable period of time. In recent years, the City of Hesperia has had several new proposed car wash businesses which negatively impact the quality of life within Hesperia and compromises Hesperia's ability to provide a variety of services and attract new businesses.

On February 7, 2023 the City Council adopted Urgency Ordinance No. 2023-01 establishing a 45-day moratorium on the establishment or expansion of car washes. Pursuant to State law, the adopted urgency ordinance is valid for 45 days and will expire on March 24, 2023, unless extended by the City Council. After holding a public hearing, the City Council can extend the urgency ordinance for up to an additional 10 months and 15 days, for a total period of one year.

As with the initial adoption of the urgency ordinance, a four-fifths (4/5) vote is required to extend the urgency ordinance.

Staff intends to present a development code amendment to the Planning Commission on April 13, 2023, that would include additional regulations for the establishment of new c ar wash facilities. After the Planning Commission hearing, the upcoming development code amendment would be presented to the City Council for a final decision. An extension of the urgency ordinance would allow staff additional time to complete the necessar y work to finalize the development code amendment and to present it to the Planning Commission and City Council.

ISSUES/ANALYSIS
There are three common types of car washes: full service, express, and ancillary facilities. Full - service car washes are usually stand-alone facilities where employees either hand wash or detail vehicles. Express car washes are usually fully automated car wash facilities with self - serve

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Staff Report to the City Council
Urgency Ordinance-Carwash Moratorium
March 21, 2023
vacuum stalls. Ancillary facilities are typically automated facilities that are associa ted with gas stations, and more commonly called drive - thru car washes. There are currently no City - wide regulations in effect regarding the operational and locational standards for car washes of any type.

The City currently has 21 car washes including 13 express facilities, three full -service facilities, and five facilities that are attached to gas stations, minimarts, and other business. A table of all facilities citywide and their location is shown below in Table 1. Attachment 1 shows the locations of the facilities that are along Main Street and Bear Valley Road.

Table 1-Carwash Facilities Citywide
As developable commercial land becomes scarcer in the City, there is concern that the proliferation of car washes without due consideration presents an immediate threat to public health, safety, or welfare because car washes generate undesirable conditions for adjacent properties as a result of noisy, large -scale industrial equipment including vacuums, pumps, No. Address Type Name
1 16002 Main St Full Service Shark Sight Hand Car Wash and Hot Wax 2 16701 Main St Express Main Street Car Wash
3 13311 Main St Express Hesperia Speedwash
4 14076 Main St Express Xpress Car Wash Inc
5 14949 Bear Valley Rd Full Service Bear Valley Car Wash 6 18659 Bear Valley Rd Express Quick Quack Car Wash
7 16028 Main St Express E-Z Coin Car Wash
8 17165 Bear Valley Rd Express Bear Valley Coin Car Wash 9 17985 Bear Valley Rd Express Express Car Wash
10 17465 Main St Express Gaius Family Corp
11 13188 Main St Gas Station Chevron Travel Center
12 12720 Main St Gas Station Sky Marketing Inc
13 Main St Express Quick Quack Car Wash
14 16968 Main St Express Quick Quack
15 17112 Main St Express Mister
16 13100 Main St Gas Station Western Refining Retail
17 12675 Main St Express Main Street Inc
18 13537 Main St Express Sparkys Car Wash
19 16575 Bear Valley Rd Full Service Shine Auto Spa
20 15760 Ranchero Rd Gas Station Shell
21 12750 Main St Gas Station AM PM

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Staff Report to the City Council
Urgency Ordinance-Carwash Moratorium
March 21, 2023

pressurized sprayers, dryers, engines, and car stereos. In addition, the use increases vehicle traffic in the immediate vicinity, and can cause runoff of chemicals. Airborne mist, odors from chemicals and vehicle exhaust are also a result of such uses.

Furthermore, the oversaturation of car washes in the City provides little economic benefit to the City or City residents as there are minimal sales tax revenues associated with the use, few employees hired, and typical wages paid would not increase the City’s overall median income.

Car washes are often noisy due to large industrial sized equipment and cause an increase in vehicular traffic where they are located. Additionally, car washes near residential uses have the potential to expose residents to excessive noise and traffic. The negative impacts frequently associated with operation of car washes will likely increase as car washes continue to proliferate throughout the City, resulting in an unregulated and significant negative impact upon public health, safety, and welfare of the community.

Staff intends to study the issues associated with car washes to determine which locations are most appropriate for the use, and the types of development standards that should be imposed on their operation to mitigate any potential impacts. This includes reviewing land use definitions for car washes to determine if revisions are needed, evaluating all land use district s in which car washes are permitted for suitability and study development standards and best practices from other jurisdictions to determine if they would be appropriate City-wide.

Further, staff believes that continued approval of entitlements, building permits, or other approvals for new or expanded car washes poses a current and immediate threat to the public health, safety or general welfare. Without further regulation of their location and operation, there is the potential for significant negative imp acts by the development of new car washes or the expansion of existing car washes that cannot be mitigated.

Pursuant to Government Code Section 65858, a city may adopt an interim ordinance, prohibiting any uses that may be in conflict with a contemplated general plan, specific plan, or zoning proposal that the legislative body, planning commission or the planning department is considering or studying or intends to study within a reasonable time, for the immediate preservation of the general health, safety or welfare, provided the ordinance contains a declaration of the facts constituting the urgency, and is passed by not less than a four-fifths (4/5) vote of the City Council.

With adoption of this Ordinance, the City will extend the moratorium for a period of ten (10) months and fifteen (15) days, or until such time as a permanent development code amendment is in full force and effect.

FISCAL IMPACT
There are no fiscal impacts identified with this action.

ALTERNATIVE(S)

1. Deny the extension of the development moratorium and allow the existing 45 -day moratorium to expire

2. Provide alternative direction to staff.

ATTACHMENT(S)

1. Carwash locations along Main Street and Bear Valley Road

2. Urgency Ordinance 2023-04

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Carwash Locations along Main Street from the I-15 freeway to Topaz Avenue CARWASH LOCATIONS ALONG MAIN STREET FROM THE I-15 FREEWAY TO TOPAZ AVENUE ATTACHMENT 1

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ATTACHMENT 1A

Carwash Locations along Main Street from Seventh Avenue to I Avenue

CARWASH LOCATIONS ALONG MAIN STREET FROM SEVENTH AVENUE TO I AVENUE

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Carwash Locations along Bear Valley Road from the I-15 freeway to Hesperia Road CARWASH LOCATIONS ALONG BEAR VALLEY ROAD FROM THE I-15 FREEWAY TO HESPERIA ROAD
ATTACHMENT 1B

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Carwash Locations along Bear Valley Road from Hesperia Road to the eastern City boundary

CARWASH LOCATIONS ALONG BEAR VALLEY ROAD FROM HESPERIA ROAD TO THE EASTERN

CITY BOUNDARY
ATTACHMENT 1C

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ORDINANCE NO. 2023-04

AN INTERIM URGENCY ORDINANCE OF THE CITY OF HESPERIA, CALIFORNIA, ENACTED PURSUANT TO CALIFORN IA GOVERNMENT CODE SECTION 65858

EXTENDING A TEMPORAR Y MORATORIUM ON THE ESTABLISHMENT OR

EXPANSION OF CAR WAS H FACILITIES WITHIN THE CITY LIMITS FO R TEN MONTHS (10) AND FIFTEEN (15) DAYS.

WHEREAS, the City of Hesperia has the authority and responsibility to protect the public health, safety, and welfare of the City; and
WHEREAS, the City has a compelling interest in protecting the public health, safety, and welfare of its citizens, residents, vis itors and bus inesses, and preserving the peac e and quiet of the neighborhoods within the City by regulating the establishment and expansion of car washes within City limits; and
WHEREAS, the City is responsible for adopting and implementing land use regulations within its boundaries; and
WHEREAS, the City has no other development standards or regulations applicable to the operation of Cash Washes; and
WHEREAS, the City’s pe rmissive policy towards car washes could result in a proliferation or oversaturation of said uses within the City; and
WHEREAS, developable land becomes scarcer in the City, there is concern that the proliferation of car washes without due consideration presents an imme diate threat to public health, safety, or welfare because car washes generate undesirable conditions for adjacent properties as a result of noisy, large-scale industrial equipment including vacuums, pumps, pressurized sprayers, dryers, engines, and car stereos. In addition the use increases vehicle traffic in the immediate vicinity, and can cause runoff of chemicals. Finally, airborne mist, odors from chemicals and vehicle exhaust are a result of such uses; and
WHEREAS, the oversaturation of car washes in the City provides little economic benefit to the City or City residents; and
WHEREAS, absent clear regulation, the proliferation and oversaturation of car washes in the City poses a threat to the public peace, health, and safety, and, unless the City takes action to regulate, the impacts described above are likely to continue to occur; and WHEREAS, the City desires to regulate car washes to ensure that public right-of-ways and public property remain free of public nuisances, safe and accessible for all users, and clear of conditions that pose threats to public health, safety, and welfare, to ensure that future development is undertaken in a manner consistent with the City’s General Plan, and to ensure that car wash Operators comply with State and City regulations tha t consider the public’s health, safety, and welfare; and

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WHEREAS, the City anticipates that car wash operators may seek to establish additional car washes, or desire to expand existing car washes before a non-urgency ordinance would become effective; and
WHEREAS, Government Code Sections 36934, 36937 and 65858 expressly authorize the City Council to adopt an urgency ordinance for the immediate preservation of the public peace, health or safety and to prohibit a use that is in conflict with a contemplated g eneral plan, specific plan, or zoning proposal that the legislative body, planning commission or the planning department is considering or studying or intends to study within a reasonable time; and WHEREAS, City staff require time to study and develop appr opriate regulations for car wash operators consistent with State and federal law; and
WHEREAS, on February 7, 2023 the City Council adopted Ordinance No. 2023-01 establishing a 45-day moratorium on the establishment or expansion of car washes within the C ity limits.

Ordinance No. 2023-01 will expire on March 24, 2023; and WHEREAS, the City now desires to impose a ten month (10) and fifteen (15) day moratorium on the establishment or expansion of car washes within the City limits in order to complete a proposed development code amendment that will create new development regulations and development standards for car wash facilities; and
WHEREAS, pursuant to the above-described express statutory authority and its police power, the City Council desires, on an u rgency basis, to temporarily prohibit establi shment of new, or expansion of existing, car washes within the City.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HESPERIA, CALIFORNIA DOES HEREBY ORDAIN AS FOLLOWS.

SECTION 1. FINDINGS
The City Council finds the facts set forth in the recitals in this Urgency Ordinance are true and correct, and are hereby incorporated by reference. Additionally, based on the foregoing, both verbal and written testimony at the public hearing, including the staff report, exhibits, and any materials provided by members of the public, the City Council finds as follows:

A. This Ordinance is being adopted in order to allow the City time to thoroughly study and develop the City’s laws, rules, procedures and fees related to the operation and establishment of car washes, to enable the City to adequately and appropriately preserve the health, safety and welfare of the community in the City of Hesperia.

B. For the purposes of this Ordinance the definition of “Car Wash” shall include full service, express, and ancillary facilities. Full-service car washes are usually stand-alone facilities where employees either hand wash or detail vehicles. Express car washes are usually fully automated car wash facilities with self-serve vacuum s talls. Ancillary facilities are typically automated facilities that are associated with gas stations, and more commonly called drive- thru car washes. This ordinance is intended to apply to car washes that are either the primary use or the accessory use of the relevant parcel. Temporary car washes (e.g., fundraising activities generally conducted at a s ervice station or other automotiv e-related bu siness, where volunteers wash vehicles by hand and the duration of the event is limited to one day) are not part of this definition.

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C. For purposes of this Ordinance, “ Car Wash Operator” shall mean a person that manages and/or operates a car wash, whether for profit or not.

D. The City finds that in the absence of a regulatory framework to govern car washes, the adverse impacts frequently associated with car washes likely will occur, resulting in unregulated and significant negative impacts upon the public health, safety, and welfare of the community.

E. The City finds that the adverse impacts from car washes include the following:
(1) The proliferation of car washes throughout the City without due consideration presents an immediate threat to p ublic health, safety, or welfare because car washes generate undesirable conditions for adjacent properties as a result of use noisy, large -scale industrial equipment including vacuums, pumps, pressurized sprayers, dryers, engines and car stereos; and (2) In addition, the use tends to increase vehicle traffic in their immediate vicinity, and can cause runoff of chemicals; and
(3) Also, airborne mist, odors from chemicals and vehicle exhaust are also a result of such uses; and
F. The City also finds that car washes could have a negative economic impact for the City as follows:
(1) The use provides little economic benefit to the City or City residents, as there are minimal sales tax revenues associated with the use, few employees hired, and typical wages paid would not increase the City’s overall median income; and (2) The continued establishment of car washes will result in th e immediate loss of potential revenues to the City and the immediate loss of desirable commercial and/or manufacturing sites throughout the City.

G. The City needs time to draft a proposed text amendment to the Zoning Code to preserve the health, safety and welfare of the community in the City of Hesperia with respect to the operation of car washes.

SECTION 2. AUTHORITY AND EFFECT
The State Planning and Zoning Law (Cal. Gov’t Code Sections 65000, et seq.) broadly empowers the City to plan for and regulate the use of land in order to provide for orderly development, the public health safety and welfare , and a balancing of property ri ghts and the desires of the community and how its citizens envisions their city.

SECTION 3. MORATORIUM
A. During the Effective Period of this Ordinance as specified below, no permit shall be issued, for any development of any new car wash, nor may a permit be issued for the expansion of an existing car wash, within the City. The foregoing shall explicitly proh ibit the issuance of any zoning, land use, discretionary permit, building permit, environmental approval, business license or any other entitlement involving bu sinesses defined as a car wash herein, during the Effective Period.

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B. Notwithstanding the fore going, any existing car wash facility shall be allowed to obtain their annual City of Hesperia business license. Additionally, permits may be issued for minor construction, rehabilitation and landscaping or other purposes not involving an expansion of building area. Any car wash facilities under construction with a valid building permit or any car wash facility approved by the Planning Commission on the effective date of th is Urgency Ordinance shall be exempt from this Urgency Ordinance.

SECTION 4. STUDY AND DEVELOPMENT
During the period of this Ordinance, the City shall study and develop as necessary City laws, rules, procedures and fees related to car washes, to enable the City to adequately an d appropriately preserve the heal th, safety and welfare of the community in the City of Hesperia.

Pursuant to Government Code Section 65858 the Planning Manager will issue a report for the legislative body on what has been accomplished duri ng the moratoriu m before it expires or is extended.

SECTION 5. URGENCY MEASURE
It is hereby declared that this Ordinanc e is necessary as an urgency measure for the preservation of the public health, safety and welfare. The City Council finds that current zoning regulations and land use plans do not adequately regulate the establishment and operation of car washes and therefore do not adequately protect the peace, health, safety and general welfare of the residents of the City or in communities around the City. The City Council finds the urgency measure is necessary in order to ensure adequate regulation of the operation of car washes. The facts constituting the urgency are:

The City of Hesperia does not currently have clear standards in the Hesperia Municipal Code related specifically to the establishment and expansion of car washes within the City.

The negative impacts frequently associated with operation of car washes will likely increase as car washes continue to proliferate throughout the City, resulting in an unregulated and significant negative impact upon public health, safety, and welfare of the community.

To permit the proliferation of car washes to continue within the City without being subject to specific regulations that are consistent with the General Plan, and that take into account the impacts that such establishments have, constitutes a threat to the health, safety, and welfare. Car washes generate undesirable conditions for adjacent properties. Airborne mist, odors from chemicals and vehicle exhaust, and noise from vacuums, pumps, pressurized sprayers, dryers, engines and car stereos are examples of common impa cts generated by these uses. The impacts can be detrimental to the quality of life for adjacent residents and disruptive to adjacent businesse s.

Allowing the continued establishment of car washes will re sult in the immediate p otential for disruptions to the quality of life for adjacent residents and businesses.

Car Wash facilities in the community provide the City with little economic benefit as there are minimal sales tax revenues associated with car wash operations.

Car Wash facilities hire few employees and typical wages paid at car wash facilities would not increase the City’s overall median incomes. Car washes therefore would not bolster employee densities in commercial and manufacturing zones or increase the per capita median income of the community. Allowing the continued establishment of car washes will result in the immediate loss of

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potential income to City residents and reduce potential employment opportunities throughout the City.

Car wash operators are likely to seek to be located in the City based on the lack of explicit regulations, which will further exacerbate the impacts of such businesses.

Absent the adoption of this Interim Urgency Ordinance, the operation of car washes in the City would likely result in the negative and harmful secondary effects, as identified above, including, but not limited to, increased noise, traffic, pollution, and public health and safety concerns, and other impacts identified herein.

As a result of t he negative and harmful secondary effects associated with imprope rly regulated or unregulated operation of car washes, the current and immediate threat such effects pose to the public health, safety and welfare, it is necessary to adopt a temporary, ten month (10) and fifteen (15) day day moratorium on the establishment of new car washes and the expansion of existing car washes in the City.

A moratorium is immediately required to preserve the public health, safety and welfare and should be adopted immediately as an urgency ordinance, to make certain that the establishment and expansion of car washes is prohibited for the period of this Ordina nce. Imposition of a moratorium will allow the City sufficient time to conclude the prep aration of a com prehensive ordinance for the regulation of such activities.

SECTION 6. SEVERABILITY
The City Council hereby declares, if any provision, section, subsection, pa ragraph, sentence, phrase or word of this Ordinance is rendered or declared invalid or unconstitutional by any final action in a court of competent jurisdiction or by reason of any preemptive legislation, then the City Council would have independently adopted the remaining provisions, sections, subsections, paragraphs, sentences, phrases or words of this Ordinance and as such they shall remain in full force and effect.

SECTION 7. CEQA COMPLIANCE
Pursuant to the California Environmental Quality Act Guidelines ("CEQA," California Code of Regulations Title 14, §§ 15000 et seq.), this Interim Urgency Ordina nce is exempt fr om CEQA based on the following: ( i) this Ordinance is not a project within the meaning of CEQA Section 15378 because it has no potential for resulting in physical change to the environment, either directly or indirectly and (ii) this Ordinance is also exempt pursuant to CEQA Section 15061(b)(3) since the proposed ordinance involves an Interim Urgency Ordinance establishing a ten month (10) and fifteen (15) day moratorium on the operation of car washes and thus there is no possibility that the proposed ordinance may have a significant effect on the environment.

SECTION 8. EFFECTIVENESS OF ORDINANCE.

This Ordinance shall take effect immediately upon its adoption by a 4/5 vote, pursuant to the authority conferred upon the City Council by Government Code Sections 36934, 36937, and 65858.

This Ordinance shall be effective during the Effective Period which shall be from its adoption and shall be of no further force and effect ten months (10) and fifteen (15) days following the date of its adoption unless extended in accordance with the provisions set forth in Government Code Section 65858(b).

