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CC - Item 2B - Discussion of Potential Development Impact FeesROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: JEFF ALLRED, CITY MANAGER ((I DATE: APRIL 22, 2014 SUBJECT: DISCUSSION OF POTENTIAL DEVELOPMENT IMPACT FEES SUMMARY As a result of the State's action to eliminate redevelopment agencies, it will be necessary for the City to establish development impact fees (DIF) to generate funds for future improvements to streets, parks, and facilities. The establishment of development impact fees will ensure that new developments will pay their "fair share' of future capital improvement costs. The City's Strategic Plan includes the following action item: To address a foreseeable lack of funding for future capital improvements, complete a Development Impact Fee (DIF) study for the initiation of new fund accounts for infrastructure improvements. No final actions will be taken at this workshop. Any future action to establish development impact fees would require a public hearing at a future City Council meeting. Recommendation: Staff recommends that the City review and comment on this matter BACKGROUND/ANALYSIS The State's action in 2012 to dissolve redevelopment agencies has severely limited the ability of cities to fund capital improvement projects associated with development. As a result, it is necessary for the City of Rosemead to initiate Development Impact Fees (DIF) to ensure that new developments will pay their fair share of needed capital improvements. DIF payments associated with new residential and commercial development will enable the City to accumulate funds to construct needed capital improvements to maintain its public facilities standards that contribute to the quality of life in the community. Accounts that will be created through the assessment of development impact fees (DIF) include the following: • Traffic Facilities • Public Safety Facilities • General Government Facilities • Parks Facilities ITEM NUMBER. City Council Meeting April 22, 2014 Review of Draft Annual Comprehensive Fee Resolution Update for Fiscal Year 2014 -15 pads 2 of 2 A study has been conducted for the establishment of development fees (DIF) in compliance with the requirements of the Mitigation Fee Act, contained in California Government Code Sections 66000 at sec. The study is included in this report as Attachment A. The findings required by the Mitigation Fee Act are also included in the study and the Resolution. A summary of the proposed development impact fees is provided in the chart below. More information regarding these proposed fees is detailed in the study (Attachment B) Proposed Development Impact Fee (DIF) Schedule Land Use Traffic Public Safe General Government' Parks Total Residential Single Family $1,010 $167 $1,145 $6299 $8,621 Multi- family $614 $135 $920 $5,057 $6,726 Nonresidential Retail $1,119 $31 $207 N/A $1,357 Office $1634 $42 $277 N/A $1,953 Industrial $1,109 $15 $103 N/A $1,227 Note'. Fees are expressed per dwelling unit for residential order 1,000 square feet for nonresidential land use ' Includes City-owned land, buildings and equipment, and County owned library facilities. For additional information purposes, a survey of local cities' development impact fees (DIF) is included as Attachment B. LEGAL REVIEW The City Attorney has reviewed the draft Resolution (Attachment A) and the Development Impact Fee study (Attachment B). PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Attachments CITY OF ROSEMEAD DEVELOPMENT IMPACT FEE STUDY E DRAFT ATTACHMENT A This page intentionally left blank. Table of Contents EXECUTIVE SUMMARY .... ............................... Background and Study Objectives Facility Standards and Costs Use of Fee Revenues Development Impact Fee Schedule Summary 1 . INTRODUCTION ......... ............................... Public Facilities Financing in California Study Objectives Study Methodology New Development Facility Needs and Costs Organization of the Report 2. GROWTH FORECASTS AND UNIT COSTS ..... Land Use Types Occupant Densities Existing and Future Development Unit Costs 3. TRAFFIC FACILITIES .. ............................... Trip Demand from New Development Traffic Improvements and Cost Allocation Fee Schedule Non -Fee Funding Needed 4. PUBLIC SAFETY FACILITIES ....................... Service Population Facility Inventory Facility Standard Fee Schedule Estimated Fee Revenue 5. GENERAL GOVERNMENTFACILITIES .......... Service Population Facility Inventory Facility Standard Fee Schedule Estimated Fee Revenue 6. LIBRARY FACILITIES .. ............................... Service Population Facility Inventories Facility Standard Fee Schedule ....Ill iv v 1 1 1 2 2 4 5 5 6 6 8 ... 10 10 13 19 20 ... 21 21 22 23 23 24 ... 25 25 25 28 28 29 ... 30 30 31 32 33 City of Rosemead Estimated Fee Revenue 34 7. PARKFACILITIES ............................................ ............................... 35 Service Population 35 Facility Inventory 35 Facility Standards 38 Mitigation Fee Act 38 Quimby Act 38 Cost per Capita 39 Fee Schedule 40 8. IMPLEMENTATION ........................................... ............................... 42 Impact Fee Program Adoption Process 42 Inflation Adjustment 42 Reporting Requirements 42 Programming Revenues and Projects with the CIP 42 9.MITIGATION FEEACT FINDINGS ......................... ............................... 43 Purpose of Fee 43 Use of Fee Revenues 43 Benefit Relationship 43 Burden Relationship 44 Proportionality 44 Executive Summary This report summarizes an analysis of development impact fees that may be charged to support future development in the City of Rosemead through 2025. The City Council may choose to impose the costs representing future development's share of public facilities and capital improvements on that development in the form of a development impact fee. The public facilities and improvements included in this analysis are divided into the fee categories listed below: - Traffic Facilities; Public Safety Facilities, General Government Facilities; Library Facilities; and - Park Facilities. Background and Study Objectives The primary policy objective of a development impact fee program is to ensure that new development pays the capital costs associated with growth. The primary purpose of this report is to calculate and present fees that will enable the City to maintain its public facility standards as new development creates increases in service demands. Impact fees must comply with the requirements of the Mitigation Fee Act (the Act), contained in California Government Code Sections 66000 et seq. This report provides the necessary findings required by the Act for adoption of the fees presented in the fee schedules contained herein. All development impact fee - funded capital projects should be programmed through the City's Capital Improvement Plan (CIP). Using a CIP can help the City identify and direct its fee revenue to public facilities projects that will accommodate future growth. By programming fee revenues to specific capital projects, the City can help ensure a reasonable relationship between new development and the use of fee revenues as required by the Mitigation Fee Act. Facility Standards and Cost Allocation There are three approaches typically used to calculate facilities standards and allocate the costs of planned facilities to accommodate growth in compliance with the Mitigation Fee Act requirements. The existing inventory approach is based on a facility standard derived from the City's existing level of facilities and existing demand for services. This approach results in no facility deficiencies attributable to existing development. This approach is often used when a long -range plan for new facilities is not available. Only the initial facilities to be funded with fees are identified in the fee study. Future facilities to serve growth will be identified through the City's annual capital improvement plan and budget process and/or completion of a new facility master plan. In this report this approach is used for the public safety, general government, library, and parks facilities City of Rosemead The planned facilities approach allocates costs based on the ratio of planned facilities that serve new development to the increase in demand associated with new development. This approach is appropriate when specific planned facilities that only benefit new development can be identified, or when the specific share of facilities benefiting new development can be identified. Examples include street improvements to avoid deficient levels of service or a sewer trunk line extension to a previously undeveloped area This approach is used for the proposed traffic fee. Use of Fee Revenues Impact fee revenue must be spent on new facilities or expanding current facilities to serve new development. Facilities can be generally defined as capital acquisition items with a useful life greater than five years. Impact fee revenue can be spent on capital facilities to serve new development, including but not limited to. land acquisition, construction of buildings, the acquisition of vehicles or equipment, information technology, and software licenses and equipment. IV City of Rosemead Development Impact Fee Schedule Summary Table E.1 summarizes the proposed impact fees documented in this report. Table E.1: Fee Schedule Public General I and use Traffic' Safety Government Library Parks' Total Residential Single Family $1,010 $167 $1,145 $1,583 $6,299 Multi- family $614 $135 $920 $1,271 $5,057 $10,204 $7,997 Nonresidential Retail $1,119 $31 $207 N/A N/A $1,357 Office $1,634 $42 $277 N/A N/A $1,953 Industrial $1,109 $15 $103 N/A N/A $1,227 Note'. Fees are expressed per dwelling unit for residential or per 1,000 square feet for nonresidential land use Traffic impact fees for development In single use zones shown. Fees in mined use zones are slightly lower than the single use traffic fee. ' Parks fee shown for development projects that do not involve new land subdivision. For subdivisions. Quimby Act land fee would apply. Total parks fee for subdivisions would be $6,941 per single family unit Sources. Tables 3.9, 4 4, 5.5, 6 4, and 7 6', W illdan Financial Services. v 1. Introduction This report presents an analysis of the need for public facilities to accommodate new development in Rosemead. This chapter provides background for the study and explains the study approach under the following sections: Public Facilities Financing in California; Study Objectives; Study Methodology; and - Organization of the Report. Public Facilities Financing in California The changing fiscal landscape in California during the past 30 years has steadily undercut the financial capacity of local governments to fund infrastructure. Three dominant trends stand out. The passage of a string of tax limitation measures, starting with Proposition 13 in 1978 and continuing through the passage of Proposition 218 in 1996; Declining popular support for bond measures to finance infrastructure for the next generation of residents and businesses; and - Steep reductions in federal and state assistance. State action to dissolve Redevelopment in 2012 Faced with these trends, many cities and counties have had to adopt a policy of "growth pays its own way." This policy shifts the burden of funding infrastructure expansion from existing ratepayers and taxpayers onto new development. This funding shift has been accomplished primarily through the imposition of assessments, special taxes, and development impact fees. Assessments and special taxes require the approval of property owners and are appropriate when the funded facilities are directly related to the developing property. Development impact fees, on the other hand, are an appropriate funding source for facilities that benefit all development jurisdiction -wide. Development impact fees need only a majority vote of the legislative body for adoption. Study Objectives The primary policy objective of a public facilities fee program is to ensure that new development pays the capital costs associated with growth. The proposed fees documented in this report will enable the City to expand its inventory of public facilities as new development leads to increases in service demands. Rosemead is forecast to experience moderate growth through this study's planning horizon of 2025. This growth will create an increase in demand for public