Agenda — Hesperia City Council, December 17, 2024

HESPERIA CITY COUNCIL

SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY

HOUSING AUTHORITY

COMMUNITY DEVELOPMENT COMMISSION

WATER DISTRICT
Meeting Agenda
Tuesday, December 17, 2024
Closed Session - 5:00 PM
Regular Meeting - 6:30 PM
City Council Chambers
9700 Seventh Ave., Hesperia CA, 92345
City Clerk's Office: (760) 947-1007
City Council Members
Allison Lee, Mayor
Cameron Gregg, Mayor Pro Tem
Brigit Bennington, Council Member
Josh Pullen, Council Member
Chris Ochoa, Council Member
Rachel Molina, City Manager
Pam K. Lee, City Attorney
NOTE: In compliance with the Americans with Disability Act, if you need special assistance to participate in this meeting, please contact the City Clerk’s Office at (760) 947-1007 or (760) 947-1026. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility.

To leave a Public Comment by phone, call and leave a recorded message at (760) 947-1056 up to 5:30 pm on the day of the scheduled meeting. City Council meetings may be viewed live or after the event on the City’s website at www.cityofhesperia.us.

December 17, 2024City Council Meeting Agenda

REGULAR MEETING AGENDA

HESPERIA CITY COUNCIL

SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY

HESPERIA HOUSING AUTHORITY

HESPERIA COMMUNITY DEVELOPMENT COMMISSION

HESPERIA WATER DISTRICT
9700 7th Avenue, Council Chambers, Hesperia, CA 92345
As a courtesy, please silence your cell phones and other electronic devices while the meeting is in session. Thank you.

Prior to action of the Council, any member of the audience will have the opportunity to address the legislative body on any item listed on the agenda, including those on the Consent Calendar.

Individuals wishing to speak during General Public Comments or on a particular numbered item must submit a speaker slip to the City Clerk with the agenda item noted. Speaker slips should be turned in prior to the public comment portion of the agenda or before an agenda item is discussed. Comments will be limited to three minutes for General Public Comments, Consent Calendar items and New Business items. Comments are limited to five minutes for Public Hearing items.

In compliance with the Brown Act, the City Council may not discuss or take action on non-agenda items or engage in question and answer sessions with the public. The City Council may ask brief questions for clarification; provide a reference to staff or other resources for factual information and direct staff to add an item to a subsequent meeting.

CLOSED SESSION - 5:00 PM
Roll Call
Mayor Allison Lee
Mayor Pro Tem Cameron Gregg
Council Member Brigit Bennington
Council Member Chris Ochoa
Council Member Josh Pullen
Conference with Legal Counsel - Potential Litigation:

Government Code Section 54956.9(d)2

1. One (1) Case
Conference with Legal Counsel – Existing Litigation
Government Code Section 54956.9(d)1

1. APEX HM, LLC, et al. v. City of Hesperia, et al. - CIVSB 2208845 CALL TO ORDER - 6:30 PM
A. Invocation
B. Pledge of Allegiance to the Flag

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December 17, 2024City Council Meeting Agenda
C. Roll Call
Mayor Allison Lee
Mayor Pro Tem Cameron Gregg
Council Member Brigit Bennington
Council Member Chris Ochoa
Council Member Josh Pullen
D. Agenda Revisions and Announcements by City Clerk
E. Closed Session Reports by City Attorney

ANNOUNCEMENTS/PRESENTATIONS

1. Presentation to residents Jeff and Christina Estep, Pride Enhancement Program Honorees.

2. Presentation to Residential Christmas Decorating Contest Winner.

3. Presentation by Judith Pina from the California Department of Insurance with an overview of the actions that the California Department of Insurance has taken to address the issue of insurance availability.

GENERAL PUBLIC COMMENTS (For items and matters not listed on the agenda) Individuals wishing to speak during General Public Comments or on a particular numbered item are requested to submit a speaker slip to the City Clerk with the agenda item noted. Speaker slips should be turned in prior to the public comment portion of the joint agenda or before an agenda item is discussed. Comments will be limited to three minutes for General Public Comments, Consent Calendar items and New Business items. Comments are limited to five minutes for Public Hearing items.

JOINT CONSENT CALENDAR

1. Consideration of the Draft Minutes from the Regular Meeting held Tuesday, December 3, 2024.

Recommended Action:

It
is recommended that the City Council approve the Draft Minutes from the Regular Meeting held Tuesday, December 3, 2024.

Staff Person: Assistant City Clerk Erin Baum
Draft CC Min 2024-12-3Attachments:

2. Warrant Run Report (City - Successor Agency - Housing Authority - Community Development Commission - Water)
Recommended Action:

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December 17, 2024City Council Meeting Agenda
It is recommended that the Council/Board ratify the warrant run and payroll report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing Authority, Community Development Commission, and Water District.

Staff Person: Assistant City Manager Casey Brooksher
SR Warrant Run 12-17-2024
Attachment 1 - Warrant Run
Attachments:

3. Treasurer’s Cash Report for the unaudited period ended October 31, 2024 Recommended Action:

It
is recommended that the Council/Board accept the Treasurer’s Cash Report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing Authority, Community Development Commission, and Water District.

Staff Person: Assistant City Manager Casey Brooksher
SR Treasurer's Report 12-17-2024
Attachments 1-5 - Treasurer's Report
Attachments:

4. Fiscal Year 2023-2024 Annual Compliance Report for AB 1600 Development Impact Fees
Recommended Action:

It is recommended that the City Council receive and file the AB 1600 report on development fee activity that occurred during Fiscal Year (FY) 2023-2024.

Staff Person: Assistant City Manager Casey Brooksher
SR FY 2023-24 AB 1600 Report 12-17-2024
Attachment 1 - AB 1600 Report
Attachments:

5. Receive and File the Local Agency Special Tax and Bond Accountability Act Reports (SB 165) for the Fiscal Year Ended June 30, 2024 Recommended Action:

It
is recommended that the City Council receive and file the Local Agency Special Tax and Bond Accountability Act Reports (SB 165) for Communities Facilities District (CFD) 2005-1 (Belgate Development Restructuring), CFD 2021-1 (Residential Maintenance & Services), CFD 2022-1 (Non-Residential Maintenance & Services), and CFD 2023-1 (Silverwood Maintenance & Services) for the Fiscal Year Ended June 30, 2024.

Staff Person: Assistant City Manager Casey Brooksher
SR Receive and File SB 165 12-17-2024
Attachment 1 - Accountability Act Report - CFD 2005-1
Attachment 2 - Accountability Act Report - CFD 2021-1, 2022-1, and 2023-1 Attachments:

6. First Amendment to Professional Services Agreement with Willdan Engineering for Building Inspection Services

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December 17, 2024City Council Meeting Agenda
Recommended Action:

It
is recommended that the City Council authorize an amendment to the Professional Services Agreement with Willdan Engineering and to increase the contract amount by $208,000, for a total not-to-exceed amount of $258,000 for an additional year of full-time building inspection services.

Staff Person: Director of Development Services Nathan Freeman SR Amendment to PSA with Willdan Engineering 12-17-2024Attachments:

NEW BUSINESS

7. City Council Appointments to Outside Agencies
Recommended Action:

It
is recommended that the City Council follow past practice and appoint liaisons (both primary and alternate) to various outside agencies for a one-year period to commence in January 2025.

Staff Person: Assistant City Clerk Erin Baum
SR City Council Appointments to Outside Agencies 12-17-2024 Attachment 1 - 2024 Appointment Summary
Attachments:

COUNCIL COMMITTEE REPORTS AND COMMENTS
The Council may report on their activities as appointed representatives of the City on various Boards and Committees and/or may make comments of general interest or report on their activities as a representative of the City.

CITY MANAGER/CITY ATTORNEY/STAFF REPORTS
The City Manager, City Attorney or staff may make announcements or reports concerning items of interest to the Council and the public.

ADJOURNMENT

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December 17, 2024City Council Meeting Agenda
I, Erin Baum, Assistant City Clerk of the City of Hesperia, California do hereby certify that I caused to be posted the foregoing agenda on Wednesday, December 11, 2024 at 5:30 p.m. pursuant to California Government Code §54954.2.
_____________________________
Erin Baum,
Assistant City Clerk
Documents produced by the City and distributed less than 72 hours prior to the meeting regarding items on the agenda will be made available in the City Clerk's Office during normal business hours.

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City of Hesperia
City of Hesperia
Meeting Minutes – Draft
City Council
Tuesday, December 3, 2024 6:30 PM

REGULAR MEETING AGENDA

HESPERIA CITY COUNCIL

SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY

HESPERIA HOUSING AUTHORITY

HESPERIA COMMUNITY DEVELOPMENT COMMISSION

HESPERIA WATER DISTRICT

NO CLOSED SESSION
CALL TO ORDER - 6:30 PM
A. Invocation
B. Pledge of Allegiance to the Flag
C. Roll Call

Present: 5 - Mayor Bird, Mayor Pro Tem Swanson, Council Member Gregg, Council Mem
ber Bennington, and Council Member Lee
D. A genda Revisions and Announcements by City Clerk
There was a green sheet revision to item 1 with additional information from the San Bernardino County Registrar of Voters Cert
ifying the November 5, 2024 General Election Results and the addition of a brief presentation to outgoing Council Member Swanson by a representative from Supervisor Cook’s office.

ELECTION CERTIFICATION

1. Certification of November 5, 2024 Election Results
Recommended Action:

It is recommended that the City Council adopt Resolution No. 2024-54 declaring the results of the Novem
ber 5, 2024 General Municipal Election for filling one (1) open seat each in City Council Districts one (1), and five (5).

Sponsors: Deputy City Manager/City Clerk Melinda Sayre
City Council Chambers
9700 Seventh Ave.

Hesperia CA, 92345

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City of Hesperia
A motion was made by Lee, seconded by Bird, declaring the Results of the November 5, 2024 Election. The motion carried by the following vote:

Aye: 5 - Bird, Gregg, Swanson, Bennington, and Lee
Nay: 0

OATH OF OFFICE FOR NEWLY ELECTED COUNCIL MEMBERS
The Oath of Office was administered to incoming Council Members.

RECESS AND REFRESHMENTS
The Meeting went into recess at 6:55 p.m.

The Meeting was reconvened at 7:15 p.m.

CALL TO ORDER NEWLY ELECTED COUNCIL MEMBERS
The meeting was called to order at 7:15 p.m.

Roll Call

Present: 5 - Council Member Bennington, Council Member Gregg, Council Member Lee,
Council Member Ochoa, and Council Member Pullen

COUNCIL/BOARD REORGANIZATION

1. Election of Officers:

A. Selection of
the Mayor/Chair to serve for the City Council, Successor Agency to the Hesperia Community Redevelopment Agency, Community Development Commission, Housing Authority, Hesperia Fire Protection District and Hesperia Water District (term to expire at the first regular meeting held in December 2025).

B. Selection of the Mayor Pro Tem/Vice Chair to serve for the City Council, Successor Agency to the Hesperia Community Redevelopment Agency, Community Development Commission, Housing Authority, Hesperia Fire Protection District and Hesperia Water District (term to expire at the first regular meeting held in December 2025).

Sponsors: Deputy City Manager/City Clerk Melinda Sayre
A motion was made by Gregg, seconded by Ochoa, to appoint Council Member Lee as Mayor. The motion carried by the following vote:

Aye: 4 - Lee, Gregg, Ochoa, and Pullen
Nay: 1 - Bennington
A motion was made by Lee, seconded by Ochoa, to appoint Council Member Gregg as Mayor Pro Tem. Th
e motion carried by the following vote:

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City of Hesperia

Aye: 5 - Lee, Gregg, Bennington, Ochoa, and Pullen
Nay: 0
Mayor Lee took over as chair of the meeting at this time.

GENERAL PUBLIC COMMENTS (For items and matters not listed on the agenda) The following individuals commented:

Bob Nelson
Kim Jones
Robert Davie
Bill Jensen
Kelly Gregg

JOINT CONSENT CALENDAR
Items 7, 9, and 10 were considered independent of the Joint Consent Calendar A motion was made by Gregg, seconded by Lee, that the Joint Consent Calendar, minus items 7, 9, and 10, be ap
proved. The motion carried by the following vote:

Aye: 5 - Lee, Gregg, Bennington, Ochoa, and Pullen
Nay: 0

1. Consideration of the Draft Minutes from the Special Meeting held Tuesday, November 19, 2024.

Recommended Action:

It is recommended that the City Council approve the Draft Minutes from the Special Meeting held Tuesda
y, November 19, 2024.

Sponsors: Assistant City Clerk Erin Baum

2. Consideration of the Draft Minutes from the Special Meeting held Monday, November 18, 2024.

Recommended Action:

It is recommended that the City Council approve the Draft Minutes from the Special Meeting held Monday, Novem
ber 18, 2024.

