REPORT TO CITY COUNCIL
To:Honorable Mayor and Members of the City Council
From:Jason Simpson, City Manager
Prepared by:Yu Tagai, City Engineer
Date:October 28, 2025
Subject:Drainage Fee Credit Agreement with Tri Pointe Homes IE-SD, Inc. for the Storm Drain Improvements in Canyon Hills Estates
Recommendation
Approve and authorize the City Manager to execute a Storm Drain Credit Agreement with Tri Pointe Homes IE-SD, Inc. for the storm drain improvements project in Canyon Hills Estates, in such final form as approved by the City Attorney.
Background
The City administers a Master Drainage Plan Fee, which Chapter 16.72 of the Lake Elsinore Municipal Code establishes a Drainage District Fee to be paid prior to the approval of any final subdivision map or parcel map subdividing property within any drainage district designated in the master plan of drainage, and establishes a mechanism for providing credits and reimbursements to a developer for constructing eligible capital improvements.
Tri Pointe Homes IE-SD, Inc. (Tri Pointe) has received approval from the City to develop Canyon Hills Estates (Tract 34249), a development that will design and construct 133 single-family residences located south of Canyon Hills Road and west of Cottonwood Canyon Road. As a condition for obtaining the entitlement, Tri Pointe is required to construct storm drain and street improvements.
Discussion
The City of Lake Elsinore and Tri Pointe desire to enter into a credit agreement for the project.
This agreement allows Tri Pointe to request credit or reimbursement for the eligible storm drain improvements as approved by the City Engineer. The eligible improvements include the construction of storm drain improvements that convey off-site drainage through the project’s site.
Tri Pointe’s drainage fee obligation for the project is $669,589.89.
Drainage Fee Credit Agreement
Fiscal Impact
There is no direct fiscal impact because the agreement provides for the actual construction of eligible public storm drain improvements instead of payment of fees. Tri Pointe’s Master Drainage Plan fee obligation is $669,589.89 and the agreement identifies a form of reimbursement or credit up to an amount not to exceed the project’s fee obligation.
Attachments
Attachment 1 - Agreement
Attachment 2 – Vicinity Map
Engineering