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SECTION 9. PUBLICATION
The City Clerk shall certify as to the passage and adoption of this Interim Urgency Ordinance and shall cause the same to be published in a manner prescribed by law.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Hesperia, California, at a regular meeting held on this 21st day of March, 2023.
____________________________
Brigit Bennington, Mayor
ATTEST:
_____________________________
Erin Baum, Assistant City Clerk

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RESOLUTION NO. PC-2023-14

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF

HESPERIA, CALIFORNIA, RECOMMENDING THAT THE CITY COUNCIL

ADOPT A DEVELOPMENT CODE AMENDMENT AND SPECIFIC PLAN

AMENDMENT MODIFYING DEVELOPMENT STANDARD S ASSOCIATED
WITH CARWASH DEVELOPMENTS (DCA23-00001 AND SPLA23-00003)

WHEREAS, on January 5, 1998, the City Council of the City of Hesperia adopted Ordinance No. 250, thereby adopting the Hesperia Municipal Code; and

WHEREAS, On September 2, 2008, the City Council of the City of Hesperia adopted Ordinance No. 2008-12, thereby adopting the Main Street and Freeway Corridor Specific Plan; and

WHEREAS, the City proposes to amend Chapter 16.16.365 (C) of the City of Hesperia Municipal Code which contains specific land use standards for vehicle wash facilities; and

WHEREAS, the City proposes to amend Chapter 9 o f the Main Street and Freeway Corr idor Specific Plan to require that any new vehicle wash facility in the General Industrial (GI) zone require a CUP; and

WHEREAS, the City finds that it is necessary to amend the development regulations applicable for carwash developments and require that all new o r expanded carwash facilities meet specified distance limitations between other carwash facil ities and that all gas stati on applications shall submit a market research study; and

WHEREAS, the proposed Development Code Amendment is exempt from the California Environmental Quality Act (CEQA) per Section 1506 1(b)(3), where it can be seen with certainty that there is no signifi cant eff ect on the environment. The proposed Amendments are also exempt fr om the requirements of the California Environmental Quality Act by Section

16.12.415(B)(10) of the City’s CEQA Gu idelines, as the Amendments are exempt if they do not propose to increase the density or intensity allowed in the General Plan; and

WHEREAS, on April 13, 2023, the Planning Commission of the City of Hesperia conducted a duly noticed public hearing pertaini ng to the proposed amendment and concluded said hearing on that date; and

WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW THEREFORE, BE IT RESOLVED BY THE CITY OF HESPERIA PLANNING COMMISSION AS FOLLOWS:

Section 1. The Planning Commission hereby specifically finds that all of the facts set forth in this Resolution are true and correct.

Section 2. Based upon substantial evidence presented to the Commission, including written and oral staff reports, the Commi ssion specifically finds that the proposed Ordinance is consistent with the goals and objectives of the adopted General Plan.

Section 3. Based on the findings and conclusions set forth in this Resolution, this Commission hereby recommends adoption of Development Code Amendment DCA23- ATTACHMENT 1

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Resolution No. 2023-14

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00001 and Specific Plan Amendment SPLA23-00003 modifying development standards associated with establishment of new of car washes and demonstrate co mpliance with specific criteria and devel opment standards prior to oper ating in the City as shown on Exhibit “A.”

Section 4. That the Secretary shall certify to the adoption of this Resolution.

ADOPTED AND APPROVED on this 13th day of April 2023.

__________________________________ _______________________________ Roger Abreo, Chair, Planning Commission

ATTEST:

_________________________________________
Maricruz Montes, Secretary, Planning Commission

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EXHIBIT “A”
DCA23-00001 and SPLA23-00001

The following are modifications to Chapter 16.16.365 of the City of Hesperia Development Code regulations and Chapter 9 of the Main Street and Freeway Corridor Specific Plan (additions are in underlined red text and deletions are shown with red and strikethrough):

1) The following are modifications to Chapter 16.16.365 (C)-Vehicle Wash Facilities of the City Municipal Code

C. Vehicle Wash Facilities.

1. Vehicle wash facilities shall be developed in compliance with the following additional standards:
a. Full service and express vehicle wash facilities (i.e. standalone facilitates) shall be separated by a minimum of 2,000 feet, as measured from property lines.
b. Vehicle wash facilities that are ancillary to a primary use (i.e. a gas station) shall be separated by a minimum of 1,000 feet, as measured from the property line, from the nearest full service or express vehicle wash facility (i.e. standalone facility)
c. All gas station and car wash Conditional Use Permit applications shall include a market research study that analyses the feasibility of the project at the subject location.
d. All lights shall be reflected away from adjacent uses. e. Premises shall be maintained in a neat, orderly and environmentally safe manner, and all improvements shall be continuously maintained. f. Noise from vehicle wash activities shall not exceed levels established in Chapter 16.20, Article V (General Performance Standards).

MAIN STREET AND FREEWAY CORRIDOR SPECIFIC PLAN
Chapter 9, Subsection (I)- General Industrial Zone shall be amended to read:

1. Permitted Uses
The following uses are permitted in the General Industrial zone:
a) Commercial storage facilities (mini-warehouse).
b) Contractor’s storage yard.
c) Equipment (large) sales and rental.
d) Equipment (small) sales and rental.
e) Lumber yard and building materials (wholesale).
f) Manufacturing (indoors).

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g) Offices (administrative, business, executive and professional, but not including medical or dental).
h) Outdoor storage, incidental to the primary use.
i) Publishing and printing.
j) Retail sales ancillary to a manufacturing use on-site (floor area not to exceed 15% of gross floor area up to a maximum of 7,500 square feet). k) Truck terminal.
l) Vehicle repair – major.
m) Vehicle repair – minor.
n) Vehicle wash facilities.
o) Warehousing and wholesale distribution centers – 200,000 square feet or less. p) Accessory structures and uses customarily incidental to any permitted uses when located on the same site with the main building and use. q) Veterinary services- clinics and small animal hospitals (short term boarding). r) Other similar uses, as interpreted by the Development Services Director or his/her designee

2. Conditionally Permitted Uses
The following uses are conditionally permitted in the General Industrial zone:
a) Bus terminals.
b) Kennels – boarding of domestic animals.
c) Vehicle fuel stations (i.e,. gasoline stations).
d) Warehousing and wholesale distribution centers – 200,000 square feet or more e) Vehicle wash facilities.

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City of Hesperia

STAFF REPORT

DATE: June 20, 2023
TO: Mayor and Council Members

FROM: Rachel Molina, City Manager
BY: Melinda Sayre, Director of Government Services/City Clerk Jacquelyn Castillo, Administrative Analyst

SUBJECT: Amendments to Title 5 and Title 16 of the Hesperia Municipal Code Related to Licensing and Regulation of Tobacco Retailers

RECOMMENDED ACTION

It is recommended that the City Council introduce and place on first reading Ordinance No. 2023-10, amending Title 5 and Title 16 of the Hesperia Municipal Code related to Licensing and Regulation of Tobacco Retailers.

BACKGROUND

In 2021, the City Council adopted Ordinance No. 2021-07 which established a Tobacco Retailer License Program. The Program was designed to reduce the number of individuals of all ages who use cigarettes and other tobacco products, with a particular interest in pro tecting adolescents from tobacco usage and dependence as well as the illnesses associated with tobacco use. The program mandates that all tobacco retailers within the City obtain a Tobacco Retail License and undergo annual compliance checks.

ISSUES/ANALYSIS

The Federal Government and the State of California passed tobacco control laws that surpass local requirements regarding prohibitions on tobacco sales. Staff recommends revising Title 5 and Title 16 of the Hesperia Municipal Code to align with state and federal requirements in order to administer the program efficiently and afford additional protection where violations of local, state, and federal law are required.

Recommended changes to Title 5 – Chapter 5.80 Licensing and Regulation of Tobacco Retailers
 Under Section 5.80.010 – Definitions – Expand definitions for Arm’s Length Transaction, Flavored Tobacco Products, Self-Service Display, and Tobacco products.  Under Section 5. 80.010– Definitions – Include definitions for Bidis, Blunt Wraps, Characterizing Flavor, Constituent, Flavored Shisha Tobacco Product, Hookah, Hookah Lounge, Hookah Tobacco Retailer, Labeling, Loose Leaf Tobacco, Premium Cigar, Private Smokers’ Lounge, Retail or Wholesale Tobacco Shop, Shisha Tobacco Product, Tobacco Paraphernalia, Tobacco Product Flavor Enhancer, and Tobacco Samples.  Under Section 5.80.020 – General Requirements and Prohibitions – Add the following:
o Apply minumum age requirements to military personnel.

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Staff Report to the Mayor and Council Members
Amendments to Title 5 and Title 16 of the Hesperia Municipal Code Related to Licensing and Regulation of Tobacco Retailers
June 20, 2023

o Sale of flavored tobacco p roducts prohibited, including flavored e-cigarettes and menthol cigarettes, as well as tobacco flavor enhancers. o No sale of single cigarettes or packs with less than 20 cigarettes. o No sale of tobacco products that includes descriptors such as light, low, mild, or other similar words.
o No sales of cartridges or electronic cigarettes and sol utions for filling or refilling electronic cigarettes to persons under the age of 21 and products must be sold in child-resistant packaging and meet federal child -resistant packaging standards and testing procedures.
o No sales of tobacco products or tobacco paraphernalia to anyone under age 21. o No placement of advertising for blunt wraps w ithin two feet of candy, snacks, or nonalcoholic beverages inside any store or business, or placement of advertising for blunt wraps lower than four feet above the floor.
o No sales of bidis that alllow persons under 18 years of age. o No sales of tobacco products where cannabis is sold.
o Post the required STAKE Act age-of-sale warning sign at each point of sale. o Recommend revising minimum package sizing for cigars to at least five (instead of 6), and including a minimum price of $12.00 or more.

Staff recommends adding a new section 5.80.025 – Exemptions, for the following:
o Hookah and shisha bars and/or lounges are exempted if the business qualifies as either a retail or wholesale tobacco shop or a private smokers’ lounge and does not service food or beverages and limits entry to those aged 21 and over. o Sale of premium cigars.
o Sale of pipe tobacco or loose-leaf tobacco.
o Herbal or other plants intended or hookah smoking which do not contain tobacco or nicotine.

Recommended changes to Title 16 – Chapter 16.08 - Definitions  Align definition of “Tobacco paraphernalia” with updated definition in Chapter 5.80.  Align definition of “Tobacco product” with update definition in Chapter 5.80.

Staff believes that the proposed updates to the current regulations are required to continue to administer the program efficiently, allowing responsible operations of tobacco retail businesses, and afford additional protection where violations of local, state, or federal law are concerned.

ALTERNATIVE(S)

1. Provide alternative direction to staff.

ATTACHMENT(S)

1. Ordinance 2023-10

2. Exhibit A – Title 5 – Business Licenses and Regulations, Chapter 5.80 - Licensing and Regulation of Tobacco Retailers

3. Exhibit B – Title 16 –Development Code , Chapter 16.08 - Definitions – “Tobacco Paraphernalia”

4. Exhibit C – Title 16 –Development Code, Chapter 16.08 - Definitions – “Tobacco Product”

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ORDINANCE NO. 2023-10

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HESPERIA, CALIFORNIA, AMENDING TITLE 5, CHAPTER 5.80 OF THE HESPERIA MUNCIPAL CODE, AND AMENDING TITLE 16 CHAPTER 16.08 OF THE HESPERIA MUNICIPAL

CODE RELATED TO THE LI CENSING AND R EGULATION OF TO BACCO

RETAILERS

WHEREAS, in 20 21, the City Council adopted Ordinance No. 20 21-07 which established a Tobacco Retailer License Program; and

WHEREAS, Title 5 of the Hesperia Municipal Code contains regulations related to licensing and regulation of tobacco retailers; and

WHEREAS, Title 16 of the Hesperia M unicipal C ode contains definitions rel ated to tobacco products and tobacco paraphernalia; and

WHEREAS, staff c ontinues to review the program to en sure that the progr am is the most effective and efficient and complies fully with any state and federal regulations; and

WHEREAS, several updates to the current regulations are required to continue to administer the program efficiently, allowing for responsible operations of tobacco retail businesses , and a fford additional protection where violations of local, state, or federal law are concerned; and

WHEREAS, all legal prerequisites to the adoption of this Ordinance have occurred.

NOW THEREFORE, THE HESPERIA CITY COUNCIL DOES ORDAIN AS FOLLOWS:

Section 1. All of the facts set forth in the forgoing recitals are true, corre ct and are adopted as findings.

Section 3. Title 5, Chapter 5.80 of the Hesperia Municipal Code is hereby am ended as set forth in Exhibit “A”, attached hereto.

Section 4. Title 16, Chapter 16.08 of the Hesperia Municipal Code is hereby amended as set forth in Exhibits “B” and “C”, attached hereto.

Section 5. This Ordinance shall take effect on August 17, 2023.

Section 8. The City Council of the City of Hesperia hereby declares that should any provision, section, paragr aph, sentence, or word o f this Ordinance hereby a dopted be rendered or declared invalid by any final court action i n a court of competent jurisdiction, or by any reason of any preemptive legislation, the r emaining provisions, sections, paragraphs, sentences, and words shall remain in full force and effect.

Section 9. The City Clerk shall ce rtify to the adoption of the Ordinance and shall cause the same to be published in a manner prescribed by law.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Hesperia, California, at a regular meeting held on this 18th day of July, 2023.

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____________________________
Brigit Bennington, Mayor
ATTEST:

_____________________________
Erin Baum, Assistant City Clerk

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Exhibit A: Title 5 - BUSINESS LICENSES AND REGULATIONS
Chapter 5.80 LICENSING AND REGULATION OF TOBACCO RETAILERS

Hesperia, California, Code of Ordinances Created: 2023-02-01 09:34:40 [EST] (Supp. No. 21, Update 1)

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Chapter 5.80 LICENSING AND REGULATION OF TOBACCO RETAILERS Sections:

5.80.010 Definitions.

The following words and phrases, whenever used in this article, shall have the meanings defined in this section unless the context clearly requires otherwise:
"Arm's Length Transaction" means a sale in good faith and for valuable consideration that reflects the fair market value between two informed and willing parties, neither of which is under any compulsion to participate in the transaction. A sale between relatives, related companies or partners, or a sale for the primary purpose of avoiding the effect of the violations of this chapter that occurred at the location, is presumed not to be an “arm’s length transaction.”
“Bidis (beedies)” mean hand-rolled cigarettes containing tobacco wrapped in temburi or tendu leaf that are imported mainly from India and some Southeast Asian countries. They come in a variety of candy-like flavors and often are sold in packs of fewer than 20.
“Blunt wraps” mean cigar papers or cigar wrappers of all types that are designed for smoking or ingestion of tobacco products and contain less than 50 percent tobacco. “Characterizing flavor” means a distinguishable taste or aroma, or both, other than the taste or aroma of tobacco, imparted by a tobacco product or any byproduct produced by the tobacco product. Characterizing flavors include, but are not limited to, tastes or aromas relating to any fruit, chocolate, vanilla, honey, candy, cocoa, dessert, alcoholic beverage, menthol, mint, wintergreen, herb, or spice. A tobacco product shall not be determined to have a characterizing flavor solely because of the use of additives or flavorings or the provision of ingredient information. Rather, it is the presence of a distinguishable taste or aroma, or both, as described in the first sentence of this definition, that constitutes a characterizing flavor. "Child-Resistant Packaging" mean packaging that meets the definition set forth in Code of Federal Regulations, title 16, section 1700.15 (b), as in effect on January 1, 2015, and was tested in accordance with the method described in Code of Federal Regulations, title 16, section 1700.20, as in effect on January 1, 2015. "Cigar" means any roll of tobacco other than a cigarette wrapped entirely or in part in tobacco or any substance containing tobacco and weighing more than 4.5 pounds per thousand. "Cigarette" means: (1) any roll of tobacco wrapped in paper or in any substance not containing tobacco; and (2) any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased consumers as a cigarette described herein.
"Compliance Checks" means systems the department uses to investigate and ensure that tobacco retailers are following and complying with the requirements of this article. Compliance checks may involve the use of persons between the ages of eighteen (18) and twenty (20) who purchase or attempt to purchase tobacco products. Compliance checks may also be conducted by the department or other units of government for educational, research, and training purposes or for investigating or enforcing federal, state, or local laws and regulations relating to tobacco products.
“Constituent” means any ingredient, substance, chemical, or compound, other than tobacco, water, or reconstituted tobacco sheet , that is added by the manufacturer to the tobacco product during the processing, manufacture, or packaging of the tobacco product.

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(Supp. No. 21, Update 1)

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"Delivery Sale" means the sale of any tobacco product to any person for personal consumption and not for resale when the sale is conducted by any means other than an in-person, over-the-counter sales transaction in a tobacco retail establishment. Delivery sale includes the sale of any tobacco product when the sale is conducted by telephone, other voice transmissions, mail, the internet, or app-based service. Delivery sale includes delivery by licenses or third parties by any means, including curbside pick-up. "Department" means the City of Hesperia Code Enforcement Department and any agency or person designated by the department to enforce or administer the provisions of this article. "Electronic Smoking Device" means any device that may be used to deliver any aerosolized or vaporized substance to the person inhaling from the device, including, but not limited to, an e-cigarette, e-cigar, e-pipe, vape pen, or e-hookah. Electronic smoking device includes any component, part, or accessory of the device and also includes any substance that may be aerosolized or vaporized by such device, whether or not the substance contains nicotine. Electronic smoking device does not include drugs, devices, or combination products authorized for sale by the U.S. Food and Drug Administration, as those terms are defined in the Federal Food, Drug, and Cosmetic Act.
"Flavored shisha tobacco product” means any shisha tobacco product that contains a constituent that imparts a characterizing flavor.
"Flavored Tobacco Product" means any tobacco product that contains a constituent that imparts a characterizing flavor. a taste or smell, other than the taste or smell of tobacco, that is distinguishable by an ordinary consumer either prior to, or during the consumption of, a tobacco product, including, but not limited to, any taste or smell relating to fruit, menthol, mint, wintergreen, chocolate, cocoa, vanilla, honey, molasses, or any candy, dessert, alcoholic beverage, herb, or spice.
"Full Retail Price" means the price listed for a tobacco product on its packaging or on any related shelving, advertising, or display where the tobacco product is sold or offered for sale, plus all applicable taxed and fees if such taxes and fees are not included in the list price. “Hookah” means a type of waterpipe, used to smoke shisha or other tobacco products, with a long flexible tube for drawing aerosol through water. Components of a hookah may include heads, stems, bowls, and hoses. “Hookah lounge” means a retail or wholesale tobacco shop or a private smokers lounge and does not serve food or beverages.
”Hookah tobacco retailer” means a tobacco retailer that is engaged in the retail sale of shisha tobacco products, hookah, and hookah smoking accessories.
“Labeling” means written, printed, pictorial, or graphic matter upon a tobacco product or any of its packaging.
“Loose leaf tobacco” consists of cut or shredded pipe tobacco, usually sold in pouches, excluding any tobacco product which, because of its appearance, type, packaging, or labeling, is suitable for use and likely to be offered to, or purchased by, consumers as tobacco for making cigarettes, including roll-your-own cigarettes. "Little Cigar" means any toll of tobacco other than a cigarette wrapped entirely or in part in tobacco or any substance containing tobacco and weighing no more than 4.5 pounds per thousand. "Little Cigar" includes, but is not limited to, tobacco products known or labeled as small cigar, little cigar, or cigarillo. "Manufacturer" means any person, including any repacker or relabeler, who manufactures, fabricates, assembles, processes, or labels a tobacco product; or imports a finished tobacco product for sale or distribution into the United States.
"Moveable place of business" means any form of business that is operated out of a kiosk, truck, van, automobile, or other type pf vehicle or transportable shelter and not a fixed address store front or other permanent type of structure authorized for sales transactions.