Sponsors: Assistant City Clerk Erin Baum

3. Warrant Run Report (City - Successor Agency - Housing Authority - Community De velopment Commission - Water)
Recommended Action:

It is recommended that the Council/Board ratify the warrant run and payroll report for the City, Successor Agency to the Hes
peria Community Redevelopment Agency, Hesperia Housing Authority, Community Development Commission, and Water District.

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City of Hesperia
Sponsors: Assistant City Manager Casey Brooksher

4. Treasurer's Cash Report for the unaudited period ended September 30, 2024 Recommended Action:

It is recommended that the Council/Board accept the Treasurers Cash Report for the City, Successor Agency to the Hes
peria Community Redevelopment Agency, Hesperia Housing Authority, Community Development Commission, and Water District.

Sponsors: Assistant City Manager Casey Brooksher

5. 2024-25 Statement of Investment Policy
Recommended Action:

It is recommended that the Council/Board/Commission adopt Joint Resolution No. 2024-63, Successor Agency to the Hes
peria Community Redevelopment Agency Resolution No. SA 2024-01, Hesperia Housing Authority Resolution No. HHA 2024-08, Community Development Commission Resolution No.

CDC 2024-02, Hesperia Fire Protection District Resolution No. HFPD 2024-04, and Hesperia Water District Resolution No. HWD 2024-19, approving the Fiscal Year 2024-25 Statement of Investment Policy.

Sponsors: Assistant City Manager Casey Brooksher

6. Annual 2025-26 Recognized Obligation Payment Schedule Recommended Action:

It is recommended that the Successor Agency adopt Resolution No. SA 2024-02, approving the Annual 2025-26 Rec
ognized Obligation Payment Schedule (ROPS), including the Successor Agency’s FY 2025-26 Administrative Budget, and authorizing staff to present the ROPS to the Oversight Board for its consideration and approval.

Sponsors: Assistant City Manager Casey Brooksher
Item number7 was considered independent of the Joint Consent Calendar.

7. Parcel Map No. 20643
Recommended Action:

It is recommended that the City Council adopt Resolution No. 2024-62 approving Parcel Map No. 20643 to create 2 par
cels from an existing 3.4 acres of land within the Regional Commercial (RC) zone of the Main Street and Freeway Corridor Specific Plan located on the north side of Main Street and approximately 200 feet west of Cataba Road (Applicant: Quick Quack Car Wash; Doug Livingston, APN:
3064-471-04).

Sponsors: Administrative Analyst Dena Alcayaga
Robert Davie commented on this item.

A motion was made by Gregg, seconded by Bennington, that item number 7 be approved. The motion carried b
y the following vote:

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City of Hesperia

Aye: 5 - Lee, Gregg, Bennington, Ochoa, and Pullen
Nay: 0

8. 2024 Permanent Water Rights Purchases
Recommended Action:

It is recommended that the Board of Directors of the Hesperia Water District receive and file this report regarding the ca
lendar year 2024 purchase of 65 acre-feet and 10 acre-feet of permanent Base Annual Production water rights in the Alto Subarea from Donna Polich and Paula McKinney respectively, as well as the transfer of Carryover rights from the same.

Sponsors: Director of Public Works/City Engineer Cassandra Sanchez

9. Final Tract Map No. 18989-2
Item number 9 was considered independent of the Joint Consent Calendar.

Recommended Action:

It is recommended that the City Council adopt Resolution No. 2024-60 approving Final Map No. 18989-2 being a subdiv
ision of the remainder parcels and lots “A” through “C”, inclusive of Tract Map 18989-1, creating 3 numbered lots and 4 lettered lots of the Tapestry Specific Plan. (Applicant: Silverwood Development Phase I, LLC).

Sponsors: Director of Public Works/City Engineer Cassandra Sanchez Bob Nelson commented on this item.

A motion was made by Bennington, seconded by Gregg, that item number 9 be approved. The motion carried b
y the following vote:

Aye: 4 - Lee, Gregg, Bennington, and Pullen
Nay: 0
Abstain: 1 - Ochoa
Item number 10 was considered independent of the Joint Consent Calendar

10. Final Tract Map No. 18955-2
Recommended Action:

It is recommended that the City Council adopt Resolution No. 2024-61 approving Final Map No. 18955-2 to create 32 res
idential lots on approximately 12.11 gross acres and accept right-of-way necessary to develop Tract 18989-2 Lot 2, Planning Area 1 of the Tapestry Specific Plan (Applicant: Silverwood Development Phase I, LLC).

Sponsors: Director of Public Works/City Engineer Cassandra Sanchez Bob Nelson commented on this item.

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City of Hesperia
A motion was made by Gregg, seconded by Lee, that item number 10 be approved. The motion carried by the following vote:

Aye: 5 - Lee, Gregg, Bennington, Ochoa, and Pullen
Nay: 0

11. American Rescue Plan Act (ARPA) Grant Service Line Replacement Project Recommended Action:

It is recommended that the City Council and Board of Directors of the Hesperia Water District authorize the Cit
y Manager to enter into an agreement with Big Ben Inc. for the replacement of water service lines in the not-to-exceed amount of $1,782,000, which includes a 10% contingency.

Sponsors: Director of Public Works/City Engineer Cassandra Sanchez

12. American Rescue Plan Act (ARPA) Grant - City Wide Sidewalk Repair Recommended Action:

It is recommended that the City Council authorize the City Manager to enter into an agreement with H L Hitchcock
Construction to repair or replace sidewalks in twenty-five (25) locations city-wide for a not-to-exceed amount of $182,061, which includes a 10% contingency.

Sponsors: Director of Public Works/City Engineer Cassandra Sanchez

13. American Rescue Plan Act (ARPA) Manhole Repair - Lid Replacement Project Recommended Action:

It is recommended that the City Council and Board of Directors of the Hesperia Water District authorize the Cit
y Manager to enter into an agreement with Creative Home/DBA:CHI Construction for the Manhole Repair - Lid Replacement project, for the bid amount of $1,312,500, plus a 10% contingency for a not-to-exceed total of $1,443,750.

Sponsors: Director of Public Works/City Engineer Cassandra Sanchez

14. American Rescue Plan Act (ARPA) Replace Roofing - Plants 5, 18, 24 & 25 Recommended Action:

It is recommended that the City Council and Board of Directors of the Hesperia Water District authorize the Cit
y Manager to enter into an agreement with Best Contracting Services, Inc. to repair or replace roofing at four Plant locations in the amount of $287,243 which includes a 10% contingency.

Sponsors: Director of Public Works/City Engineer Cassandra Sanchez

15. Construction Contract for Tank Coatings - Plant 23-R23/1, Plant 21-R21/1, Plant 22-R22/2 - ARPA Recommended Action:

It is recommended that the City Council and Board of Directors of the Hesperia Water District 1) award a construction c
ontract for the Tank Coatings - Plant 23-R23/1, Plant 21-R21/1, Plant 22-R22/2 project to the responsive and responsible bidder, Polytech Industrial Incorporated., for the bid amount of

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City of Hesperia
$2,790,660, add Alternate A for the amount of $20,000, plus a 10% contingency for a not-to-exceed total of $3,091,726; 2) approve the project as represented by the specifications; and 3) authorize the City Manager or designee to execute the contract and any other necessary documents related to the project.

Sponsors: Senior Project Manager Tina Souza

16. 2024 Edward Byrne Justice Assistance Grant (JAG)
Recommended Action:

It is recommended that the City Council adopt Resolution No. 2024-64, accepting the allocation of $36,200 from
the U.S. Department of Justice, for the purpose of partially funding operational overtime.

Sponsors: Hesperia Police Department Captain Jeremy Dean

CONSENT ORDINANCES

17. Development Code Amendment DCA24-00002; Applicant: City of Hesperia; Area affected: City-wide Recommended Action:

Place on second reading and adopt by title waiving the text of Ordinance No. 2024-13 approving Developm
ent Code Amendment DCA24-00002 modifying development standards associated with Accessory Dwelling Units (ADUs).

Sponsors: Principal Planner Ryan Leonard
A motion was made by Bennington, seconded by Lee, that item number 17 be approved. The motion carried by the following vote:

Aye: 5 - Lee, Gregg, Bennington, Ochoa, and Pullen
Nay: 0

COUNCIL COMMITTEE REPORTS AND COMMENTS
The Mayor, Mayor Pro Tem, and Council Members reported from various events and Committees.

CITY MANAGER/CITY ATTORNEY/STAFF REPORTS
The City Manager and City Attorney commented briefly.

ADJOURNMENT
The meeting was adjourned at 8:05 p.m.
_____________________________
Erin Baum,
Assistant City Clerk

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City of Hesperia

STAFF REPORT

DATE: December 17, 2024
TO: Mayor and Council Members
City Council, as Successor Agency to the Hesperia Community Redevelopment Agency
Chair and Commissioners, Hesperia Housing Authority
Chair and Commissioners, Community Development Commission Chair and Board Members, Hesperia Water District

FROM: Rachel Molina, City Manager
BY: Casey Brooksher, Assistant City Manager
Anne Duke, Deputy Finance Director
Verenise Fierros, Accountant

SUBJECT: Warrant Run Report (City – Successor Agency – Housing Authority – Community Development Commission – Water)

RECOMMENDED ACTION

It is recommended that the Council/Board ratify the warrant run and payroll report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing Authority, Community Development Commission, and Water District.

BACKGROUND

The Warrant Run totals represented below are for th e period November 2 , 2024 through November 15, 2024.

CITY GOAL SUPPORTED BY THIS ITEM

Financial Health – Maintain a balanced budget and adequate reserves.

ATTACHMENT(S)

1. Warrant Runs
Agency/District Accounts Payable Payroll Wires Totals
City of Hesperia $961,302.95 $325,526.96 $0.00 $1,286,829.91 Successor Agency 6,070.00 0.00 0.00 6,070.00
Housing Authority 0.00 361.05 0.00 361.05
Community Development Commission 0.00 0.00 0.00 0.00
Water 543,697.82 152,286.37 0.00 695,984.19
Totals $1,511,070.77 $478,174.38 $0.00 $1,989,245.15

