PUBLIC HEARING TO CONSIDER
CAPITAL FACILITY FEE (CFF) STUDY UPDATE
AND THE FEES RECOMMENDED THEREIN
CITY COUNCIL REGULAR MEETING
OCTOBER 14, 2024 | ITEM: 5.3
1 INFORMATION ON CFF PROGRAM
❑ The fees included in the fee study are established to mitigate the impacts of new development.
❑ CFFs are collected from developers to fund their fair share of capital facilities and do not affect existing residents or businesses.
❑ CFF revenues cannot be used to fund operations or maintenance costs. ❑ Fees are updated for inflation annually based on a construction cost index to keep pace with rising construction costs.
2 CFF STUDY UPDATE RESULTS
❑ Out of 10 CFFs that were updated, 7 fees decreased and 3 fees increased resulting in a net change of approximately:
❑ Industrial: -0.15%
❑ Commercial: -9.75%
❑ Residential: +19%
❑ The increase in residential fee rates is primarily due to the transportation related CFFs due to the following factors:
❑ Elimination of approximately 3000 residential lots in CLSP Phase 2, reduced the number of lots to which the fees are distributed
❑ Industrial and Commercial uses generate fewer trips than residential uses 3 CFFS INCLUDED IN UPDATE ❑ North LathropTransportation Impact Fee (Update) ❑ Culture And Leisure CFF – Facilities Component (Update) ❑ CLSP In-lieu Community Parks Dedication CFF (Update) ❑ CLSP Neighborhood Park CFF (Update) ❑ CLSP Entitlements Fee For CLSP Phases 1 And 2 (Update) ❑ CLSP Prior Developer Account Open Items Fee (Update) ❑ CLSP Entitlements Fee For CLSP Phase 2 (New) ❑ CLSP Storm Drainage System Improvements –Watershed 4 CFF (Update)
❑ West/Central Lathrop RegionalTransportation CFF (Update) ❑ CLSPWaterTank#1 CFF (Update)
❑ Municipal Service Facilities CFF (Update) ❑ CLSP Sewer/RecycledWater System CFF (Update) ❑ Culture And Leisure CFF – Park Component (Fee Conversion) ❑ CLSP Community Park CFF (Fee Conversion) ❑ WLSP RegionalTransportation Impact Fee (New Category And Fee Conversion) ❑ Offsite Roadway Improvements CFF (New Category And Fee Conversion) 4 NORTH LATHROP TRANSPORTATION IMPACT FEE
5 Fee updated to account for funding expected from the SJCOG Regional Transportation Impact Fee (RTIF) and to reflect new industrial land uses anticipated in the Central Lathrop Specific Plan (CLSP) Phase 2 area. Includes the costs of improvements to the I-5/Roth Road interchange.
CULTURE AND LEISURE CFF – FACILITIES
COMPONENT
CFF updated to revise the facility list and to reflect the new population anticipated from the 2022 General Plan Update.
Includes the New Community Center.
6 CLSP IN-LIEU COMMUNITY PARKS
DEDICATION CFF
CFF updated to reflect the reduced number of residential units expected within CLSP following the CLSP Phase 2 Amendments
Reimbursement to Developer for dedication of park land to the City. 7 CLSP NEIGHBORHOOD PARK CFF
CFF updated to use lower actual park costs from the four neighborhood parks in CLSP Phase 1 and to reflect a higher number of residential units currently expected at buildout of Phase 1. Reimbursement to Developer for construction of the neighborhood parks in CLSP. 8 CLSP ENTITLEMENTS FEE FOR CLSP PHASES 1 AND 2 &
PRIOR DEVELOPER ACCOUNT OPEN ITEMS FEE
Fees updated to account for more developable acreage anticipated in CLSP following the CLSP Phase 2 amendments.
9 CLSP ENTITLEMENTS FEE FOR CLSP PHASE 2
New fee created to reimburse the CLSP Phase 2 developer for their costs to amend the entitlements for Phase 2. The new proposed fee of $741 per net acre will be charged to new development in CLSP Phase 2 only. 10 CLSP STORM DRAINAGE SYSTEM IMPROVEMENTS –
WATERSHED 4 CFF
CFF updated to add property to the Watershed 4 service area. 11 WEST/CENTRAL LATHROP REGIONAL
TRANSPORTATION CFF
CFF updated to reflect new industrial land uses
anticipated in the Central Lathrop Specific Plan
(CLSP) Phase 2 area, to add new transportation
facilities, and to update the funding anticipated from
the SJCOG RTIF and the West Lathrop Specific Plan
RTIF.
The majority of the increase is due to reduced
outside funding from SJCOG and WLSP RTIFs
12 CLSP WATER TANK #1 CFF
CFF updated to add property to the Water Tank #1 service area and to create a fee category for industrial development in CLSP Phase 2
13 MUNICIPAL SERVICE FACILITIES CFF
CFF updated to adjust the costs of facilities included and to reflect the new population anticipated from the 2022 General Plan Update.
Includes Police Station, Animal Center, City Hall, Corporation Yard, Fleet Maintenance Building, Performing Arts Center and wireless network facilities
14 CLSP SEWER/RECYCLED WATER SYSTEM CFF
CFF updated to adjust the costs of the Sewer/Recycled Water System in CLSP and to adjust for the new anticipated land uses following the CLSP Phase 2 Amendments. Includes the costs of sewer mains, force mains, and pump stations in CLSP. 15 OTHER CFFS (CONVERSIONS AND
NEW CATEGORIES)
Fee Conversions
Wherever required by law, (AB 602), the proposed fees for residential development are based on unit square footage.
Other fees currently charged by the City that are not proposed to be updated at this time are still charged per unit. To make the City’s fees more consistent, the fees below were converted using average unit size assumptions of 2,570 square feet for single family units and 975 square feet for multi-family units. The averages were developed based on constructed units within newly developing areas of the City.
Converted fees per square foot:
16 Land Use
Culture and
Leisure CFF –
Park
Component
CLSP
Community
Park CFF
WLSP
Regional
Transportation
Impact Fee
Offsite
Roadway
Improvements
CFF
Single Family $2.672 / SF $1.852 / SF $0.166 / SF $0.071 / SF Multi-Family $5.032 / SF $3.488 / SF $0.512 / SF $0.116 / SF
OTHER CFFS (CONVERSIONS AND NEW
CATEGORIES)
New Categories
The amendments to CLSP Phase 2 added a new industrial zoning to that area that was previously not anticipated in many of the existing fees.
For the following transportation fees, a new Industrial/Warehousing category was calculated. 17 Land Use
WLSP Regional
Transportation
Impact Fee
Offsite Roadway
Improvements CFF
Industrial/Warehousing $322 / 1,000 SF $42 / 1,000 SF
RECOMMENDATION
❑ CONDUCT A PUBLIC HEARING
❑ CONSIDER ALL INFORMATION AND PUBLIC TESTIMONY
❑ CONSIDER ADOPTING A RESOLUTION AT THE NEXT MEETING APPROVING THE
CITY OF LATHROP CAPITAL FACILITIES FEE STUDY UPDATE AND THE
RECOMMENDED FEES
❑ QUESTIONS
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