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"Person" means any natural person, partnership, cooperative association, corporation, personal representative, receiver, trustee, assignee, or any other legal entity. “Premium cigar” means any cigar that his handmade, is not mass produced by use of mechanization, has a wrapper that is made entirely from whole tobacco leaf, and has a wholesale price of no less than twelve dollars (12.00). A premium cigar does not have a filter, tip, or non-tobacco mouthpiece and is capped by hand. “Private smokers’ lounge” means an enclosed area in or attached to a retail or wholesale tobacco shop that is dedicated to the use of tobacco products.
"Proprietor" means a person with an ownership or interest in a business. An ownership interest shall be deemed to exist when a person has a ten percent or greater interest in the stock, assets, or income of a business other than the sole interest of security for debt.
“Retail or wholesale tobacco shop” means any business establishment whose main purpose is the sale of tobacco products.
"Sale" or "Sell" means any transfer, exchange, barter, gift, offer for sale, or distribution for a commercial purpose, in any manner or by any means whatsoever.
"Self-Service Display" means the open display or storage of tobacco products or tobacco paraphernalia in a manner that is physically accessible in any way to the general public without the assistance of the retailer or employee of the retailer and a direct face-to-face transfer between the purchaser and the retailer or employee of the retailer. A vending machine is a form of self-service display. “Shisha tobacco product” means a tobacco product smoked or intended to be smoked in a hookah. “Shisha tobacco product” includes, and may be referred to as, hookah tobacco, waterpipe tobacco, maassel, narghile, and argile. “Shisha tobacco product” does not include any electronic devices, such as an electronic hookah, electronic cigarette, or electronic tobacco product.
"Smoking" means inhaling, exhaling, burning, or carrying any lighted or heated cigar, cigarette, or pipe, or any other lighted or heated product containing, made, or derived from nicotine, tobacco, marijuana, or other plant, whether natural or synthetic, that is intended for inhalation. "Smoking" includes using an electronic smoking device.
“Tobacco paraphernalia” means any paraphernalia, equipment, device, or instrument that is primarily designed or manufactured for the smoking, chewing, absorbing, dissolving, inhaling, snorting, sniffing, or ingesting by any other means into the body of tobacco, tobacco products, or other controlled substances as defined in California Health and Safety Code Section 11054 et seq. Items or devices classified as tobacco paraphernalia include but are not limited to the following: blunt wraps, holders of smoking materials of all types, cigarette rolling machines, oil burners, methascopes, pipes, punctured metal bowls, bongs, water bongs, electric pipes, e- cigarettes, e-cigarette juice, buzz bombs, vaporizers, hookahs, devices for holding burning material, or other instruments designed for the smoking or ingestion of tobacco products. Lighters and matches shall be excluded from the definition of tobacco paraphernalia.

"Tobacco Product" means:

1. Any product containing, made of, or derived from tobacco or nicotine that is intended for human consumption or is likely to be consumed, whether inhaled, absorbed, or ingested by any other means, including but not limited to, a cigarette, a cigar, pipe tobacco, chewing tobacco, snuff, or snus;

2. Any electronic smoking device and any substances that may be aerosolized or vaporized by such device, whether or not the substance contains nicotine; or

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3. Any component, part, or accessory of (1) or (2), whether or nor any of these contains tobacco or nicotine, including but not limited to filters, rolling papers, blunt or hemp wraps, hookahs, mouthpieces, and pipes.

The term "tobacco product" excludes any product that has been specifically approved by the United States Food and Drug Administration (FDA) for sale as a tobacco/smoking cessation product or for other medical purposes, where such product is marketed and sold solely for such an approved purpose "Tobacco product flavor enhancer” means a product designed, manufactured, produced, marketed, or sold to produce a characterizing flavor when added to a tobacco product. "Tobacco Retailer" means any person who sells, offers for sale, or exchanges or offers to exchange for any form of consideration, tobacco products. This definition is without regard to the quantity of tobacco products sold, offered for sale, exchanged, or offered for exchange.
"Tobacco Retailing" means engaging, in the activities of tobacco retailer. “Tobacco samples” means free or nearly free cigarettes or smokeless tobacco, or coupons, coupon offers, or rebate offers for these products.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.020 General requirements and prohibitions.
(A) Tobacco Retailer's License Required. It shall be unlawful for any person to engage in tobacco retailing in the City of Hesperia without first obtaining and maintaining a valid tobacco retailer's license for each location at which tobacco retailing is to occur. Tobacco retailing without a valid tobacco retailer's license is declared a public nuisance.
(B) Lawful Business Operation. In the course of tobacco retailing or in the operation of the business or maintenance of the location for which a license is issued, it shall be a violation of this code for a licensee, or any of the licensee's agents or employees, to violate any local, state, or federal law applicable to the sale of tobacco products.
(C) Minimum Legal Sales Age. No person engaged in tobacco retailing shall sell a tobacco product to a person under twenty-one (21) years of age, including military personnel.. (D) Advertisement Sale of Flavored Tobacco Products Prohibited. It shall be unlawful for any tobacco retailer to advertise or display signage that includes sell any flavored tobacco product, including flavored e-cigarettes and menthol cigarettes, as well as tobacco product flavor enhancers. . This does not apply to flavored premium cigars with a wholesale price of $12 or more and flavored loose-leaf pipe tobacco. Flavored shisha/hookah tobacco may only be sold in licensed stores that only allow people 21 or older on the premises at any time.
(E) No sales of single cigarettes or packs with less than 20 cigarettes. (F) No sale of tobacco products with labeling that includes the descriptors “light,” “low,” “mild,” or other similar words.
(G) No sales of cartridges for electronic cigarettes and solutions for filling or refilling an electronic cigarette to persons under the age of 21 and products must be sold in child-resistant packaging and meet federal child- resistant packaging standards and testing procedures.
(H) No sales of tobacco products or tobacco paraphernalia to anyone under age 21.

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(I) No placement of advertising for blunt wraps within two feet of candy, snacks, or nonalcoholic beverages inside any store or business, or placement of advertising for blunt wraps lower than four feet above the floor.
(J) No sales of bidis in businesses that allow persons under 18 years of age on the premises. (K) No sales of tobacco products where cannabis is sold. (L) Post the required STAKE Act age-of-sale warning sign at each point of sale. (ME) Advertisement for Presumptive Flavored Tobacco Products Prohibited. Advertising and signage shall not include presumptive flavored tobacco products, including a public statement or claim made or disseminated by the manufacturer of a tobacco product, or by any person authorized or permitted by the manufacturer of a tobacco product, or by any person authorized or permitted by the manufacturer to make or disseminate public statements concerning such tobacco product, that such tobacco product has a taste or smell other than tobacco shall constitute presumptive evidence that the tobacco product is a flavored tobacco product. (NF) Display of License. Each tobacco retailer license shall be prominently displayed in a publicly visible location at the licensed location.
(OG) Positive Identification Required. No person engaged in tobacco retailing shall sell a tobacco product to another person without first verifying by means of unexpired government-issued photographic identification that the recipient is at least twenty-one (21) years of age. (PH) On-Site Sales. All sales of tobacco products shall be conducted in-person in the licensed location. It shall be a violation of this article for any tobacco retailer or any of the tobacco retailer's agents or employees to engage in the delivery sale of tobacco products or to knowingly or recklessly sell or provide tobacco products to any person that intends to engage in the delivery sale of the tobacco product in the city. (QI) Mobile Vending. No license may issue to authorize tobacco retailing anywhere other than a fixed location.

No tobacco retail license will be issued to a moveable place of business. (RJ) Packaging and Labeling. No tobacco retailer shall sell any tobacco product to any consumer unless the tobacco product: (1) is sold in the manufacturer's packaging intended for sale to consumers; (2) conforms to all applicable federal labeling requirements; and (3) conforms to all applicable child-resistant packaging requirements.
(SK) Minimum Package Size for Little Cigars and Cigars. No tobacco retailer shall sell:
(1) Little cigars unless they are sold in a package of at least twenty (20) little cigars; or (2) Cigars unless they are sold in a package of at least fivesix cigars at a minimum price of $12.00 or more. (TL) Distribution of Tobacco Samples or Promotional Items. It is unlawful for any person to distribute free or nominally priced tobacco products.
(UM) Prohibition of Tobacco Coupons and Discounts. No tobacco retailer shall:
(1) Honor or redeem or offer to honor or redeem, a coupon to allow a customer to purchase a tobacco product for less than the full retail price.
(2) Sell any tobacco product to a consumer through a multiple-package discount or otherwise provide any such product to a consumer for less than the full retail price in consideration for the purchase of any tobacco product or any other item.
(3) Provide any free or discounted item to a consumer in consideration for the purchase of any tobacco product.

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(VN) All tobacco retailers must provide education and training to employees on local laws preventing sales to those under twenty-one (21) years of age; training should include how to properly and accurately check a customer's age on a photo ID and how to refuse tobacco sales. ( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.025 Exemptions

A. Hookah and shisha bars and/or lounges are exempted if the business qualifies as either a retail or wholesale tobacco shop or a private smokers’ lounge and does not serve food or beverages and limits entry to those aged 21 and over. Flavored electronic device products, such as electronic hookahs are prohibited.

B. The sale of premium cigars is exempted. There is also an exemption for premium cigars sold in a cigar lounge and consumed on the premises.

C. The sale of pipe tobacco or loose-leaf tobacco is exempted, but not any tobacco product suitable for making cigarettes, including roll-your-own cigarettes.

D. Herbal or other plants intended for hookah smoking which do not contain, and are not made of or derive from, tobacco or nicotine (e.g., herbal shisha that do not contain tobacco or nicotine), are not tobacco products and are therefore not subject to California or federal minimum age of sale laws for tobacco products.

5.80.030 Application for tobacco retailer license.

A. An application for a tobacco retailer's license shall be submitted in the name of each proprietor proposing to conduct retail tobacco sales and shall be signed by each proprietor or an authorized agent thereof. All proprietors must be listed on one application. All applications shall be submitted on a form supplied by the City of Hesperia.

B. A license issued contrary to this article, contrary to any other law, or on the basis of false or misleading information shall be void. Nothing in this article shall be construed to vest in any person obtaining and maintaining a tobacco retailer's license any status or right to act as a tobacco retailer in contravention of any provision of law.

C. Applicant submissions shall contain the following information:
(1) The home address, name, business address, and telephone number of the location for which a license is sought.
(2) The business name, address, and telephone number of the location for which a license is being sought. (3) The name and mailing address authorized by each proprietor to receive all communications and notices required by, authorized by, or convenient to the enforcement of this article. (4) Proof that the location for which a tobacco retailer's license is sought has been issued all necessary state licenses for the sale of tobacco products.

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(5) Whether or not any proprietor or any agent of the proprietor has admitted violating, or has been found to have violated, this article or any other local, state, or federal law governing the sale of tobacco products, and if so, the dates and locations of all such violations within the previous five years. (6) A signed affidavit affirming that the proprietor has not sold and will not sell any tobacco product without a license required by this article.
(7) Such other information as the city deems necessary for the administration or enforcement of this article as specified on the application form required by this section. (8) All required fees.
(9) Authorization for the city to seek verification of the information contained within the application. (10) A statement in writing by the applicant that he or she certifies under penalty of perjury that all the information contained in the application is true and correct.

D. A licensed tobacco retailer shall inform the city in writing of any change in the information submitted on an application for a tobacco retailer's license within ten business days of change.

E. An inspection will be conducted at the tobacco retail location upon application of a Tobacco Retail License. If violations are found, a Correction Notice will be sent to the applicant listing all violations. A license shall not be issued until all violations are corrected.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.040 License issuance.

Upon the receipt of a complete and adequate application for a tobacco retailer's license and the license fee required by this article, the city may approve or deny the application for a license, or it may delay action for a reasonable period of time to complete any investigation of the application or the applicant deemed necessary. ( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.050 Denial of tobacco retailer license application.

A. The city may deny an application for a tobacco retailer's license based on any of the following:
(1) The information presented in the application is inaccurate or false. Intentionally supplying inaccurate or false information shall be a violation of this article; (2) The application seeks authorization for tobacco retailing at a location for which this article prohibits a license to be issued;
(3) The application seeks authorization for tobacco retailing for a proprietor to whom this article prohibits a license to be issued;
(4) The application seeks authorization for tobacco retailing in a manner that is prohibited pursuant to this article, that is unlawful pursuant to any other article of this Code, or that is unlawful pursuant to any other law;
(5) Any other reason the granting of a license to the applicant is not consistent with the public health and welfare, including but not limited to, the applicant's history of noncompliance with this article and other laws relating to the sale of tobacco products.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

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5.80.060 License renewals.

A. Renewal of a License. A tobacco retailer's license is invalid if the appropriate fee has not been timely paid in full or if the term of the license has expired. The term of a tobacco retailer license is one year. Each tobacco retailer shall apply for the renewal of their tobacco retailer's license and submit the license fee no later than thirty (30) days prior to expiration of the current license. A retailer that fails to timely submit a renewal application and fee is ineligible for license renewal and must submit a new application pursuant to Section

5.80.060.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.070 Licenses not transferrable.

A. Licenses not Transferrable. A tobacco retailer's license may not be transferred from one person to another or from one location to another. A new tobacco retailer's license is required whenever a tobacco retailing location has a change in proprietors.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.080 Past violations.

A. Notwithstanding any other provision of this article, prior violations at a location shall continue to be counted against a location and license ineligibility periods shall continue to apply at a location unless:
(1) The location has been transferred to new proprietor(s) in an arm's length transaction; and (2) The new proprietor(s) provide the city with clear and convincing evidence that the new proprietor(s) have acquired the location in an arm's length transaction. ( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.090 License conveys a limited, conditional privilege.

Nothing in this article shall be construed to grant any person obtaining and maintaining a tobacco retailer's license any status or right other than the limited conditional privilege to act as a tobacco retailer at the location in the city identified on the face of the license. Nothing in this article shall be construed to render inapplicable, supersede, or apply in lieu of, any other provision of applicable law. ( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.100 Fee for license.

The fee to issue or to renew a tobacco retailer's license shall be established from time to time by resolution of the city and are nonrefundable except as may be required by law. The fee for a Tobacco Retailer License shall be in addition to, and not in lieu of, any other fees that are required. ( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

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5.80.110 Compliance monitoring and inspections.

A. Compliance with this article shall be monitored by the city manager or designee(s). All licensed premises must be open to inspection by city officials or designated persons during regular business hours.

B. The department shall inspect each tobacco retailer at least one time per 12-month period to ensure compliance.

C. The Department may conduct at least one compliance check per 12-month period that involves the participation of persons between the ages of eighteen (18) and twenty (20) to enter licensed premises to attempt to purchase tobacco products.

D. A fee may be charged for re-inspection as adopted via Resolution by city council.

E. Nothing in this section shall create a right of action in any license or other person against the city or its agents.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.120 Suspension or revocation of license.

A. In addition to any other penalty authorized by law, a tobacco retailer's license may be suspended or revoked if it is found to have violated any portion of this chapter or any applicable State Law regarding the sale of tobacco products. Upon a finding by the department of a first violation of this article, at a location, the license shall be suspended for ninety (90) days.
(1) Upon a finding by the department of a second violation of this article at a location, the license shall be suspended for one hundred twenty (120) days.
(2) Upon a finding by the department of a third violation of this article at a location, the license shall be suspended for one year.
(3) Upon a finding by the department of four or more violations of this article at a location within a five- year period, the license shall be revoked.

B. During the suspension or revocation period, no retailer shall be allowed to vend any tobacco product. All tobacco products shall be removed, and no tobacco product shall be displayed. (1) Each day on which a tobacco product is distributed, sold, or offered for sale in violation of this article shall constitute a separate violation of this article which will constitute further suspensions or revocation of a license.
(2) Each individual tobacco product that is distributed, sold, or offered for sale in violation of this article shall constitute a separate violation of this article which will constitute further suspensions or revocation of a license.

C. If it is found that a tobacco retailer has sold tobacco or a tobacco product to a minor under twenty-one (21) years of age, they will be subject to the penalties noted above, and upon the first violation of this nature, that retailer shall also apply for a Conditional Use Permit (CUP) which may result in losing the ability to sell any and all tobacco products and/or a complete revocation of the tobacco retail license. ( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

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5.80.130 Appeals.

Any decision regarding the suspension or revocation of a tobacco retailer's license may be appealed to the city council by the licensee as follows:

1. Appellant must file a written appeal with the Hesperia City Clerk within ten calendar days of the decision. The written appeal shall specify the person making the appeal, identify the decision appealed from, state the reasons for the appeal, and include any evidence in support of the appeal.

2. Notice of the time and place of an appeal hearing shall be provided to the appellant within thirty (30) days of receipt of the written appeal by the Hesperia City Clerk.

3. The appeal hearing shall be held within sixty (60) days of the filing of the written appeal with the Hesperia City Clerk, unless the 60-day time limit is waived by the appellant, or unless the city manager or designee continues the appeal hearing date for good cause and upon written notification to the appellant.

4. The city council shall review the facts of the matter, written documents submitted for review, the basis for making the decision which is under appeal, and then determine whether the director's decision should be reversed or affirmed. The determination made shall be in writing, shall set forth the reasons for the determination, and shall be final.

5. The provisions of Sections 1094.5 and 1094.6 of the Code of Civil Procedure set forth the procedure for judicial review of any final determination.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.140 License issued in error - Voiding of a license.

Any application that is found to contain inaccurate, false, misleading, or fraudulent statements, or that omits material facts regarding the operation of the business, or the application was not accompanied by all required supporting documentation, shall void the license.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.150 Tobacco retailing without a valid license.

A. Ineligible for License. In addition to any other penalty authorized by law, if the department finds, or if a court of competent jurisdiction determines, based on a preponderance of evidence after notice and an opportunity to be heard, that any person has engaged in tobacco retailing at a location without a valid tobacco retailer's license, either directly or through the person's agents or employees, the person shall be ineligible to apply for, or to be issued, a tobacco retailer's license as follows. Operating without a valid license includes operating with a license that has been suspended or revoked:
(1) After a first violation of this section at a location, no new license may issue for the person or the location (unless ownership of the business at the location has been transferred in an arm's length transaction), until thirty (30) days have passed from the date of the violation. (2) After a second violation of this section at a location within any five-year period, no new license may issue for the person or the location (unless ownership of the business at the location has been transferred in an arm's length transaction), until ninety (90) days have passed from the date of the violation.

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(3) After a third or subsequent violation of this section at a location within any five-year period, no new license may issue for the person or the location (unless ownership of the business at the location has been transferred in an arm's length transaction), until one year has passed from the date of the violation.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

5.80.160 Additional remedies.

A. The remedies provided by this article are cumulative and in addition to any other remedies available at law or in equity.

B. Whenever evidence of a violation of this article is obtained in any part through the participation of a person under the age of eighteen (18) years, such a person shall not be required to appear to give testimony in any civil or administrative process brought to enforce this article, and the alleged violation shall be adjudicated based upon the sufficiency and persuasiveness of the evidence presented.

C. Any violation of the provisions of this chapter shall constitute a separate offense for each and every day during which such violation is committed or continued and shall be subject to all remedies and enforcement measures authorized by the Hesperia Municipal Code, Title 1.

D. To the fullest extent allowed under state law, any person, whether as principal, employee, agent, partner, director, officer, stockholder, or trustee or otherwise, violating or causing the violation of any of the provisions of this chapter shall be guilty of a misdemeanor, and any conviction thereof shall be punishable of not more than one thousand dollars ($1,000.00) or by imprisonment for not more than six months, or by both such fine and imprisonment.

E. The violation of any of the provisions of this chapter is deemed a public nuisance and may be abated by the city through civil process by means of restraining order, preliminary or permanent injunction, or in any other manner provided by law for the abatement of such nuisance. Violations of this chapter may also be punishable in accordance with the provisions of Title 1 of this code. Remedies are not exclusive of each other.
( Ord. No. 2021-07 , § 3(Exh. A), 11-2-21)

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Exhibit B: Title 16 – Development Code, Chapter 16.08 – Definitions - “Tobacco Paraphernalia”

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16.08.843 Tobacco paraphernalia.
"Tobacco paraphernalia" shall mean any paraphernalia, equipment, device, or instrument that is primarily designed or manufactured for the smoking, chewing, absorbing, dissolving, inhaling, snorting, sniffing, or ingesting by any other means into the body of tobacco, tobacco products, or other controlled substances as defined in California Health and Safety Code Section 11054 et seq. Items or devices classified as tobacco paraphernalia include but are not limited to the following: blunt wraps, holders of smoking materials of all types, cigarette rolling machines, oil burners, methascopes, pipes, punctured metal bowls, bongs, water bongs, electric pipes, e- cigarettes, e-cigarette juice, buzz bombs, vaporizers, hookahs, and devices for holding burning material, or other instruments designed for the smoking or ingestion of tobacco products. Lighters and matches shall be excluded from the definition of tobacco paraphernalia.
( Ord. No. 2017-10 , 3(Exh. A), 6-6-17)

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Exhibit C: Title 16 – Development Code, Chapter 16.08 -Definitions - “Tobacco Product”

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16.08.844 Tobacco product.
"Tobacco Product" means:

1. Any product containing, made of, or derived from tobacco or nicotine that is intended for human consumption or is likely to be consumed, whether inhaled, absorbed, or ingested by any other means, including but not limited to, a cigarette, a cigar, pipe tobacco, chewing tobacco, snuff, or snus;

2. Any electronic smoking device and any substances that may be aerosolized or vaporized by such device, whether or not the substance contains nicotine; or

3. Any component, part, or accessory of (1) or (2), whether or nor any of these contains tobacco or nicotine, including but not limited to filters, rolling papers, blunt or hemp wraps, hookahs, mouthpieces, and pipes.
"Tobacco product" product shall mean any product in leaf, flake, plug, liquid, or any other form, containing nicotine derived from the tobacco plant, or otherwise derived, which is intended to enable human consumption of the tobacco or nicotine in the product, whether smoked, chewed, absorbed, dissolved, inhaled, snorted, sniffed, or ingested by any other means.