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YEAR-TO PRIOR FY YTD

W/E W/E WARRANT DATE DATE
FUND # FUND NAME 11/8/2024 11/15/2024 TOTALS Wires TOTALS * TOTALS Accounts Payable
100 GENERAL 133,937.89$ 86,808.65$ 220,746.54$ -$ 15,038,298.76$ 12,265,423.05$ 105 PENSION OBLIGATION TRUST -$ -$ -$ -$ -$ -$ 106 OPEB TRUST -$ -$ -$ -$ -$ -$ 110 SILVERWOOD -$ 1,470.00$ 1,470.00$ -$ 11,154.16$ -$ 200 HESPERIA FIRE DISTRICT -$ -$ -$ -$ -$ -$ 204 MEASURE I - RENEWAL -$ -$ -$ -$ 13,687.41$ 435,916.14$ 207 LOCAL TRANSPORT-SB 325 -$ -$ -$ -$ -$ 967,882.81$ 209 GAS TAX-RMRA -$ -$ -$ -$ -$ -$ 210 HFPD (PERS) -$ -$ -$ -$ 1,755,819.00$ 907,316.00$ 241 CFD 2021-1 Resid Maint. & Serv -$ -$ -$ -$ 640.00$ -$ 242 CFD 2022-1 Non-Resd Maint & Serv -$ -$ -$ -$ 640.00$ -$ 243 CFD 2023-1 Silverwood Maint -$ -$ -$ -$ 640.00$ -$ 251 CDBG -$ -$ -$ -$ 2,668,922.09$ 239,828.54$ 254 AB2766 - TRANSIT -$ -$ -$ -$ -$ -$ 255 AB3229 SUPPLEMENTAL LAW -$ -$ -$ -$ -$ -$ 256 ENVIRONMENTAL PROGRAMS GRANT -$ 1,192.00$ 1,192.00$ -$ 20,614.51$ 15,744.18$ 262 SB 1383 LOCAL ASSISTANCE GRANT -$ -$ -$ -$ -$ -$ 263 STREETS MAINTENANCE 24,198.16$ 63,764.82$ 87,962.98$ -$ 751,373.52$ 929,571.20$ 300 DEV. IMPACT FEES - STREET -$ -$ -$ -$ 34,379.75$ 3,600.00$ 301 DEV. IMPACT FEES - STORM DRAIN 5,000.00$ 95,000.00$ 100,000.00$ -$ 105,000.00$ -$ 306 DEV. IMPACT FEES - 2018-STREETS -$ -$ -$ -$ 849,790.45$ 1,355,940.42$ 307 DIF 2018-DRAINAGE FACILITIES -$ 61,140.00$ 61,140.00$ -$ 61,140.00$ 313 DIF A-04 DRAINAGE -$ -$ -$ -$ 498.79$ 317,748.35$ 402 WATER RIGHTS ACQUISITION -$ -$ -$ -$ 1,664,308.80$ 1,217,911.69$ 403 2013 REFUNDING LEASE REV BONDS -$ -$ -$ -$ -$ 570,901.39$ 404 2023 REFUNDING LEASE REV BONDS -$ 2,500.00$ 2,500.00$ -$ 2,500.00$ -$ 504 CITY WIDE STREETS - CIP -$ -$ -$ -$ 2,603,732.05$ 4,410,420.58$ 509 CITY FACILITIES CIP -$ -$ -$ -$ -$ -$ 800 EMPLOYEE BENEFITS 143,767.27$ 332,933.44$ 476,700.71$ -$ 3,786,276.06$ 3,512,083.58$ 801 TRUST/AGENCY 8,715.72$ 875.00$ 9,590.72$ -$ 522,838.01$ 1,094,483.50$ 802 AD 91-1 AGENCY -$ -$ -$ -$ -$ -$ 804 TRUST-INTEREST BEARING -$ -$ -$ -$ 41,105.51$ 109,961.70$ 807 CFD 2005-1 -$ -$ -$ -$ 1,029,920.47$ 986,388.74$ 808 HFPD (TRANSITION) -$ -$ -$ -$ 317,435.02$ 347,796.19$ 815 PLAN REVIEW TRUST - FRONTIER -$ -$ -$ -$ -$ -$ CITY 315,619.04$ 645,683.91$ 961,302.95$ -$ 31,280,714.36$ 29,688,918.06$ 163 REDEVELOP OBLIG RETIREMENT-2018 -$ 6,070.00$ 6,070.00$ -$ 7,928,267.73$ 8,079,433.89$ SUCCESSOR AGENCY -$ 6,070.00$ 6,070.00$ -$ 7,928,267.73$ 8,079,433.89$ 370 HOUSING AUTHORITY -$ -$ -$ -$ 7,073.81$ 4,936.37$ HOUSING AUTHORITY -$ -$ -$ -$ 7,073.81$ 4,936.37$ 170 COMMUNITY DEVELOPMENT COMMISSION -$ -$ -$ -$ -$ -$ COMMUNITY DEVELOPMENT COMMISSION -$ -$ -$ -$ -$ -$ 700 WATER OPERATING 446,614.04$ 59,170.54$ 505,784.58$ -$ 4,889,882.11$ 4,672,314.52$ 705 WATER PENSION OBLIGATION TRUST -$ -$ -$ -$ 750,000.00$ -$ 701 WATER CAPITAL -$ -$ -$ -$ 16,473.00$ 313,800.00$ 710 SEWER OPERATING 32,409.02$ 3,341.05$ 35,750.07$ -$ 2,295,021.74$ 2,602,287.64$ 711 SEWER CAPITAL -$ 935.00$ 935.00$ -$ 1,068,562.44$ 525,100.10$ 720 RECLAIMED WATER OPERATIONS 256.83$ 971.34$ 1,228.17$ -$ 30,134.34$ 15,590.52$ WATER 479,279.89$ 64,417.93$ 543,697.82$ -$ 9,050,073.63$ 8,129,092.78$ ACCOUNTS PAYABLE TOTAL 794,898.93$ 716,171.84$ 1,511,070.77$ -$ 48,266,129.53$ 45,902,381.10$ -$
REG. PAYROLL

City 325,526.96$ -$ 325,526.96$ -$ 3,144,862.70$ 3,026,262.11$ Housing Authority 361.05$ -$ 361.05$ -$ 2,390.26$ 1,965.84$ Water 152,286.37$ -$ 152,286.37$ -$ 1,509,835.17$ 1,291,907.04$ PAYROLL TOTAL 478,174.38$ -$ 478,174.38$ -$ 4,657,088.13$ 4,320,134.99$ City of Hesperia

WARRANT RUNS
11/2/2024-11/15/2024

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City of Hesperia

STAFF REPORT

RECOMMENDED ACTION

It is recommended that the Council/Board accept the Treasurer’s Cash Report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing Authority, Community Development Commission, and Water District.

BACKGROUND

This report is presented to the City Council pursuant to Government Code Section 53646 (b) setting forth the City’s investment portfolio.

ISSUES/ANALYSIS

The Treasurer’s Cash Reports are presented on the following pages for each agency.

CITY GOAL SUPPORTED BY THIS ITEM

Financial Health – Maintain a balanced budget and adequate reserves.

FISCAL IMPACT

These reports reflect unaudited cash balances as of October 31, 2024.

ALTERNATIVE(S)

Provide alternative direction to staff.

ATTACHMENT(S)

1. City of Hesperia Investment Report

2. Successor Agency to the Hesperia Community Redevelopment Agency Investment Report

3. Hesperia Housing Authority Investment Report

4. Community Development Commission Investment Report

5. Hesperia Water District Investment Report
DATE: December 17, 2024
TO: Mayor and Council Members
City Council, Serving as Successor Agency to the Hesperia Community Redevelopment Agency
Chair and Commissioners, Hesperia Housing Authority
Chair and Commissioners, Community Development Commission Chair and Board Members, Hesperia Water District

FROM: Rachel Molina, City Manager

BY: Casey Brooksher, Assistant City Manager
Anne Duke, Deputy Finance Director
Jonathan Settle, Accountant

SUBJECT: Treasurer’s Cash Report for the unaudited period ended October 31, 2024.

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Staff Report to the Mayor and City Council/Board Members Treasurer’s Cash Report
December 17, 2024

FUND VALUE
General Fund (100 & 800) 21,942,088.59
Pension Obligation Trust (105) 80,699.98
OPEB Trust (106) -
Silverwood 22,582.54
HFPD (PERS) (210) 930,319.68
CFD 2021-1 Resid Maint & Serv 1,085.24
CFD 2022-1 Non-Resid Maint & Serv 1,085.24
CFD 2023-1 Silverwood Maint 1,269.52
AB27666 - Transit (254) 25,647.41
AB3229 Supplemental Law (255) 427,109.62
AD No. 91-1 (802) 399,644.19
Beverage Recycling Grant (256) 272,340.99
CFD 2005-1 (807) 924,245.77
HFPD Transition (808) -
City Wide-Capital Projects (504) (10,353,047.64)
Community Dev Block Grant (251, 252, & 253) 614,133.72
American Rescue Plan Grant (261) 25,049,571.21
SB 1383 Local Assistance Grant (262) 351,423.32
Development Impact Fund (300-304) 5,331,093.63
Development Impact Fund 2018 (306-312) 25,278,019.17
Development Impact Fund A-04 Drainage (313) 1,727,137.94 Disaster (260) 62,121.96
Gas Tax Fund (205) 2,169,326.89
Gas Tax - RMRA (209) 8,486,317.46
Gas Tax Swap (206) 1,689,724.80
Local Transportation SB325 (207) 1,706,080.04
Measure I - Renewal (204) 12,898,612.66
Public Works Street Maint (263) 835,339.59
Public Art (230) 261,914.97
Trust Fund (801, 803-806, & 815) 416,218.81
2012 Water Rights Acquisition (402) 122,137.98
2013 Refunding Lease Rev Bonds (403) -
2023 Refunding Lease Rev Bonds (404) 1,968,249.68
TOTAL CITY FUNDS 103,642,494.96$

CITY OF HESPERIA

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Staff Report to the Mayor and City Council/Board Members Treasurer’s Cash Report
December 17, 2024

FUND VALUE
RORF Retention - (163) 479,974.20$

SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY

FUND VALUE

Hesperia Housing Authority Fund (370) 4,340,143.54$
VVEDA Housing Authority (371) 1,964,928.18
TOTAL HOUSING AUTHORITY FUNDS 6,305,071.72$

HESPERIA HOUSING AUTHORITY

FUND VALUE

Community Development Commission Fund (170) 3,550,410.65$

COMMUNITY DEVELOPMENT COMMISSION

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Staff Report to the Mayor and City Council/Board Members Treasurer’s Cash Report
December 17, 2024

VALUE
Water Operating (700) 16,804,635.72$
Water Capital (701) 4,666,025.78
Water Capital Rehab and Replace (703) 3,641,725.78
Water Contamination Mitigation (704) 2,686,087.37
Water Pension Obilgation Trust (705) 11,007.22
Water OPEB Trust (706) -
Sewer Operating (710) 13,292,604.63
Sewer Capital (711) 1,409,924.77
Sewer Capital Rehab and Replace (713) 828,633.15
Reclaimed Water Operations (720) 331,381.82
TOTAL WATER FUNDS 43,672,026.24$
WATER
FUND

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City of Hesperia

STAFF REPORT

DATE: December 17, 2024
TO: Mayor and City Council Members
FROM: Rachel Molina, City Manager
BY: Casey Brooksher, Assistant City Manager
Keith Cheong, Senior Accountant
SUBJECT: Fiscal Year 2023-2024 Annual Compliance Report for AB 1600 Development Impact Fees

RECOMMENDED ACTION

It is recommended that the City Council receive and file the AB 1600 report on development fee activity that occurred during Fiscal Year (FY) 2023-2024.

BACKGROUND

State of California Assembly Bill 1600 (AB 1600) – the Mitigation Fee Act (Gov ernment Code, Sections 66000 et seq.) sets forth the standards governing fees charged to address the impacts of development. The City Council adopted and updated various development impact fees applicable to new development within the City. The purpose of development impact fees is to finance the design, construction , and acquisition of facilities and equipment necessary to accommodate future development.

ISSUES/ANALYSIS

Development impact fees that are collected are segregated and placed in special funds or accounts, which earn in terest. Those funds are held for the facilities for which the fees are collected, in accordance with Government Code Section 66006. This report provides a summary of development fee activity and financial detail regarding each of the projects impacted during FY 2023-24 (July 1, 20 23 through June 30, 202 4). The summary of development fee activity and detail regarding each project is included as Attachment 1 to this report.

Annual Compliance Reporting for all Development Impact Fees Government Code Section 66006(b) sets forth that for each Development Impact Fee (DIF) the City shall, within 180 days after the last day of each fiscal year, make available to the public the following information:
 A brief description of the type of fee in the account or fund.  The amount of the fee.
 The beginning and ending balance of the account or fund.  The amount of the fees collected and interest earned.  An identification of each public improvement on which fees were expended and the amount of expenditures on each improvement, including the total percentage of the cost of the public improvement that was funded with fees.

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Staff Report to the Mayor and City Council
Fiscal Year 2023-24 Annual Compliance Report for AB 1600 Development Impact Fees December 17, 2024

 An identification of an approximate date by which the construction of the public improvement will commence if the local agency determines that sufficient funds have been collected to complete financing on an incomplete public improvement.  A description of each interfund transfer or loan made from the account or fund, including the public improvement on which the transferred or loaned fees will be expended, and in the case of an interfund loan, the date on which the loan will be repaid and the rate of interest that the account or fund will receive on the loan.  The amount of refunds made due to sufficient funds being collected to complete financing on incomplete public improvements, and the amount of reallocation of funds made due to administrative costs of refunding unexpended revenues exceeding the amount to be refunded.

Stated below are the unaudited DIF Balances as of June 30, 2024.

Fund Fund Balance as
of 6/30/2024
Transportation Facilities 13,471,532
Citywide Drainage Facilities 6,943,057
A-04 Drainage Facilities 1,537,462
Fire Facilities 5,793,639
Police Facilities 64,161
Public and City Hall Facilities ($2,878,620)1
Animal Control Facilities 366,822
Records Storage Facilities 186,684
Note:

1. Includes accumulated debt related to loan from the General Fund which was made in order to cover the shortfall in the required 87.25% contribution from Impact Fees. The General Fund loan amount will increase annually until Impact Fees are sufficient to make the full

87.25% contribution.

The attached report provides a ll the required elements and details regarding balance, fees collected, and project expenditures. The purpose of the applicable legal requirements under the Mitigation Fee Act, as it applies to findings and compliance reporting, is to provide the community with information as to the status and use of impact fees collected. Additionally, every five years, Government Code Section 66001(d) requires the City to identify the purpose for the continued collection of the fee and the anticipated amount of impact f ees to be used towards future improvements. This five -year requirement was met with the Fiscal Years 2015 -16 through 2020-21 report approved by the City Council in January 2022. The next five -year report requirement will be included with the Fiscal Year 2025-26 report.

The Fiscal Year 202 3-2024 annual report presented meets the requirements per the Mitigation Fee Act.

In addition, per Section 66006(2), the City is required to review and accept the report not less than fifteen (15) days after the information has been made available to the public for review.

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Staff Report to the Mayor and City Council
Fiscal Year 2023-24 Annual Compliance Report for AB 1600 Development Impact Fees December 17, 2024

CITY GOAL SUPPORTED BY THIS ITEM

Financial Health – Maintain a balanced budget and adequate reserves.

FISCAL IMPACT

There is no fiscal impact. This report provides a summary of transaction activity that has already occurred and expenditures on projects previously authorized by the City Council.

