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HomeMy WebLinkAboutStaff Report 11794 City of Palo Alto (ID # 11794) Finance Committee Staff Report Report Type: Action Items Meeting Date: 12/15/2020 City of Palo Alto Page 1 Summary Title: Park, Community Center, and Library Development Impact Fees Title: Review the Draft Park, Community Center, and Library Development Impact Fee Justification Study and Recommend that the City Council Consider Adoption of an Ordinance Based on Study Recommendations to Update the City’s Park, Community Center, and Library Impact Fee Program From: City Manager Lead Department: Community Services Recommendation Staff recommends that the Finance Committee review the Park, Community Center, and Library Development Impact Fee Justification Study prepared by David Taussig & Associates (“DTA”) (Attachment A), and recommend that the City Council approve any adjustments to fee levels and direct staff to return with the necessary ordinance and fee schedule updates. Executive Summary Under California law (AB 1600), cities have the ability to charge new development for its relative share of the cost to fund the acquisition of land and improvements to public facilities and services. The Park, Community Center, and Library Development Impact Fee Justification Study (the “Study”), found in Attachment A, provides a detailed legal framework for the imposition of impact fees, defines the City facilities addressed in the study, illustrates the calculation methodology used, and specifies the maximum fee levels which the City could charge to new development. On November 8, 2019, staff released the RFP for a Parks, Library, and Community Center Development Impact Fee Nexus Study. The local firm of DTA was determined to be the most qualified consultant and a Consultant Agreement in the amount of $60,000 was executed on April 17, 2020. DTA has inventoried City data and conducted market research, and a check-in with the Finance Committee and City Council to ensure current efforts are consistent with the City Council’s direction is important before moving to the next phase of the process. Based on the Study (Attachment A) prepared by DTA, staff recommend updates to the Park, Community Center, and Library Development Impact Fees. Finance Committee direction is City of Palo Alto Page 2 requested to determine appropriate adjustments to the maximum fee levels presented for recommendation to the City Council and for preparation of an ordinance to establish such fees. Based on direction from Finance Committee and Council, staff may need to return with an ordinance to make minor updates to the municipal code. Background and Discussion Impact fees are established based on the reasonable relationship, or nexus, between impacts caused by new development and the improvements to mitigate those impacts that will be funded by the fee. Although fees are updated annually to reflect increases in the Bay Area Consumer Price Index or Engineering News Record Construction Cost Index, baseline fee levels for some of the City’s impact fees have not been reviewed or updated in nearly 20 years, nor has the actual cost inflation of land valuation in the City. In order to plan for new residential and non-residential development and identify the costs associated with mitigating the impacts of this development, the Community Services and Library departments worked with consultant DTA. The City’s Park, Community Center, and Library Development Impact Fees were initially developed in 2001. Table 1 below shows the FY 2020 impact fees for new development based on land use type. Table 1. FY 2020 Park, Community Center, and Library Development Impact Fees State law requires agencies to identify a reasonable relationship, or nexus, between an impact fee and new development, and to make findings regarding: (a) the purpose of the fee; (b) what mitigation projects the fee will be used to fund; (c) the nexus between the fee’s use and the type of development on which the fee will be imposed; (d) the nexus between the need for the public facility and the type of development on which the fee will be imposed; and (e) the nexus between the amount of the fee and the cost of the public facility attributable to the development upon which the fee is imposed. The Study is designed to support these findings and is structured as shown in Table 2 below. City of Palo Alto Page 3 Table 2. Summary of Nexus Study Methodology Step 1 Demographic Assumptions: Identify future growth that represents the increased demand for facilities Step 2 Facility Needs and Costs: Identify the amount of public facilities required to support the new development and the costs of such facilities Step 3 Cost Allocation: Allocate costs per equivalent dwelling unit Step 4 Fee Schedule: Calculate the fee per residential unit or non-residential square foot In order to develop new impact fee levels, DTA utilized the Standards-Based Fee Methodology, or Level of Service (“LOS”), which establishes impact fees based on “standards,” where costs are based on the existing LOS provided to the community. The existing LOS is based on the square feet of space, integrated unit, or number of volumes (in the case of Library) per 1,000 Persons Served for each facility, which is an industry-standard method of quantifying LOS for facilities such as Parks, Community Centers, and Libraries. The Standards-Based Methodology also relies on the concept of Equivalent Dwelling Units, or EDUs, to allocate benefit among each of the land use categories. EDUs are a mechanism that equates varying land uses to residential dwelling unit standards in order to equitably calculate fees. The Standards-Based Methodology ensures that City facilities are appropriately developed and sized so that