For the purposes of this chapter, the term "tobacco product" excludes any product that has been specifically approved by the United States Food and Drug Administration (FDA) for sale as a tobacco/smoking cessation product or for other medical purposes, where such product is marketed and sold solely for such an approved purpose.
( Ord. No. 2017-10 , 3(Exh. A), 6-6-17)

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City of Hesperia

STAFF REPORT

RECOMMENDED ACTION
It is recommended that the City Council and the Board of Directors of the Hesperia Water District (HWD) hold a Public Hearing and adopt the following Resolutions approving the Fiscal Year (FY) 2023-24 Proposed CIP Budget for the City of Hesperia and the Hesperia Water District:

1) City of Hesperia Resolution No. 2023-39 adopting the FY CIP 2023-24 Budget 2) Resolution HWD 2023-12 adopting the FY CIP 2023-24 Budget

BACKGROUND
In compliance with the City C ouncil’s policy direction, staff has prepared the FY 2023-24 CIP Budget for the City of Hesperia and the Hesperia Water District. The CIP Budget includes the funding of capital projects within the City. Additionally, California Government Code, Section 66002 provides that any local agency which levies a Development Impact Fee subject to California Government Code, Section 66001 may adopt a Capital Improvement Plan . The FY 2023-24 Proposed CIP Budget provides the funding plan for such projects.

In the past, the CIP Budget was presented in conjunction with the City’s operating budget. To comply with the state code, the CIP Budget will be presented for Council and Board consideration separate from the operating budget.

ISSUES/ANALYSIS
As an attachment to this staff report, the FY 2023-24 Proposed CIP Budget includes the following type of projects: Street Improvements, Storm Drainage, Facilities, Water, and Sewer projects. Upon Council and Board approval, t he CIP Budget ed expenditures and revenues will be included into the City’s overall FY 2023-24 Proposed Budget, which will be presented and approved by the City Council on June 20, 2023.

Staff requests authority to make technical corrections, minor edits, etc. to the FY 2023-24 Proposed CIP Budget document to be incorporated into the final FY 2023-24 CIP Budget as approved by the City Council and Hesperia Water Board.

DATE: June 20, 2023
TO: Mayor and Council Members
Chair and Board Members, Hesperia Water District
FROM: Rachel Molina, City Manager
BY: Casey Brooksher, Director of Administrative Services

SUBJECT: Fiscal Year (FY) 2023-24 Proposed Capital Improvement Program (CIP) Budget Adoption

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Staff Report to the City Council and Board of Directors of the Hesperia Water District Fiscal Year 2023-24 Proposed Capital Improvement Program (CIP) Budget Adoption June 20, 2023

FISCAL IMPACT

See Fiscal Year 2023-24 CIP Proposed Budget.

ALTERNATIVE

Provide alternate direction to staff.

ATTACHMENTS

1. Resolution No. 2023-39

2. Resolution HWD 2023-12

3. Fiscal Year 2023-24 Capital Improvement Program (CIP) Budge t (On file in the City Clerk’s Office)

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RESOLUTION NO. 2023-39

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HESPERIA, CALIFORNIA, ADOPTING THE FISCAL YEAR 2023-24 CAPITAL

IMPROVEMENT PROGRAM BUDGET

WHEREAS, the City Manager has prepared the proposed capital improvement program budget for Fiscal Year 2023-24 for the City of Hesperia; and

WHEREAS, the City Council has received the Fiscal Year 2023-24 proposed capital improvement program budget and held a public hearing concerning its adoption; and

WHEREAS, the final document will be the City ’s official Capital Improvement Program Budget for the City of Hesperia for Fiscal Year 2023-24.

NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HESPERIA AS FOLLOWS:

Section 1. In all respects, the facts as set forth in this Resolution are true and correct.

Section 2. To accept, approve , and adopt the Fiscal Year 2023-24 Capital Improvement Program Budget as proposed and presented by staff and as adjusted by Council direction, as the official Capital Improvement Program budget document for the City of Hesperia for Fiscal Year 2023-24, which includes:

Section 2a. Other City funds expenditures of $ 42,477,112 are from the following funds, exclusive of transfers:

Fund No. Fund Name Expenditure
204 Measure I - Renewal $ 1,911,691
207 Local Transportation Fund (LTF) Article 8 373,868
209 Gas Tax RMRA 1,997,385
251 Community Development Block Grant 4,365,547
254 AB 2766 Transit 24,306
300 Development Impact Fee (DIF) - Streets 454,468
301 DIF – Storm Drain 237,500
306 DIF 2018-Streets 7,812,362
313 A-04 Drainage 925,937
504 City-wide Projects 24,374,048

Total $42,477,112

Section 3. That the City Manager and department head staff shall have the authority to transfer funds as inco rporated in the Fiscal Year 2023-24 Capital Impr ovement Program Budget and consistent with the policy adopted by the City Council.

Section 4. That the City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.

ADOPTED AND APPROVED this 20th day of June 2023.

ATTEST: Brigit Bennington, Mayor

Erin Baum, Assistant City Clerk

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RESOLUTION HWD 2023-12

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE HESPERIA

WATER DISTRICT, CITY OF HESPERIA, CALIFORNIA, ADOPTING THE FISCAL YEAR 2023-24 CAPITAL IMPROVEMENT PROGRAM BUDGET

WHEREAS, the General Manager has prepared the proposed capital improvement program budget for Fiscal Year 2023-24 for the Hesperia Water District; and

WHEREAS, the Board of Directors has received the Fi scal Year 2023-24 proposed capital improvement program budget and held a public hearing concerning its adoption; and

WHEREAS, the final capital improvement program document will be the District’s official Capital Improvement Program budget for the Hesperia Water District for Fiscal Year 2023-24.

NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE HESPERIA WATER DISTRICT AS FOLLOWS:

Section 1. In all respects, the facts as set forth in this resolution are true and correct.

Section 2. To accept , approve, and adopt the Fiscal Year 2023-24 Capital Improvement Program Budget as proposed and presented by staff and as adjusted by Board direction, as the official Capital Improvement Program budget document for the Hesperia Water District for Fiscal Year 2023-24, which includes:

Section 2a. Water District expenditures of $ 7,013,200 from the following funds, exclusive of transfers:

Fund No. Fund Name Expenditure
701 Water Capital $1,029,000
711 Sewer Capital 5,984,200
Total $7,013,200

Section 3. That the General Manager and department head staff shall have the authority to transfer funds as incorporated in the Fiscal Year 2023-24 Capital Improvement Program Budget and consistent with the policy adopted by the District’s Board of Directors.

Section 4. That the Secretary of the Board of Directors shall certify to the passage and adoption of this Resolution and enter it into the book of original resolutions.

ADOPTED AND APPROVED this 20th day of June 2023.

Brigit Bennington, Mayor/Chair
ATTEST:

Erin Baum, Assistant City Clerk/Secretary

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ATTACHMENT 3 AVAILABLE FOR REVIEW IN THE CITY CLERK’S OFFICE

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City of Hesperia

STAFF REPORT

DATE: June 20, 2023
TO: Mayor and Council Members

FROM: Rachel Molina, City Manager
BY: Casey Brooksher, Director of Administrative Services

SUBJECT: Adoption of a Resolution of Intention to Form Community Facilities District No. 2023-1 (Silverwood Maintenance and Services)

RECOMMENDED ACTION

It is recommended that the City Council: 1) Adopt a Resolution of Intention With Respect to the Formation of Proposed City of Hesperia Community Facilities District No. CFD 2023 -1 (Silverwood Maintenance and Services) (“CFD 2023-1”).

BACKGROUND

The Mello- R
oos Community Facilities Act of 1982 (Government Code Section 53311 and following) (the “Act”) contains the statutory framework pursuant to which the City of Hesperia (the “City”) or other local agencies may form a community facilities district (“CFD”) for the purpose of financing certain authorized public services or maintenance. A CFD may finance such services or maintenance through the levy of special taxes within the geographic boundaries of the CFD.

Additionally, to the extent a CFD is formed to pay for public facilities, bonds secured by such special taxes may be issued for a CFD. No bonds may be issued for a CFD formed to fund services. The property owners have filed petitions requesting the formation of the CFD.

I
n 2022, the City and its consultant NBS completed the Fiscal Impact Analysis (FIA) for the Silverwood Development. This analysis identified the fiscal impacts of the new development to the City. Additionally, the study looked to determine a funding mechanism for enhanced public safety services as well as funding for enhanced roadway maintenance services and trail maintenance for future Silverwood development.

To mitigate the negative fiscal impact s associated with these enhanced services, the City is currently considering the formation of CFD 2023-1 to fund maintenance and associated services related to the new Silverwood development. The City adopted Local Goals and Policies related to the use of CFDs at the April 1, 2008 , City Council meeting as Resolution No. 2008- 032, as required by the Act. The next step in the process of forming CFD 2023-1 is to adopt the Resolution of Intention (the “ROI”).

The ROI includes a description of the services to be provided, a map of the boundary of CFD 2023-1, and the Rate and Method of Apportionment (the “RMA”) which details the manner in which special taxes may be levied within CFD 2023-1.

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Staff Report to the Mayor and Council Members
Adoption of Resolution of Intention for CFD Formation
June 20, 2023

ISSUES/ANALYSIS

Resolution of Intention

This action relates to the ROI, which formally states the City’s intent to form CFD 2023-1. The ROI does not actually form CFD 2023-1 or authorize the levy of the special taxes; rather, the ROI initiates proceedings. The ROI also approves the boundary map for the proposed CFD 2023-1, which is attached hereto as Attachment B, and is on file with the City Clerk. The ROI includes the following information, as required by statute:

(a) declares the intention to form CFD 2023-1 , and describes generally the boundaries;
(b) adopts the boundary map for CFD 2023-1;
(c) states that the full name of CFD 2023-1 shall be “City of Hesperia Community Facilities District No. 2023-1 ( Silverwood Maintenance and Services).”
(d) describes the services to be funded;
(e) states that, except where funds are otherwise available, a special tax sufficient to pay for all services, secured by recordation of a continuing lien against all nonexempt real property in the district, will be annually levied within the area, and specifies the rate and method of apportioning the special tax, subject to voter approval;
(f) fixes a time and place for a public hearing on the establishment of the CFD, which is proposed to be August 1, 2023, at 3:00 pm; and (g) describes the proposed voting procedure.

Rate and Method of Apportionment

The ROI includes a description of the rate and method of apportioning the special tax. The City has been working with its special tax consultant to prepare a Rate and Method of Apportionment (the “RMA”) setting forth a methodology for CFD 2023-1’s proposed special tax. The RMA is attached to the ROI as Exhibit “A” thereto.

Pursuant to the RMA, the proposed special tax is to be levied on all taxable, non-exempt parcels within the District’s service area. Specifically, the RMA includes proposed special taxes for various land use categories as shown below. The RMA also includes additional details on inflationary increases for special taxes, procedures for appeals, exemptions, and other relevant information.

The developer will be utilizing BOLD Financing Bonds under a separate CFD, CFD No. 2023-11 (City of Hesperia – Silverwood), of which $200 will be allocated to the City for a total of $600. The RMA includes transition language once the CMFA CFD No. 2023-11 Bonds have been fully repaid and the District determines that no additional BOLD Financing bonds are to be issued. As a result, the initial maximum special tax rates prior to the transition year will be $400 for Non- Age Qualified Single-Family Detached Property, which is approximately 67% of the $600 maximum special tax rate as shown in Table 1. Accordingly, all other rates were reduced by approximately 33% in order to determine the maximum special tax rates prior to the transition year as shown in Table 2, which includes the $400 from CFD 2023-1 and $200 previously issued from BOLD. After the transition year, the Maximum Special Tax for each parcel of Taxable Property will increase as shown in Table 2 below:

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Staff Report to the Mayor and Council Members
Adoption of Resolution of Intention for CFD Formation
June 20, 2023

TABLE 1 – PRIOR TO THE TRANSITION YEAR

MAXIMUM SPECIAL TAX RATES
FISCAL YEAR 2023/24*
Land Use Category
Maximum
Special Tax Rate Per
Non-Age Qualified Apartment Property $340.00 Unit
Non-Age Qualified Single-Family Attached Property 360.00 Unit Non-Age Qualified Single-Family Detached Property 400.00 Unit Age Qualified Single-Family Attached Property 360.00 Unit Age Qualified Single-Family Detached Property 380.00 Unit Hotel Property 0.09 BSF
Retail/Restaurant Property 0.14 BSF
Office Property 0.23 BSF
*On each July 1, commencing on July 1, 2024, the Maximum Special Tax Rate shall be increased by the Tax Escalation Factor.

TABLE 2 – COMMENCING IN THE TRANSITION YEAR

MAXIMUM SPECIAL TAX RATES

Land Use Category
Maximum
Special Tax Rate Per
Non-Age Qualified Apartment Property $510.00 Unit
Non-Age Qualified Single-Family Attached Property 540.00 Unit Non-Age Qualified Single-Family Detached Property 600.00 Unit Age Qualified Single-Family Attached Property 540.00 Unit Age Qualified Single-Family Detached Property 570.00 Unit Hotel Property 0.13 BSF
Retail/Restaurant Property 0.21 BSF
Office Property 0.34 BSF
*On each July 1, commencing on July 1, 2024, the Maximum Special Tax Rate shall be increased by the Tax Escalation Factor.

The special taxes set forth in the table on the previous page are proposed to be levied within the boundaries of CFD 2023-1 alone.

Additionally, the City and the Developer has agreed to periodically review the aforementioned rates on the following schedule based on the Developer’s phasing of development:
• After completion of Phase 1
• Prior to the start of Phase 5
• Prior to the start of Phase 6

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Staff Report to the Mayor and Council Members
Adoption of Resolution of Intention for CFD Formation
June 20, 2023

Next Steps
Adopting the ROI is the f irst formal step in forming CFD 2023-1. This action only declares the intention to form CFD 2023-1, but additional steps will be required to form CFD 2023-1 and impose the special taxes.

At the August 1, 2023, meeting, the City will hold a joint public hearing and provide an opportunity for public testimony on the formation of CFD 2023-1. Notice must be published prior to the date of that hearing. At the hearing, if oral or written protests are filed by 50% or more of the registered voters within CFD 2023-1 or the owners of more than 50% of the property within the proposed CFD 2023-1, the City must terminate proceedings. If not, the City will adopt a resolution forming CFD 2023-1, and call a special election. If two-thirds of the votes cast are in favor of imposing the special tax, CFD 2023-1 may begin to impose the tax, and will file forms with the County for collection of the tax.

FISCAL IMPACT

In order to provide enhanced public safety , roadway and trail maintenance services , the Fiscal Impact Analysis identified the necessary funding amounts by development type. As a policy matter with a goal of not hindering new Silverwood development, the City has determined to set an initial maximum special tax rate of $ 600 for Non-Age Qualified Single- Family Detached Property, which is approximately 70% of the rate identified in the Fiscal Impact Analysis. As so, all other rates were reduced by approximately 30% in order to determine the initial maximum special tax rates.

However as mentioned above, the developer will be utilizing BOLD Financing under a separate CFD, CFD No. 2023-11 (City of Hesperia – Silverwood). As a result, the initial maximum special tax rates prior to the transition year will be $400 for Non- Age Qualified Single-Family Detached Property, which is approximately 67% of the $600 maximum special tax rate as shown in Table

1. Accordingly, all other rates were reduced by approximately 33% in order to determine the maximum special tax rates prior to the transition year as shown in Table 2. The RMA includes transition language once the CMFA CFD No. 2023 -11 bonds have been fully repaid and th e District determines that no additional BOLD Financing bonds are to be issued. After the transition year, the Maximum Special Tax for each parcel of Taxable Property will increase as shown in Table 3 below. The following table includes the estimated budget to mitigate negative fiscal impacts and provide services as well as the costs to administer CFD 2023-1.

TABLE 3 – COMMENCING IN THE TRANSITION YEAR

Description
Maximum
Special Tax
Rate
Anticipated
Number of
Units
Estimate
Special Tax
Revenue
Non-Age Qualified Apartment Property $510.00 1,328 $677,280 Non-Age Qualified Single-Family Attached Property 540.00 1,709 922,860 Non-Age Qualified Single-Family Detached Property 600.00 8,097 4,858,200 Age Qualified Single-Family Attached Property 540.00 454 245,160

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Staff Report to the Mayor and Council Members
Adoption of Resolution of Intention for CFD Formation
June 20, 2023

Description
Maximum
Special Tax
Rate
Anticipated
Number of
Units
Estimate
Special Tax
Revenue
Age Qualified Single-Family Detached Property 570.00 4,075 2,322,750 Hotel Property 0.13 270,000 35,100
Retail/Restaurant Property 0.21 750,000 157,500
Office Property 0.34 350,000 119,000
Undeveloped Property 1,844.58 N/A Acre
CFD Administration Costs 6,000

$9,343,850

The cost of formation of CFD 2023-1 is approximately $38,500, which will be borne by the Petitioners.

ALTERNATIVE(S)

1. The Council may provide alternative direction to Staff.

ATTACHMENT(S)

1. Resolution of Intention to Form Community Facilities District No. 2023-1

2. Fiscal Impact Analysis

3. Rate and Method of Apportionment for Community Facilities District No. 2023-1

4. Boundary Map for Community Facilities District No. 2023-1

5. Petitions signed by property owners and accepted by City Clerk requesting City form the CFD

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RESOLUTION NO. 2023-22

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HESPERIA, STATE OF CALIFORNIA, DECLARING ITS

INTENTION TO ESTABLISH A COMMUNITY FACILITIES DISTRICT AND TO AUTHORIZE THE LEVY OF SPECIAL TAXES

CITY OF HESPERIA
COMMUNITY FACILITIES DISTRICT NO. 2023-1
(SILVERWOOD MAINTENANCE AND SERVICES)
WHEREAS, the Mello -Roos Community Facilities Act of 1982 (Government Code Section 53311 et seq.) (“Act”) authorizes the City Council of the City of Hesperia (the “City”) to form community facilities districts (“CFDs”) and impose special taxes within those CFDs; and WHEREAS, the City Council has received a petition satisfying all of the requirements of Section 53319 of the Government Code submitted on behalf of the landowner, Silverwood Development Phase I, LLC proposing to establish a CFD within the City under the terms of the Ac t, and the boundaries of the proposed CFD are shown on the boundary map (the “Boundary Map”) attached and incorporated hereto as Exhibit C; and WHEREAS, the Petition includes a waiver of analysis and arguments signed by all of the landowners in the CFD Area pursuant to Section 53327 of the Government Code as well as all notices of election and applicable waiting periods under the Act for the holding of any public hearing and for election; and WHEREAS, Section 53313 of the Act provides that a CFD may be e stablished to f inance certain types of services, including but not limited to police protection services, maintenance of streets, roads, storm drains and trail maintenance; and
WHEREAS, under the Act, the City Council is the legislative body for the proposed CFD and is empowered with the authority to establish the CFD and levy special taxes within the CFD; and; WHEREAS, this City Council has previously adopted local goals and policies as required pursuant to the Act; and
WHEREAS, this City Council now desires to proceed with the actions necessary to consider the establishment of the CFD.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hesperia as follows:

1. The City Council hereby finds and determines that the CFD is in compliance with the City’s Goals and Policies.

2. The City Council proposes to conduct proceedings to establish a community facilities district pursuant to the Mello-Roos Act, and hereby determines that public convenience and necessity require the formation of the CFD to fund public services.