services and the City facilities required to deliver those services. Given the revenue challenges described above, the City Council is considering using a development impact fee program to ensure that new development funds the share of facility costs associated with growth. Impact fees must comply with the requirements of the Mitigation Fee Act (the Act), contained in California Government Code Sections 66000 at seq. This report provides findings that may be adopted by the City Council that demonstrate that the proposed fees comply with the requirements of section 66001 of the Act, which pertains to establishing and increasing impact fees. Study Methodology Development impact fees are calculated to fund the cost of facilities required to accommodate growth. The five steps followed in this development impact fee study include: 1. Estimate existing development and future growth: Identify a base year for existing development and a growth forecast that reflects increased demand for public facilities; 2. Identify facility standards: Determine the facility standards used to plan for new and expanded facilities, 3. Determine the cost of facilities required to serve new development: Estimate the cost of facilities required to accommodate new development; 4. Calculate fee schedule: Allocate facilities costs per unit of new development to calculate the development impact fee schedule; and 5. Identify alternative funding requirements: Determine if any non -fee funding is required to complete projects. The key public policy issue in development impact fee studies is the identification of facility standards (step #2, above). Facility standards document a reasonable relationship between new development and the need for new facilities. Standards ensure that new development does not fund deficiencies associated with existing development. New Development Facility Needs and Costs A number of approaches are used to identify facility needs and costs to serve new development. This is often a two step process. (1) identify total facility needs, and (2) allocate to new development its fair share of those needs. There are three common methods for determining new development's fair share of planned facilities costs the existing inventory method, the planned facilities method, and the system plan method. Often the method selected depends on the degree to which the community has engaged in comprehensive facility master planning to identify facility needs. The formula used by each approach and the advantages and disadvantages of each method is summarized below: 2 Existing Inventory Method The existing inventory method allocates costs based on the ratio of existing facilities to demand from existing development as follows: Current Value of Existing Facilities Existing Development Demand = $ /unit of demand Under this method new development funds the expansion of facilities at the same standard currently serving existing development. By definition the existing inventory method results in no facility deficiencies attributable to existing development. This method is often used when a long - range plan for new facilities is not available. Only the initial facilities to be funded with fees are identified in the fee study. Future facilities to serve growth are identified through an annual capital improvement plan and budget process, possibly after completion of a new facility master plan. In this study, the existing inventory method is used for the public safety, general government, library, and park impact fees. Planned Facilities Method The planned facilities method allocates costs based on the ratio of planned facility costs to demand from new development as follows: Cost of Planned Facilities = $ /unit of demand New Development Demand This method is appropriate when planned facilities will entirely serve new development, or when a fair share allocation of planned facilities to new development can be estimated. An example of the former is a sewer trunk line extension to a previously undeveloped area An example of the latter is traffic improvements where data from a traffic study can be used to determine the share of facility costs that should be allocated to new development. Under this method new development funds the expansion of facilities at the standards used in the applicable planning documents. This method is used to calculate the traffic impact fee in this study. System Plan Method This method calculates the fee based on the value of existing facilities plus the cost of planned facilities, divided by demand from existing plus new development. Value of Existing Facilities + Cost of Planned Facilities Existing + New Development Demand = $ /unitofdemand This method is useful when planned facilities need to be analyzed as part of a system that benefits both existing and new development. It is difficult, for example, to allocate a new fire station solely to new development when that station will operate as part of an integrated system of fire stations that together achieve the desired level of service. The system plan method ensures that new development does not pay for existing deficiencies. Often facility standards based on policies such as those found in General Plans are higher than existing facility standards. This method enables the calculation of the existing deficiency required to bring existing development up to the policy -based standard. The local agency must secure 3 non -fee funding for that portion of planned facilities required to correct the deficiency to ensure that new development receives the level of service funded by the impact fee. Organization of the Report The determination of an impact fee begins with the selection of a planning horizon and development of growth projections for population and employment. These projections are used throughout the analysis of different facility categories, and are summarized in Chapter 2. Chapters 3 through 7 identify facility standards and planned facilities, allocate the cost of planned facilities between new development and other development, and identify the appropriate development impact fee for each of the following facility categories: - Traffic Facilities; - Public Safety Facilities; General Government Facilities; Library Facilities; and Park Facilities. Chapter 8 details the procedures that the City should follow when implementing a development impact fee program. Impact fee program adoption procedures are found in California Government Code section 66019. The findings required for adoption of the proposed public facilities fees in accordance with the Mitigation Fee Act are documented in Chapter 9. 2. Growth Forecasts and Unit Costs Growth projections are used as indicators of demand to determine facility needs and allocate those needs between existing and new development. This chapter explains the source for the growth projections used in this study based on a 2010 base year and a planning horizon of 2025. Estimates of existing development and projections of future growth are critical assumptions used throughout this report . These estimates are used as follows: The estimate of existing development in 2010 is used as an indicator of existing facility demand and to determine existing facility standards. - The estimate of total development at the 2025 planning horizon is used as an indicator of future demand to determine total facilities needed to accommodate growth and remedy existing facility deficiencies, if any - Estimates of growth from 2010 through 2025 are used to (1) allocate facility costs between new development and existing development, and (2) estimate total fee revenues. The demand for public facilities is based on the service population, dwelling units or nonresidential development creating the need for the facilities. The service population for general government facilities and public safety facilities includes residents and workers. The service population for parks and libraries includes only residents. The demand for traffic facilities is based on the number of vehicle trips associated with residential and nonresidential development. Land Use Types To ensure a reasonable relationship between each fee and the type of development paying the fee, growth projections distinguish between different land use types. Impact fees have been calculated for the following land use types. Single family: Attached and detached one -unit dwellings. Multi- family: All attached multi- family dwellings such as duplexes and condominiums. - Retail: All commercial, retail, and hotel /motel development. - Office: All general, professional, and medical office development. Industrial: All manufacturing and warehouse development. Some developments may include more than one land use type, such as a mixed use development with both multi - family and retail uses. In those cases the impact fee would be calculated separately for each land use type. The City has the discretion to determine which land use type best reflects a development project's characteristics for purposes of imposing an impact fee and may adjust fees for special or unique uses to reflect the impact characteristics of the use City of Rosemead Occupant Densities Occupant density assumptions ensure a reasonable relationship between the development of housing units or building square footage and the increase in service population, and therefore the amount of the fee. For the public safety, general government, library and parks fees, the demand for facilities is estimated based on service population, while developers pay the fee based on the number of additional housing units or building square feet of nonresidential development. Therefore, the fee schedule must convert service population estimates to these measures of project size. This conversion is done with average occupant density factors by land use, shown in Table 2.1. The residential density factors are based on data for Rosemead from the 2000 U.S. Census and recent data from the California Department of Finance (2010). The nonresidential factors are based on a 2001 Employment Density Study Summary Report conducted by The Natelson Company, Inc., on behalf of the Southern California Association of Governments (SCAG). Table 2.1: Occupant Density Residential Single Family 4.01 Residents per dwelling unit Multi- family 3.22 Residents perdwelling unit Nonresidential Retail 2.33 Employees per 1,000 square feet Office 3.13 Employees per 1,000 square feet Industrial 1.16 Employees per 1,000 square feet Sources. U.S. Census, Tables 131 -1-133, Table E -5. Califomia Department of Finance (DOE). 