Development Fee Framework
Status Report
Community and Economic Development Committee
April 22, 2024
Item (d)5
Jerad Ferguson, Principal Planner, PBCE
1 Background
2 2019
Concept of
“Universal
Development Fee”
introduced
Shift to concept of
“Framework”
January 2022
Working Group
established to
further work on
Fee Framework
June 2022
Report to CED
introduced concept
of Council Policy
February 2021
Changes to IHO
changes include Fee
Framework
Geography
June 2023
Council Adopted
Housing Element
included item P-10
“Standardize and
Streamline Permitting,
Fees, Applications”
Concept and Established Outcomes
3 • Aligning fees in Framework gives holistic view of City added costs • Facilitate housing production by making costs more transparent and predictable
• Not proposing increases or decreases to fees or change legal structure Development Fee Framework Outcomes
Objective
Simplify the administration and calculation of major residential development fees and taxes to provide transparency and certainty to the public and development community.
Goal #1
Adoption of a Council Policy to memorialize the Development Fee Framework elements and parameters.
Goal #2
Develop a webpage and other resources that disclose current fee structures and are organized by geography that can be used to estimate City development costs (fees and taxes) quickly and easily.
Common Elements
4 Metric of Calculation Development Geography
Timing of Payment Development Typology
Proposed Work Plan (Phase 1)
5 5
Working Group Reestablished with bimonthly meetings April 2024 Develop initial draft of the Council Policy and establish the webpage May 2024 – October 2024
Initial Draft of Council Policy and Public Outreach October 2024 – December 2025 Revisions to Council Policy based review and feedback January 2025 – February 2025 Draft Policy presented to City Council March 2025
"Parks Fee" Study
6 Possible Outcomes
• Maximum park fees
that can legally be
adopted
• New formulas for
calculation
• Alignment with the
Framework
Next Steps
• On hold – market does
not support fee increases
• Complete policy work
with an equity lens
• Study if a Citywide
program can distribute
fees to areas with
greatest need
Status
• Additional fiscal
analysis needed
• Fiscal analysis
expected in
spring/summer
2024
Purpose
• Assess land values
to set the base of
park fees
• Consider
establishing a
commercial park
impact fee
• Evaluate credits
that offset the fee
Development Fee Framework
Status Report
Community and Economic Development Committee
April 22, 2024
Item (d)5
Jerad Ferguson, Principal Planner, PBCE
7