ALTERNATIVE(S)

1. Provide alternative direction to staff.

ATTACHMENTS

1. Attachment 1 – AB 1600 Report

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Attachment 1

CITY OF HESPERIA

GOVERNMENT CODE SECTIONS 66001 AND 66006

ANNUAL REPORT
FISCAL YEAR 2023- 2024

City of Hesperia
9700 Seventh Avenue
Hesperia, CA 92345

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Table of Contents

SECTION PAGE
I EXECUTIVE SUMMARY ............................................................... 3 A Purpose of the Report .................................................................. 3 II FISCAL YEAR 2023-2024
ANNUAL REPORT ........................................................................ 5 A Transportation Facilities .............................................................. 5 B Citywide Drainage Facilities ........................................................ 7 C A-04 Drainage Facilities ............................................................... 8 D Fire Facilities ................................................................................ 10 E Police Facilities ........................................................................... 12 F Public and City Hall Facilities .................................................... 13 G Animal Control Facilities ........................................................... 15 H Records Storage Facilities ........................................................ 17

APPENDICES

APPENDIX A TRANSPORTATION FACILITIES FEE

FINANCIAL SUMMARY REPORT

APPENDIX B CITYWIDE DRAINAGE FACILITIES FEE

FINANCIAL SUMMARY REPORT
APPENDIX C A-04 DRAINAGE FACILITIES FEE

FINANCIAL SUMMARY REPORT

APPENDIX D FIRE FACILITIES FEE FINANCIAL

SUMMARY REPORT

APPENDIX E POLICE FACILITIES FEE FINANCIAL

SUMMARY REPORT

APPENDIX F PUBLIC AND CITY HALL FACILITIES FEE

FINANCIAL SUMMARY REPORT

APPENDIX G ANIMAL CONTROL FACILITIES FEE

FINANCIAL SUMMARY REPORT

APPENDIX H RECORDS STORAGE FACILITIES FEE

FINANCIAL SUMMARY REPORT

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SECTION I EXECUTIVE SUMMARY
City of Hesperia
AB 1600 Annual Report
3 I EXECUTIVE SUMMARY
A Purpose of the Report
Sections 66001 and 66006 of the Government Code provide that the City of Hesperia ("City") shall make available to the public certain information and adopt described findings relative to development impact fees ("Impact Fees") collected pursuant to Section 66000 et seq. of the Government Code. The described information and findings relate to Impact Fees received, expended or to be expended in connection with public facilities to accommodate new development.

Section 66006(b) of the Government Code requires that for each Impact Fee the City shall, within 180 days after the last day of each Fiscal Year, make available to the public the following information for the Fiscal Year:
 A brief description of the type of fee in the account or fund; The amount of the fee;  The beginning and ending fund balance of the account or fund; The amount of the fees collected and interest earned;
 An identification of each public improvement on which fees were expended and the amount of expenditures on each improvement, including the total percentage of the cost of the public improvement that was funded with fees;
 An identification of an approximate date by which the construction of the public improvement will commence if the local agency determines that sufficient funds have been collected to complete financing on an incomplete public improvement;

 A description of each interfund transfer or loan made from the account or fund, including the public improvement on which the transferred or loaned fees will be expended, and, in the case of an interfund loan, the date on which the loan will be repaid and the rate of interest that the account or fund will receive on the loan; and  The amount of refunds made due to sufficient funds being collected to complete financing on incomplete public improvements and volume of reallocation of funds made due to administrative costs of refunding unexpended revenues exceeding the amount to be refunded.

Section 66001(d) of the Government Code requires that for each Impact Fee, the City shall make all of the following findings every fifth year with respect to that portion of the account remaining unexpended, whether committed or uncommitted:
 Identify the purpose to which the fee is to be put;
 Demonstrate a reasonable relationship between the fee and purpose for which it is charged.
 Identify all sources and amounts of funding anticipated to complete financing in incomplete improvements; and
 Designate the approximate dates on which the funding is expected to be deposited into the appropriate account or fund.

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SECTION I EXECUTIVE SUMMARY
City of Hesperia
AB 1600 Annual Report
4 The five-year report was provided (January 2022) as part of the Fiscal Years 2015- 2016 through 2020-2021 reports. Subsequently, the annual reports for FY 2021-22 and FY 2022- 23 were provided and made available to the public.

The Impact Fees of the City for Fiscal Year 2023-2024 fund the following types of facilities:

A. Transportation Facilities;
B. Citywide Drainage Facilities;
C. A- 04 Drainage Facilities;
D. Fire Facilities;
E. Police Facilities;
F. Public and City Hall Facilities;
G. Animal Control Facilities; and
H. Records Storage Facilities.

The Impact Fees were originally adopted by Ordinance No. 180 on September 16, 1993 (the “Ordinance”). The dollar amounts of the fees are adopted by resolution. The Impact Fees were previously updated by Resolution Nos. 2018-26 and 2020-69 on May 15, 2018, and November 17, 2020, respectively. The Impact Fees were last updated by Resolution No. 2022-01 on April 2, 2022.

The following Annual Report for Fiscal Year 2023-2024 includes the information and proposed findings the City intends to review and adopt in accordance with Sections 66001 of the Government Code.

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
5 II FISCAL YEAR 2023-2024 ANNUAL REPORT
A. Transportation Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

Transportation Facilities includes infrastructure necessary to provide safe and efficient vehicular access throughout the City. In order to meet the transportation demand of new development through build out, the City identified the need for new roadways and transit facility.

2. Amount of the Impact Fees.

Table II-1: Transportation Facilities Fee by Land Use for Projects Submitted Prior to July 16, 2018 (Fund 300)

Land Use Fee Amount
Single Family $9,781.00 per unit
Multi-Family $6,259.00 per unit
Hotel/Motel $7,238.00 per unit
Non-Residential $2.12 per sq. ft.

Table II-2: Transportation Facilities Fee by Land Use for Projects Submitted After July 16, 2018 (Fund 306)

Land Use Fee Amount
Single Family $9,952.00 per unit
Multi-Family $6,895.00 per unit
Commercial/Office/Retail $6,000.00 per 1,000 bldg. sq. ft.

Industrial $1,500.00 per 1,000 bldg. sq. ft.

Hotel/Motel $7,001.00 per room

Table II-3: Transportation Facilities Fee by Land Use for Projects Submitted After April 2, 2022 (Fund 306)

Land Use Fee Amount
Single Family $12,371.00 per unit
Multi-Family $8,667.00 per unit
Commercial/Office/Retail $6,000.00 per 1,000 bldg. sq. ft.

Industrial $2,703.00 per 1,000 bldg. sq. ft.

Hotel/Motel $11,971.00 per room

3. Beginning and ending fund balance of account and sub-account(s).

Tables 1 and 2 in Appendix A list the beginning and ending fund balances for the Transportation Facilities Fee Accounts from Fiscal Year 2019-2020 through Fiscal Year 2023-2024.

4. Amount of the Impact Fees collected and interest earned.

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
6 Tables 1 and 2 in Appendix A show the amount of Transportation Facilities Fee collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through 2023-2024.

5. Identification of each improvement on which Impact Fees were expended and the amount of the expenditures on each improvement, including the total percentage of the cost of each project of the City that was funded with Impact Fees.

Table II-4: Fiscal Year 2023-2024 Transportation Facilities Fee Expenditures Percentage of
Project Funded
by Fees Project Amount
Ranchero Road Improvements $1,820,590 10%
Total $1,820,590 10%

6. Identification of an approximate date by which the construction of project(s) of the City will commence if the City determines that sufficient funds have been collected to
complete financing on an incomplete project of the City, as identified in paragraph (2) of subdivision (A) of Section 66001, and the project of the City remains incomplete.

Table II-5: Fiscal Year 2023-2024 Transportation Facilities Incomplete Projects with Sufficient Funding

The City has determined that it has or will obtain sufficient funds to finance such projects.

7. Description of each interfund transfer or loan made from the account or sub- account(s), including project(s) of the City on which the transferred or loaned Impact Fees will be expended, and, in the case of an interfund loan, the date on which the loan will be repaid, and the rate of Interest that the account or sub-account(s) will receive on the loan.

No transfers or loans were made from the Transportation Facilities Fee Accounts in Fiscal Year 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the Transportation Facilities Fee Accounts in Fiscal Year 2023-2024.

ESTIMATED ESTIMATED EST IMATED AMOUNT TO BE

CONSTRUCTION CONSTRUCTION TO TAL FUNDED BY

START COMPLETION COS T IMPACT FEES
Ranchero Rd Improve-Mariposa 2021-2022 2024-2025 37, 289,206 7,188,210 Ranchero Road Aqueduct Crossing 2024-2025 TBD 16,362,000 7,219,740 Traffic Signal @ Ranchero/Seventh 2021-2022 2023-2024 450,000 175,040 Ranchero Rd Street Improve-Danbury to I TBD TBD 11,740,000 11,160,000

PROJECT

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
7 B. Citywide Drainage Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

The Citywide Drainage Facilities will serve the residents of Hesperia by providing new drainage systems and improvements to existing drainage facilities in order to mitigate the impacts of new development on the existing drainage facilities. The drainage facilities to be financed include components for new detention basins, storm drain systems, street crossings, and flood control basins.

2. Amount of the Impact Fees.

Table II-6: Citywide Drainage Facilities Fee by Land Use for Projects Submitted Prior to July 16, 2018 (Fund 301) Land Use Fee Amount
Single Family $1,284.00 per unit
Multi-Family $821.00 per unit
Hotel/Motel $937.00 per unit
Non-Residential $0.28 per sq. ft.

Table II-7: Citywide Drainage Facilities Fee by Land Use for Projects Submitted After July 16, 2018 (Fund 307)
Land Use Fee Amount
Single Family $963.00 per unit
Multi-Family $367.00 per unit
Commercial/Office/Retail $300.00 per 1,000 bldg. sq. ft.

Industrial $632.00 per 1,000 bldg. sq. ft.

Hotel/Motel $213.00 per room

Table II-8: Citywide Drainage Facilities Fee by Land Use for Projects Submitted After April 2, 2022 (Fund 307)
Land Use Fee Amount
Single Family $1,387.00 per unit
Multi-Family $529.00 per unit
Commercial/Office/Retail $300.00 per 1,000 bldg. sq. ft.

Industrial $910.00 per 1,000 bldg. sq. ft.

Hotel/Motel $306.00 per room

3. Beginning and ending fund balance of account and sub-account(s).

Tables 1 and 2 in Appendix B list the beginning and ending fund balances for the Citywide Drainage Facilities Fee Accounts from Fiscal Year 2019-2020 through Fiscal Year 2023-2024.

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
8 4. Amount of the Impact Fees collected and interest earned.

Tables 1 and 2 in Appendix B show the amount of Citywide Drainage Facilities Fees collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through 2023-2024.

No projects were funded by the Citywide Drainage Facilities Fees in Fiscal Year 2023-2024.

6. Identification of an approximate date by which the construction of project(s) of the City will commence if the City determines that sufficient funds have been collected to complete financing on an incomplete project of the City, as identified in paragraph (2) of subdivision (A) of Section 66001, and the project of the City remains incomplete.

Table II-9: Fiscal Year 2023-2024 Citywide Drainage Facilities Incomplete Projects with Sufficient Funding

The City has determined that it has or will obtain sufficient funds to finance such projects.

No transfers or loans were made from the Citywide Drainage Facilities Fee Accounts in Fiscal Year 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the Citywide Drainage Facilities Fee Accounts in Fiscal Year 2023-2024.

C. A-04 Drainage Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

The A-04 Drainage Facilities will serve the residents of Hesperia by providing new drainage systems and improvements to existing drainage facilities in the area

ESTIMATED ESTIMATED ESTIMATED AMOUNT TO BE

CONSTRUCTION CONSTRUCTION TOTAL FUNDED BY

START COMPLETION COST IMPACT FEES
TBD TBD 3,900,000 3,900,000
2024-2025 TBD 1,894,659 1,144,659

PROJECT
Temecula Avenue-C-01 Retention Basin
Walnut Street H-01 Retention Basin

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
9 identified by the City as the A-04 drainage area in order to mitigate the impacts of new development on the existing drainage facilities. The A-04 drainage facilities to be financed include components for new detention basins, storm drain systems, street crossings, and flood control basins.

In 2020, projected development within the A-04 drainage area caused the City to look specifically at the demographics and facility costs within the A-04 drainage area for the purpose of considering an Impact Fee specific to this area. As a result, improvements relating to the A-04 drainage area were removed from the Citywide needs list and an Impact Fee specific to the A-04 drainage area was adopted. Projects within the A-04 drainage area are still subject to Citywide Impact Fees.

2. Amount of the Impact Fees.

Table II-10: A-04 Drainage Facilities Fee by Land Use (Fund 313)

Land Use Fee Amount
Single Family $10,539.11 per unit
Multi-Family $5,018.63 per unit
Non-Residential $2,462.65 per 1,000 bldg. sq. ft.

3. Beginning and ending fund balance of account and sub-account(s).

Table 1 in Appendix C lists the beginning and ending fund balances for the A -04 Drainage Facilities Fee Accounts from Fiscal Year 2019 -2020 through Fiscal Year 2023-2024.