3. The name of the proposed CFD is City of Hesperia Community Facilities District No. 2023-1 (Silverwood Maintenance and Services) (“CFD 2023-1”).

4. The City Council hereby approves the Boundary Map and thereby establishes the proposed boundaries of CFD 2023 -1. The City Clerk is hereby authorized and directed to cause the respective certificates on the Boundary Map to be completed and executed and to cause the recordation of the Boundary Map in the official records of the San Bernardino County Recorder within 15 days of the date of adoption of this Resolution.

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Resolution No. 2023-22

5. The type of services proposed to be financed within CFD 2023 -1 and pursuant to the Act shall consist of those services described in Exhibit A hereto, which Exhibit is by this reference incorporated herein (the “Services”). The City Council hereby determines that the Services are necessary to meet increased demands for such services placed upon local agencies as the result of development occurring within the area of CFD 2023 -1 as shown on the Fiscal Impact Report completed in September of 2022 and prepared by NBS, presented herewith and by this reference incorporated herein. The Services are in addition to those provided in the territory of CFD 2023-1 as of the date hereof and will not supplant services already available within the territory of CFD 2023-1 as of the date hereof.

There is no proposed adjustment in property taxation to pay prior indebtedness pursuant to Sections 53313.6 and 53313.7.

6. Except where funds are otherwise available, a special tax sufficient to pay the costs thereof, secured by recordation of a continuing lien against all non -exempt real property in the CFD , will be levied annually within the CFD and collected in the same manner as ordinary ad valorem property taxes or in such other manner as the City Council or its designee shall determine, including direct billing of the affected property owners. The proposed rate and method of apportionment of the special tax among the parcels of real property within the CFD , in sufficient detail to allow each landowner within the proposed CFD to estimate the maximum amount such owner will have to pay, is described in Exhibit B attached hereto, which Exhibit is by this reference incorporated herein.

7. It is the intention of the City Council that the electors will be the landowners within proposed CFD 2023-1 in accordance with Section 53326 of the Government Code. The proposed voting procedure shall be by mailed or hand -delivered ballot among the landowners in the proposed CFD, with each owner having one vote for each acre or portion of an acre such owner owns within the boundaries of CFD 2023-1.

8. Except as may otherwise be provided by law or the rate a nd method of apportionment of the special tax for the CFD, all lands owned by any public entity, including the United States, the State of California and/or the City of Hesperia, or any departments or political subdivisions of any thereof, shall be omitted from the levy of the special tax to be made to cover the costs and expenses of the Services and any expenses of the District.

9. The Director of Administrative Services is hereby directed to study the proposed Services and to make, or cause to be made, and file with the City Clerk a report in writing, presenting the following:
(a) A brief description of the Services.
(b) An estimate of the fair and reasonable initial annual cost of providing the Services, including the incidental expenses in connection therewith, any City of Hesperia administration costs and all other related costs.

Said report shall be made a part of the record of the public hearing provided for below.

10. Notice is hereby given that on Tuesday, June 20, 2023, at 6:30 p.m., or as soon thereafter as the matter may be heard, at the Council Chambers, located at 9700 Seventh Avenue, Hesperia, California, 92345, or virtually if an in-person meeting is not possible due to the COVID-19 pandemic, and the same are hereby appointed and fixed as the time and place when and where this City Council will conduct a joint public hearing on both the establishment of the CFD and consider and finally determine whether the public interest, convenience and necessity require the formation of the CFD and the levy of said special tax to fund the Services.

11. The City Clerk is hereby directed to cause notice of the public hearing to be given by publication one time in a newspaper published in the area of CFD No. 2023 -1. The publication shall be completed at least seven days before the date of the joint public hearing specified above. The notice of the

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Resolution No. 2023-22
joint public hearing shall be subs tantially in the form specified in Section s 53322 and 53339.4 of the Government Code.

12. This Resolution shall take effect immediately upon its adoption.

13. The City Clerk shall certify to the adoption of this resolution and shall cause the same to be processed in the manner required by law.

ADOPTED AND APPROVED at a regular meeting of the City Council of the City of Hesperia held on the 20th day of June, 2023.

Ayes:

Noes:

Abstain:

Absent:

___________________________ ______________________________ ERIN BAUM, Assistant City Clerk BRIGIT BENNINGTON, Mayor

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EXHIBIT A

CITY OF HESPERIA
COMMUNITY FACILITIES DISTRICT NO. 2023-1
(SILVERWOOD MAINTENANCE AND SERVICES)

PROPOSED BOUNDARIES OF THE DISTRICT

(See Attached)

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EXHIBIT B

CITY OF HESPERIA
COMMUNITY FACILITIES DISTRICT NO. 2023-1
(SILVERWOOD MAINTENANCE AND SERVICES)

DESCRIPTION OF SERVICES TO BE FINANCED BY THE DISTRICT

Services:

The services to be funded, in whole or in part, by the community facilities district (the “District”) consist of all services authorized under Section 53313 of the Government Code, including, but not be limited to, police protection services, maintenance of streets, roads, storm drains and trail maintenance (the "Services"). The Services include all direct and incidental costs related to providing for the maintenance of public infrastructure within the area of the District and areas adjacent to or in the vicinity of such areas. The District may fund any of the following relat ed to the Services: furnishing, operating and maintaining equipment, apparatus or facilities related to providing the services and/ or equipment, apparatus, facilities or fixtures in areas to be maintained, paying the salaries and benefits of personnel necessary or convenient to provide the Services, payment of insurance costs and other related expenses and the provision of reserves for repairs and replacements and for the future provision of Services. It is expected that the Services will be provided by the City of Hesperia (the “City”), either with its own employees or by contract with third parties, or any combination thereof.

Administrative Expenses:

The administrative expenses to be funded by the District include the direct and indirect expenses incur red by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of attorneys, any fees of the County of San Bernardino related to the District or the collection of special taxes, an allocable share of the salaries of the City staff directly related thereto and a proportionate amount of the City’s general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District or the services authorized to be funded by the District, and expenses incurred by the City in undertaking action related to properties for which the payment of special taxes is delinquent, and all other costs and expenses of the City in any way related to the District.

Other:

The incidental expenses that may be funded by the District include, in addition to the administrative expenses identified above, the payment or reimbursement to the City of all costs associated with the establishment and administration of the District.

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EXHIBIT C

CITY OF HESPERIA
COMMUNITY FACILITIES DISTRICT NO. CFD 2023-1
(SILVERWOOD MAINTENANCE AND SERVICES)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX

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nbsgov.com
Prepared by:

Corporate Headquarters
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
Toll free: 800.676.7516
Report For:

Fiscal Impact Analysis of the Silverwood
Development
Revised September 2022
Attachment 2

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TABLE OF CONTENTS

1. INTRODUCTION ................................................................................................................. 1

2. BACKGROUND ................................................................................................................... 2 Analysis Methodology .............................................................................................................. 2 Current City Persons Served .................................................................................................... 3 Project Area Description .......................................................................................................... 4

3. REVENUE ESTIMATE ........................................................................................................... 8 Property Tax Revenue .............................................................................................................. 8 Property Tax in Lieu of Vehicle License Fee (“VLF”) Revenue ............................................... 12 Documentary Transfer Tax ..................................................................................................... 13 Sales Tax Revenue .................................................................................................................. 14 Transient Occupancy Tax ....................................................................................................... 17 Other City Revenue ................................................................................................................ 18 Revenue Summary ................................................................................................................. 19

4. EXPENDITURES ESTIMATE ................................................................................................ 22 Current Service Level Expenditures ....................................................................................... 22 Allocation of Expenditures to Population Served .................................................................. 23 Current Service Level Expenditures per Person Served ......................................................... 24 Project Area Expenditures ..................................................................................................... 25 Total Expenditures Summary ................................................................................................. 28

5. FISCAL IMPACT................................................................................................................. 30

6. FISCAL IMPACT FUNDING OPTIONS .................................................................................. 31 Community Facilities Districts ................................................................................................ 31 CFD Special Tax Recommendation ......................................................................................... 32

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LIST OF TABLES

Table 1. Current Persons Served .................................................................................................................... 3 Table 2. Project Area Development ............................................................................................................... 5 Table 3. Project Area Future Persons Served ................................................................................................. 6 Table 4. Future Development Residential per Housing Unit & Employee Density ........................................ 6 Table 5. Total Future Residential Development Assessed Value ................................................................... 9 Table 6. Total Future Residential Development Incremental Assessed Value ............................................... 9 Table 7. Property Tax Revenue Generated by Future Residential Development .......................................... 9 Table 8. Total Assessed Value of Future Non-Residential Development ..................................................... 10 Table 9. Incremental Assessed Value of Future Non-Residential Development .......................................... 11 Table 10. Property Tax Revenue Generated by Future Non-Residential Development ................................ 11 Table 11. Property Tax in Lieu of VLF Ratio .................................................................................................... 12 Table 12. Property Tax in Lieu of VLF Revenue .............................................................................................. 12 Table 13. Documentary Transfer Tax Generated by Future Residential Development ................................. 13 Table 14. Documentary Transfer Tax Generated by Future Non-Residential Development ......................... 13 Table 15. Residential Household Incomes ..................................................................................................... 15 Table 16. Sales Tax Revenue Generated by Increase in Residential Population ............................................ 15 Table 17. Sales Tax Revenue Generated by Increase in Employee Population .............................................. 16 Table 18. Summary of Sales Tax Revenue Generated by Development Type ............................................... 17 Table 19. TOT Revenue Generated by Future Hotel Development ............................................................... 17 Table 20. Other City Revenue ......................................................................................................................... 18 Table 21. Other City Revenue per Resident, Employee, or Persons Served .................................................. 18 Table 22. Other City Revenue Generated by Future Development ............................................................... 19 Table 23. Revenue Summary .......................................................................................................................... 19 Table 24. Revenue Summary by Future Development Type .......................................................................... 20 Table 25. Current Service Level Expenditures ................................................................................................ 22 Table 26. Expenditures Allocation Persons Served Category ......................................................................... 23 Table 27. Current Service Level Expenditures per Person Served ................................................................. 24 Table 28. Current Service Level Expenditures Generated by Project Area .................................................... 24 Table 29. Project Area Public Safety Expenditures ........................................................................................ 26 Table 30. Project Area Roadway Services Expenditures ................................................................................ 27 Table 31. Project Area Silverwood Trail Maintenance Expenditures ............................................................. 27 Table 32. Expenditures Summary ................................................................................................................... 28 Table 33. Expenditures Summary by Future Development Type ................................................................... 29 Table 34. Annual Fiscal Impact – Residential Land Uses ................................................................................ 30 Table 35. Annual Fiscal Impact – Non-Residential Land Uses ........................................................................ 30 Table 36. Proposed CFD Special Tax Rates – Residential ............................................................................... 32 Table 37. Proposed CFD Special Tax Rates – Non-Residential ....................................................................... 33

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 1

1. INTRODUCTION
The City of Hesperia (“City”) is undertaking a comprehensive review of the net fiscal impact to its General Fund (“General Fund”) in anticipation of projected future development within the City identified as the Silverwood Project (“Project Area” or “Silverwood Development”), formerly referred to as the Tapestry Development. A review of revenues expected to be generated by projected development within the Project Area, as compared with expenditures the City will incur to provide certain public services within the boundaries of the Project Area, determined that the Project Area will have a negative fiscal impact on the City’s General Fund. To offset negative fiscal impacts created by development within the Project Area, the City should consider establishing a funding source through a special financing district.

This fiscal impact analysis will provide background information, applicable financial information, and recommended actions for the City’s consideration. To accomplish these objectives, this report includes the following information:
 Background Information. The introductory portion of the report focuses on the City and public services/operations under review. Existing development information is also addressed in this section.
 Revenues. The revenue section of the report identifies the various revenue sources and the potential recurring revenues, given certain reasonable assumptions.  Expenditures. The expenditure section of the report identifies the estimated recurring cost burden placed upon the City’s operations.
 Fiscal Impact. Using projected development’s identified revenues and expenditures, this section of the report identifies the overall fiscal impact on the City’s operations. Fiscal impacts are addressed on a land use category basis using either a per dwelling unit, building square foot, lot square foot, or acre factor.
 Recommendations. The report concludes with a summary of fiscal analysis findings and recommendations for the City’s consideration.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 2

2. BACKGROUND
As part of the overall decision-making process to move forward with proposed development, it is important to evaluate the contributions and demands that future development will have on a public agency’s operating budgets. This analysis seeks to determine the fiscal impact of the Silverwood Development on the City’s General Fund. The General Fund accounts for all financial resources of a governmental unit not accounted for in another fund.

To determine the anticipated fiscal impacts placed upon the City, this fiscal impact analysis is designed to quantify the approximate cost of providing services to the City’s projected future population as well as any added services needed to serve the future population.

Analysis Methodology
The revenue portion of the fiscal impact analysis focuses on various taxes, fees, and other City revenues collected to fund ongoing operational costs. The expenditure portion of the fiscal impact analysis focuses on recurring expenditures incurred by the City to provide ongoing services to its population.

This analysis utilizes data from various sources including, but not limited to, the California Department of Finance, the United States Census Bureau, the California State Board of Equalization, the California Economic Development Department, the Southern California Association of Government Agencies, Environmental Systems Research Institute (“ESRI”), CoStar, Tapestry Specific Plan, Tapestry Final Environmental Impact Report, and financials of the City. Data sources are detailed where applicable in this report. Current-day dollar values are used due to the inability to project with accuracy revenues and expenditures at the time of buildout. The rounding of decimals may cause marginal variances between calculated and listed figures that appear in this report.

There are several industry-accepted methods for allocating a public agency’s recurring revenues and expenditures to future development. This fiscal impact analysis primarily employs two industry-standard approaches: the case study approach and the multiplier approach. Both approaches are described below.

CASE STUDY APPROACH
When data used in a fiscal impact analysis is specific to the analysis itself and is not dependent upon industry-accepted generalized multipliers such as the number of residents, employees, etc., the case study approach is utilized. The case study approach relies on development-specific data to estimate the fiscal impacts of projected future development. Data used in the case study approach may include anything applicable to future projections, including assessed valuations, property turnover rates, residential and employee populations, household incomes, estimated sales, and taxable expenditures.

MULTIPLIER APPROACH
The multiplier approach is used in a fiscal impact analysis when relationships between projected future development and revenues or expenditures generated from projected future development are difficult to quantify. This approach anticipates that certain revenues and expenditures are indicators of future anticipated revenues and expenditures, which can be quantified based on metrics such as changes in the number of persons served by a public agency. To apply the multiplier approach, this report determines an

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 3 average revenue or expenditure amount based on a per-person served or other per unit basis. Depending on the type of revenue or expenditure being considered, persons served can include residents, employees, or a combination of both.

Current City Persons Served
To best apply the multiplier approach in this fiscal impact analysis, and to allocate applicable revenues and expenditures, population information is utilized.

RESIDENTIAL POPULATION
Current residential population data was obtained from the State Department of Finance (“CA DOF”). Per the CA DOF, the January 1, 2022 residential population of the City was 100,324.

EMPLOYEE POPULATION
Current employee population data was obtained from the California Employee Development Department (“CA EDD”). Per the CA EDD, as of January 2022 the employee population of the City (i.e., number of jobs in the City) was approximately 34,600.

PERSONS SERVED
Using residential and employee population estimates, the total number of persons served within the City can be determined. This analysis recognizes that an employee population does not have the same impact on demand for public services as a residential population. This is especially true for the portion of the employee population which works within the City but resides outside of its boundaries. While the exact service-demand relationship between an employee and a resident is difficult to quantify with accuracy, an industry-standard correlation of 0.50 employee to one resident is commonly used. This 50% adjustment suggests that a resident will have more of an impact on a public agency’s revenues and demand for services than that of an employee within the City. The 50% adjustment also seeks to account for employees who are also residents of the City. This analysis makes no attempt to segregate the count of employees that live within the City from those who live outside of it. Applying the industry-standard 50% adjustment to the City’s existing employee population base, the total number of persons served within the City is calculated in the following table.

TABLE 1. CURRENT PERSONS SERVED
Description Total
Current Residential Population (1) 100,324
Current Employee Population (2) 34,600
Adjusted Employee Population (3) 17,300
Current Persons Served (4) 117,624
(1) Per the CA DOF.
(2) Per the CA EDD.
(3) Current Employee Population adjusted by 50%, rounded to the nearest whole number. (4) Equal to (Current Residential Population) + (Adjusted Employee Population).

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 4 Project Area Description
Details of the Silverwood Project were obtained from the CSCDA SCIP Assessment District No. 20-02 (Tapestry (Phase I)) Official Statement dated May 24, 2022 (“OS”). This analysis focuses on current development details of the Project Area.

The Project Area is located at the southern end of the City of Hesperia. The property is situated along the foothills of the north face of the San Bernardino Mountains and at the southern edge of the San Bernardino County High Desert area. The Project Area will include nine phases of development and approximately 15,663 total residential units with a mix of densities ranging from very low density to estate residential to high density and mixed-use. The largest proportion of the residential units would be low/medium density. Development would be separated into three distinctive villages: Mesa Village, Summit Valley Village, and Grass Valley Village. The latter would be primarily equestrian. The Project Area, as shown in the Silverwood Specific Plan adopted February 2, 2016, is pictured below.

PROJECT AREA DEVELOPMENT SUMMARY
The Project site consists primarily of agricultural (cattle grazing) lands and native habitat. Two unoccupied, partly demolished structures, a wellhead structure and an occupied homestead exist on the property.

Several utility easements including gas lines, electrical transmission corridors, and others exist on the site.

The following table provides a summary of proposed development within the Project Area projected to generate General Fund revenues for the City. Development details were provided by City staff, the

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 5 developer team, and drawn from the EIR. Of note, NAQ Apartments, NAQ SF Attached, NAQ SF Detached, AQ SF Attached, AQ SF Detached development are referred to collectively as residential development in this report. Hotel, Retail/Restaurant, and Office development are referred to collectively as non-residential development. Additionally, it is recognized the anticipated schools will generate a level of revenue for the City; therefore, schools have been recognized in this analysis, and the associated revenues and expenditures have been included within only those development types expected to utilize the school properties, which includes NAQ Apartments, NAQ SF Attached, and NAQ SF Detached properties.

TABLE 2. PROJECT AREA DEVELOPMENT
Development Type Units Bldg. Sq. Ft
NAQ Apartments 1,328 N/A
NAQ SF Attached 1,709 N/A
NAQ SF Detached 8,097 N/A
AQ SF Attached 454 N/A
AQ SF Detached 4,075 N/A
Hotel 450 270,000
Retail/Restaurant N/A 750,000
Office N/A 350,000
School 5,923 (1) 2,043,853 (2)
(1) Projected number of students.
(2) Estimated building square footage for the 7 anticipated schools as noted below.

The Project Area will also include various public schools, open space, and recreational facilities including, but not limited to, the following:
 Five elementary schools, one middle school and one high school  Community parks, a sports park, neighborhood parks, view parks, and pocket parks  Trails, including multi-use and equestrian trails
 Class I multi-use paths and paseos
 Public and civic facilities
 Open space including conservation areas and preserves  Open space areas to protect sensitive biological and cultural resources including a conservation easement and 81-acre Serrano Heritage Preserve

PROJECT AREA POPULATION
To allocate and assign certain revenue and expenditure estimates to the Project Area, the future residential, employee, and persons served population of the Project Area needs to be established.