2010 -, The Natelson Company, Inc., Employment Density Study Summary Report , October 31, 2001, pp 15-23, Willdan Financial Services. Existing and Future Development Table 2.2 shows estimated residential and nonresidential development in Rosemead, both in 2010 and in 2025. The base year estimate of residents and dwelling units comes from the California Department of Finance. Current employment in Rosemead is based on data provided by the California Employment Development Department (EDD). Adjustments were made to account for business owners and sole proprietors, which are not included in the EDD employment estimates. An additional adjustment was made for home -based employment, which would not be associated with nonresidential buildings and the associated nonresidential impact fees. Government employment is excluded from the service population because additional local government workers and facilities are typically added to serve new development. Whereas non - government development City of Rosemead creates an increased demand for public facilities, development of government facilities occurs to meet that demand. Building square footage is estimated based on the building occupant density factors shown in Table 2.1. The 2025 projections for residents and employment are based on the Southern California Association of Governments (SCAG) 2008 Adopted RTP Baseline Growth Forecast. The total number of dwelling units in 2025 is taken from the SCAG forecast. The distribution of new housing between single family units and multi - family units is based on the percentage of each unit type in the growth forecast in the Rosemead Circulation Element Update Traffic Impact Analysis. Projected 2025 population is based on the forecasted number of dwelling units in Rosemead, along with the occupant density factors shown in Table 2.1. Projected employment is based on the RTP's forecast for employment in Rosemead, with an adjustment for home-based employment, business owners, and government employment. It is assumed that the distribution of employment between retail, office, and industrial land uses will remain the same in 2025 as it is today. , The Traffic Impact Analysis growth projection is based on the full buildout capacity of the General Plan's land use designations. This is a larger amount of growth than the SCAG projections for 2025. Therefore, the SCAG projections are used to estimate development through this study's planning horizon of 2025. Table 2.2: Rosemead Existing and Future 0-2825 Residents 57,756 60,604 2,848 Dwelling Units' Single Family 12,091 12,664 573 Multi- family 2.685 2,856 171 744 Total 14,776 15,520 Employments Retail 6,900 7,361 461 Office 4,474 4,773 299 Industrial 4,355 4.646 291 1,051 Total 15,729 16,780 Building Square Feet (OOOs) a Retail 2,967 3,165 198 Office 1,432 1,527 95 Industrial 3.745 3.996 251 544 Total 8,144 8,688 'Growth in Rosemead households is based on the SCAG RTP Model SCAG does not provide household growth projections by type of unit (single or multi - family). The proportion of growth that is single versus multi family is based on the KOA Traffic Analysis supporting the 2010 Rosemead General Plan Circulation Element Update. ' Based on data on employment by industry sector from the California Employment Development Department. Excludes government employment and home -based employment. ' Based on estimated employees by land use and employment density assumptions from Table 2.1. Sources. Table 2.1; Table E -5, California Department of Finance ; California Employment Development Department; Adopted 2008 RTP Growth Forecast, Southern California Association of Governments; Traffm Analysis for the City of Rosemead. Circulation Element Update and Environmental Impact Report, February 19, 2010, KOA Corporation Planning and Engineering, Table 10, Willi Financial Services. Unit Costs This study makes use of unit costs for land values and building construction. These costs are used to estimate the replacement value of existing facilities. Building costs are typically expressed in terms of cost per square foot while land costs are expressed in terms of cost per acre. Land is estimated at $700,000 per acre for vacant residential parcels and $3.0 million per acre for vacant commercial land. This value is based on recent listings of vacant residential and commercial parcels in Rosemead and nearby cities. 8 of Rosemead This study assumes a value of $375 per square foot for most city buildings and community centers, based on construction costs for recent similar projects in other cities Willdan has worked with. A $150 per square foot building cost is used to estimate the cost of public works shop facilities. Park improvement costs are based on recent appraisal information provided by the City. 3. Traffic Facilities The purpose of the traffic impact fee is to fund the share of roadway improvement costs allocated to new development. A proposed fee is presented based on the projected vehicle trip growth in Rosemead and the roadway improvements that have been identified to accommodate additional traffic. Trip Demand from New Development The allocation of roadway project costs to new development projects is based on the trip demand generated by each project. Trip demand is estimated base on the number of peak hour trips per dwelling unit and per 1,000 square feet of nonresidential development. Table 3.1 shows the estimates of existing dwelling units and building square footage, as well as projected growth through 2025. Table 3.1: Dwelling Unit and Building Square Footage Estimates Mixed Use Single Use Total Growth 2010 2025 Growth Zoning Growth 2010 -2025 Dwelling Units' Single Family 12,091 12,664 - 573 573 MUlti- family 2685 2,856 171 - 171 Total 14,776 15,520 171 573 744 Building Square Feet (000SI z Retail 2,967 3,165 198 - 198 Office 1,432 1,527 95 - 95 Industrial 3.745 3.996 251 - 251 Total 8,144 8,688 544 - 544 ' Gmv4h in Rosemead households is based on the SCAG RTP Model. SCAG does not provide household gmmh projections by type of unit (single or multi family) The proportion of gmwth that is single versus multi family is based on the KOA Traffic Analysis supporting the 2010 Rosemead General Plan Circulation Element Update. Based on estimated employees by land use and employment density assumptions from Table 2.1. Sources. Table 21t Traffic Analysis for the City of Rosemead. Circulation Element Update and Environmental Impact Report, February 19. 2010', KDA Corporation Planning and Engineering. Table 10', Willdan F'mandal Services. The Traffic Impact Analysis estimates that development in mixed use zones will have an 11 percent internal capture rate due to the ability of residents and workers in these areas to shop and complete other tasks without needing to drive other areas. This assumption is incorporated in this analysis. It is assumed that multifamily and nonresidential development through 2025 will primarily occur in mixed use zones, while single family residential development will be primarily in single use zoning districts. to City of Rosemead The trip demand associated with each land use type is determined based on the number of afternoon peak hour trips generated by the development, adjusted for variations in the number of pass -by trips and the average trip length associated with each land use. The analysis is based on peak hour traffic conditions because peak hour traffic demand determines the facility improvements that will be needed to accommodate traffic at acceptable levels of congestions. Table 3.2 (following page) shows the trip demand factors for each land use type. Trip demand factors are shown for both single use zoning districts and mixed use zoning, incorporating the 11 percent trip generation reduction assumed in mixed use areas. Table 3.3 shows the estimated trip demand from new and existing development, based on the development estimates shown in Table 3.1 and the trip demand factors shown in Table 3.2. As shown, new development is projected to generate approximately five percent of trip demand at the 2025 planning horizon, while existing (2010) development is projected to account for 95 percent of trip demand. Table 3.3: Trip Demand i rip Existing Trip Demand Demand Existing DU/ New Dev. DUI Trip from New Factor 1,000 So. Ft. 1.000 So. Ft. Demand Develar ment Single Use Zoning Residential Single Family 1.02 12,091 573 12,333 584 Multi- family 0.62 2,685 - 1,665 - Nonresidential Retail 1.13 2,967 - 3,353 - Office 1.65 1,432 - 2,363 - Industrial 1.12 3,745 - 4,194 - Mixed Use Zoning Residential Single Family 0.91 - - - - Multi- family 0.55 - 171 - 94 Nonresidential Retail 1.01 - 198 - 200 Office 1.47 - 95 - 140 Industrial 1.00 - 251 - 251 Total Trip Demand Units 23,907 1,269 Percent of Total 95.0% 5.0 3 .1 and 3 .2. Impact Fee Study Table 3.2: Trip Demand Factor A B C =AxB D E =CxD F =a9 %xE Trip Adjust- PM Peak Trip Demand Trip Demand Primary Length ment Hour Factor, Single Factor, Mixed Trios' Index2 Factor' Trios° Use Zonina' Use Zoninae Residential (per dwelling unit) Single Family Single Family Detached (210) 100% 1.00 1.00 1.02 1.02 0.91 Multi- family Apartment (220) 100% 1.00 1.00 0.62 0.62 0.55 Nonresidential (per 1,000 square feet) Retail Shopping Center (820) 66% 0.46 0.30 3.75 1.13 1.01 Office General Office Building (710) 100% 1.11 1.11 1.49 1.65 1.47 Industrial General Light Industrial (110) 100% 1.14 1.14 0.98 1.12 1.00 Excludes pass -by trips. Pass -by trips are links that do not add more than one mile to the total trip. Rosemead Circulation Element Traffic Analysis identifies that 34% of PM peak hour retail trips are pass -by trips. ' Index value for the average length of thin to associated trip category . Captures varying impact of type of trip end. ' Total factor by which trip demand is adjusted accounting for trip length and pass -by trips. x Trips per dvrelling unit (residential) or per 1,000 building square feet (nonresidential) s The trip demand factor for each land use is the product of PM peak hour trips and the trip demand adjustment factor. °According to the Traffic Analysis for the City of Rosemead, an 11 % reduction in PM peak hour trip demand is assumed for development in mixed use zones due to internal capture of some residential- tocommercial trips in these zones. Sources: Traffic Analysis for the City of Rosemead- Circulation Element Update and Environmental Impact Report, February 19, 2010', KOA Corporation Planning and Engineering: Trip Generation, 7th Edition. 2003, Institute of Traffic Engineers (ITE), Brief Guide of Vehicular Traffic Generation Rates for the San Diego Region, SANDAG', Willdan Financial Services. City of Rosemead Traffic Improvements and Cost Allocation Goal 1 of the Rosemead General Plan Circulation Element is to "Maintain efficient vehicular and pedestrian movements throughout the city." This goal is supported by Implementation Action 1.3: "Make every feasible effort to provide LOS D operations or better on arterial roadways and collector roadways." The Traffic Impact Analysis for the City of Rosemead Circulation Element Update identified traffic improvements that will be needed to mitigate the impacts of projected increases in traffic in Rosemead and maintain a LOS of D or better on the City's arterials and collectors. Table 3.4 shows the existing and projected future volume to capacity (V /C) ratio and LOS for intersections where new development is anticipated to result in a LOS of E or F, generating a need for traffic improvements to increase the capacity of the intersection. The V/C ratio is the ratio of the actual or projected traffic in an intersection and the theoretical capacity of the intersection. A V/C ratio of 1.0 is the threshold between LOS E and LOS F. Conditions are shown for the Traffic Impact Analysis base year of 2009. The table also shows projected conditions in 2025 with no additional development in Rosemead, as well as with additional development in Rosemead consistent with the Rosemead General Plan Land Use Element. City of Rosemead Development Impact Fee Study Table 3.4: Existing and Future PM Peak Hour Intersection Conditions Existing Conditions Future (2025) without Future (2025) with 2009 Development Deve lopened t Recommended Roadway Vicinity VIC LOS VIC LOS VIC LOS Improvement _ Walnut Grove Ave. Valley Blvd 0.936 E 1.078 F 1.171 F Thou Lanes 1i Walnut Grove Ave. Marshall Street 0.898 D 1.034 F 1.586 F Turn Lanes San Gabriel Blvd. Hellman Ave. 0,778 C 0.892 D 0.906 E Thru Lanes, Turn Lanes Walnut Grove Ave. Hellman Ave. 0.963 E 1.108 F 1.207 F Turn Lanes New Ave. Garvey Ave. 0.803 D 0.922 E 1.013 F Thru Lanes Del Mar Ave. Garvey Ave. 0.874 D 1.006 F 1.084 F Thru Lanes San Gabriel Blvd. Garvey Ave. 0.964 E 1.110 '', F 1.123 i F Thru Lanes Walnut Grove Ave. Garvey Ave. 0.900 E 1.035 F 1.143 F Thru Lanes Walnut Grove Ave. San Gabriel Blvd. 0.872 i'i D 1.003 F 1.069 F Third Lanes, Turn Lanes Valley Blvd. Rio Hondo Ave. 0.753 C 0.866 D 0.929 E Turn Lanes Valley Blvd. Temple City Blvd. 0.921 E 1.061 F '.. 1.079 F Turn Lanes Del Mar Ave. Hellman Ave. 0.812 D .. 0.932 E 0.958 E Turn Lanes San Gabriel Blvd. SR 60 Freeway 0 793 C 0.910 E 0.945 E Turn Lanes Del Mar Ave. Garvey to Newmark 1.170 F 1.369 F 1.285 F Widening 1 -10 Fwy to City "i Widening. Thru Lanes, Rosemead Blvd. Limit 1.231 F 14 F 1.501 F Turn Lanes Source. Tragic Analysis for the City of Rosemead Cimulation Element Update and Environmental Impact Report, KOA Corporation Planning and Engineering, Tables 15 and 16. of Rosemead _ _ Development Impact Fee Study Table 3.5 shows the intersection improvements that the Traffic Impact Analysis recommends to mitigate the projected traffic increases. The cost of completing the intersection improvements was estimated by the Rosemead Public Works Department. These improvements would primarily involve restriping intersections to revise the turn lane configuration and restrict parking. Table 3.5: Traffic Project Costs for Roadway and Intersection Improvements Location Descriptb Cons C omen cows (Design, Platted M mL Total Cost Walnut Grove Ave. at Valley Thor Lanes $100000 $15,000 $115 Walnut Grove Ave. at Marshall SL Turn Lanes !1 $22.500 $1]2500 Ban Gabnel BWtl at Hellman Ave. Thou Lanes, Tum Lanes $100000 $15000 $115000 Walnut Grove Ave. at Hellman Ave. Tum Lanes $50 o00 $] 500 _ §5] 500 Nev, Ave. at Garvey Ave. Thm Lanes $50,000 $] 500 $57 50 Del Mar Ave. at Garvey Ave. Thou Lanes $ $ $57 500 Ban Gabriel Blvd at Garvey Ave Thru Lanes $150,000 $22500 $1]2500 Walnut Grove Ave. at Garvey Ave Thm Lan $150,000 $22 5 $172 500 Walnut Grove Ave. at San Gabriel Blvd. Tbru Lanes, Tum Lanes $150000 $22500 $172500 Valley Blvd at RIO Hondo Ave Tum Lane $ $15 0 $115 000 Valley Blvd. at Temple City Blvd. Tum Lanes $250000 $ $2875 Del Mar Ave. at Hellman Ave Turn Lanes $50 000 §] 500 $57 500 San Gabriel Blvd. at Be 60 Freeway Turn Lane $15 0 $115 00. Del Mar Ave .