4. Amount of the Impact Fees collected and interest earned.

Table 1 in Appendix C shows the amount of A -04 Drainage Facilities Fees collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through 2023-2024.

Table II-11: Fiscal Year 2023-2024 A-04 Drainage Facilities Fee Expenditures

6. Identification of an approximate date by which the construction of project(s) of the City will commence if the City determines that sufficient funds have been collected to complete financing on an incomplete project of the City, as identified in paragraph (2) of subdivision (A) of Section 66001, and the project of the City remains incomplete.

The City has determined that no projects currently have sufficient funds to finance construction.

ESTIMATED ESTIMATED ESTIMATED AMOUNT TO BE

CONSTRUCTION CONSTRUCTION TOTAL FUNDED BY

START COMPLETION COST IMPACT FEES
TBD TBD $1,619,871 1,619,871

PROJECT
A-04 Drainage Program

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
10 7. Description of each interfund transfer or loan made from the account or sub- account(s), including project(s) of the City on which the transferred or loaned Impact Fees will be expended, and, in the case of an interfund loan, the date on which the loan will be repaid, and the rate of Interest that the account or sub-account(s) will receive on the loan.

No transfers or loans were made from the A -04 Drainage Facilities Fee Accounts in Fiscal Year 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the A-04 Drainage Facilities Fee Accounts in Fiscal Year 2023-2024.

D. Fire Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

The Fire Facilities includes those facilities used by the City to protect life and property.

The City identifies the need for additional fire protection facilities as build out of the community occurs. In order to serve new development through build out in Hesperia, the City identified the need for one new fire station and expansion of existing fire stations.

2. Amount of the Impact Fees.

Table II-12: Fire Facilities Fee by Land Use for Projects Submitted Prior to July 16, 2018 (Fund 302)

Land Use Fee Amount
Single Family $1,425.00 per unit
Multi-Family $912.00 per unit
Hotel/Motel $1,054.00 per unit
Non-Residential $0.31 per sq. ft.

Table II-13: Fire Facilities Fee by Land Use for Projects Submitted After July 16, 2018 (Fund 308)

Land Use Fee Amount
Single Family $648.00 per unit
Multi-Family $491.00 per unit
Commercial/Office/Retail $187.00 per 1,000 bldg. sq. ft.

Industrial $908.00 per 1,000 bldg. sq. ft.

Hotel/Motel $88.00 per room

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
11 Table II-14: Fire Facilities Fee by Land Use for Projects Submitted After April 2, 2022 (Fund 308)

Land Use Fee Amount
Single Family $648.00 per unit
Multi-Family $491.00 per unit
Commercial/Office/Retail $187.00 per 1,000 bldg. sq. ft.

Industrial $908.00 per 1,000 bldg. sq. ft.

Hotel/Motel $437.00 per room

3. Beginning and ending fund balance of account and sub-account(s).

Tables 1 and 2 in Appendix D list the beginning and ending fund balances for the Fire Facilities Fee Accounts from Fiscal Year 2019-2020 through Fiscal Year 2023- 2024.

4. Amount of the Impact Fees collected and interest earned.

Tables 1 and 2 in Appendix D show the amount of Fire Facilities Fees collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through 2023-2024.

No projects were funded by the Fire Facilities Fees in Fiscal Year 2023-2024.

The City has determined that no projects currently have sufficient funds to finance construction.

No transfers or loans were made from the Fire Facilities Fee Accounts in Fiscal Year 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the Fire Facilities Fee Accounts in Fiscal Year 2023-2024.

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SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
12 E. Police Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

The Police Facilities includes those facilities used by the City. In order to serve new development through build out, the City identified the need for additional equipment, specifically fixed and mobile police cameras.

2. Amount of the Impact Fees.

Table II-15: Police Facilities Fee by Land Use for Projects Submitted Prior to July 16, 2018 (Fund 303)

Land Use Fee Amount
Single Family $423.00 per unit
Multi-Family $272.00 per unit
Hotel/Motel $313.00 per unit
Non-Residential $0.09 per sq. ft.

Table II-16: Police Facilities Fee by Land Use for Projects Submitted After July 16, 2018 (Fund 312)

Land Use Fee Amount
Single Family $10.00 per unit
Multi-Family $8.00 per unit
Commercial/Office/Retail $4.00 per 1,000 bldg. sq. ft.

Industrial $16.00 per 1,000 bldg. sq. ft.

Hotel/Motel $2.00 per room

Table II-17: Police Facilities Fee by Land Use for Projects Submitted After April 2, 2022 (Fund 312)

Land Use Fee Amount
Single Family $10.00 per unit
Multi-Family $8.00 per unit
Commercial/Office/Retail $4.00 per 1,000 bldg. sq. ft.

Industrial $16.00 per 1,000 bldg. sq. ft.

Hotel/Motel $8.00 per room

3. Beginning and ending fund balance of account and sub-account(s).

Tables 1 and 2 in Appendix E list the beginning and ending fund balances for the Police Facilities Fee Accounts from Fiscal Year 2019-2020 through Fiscal Year 2023-2024.

4. Amount of the Impact Fees collected and interest earned.

Tables 1 and 2 in Appendix E show the amount of Policies Facilities Fees collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through

Page 41 ends

SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
13 2023-2024.

No projects were funded by the Police Facilities Fees in Fiscal Year 2023-2024.

6. Identification of an approximate date by which the construction of project(s) of the City will commence if the City determines that sufficient funds have been collected to complete financing on an incomplete project of the City, as identified in paragraph (2) of subdivision (A) of Section 66001, and the project of the City remains incomplete.

The City has determined that no projects currently have sufficient funds to finance construction.

No transfers or loans were made from the Police Facilities Fee Accounts in Fiscal Years 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the Police Facilities Fee Accounts in Fiscal Years 2023-2024.

F. Public and City Hall Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

The Public and City Hall Facilities includes those facilities used by the City to provide a range of administrative duties and public services, exclusive of public safety.

2. Amount of the Impact Fees.

Table II-19: Public Facilities Fee by Land Use for Projects Submitted Prior to July 16, 2018 (Fund 304)

Land Use Fee Amount
Single Family $1,109.00 per unit
Multi-Family $710.00 per unit
Hotel/Motel $810.00 per unit
Non-Residential $0.24 per sq. ft.

Page 42 ends

SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
14 Table II-20: City Hall Facilities Fee by Land Use for Projects Submitted After July 16, 2018 (Fund 309)

Land Use Fee Amount
Single Family $530.00 per unit
Multi-Family $424.00 per unit
Commercial/Office/Retail $194.00 per 1,000 bldg. sq. ft.

Industrial $837.00 per 1,000 bldg. sq. ft.

Hotel/Motel $81.00 per room

Table II-21: City Hall Facilities Fee by Land Use for Projects Submitted After April 2, 2022 (Fund 309)

Land Use Fee Amount
Single Family $546.00 per unit
Multi-Family $424.00 per unit
Commercial/Office/Retail $194.00 per 1,000 bldg. sq. ft.

Industrial $856.00 per 1,000 bldg. sq. ft.

Hotel/Motel $412.00 per room

3. Beginning and ending fund balance of account and sub-account(s).

Tables 1 and 2 in Appendix F list the beginning and ending fund balances for the Public and City Hall Facilities Fee Accounts from Fiscal Year 2019-2020 through Fiscal Year 2023-2024.

4. Amount of the Impact Fees collected and interest earned.

Tables 1 and 2 in Appendix F show the amount of Public and City Hall Facilities Fees collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through 2023-2024.

Table II-22: Fiscal Year 2023-2024 Public and City Hall Facilities Fee Expenditures

Project

Amount
Percentage of
Project Funded
by Fees
General Fund Loan Interest Payments 1 $171,524 100%
Total $171,524 N/A
Note:

1. In October 2013, the Hesperia Joint Public Finance Authority issued the 2013 Refunding Lease Revenue Bonds to refinance the previous 2005 Civic Plaza Certificates of Participation. As with the prior 2005 Certificates of Participation, Impact Fees would continue to fund 87.25% of the annual debt service, with the General Fund contributing the remaining 12.75%. The bonds interest rates are fixed, ranging from 2.00% to 5.00%. The original principal amount

Page 43 ends

SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
15 was $12,445,000. As of June 30, 2023, the outstanding principal balance was $9,610,000. Beginning in Fiscal Year 2014-2015, Impact Fees were insufficient to fully fund the 87.25% contribution. As a result, a loan from the General Fund was issued so that the required contribution for the annual bond debt service payment could be made. The loan amount will increase annually until Impact Fees are sufficient to make the full 87.25% contribution and includes interest calculated at the Local Agency Investment Fund (LAIF) rate. During FY 2023-24, the bonds were refinanced in order to take advantage of interest rate savings, achieving a net present value savings of $674,109. As of 6/30/204, the balance of the General Fund Loan to City Hall Facilities DIF is $4,173,324.

6. Identification of an approximate date by which the construction of project(s) of the City will commence if the City determines that sufficient funds have been collected to complete financing on an incomplete project of the City, as identified in paragraph (2) of subdivision (A) of Section 66001, and the project of the City remains incomplete.

The City has determined that no projects currently have sufficient funds to finance construction.

Table II -23: Fiscal Year 2023-2024 Public and City Hall Facilities Interfund Transfers
Description of Project for which
Interfund Transfer will be Used
Funds(s) from
Which Fees were
Transferred
Fund(s) to Which
Fees were
Transferred
Total Amount
Transferred
2013 Bonds Debt Service
Payments
Fund 309 Debt Service
Funds 403 and 404
$786,515
Total N/A N/A $785,518
No loans were made from the Public and City Hall Facilities Fee Accounts in Fiscal Year 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the Public and City Hall Facilities Fee Accounts in Fiscal Year 2023-2024.

G. Animal Control Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

The Animal Control Facilities includes those facilities used by the City to provide basic animal control services. In order to serve new development through build out in Hesperia, the City identified the need for a new animal control facility.

Page 44 ends

SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
16 2. Amount of the Impact Fees.

Table II-24: Animal Control Facilities Fee by Land Use Submitted Prior to April 2, 2022 (Fund 310)

Land Use Fee Amount
Single Family $223.00 per unit
Multi-Family $176.00 per unit
Commercial/Office/Retail $0.00 per 1,000 bldg. sq. ft.

Industrial $0.00 per 1,000 bldg. sq. ft.

Hotel/Motel $0.00 per room

Table II-25: Animal Control Facilities Fee by Land Use Submitted After April 2, 2022 (Fund 310)

Land Use Fee Amount
Single Family $227.00 per unit
Multi-Family $176.00 per unit
Commercial/Office/Retail $0.00 per 1,000 bldg. sq. ft.

Industrial $0.00 per 1,000 bldg. sq. ft.

Hotel/Motel $0.00 per room

3. Beginning and ending fund balance of account and sub-account(s).

Table 1 in Appendix G lists the beginning and ending fund balances for the Animal Control Facilities Fee Account from Fiscal Year 2019-2020 through Fiscal Year 2023-2024.

4. Amount of the Impact Fees collected and interest earned.

Table 1 in Appendix G shows the amount of Animal Control Facilities Fees collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through 2023-2024.

No projects were funded by the Animal Control Facilities Fees in Fiscal Year 2023-2024.

6. Identification of an approximate date by which the construction of project(s) of the City will commence if the City determines that sufficient funds have been collected to complete financing on an incomplete project of the City, as identified in paragraph (2) of subdivision (A) of Section 66001, and the project of the City remains incomplete.

The City has determined that no projects currently have sufficient funds to finance construction.

Page 45 ends

SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
17 7. Description of each interfund transfer or loan made from the account or sub- account(s), including project(s) of the City on which the transferred or loaned Impact Fees will be expended, and, in the case of an interfund loan, the date on which the loan will be repaid, and the rate of Interest that the account or sub- account(s) will receive on the loan.

No transfers or loans were made from the Animal Control Facilities Fee Account in Fiscal Year 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the Animal Control Facilities Fee Account in Fiscal Year 2023-2024.

H. Records Storage Facilities

1. Description of the type of Impact Fees in the account or sub-account(s) of the City.

The Records Storage Facilities includes those facilities used by the City to provide additional storage services. In order to serve new development through build out in Hesperia, the City identified the need for a new records storage facility.

2. Amount of the Impact Fees.

Table II-26: Records Storage Facilities Fee by Land Use Submitted Prior to April 2, 2022 (Fund 311)

Land Use Fee Amount
Single Family $26.00 per unit
Multi-Family $20.00 per unit
Commercial/Office/Retail $9.00 per 1,000 bldg. sq. ft.

Industrial $41.00 per 1,000 bldg. sq. ft.

Hotel/Motel $4.00 per room

Table II-27: Records Storage Facilities Fee by Land Use Submitted After April 2, 2022 (Fund 311)

Land Use Fee Amount
Single Family $26.00 per unit
Multi-Family $20.00 per unit
Commercial/Office/Retail $9.00 per 1,000 bldg. sq. ft.