According to the U.S. Census Bureau American Community Survey 5-Year Estimate, the average population per housing unit in the City of Hesperia is 3.65. Additionally, according to the survey, NAQ SF Detached development average population per housing unit is 2.63. For purposes of this analysis, AQ SF Attached and Detached average population per housing unit is 1.85, as shown in Table 4. These household densities

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 6 are applied to the residential unit counts detailed in Table 2 to calculate the future residential population within the Project Area.

Additionally, based upon the estimated non-residential land uses planned for the Project Area, the future Project Area population was estimated to be 1,872 as shown in Table 3 below. Applying the 50% adjustment (described earlier in this report) to the Project Area’s projected future employee population, the total number of future persons served within the Project Area is calculated below.

TABLE 3. PROJECT AREA FUTURE PERSONS SERVED
Description Total
Project Area Residential Population 45,887
Project Area Employee Population 1,872
Project Area Persons Served (1) 47,759
(1) Equal to (Project Area Residential Population) + (Project Area Employee Population adjusted by 50%, rounded to the nearest whole number).

The employee density of projected Hotel, Retail/Restaurant, and Office development was estimated using non-residential density values from the County of Riverside General Plan Build-Out Projections1. Per this study, the average amount of building square feet per employee of Tourist and Commercial business types is approximately 500 building square feet per employee and for Office development types it is approximately 300 building square feet per employee. This relationship, combined with the estimated growth in the employee population resulting from development within the Project Area, was used to arrive at the estimated employee density of future Hotel, Retail/Restaurant, and Office development.

Additionally, it is anticipated there will be a need for up to 7 schools to accommodate an estimated 5,923 future students. In order to calculate the expected number of employees that will be needed to serve the student population, the student/teacher and student/staff ratios were utilized from the National Center for Education Statistics (NCES)

2. Additionally, using a Floor Area Ratio of 0.50 pulled from the City’s General Plan, the estimated school acreage of 161 acres was converted to 2,043,853 estimated building square feet. This combined with the NCES ratios was used to estimate the future employee population in the schools. The estimated number of residents and employees that will result from development within the Project Area is summarized in the following table.

TABLE 4. FUTURE DEVELOPMENT RESIDENTIAL PER HOUSING UNIT & EMPLOYEE DENSITY

Development Type
Unit Count/
Employee Bldg. Sq.

Ft. (1) Per
Population per
Housing Unit/
Employee
Density (2)
Resident/
Employee
Count (3)
NAQ Apartments 1,328 Unit 2.63 3,490
NAQ SF Attached 1,709 Unit 2.63 4,491
NAQ SF Detached 8,097 Unit 3.65 29,527

1 County of Riverside General Plan Socioeconomic Build-Out Projections Assumptions & Methodology dated 4/11/2017. 2 National Center for Education Statistics Student/Teacher and Student/Staff Ratios: weblink:
https://nces.ed.gov/pubs2010/2010309/tables/table_04.asp

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 7 Development Type
Unit Count/
Employee Bldg. Sq.

Ft. (1) Per
Population per
Housing Unit/
Employee
Density (2)
Resident/
Employee
Count (3)
AQ SF Attached 454 Unit 1.85 840
AQ SF Detached 4,075 Unit 1.85 7,539
Residential Total 45,887
Hotel 270,000 Bldg. Sq. Ft. 500 540
Retail/Restaurant 750,000 Bldg. Sq. Ft. 500 1,500
Office 350,000 Bldg. Sq. Ft. 300 1,167
School 2,043,853 (1) Bldg. Sq. Ft. 0.50 537 (4)
Employee Total: 3,744
(1) Identified in Table 2.
(2) Residential density represents persons per housing unit. Hotel, Retail/Restaurant, and Office density represents employee building square feet per employee, and Schools density represents the floor area ratio used to estimate total building square feet. Assumptions used to arrive at densities detailed in the previous paragraph.
(3) For residential development, equal to (Unit Count/Employee Bldg. Sq. Ft.) x (Population per Housing Unit).

For non-residential development, equal to (Unit Count/Employee Bldg. Sq. Ft.) / (Employee Density). (4) Based on the National Center for Education Statistics Student/Teacher and Student/Staff Ratios applied against the estimated 10,153 per the Silverwood Specific Plan.

NAQ Apartments
7%
NAQ SF Attached
9%
NAQ SF Detached
60%
AQ SF Attached
2%
AQ SF Detached
15%
Lodging
1%
Retail/Restaurant
3% Office
2%
Schools
1%

PERCENTAGE OF RESIDENTS/EMPLOYEES AS A RESULT OF FUTURE DEVELOPMENT

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 8

3. REVENUE ESTIMATE
The City relies on revenue received from several sources. A majority of the City’s operating revenue derives from sales taxes, property taxes, property transfer taxes (i.e., documentary transfer taxes), property tax in lieu of vehicle license fee revenue, and various other taxes and fees. The case study approach is primarily used to determine the estimated property tax revenue generated from projected future development within the Project Area and the multiplier approach is used to allocate certain types of other revenue the City receives.

Property Tax Revenue
Under California law, non-exempt property pays an ad valorem property tax equal to 1% of the assessed value of the property. Any additional voter-approved taxes or assessments will result in a total property tax rate burden that can exceed 1% of the property’s assessed value. The property tax revenue received from the 1% ad valorem property tax rate is then allocated to various overlapping public agencies based upon their authorized allocation for each Tax Rate Area (“TRA”). Across the City’s various TRAs, of the 1% ad valorem property tax collected from property within its boundaries, the City receives approximately 1.50%, as detailed in the City FY 2022/23 Budget. Therefore, this analysis assumes that of the 1% ad valorem property tax revenue generated by taxable future development within the Project Area, the City will receive

1.50%.

The total assessed value of taxable projected future development and the amount of property tax revenue expected to be generated for the City by projected future development is calculated on the following pages.

RESIDENTIAL DEVELOPMENT
Property is subject to the 1% ad valorem tax rate unless it can qualify for an exemption under existing California laws. Certain types of property that are granted this property tax exemption, also known as the Welfare Exemption (“Welfare Exemption”), include hospitals, universities, churches, affordable housing, and other nonprofits. If the Welfare Exemption is granted, the property will not be subject to the 1% ad valorem property tax. However, the property may still be subject to other assessments, taxes, and charges levied by local governments. Future residential development will be subject to the 1% ad valorem property tax rate.

The Project Area is not expected to contain any affordable housing development that will qualify for the Welfare Exemption and thus not be subject to the 1% ad valorem property tax.

To calculate the amount of property tax revenue projected to be generated for the City by residential development, the number of units expected to develop and the median sales price per unit is considered.

The median sales prices were provided by the City’s Economic Development Manager based upon recent sales comps in the area. It should be noted this analysis does not account for the homeowner’s property tax exemption of $7,000 as the state backfills the lost property tax revenues via the Homeowner’s Property Tax Relief Fund payment to the City on an annual basis.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 9 TABLE 5. TOTAL FUTURE RESIDENTIAL DEVELOPMENT ASSESSED VALUE Description
Median Price
per Unit (1) Unit Count (2)
Total Future
Assessed Value (3)
NAQ Apartments $148,087 1,328 $196,659,536
NAQ SF Attached 305,000 1,709 521,245,000
NAQ SF Detached 515,536 8,097 4,174,294,992
AQ SF Attached 264,917 454 120,272,318
AQ SF Detached 387,800 4,075 1,580,285,000
(1) Provided by the City’s Economic Development Manager, drawn from recent sales comps in the area. (2) Identified in Table 2.
(3) Equal to (Median Price per Unit) x (Unit Count).

INCREMENTAL ASSESSED VALUE
The incremental assessed value of residential development in the Project Area is calculated by subtracting the current assessed value of parcels in the Project Area, pulled from the San Bernardino County secured roll as of January 1, 2022, from the total estimated assessed value of the expected Project Area.

TABLE 6. TOTAL FUTURE RESIDENTIAL DEVELOPMENT INCREMENTAL ASSESSED VALUE Description
Total Future
Assessed Value (1)
Current Assessed
Value (2)
Total Incremental
Assessed Value (3)
NAQ Apartments $196,659,536 $538,148 $196,121,388
NAQ SF Attached 521,245,000 692,541 520,552,459
NAQ SF Detached 4,174,294,992 3,281,163 4,171,013,829 AQ SF Attached 120,272,318 183,975 120,088,343
AQ SF Detached 1,580,285,000 1,651,320 1,578,633,680
(1) From Table 5.
(2) Pulled from San Bernardino County Secured Roll data as of January 1, 2022. (3) Equals (Total Future Assessed Value) – (Current Assessed Value).

The amount of property tax revenue expected to be generated by projected residential development is calculated in the following table.

TABLE 7. PROPERTY TAX REVENUE GENERATED BY FUTURE RESIDENTIAL DEVELOPMENT Description
Total Incremental
Assessed Value 1% Ad Valorem (1)
Allocation of
1% Ad Valorem
to City (2)
Property Tax
Revenue (3)
NAQ Apartments $196,121,388 $1,961,214 1.50% $29,418
NAQ SF Attached 520,552,459 5,205,525 1.50% 78,083
NAQ SF Detached 4,171,013,829 41,710,138 1.50% 625,652
AQ SF Attached 120,088,343 1,200,883 1.50% 18,013
AQ SF Detached 1,578,633,680 15,786,337 1.50% 236,795
(1) Equal to (Total Incremental Assessed Value) x (1.00%) (2) Per City FY 2022/23 Budget.
(3) Equal to (1% Ad Valorem) x (Allocation of 1% Ad Valorem to City).

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 10

NON-RESIDENTIAL DEVELOPMENT
To calculate the amount of property tax revenue projected to be generated for the City by future non- residential development in the Project Area, the average sales price of each property type was calculated.

An average price per building square foot was calculated for Retail/Restaurant and Office property types, as well as an average price per unit for Hotel property types using price data pulled from the CoStar online platform as of April 9, 2022. These averages were then multiplied by the projected building square feet of future Retail/Restaurant and Office development and by unit for Hotel development to obtain the projected assessed value of non-residential property in the Project Area.

TABLE 8. TOTAL ASSESSED VALUE OF FUTURE NON-RESIDENTIAL DEVELOPMENT Description Hotel
Retail/
Restaurant Office
Average Price per Building Sq. Ft. (1) $135,036 $264 $191 Projected Building Sq. Ft. (2) 450 750,000 350,000
Total Non-Residential Assessed Value: (3) $60,766,200 $198,000,000 $68,850,000 (1) Per the CoStar online platform as of 4/9/2022.
(2) Identified in Table 2. Hotel represents the number of units. (3) Equal to (Average Price per Building Sq. Ft.) x (Projected Building Sq. Ft.).

INCREMENTAL ASSESSED VALUE
The incremental assessed value of non-residential development in the Project Area is calculated by subtracting the current assessed value of parcels in the Project Area, pulled from the San Bernardino County secured roll as of January 1, 2022, from the total estimated assessed value of the expected Project Area developments.

63%
24% 8% 3% 2%

PERCENTAGE OF PROPERTY TAX REVENUE GENERATED BY FUTURE

RESIDENTIAL DEVELOPMENT
NAQ SF Detached
AQ SF Detached
NAQ SF Attached
NAQ Apartments
AQ SF Attached

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 11 TABLE 9. INCREMENTAL ASSESSED VALUE OF FUTURE NON-RESIDENTIAL DEVELOPMENT Description Hotel
Retail/
Restaurant Office
Assessed Value (1) $60,766,200 $198,000,000 $66,850,000 Current Non-Residential Assessed Value (2) 10,889 47,185 36,296 Incremental Assessed Value (3) $60,228,052 $197,952,815 $66,813,704 (1) Calculated in Table 8.
(2) Pulled from San Bernardino County Secured Roll data as of January 1, 2022. (3) Equal to (Assessed Value) – (Current Non-Residential Assessed Value).

The amount of property tax revenue expected to be generated by future non-residential development in the Project Area is calculated in the following table.

TABLE 10. PROPERTY TAX REVENUE GENERATED BY FUTURE NON-RESIDENTIAL DEVELOPMENT Description Hotel
Retail/
Restaurant Office
Incremental Assessed Value (1) $60,228,052 $197,952,815 $66,813,704 1% Ad Valorem (2) 602,281 1,979,528 668,137
Allocation of 1% Ad Valorem
to City (3) 1.50% 1.50% 1.50%
Property Tax Revenue (4) $9,034 $29,693 $10,022
(1) Calculated in Table 9.
(2) Equal to (Incremental Assessed Value) x (1.00%)
(3) Per City FY 2022/23 Budget.
(4) Equal to (1% Ad Valorem) x (Allocation of 1% Ad Valorem to City).

Lodging, 19%
Retail/Restaurant,
61%
Office, 21%
Percentage of Property Tax Revenue Generated by Futu re Non-Residential Development

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 12 Property Tax in Lieu of Vehicle License Fee (“VLF”) Revenue Property tax in lieu of VLF is revenue the City receives in addition to the City’s share of ad valorem property tax revenues. In 2004, the California Legislature permanently reduced the VLF rate from 2.00% to 0.65% and compensated cities and counties for their revenue loss with a like amount of property taxes, dollar for dollar. A public agency’s property tax in lieu of VLF revenue allocation changes in proportion to the growth or decline in gross secured assessed valuation.

Per assessed value data provided by the California State Board of Equalization (“CA BOE”), and the Fiscal Year 2022/23 Property Tax in Lieu of VLF revenue drawn from the City’s Fiscal Year 2022/23 Adopted Budget (“City FY 2022/23 Budget”), the ratio of property tax in lieu of VLF received by the City to the City’s assessed value is calculated, as shown in the following table.

TABLE 11. PROPERTY TAX IN LIEU OF VLF RATIO
Description
Fiscal Year
2020/21 Value
City Total Assessed Value (1) $7,308,705,000
VLF Revenue (2) 10,463,724
Property Tax in Lieu of VLF Ratio (3) 0.1432%
(1) Per the CA BOE.
(2) Drawn from the City FY 2022/23 Budget.
(3) Equal to (VLF Revenue) / (City Total Assessed Value).

The property tax in lieu of VLF ratio is applied to the future assessed value of projected development within the Project Area to estimate the amount of property tax in lieu of VLF to be generated by said development.

TABLE 12. PROPERTY TAX IN LIEU OF VLF REVENUE
Description
Total Future
Assessed Value (1)
Property Tax in
Lieu of VLF Ratio
Property Tax in Lieu
of VLF Revenue (2)
NAQ Apartments $196,659,536 0.1432% $281,616
NAQ SF Attached 521,245,000 0.1432% 746,423
NAQ SF Detached 4,174,294,992 0.1432% 5,977,590
AQ SF Attached 120,272,318 0.1432% 172,230
AQ SF Detached 1,580,285,000 0.1432% 2,262,968
Lodging 60,766,200 0.1432% 87,017
Restaurant/Retail 198,000,000 0.1432% 283,536
Office 66,850,000 0.1432% 95,729
Property Tax in Lieu of VLF Revenue $6,918,373,046 $9,907,110 (1) Identified in Table 5.
(2) Equal to (Total Future Assessed Value) x (Property Tax in Lieu of VLF Ratio).

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 13 Documentary Transfer Tax
When property is sold, a documentary transfer tax is charged and distributed to the City and County. The documentary transfer tax is charged at a rate of $1.10 per $1,000 of assessed value. This $1.10 transfer tax is then split between the City and San Bernardino County, $0.55 each.

To determine the annual documentary transfer tax revenue projected future development will generate, the estimated property turnover rate is considered. This analysis assumes that residential units will turnover approximately every 12 years, which is equivalent to an annual turnover rate of approximately 8%. However, multi-family developments are expected to have a longer holding period, therefore NAQ Apartments are estimated at 5% turnover rate or once every 20 years.

TABLE 13. DOCUMENTARY TRANSFER TAX GENERATED BY FUTURE RESIDENTIAL DEVELOPMENT Description
Total Future
Assessed Value
Estimated
Annual
Turnover
Rate (1)
Annual
Turnover
Assessed Value
(2)
Annual
Turnover
Assessed
Value / $1,000
Documentary
Transfer Tax
Revenue (3)
NAQ Apartments $196,659,536 5% $9,832,977 $9,833 $5,408 NAQ SF Attached 521,245,000 8% 41,699,600 41,700 22,935 NAQ SF
Detached 4,174,294,992 8% 333,943,599 333,944 183,669
AQ SF Attached 120,272,318 8% 9,621,785 9,622 5,292
AQ SF Detached 1,580,285,000 8% 126,422,800 126,423 69,533 (1) Source: For NAQ Apartments, “Latest Calculations Show Average Buyer Expected to Stay in Home 13 Years,” Economic and Housing Policy, National Association of Homebuilders. For all other residential Development, “2022 National Association of Realtors Home Buyer and Sellers Generational Trends,” National Association of Realtors.
(2) Equal to (Total Future Assessed Value) x (Estimated Annual Turnover Rate). (3) Equal to (Annual Turnover Assessed Value / $1,000) x (Documentary Transfer Tax Rate of $0.50 per $1,000).

Non-Residential land uses typically have minimal ownership turnover. However, to consider the potential for land use turnover, a conservative estimate of once every 20 years, or an annual turnover rate of 5%, is applied in this analysis to the projected non-residential development. Utilizing the estimated incremental assessed value of projected future development and the estimated annual turnover rates, the City’s share of the documentary transfer tax is calculated in the following table.

TABLE 14. DOCUMENTARY TRANSFER TAX GENERATED BY FUTURE NON-RESIDENTIAL

DEVELOPMENT
Description Hotel
Retail/
Restaurant Office
Total Future Assessed Value (1) $60,766,200 $198,000,000 $66,850,000 Estimated Annual Turnover Rate (2) 5% 5% 5%
Annual Turnover Assessed Value (3) 3,038,310 9,900,000 3,342,500 Annual Turnover Assessed Value / $1,000 3,038 9,900 3,343 Documentary Transfer Tax Rate per $1,000 (4) 0.55 0.55 0.55 Documentary Transfer Tax Revenue (5) $1,671 $5,445 $1,838

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 14 (1) Identified in Table 8.
(2) Source: “Latest Calculations Show Average Buyer Expected to Stay in Home 13 Years,” Economic and Housing Policy, National Association of Homebuilders.
(3) Equal to (Total Future Assessed Value) x (Estimated Annual Turnover Rate). (4) The $1.10 tax rate split $0.55 to the County and $0.55 to the City. (5) Equal to (Annual Turnover Assessed Value / $1,000) x (Documentary Transfer Tax Rate per $1,000).

Sales Tax Revenue
A sales tax is a tax levied on the sale, transfer, or exchange of a taxable item or service. The base sales tax rate in California is 7.25%. Revenue generated from sales tax is allocated to certain state and local jurisdictions, with the City receiving 1.00% of the base sales tax rate.

Sales tax revenue is the largest source of General Fund revenues in the City FY 22/23 Budget. This analysis seeks to focus solely on general revenue streams that will be consistently available to the City, therefore voter-approved taxes which expire or are earmarked for specific uses are excluded from consideration in this report. The sales tax rate used to project sales tax revenue for the City in this analysis is 1.00%.

FUTURE RESIDENTS
To determine the amount of sales tax revenue expected to be generated by the residential population in the Project Area that will result from projected residential development, the median household income, per capita income, median price per unit, and the average population per unit are considered.

According to the ESRI Demographic and Income Profile for the City of Hesperia, in 2021, the median household income was $58,958. According to the US Census Bureau American Community Survey 5-Year Estimate, the average population per housing unit is 3.65. Additionally, according to the survey, NAQ SF Detached development types average population per housing unit is 2.63. For purposes of this analysis, AQ SF Attached and Detached average population per unit is 1.85 per Table 4. Therefore, this analysis also assumes that NAQ SF Attached development will have a median household income equal to 80% of the $183,669
$69,533
$22,935
$5,445 $5,408 $5,292 $1,838 $1,671
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
$160,000
$180,000
$200,000
Documentary Transfer Tax Revenue by Development Type

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 15 median household income of NAQ SF Detached development, NAQ Apartments will have a median household income of 70% of the median household income of NAQ SF Detached development, and AQ SF Attached and AQ SF Detached will have a median household income equal to 65% of the median household income of NAQ SF Detached. The estimated income of households within projected residential development are calculated in the following table.