(GarveVo Newmark) Widening $450000 $67,500 $51],500 Rosemead Blvd. (L10 Freeway to City Lima) Widening, Tbru Lanes, Turn Lanes $1 C 415000 $2,085000 $12500000 Total Costs $12315000 $23]0000 $14585000 so _v: Tame 61'. nN a1 aoeemaan Table 3.6 shows the allocation of the intersection improvement costs to new development in Rosemead. This determines the cost that will be charged to new development in the City through the impact fee. The improvement costs are adjusted for two factors to determine new development's share of costs: Existing deficiencies: Some of the intersections with planned improvements currently operate at LOS E or F, which is lower than the minimum acceptable LOS of D. This corresponds to a VIC ratio greater than 0.90. Therefore, existing development is creating some of the need for improvements at these intersections. Column D of Table 3.6 shows the share of improvement costs allocated to new development. When the entire cost is not allocated to new development the intersection has an existing LOS of E or F, and a V/C ratio greater than 0.90. The share of costs allocated to new development is based on the percentage of the future intersection deficiency L e. the amount by which the future V/C ratio exceeds 0.90) that is caused by development projected to occur between the present time and 2025. Traffic growth from non - Rosemead trips: New development in Rosemead will cause increases in traffic in Rosemead. In addition, the Traffic Impact Analysis projects that there will be increases in traffic due to vehicles passing through the City, IS City of Rosemead Development Impact Fee Study including commute routes on surface streets and vehicles that choose to cut through the City during periods of extreme freeway congestion. This increase in traffic does not result from new development in Rosemead. Column B of Table 3.6 shows the projected VIC ratio with only projected growth in regional traffic passing through Rosemead, and no traffic generated by additional development in the City. Column E shows the share of improvement needs for each intersection allocated to new development in Rosemead, and not to growth in pass- through traffic. 16 City of Rosemead 0936 1078 1.171 Development Impact Fee Study _ Table 3.6: Intersection Improvement Cost Allocation $39,464.94 Walnut Grove at Marshall St 0.898 1.034 A B C 0= ((C- 0.9) -(A0 g) /(C 09) E= (GB)/(C -A) F G =Ox ExF V/C Ratio 0.778 0.892 Rosemead Cost to Existing Future (2025j -Future (2025) Share of Improvement Only New Rosemead (2009) Without With Allocated to New Development Project New Conditions Development Development Development' Allocation Cost Development Walnut Grove Ave. at Valley Blvd. 0936 1078 1.171 87% 40% $115,000 $39,464.94 Walnut Grove at Marshall St 0.898 1.034 1586 100% 80% $172,500 $138,804.66 San Gabriel Blvd at Hellman Ave. 0.778 0.892 0.906 100% 11% $115,000 $12,578.13 Walnut Grove Ave. at Hellman Ave. 0.963 1.108 1.207 79% 41% $ 57,500 $18,542.35 New Ave. at Garvey Ave. 0.803 0.922 1013 100% 43% $57,500 $24,916.67 Del Mar Ave. at Garvey Ave. 0.874 1.006 1.084 100% 37% $57,500 $21,357.14 San Gabriel Blvd. at Garvey Ave. 0.874 1.006 1.084 100% 37% $172,500 $64,071.43 Walnut Grove Ave. at Garvey Ave. 0.964 1.11 1.123 71% 8% $172,500 $10,056.05 Walnut Grove Ave. at San Gabriel Blvd. 0.872 1.003 1.069 100% 34% $172,500 $57,791.88 Valley Blvd. at Rio Hondo Ave. 0753 0.866 0.929 100% 36% $115,000 $41,164.77 Valley Blvd. at Temple City Blvd, 0.921 1.061 1.079 88% 11% $287,500 $28,910.61 Del Mar Ave. at Hellman Ave. 0.812 0.932 0.958 100% 18% $57 500 $10,239.73 San Gabriel Blvd. at SR 60 Freeway 0.793 0.91 0.945 100% 23% $115,000 $26,48026 Del Mar Ave. (Garvey to Newmark) 1.170 1.369 1.285 30% 73% $517,500 $112,841.88 Rosemead Blvd (1 -10 Freeway to City Limit) 2 1231 1.441 1.501 5% $12,500,000 $625,00000 Total $14,685,000 $1,232,221 The Traffic Analysis for the City of Rosemead Circulation Element and Environmental Impact Ramon is identifies de a minimum acceptable Level of Service (e05) of re associated th a volume to capacity wit ratio of less than O8. For , intersections with an existing Vou ratio less than sham to O9, new d Is to mente These and all Improvements then be allocated to lulYre traffic groWln. For those intersections filth existing deficiencies In LOS, the existing deficiency is netted out of the fist share alloraled to new tlevelopmenl. These allaabOns are less than 100%. Although not owned by the City, this portion of Rosemead Blvd. Is fully with the Ci ce boundaries. Funds are needed to leverage against State funds or grants in Order to Improve roadway conditions and enhance mobility for this roadway within the City. This approach has been successfully used for other Improvements along Rosemead Boulevard. The projact cast is allocated on an equal basis to all existing and protected new development through the study's 2025 planning horizon. As shown In Table 3.3. new development between 2010 and 2025 is projected to generate approximately five percentoftecal trip demand In 2025. Correspondingly, five percent of the Improvement costs for Rosemead Boulevard are allocated to new development and Included in the impact fee. Sources: Traffic Analysis for City of Rosemead Circulation Element and Environmental Impact Report, February 19 2010 and Rosemead Boulevard Relinquishment Study, June 2005 17 City of Rosemead Development Impact Fee Study In addition to the intersection improvement projects identified by the Traffic Impact Analysis, the City of Rosemead has identified the need for approximately $12.5 million in rehabilitation and improvement work on Rosemead Boulevard. The Rosemead Boulevard Relinquishment Study identifies improvements that are needed to Rosemead Boulevard to bring the street up to City standards. The study also identifies the need to widen the street to six lanes north of the 10 Freeway to accommodate existing traffic and future growth. The study was prepared to inform considerations of relinquishment of the street, which is currently a state highway, to the City of Rosemead. While the City has decided not to pursue relinquishment at this time, the Public Works Department has indicated that the improvements and rehabilitation needs identified in the Relinquishment Study will still be needed within the 2025 planning horizon of the impact fee study. The improvements are likely to be partly funded by Caltrans and partly funded by the City of Rosemead. There are a number of improvements identified in the Circulation Element Traffic Impact Analysis that are not included in this fee study. The Traffic Impact Analysis identified improvement needs at several intersections and roadway segments along Rosemead Boulevard. Improvements at these intersections and roadway segments are included in the Rosemead Boulevard Relinquishment Study, and are therefore not identified separately. In addition, the Traffic Impact Analysis identified the need to widen Walnut Grove Avenue to six lanes between Valley Boulevard and Marshall Street to maintain an acceptable LOS. The Rosemead Public Works Department indicates that this improvement is infeasible due to right -of -way constraints. Therefore, this project is not included in the fee study. Table 3.7 shows the cost of traffic improvements allocated to new development per unit of trip demand generated by new development. The cost per trip demand unit is used as the basis of the proposed traffic impact fee. Table 3.7: Traffic Facilities Cost per P.M. Peak Hour Trip Demand Unit New Development Share of Intersection Costs $1,232,221 Peak Hour Trip Demand From Growth 1269 Cost per Unit of Peak Hour Trip Demand $971.02 M City of Rosemead Development Impact Fee Study Fee Schedules Table 3.8 shows the proposed traffic impact fee for development projects in single use zoning districts. The cost per unit of trip demand is converted to a fee per unit of development based on the trip demand factors for single use zoning districts shown in Table 3.2. The total fee includes a two percent administrative charge to fund fee program administrative costs including revenue collection, revenue and cost accounting, mandated public reporting, fee justification analyses, and legal review. The administrative charge should be reviewed and adjusted during comprehensive impact fee updates to ensure that revenue generated from the charge sufficiently covers, but does not exceed, the administrative costs associated with the fee program. Table 3.8: Traffic Impact Fee, Single Use Zon A a Cost Per PM Trip Demand Total Fee' Residential Single Family $971 1.02 $990 $20 $1,010 Multi - Family $971 0.62 $602 $12 $614 Non - Residential Retail $971 1.13 $1,097 $22 $1,119 Office $971 1.65 $1,602 $32 $1,634 Industrial $971 1.12 $1,088 $22 $1,109 Fee per dwelling unit for residential land uses and per 1,000 square feet for ngnresitlential uses. sources: Tables 32 and 3 7 Wllldan Financial Services. 19 City of Rosemead Development Impact Fee Study Table 3.9 shows the proposed traffic impact fees for development projects in mixed use zoning districts. Table 3.9: Traffic Impact Fee, Mixed Use Zones A 6 C =A Cost Per PM Trip Demand Residential Single Family $971 0.91 Multi - Family $971 0.55 Non - Residential $18 Retail $971 1.01 Office $971 1.47 Industrial $971 1.00 ' Fee per dwelling unit for residential land uses and per 1,000 squ sources'. Tables 3 2 and 3.7 Willdan Flnandal services. Non -Fee Funding Needed Fee' Admin. E =C +D $884 $18 $901 $534 $11 $545 $981 $20 $1,000 $1,427 $29 $1,456 $971 $19 $990 ve feet for nonresidential uses The traffic impact fee is projected to fund the $1,232,000 in project costs allocated to new development, as shown in Table 3.7. A significant amount of non -fee funding will be needed to complete the traffic improvement projects included in the fee study. As shown in Table 3.10, approximately $13.5 million in non -fee funding will be needed. This funding may come from subventions of gas tax revenue, state and regional transportation funding programs, the General Fund, or other sources. Table 3.10: Non -Fee Funding Needed for Traffic Improvements in Fee Program Intersection Improvements Total Improvement Cost $14,685,000 New Development Cost Allocation _ $1,232,221 Non -Fee Funding Needed $13,452,779 12 4. Public Safety Facilities The purpose of the public safety impact fee is to fund the public safety facilities needed to serve new development. A proposed fee is presented based on the existing facility standard in the City of Rosemead. This fee will allow the City to maintain its current level of facilities per capita as growth occurs. Service Population Public safety facilities are used to provide public safety services to both residents and businesses. The service population used to determine the demand for public safety facility includes both residents and workers. Table 4.1 shows the current public safety facilities service population and the estimated service population at the planning horizon of 2025. Both residents and businesses create demand for public safety facilities; however, residents and workers do not create demand for facilities at an equal rate. It is assumed that relative facilities demand is proportional to the time people spend working compared to the time they spend not working. Thus, each worker is weighted at 0.31 and each resident is weighted at 1.00, based on the ratio of 40 working hours per week to 128 non - working hours per week. Table 4.1 Public Safety Facilities Service service Existing ResidentsNVorkers 57,756 15,729 Weighting Factor 1.00 0.31 Exisitng Service Population (2010) 57,756 4,876 62,632 New ResidentsNVorkers 2,848 1.051 Weighting Factor 1.00 0.31 New Service Population (2010-2025) 2,848 326 3,174 Total Service Population (2025) 60,604 5,202 65,806 'workers demand 5 weighted at 0.31 of residents demand based on the ratio of 40 working hours per to 128 non - working hours (40/128= 0.31). Sources'. Table 2 2. Willdan Financial 21 of Rosemead Development Impact Fee Study Facility Inventory Table 4.2 summarizes the City's current inventory of public safety facilities. The estimated values shown for public safety equipment were provided by the City. Vehicle values are based on Kelley Blue Book values for each vehicle model and year. Table 4.2: Existing Public Safety Facilities Eauioment Inventory Units Unit Cost Total Value Land 1 ea $ 25,000 $ 25,000 Public Safety Building 0.30 acres $ 3000,000 $ 900,000 Buildin s 6 ea 400 2,400 Public Safety Building 3,600 sq. k. $ 375 $ 1,350,000 Vehicles 1 ea 11,000 11,000 2003 Ford Crown Victoria 1 ea $ 9,500 $ 9,500 2005 Ford Sport Tree 1 ea 16,500 16,500 2005 Ford Ranger 3 ea 8,700 26,10D 2007 Chev. Colorado w / Comp. System 1 as 30,000 30,OOD 2008 Chev. Colorado wl Comp. System 1 ea 30,000 30,OOD 2007 GEM Electric Car 1 ea 12,500 125D0 Subtotal - Vehicles 1 ea 16,000 $ 124,600 Eauioment Telephone System 1 ea $ 25,000 $ 25,000 Computer Desk Stations 26 ea 3,000 78,000 Printers 6 ea 400 2,400 Color Laser Printer 1 ea 2,500 2,500 Photo Copy Machine 1 ea 11,000 11,000 TV Monitors 5 ea 900 4,500 Cable Box Systems 8 Computer Projector/ N/A N/A 5,000 Mechanical Wall System Chairs 100 ea 15 1,500 Tables 20 ea 50 1,000 Portable Speaker System 1 ea 4,000 4,000 LASD "Live Scan" Machine 1 ea 16,000 16,000 Closed Circuit Monitor System w/ 6 HD Cameras 1 ea 24,000 24.00 Subtotal - Equipment $ 174,900 Total Value of Existing Public Faculties $ 2,549,500 Sources'. City of Rosemead, Loopnet Kelley Blue Book, Wildan Financial Services. 