Industrial $41.00 per 1,000 bldg. sq. ft.

Hotel/Motel $20.00 per room

3. Beginning and ending fund balance of account and sub-account(s).

Table 1 in Appendix H lists the beginning and ending fund balances for the Records Storage Facilities Fee Account from Fiscal Year 2019-2020 through Fiscal Year

Page 46 ends

SECTION II FISCAL YEAR 2023-2024 ANNUAL REPORT
City of Hesperia
AB 1600 Annual Report
18 2023-2024.

4. Amount of the Impact Fees collected and interest earned.

Table 1 in Appendix H shows the amount of Records Storage Facilities Fees collected, interest earned, and miscellaneous income during Fiscal Years 2019-2020 through 2023-2024.

No projects were funded by the Records Storage Facilities Fees in Fiscal Year 2023-2024.

6. Identification of an approximate date by which the construction of project(s) of the City will commence if the City determines that sufficient funds have been collected to complete financing on an incomplete project of the City, as identified in paragraph (2) of subdivision (A) of Section 66001, and the project of the City remains incomplete.

The City has determined that no projects currently have sufficient funds to finance construction.

No transfers or loans were made from the Records Storage Facilities Fee Account in Fiscal Year 2023-2024.

8. The amount of refunds made or revenues allocated for other purposes if the administrative costs of refunding unexpended revenues exceed the amount to be refunded.

No refunds were made from the Records Storage Facilities Fee Account in Fiscal Year 2023-2024.

Page 47 ends

APPENDIX A
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

TRANSPORTATION

FACILITIES FEE

FINANCIAL SUMMARY
REPORT

Page 48 ends

APPENDIX A
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEAR 2023-2024

TRANSPORTATION FACILITIES

LAST FIVE FISCAL YEARS
Table 1: Transportation Facilities Transaction Detail (Fund 300)

[2]
[1]

[3]
[2]

[1] Includes the return of the Army Corps of Engineers habitat deposit of $350,000 in FY 2019-2020 related to the completion of the Ranchero Road Interchange project. [2] The City sold two parcels of land for $7,144,000 and established an agreement with the buyer to retain $2,644,000 in escrow until the completion of the City’s Sewer Lift Station Project. Once the project is completed, the funds will be remitted to City.
[3] The City entered into an agreement with SBCTA for the construction and financing of the Ranchero Road Interchange. The original principal was $18 ,762,403. As of June 30,2023, the outstanding principle balance was $0.

Table 2: Transportation Facilities Transaction Detail (Fund 306)

Page A-1

FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $790,110 $4,092, 581 $6,622,490 $8,381,128 $6,785,985 $790,110 Sources of Funds
Fee Revenues $3,264,329 $2,504,287 $5,066,812 $8,834,355 $7,532,914 $27,202,697 Interest Income $38,142 $25,622 ($81,642) $177,282 $478,140 $637,544 Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $3,302,471 $2,529,909 $4,985,170 $9,011,637 $8,011,054 $27,840,241 Uses of Funds
Capital Improvement Projects $0 $0 (1,309,578) (4,337,551) (1,750,416) (7,397,545) Capital Outlay-Land $0 $0 $0 $0 ($12,034) (12,034)
Loan Interest Expense $0 $0 (40,714) (248,901) $0 (289,615) Loan Principal Payment $0 $0 (1,876,240) (6,020,328) $0 (7,896,568) Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 $0 (3,226,532) (10,606,780) (1,762,450) (15,595,762) Ending Balance (6/30) $4,092,581 $6,622,490 $8,381,128 $6,785,985 $13,034,589 $13,034,589

FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $12,288,836 $10,710,591 $8,212,475 $8,195,238 $424,108 $12,288,836 Sources of Funds
Fee Revenues $379,945 $212,399 $12,885 $146,971 $0 $752,200 Interest Income $75,413 $12,119 ($9,413) $20,633 $70,354 $169,106 Proceeds from Land Sale $0 $0 $0 $4,484,430 $0 $4,484,430 Other Income $350,000 $0 $3,367 $401 $621 $354,389
Total Sources of Funds $805,358 $224,518 $6,839 $4,652,435 $70,975 $5,760,125 Uses of Funds
Capital Improvement Projects (91,119) (659,896) (24,076) (41,535) (58,140) (874,766) Loan Interest Expense (416,244) (186,498) $0 $0 $0 (602,742) Loan Principal Payment (1,876,240) (1,876,240) $0 ($5,237,114) $0 (8,989,594) Property Disposition Cost $0 $0 $0 ($7,144,916) $0 (7,144,916) Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds (2,383,603) (2,722,634) (24,076) (12,423,565) ($58,140) (17,612,018) Ending Balance (6/30) $10,710,591 $8,212,475 $8,195,238 $424,108 $436,943 $436,943

Page 49 ends

APPENDIX B
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

CITYWIDE DRAINAGE

FACILITIES FEE

FINANCIAL SUMMARY
REPORT

Page 50 ends

APPENDIX B
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEAR 2023-2024

CITYWIDE DRAINAGE FACILITIES

LAST FIVE FISCAL YEARS
Table 1: Citywide Drainage Facilities Transaction Detail (Fund 301)

[1]

[1] Includes a $18,115 reimbursement in FY 2020-2021 from a developer for Southern California Edison license fees paid by the City and $183 in property tax refunds for land purchases.

Table 2: Citywide Drainage Facilities Transaction Detail (Fund 307)

Page B-1

FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $3,185,411 $3,058,712 $3,047,930 $3,054,478 $3,132,740 $3,185,411 Sources of Funds
Fee Revenues $48,619 $29,708 $1,702 $19,411 $0 $99,440
Interest Income $55,206 $14,649 ($26,709) $58,851 $152,212 $254,209 Other Income $0 $18,280 $31,555 $0 $0 $49,835
Total Sources of Funds $103,825 $62,637 $6,548 $78,262 $152,212 $403,484 Uses of Funds
Capital Improvement Projects (230,524) (73,419) $0 $0 $0 (303,943) Capital Outlay $0 $0 $0 $0 $0 $0
Contract Services $0 $0 $0 $0 $0 $0
Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds (230,524) (73,419) - - - (303,943) Ending Balance (6/30) $3,058,712 $3,047,930 $3,054,478 $3,132,740 $3,284,952 $3,284,952

FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $76,152 $337,065 $555, 240 $1,484,416 $2,549,212 $76,152 Sources of Funds
Fee Revenues $257,608 $216,074 $943,081 $1,040,955 $959,712 $3,417,430 Interest Income $3,305 $2,101 ($13,905) $23,841 $149,181 $164,523 Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $260,913 $218,175 $929,176 $1,064,796 $1,108,893 $3,581,953 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 $0 $0 $0 $0 $0
Ending Balance (6/30) $337,065 $555,240 $1,484,416 $2,549,212 $3,658,105 $3,658,105

Page 51 ends

APPENDIX C
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

A-04 DRAINAGE

FACILITIES FEE

FINANCIAL SUMMARY
REPORT

Page 52 ends

Page C-1

APPENDIX C
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEAR 2023-2024
A-04 DRAINAGE FACILITIES

LAST FIVE FISCAL YEARS
Table 1: A-04 Drainage Facilities Transaction Detail (Fund 313)

[1]

[1] A developer with plans to build residential properties within the City secured a tax -exempt bond through a Statewide Community Infrastructure Program (SCIP) in which the developer and City both participated, but for which the City has no repayment obligation in any form. The bonds were issued to finance development impact fees due from the developer of the project to the City. As a result of the bond issue which closed during Fiscal Year 2021-2022, $959,049 in development impact fees received during Fiscal Year 2020- 2021 were subsequently required to be transferred to the bond trustee in Fiscal Year 2021-2022; therefore, deferred revenue was recorded as of 6/30/2021. Draws against bond proceeds will begin as progress is made on capital improvements within the A -04 drainage area.

FISCAL YEAR FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $0 $0 $948,688 $57, 926 $823,569 $0 Sources of Funds
Fee Revenues $0 $0 $73,780 $769,356 $1,537,666 $2,380,802 Interest Income $0 $1,076 ($78) $2,557 $49,282 $52,837
Other Income $0 $959,049 $0 $0 $0 $959,049
Total Sources of Funds $0 $960,125 $73,702 $771,913 $1,586,948 $3,392,688 Uses of Funds
Capital Improvement Projects $0 ($11,437) ($5,415) ($6,270) (2,700) ($25,822) Capital Outlay-Land $0 $0 $0 $0 ($870,355) ($870,355)
Other Uses of Funds $0 $0 ($959,049) $0 $0 ($959,049)
Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 ($11,437) ($964,464) ($6,270) ($873,055) ($1,855,226) Ending Balance (6/30) $0 $948,688 $57,926 $823,569 $1,537,462 $1,537,462

Page 53 ends

APPENDIX D
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

FIRE FACILITIES FEE

FINANCIAL SUMMARY
REPORT

Page 54 ends

Page D-1

APPENDIX D
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEAR 2023-2024

FIRE FACILITIES

LAST FIVE FISCAL YEARS
Table 1: Fire Facilities Transaction Detail (Fund 302)

Table 2: Fire Facilities Transaction Detail (Fund 308)

FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $51,488 $263,389 $424, 930 $1,598,824 $2,920,311 $51,488 Sources of Funds
Fee Revenues $209,576 $159,891 $1,189,117 $1,297,667 $1,149,250 $4,005,501 Interest Income $2,325 $1,650 ($15,223) $23,820 $174,197 $186,769 Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $211,901 $161,541 $1,173,894 $1,321,487 $1,323,447 $4,192,270 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 $0 $0 $0 $0 $0
Ending Balance (6/30) $263,389 $424,930 $1,598,824 $2,920,311 $4,243,758 $4,243,758

FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $1,349,407 $1,406, 317 $1,439,518 $1,428,613 $1,478,066 $1,349,407 Sources of Funds
Fee Revenues $32,588 $26,438 $1,884 $21,491 $0 $82,401
Interest Income $24,322 $6,763 ($12,789) $27,962 $71,815 $118,073 Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $56,910 $33,201 ($10,905) $49,453 $71,815 $200,474 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 $0 $0 $0 $0 $0
Ending Balance (6/30) $1,406,317 $1,439,518 $1,428,613 $1,478,066 $1,549,881 $1,549,881

Page 55 ends

APPENDIX E
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

POLICE FACILITIES FEE

FINANCIAL SUMMARY
REPORT

Page 56 ends

APPENDIX E
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEAR 2023-2024

POLICE FACILITIES

LAST FIVE FISCAL YEAR
Table 1: Police Facilities Transaction Detail (Fund 303)

Table 2: Police Facilities Transaction Detail (Fund 312)

Page E-1

FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $408,017 $21,082 $23,062 $286 $6,554 $408,017 Sources of Funds
Fee Revenues $9,657 $8,017 $546 $6,239 $0 $24,459
Interest Income $1,808 $91 $8 $29 $319 $2,255
Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $11,465 $8,108 $554 $6,268 $319 $26,714 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Capital Outlay-Equipment $0 ($6,128) ($23,330) $0 $0 ($29,458) Materials & Operations ($398,400) $0 $0 $0 $0 ($398,400) Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds ($398,400) ($6,128) ($23,330) $0 $0 ($427,858) Ending Balance (6/30) $21,082 $23,062 $286 $6,554 $6,873 $6,873

FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $795 $4,316 $6, 874 $20,341 $35,156 $795 Sources of Funds
Fee Revenues $3,483 $2,531 $20,551 $22,523 $19,861 $68,949 Interest Income $38 $27 ($196) $261 $2,271 $2,401
Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $3,521 $2,558 $20,355 $22,784 $22,132 $71,350 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Capital Outlay-Equipment $0 $0 ($6,888) ($7,969) $0 ($14,857) Refund of Fees $0 $0 $0 $0 $0 $0
Operating Transfers Out $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 $0 ($6,888) ($7,969) $0 ($14,857) Ending Balance (6/30) $4,316 $6,874 $20,341 $35,156 $57,288 $57,288

Page 57 ends

APPENDIX F
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

PUBLIC AND CITY HALL

FACILITIES FEE

FINANCIAL SUMMARY
REPORT

Page 58 ends

APPENDIX F
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEAR 2023-2024

PUBLIC AND CITY HALL FACILITIES

LAST FIVE FISCAL YEARS
Table 1: Public Facilities Transaction Detail (Fund 304)

[1] Beginning in Fiscal Year 2014-2015, Impact Fees were insufficient to fully fund the 87.25% contribution. As a result, a loan from the General Fund was issued so that the required contribution for the annual bond debt service payment could be made. The amount shown above includes $3,304,783 in funds transferred from Fund 309 to Fund 304. This was done in order to move the City's General Fund loan debt accumulated under Fund 304 to Fund 309 so that Fund 304 can be closed.
[2] Includes $1,405,058 in annual debt service payments on the bonds transferred to Fund 403. A total of $3,426,401 has been transferred to Fund 403 for debt service payments since Fiscal Year 2015-2016. Fund 403 is a City non-Impact Fee fund used to pay annual debt service on the 2013 Refunding Lease Revenue Bonds.