TABLE 15. RESIDENTIAL HOUSEHOLD INCOMES
Development Type Median Price per Unit (1) Household Income NAQ Apartments $148,087 $41,271
NAQ SF Attached 305,000 47,166
NAQ SF Detached 515,536 58,958
AQ SF Attached 264,917 38,323
AQ SF Detached 387,800 38,323
(1) Identified in Table 5.

Per the California State Board of Equalization (“CA BOE”), approximately 29.5% of a household’s spending is spent on taxable retail goods. Thus, the CA BOE percentage of 29.5% is utilized here. However, in order to attempt to account for purchases made outside of City boundaries and shifts in taxable sales from one point of sale to another within the City, plus the general geography of the Project Area---situated on the outskirts and less accessible to the rest of the City, this percentage has been discounted by 30%. The estimated sales tax revenue generated by projected future housing units is calculated in the following table.

TABLE 16. SALES TAX REVENUE GENERATED BY INCREASE IN RESIDENTIAL POPULATION Dev. Type
Median
Household
Income per
Unit (1)
Number of
Housing
Units (2)
% of Household
Income Allocated
to Taxable Retail
Sales (3)
% of Sales
Projected to
Occur within City
Boundaries
Sales Tax
Revenue –
Residential
Population (4)
NAQ Apartments $41,271 1,328 29.5% 70% $113,177
NAQ SF Attached 47,166 1,709 29.5% 70% 166,454
NAQ SF
Detached 58,958 8,097 29.5% 70% 985,796
AQ SF Attached 38,323 454 29.5% 70% 35,928
AQ SF Detached 38,323 4,075 29.5% 70% 322,481
(1) Identified in Table 15.
(2) Identified in Table 2.
(3) Per the CA BOE.
(4) Equal to (Estimated Annual Household Income per Unit) x (Unit Count) x (% of Household Income Allocated to Taxable Retail Sales) x (% of Sales Projected to Occur Within City Boundaries) x (1.00%).

FUTURE EMPLOYEES
In addition to the increased residential population, the increase in employees resulting from projected non- residential development in the Project Area will generate a certain amount of sales tax revenue for the City.

The International Council of Shopping Centers conducted a survey that determined the approximate dollar

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 16 amount an average employee spent per year on taxable goods and services in 2013. After adjusting this amount to the year 2021 using the change in Consumer Price Index (“CPI”) of the Riverside-San Bernardino- Ontario region, it’s estimated that an average employee within the City will spend approximately $6,066 per year on taxable goods and services. While personal spending is unique to everyone, as a result of the Covid pandemic, many employees have transitioned into hybrid and/or fully remote work environments, resulting in reduced spending outside of the employee’s home location. Therefore, this analysis assumes that approximately 70% of an employee’s annual spending will be on taxable purchases that will occur near their place of employment within the City’s boundaries. Using this information, the estimated sales tax revenue generated from future employees is calculated in the following table.

TABLE 17. SALES TAX REVENUE GENERATED BY INCREASE IN EMPLOYEE POPULATION Description Hotel
Retail/
Restaurant Office School
Average Annual Taxable
Spending per Employee (1) $6,066 $6,066 $6,066 $6,066 Additional Employee
Count (2) 540 1,500 1,167 537
Estimated % of Taxable
Sales within City 70% 70% 70% 70%
Employee Taxable Sales
within City 2,292,797 6,368,880 4,954,989 2,280,059
Sales Tax Revenue –
Employee Population (3) $22,928 $63,689 $49,550 $22,801 (1) Drawn from a survey conducted by The International Council of Shopping Centers, adjusted to the year 2021 using the change in CPI of the Riverside-San Bernardino-Ontario region. (2) Identified in Table 4.
(3) Equal to (Average Annual Spending per Employee) x (Additional Employee Count) x (Estimated % of Taxable Sales within City) x (1.00%).

SUMMARY OF SALES TAX REVENUE
The approach in Tables 16 and 17 utilizes a demand side approach based on assumptions of future residential and employee demand for retail goods and services, which generates a lower overall estimate of sales tax revenues as a result of future growth from the Project Area. This analysis could alternatively utilize a supply side approach based upon the new taxable sales generated by the non-residential square feet in the Project Area. Sales tax revenues generated as a result of future growth typically combine the amount of new sales tax revenue generated by retail demand from new residents and employees, with the sales tax revenue that the supply of new retail development will generate elsewhere in the City. However, to avoid overcounting, this analysis does not combine a demand and supply side approach. The summary of total sales tax revenues anticipated as a result of the Project Area is summarized below.

It should be noted that the sales tax revenue resulting from the school properties in Table 17 has been summarized in Table 18 within only those development types expected to utilize the school properties, which includes NAQ Apartments, NAQ SF Attached and NAQ SF Detached properties. The revenues have been applied based upon the weighted number of units per residential land use type as applicable.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 17 TABLE 18. SUMMARY OF SALES TAX REVENUE GENERATED BY DEVELOPMENT TYPE Development Type Total Sales Tax Revenue
NAQ Apartments (1) $115,897
NAQ SF Attached (1) 169,954
NAQ SF Detached (1) 1,002,377
AQ SF Attached 35,928
AQ SF Detached 322,481
Hotel 22,928
Retail/Restaurant 63,689
Office 49,550
Sales Tax Revenue Total $1,782,803
(1) Includes a portion of the school properties revenue calculated in Table 17.

Transient Occupancy Tax
Transient Occupancy Tax (“TOT”) revenue is revenue generated for the City’s General Fund by taxing the cost of hotel/lodging stays within City boundaries with durations of less than 30 days. The City’s TOT rate is 10%. In addition to the $1.5 million in TOT revenue included in Table 20 under Other City Revenue, it is recognized that the 450 hotel rooms anticipated as a result of the Project Area will generate TOT revenue for the City.

However, TOT revenue generation is especially sensitive to economic downturns and disruptions to business and leisure travel, such as those experienced most recently during the height of the COVID-19 pandemic. Thus, to account for the volatility of TOT revenue and conservatively estimate the base level of revenue the City can expect to receive regardless of broader economic disruptions, a 75% occupancy rate is assumed. The amount of TOT revenue projected to be generated, on average, by each Hotel room was calculated using internal data sourced by City Staff.

TABLE 19. TOT REVENUE GENERATED BY FUTURE HOTEL DEVELOPMENT Description Amount
Total Hotel Rooms in Project Area (1) 450
Vacancy Rate (2) 25%
Projected TOT Revenue Generated Annually per Room (3) $3,411 TOT Revenue (4) $1,151,087
(1) Sum of rooms identified in Table 2.
(2) Seeks to account for room vacancies, assumes 75% average room occupancy rate. (3) Calculated using data provided by City Staff using Fiscal Year 2021-22 revenues received from comparable hotels. (4) Equal to (Total Hotel Rooms in Project Area) x (Projected TOT Revenue Generated Annually per Room) x (Discount to TOT Revenue).

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 18 Other City Revenue
The City receives revenue from various other sources including fees, fines, penalties, charges for services, and other revenues (“Other City Revenues”). For purposes of this analysis, revenues that are not considered include one-time building and planning permits, charges for services, interest from City investments, use of money and property, special project funds, and grants. The following table presents the City’s 2022/23 Other Revenues derived from the City FY 2022/23 Budget.

TABLE 20. OTHER CITY REVENUE
Description Fiscal Year 2022/23 Value
Franchise Fees $4,090,296
Business License 783,600
TOT 1,500,000
General and Administrative Recovery 3,085,930
Other City Revenue Total $9,459,826

To estimate the overall impact that future development will have on the listed Other City Revenue sources, it is assumed that current per capita revenue amounts will serve as the best indicator of future per capita revenue amounts. Therefore, to best allocate Other City Revenues to projected future development, the multiplier approach is utilized here. Using the current City persons served and employee population, the Other City Revenue per person served or employee served can be determined, as shown in the following table.

TABLE 21. OTHER CITY REVENUE PER RESIDENT, EMPLOYEE, OR PERSONS SERVED Description
Fiscal Year
2022/23 Value
Current City Residents,
Employees, or
Persons Served Count (1)
Amount per Resident,
Employee, or
Person Served (2)
Franchise Fees $4,090,296 117,624 $34.77
Business License 783,600 117,624 6.66
TOT 1,500,000 117,624 12.75
General and Administrative
Recovery 3,085,930 117,624 26.24
(1) Identified in Table 1.
(2) Equal to (Fiscal Year 2022/23 Value) / (Current City Residents, Employees, or Persons Served).

To determine the amount of other City revenue allocated to projected residential and non-residential development within the Project Area, the amount per resident, employee, or person served calculated in Table 21 is multiplied by the increase in residents, employees, or persons served that will result from future development in the Project Area.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 19 TABLE 22. OTHER CITY REVENUE GENERATED BY FUTURE DEVELOPMENT Description
Increase in Residents,
Employees, or
Persons Served (1)
Amount per Resident,
Employee, or
Person Served (2)
Other City
Revenue
Franchise Fees 47,759 $34.77 $1,660,580
Business License 47,759 6.66 318,075
TOT 47,759 12.75 608,927
General and Administrative
Recovery 47,759 26.24 1,253,196
Total $3,840,779
(1) Identified in Table 3.
(2) Calculated in Table 21.

Revenue Summary
Projected residential and non-residential development within the Project Area will generate various forms of general revenues for the City. A summary of the revenues projected to be generated by future development is presented in the following tables.

TABLE 23. REVENUE SUMMARY
Revenue Description Total
Property Tax $1,036,711
Property Tax in Lieu of VLF 9,907,110
Documentary Transfer 295,791
Sales Tax 1,782,803
TOT Revenue 1,151,087
Other 3,840,779
Total $18,014,280

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 20

TABLE 24. REVENUE SUMMARY BY FUTURE DEVELOPMENT TYPE
Development Type Total
NAQ Apartments $715,586
NAQ SF Attached 1,381,881
NAQ SF Detached 10,179,582
AQ SF Attached 299,016
AQ SF Detached 3,498,063
Hotel 1,293,451
Retail/Restaurant 442,678
Office 204,024
Total $18,014,280
2%
2%
2%
5%
6%
6%
7%
28%
52%
Business License
Transient Occupancy Tax
Documentary Transfer
General and Administrative Recovery
Property Tax
TOT Revenue - Project Area
Franchise Fees
Sales Tax
Property Tax in Lieu of VLF
Percentage of Revenue Generated by Future Development

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 21

NAQ Apartments
4%
NAQ SF Attached
8%
NAQ SF Detached
57%
AQ SF Attached
2%
AQ SF Detached
19%
Lodging

7.2%
Retail/Restaurant
2%
Office
1%
Percentage of Revenue Generated by Future Development Type

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 22

4. EXPENDITURES ESTIMATE
The revenues identified in Section 3 of this report are intended to pay for recurring expenditures related to general services provided by the City. City General Fund expenditures not considered in this analysis include costs associated with infrastructure improvements, special fund expenditures, governmental transfers, and expenses supported by one-time development fees.

Current Service Level Expenditures
Development within the Project Area will add residents and employees to the City’s existing population base. This residential and employee population increase will place additional demands on existing services provided by the City. To account for increased expenditures associated with additional demand for public services, City expenditures are allocated to projected development using the multiplier approach.

However, development-induced increases in demand for public services will not necessarily result in a direct 1:1 relationship increase in expenditures (i.e., there are some “step” functions). For example, a 20% increase in the City’s residential population will likely not cause a 20% increase in City Clerk or City Council expenditures. A portion of the City’s expenditures are fixed or will increase marginally as a result of population increases. Therefore, to account for relationships between expenditures and population changes that are less than 1:1, City expenditures have been adjusted to conservatively estimate the impact of projected development on City expenditures. Of note, City expenditure adjustments are estimates based on the individual characteristics of projected development and industry-standard assumptions. The original budgeted expenditure amounts, the demand adjustment percentage, and the adjusted expenditure amounts are presented in the following table.

TABLE 25. CURRENT SERVICE LEVEL EXPENDITURES
Description (1)
Fiscal Year
2022/23 Expenditures (1)
Demand
Adjustment
Percentage (2)
Adjusted Fiscal Year
2022/23
Expenditures (3)
City Council $798,121 50% $399,061
City Manager 3,918,794 50% 1,959,397
Management Services 4,682,211 75% 3,511,658
Police 20,613,786 100% 20,613,786
Economic Development 371,111 75% 278,333
Community Development 2,182,132 75% 1,636,599
Code Compliance 2,467,764 100% 2,467,764
Animal Control 2,316,058 100% 2,316,058
Public Works 2,326,289 100% 2,326,289
Drainage Maintenance 200,000 100% 200,000
Non-Departmental (4) 1,172,172 100% 1,172,172
Totals $41,048,438 $36,881,117
(1) Drawn from City FY 2022/23 Budget.
(2) Estimated; subject to change.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 23 (3) Equal to (Fiscal Year 2022/23 Expenditures) x (Demand Adjustment Percentage). Figures applied in Table 27 to calculate current service level expenditures per person currently served. (4) Excludes non-recurring and one-time expenditures totaling $700,000.

After adjusting the Fiscal Year 2022/23 Budget Expenditures to account for relationships that are less than a 1:1 relationship, the total expenditure amount to be considered is almost $36.9 million. This figure is used to determine the current service level expenditures per person served in the City, which in turn is used to calculate what additional current City expenditures will result from projected development.

Allocation of Expenditures to Population Served
Each City expenditure line item was categorized as being tied to serving the residential and employee population, solely the residential population, or solely the employee population. The following table provides the persons served category for each of the recurring current expenditure categories.

TABLE 26. EXPENDITURES ALLOCATION PERSONS SERVED CATEGORY Description Persons Served Category
City Council Persons Served
City Manager Persons Served
Management Services Persons Served
Police Persons Served
Economic Development Persons Served
Community Development Persons Served
Code Compliance Persons Served
Animal Control Residents Served
City Council, 1%
City Manager, 5%
Management
Services, 10%
Police, 56%
Economic
Development, 1%
Community
Development, 4%
Code Compliance, 7%
Animal Control, 6%
Public Works, 6%
Drainage
Maintenance, 1%
Non-Departmental,
3%
Percentage of Current Adjusted Service Level Expenditures by Department

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 24 Description Persons Served Category
Public Works Persons Served
Drainage Maintenance Persons Served
Non-Departmental Persons Served
Current Service Level Expenditures per Person Served
Using the multiplier approach, the number of persons served within each expenditure category is applied to the corresponding adjusted expenditure line item to determine the allocable expenditure per person.

The table below provides the current service level expenditures per person served for each of the listed expenditure categories.

TABLE 27. CURRENT SERVICE LEVEL EXPENDITURES PER PERSON SERVED Description
Adjusted Fiscal Year
2022/23
Expenditures (1)
Current City
Residents or Persons
Served (2)
Current Service Level
Expenditures per
Resident or
Person Served (3)
City Council $399,061 117,624 $3.39
City Manager 1,959,397 117,624 16.66
Management Services 3,511,658 117,624 29.85
Police 20,613,786 117,624 175.25
Economic Development 278,333 117,624 2.37
Community Development 1,636,599 117,624 13.91
Code Compliance 2,467,764 117,624 20.98
Animal Control 2,316,058 100,324 23.09
Public Works 2,326,289 117,624 19.78
Drainage Maintenance 200,000 117,624 1.70
Non-Departmental 1,172,172 117,624 9.97
(1) Identified in Table 25.
(2) Identified in Table 1.
(3) Equal to (Adjusted Fiscal Year 2022/23 Expenditures) / (Current City Residents or Persons Served).

To determine the amount of other current service level expenditures allocated to projected residential and non-residential development within the Project Area, the amounts per person served calculated in the previous table are multiplied by the increase in persons served or residents that will result from future development.

TABLE 28. CURRENT SERVICE LEVEL EXPENDITURES GENERATED BY PROJECT AREA Description
Increase in
Residents or
Persons Served (1)
Current Service Level
Expenditures per Resident or
Person Served (2)
Current
Expenditures (3)
City Council 47,759 $3.39 $162,031

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 25 Description
Increase in
Residents or
Persons Served (1)
Current Service Level
Expenditures per Resident or
Person Served (2)
Current
Expenditures (3)
City Manager 47,759 16.66 795,576
Management Services 47,759 29.85 1,425,842
Police 47,759 175.25 8,369,838
Economic Development 47,759 2.37 113,012
Community Development 47,759 13.91 664,510
Code Compliance 47,759 20.98 1,001,989
Animal Control 45,887 23.09 1,059,337
Public Works 47,759 19.78 944,546
Drainage Maintenance 47,759 1.70 81,206
Non-Departmental 47,759 9.97 475,938
Total $15,093,826
(1) Identified in Table 3.
(2) Identified in Table 27.
(3) Equal to (Increase in Residents or Persons Served) x (Current Service Level Expenditures per Resident or Person Served).

Project Area Expenditures
Per the Development Agreement with Hesperia Venture I, LLC (the “DA”), the general staffing levels for public safety services to the Project Area were provided as Exhibit G, which was extracted from the DA and is shown below.

Based on Exhibit G and the projected Project Area residential population of 45,887, there will be a need for two Animal Control Officers, four Code Enforcement Officers, and one Senior Code Enforcement Officer, totaling $918,882 annually. Based upon an estimated future population of 181,333 (includes the future

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 26 Silverwood population), it is estimated that 26% or $238,909 of the costs associated with Animal Control and Code Enforcement Officers will be attributable to the Project Area.

Additionally, the Project Area public safety target service level ratio is 0.80 sworn officers per 1,000 residents. The City is not currently meeting the target public safety service level ratio of 0.80 sworn officers per 1,000 residents. Currently, the City’s ratio of sworn officers per 1,000 residents is approximately 0.57.

The cost of providing this below-target level of service to the City’s projected total future population is captured in the calculation of current expenditures identified in Table 27.

To meet its target public safety service level ratio and provide a target level of Police Services to all residents in the City, the City requires an additional 23.26 sworn officers. Given current staffing levels within the Police Department, there is approximately 0.24 non-sworn support staff for every sworn Police Officer.

This ratio is utilized to estimate the 5.58 additional non-sworn staff that will be needed to support the needed increase in sworn staff. The resulting per capita expenditure per resident for this target level of Police Services is $76.24, resulting in a total of $3,498,515 in Police Services Expenditures attributable to the Project Area.

The table below details the annual costs of the additional personnel needed to provide an optimal level of Public Safety Services to the Project Area.

TABLE 29. PROJECT AREA PUBLIC SAFETY EXPENDITURES
Description Value
Current Residential Population (1) 100,324
Current # of Sworn Officers (2) 57
Current Sworn Ratio 0.00057
Desired Ratio 0.0008
Current Unsworn Personnel (2) 18
Current Sworn/Unsworn Ratio 0.24
Increase in Sworn Officers Needed (3) 23.26
Increase in Unsworn Officers Needed 5.58
Total Cost of Inc. in Sworn Officers Needed (4) 7,175,352 Total Cost of Inc. in Unsworn Officers Needed (5) 473,547 Total Increase in Sworn/Unsworn Costs Needed $7,648,899 Total Sworn/Unsworn Costs Applicable to the Project Area (26%) (6) 3,498,515 2 Animal Control Officers 241,363
4 Code Enforcement Officers 537,971
1 Senior Code Enforcement Officer 139,547
Total Animal Control/Code Costs Applicable to the Project Area (26%) (6) 238,909 Total Public Safety Costs Applicable to the Project Area 3,737,424 (1) Identified in Table 1.
(2) Provided by the City.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 27 (3) Equal to (Target Ratio of 0.8/1000 = 80.26) - (Current Ratio of 0.57/1000 = 57). (4) Equals (23.26 sworn officers) x (average annual cost of sworn officer - $308,495). (5) Equal to (5.58 unsworn officers) x (average annual cost of unsworn officer - $84,832). (6) Equals (Total Increase in Sworn/Unsworn Costs) x (Project Area % of future population, 26%).