22 City of Rosemead Development Impact Fee Study Facility Standard Table 4.3 shows the existing facility standard for public safety facilities. This value is calculated by dividing the total value of existing public safety facilities by the existing service population. The resulting cost per resident is used to determine the impact fee for residential land uses, while the cost per worker is used to determine the impact fee for nonresidential land uses. Table 4.3: Public Safety Facility Cost per Capita Value of Existing Facilities $ 2,549,500 Existing Service Population 62.632 Cost Per Capita $ 41 Cost per Resident $ 41 Cost Per Worker' 13 Basetl on 0.31 worker weighting factor. Sources: Tables 4.1 and 4.2; Mill Financial Services. Fee Schedule Table 4.4 shows the proposed public safety facilities fee schedule. The cost per capita is converted to a fee per unit of new development based on the dwelling unit and employment densities (persons per dwelling unit or employees per 1,000 square feet of nonresidential building space) shown in Table 2.1. The total fee includes a two percent administrative charge to fund fee program administrative costs including revenue collection, revenue and cost accounting, mandated public reporting, fee justification analyses, and legal review. The administrative charge should be reviewed and adjusted during comprehensive impact fee updates to ensure that revenue generated from the charge sufficiently covers, but does not exceed, the administrative costs associated with the fee program. 23 City of Rosemead Development Impact Fee Study Table 4.4: Public Safety Facilities Fee Schedule A B C =AxS D= Cx2% E =CtD Cost Per Admin Residential Single Family $ 41 4.01 $ 164 $ 3 $ 167 Multi- family 41 3.22 132 3 135 Nonresidential Commercial $ 13 2.33 $ 30 $ 1 $ 31 Office 13 3.13 41 1 42 Industrial 13 116 15 0 15 ' Fee per dwelling unit for residential, per 1,000 square feet for nonresidential. Administrative charge of 2.0 percent. sources'. Tables 2.2 and 4.3: Willtlan Financial services. Estimated Fee Revenue Table 4.5 shows the projected revenue from the public safety facilities fee through the study's 2025 planning horizon. These estimates are calculated by multiplying the cost per capita from Table 4.3 by the projected growth in residents and workers between 2010 and 2025. The public safety impact fee is projected to generate approximately $131,000 through 2025. The fee revenue can be used to expand existing public safety facilities, construct new facilities, and purchase additional vehicles and equipment to accommodate additional development and the corresponding demands for services. Table 4.5: Projected Public Safety Impact Fee Revenue Total Fee Residents Workers Revenue New ResidentsNVorkers(2010 -2025) 2,848 1,051 Fee per Capita $ 41 $ 13 Fee Revenue $ 117,000 $ 14,000 $ 131,000 sources: Tables 4.1 and 4.3', Willi Financial services. 24 5. General Government Facilities The purpose of the general government facilities impact fee is to fund the general government facilities needed to serve new development. The proposed fee is based on the existing facility standard in the City of Rosemead. This fee will allow the City to maintain its current level of facilities per capita as growth occurs. Service Population General government facilities are used to provide civic and administrative services to both residents and businesses. City administration and public works facilities are included in the general government fee category. The service population used to determine the demand for general government facilities includes both residents and workers. Table 5.1 shows the current service population and the estimated service population at the planning horizon of 2025. Both residents and businesses create demand for general government facilities; however, residents and workers do not create demand for facilities at an equal rate. It is assumed that relative facility demand is proportional to the time people spend working compared to the time they spend not working. Thus, each worker is weighted at 0.31 and each resident is weighted at 1.00, based on the ratio of 40 working hours per week to 128 non - working hours per week. Table 5.1 General Government Service Service Existing ResidentsNVorkers 57,756 15,729 Weighting Factor 1.00 0.31 Existing Service Population (2010) 57,756 4,876 62,632 New Residents/Workers 2,848 1,051 Weighting Factor 1.00 0.31 New Service Population (2010-2025) 2,848 326 3,174 Total Service Population (2025) 60,604 5202 , 65,806 ' Workers demand is weighted at 0.31 of residents demand based on the ratio of 40 working hours per week to 128 non - working hours (401128 =0.31). Sources: Table 2.2; Willdan Financial Services. Facility Inventory Table 5.2 summarizes the City's current inventory of general government land and buildings. The total estimated value of the City's existing inventory of land and buildings is approximately $12.1 25 City of Rosemead Development Impact Fee Study million. This estimate is based on the assumed price of $3 million per acre of vacant land in commercial districts and $700,000 per acre for land in residential areas. Based on similar projects in other cities Willdan has worked with, construction costs are estimated to be $375 per square foot for City Hall and Garvey Park Public Services Center and $150 per square foot for maintenance shop facilities. Table 5.2: Existina General Government Land & Buildinas Inventory Unit Cost Total Value Land''' City Hall 0.98 acres $ 3,000,000 $ 2,940,000 Garvey Park Facility 1.43 acres 700,000 1,001,000 Ramona Yard 0.35 acres 700,000 252,000 Rosemead Park Facility 0.60 acres 700,000 420.000 Subtotal - Land 3.37 acres $ 4,613,000 Buildings Rosemead Park Public Works Facility Building 1 398 sq. ft. $ 150 $ 60,000 Building 1,168 sq. ft. 150 175,000 Building 3 3,143 sq. ft. 150 471,000 Building 300 sq. ft. 150 45,000 Subtotal - Rosemead Park Facility 5,009 sq. ft. $ 751,000 Other Buildings Garvey Park Maintenance Yard 14,136 sq. ft. $ 150 $ 2,120,000 Garvey Park Public Services Center 4,500 sq. ft. 375 1,688,000 City Hall 20.000 sq. ft. 375 7,500,000 Subtotal - Other Buildings 38,636 sq. ft. $ 11,308,000 Subtotal - Buildings 43,645 sq. ft. $ 12,059,000 'Acreage associated with the public vxork facilities located In parks is shown here and not included in the parks acreage calculated in the existing parkland inventory . 2 Based on a review of parcels on the market, land value for facilities in residential and officeAght industrial areas is estimated at $700.000 per acre. Land value for facilities in commercial districts estimated at $3,000,000 per acre. source: City of Rosemead: Willdan Financial services. 26 of Rosemead Fee Table 5.3 summarizes the City's current inventory of general government vehicles and equipment. The City currently has an estimated $877,000 worth of vehicles and equipment. The estimated values shown for general government vehicles were provided by the City. Table 5.3: Existina General Government Vehicles & Eauioment Inventory Unit Cost Total Value Administration Hybrid SUV 1 $ 35,000 $ 35,000 Toyota Camry, Hybrid Sedan 2 26,000 52,000 Community Service Chevrolet Compact Pickup 2 20,000 40,000 Public Services Nissan 4x2 Pickup 1 20,000 20,000 Ford 3/4 Ton Pickup 1 27,000 27,000 Ford 1 Ton Pickup 2 29,000 58,000 Chevrolet Compact Pickup 3 20,000 60,000 Chevrolet 1 Ton Pickup 3 29,000 87,000 Ford Taurus 1 25,000 25,000 Ford Compact Pickup 2 20,000 40,000 Ford 1/2 Ton Pickup 1 26,000 26,000 Aerial Lift Truck 1 95,000 95,000 Tractor 1 90,000 90,000 Dump Truck 1 60,000 60,000 Aerial Scissor Lift 1 20,000 20,000 Generator 2 5,000 10,000 Public Works Ford Econoline 1 Ton Van 3 28,000 84,000 Public Works Administration Ford Taurus 1 25,000 25,000 Toyota Prius 1 23,000 23.000 Total $ 877,000 Source '. City of Rosemead: Willdan Financial Services. 27 City of Rosemead _ Development Impact Fee Study Facility Standard Table 5.4 shows the existing facility standard per capita for general government facilities. This value is calculated by dividing the total value of existing general government facilities by the existing service population. The resulting cost per resident is used to determine the impact fee for residential land uses, while the cost per worker is used to determine the impact fee for nonresidential land uses. Table 5.4: General Government Facility Cost per Capita Value of General Government Land $ 4,613,000 Value of General Government Buildings 12,059,000 Value of General Government Vehicles B Equipment 877,000 Total Value of Existing Facilities $ 17,549,000 Existing Service Population 62,632 Cost Per Capita $ 280 Cost per Resident $ 280 Cost Per Worker' 87 ' Based on o 31 vrorker veighfing factor. Sources: Tables 5 , 5.2, and 5 3; Willdan Finacial Services. Fee Schedule Table 5.5 shows the proposed general government facilities fee schedule. The cost per capita is converted to a fee per unit of new development based on dwelling unit and employment densities (persons per dwelling unit or employees per 1,000 square feet of nonresidential building space). The total fee includes a two percent administrative charge to fund fee program administrative costs including revenue collection, revenue and cost accounting, mandated public reporting, fee justification analyses, and legal review. The administrative charge should be reviewed and adjusted during comprehensive impact fee updates to ensure that revenue generated from the charge sufficiently covers, but does not exceed, the administrative costs associated with the fee program. 28 City of Rosemead Development Impact Fee Study Table 5.5: General Government Facilities Fee Schedule A B C =A'B D -2 %'C I E_ Cost Per I Admin. Land Use Capita Density Base Fee Charge' Total Fee Residential Single Family $ 280 4.01 $ 1,123 $ 22 $ 1,145 Multi- family 280 3.22 902 18 920 Nonresidential Retail $ 87 2.33 $ 203 $ 4 $ 207 Office 87 3.13 272 5 277 Industrial 87 1.16 101 2 103 'Administrative charge of 2.0 percent. Sources: Table 2 2 and 54; Willdan Financial Services. Estimated Fee Revenue Table 5.6 shows the projected revenue from the general government impact fee through the study's 2025 planning horizon. These estimates are calculated by multiplying the cost per capita from Table 5.4 by the projected growth in residents and workers between 2010 and 2025. The general government impact fee is projected to generate approximately $900,000 through 2025. The fee revenue can be used to expand existing general government facilities, construct new facilities, and purchase additional vehicles and equipment to accommodate additional development and the corresponding demands for services. Table 5.6: Projected General Government Impact Fee Revenue Total Fee Residential Non - Residential Revenue New ResidentsANorkers(2010 -2025) 2,848 1,051 Fee per Capita $ 280 $ 87 Fee Revenue $ 797,000 $ 91,000 $ 888,000 Sources'. Tables 5.1 and 5.4', Willdan Financial Services. 