Staff recommends that the City Council take the following actions: 

1. Introduce for first reading the attached ordinance amending Chapter 4.47 of the Roseville Municipal Code entitled Sierra Vista Specific Plan Mitigation Fee.
2. Adopt a resolution approving a form Sierra Vista Specific Plan Infrastructure Fee Program Infrastructure Fee Credit/Fee Reimbursement Agreement (Reimbursement Agreement), authorizing the Acting City Manager to execute these form Reimbursement Agreements administratively, and authorizing the City Attorney to modify the form agreement as necessary. The form of the Reimbursement Agreement is attached as Exhibit A.

On April 20, 2011, the Council approved an Ordinance to add Chapter 4.47 to Title 4 of the Roseville Municipal Code relating to the Sierra Vista Specific Plan (SVSP) Mitigation Fee.  This public fee program provides City oversight of a developer initiated fee agreement intended to equitably share the costs of the infrastructure and public land dedications within the specific plan area.  The municipal code defines the responsibilities of an outside program administrator to perform the routine tasks of program administration which minimizes City involvement.  All costs associated with the administration of the fee program are the responsibility of the private interests. 

This update accomplishes three important tasks: 

1)     Updates the nexus study and adjusts the fee.  The firm of Economic & Planning Systems, Inc. (EPS) has been involved as the designated program administrator from the program’s inception.  They were instrumental in the original nexus study that developed the initial fee schedule.  With this update EPS used the services of an outside land appraiser to evaluate the current value of lands to be publically dedicated and applied a construction cost index (CCI) adjustment to account for the inflationary increases on the infrastructure construction costs.  The nexus study also accounted for land use and average changes that have occurred since its inception.  Combined, these elements make up the bulk of the updated nexus study (Attachment A) and the resulting fee adjustment.

2)     Amends the muni-code.  Chapter 4.47 of the City’s Municipal Code sets forth the fee program.  Several amendments to the muni-code are required with this update.  A minor adjustment to Section 4.47.040 clarifies when each of the three components of the fee are due and payable.  Others sections of Chapter 4.47 reflect the changes to the fee tables.   Exhibit A provides a redline version of the amendments.

3)     Approves the form of the program Reimbursement Agreement (RA) and authorizes the City Manager to administratively approve the RA’s.  The adoption Chapter 4.47 of the Municipal Code included a draft program RA.  The preparation of the RA, and the tracking and disbursement of private monies collected by the City, is the responsibility of the program administrator.  Staff worked with the administrator and the private interests to update the form of the RA.  In an effort to streamline the implementation of the fee program process, staff is seeking Council approval to allow staff the authority to accept the RA’s, the City Manager the authority to execute said form agreements, and to provide the City Attorney the authority to modify the form as necessary to conform to any new legal requirements or for project specific reasons.   Any and all substantial changes to the form agreement will require subsequent Council approval.  Exhibit B provides a copy of the amended program RA.

The SVSP Mitigation Fee program is specific to the SVSP and has no relation to any other development interests outside of the SVSP.  Throughout the update process, staff has worked in conjunction with the private development interests associated with the SVSP who are in full support of the nexus study and resulting fee adjustments.

The updated Sierra Vista Specific Plan Mitigation Fees will become effective on September 1, 2018.

This public fee program, assigns all associated costs for the administration of the program to be fully paid for by the fee program, and there will be no fiscal impact to the City’s general fund by the proposed action.

No jobs are directly provided by this action. However, jobs will be created with the administrative contracts for consultant services and City staff cost offsets attributed to time spent in the administration of the program, fully funded by private developer obligations.

The California Environmental Quality Act (CEQA) does not apply to activities that will not result in a direct or reasonably foreseeable indirect physical change in the environment. (CEQA Guidelines § 15061(b)(3)). Amendments to Chapter 4.47 and approval of a form Reimbursement Agreement do not include the potential for a significant environmental effect, and therefore are not subject to CEQA.

_____________________________
Dominick Casey, Acting City Manager