Table 2: City Hall Facilities Transaction Detail (Fund 309)

[1] Includes $3,023,238 in annual debt service payments on the bonds transferred to Fund 403 and F und 404, and $3,304,783 in funds transferred to Fund 304. [2] Reflects General Fund loan debt accumulated in order to cover the shortfall in the required 87.25% contribution from Impact Fees. The General Fund loan amount will increase annually until Impact Fees are sufficient to make the full 87.25% contribution.

[1]

[2]

[1]

[2]
Page F-1

FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $42,135 $225,952 ($3,674,754) ($3,379,499) ($3,035,399) $42,135 Sources of Funds
Fee Revenues $181,847 $133,575 $1,077,215 $1,181,031 $1,043,569 $3,617,237 Interest Income $1,970 $1,191 ($10,130) $12,292 $71,249 $76,572 Other Income $0 $0 $0 $0 $0 $0
Transfers In $0 $0 $1,461 $16,715 $0 $18,176
Loan from General Fund $0 $0 $0 $0 $0 $0
Total Sources of Funds $183,817 $134,766 $1,068,546 $1,210,038 $1,114,818 $3,711,985 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Interest Expense $0 ($19,270) ($16,790) ($97,135) ($171,524) ($304,719) Operating Transfers Out-Debt Service $0 ($4,016,202) ($756,501) ($768,803) ($786,515) ($6,328,021) Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 ($4,035,472) ($773,291) ($865,938) ($958,039) ($6,632,740) Ending Balance (6/30) $225,952 ($3,674,754) ($3,379,499) ($3,035,399) ($2,878,620) ($2,878,620)

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APPENDIX G
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

ANIMAL CONTROL

FACILITIES FEE

FINANCIAL SUMMARY
REPORT

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APPENDIX G
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEAR 2023-2024

ANIMAL CONTROL FACILITIES

LAST FIVE FISCAL YEAR

Table 1: Animal Control Facilities Transaction Detail (Fund 310)

Page G-1

FISCAL YEAR FISCAL YEAR FI SCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $17,726 $74,663 $128, 288 $205,553 $273,010 $17,726 Sources of Funds
Fee Revenues $56,249 $52,977 $79,120 $63,386 $79,193 $330,925 Interest Income $688 $648 ($1,855) $4,071 $14,619 $18,171 Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $56,937 $53,625 $77,265 $67,457 $93,812 $349,096 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 $0 $0 $0 $0 $0
Ending Balance (6/30) $74,663 $128,288 $205,553 $273,010 $366,822 $366,822

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APPENDIX H
City of Hesperia
Government Code Sections 66001 and 66006 Annual Report
Fiscal Year 2023-2024

RECORDS STORAGE

FACILITIES FEE

FINANCIAL SUMMARY
REPORT

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APPENDIX H
GOVERNMENT CODE SECTION 66006

ANNUAL REPORT
FISCAL YEARS 2019-2020 THROUGH 2023-2024

RECORDS STORAGE FACILITIES

Table 1: Records Storage Facilities Transaction Detail (Fund 311)

Page H-1

FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR FISCAL YEAR DESCRIPTION 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 TOTAL Beginning Balance (7/1) $2,066 $10,923 $17,479 $69,436 $128,179 $2,066 Sources of Funds
Fee Revenues $8,761 $6,487 $52,621 $57,721 $50,836 $176,426 Interest Income $96 $69 ($664) $1,022 $7,669 $8,192
Other Income $0 $0 $0 $0 $0 $0
Total Sources of Funds $8,857 $6,556 $51,957 $58,743 $58,505 $184,618 Uses of Funds
Capital Improvement Projects $0 $0 $0 $0 $0 $0
Refund of Fees $0 $0 $0 $0 $0 $0
Total Uses of Funds $0 $0 $0 $0 $0 $0
Ending Balance (6/30) $10,923 $17,479 $69,436 $128,179 $186,684 $186,684

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City of Hesperia

STAFF REPORT

DATE: December 17, 2024
TO: Mayor and City Council Members

FROM: Rachel Molina, City Manager
BY: Casey Brooksher, Assistant City Manager

SUBJECT: Receive and File the Local Agency Special Tax and Bond Accountability Act Reports (SB 165) for the Fiscal Year Ended June 30, 2024

RECOMMENDED ACTION

It is recommended that the City Council receive and file the Local Agency Special Tax and Bond Accountability Act Reports (SB 165) for Communities Facilities District (CFD) 2005 -1 (Belgate Development Restructuring), CFD 2021 -1 (Residential Maintenance & Services), CFD 2022 -1 (Non-Residential Maintenance & Services) , and CFD 2023 -1 (Silverwood Maintenance & Services) for the Fiscal Year Ended June 30, 2024.

BACKGROUND

CFD 2005-1 (Belgate Development Restructuring) - CFD 2005-1 is the result of a workout agreement to restructure the pr eviously defaulted CFD 91 -3 (Belgate Development Project) $10,000,000 Special Tax Bonds, 1992 Series A (1992 Bonds). These bonds were used to finance the construction of certain street, sewer, water, storm drain, and fire suppression improvements within CFD No. 91-3. The 1992 Bonds were in default because the properties were not built-out as expected, which resulted in the failure to pay the special taxes.

On August 10, 2003, the City entered into a Workout Agreement with Hesperia-ET Ventures, LLC to restructure the defaulted 1992 Bonds from CFD 91 -3. Because delinquent principal and interest on the 1992 Bonds continued to accrue since issuance, the amount to defease and redeem the 1992 Bonds exceeded $18 million. In order to extend the maturity of the bonds and implement a new de velopment plan, a new CFD was formed for the purpose of refunding the 1992 Bonds. In 2005, CFD 2005 -1 was formed and the related CFD 2005 -1 (Belgate Development Restructuring) $18,554,508 Special Tax Bonds, 2005 Series A were issued to refinance and restructure the 1992 Bonds.

In December 2014, these bonds were refinanced into CFD 2005-1 Special Tax Refunding Bonds, Series 2014, achieving a net present value savings of $4.2 million. The refinancing lowered the special taxes by approximately 12% for the parcel owners within the District.

In order to achieve further savings for the parcel owners within the District, on October 15, 2024, the City Council approved a n additional refinance of the bonds, which is scheduled to close on December 1, 2024. The CFD 2005-1 Bonds are secured by and payable solely from the proceeds of special taxes levied annually on the taxable property in the district.

CFD 2021 -1 (Residential Maintenance & Services) - CFD 2021 -1 was established March 15, 2022 to fund maintenance and associated services related to n ew residential development. The map of the boundary of CFD 2021 -1, including Future Annexation Area

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Staff Report to the City Council
Receive and File the Local Agency Special Tax and Bond Accountability Act Reports (SB 165) for the Fiscal Year Ended June 30, 2024
December 17, 2024

(allowing future developments within the area to annex into CFD 2021 -1), and the Rate and Method of Apportionment were approved on February 15, 2022. A Special Landowner Election was held the same day. The second reading and adoption of Ordinance 2022 -01 – Authorizing the Levy of Special Taxes, was approved on March 15, 2022. No bonds were issued related to this CFD.

CFD 2022 -1 ( Non-Residential Maintenance & Services) - CFD 2022 -1 was established June 7, 2022 to mitigate the negative fiscal impacts associate with new development to the City, including enhanced police protection services as well as funding for enhanced roadway maintenance services for future non-residential development. The map of the boundary of CFD 2022-1, including Future Annexation Area (allowing future developments within the area to annex into CFD 2022-1), and the Rate and Method of Apportionment were approved on May 17, 2022.

A Special Landowner Election was held the same day. The second reading and adoption of Ordinance 2022-06 – Authorizing the Levy of Special Taxes, was approved on June 7, 2022. No bonds were issued related to this CFD.

CFD 2023 -1 ( Silverwood Maintenance & Services ) - CFD 2023 -1 was established August 15, 2023 to mitigate the negative fiscal impacts associated with the Silverwood Development, including enhanced public safety services as well as funding for enhanced roadway maintenance services. The map of th e boundary of CFD 2023 -1, including Future Annexation Area (allowing for future streamlined annexation of additional properties’ zones within the Silverwood Specific Plan Area into CFD 2023-1), and the Rate and Method of Apportionment were approved on August 1, 2023. A Special Landowner Election was held the same day. The second reading and adoption of Ordinance 2023-11 – Authorizing the Levy of Special Taxes, was approved on August 15, 2023. No bonds were issued related to this CFD.

ISSUES/ANALYSIS

Annually, a report is required of the CFD, which includes information prepared in compliance with the Local Agency Special Tax and Bond Accountability Act (Accountability Act). The Accountability Act was enacted by the California State Legislature through SB 165 to provide accountability measures for any local special tax and/or bond measure subject to voter approval on or after January 1, 2001. According to the requirements of the Accoun tability Act (Section 53410 of the Government Code of the State of California), an annual report must be filed by the local agency levying the special tax and/or issuing a bond measure and shall contain a description of the following:

1. The amount of the funds collected and expended.

2. The status of any project required or authorized to be funded by the special tax and/or bond measure.

In compliance with SB 165, the reports for CFD 2005 -1, CFD 2021 -1, CFD 2022 -1, and CFD 2023-1 for the Fiscal Year (FY) Ended June 30, 2024 are provided as Attachments 1 and 2 to this staff report, and include information regarding the total amount of annual Special Taxes collected and expended during FY 2023-24, as well as the status of projects authorized by the bonds.

CITY GOAL SUPPORTED BY THIS ITEM

Financial Health - Maintain a balanced budget and adequate reserves.

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Staff Report to the City Council
Receive and File the Local Agency Special Tax and Bond Accountability Act Reports (SB 165) for the Fiscal Year Ended June 30, 2024
December 17, 2024

FISCAL IMPACT

There is no fiscal impact associated with receiving and filing the SB 165 reports.

ALTERNATIVE(S)

1. Provide alternative direction to staff.

ATTACHMENT(S)

1. Local Agency Special Tax and Bond Accountability Act Report (SB 165) – CFD 2005 -1 (Belgate Development Restructuring)

2. Local Agency Special Tax and Bond Accountability Act Report (SB 165) – CFD 2021 -1 (Residential Maintenance & Services), CFD 2022-1 (Non -Residential Maintenance and Services), and CFD 2023-1 (Silverwood Maintenance & Services)

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City of Hesperia
Fiscal Year 2024/25 SB 165
SB 165: LOCAL AGENCY SPECIAL TAX AND BOND

ACCOUNTABILITY ACT
Senate Bill 165, filed with the Secretary of State on September 19, 2000, enacted the Local Agency Special Tax and Bond Accountability Act (the “Act”). This Act requires that any local special tax or local bond measure subject to voter approval contain a statement indicating the specific purposes of the special tax, require that the proceeds of the special tax be applied to those purposes, require the creation of an account into which the proceeds shall be deposited, and require an annual report containing specified information concerning the use of the proceeds. The Act only applies to any local special tax measure or local bond measure adopted on or after January 1, 2001 in accordance with Section 50075.1 or Section 53410 of the California Government Code.

Some of the requirements of the Act are handled at the formation of the Special Tax District and others are handled through annual reports. This Section of this report intends to comply with Section 50075.1 of the California Government Code that states:
“The chief fiscal officer of the issuing local agency shall file a report with its governing body no later than January 1, 2002, and at least once a year thereafter. The annual report shall contain all of the following:
(a) The amount of funds collected and expended.
(b) The status of any project required or authorized to be funded as identified in subdivision (a) of Section 50075.1 or Section 53410.

Purpose of Special Tax
The Community Facilities Districts were formed to provide maintenance of police protection services, maintenance of lighting of parks, parkways, streets, roads, storm drains, and open space within each of the districts.

Collections and Expenditures
The requirements of the Act apply to the Services Fund for the following districts:

District
FY 2023/24
Annual Levy
6/30/2024
Balance
Expended
Amount Service Status
CFD 2021-1 (Residential Maintenance & Services) $0.00 $0.00 $0.00 Ongoing CFD 2022-1 (Non-Residential Maintenance & Services) 0.00 0.00 0.00 Ongoing CFD 2023-1 (Silverwood Maintenance & Services) 0.00 0.00 0.00 Ongoing Attachment 2

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City of Hesperia

STAFF REPORT

DATE: December 17, 2024

TO: Mayor and Council Members

FROM: Rachel Molina, City Manager
BY: Nathan R. Freeman, Director of Development Services Andrew Lemke, Building Official

SUBJECT: First Amendment to Professional Services Agreement with Willdan Engineering for Building Inspection Services

RECOMMENDED ACTION

It is recommended that the City Council authorize an amendment to the Professional Services Agreement with Willdan Engineering and to increase the contract amount by $208,000, for a total not-to-exceed amount of $258,000 for an additional year of full-time building inspection services.