29 6. Library Facilities The purpose of the library impact fee is to fund the library facilities needed to serve new development- The proposed fee is based on the existing facility standard in the City of Rosemead. This fee will allow the City to maintain its current level of facilities per capita as growth occurs. The Rosemead Library is owned and operated by the County of Los Angeles Public Library. However, it is likely that the City of Rosemead would be required to provide funding for future library expansions, a replacement of the Library building, and/or investment in expanded collections and technology. The proposed impact fee would provide funding to expand the library facilities to accommodate growth in the City. Service Population Table 6.1 shows the current library facilities service population and the estimated service population at the planning horizon of 2025. As residents are considered to be the primary users of libraries, demand for libraries is based on the City's residential population, rather than a combined resident- worker service population. Table 6.1: Library Service Population Existing New Future Residents Development Service 2010 2010 -2025 Population Residents 57,756 2,848 60,604 Source. Table 2.2. 30 City of Rosemead Facility Inventories Development Impact Fee Study Table 6.2 summarizes the Rosemead Library's current inventory of library land, buildings, collections, and computers. The Rosemead Library's collection includes books, magazine and newspaper subscriptions, videotapes, CDs, audio recordings, books on tape and laser disks. The average unit cost for these items is based on an estimate of library volume costs from the Bowker Annual. Table 6.2: Existing Library Facilities Invento Unit Cost Total Value Land Rosemead Library 2.23 acres $ 3,000,000 $ 6,690,000 Buildings Rosemead Library 29,860 sq. ft. $ 375 $ 11,198,000 Volumes Rosemead Library 123,120 items $ 36 $ 4,432,000 computers Rosemead Library 34 computers $ 800 $ 27,000 Total Value Existing Facilities $ 22,347000 sources: County of Los Angeles Public Library, The bow er Annual', City of Rosemead, Mean Financial Services. 31 City of Rosemead Development Impact Fee Study Facility Standards Table 6.3 shows the existing facility cost standard per capita for library facilities. This value is calculated by dividing the total value of existing library facilities by the existing service population. The resulting cost per resident is used to determine the impact fee for residential land uses. Using this facility standard as the basis for the impact fee will allow the City to maintain the current value of facilities per capita as growth occurs. Table 6.3: Library Facility Cost per Capita Value of Existing Facilities $ 22,347,000 Existing Service Population 57.756 Cost Per Capita $ 387 ' Based on 0 31 worker weighting factor. Sources: Tables 6.1 and 6 2'. Willdan Finacial Services. The County of Los Angeles Public Library has adopted planning guidelines to identify targeted levels of facilities per capita. Table 6.4 compares the County facility standards with the level of facilities per capita currently provided by the Rosemead Library. As shown, the Rosemead Library meets the standard for building space, but provides volumes and computers at a lower rate than the adopted standard. This comparison is shown for informational purposes, as the proposed fee is based on the current value of facilities per capita shown in Table 6.3. However, this suggests that the City and the Library may want to prioritize adding computers and expanding the Library's collection of volumes as growth occurs. 32 Development Impact Fee Study Table 6.4: Los Angeles County Library Standards Fee Schedule Table 6.5 shows the proposed library facilities fee schedule. The cost per capita is converted to a fee per unit of new development based on the average number of residents per dwelling unit, as shown in Table 2.1. The total fee includes a two percent administrative charge to fund fee program administrative costs including revenue collection, revenue and cost accounting, mandated public reporting, fee justification analyses, and legal review. The administrative charge should be reviewed and adjusted during comprehensive impact fee updates to ensure that revenue generated from the charge sufficiently covers, but does not exceed, the administrative costs associated with the fee program. 33 Existing Inventory county Library Standard Building SnacE Square Feet 29,860 Existing Population 57 756 Square Feet per Capita 0.52 0.50 Volumes Volumes 123,120 Existing Population 57,756 Volumes per Capita 2.13 2.75 Computers Computers 34 Existing Population 57,756 Computers per 1,000 Capita 0.59 1.00 Sources: Tables 6.1 and 6 2; County of Los Angeles Public Library ; Willi Financial Services. Fee Schedule Table 6.5 shows the proposed library facilities fee schedule. The cost per capita is converted to a fee per unit of new development based on the average number of residents per dwelling unit, as shown in Table 2.1. The total fee includes a two percent administrative charge to fund fee program administrative costs including revenue collection, revenue and cost accounting, mandated public reporting, fee justification analyses, and legal review. The administrative charge should be reviewed and adjusted during comprehensive impact fee updates to ensure that revenue generated from the charge sufficiently covers, but does not exceed, the administrative costs associated with the fee program. 33 City of Rosemead Development Impact Fee Study Table 6.5: Librar Facilities Fee Schedule A 7B-7777--U 'C E =C-D Cost Per in. Land Use Capita Densit Base Fee Char e' t otal ree Single Family $ 387 4.01 $ 1,552 $ 31 $ 1,583 Multi- family 387 322 1,246 25 1,271 ' Administrative charge of 2 o percent. Sources. Table 2.1 and 6.3; Willtlan Financial Services. Estimated Fee Revenue Table 6.6 shows the projected revenue from the library facilities fee through the study's 2025 planning horizon. These estimates are calculated by multiplying the cost per capita from Table 6.3 by the projected growth in residents between 2010 and 2025. The library impact fee is projected to generate approximately $1.1 million through 2025. This revenue may be used to expand or remodel the Rosemead Library to accommodate additional demand. Fee revenue could also be used to expand the Library's collections or provide additional computers. If a new facility for the Rosemead Library is constructed, fee revenue could be used to fund new development's share of costs for the new facility. Table 6.6: Projected Library Impact Fee Revenue New Residents (2010-2025) 2,848 Fee per Capita $ 387 Fee Revenue $ 1,102,000 Sources. Tables 6.1 and 6.3 W illdan Financial Services. 34 7. Park Facilities The purpose of this fee is to generate revenue to expand the City's park facilities to accommodate new development. This chapter documents two development fees for park facilities that may be adopted by the City Council. The Quimby Act (Government Code §66477) allows cities to adopt park land dedication requirements for residential subdivisions. The City may allow subdivision developers to pay a fee in lieu of dedicating park land. Revenue from the Quimby Act in lieu fee must be used for developing, improving, or rehabilitating park facilities accessible to the residents of the new development. A Quimby Act in lieu fee is documented based on a land dedication standard of 2.5 acres per 1,000 residents, which is consistent with the National Parks and Recreation Association recommended minimum standard of park facilities cited in the Rosemead General Plan. A second fee, based on the City's existing standard of park acreage per 1,000 residents, is also presented. The fee would be charged under the Mitigation Fee Act, and would apply to residential development that does not involve a land subdivision. The improvement component of the Mitigation Fee Act Fee would also be applied to subdivisions that are subject to the Quimby Act land dedication requirement or in -lieu fee. Service Population Facility standards for parks are typically expressed as a ratio of park acres per 1,000 residents. As residents are considered to be the primary users of parks in the City of Rosemead, demand for parks and associated facilities is based on the City's residential population, rather than a combined resident- worker service population. Table 7.1 provides estimates of the City's current resident population and a projection for the year 2025. Table 7.7: Parks Service Population Existing New Future Residents Development Service 2010 2010 -2025 Population Residents 57,756 2,848 60,604 Sources: Table 2.2. Facility Inventory Table 7.2 summarizes the City's existing park inventory. The City of Rosemead currently maintains 49.44 acres of parkland. The land value of each park was estimated using land value assumptions that vary by the location of the park. Parks in residential areas were assigned a per acre land value of §700,000, based on recent listings for residential land in Rosemead and 35 City of Rosemead Impact Fee Study nearby areas. Parks in commercial areas were assigned a land value of $3 million per acre. The average value of parkland in Rosemead is estimated to be approximately $980,000 per acre. Table 7.2: Existing Parkland Inventory Est. Land Park Type cre q. Esl. Land Value �. ..e. ems.' Value Angelus Park Greenbelt 020 $ 700.000 700,000 $ 140000 6.349000 Garvey Parka Community 9.07 3.00 3,000,000 9,000,000 Garvey Recreation Center Facility 0.25 700,000 175,000 Guess Park Greenbelt 0.75 700,000 525000 Klingerman Park Mini Greenbelt 0.17 700,000 119,000 Olney Park Rosemead Community Recreation Center Facility 2.75 3,000,000 8,250,000 Rosemead Park Community 1925 . 700,000 13,475,000 Sally Tanner Park Neighborhood 1.25 700,000 875,000 Jess Gonzalez Spent, Complex Park Specialty Facility 6.00 700,000 4,200,000 Greenbelt 025 3,000,000 750,000 Triangle Park Neighborhood 6.50 700,000 4,550,000 Zapopan Park 4944 $48,408,000 Subtotal - Improved Park Acres $ 980,000 Weighted Average Land Value per Acre ' 8asetl on a review o! recen\ IisOngs, lantl value for lacili \ies in residentel and office /light indusVial areas Is estimal� at A00,000 per acre. Land value far faulifies In commercial dennots estimated at $3 000 000 per In this rare . value. These appear In the general government facility ' 1 43 acres of public works facility air, vats in Garvey Park are aWrIed inventory Sources: City, of Rosemeatl -, Loopnet, ayaL n Financial services. Table 7.3 shows the City's inventory of recreational facilities and park improvements, along with the estimated replacement cost of each item. Unit costs of construction for recreational facilities are based on appraisal information for park facilities in Rosemead. The replacement cost for community centers and offices is estimated at $375 per square foot, consistent with the unit cost estimate for City buildings used throughout this study. The total value of recreational facilities in the City is approximately $27.7 million. This corresponds to an average park facilities cost of $560,000 per acre. This study also includes an estimated cost of $250,000 per acre for standard park improvements, including turf, parking, paving, gutters and related basic improvements. Combining the average value of existing City facilities with the standard improvement cost gives a total improvement cost of $810,000 per acre of parkland. 