Pacifica City Council
August 25, 2025

Cost Allocation Plan, Comprehensive User Fee Study
& Development Impact Fee Study
City of Pacifica
City of Pacifica Project Team
2 Samantha Labitan
Tony Thrasher
Priti Patel
Carlos Villarreal, MPP James Edison, MPP, JD
Bob Quaid, CPA
Cost Allocation Plan &
User Fee Study
Project Manager
15 years experience
Development
Impact Fee Study
Project Manager
26 years experience
Cost Allocation Plan &
User Fee Study
Financial Analyst
11 years experience
Development
Impact Fee Study
Lead Consultant
19 years experience
Cost Allocation Plan &
User Fee Study QA/QC
40 years experience
Chris Fisher
Principal-in-Charge
26 years experience
Cost Allocation Plan &
User Fee Study
Financial Analyst
8 years experience
Willdan Financial Services
3 Cost Allocation and
User Fee Studies
Development
Impact Fees
Utility Rates
Financial and Economic
Impact and Feasibility
Special District Formation
and Administration
(CFD, AD)
Bond Compliance
(IRS and SEC)
Experience & Advantage
• Familiar perspective and unique insight
– Municipal operations and service delivery, extensive fee experience – Policy and political factors affecting User and Impact Fee Studies • Previous experience in Pacifica
• Willdan staff depth and multi-disciplinary analysts
– Pooled resources allow immediate accessibility, responsiveness – Considerable experience – 20 + CAP/UF/DIF projects over past 2 years • Collaborative approach with City staff, stakeholders
• Recent, ongoing & local experience provides valuable insight – Belmont, Foster City, Sausalito, Union City, Alameda, Richmond, Hayward, Benicia, Napa, Mountain View, East Palo Alto, San Anselmo, San Bruno, Petaluma, Morgan Hill, Pismo Beach, and Patterson
• Customized, updatable Excel models built for specific needs • Unique CAP/UF/DIF expertise combo, extensive CA experience 4 Business Confidential - Willdan
Cost Allocation Plan
Evaluate
central service
department costs,
determine which
are appropriately
allocable
Overview of CAP and
Hourly Rate Process
6 Review
budget, ACFR,
organizational
structure
1 Identify
major functions of
central overhead
organizations
2 3
Determine
how other
departments utilize
and benefit from
central service
functions
4 Use
model and bases
data to allocate
central service
costs
Identify
distribution bases
that best represent
use of those
functions & collect
necessary data
5 6
Calculate
department
overhead and
hourly rates for
City positions
7 Present
results, report and
model – in
understandable
terms!
8 Fully Burdened Rate Calculation
Fully
Burdened
Rate
Central
Services
Overhead
(Indirect)
Departmental
Overhead
(Direct)
Personnel
Costs
7 Comprehensive User Fee Study
9 Incorporate or establish cost recovery goals
• Fee subsidies are commonly used to allow access to services and facilitate compliance
Determine full cost of providing services or programs
Recommend fee structure adjustments (if necessary)
Identify appropriate fee levels that:
• Enhance reasonability and applicability
• Maintain consistency with local policy and objectives • Maintain legal compliance with state law
User Fee Study Objectives
10 Overview of User
Fee Study Steps
Develop User
Fee Model,
incorporate fee
schedules
Interactively
review
service
delivery
processes &
effort *
Identify
potential new
fees (not
currently
collected)
Using fullyburdened
rates,
calculate full
cost recovery
Refine and
update final
model inputs
with City
Staff
Incorporate
policy
objectives
Finalize
actual fee
recovery
levels, create
report
1 2 3 4
5 6 7
* Ensures accuracy, integrity of model inputs, our understanding of service delivery processes
Present
findings to
public and
Council
8 Development Impact Study
12 What is a Development
Impact Fee?
One-time charge 1
Imposed at building permit stage
Imposed on all development projects within
a defined geographic area
Not a special tax or assessment
Not subject to Proposition 218
approval requirements
Mitigation Fee Act Findings
(Govt. Code §66001)
• Technical Findings
• Need: Development need for facilities
• Benefit: Development use of revenue
• Rough Proportionality: Fee amount
development’s share of facility costs
• Other findings
• Purpose of fee
• Use of fee revenue
13 Impact Fee Approach
Final Report
Planned Facilities
& Costs
Funding &
Financing
Implementation
Strategy
Cost Allocation &
Fee Schedule
Public Hearing
& Adoption
Facility Standards
Existing Development
& Facilities Future Growth
14 Questions