Roadway Services
As a result of expected future development within the Project Area, new roadways will need to be built to provide for vehicular traffic in and around the Project Area. It is expected that approximately 167.72 miles of roadway will need to be maintained annually at a rate of $8,105 per mile for a total of $1,359,938 of anticipated annual roadway general maintenance service costs.

Additionally, slurry would be completed every three years at a cost of $14,454 per mile annually for a total cost of $2,425,179.

And finally, every 15 years a rehabilitation of the roadways will need to be performed. As provided by the City, rehabilitation costs are estimated at a cost of $43,459 per mile annually for a total cost of $7,291,979.

The table below summarizes the total estimated annual roadway service costs attributable to the Project Area.

TABLE 30. PROJECT AREA ROADWAY SERVICES EXPENDITURES
Description Value
General Roadway Maintenance (1) $1,359,938
Slurry (2) 2,425,179
Road Rehabilitation (3) 7,291,979
Total Roadway Services Costs Applicable to Persons Served in Project Area $11,077,096 (1) Per the City, assumes a cost of $8,105 per mile annually. (2) Per the City, assumes a cost of $14,454 per mile annually. (3) Per the City, assumes a cost of $43,459 per mile annually.

Silverwood Trail Maintenance
As a result of expected future development within the Project Area, the Silverwood Trail Bridge will need to be maintained and inspected annually by the City. The City estimates the annual costs of providing these services will be $200,000.

TABLE 31. PROJECT AREA SILVERWOOD TRAIL MAINTENANCE EXPENDITURES Description Value
Annual Inspection and Maintenance Costs (1) $200,000
Total Silverwood Trail Maintenance Costs $200,000
(1) Provided by the City.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 28 Total Expenditures Summary
Projected residential and non-residential development within the Project Area will cause the City to incur various forms of expenditures. A summary of the expenditures projected to be generated by future development is presented in the following tables.

TABLE 32. EXPENDITURES SUMMARY
Description Total
Current Service Level Expenditures $15,093,826
Project Area Public Safety Expenditures 3,737,424
Project Area Roadway Services Expenditures 11,077,096
Project Area Trail Maintenance/Inspections 200,000
Total $30,108,346

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 29

TABLE 33. EXPENDITURES SUMMARY BY FUTURE DEVELOPMENT TYPE Development Type Total
NAQ Apartments $2,369,940
NAQ SF Attached 3,049,783
NAQ SF Detached 17,064,019
AQ SF Attached 695,063
AQ SF Detached 6,238,518
Hotel 104,723
Retail/Restaurant 330,378
Office 255,923
Total $30,108,346

NAQ Apartments
8%
NAQ SF Attached
10%
NAQ SF Detached
57%
NAQ SF Attached
2%
NAQ SF Detached
21%
Lodging 0.3% Retail/Restaurant 1% Office 1%
Percentage of Expenditures by Development Type

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 30

5. FISCAL IMPACT
Based on the estimated total revenue calculated in Section 3 and the estimated total expenditures calculated in Section 4, there is a net negative fiscal impact to the City as a result of projected future development within the Project Area. The table below sets forth the total anticipated fiscal impact for both future residential and non-residential land uses.

TABLE 34. ANNUAL FISCAL IMPACT – RESIDENTIAL LAND USES
Description Total City Revenue Total City Expenditures
City Positive /
(Negative) Fiscal Impact
NAQ Apartments $715,586 ($2,369,940) ($1,654,354)
NAQ SF Attached 1,381,881 (3,049,783) (1,667,902)
NAQ SF Detached 10,179,582 (17,064,019) (6,884,437)
AQ SF Attached 299,016 (695,063) (396,047)
AQ SF Detached 3,498,063 (6,238,518) (2,740,455)

TABLE 35. ANNUAL FISCAL IMPACT – NON-RESIDENTIAL LAND USES Description Total City Revenue Total City Expenditures
City Positive /
(Negative) Fiscal Impact
Hotel $1,293,451 ($104,723) $1,188,728
Retail/Restaurant 442,678 (330,378) 112,300
Office 204,024 (255,923) (51,898)

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 31

6. FISCAL IMPACT FUNDING OPTIONS
To mitigate the negative fiscal impacts identified in Section 5 of this report, the City may consider the establishment of a special financing district (“SFD”), which could include a special tax or a special assessment. Since the City’s negative fiscal impacts are attributable to the provision of general services, a special assessment may not be the most appropriate funding option for the City to mitigate those impacts.

Special assessments require the identification and separation of general and special benefits. Special benefits can be assessed to property, but all general benefits must be funded by sources other than the special assessments. Therefore, a special assessment would not entirely alleviate the identified negative fiscal impacts. Alternatively, the City could implement a special tax.

Community Facilities Districts
A Community Facilities District (“CFD”), also referred to as a Mello-Roos District, is a type of SFD that is established via the Mello-Roos Community Facilities District Act of 1982 (“1982 Act”). Through the levy and collection of a special tax, CFDs provide funding for authorized public improvements and/or public services.

The CFD’s Rate and Method of Apportionment includes procedures for identifying and classifying property within the CFD, establishing the initial maximum special tax rates, and the formula for calculating the annual special tax and assigning the special tax to taxable property within the CFD. Since a CFD authorizes the levy and collection of a special tax as opposed to a special assessment, there is no requirement to make a finding of special benefit for the property subject to the special tax. However, the special tax should be based on a benefit received by property, the cost of providing the facilities or services, or some other reasonable basis for assigning the special tax, as determined by the relevant legislative body.

To establish a CFD, the 1982 Act requires two-thirds approval of the registered voters, residing within the proposed CFD boundary, voting in the special tax election. If there are less than 12 registered voters within the proposed CFD boundaries, then a landowner special tax election can take place. In the case of a landowner special tax election, a two-thirds approval is still required, and each landowner receives one vote per acre or portion of an acre of land owned. It should be noted that if a CFD is approved via a landowner special tax election, the CFD is only authorized to fund additional services. In Building Industry Association of the Bay Area v. City of San Ramon, the California Appellate Court held that a landowner- approved CFD can only fund the increase in demand for pre-existing services, so long as the special tax revenue is not available for general government purposes. The additional services funded by the CFD shall not replace services already available and provided within the boundaries of the CFD. Furthermore, special tax revenue generated from the CFD can only be used to fund the authorized public services outlined in the 1982 Act. CFD-authorized public services include fire protection and park maintenance/lighting services. It should be noted that any CFD formed by the City, as well as any potential annexations to that CFD, would be approved by a landowner special tax election, as new development projects would be required to participate in the CFD as a condition of approval.

FUTURE DEVELOPMENT SPECIFIC COSTS
In addition to using a CFD to mitigate the negative fiscal impacts of future development, the CFD can also fund authorized CFD services that are intended to provide an enhanced level of service or services that are unique to future development. These services would be in addition to any identified negative fiscal impacts

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 32 placed upon the City in providing existing levels of public services. Funding for any enhanced and/or additional recurring public service costs, including repairs and replacements, reserves and administration can be accomplished through a CFD.

BENEFITS TO THE CITY
Through the formation of a CFD, the City can establish an ongoing funding source that mitigates negative fiscal impacts created by future residential and non-residential development, as well as provide funding for new or enhanced services within the City. To keep pace with changing costs, the CFD’s maximum special tax rate can include an annual escalation factor based on an annual fixed amount or be tied to a specific inflation index. Furthermore, the CFD special tax can be established without a sunset date so that the CFD special tax can be levied in perpetuity or until voters choose to end it.

CFD Special Tax Recommendation
For the City to continue to provide vital public services to its population base, the City needs to ensure that developing property pays their fair share of any additional financial burdens placed upon the City’s operational budget, including the cost of additional services required because of such development. To mitigate the negative fiscal impacts identified in Section 5 of this report, the City should consider establishing a CFD. The levy and collection of the special tax could generate sufficient revenue to offset the negative fiscal impacts to the City. Furthermore, a CFD provides the flexibility to generate additional revenue to fund any enhanced or new project-specific costs desired by future development.

The CFD’s Rate and Method of Apportionment establishes the special tax formula and sets the initial maximum special tax rates. A benefit of a CFD is that it allows for a great deal of flexibility in structuring the special tax formula so that the formula and maximum special tax rates best fit and accomplish specific needs. In this case, the CFD special tax rates could be sized to recover the annual negative fiscal impact on development, recover ongoing administrative costs related to the CFD, and could be structured to create both residential special tax rates and non-residential special tax rates.

CFD Special Tax Rates for Properties
Based on the overall negative fiscal impacts created by the Project Area identified in Section 5, the total annual amount to be recovered from the CFD is calculated in the following table.

TABLE 36. PROPOSED CFD SPECIAL TAX RATES – RESIDENTIAL
CFD Special Tax Rate by Land Use
Total CFD Special Tax
Rate per Dwelling Unit (1)
NAQ Apartments $732
NAQ SF Attached 775
NAQ SF Detached 861
AQ SF Attached 775
AQ SF Detached 818
(1) Rates for services portion; does not include potential CFD administration or reserve/ contingency costs.

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City of Hesperia
Fiscal Impact Analysis of the Silverwood Development 33 TABLE 37. PROPOSED CFD SPECIAL TAX RATES – NON-RESIDENTIAL CFD Special Tax Rate by Land Use
Total CFD Special Tax Rate
per Building Square Foot (1)
Hotel $0.19
Retail/Restaurant 0.30
Office 0.49
(1) Rates for services portion; does not include potential CFD administration or reserve/ contingency costs.

NBS recommends that the City include within initial CFD maximum special tax rates the costs needed for administering the CFD, as well as establish any reserves or contingency funds. Furthermore, the CFD should be structured to include a special tax escalation factor, which would allow for an annual increase to the initial CFD maximum special tax rates. While the CFD maximum special tax rates would increase on an annual basis, the City is not required to levy the special tax at the CFD maximum special tax rates each year.

To meet the CFD annual special tax requirement and fund authorized services and administrative costs, the City has the flexibility to levy a CFD special tax amount that is less than or equal to the CFD maximum special tax.

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City of Hesperia
Community Facilities District No. 2023-1 (Silverwood Maintenance and Services) Page 1

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX

CITY OF HESPERIA
COMMUNITY FACILITIES DISTRICT NO. 2023-1
(SILVERWOOD MAINTENANCE AND SERVICES)
A Special Tax, as hereinafter defined, shall be levied and collected in City of Hesperia Community Facilities District No. 2023-1 (Silverwood Maintenance and Services ) (“CFD No. 2023-1”) each Fiscal Year commencing in Fiscal Year 2023/24, in an amount determined by the application of the procedures below.

All Taxable Property, as hereinafter defined, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

A. DEFINITIONS
The terms hereinafter set forth have the following meaning:
“Accessory Dwelling Unit” or “ADU” means all Assessor’s Parcels of Residential Property for which a building permit(s) has been issued for an “Accessory Dwelling Unit” as defined in in California Government Code Section 65852.2(j)(1), as may be amended from time to time, that is accessory to a primary Unit. The ADU may be located on the same Assessor’s Parcel as the primary Unit or on a separate Assessor’s Parcel. For purposes of clarification, where an ADU and primary Unit are on the same Assessor’s Parcel, the ADU located on such Assessor’s Parcel is considered a separate Unit from the primary Unit on such Assessor’s Parcel for purposes of the Special Tax and both Units will be taxed . Should an Assessor’s Parcel contai n only an ADU, such Assessor’s Parcel will be taxed as an ADU Unit only.
"Acre” or “Acreage" means the land area of an Assessor’s Parcel as shown on an Assessor’s Parcel Map. In the event that the Assessor’s Parcel Map shows no acreage, the Acreage for any Assessor’s Parcel may be determined by the CFD Administrator based upon, in the CFD Administrator’s discretion, the applicable condominium plan, final map, parcel map, Assessor’s Data or by using available spatial data and GIS.
“Act” means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5 of Part 1, Division 2 of Title 5 of the Government Code of the State. “Administrative Expenses” means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2023-1 including, but not limited to, the following : the costs of computing the Annual Special Tax Requirement and the annual Special Tax and of preparing the annual Special Tax collection schedules; the costs of collecting the Special Tax, including any charges levied by the County Auditor’s Office, Tax Collector’s Office or Treasurer’s Office; the costs of the City or designee in complying with the disclosure requirements of the California Government Code (including the Act), including public inquiries regarding the Special Tax; the costs of the City or designee related to levying or an appeal of the Special Tax; and the costs of commencing and pursuing to completion action arising from any delinquent Special Tax in CFD No. 2023-1 or costs of the County tax sale process . Administrative Expenses shall include amounts estimated or advanced by the City or CFD No. 2023-1 for any other administrative Attachment 3

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Community Facilities District No. 2023-1 (Silverwood Maintenance and Services) Page 2 purposes, including, but not limited to, attorney’s fees. “Age Qualified Single -Family Attached Property” means all Assessor’s Parcels of Developed Property for which a building permit was issued for construction of a residential structure consisting of two or more Units that share common walls that have separate Assessor’s Parcel Numbers assigned to each Unit (except for a duplex, triplex, or fourplex unit, which may share a Parcel with another duplex, triplex or fourplex Unit(s)), may be purchased by individua l homebuyers who are subject to legal discrimination on the basis of age (which shall still be the case even if the Units are purchased and subsequently offered for rent by the owner of the Unit), including such residential structures that meet the statutory definition of a condominium project contained in Civil Code Section 4125, according to Assessor’s Data or as otherwise known by the CFD Administrator.
“Age Qualified Single -Family Detached Property” means all Assessor’s Parcels of Developed Property for which a building permit was issued for construction of a residential structure consisting of one Unit that does not share a common wall with another Unit, and may be purchased by individual homebuyers who are subject to legal discrimination on the basis o f age (which shall still be the case even if the Units are purchased and subsequently offered for rent by the owner of the Unit), according to Assessor’s Data or as otherwise known by the CFD Administrator.
“Annual Services Costs” means the respective annu al amounts determined by the CFD Administrator as reasonably needed to fund the Authorized Services authorized to be funded by CFD No. 2023-1 for the applicable yearly period.
“Annual Special Tax Requirement” means that amount with respect to CFD No. 2023-1 determined by the CFD Administrator as required in any Fiscal Year to pay: (1) the Administrative Expenses, (2) the Annual Services Costs, and (3) the amount required to establish or replenish any reserve or replacement fund established in connection wit h CFD No. 2023-1, and (4) an amount equal to reasonably anticipated delinquencies in the payment of the annual Special Tax based on the delinquency rate for any Special Tax levied in the previous Fiscal Year (or as projected by the CFD Administrator for the first Fiscal Year’s Special Tax levy). “Assessor’s Data” means the property characteristic data compiled and maintained by the County Assessor for each Assessor’s Parcel, including, but not limited to, Assessor’s Parcel Number, Acreage, and Units.
“Assessor’s Parcel” or “Parcel” means a lot or parcel shown in an Assessor’s Parcel Map with an assigned Assessor’s Parcel Number.
“Assessor’s Parcel Map” means an official map of the County Assessor designating parcels by Assessor’s Parcel Number.
“Assessor’s Parcel Number” or “APN” means, with respect to an Assessor’s Parcel, that number assigned to such Assessor’s Parcel by the County Assessor for purposes of identification.

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Community Facilities District No. 2023-1 (Silverwood Maintenance and Services) Page 3 “Authorized Services” means the services provided by the City and authorized to be funded as indicated in the resolution of intention, in whole or in part, by CFD No. 2023-1. “Building Permit” means a permit issued by the City for new construction of a residential or non- residential building on an Assessor’s Parcel.
“Building Square Feet” or “BSF” means all of the square footage of living area within the perimeter of a residential structure, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The determination of Building Squa re Feet shall be made by reference to the Assessor’s Data. In the event that the Assessor’s Data does not show Building Square Feet, the Building Permit(s) issued for such residential dwelling unit or o ther records of the City shall be used as determined by the CFD Administrator. “California Municipal Finance Authority ” means the California Municipal Finance Authority, a California joint powers agency organized under the Joint Exercise of Powers Act of the Government Code of the State of California.
“CFD Administrator” means an official of the City, or designee thereof, responsible for determining the Annual Special Tax Requirement (including the Annual Services Costs) and providing for the levy and collection of the Special Taxes. “CFD No. 2023-1” means the City of Hesperia Community Facilities District No. 2023-1 (Silverwood Maintenance and Services).
“City” means the City of Hesperia.
“City Council” means the City Council of the City, acting as the legislative body of CFD No. 2023-

1. “CMFA CFD No. 2023-11” means the California Municipal Finance Authority Community Facilities District No. 2023 -11 (City of Hesperia – Silverwood), established by the California Municipal Finance Authority.
“CMFA CFD No. 2023-11 Bonds” means bonds or other Debt (as defined in section 53317 of the Act), whether in one or more series, issued or assumed by or on behalf of the California Municipal Finance Authority for CMFA CFD No. 2023-11 under the Act. “County” means the County of San Bernardino, California. “County Assessor” means the County Assessor of the County. “Developed Property” means, in any Fiscal Year, all Taxable Property in CFD No. 2023-1 for which a Building Permit for new construction was issued by the City prior to June 30 of the preceding Fiscal Year.
“Exempt Property” means all Assessor’s Parcels located within the boundary of CFD No. 2023-1 which are exempt from the Special Tax pursuant to Section E below. “Fiscal Year” means the period starting July 1 and ending on the following June 30th.

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Community Facilities District No. 2023-1 (Silverwood Maintenance and Services) Page 4 “GIS” or “Geographic Information System” means a system designed to capture, store, manipulate, analyze, manage, and present spatial or geographic data. “Hotel Property” means all Assessor’s Parcels within the boundaries of CFD No. 2023-1 that have an establishment providing short-term lodging accommodations and other services for travelers and tourists.
"Maximum Special Tax” means for each Assessor’s Parcel of Taxable Property and each Fiscal Year, the maximum Special Tax, determined in accordance with Section C below, that can be levied in such Fiscal Year on such Assessor’s Parcel of Taxable Property. “Mixed-Use Property” means all Assessor’s Parcels of Developed Property for which a Building Permit was issued for a structure that contains more than one Property Type. For an Assessor’s Parcel of Mixed-Use Property, each Property Type is subject to taxation pursuant to Section C below.
“Non-Age Qualified Apartment Property” means all Assessor’s Parcels of Developed Property for which a Building Permit was issued for construction of a residential structure consisting of attached residential Units under common management that are available for rent, but not purchase, by individuals who are not subject to legal discrimination on the basis of age, according to Assessor’s Data or as otherwise known by the CFD Administrator. “Non-Age Qualified Single-Family Attached Property” means all Assessor’s Parcels of Developed Property for w hich a Building Permit was issued for construction of a residential structure consisting of two or more Units that share common walls that have separate Assessor’s Parcel Numbers assigned to each Unit (except for a duplex triplex, or fourplex unit, which m ay share a Parcel with another duplex, triplex or fourplex Unit(s)), and may be purchased by individual homebuyers who are not subject to legal discrimination on the basis of age (which shall still be the case even if the Units are purchased and subsequent ly offered for rent by the owner of the Unit), including such residential structures that meet the statutory definition of a condominium project contained in Civil Code Section 4125, according to Assessor’s Data or as otherwise known by the CFD Administrator.
“Non-Age Qualified Single-Family Detached Property” means all Assessor’s Parcels of Developed Property for which a Building Permit was issued for construction of a residential structure consisting of one Unit that does not share a common wall with anot her Unit, and may be purchased by individual homebuyers who are not subject to legal discrimination on the basis of age (which shall still be the case even if the Units are purchased and subsequently offered for rent by the owner of the Unit), according to Assessor’s Data or as otherwise known by the CFD Administrator.
“Office Property” means all Assessor’s Parcels of Developed Property used as offices, including medical and dental offices and office condominiums, according to Assessor’s Data or as otherwise known to the CFD Administrator.
“Property Owner’s Association” or “POA” means any duly constituted property owner’s

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