36 City of Rosemead _ Table 7.3: Buildings and Park Improvement Costs Development Impact Fee Study So. Ft. Unit Cost ­TOW Rosemead Park and Pool Rosemead Club House Concession Stand and Restrooms 684 $ 200 $ 177,000 Picnic Shelter 1,416 250 354,000 Playground N/A N/A 240,000 Track and Exercise Equipment N/A N/A 360,000 Rosemead Pool House N/A N/A 650,000 Large Pump Room 4,888 175 855,000 Subtotal - Rosemead Park and Pool 980 445 436 000 $ 3,072,000 Garvey Pa k Recreation Offices and Restrooms 1,200 $ Pool House 375 $ 450,000 Picnic Shelter 5.166 175 904,000 Playground N/A N/A 720,000 Gymnasium N/A N/A 220,000 Storage, Restrooms and Snack Bar 8,128 200 1,626,000 Subtotal - Garvey Park 1,400 250_ 350,000 $ 4,270,000 Za000an Park Playground N/A N/A 240,000 Sally Tanner Park Playground N/A N/A 120,000 Klinoerman Park Playground Tennis Courts N/A N/A 1,000,000 Subtotal - Klingerman Park N/A N/A 350,000 $ 1,350,000 Other Fac'ld es Rosemead Community Recreation Center 18,000 $ 375 $ Jess Gonzalez Sports Complex Restrooms, Office and Bay 1,800 250 6,750,000 Garvey Community Center 30,524 375 450,000 11 447 000 Subtotal - Other Facilities $ 18,647,000 Total - Park and Recreation Buildings and Special Improvements $ 27,699,000 Acres of Improved Parkland Building and Special Improvement Cost per Acre of Improved Parkland 4944 A $ 560,000 Basic Park )mpnre,nj C t A e $ 250,000 Total Building and Improvement Cost Per Acre =A. e $ 81000 Basic Improvements typically inuude turf parking, paving, elc. Costs fbr the lighted pall Oelds at Rosemead and Garvey paMS are Included in the $250,0]0 per acre worth pt standard Improvemenls. Sources'. Table 7 2, City of Rosemead; W illtlar Fnancial Services. 37 City of Rosemead Development Impact Fee Study Facility Standards The Rosemead General Plan does not adopt a park acreage standard, but cites the National Parks and Recreation Association's (NPRA) recommended minimum standard of 2.5 acres per 1,000 residents. The General Plan also states that the Southern California Association of Governments (SCAG) recommends a minimum of 4.0 acres per 1,000 residents. Mitigation Fee Act Table 7.4 shows the facility standards on which the park impact fees are based. As shown, the City's existing parkland standard is 0.86 acres per 1,000 residents. This standard is used as the basis of the Mitigation Fee Act park impact fee, which would apply to residential development that does not involve a new land subdivision. The improvements portion of the Mitigation Fee Act impact fee could also apply to residential subdivisions that are also subject to the Quimby Act land dedication or in -lieu fee requirements. Using the existing standard for the park impact fee will ensure that the City will be able to maintain the current level of park facilities per capita as growth occurs. Under the Mitigation Fee Act, if the City charged the fee at a higher standard, such as the NPRA's recommended 2.5 acres per 1,000 residents, it would need to use non -fee revenue to, over time, provide a level of facilities to new development equal to the level upon which the fee is based. This would require significant investment in park facilities using non -fee revenue. In addition, the City does not have available park development sites to provide this standard of park acres per capita. Quimby Act Under the Quimby Act, the City may require land dedication or in -lieu fees at a higher level than the existing standard without needing to use other funding to achieve that level of facilities Citywide. The Quimby Act permits land dedication requirements of up to 3.0 acres per 1,000 residents, unless the City's existing standard is greater than this amount. The Quimby Act land dedication requirement and in -lieu fee is based on the National Parks NPRA recommended minimum of 2.5 acres of parkland per 1,000 residents cited in the Rosemead General Plan. The Quimby Act park and in -lieu fee may be based only on the cost of providing land at the designated standard. Therefore, residential subdivisions would also pay a fee for park improvements under the Mitigation Fee Act. 38 City of Rosemead Development Impact Fee Study Table 7.4: Improved Parkland Standards Existing Standard Improved Park Acreage 4044 Residents 57,756 Existing Standard (Acres per 1,000 Residents) 0.86 Quimby Act Standard (Acres per 1,000 Residents) 2.50 sources Tables 7.1 and 72 , City of Rosemead Willdan Financial services Cost per Capita Table 7.5 shows parkland and improvement costs per capita under the Mitigation Fee Act and Quimby Act standards. Table 7.5: Park Cost Per Ca Land Acres per 1,000 Residents 0.86 Land Cost per Acre $ 980.000 Land Cost per 1,000 Residents $ 842,800 Land Cost per Resident $ 843 Improvements Acres per 1,000 Residents 0.86 Improvements Cost per Acre $ 810 000 Improvements Cost per 1,000 Residents $ 696,600 Improvements Cost per Resident $ 697 Total Cost per Resident $ 1.540 2.501 $ 980 000 2,450,000 $ 2,450 sources: Table 7.2, 7.3 and TA; City of Rosemead, Willdan Financial services The National Parks 8 Recreation Association standard is 2.50 acres per 1000 residents. However, realistically the City will not be able to purchase more than 1.0 acres per 1000 residents due to the "built -out' condk,cn of the commun@y. 39 City of Rosemead Development Impact Fee Study Fee Schedule Table 7.6 shows the proposed park facilities fee schedule. The proposed fees are based on the costs per capita shown in Table 7.5. The cost per capita is converted to a fee per unit of new development based on the average number of residents per dwelling unit, as shown in Table 2.1. The proposed fee for non - subdivision development is based on the Mitigation Fee Act and includes the land and improvement components based on the existing standard of park facilities per capita. The proposed fee for subdivision developments includes the Quimby Act land dedication in -lieu fee, based on a standard of 2.5 acres per 1,000 residents, and the Mitigation Fee Act park improvement fee based on the existing standard of park facilities per capita. If developers dedicate either undeveloped park land or improved park facilities, they should be provided a credit against the applicable portion of the park fees. The total fee includes a two percent administrative charge to fund fee program administrative costs including revenue collection, revenue and cost accounting, mandated public reporting, fee justification analyses, and legal review. The administrative charge should be reviewed and adjusted during comprehensive impact fee updates to ensure that revenue generated from the charge sufficiently covers, but does not exceed, the administrative costs associated with the fee program 40 City of Rosemead Tahln 7 A- Pa.4 A Cost Per rnnan Non - Subdivision I $ $ 3,380 2,795 6,175 Single Family 68 56 124 I $ Land - Mitigation Fee Act $ 843 Improvements 697 Total Fee $ 1,540 Multi - family 12,620 $ Land - Mitigation Fee Act $ 843 Improvements $ 697 Total Fee $ 1,540 Subdivision Single Famil v Land - Quimby Act $ 2,450 Improvements 697 Total Fee $ 3 147 Multi family Land - Quimby Act $ 2,450 Improvements 697 Total Fee $ 3,147 Development Impact Fee Study B C =A'8 0 =2 %'C E =C +O Admin. 151 Base Fee Charge' Total Fei 4.01 4.01 I $ $ 3,380 2,795 6,175 $ $ 68 56 124 I $ 3,448 2.851 $ 6,299 3.22 3.22 I $ $ 2,714 2,24 4,958 $ $ 54I 45 99 $ 2,768 2.289 $ 5,057 4.01 $ 9.825 $ 197 $ 10,022 4.01 2,79 56 2.851 $ 12,620 $ 253 $ 12,873 122 $ 7,889 $ 158 $ 8,047 3.22 2.244 45 2.289 $ 10,133 $ 203 $ 10,336 Haminsrrauve charge of 2.0 percent _ Sources Tables 2.2 and 7.5, Widen den Financial services. 41 8. Implementation Impact Fee Program Adoption Process Impact fee program adoption procedures are found in the California Government Code section 66019. Adoption of an impact fee program requires the City Council to follow certain procedures including holding a public hearing. Data, such as an impact fee report, must be made available at least 10 days prior to the public hearing. The City's legal counsel should be consulted for any other procedural requirements as well as advice regarding adoption of an enabling ordinance and/or a resolution. After adoption there is a mandatory 60 -day waiting period before the fees go into effect. Inflation Adjustment Appropriate inflation indexes, such as the Construction Cost Index (CCI), should be used to update the fees annually for changes in facility costs. The inflation procedures can be specified in the fee ordinance or resolution. If desired, the fee ordinance can include automatic inflation updates so that the updates do not have to be considered by the City Council each year. A construction cost index can be based on the City's recent capital project experience or can be taken from any reputable source, such as the Engineering News- Record. Updating the land value estimates used in this study may require the use of a qualified real estate appraiser. While fee updates using inflation indices are appropriate for periodic updates to ensure that fee revenues keep up with increases in the costs of public facilities, the City should also conduct more extensive updates of the fee documentation and calculations when significant new data on growth forecasts and/or facility plans becomes available. Reporting Requirements The City should comply with the annual and five -year reporting requirements of the Mitigation Fee Act. For facilities to be funded by a combination of impact fees and other revenues, identification of the source and amount of these non -fee revenues is essential. Identification of the timing of receipt of other revenues to fund the facilities is also important. Programming Revenues and Projects with the CIP The City maintains a Capital Improvement Program (CIP) to plan for future infrastructure needs. The City should program projects to be funded with impact fees in the CIP. The CIP identifies costs and phasing for specific capital projects. The use of the CIP in this manner documents a reasonable relationship between new development and the use of those revenues. The City may decide to alter the scope of the planned projects or to substitute new projects as long as those new projects continue to represent an expansion of the City's facilities. If the total cost of facilities varies from the total cost used as a basis for the fees, the City should consider revising the fees accordingly. 42 9. Mitigation Fee Act Findings_ Impact fees are one -time fees typically paid when a building permit or certificate of occupancy is issued. Impact fees are imposed on development projects by local agencies responsible for regulating land use (cities and counties). To guide the widespread imposition of public facilities fees the State Legislature adopted the Mitigation Fee Act (the Act) with Assembly Bill 1600 in 1987 and subsequent amendments. The Act, contained in California Government Code Sections 66000 through 66025, establishes requirements on local agencies for the imposition and administration of fee programs. The Act requires local agencies to document five findings when adopting a fee. The five findings required for adoption of the public facilities fees documented in this report are presented in this chapter and supported in detail by the preceding chapters. All statutory references are to the Act. Purpose of Fee Identify the purpose of the fee ( §66001(a)(1) of the Act). Development impact fees are designed to ensure that new development will not burden the existing service population with the cost of facilities required to accommodate growth. The purpose of the fees proposed in this report is to provide a funding source from new development for capital improvements to serve that development. The fees advance a legitimate City interest by enabling the City to provide municipal services to new development. Use of Fee Revenues - Identify the use to which the fees will be put. If the use is financing facilities, the facilities shall be identified. That identification may, but need not, be made by reference to a capital improvement plan as specified in §65403 or §66002, may be made in applicable general or specific plan requirements, or may be made in other public documents that identify the facilities for which the fees are charged ( §66001(a)(2) of the Act). Fees proposed in this report, if enacted by the City, would be used to fund expanded facilities to serve new development. Facilities funded by these fees are designated to be located within the City. Fees addressed in this report will fund the purchase of land, the construction or expansion of buildings and public facilities, purchases of vehicles and equipment, and the construction of roadway improvements. Fees will be used to provide facilities in the following categories: traffic, general government, public safety, parks and library facilities. Benefit Relationship • Determine the reasonable relationship between the fees' use and the type of development project on which the fees are imposed ( §65001(a)(3) of the Act). 