BACKGROUND

In January of 2024, the City entered into a Professional Services Agreement (PSA), in the amount of $50,000, with Willdan Engineering to provide supplemental staffing to the Building and Safety Division. The supplemental staffing has assisted in providing Building Official and building inspection services (amongst other things) to meet the needs of ongoing development and construction projects throughout the City . However, after a thorough review of current and upcoming development projects, staff is anticipating a substantial increase in residential and industrial development activity that necessitates the proposed amendment, which will provide a full-time contract building inspector for an additional year in the added amount of $208,000.

The full-time contract building inspector will serve in the same capacity as the building inspectors employed by the City and will inspect a combination of residential, commercial, and industrial projects.

To outline the workload increase to support this request, the following projects were taken into consideration: the Silverwood Master-Planned development will soon begin constructing between 200-500 homes per year, with each new home requiring multiple inspections. Additionally, there is also over 5 million square feet of upcoming industrial development, including the Hesperia Commerce Center II project, that will require numerous insp ections to meet necessary project schedules.

ISSUES/ANALYSIS

The proposed amendment will create a staff augmentation that will allow the City to be more responsive to the needs of the development community. It is anticipated that the cost associated with the proposed amendment will be offset by revenue from permit fees associated with the Silverwood Master-Planned development and the various upcoming industrial projects. Permit revenue associated with these projects (and others) will provide a sufficient funding source, which limits the financial impact to the General Fund.

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Staff Report to the Mayor and Council Members
Willdan Engineering – First Amendment to Professional Services Agreement December 17, 2024

CITY GOAL SUPPORTED BY THIS ITEM

Future Development: Facilitate balanced growth to ensure cohesive community development and pursue economic development.

FISCAL IMPACT

The proposed amendment is not anticipated to negatively impact the General Fund as the City collects fees from project proponents, based on the City’s adopted fee schedule, which are anticipated to be sufficient to cover the costs associated with this request.

ALTERNATIVE(S)

Provide alternative direction to staff.

ATTACHMENT(S)

None

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City of Hesperia

STAFF REPORT

DATE: December 17, 2024
TO: Mayor and City Council Members

FROM: Rachel Molina, City Manager
BY: Melinda Sayre, Deputy City Manager/City Clerk
SUBJECT: City Council Appointments to Outside Agencies

RECOMMENDED ACTION

It is recommended that the City Council follow past practice and appoint liaisons (both primary and alternate) to various outside agencies for a one-year period to commence in January 2025.

BACKGROUND

Historically, the Council has reviewed the liaison assignments (b oth primary and alternate) to various outside agencies and City advisory committees on an annual basis. The City Council currently has representatives on the following:

League of California Cities (Annual Conference October 2025 in Long Beach, CA) The League of California Cities is an association of California city officials who work together to enhance their knowledge and skills, exchange information, and combine resources so that they may influence state policy decisions that affect cities.

League of California Cities – Desert Mountain Division (Bi-monthly, 3rd Friday, no compensation)
The Committee participates in policy development and carrie s out grassroots activities in support of the League’s legislative, regulatory, and ballot measure goals.

2024 Primary/Alternate Representatives: Bennington/Lee

Mojave Desert Air Quality Management District (MDAQMD) (Monthly, 4th Monday, 10 a.m. , $100/meeting compensation, requires Form 700 filing)
MDAQMD is a public agency that provides citizens with important information regarding the Mojave Desert’s past and current quality of air. Their mission is to enforce the Clean Air Act and attain and maintain a healthful environment while supporting strong and sust ainable economic growth.

2024 Primary/Alternate Representatives: Bennington/Gregg

San Bernardino County Transportation Authority (SBCTA) (Monthly, 1st Wednesday, 10:00 a.m., $200/meeting compensation, requires Form 700 filing) SBCTA is the council of governments and transportation planni ng agency for San Bernardino County responsible for cooperative regional planning and furthering an efficient multi -modal transportation system countywide.

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Staff Report to the Mayor and Council
City Council Appointments to Outside Agencies
December 17, 2024

As the County Transportation Commission, SBCTA supports freeway construction projects, regional an d local road i mprovements, trai n and bus transportation, railroad crossings, call boxes, ridesharing, congestion management efforts and long -term planning studies. SBCTA administers Measure I, the half-cent transportation sales tax approved by county voter s in 1989 and reauthorized in 2007.

2024 Primary/Alternate Representatives: Swanson/Bennington San Bernardino County Transportation Authority (SBCTA) Mountain Desert Measure I Committee (Monthly, 3 rd Friday, 9 :30 a.m., $100/meeting compe nsation, requi res Form 700 filing)
The Committee reviews the Measure I Mountain / Desert Region Expenditure Plan and makes policy recommendations to the SBCTA Board.

2024 Primary/Alternate Representatives: Swanson/Bennington

San Bernardino County Solid Waste Task For ce (Semi-Annual April & October , no compensation)
The Task Force carries out responsibilities mandated by the California Integrated Waste Management Act (1989) and makes recommendations to the County o n other solid waste related matters. For the last year, the City Manager has designated the alternate representative as a City staff member.

2024 Primary/Alternate Representatives: Gregg/Staff Appointee

Victor Valley Economic Development Authority (VVE DA) (3rd Wed. in Jan., March, Sept., 4:30 p.m., $50/meeting compensation by request, requires Form 700 filing) VVEDA is a joint powers authority and was established for the purpose of providing economic development in and around the former George Air Forc e Base. Five jurisdictions oversee the economic develo pment of the area, which include: th e cities of Victorville, Hesperia and Adelanto, the Town of Apple Valley, and the County of San Bernardino. VVEDA totals approximately 60,000 acres and is administere d by the City of Victorville. The uninco rporated portion of VVEDA i s approximately 16,000 acres. VVEDA is currently in its eighth amendment, in which approximately 30,236 acres are being added.

2024 Primary/Alternate Representatives: Lee/Swanson

Victor Valley Transit Authority (VVTA) (Monthly, 3 rd Monday, 9:30 a.m. , $125/meeting compensation, requires Form 700 filing)
VVTA operates local fixed -route, county commuter, and ADA complementary paratransit bus services in the Victor Valley area. It has a maintenance facility located in Hesperia. VVT A was established through a Joint Powers Authorit y in 1991. The JPA includes the five cities of Adelanto, Apple Valley, Barstow, Hesperia and Victorville and the certain unincorporated portions of the County of San Bernardino.

2024 Primary/Alternate Representatives: Bird/Lee

Victor Valley Wastewater Reclamation Authority (VVWRA) (Monthly, 3 rd Thursday, 7:30 a.m., $100/meeting compensation, requires Form 700 filing)

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Staff Report to the Mayor and Council
City Council Appointments to Outside Agencies
December 17, 2024

VVWRA was originally formed by the Mojav e Water Agency to help meet the requ irements of the federal Cle an Water Act and provide wastewater treatment for the growing area. The original treatment plant, with supporting pipelines and infrastructure, began operating in 1981, providing tertiary level treatment for up to 4.5 million gal lons per day (MGD). The VVW RA is now a joint powers authority and public agency of the state of California and now treats approximately 14 MGD of wastewater.

2024 Primary/Alternate Representatives: Bird/Bennington

Greater High Desert Chamber of Commerce (Weekly Coffee, Fridays, 7:00 a.m..; Monthly, Luncheon, 1st Wednesday, 7;30 a.m., no compensation)
The Chamber is an independent organization that represents the interests of business to legislators, provides a variety of service s to b usinesses, and promotes positive community development. The objective is to promo te the common economic interest of the businesses serving the Hesperia and the Greater High Desert area.

2024 Primary/Alternate non-voting liaison: Bird/Swanson

Tri-Agency Committee (Quarterly, 3rd Wednesday, 3:30 p.m., no compensation) The Tri-Agency Committee is currently comprised of representatives from the City of Hesperia and Hesperia Unified School District ; the group formerly included the Hesperia Recreation and Park District (HRPD). Meeting attendees often include representatives from Greater High Desert Chamber of Commerce , field representatives from state offices, and representatives from HRPD. The committee has been meeting since 1995 to exchange information on each agency’s programs and projects. No primary or alternate roles.

2024 Co-Representatives: Primary: Swanson/Lee, Alternate: Bennington

City Council Advisory Committee (1st Thursday, 6:00 p.m., Mar, Jun, Sep, Dec, no compensation)
The City Council Advisory Committee is an advisory resource an d as directed by the City Council and may review the Capital Improvement Project Plan (CIP) and provides recommendations to the Council regarding the use of Community Development Block Grant (CDBG) funds and other applicable financing programs. No alternate role.

2024 Liaison (Primary/Alternate): Lee/Bennington

ISSUES/ANALYSIS

Individual City Council appointments are designed to help facilitate a better flow of information between the City Council, various outside agencies, and staff. The recommended action follows past practice and allows an opportunity for reassignments as needed.

CITY GOAL SUPPORTED BY THIS ITEM

Organizational Health - Foster a high performing organization that provides opportu nities for professional growth.

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Staff Report to the Mayor and Council
City Council Appointments to Outside Agencies
December 17, 2024

FISCAL IMPACT

There is no fiscal impact associated with this item.

ALTERNATIVE(S)

1. Provide alternative direction to staff.

ATTACHMENTS

1. 2024 Appointment Summary

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City of Hesperia
2024 City Council Outside Agency & Committee Appointments

Agency/Committee Name Representatives Regular Meeting Schedule Location/ Contact League of California Cities (LOCC)
Inland Empire & Desert Mountain
Division
Primary – Bennington
Alternate – Lee

3rd Friday bi-monthly at 10 a.m.

Feb – Palmdale
April – Bishop
June – Mammoth Lakes
August – Big Bear Lake
Oct – Long Beach
November - TBD
League of California Cities, 1400 K Street, Suite 400,
Sacramento 95814, (916)658-8200 / (916)658-8240 (fax)
Laura Morales – (909)275-4110; [email protected]
Staff Appt - TBD
Mojave Desert Air Quality
Management District (MDAQMD)
Primary – Bennington
Alternate – Gregg

Monthly, 4th Monday, 10:00
a.m.
14306 Park Ave., Victorville
Deanna Hernandez, Senior Executive Analyst, (760)245-
1661 x6244 [email protected]
San Bernardino County
Transportation Authority
(SBCTA)
Primary – Swanson
Alternate – Bennington
Monthly, 1st Wednesday, 10:00
a.m.

1170 W Third St, 2nd Floor Lobby Board Room
San Bernardino 92410
Ashley Izard, Deputy Clerk of the Board
(909)884-8276, [email protected]
Mountain/Desert Policy
Committee
Monthly, 3rd Friday, 9:30 a.m.

Mojave Desert Air Quality Management District
14306 Park Avenue, Victorville, 92392
San Bernardino County Solid
Waste Task Force

Primary – Gregg
Alternate - Staff
*Rachel will designate
April & October Sam J Racadio Library Environmental Learning Center 7863 Central Ave. Highland CA 92346
Rhiannon Garza, Analyst, (909)386-8752
[email protected]
Victor Valley Economic
Development Authority (VVEDA)
Primary – Lee
Alternate – Swanson
3rd Wednesday in January,
March, September at 4:30 p.m.

Location: SCLA Theatre, 18374 Phantom Victorville, 92394 Mail to: 14343 Civic Dr., Victorville CA 92392
Jennifer Thompson, Secretary to the Board
(760)243-4773 [email protected]
Victor Valley Transit Authority
(VVTA)

Primary – Bird
Alternate – Lee

Monthly, 3rd Monday, 9:30 a.m.

VVTA Conference Room A127 (Every 3rd meeting in
Barstow). 17150 Smoke Tree St., Hesperia CA 92345
Debi Lorrah, Clerk, (760)948-3262 x112;
[email protected]
Victor Valley Wastewater
Reclamation Authority (VVWRA)
Primary – Bird
Alternate – Bennington

Monthly, 3rd Thursday, 7:30 a.m.

20111 Shay Rd., Victorville CA 92394
Kristi Casteel, (760)246-2896 x112 [email protected]
Greater High Desert Chamber of
Commerce Liaison

Primary – Bird
Alternate – Swanson
Weekly Coffee, Friday 7:00 a.m.

Monthly Luncheon, 3rd Monday
12:00 p.m.
14321 Main St, CA Hesperia 92345
Christy Harris, Office Manager, (760)244-2135
[email protected]
Tri Agency Committee

Primary – Swanson/ Lee
Alternate – Bennington

Monthly, 2nd Wednesday, 3:30
p.m.

Location rotates on an annual basis
Council Liaison to Advisory &
Internal Committees

City Council Advisory Committee Primary – Lee
Alternate – Bennington
Jan, April, July & Oct, 2nd
Wednesday, 6:00 p.m.

City Council Chambers – Yvonne Kliewer

Updated January 2024
Attachment 1

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Hesperia City CouncilDecember 17, 2024

Hesperia City Council
December 17, 2024