43 Rosemead Development Impact Fee study The City will restrict fee revenue to the acquisition of land, construction of facilities and buildings, and purchase of related equipment, furnishings, vehicles, and services used to serve new development. Facilities funded by the fees are expected to provide a citywide network of facilities accessible to the additional residents and workers associated with new development. Fees are not intended to fund planned facilities needed to correct existing deficiencies. Thus, a reasonable relationship can be shown between the use of fee revenue and the new development projects that will pay the fees. Burden Relationship Determine the reasonable relationship between the need for the public facilities and the types of development on which the fees are imposed ( §66001(a)(4) of the Act). Facilities need is based on a facility standard that represents the demand generated by new development for those facilities. For each facility category, demand is measured by a single facility standard that can be applied across land use types to ensure a reasonable relationship to the type of development. For most facility categories service population standards are calculated based upon the number of residents associated with residential development and the number of workers associated with non - residential development. To calculate a single, per capita standard, one worker is weighted less than one resident based on an analysis of the relative use demand between residential and non - residential development. The estimated demand for traffic facilities is based on the average number of vehicle trips generated by each type of development, adjusted for variations trip length and pass -by trips. Chapter 2, Growth Forecasts provides a description of how service population and growth forecasts are calculated. Facility standards are described in the Facility Standards sections of each facility category chapter. Proportionality Determine how there is a reasonable relationship between amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed ( §66001(b) of the Act). The reasonable relationship between each facilities fee for a specific new development project and the cost of the facilities attributable to that project is based on the estimated new development growth the project will accommodate. Fees for a specific project are based on the project's size. Larger new development projects can result in a higher service population resulting in higher fee revenue than smaller projects in the same land use classification. Thus, the fees ensure a reasonable relationship between a specific new development project and the cost of the facilities attributable to that project. See Chapter 2, Growth Forecasts, or the Service Population or Trip Demand from New Development sections in each facility category chapter for a description of how service populations or other facility demand factors are determined for different types of land uses. See the Fee Schedule section of each facility category chapter for a presentation of the proposed facilities fees. 44 ATTACHMENT B Reserved SURVEY OF LOCAL CITIES' DEVELOPMENT IMPACT FEES Staff has prepared the following Development Impact Fee (DIF) comparison report which is based on a survey of impact fees in the following cities: • Arcadia • El Monte • Monterey Park • Pasadena • San Gabriel • Temple City • Rosemead (Existing) • Rosemead (Proposed) DIFs are charged on the basis of a variety of different factors, such as the number of dwelling units, the number of building square feet, acreage, or the number of vehicle trips generated in a development project. In addition, different cities charge fees for different types of facilities. Therefore, the total impact fee burden for a variety of prototypical development projects was estimated to provide a comparison of overall impact fee levels across the cities surveyed. The following land uses were included in this analysis: • Single - Family Detached Residential (2,400 square feet of floor area) • Multi- Family Attached Residential (20 units totaling 29,000 square feet of floor area) • Retail (50,000 square feet of Floor area) • Office (50,000 square feet of floor area) • Industrial (300,000 square feet of floor area), and • Mixed -Use Residential - Commercial (36 units totaling 52,000 square feet of residential and 25,000 square feet of Retail floor area) The findings of the survey are summarized in the following tables and graphs. • Table 1 - Survey of DIF in Local Cities • Table 2 - Analysis of DIF Applied to Prototypical Projects • Graphs - Illustration of Fee Comparison Applied to Prototypical Projects Reserved I — Survev of Develooment Impact Fees in Local Cities City Single Family Multi Family Retail Office Industrial Notes Arcadia Park Development Fee $2.85 $3.73 -- Residential fee is per Sq.R[. Credit is given for existing structures. Traffic Impact $1,576 $1,576 $5.85 $2.32 $1.53 Residential fee is Per Unit. Non - residential fee is per Sq. Ft V Morse Star. Drain $924 $573 $0.89 $0.89 Residential Fee is Per Unit. Commercial Fee is per Sq.R. Streets $815 $815 $OAO $0.40 Residential Fee is Per Unit. Commercial Fee is per Sq.Ft Tragic Impact $67.90 $6290 $0.120183 $0.120183 -- Commercal Retail depends on project size Quimby Park $6,032 $5,520 — MIKA Pork F$I�w Recreation and Park 0evelopment $)00.00 $700.00 $1.DO $1.00 Per new resklen[ial unit antl per Sq. Ft. of non - residendal)neworaddition). flat$350 per Res addition Public Safety Impact Fee $2.43 $2.43 1 $2.43 $2.43 1 $2.43 Per Sq.Ft. of dwelling area or new leasable area. SFR additions are exempt. Pasade. Residential Fee $20,987.03 $18,245.02 $15,556.6410 $28,814.50 depending on no. of bedrooms in unit. (Fees in than are for 3 -bed and 2- bed units) Public Art If project is over $500,000 Or more than 25,000 if, fee is 1% of building valuation. In -lieu fee option available. Traffic Reduction & Transportation Improvement Fee $2,556.88 $2,556.80 $8.09 $3.84 $3.20 Per Residential Unit and Per Sq. Ft. non- residential. Rosemead Fylsdm Park Mitigation Impact Fee $000.00 $800.00 - - Per residential unit 1— Survey of Development Impact Fees in Local Cities CRY Single Family Multi Family Retall tiffice Industrial Notes WP,. ad Park Mitigation Impact Fee $6,299.00 $5,057.00 Per residential unit Traffic $1,010.00 $614,0 $1,119.00 $1,634.00 $1,109.00 Per residential unit and Per square 1,000 ran- maternal square feel Public Safety $162,0 $135,0 $31.00 $42.00 $15.00 Per residential unit and Per square 1,000 non- residential square feet General Government $1,145,0 $920.00 $207,0 $222.00 $103,0 Per residential unit and Per square 1,000 nom- residential square feet Son Gabrkl Police Facility $757 $779 $0.21 $0.21 1 $0.21 Per residential unit and Per square non - residential square foal Fire Facility $235 $235 $1.01 $1.01 $1.01 Per residential unit and Per square non - residential square foot Open Space and Recreation $2,243 $2,243 Per residential unit and Per square non - residential square foot Traffic ($232 per trip) R- 1,R -3,C $2,380 $1,428 $238 $238 238 R-1 (Per Unit - 30 trips(, R -3 (Per Unit -6 trips(, Nonresidential (Per Trip) Trull, (S232 per trip(, R -2 $1,904 R-2(Per Unit- Strips) Traffic ($232 per trip). Second Unit $1,428 Tnifflc($232 per trip), Senior Unit $952 Sewer, R -1, R -3, C, M -1 $4,097 $1,365 $181 $3.81 $7.73 A-1 (Per Unit(, R -3 (Per Unit), Commercial and Industrial (Per Sq Ft) Seweq R -2 $2,049 - R-2 (Per Unit) Sewell Second Unit $1,025 -- Second Unit (Based an 1/2 of R -2) Sewer, Senior Unit $6,843 Senior Unit (Based 1/2 of R -3( Seweq Ace. Addition> SW $2,049 Temale city Sewer Reconstruction Fee $2,500 $25,00 Per project for Multi famip (defined as 4 or more units) Per Unit for 1-3 units Park $500 $500 Per unit 2 — Analysis of Development Impact Fees Applied to Prototypical Developments City Single Family Multi Family Retail Office Industrial Notes Park NwlopmeMFee Park Development Fee $6,840.00 $108,170.00 Residential fee is per Sq.F.t. Credit is gNen for existing structures. Traffic Impact $1,576.00 $31,520.00 $292,500.0 $116,000.00 $459,000 Residential fee Is per Unit. Non residential per Sq. Ft. Total: $8,416.00 $139,690.00 $292,500.00 $116,000.00 $4$9,000.00 61 Monte Storm Drain $924.00 $11,460.00 $44,500.00 $44,5110.0 Residential Fee is per Unit, Commercial Fee is per Sq.Ft. Streets $815.00 $16,300.00 $20,000.0 $20,000.00 Residential Fee is per Unit, Commercial Fee is per Sq.Ft. Traffic Impact $67.90 $6]90 $6,009.15 $6,009.15 Commercial Retail depends on project size Quimby Park $6,032.00 $110,40000 Total: $7,838.90 $138,227.90 $70,509.15 $70,509.15 Monterey Pork Recreation and Park Development $70.00 $14,000.00 $0,000.0 $50,000.00 $300,000.00 Per new residential unit and Per Sq. Ft. of non- residental knew or addition). flat SlSO Oer Resadditi0n Public Safety Impact Fee $5,832.00 $70,470.00 $121,50D0 $121,500.00 $729,000.00 Per Sq.Ft. of dwelling area or new leasable area. SFR additions are exert. Total: $6,532.00 $84,470.00 $171,s00.00 $171,500.00 $1,029,00.00 Pasaderm Residential Fee $20,987.03 $36,900.40 $15,556.64 to $28,814.50 depending on no. of bedrooms in unit. Fees in chartare for 3 -bed and 2 -bed units) Public Art $53,160.00 $83,875.00 $171,360.00 Downtown and Old Town Areas Traffic Reduction and Transportation Improvement Fee $2,556.88 $51,137.60 $444,500.00 $192,000.00 $9W,OW.00 Total: $23,543.91 $88,038.0 $497,660.00 $2]5,8]5.00 $1,131,360.00 2 — Analysis of Development Impact Fees Applied to Prototypical Developments City Single Family Multi Family Retail Office Industrial Notes Rosemead aisdna Park Mitigation Impact Fee $800.00 $16,000.00 Per Residential Unit Total: $800.00 $16,000.0 $0.00 $0.00 $0.0) Rosemead Proposed Park Mitigaion Impact Fee $6,299.00 $101,140.00 Per Residential Unit Traffic $1,010.00 $12,280.0 $55,950.00 581,]00.00 $332,100.0 Public Sdf,y $167.0 $2,700.00 $1,550.00 $2,100.0 $4,500.00 General Government $1,145.00 $18,400.0 $10,350.0 $13,850.00 $30,900.00 Total: $8,621.00 $134,520.00 $6].90.0 597,650.00 $368,100.00 Son Gobdel Police Facility $777.00 $15,540.0 $10,500.00 $10,500.0 $63.00.00 Per residential unit and Per square non residential square foot Fire Facility $235.00 $4,700.00 $50,500.0 $50,500.w $303,000.00 Per residential unit and Per square non residential square foot Open Spam and Recreation $2,243.00 $44,860.0 Per residential unit and Per square non residential square foot Traffic per trip) R- 1,R -3,C $2,380.00 $28,560.00 $508,130.0 $131,376.0 $497,658.00 R -1 (Per Unit -10 trips, R -3 (Per Unit 601p ), Commercisl(Per Trip Sanitary Sewer, R-1, R-3, C, M -1 $4,097.00 $27,300.0 $19Q500.00 $190,500.0 $2, 319, 000.0 R -1(Per Unit), R -3 (Per Unit), Commercial and Industrial (Per Sq FU Total: $9,732.00 $120,960.0 $759,630.00 $382,076.00 $3,182,658.00 Tempk Ci ly Sewer Reconstruction Fee $2,500 $25,000 ... -- Per project for mu9i- family (defined as 4 or more units) Per Unit for 1-3 units Park $500 $10,000 Per unit Total: $3,000 $35,000 $0 $0 $0 Graphs Illustration of Development Impact Fees Applied to Prototypical Projects Impact Fee Comparison for Single Family Project Prototype 2,400 Square Feet $25,000.00 $20,000.00 $15,000.00 $10,000.00 $5,000.00 $0.00 ■ Single Family Impact Fee cease cF` 0 Qs Impact Fee Comparison for Multi Family Project Prototype 29,000 Square Feet (36 Units) $160,000.00 $140,000.00 $120,000.00 $100,000.00 IN IN $80,000.00 $60,000.00 40,000.00 $20,000.00 $0,00 111 Multi Family Impact Fee eam e 0 a¢ca `i3O. 0& ¢�Ce a c� Vs, 0�- e�¢, Qese a�} Q�op PO Impact Fee Comparison for Commercial Retail Project Prototype 50,000 Square Feet $800,000.00 $700,000.00 -- $600,000.00 $500,000.00 $400,000.00 $300,000.00 $200,000.00 $100,000.00 $0.00 ■Retail Impact Fee e¢aa ee�¢ Qa� aeea S`�,4r Sea ¢S e' \ c" ¢c¢'y C¢i¢ a zc c F.v a S¢ 4e P eey¢ Impact Fee Comparison for Commercial Office Project Prototype 50,000 Square Feet $450,000.00 $400,000.00 $350,000.00 $300,000.00 $250,000.00 $200,000.00 $150,000.00 $100,000.00 $50,050.00 ■ Office Impact Fee c¢aa ec�¢ �¢�e �CcA q a c$b ea A a�C sQC¢° QP Q \ a v F pe Q¢ye Impact Fee Comparison for Industrial Project Prototype 300,000 Square Feet $3,500,000.00 $3,000,000.00 - $2,500,000.00 $2,000,000.00 $1,500,000.00 $1,000,000.00 $500,000.00 $0,00 ■ Industrial Impact Fee `aa�z ¢ca¢ QaN' aeoa 4Q, oyea as¢, QaSa a�4 Qs °Q c d'OC� g9ee °e0eaa Sa Pa Impact Fee Comparison for Mixed Use Project Prototype Retail 25,000 Square Feet and 36 Residential Units $700,000.00 $600,000.00 $500,000.00 $400,000.00 $300,000.00 $200,000.00 $100,000.00 $0.00 ■ Mixed Use Impact Fee ,Qa`E (>-A a ¢ ao ozacc � °a P a¢ QO