future residents and employees do not cause a reduction in LOS by unduly burdening the infrastructure system, thus leading to decay and deterioration. To project future development and facility needs, DTA used projections of future population and development within the City outlined in the City’s 2017 Parks, Trails, Natural Open Space and Recreation Master Plan, as well as Scenario 3 of the 2017 Comprehensive Plan Update Draft Environmental Impact Report (“2017 EIR”). The attached report details the total fee amounts required to finance new residential and non- residential development’s share of the costs of new facilities as summarized in Table 3 below. The fees within this study reflect the maximum fee levels that may be legally imposed on new residential and non-residential development; however, Council may decide to adopt fee levels below this maximum. Table 3. Proposed Maximum Fee Levels for Park, Community Center, and Library Development Impact Fees City of Palo Alto Page 4 New or increased development impact fees go into effect no sooner than 60 days after adoption (Government Code § 66017). Development impact fees must be paid based on the rate in effect at the time of payment. A developer may pay fees at any point after the planning entitlement has been issued and must pay all applicable fees prior to the issuance of a building permit, unless otherwise approved by Council. It is especially important that the City’s fees are calculated based on correct assumptions regarding the current market value of land. Using CoStar, a leading commercial real estate database, DTA has analyzed historical sales data of vacant land in the cities of Campbell, Santa Clara, Sunnyvale, Saratoga, Mountain View, San Jose, and Los Altos. DTA has provided in Table 4 and Chart 1 below a comparison of the proposed land valuation to those used in neighboring cities and communities, as well as information approximating when these local agencies last updated their land valuations. Table 4. Comparable Land Valuation per Acre City of Palo Alto Page 5 Chart 1. Comparable Land Valuation per Acre DTA also reviewed Community Center and Library Development Impact Fees in the cities of Morgan Hill, Brentwood, Paso Robles, Richmond, and Fremont. These cities were chosen for their comparable size and because they each have both Community Center and Library Development Impact Fees. DTA has provided in Table 5 and Chart 2 below a comparison of the proposed Community Center and Library fees to those used in other cities and communities. Table 5. Comparable Community Center and Library Development Impact Fees Notes: 1. Reflects fees for Single Family homes greater than 3,000 sq. ft. and Multi-Family homes greater than 900 sq. ft. 2. Community Facilities Fee may include Library and Community Centers. 3. General Government Fee may include Community Facilities. City of Palo Alto Page 6 4. General Capital Facilities Fee may include Library and Community Centers. Chart 2. Comparable Library and Community Center Development Impact Fees Timeline If recommended by the Finance Committee, staff will prepare a proposed ordinance based on the Committee’s discussion and recommendation(s) for consideration by the City Council, to be adopted as part of the FY 2022 annual budget process. Impact fee ordinances require formal public notice and do not become effective until 60 days after adoption on a second reading. Resource Impact Development Impact Fees provide funding for capital improvements to mitigate the impacts of new development in the community. The revenues received each year vary based on the amount of residential and non-residential development occurring in Palo Alto during that timeframe. Recommended changes to the fees will be presented to Council for approval in future meetings. Revenue adjustments will be brought forward in the annual budget process as appropriate to recognize the impacts of any fee updated and adopted by the City Council. According to the FY 2018-19 Annual Status Report on the Development Impact Fees Schedule (CMR #10795), a total of approximately $1,138,802 was collected in Park, Community Center, and Library fees. DTA projects that the total fee revenues will increase by a minimum of two City of Palo Alto Page 7 times should the maximum fee levels be approved and adopted as new fees. Please see Table 6 below for more detail. Table 6. Current and Projected Revenues Notes: 1. Total revenues collected reflect last available report as of period ending June 30, 2019. 2. Figures are an approximation and subject to change. Policy Implications Council has the authority to charge new development for its relative share of the cost of specific public facilities, as calculated based on a nexus study. Council also has the authority, for policy reasons, to restructure fees based on articulated City policies. The information provided in this report allows Council to take the next step towards reevaluating and adjusting the City’s Development Impact Fees. Environmental Review Recommendation and adoption of new impact fees as recommended above is not a “project” under CEQA pursuant to 14 CCR § 15378(b)(4) because this does not involve a commitment to any specific project. In addition, CEQA does not apply to the modification or approval of charges by public agencies when they are for the purpose of obtaining funds for capital projects necessary to maintain service within existing service areas. (14 CCR § 15273(a)(4)). . Attachments: • Attachment A: Palo Alto Draft Park, Community Center, and Library Development Impact Fee Justification Study I. Inventory of Existing Park Facilities Facility Facility Units Quantity City Parks Acres 174.10 Natural Open Space Acres 4,030.00 Recreation Facilities (Courts, Play Areas, Ball Fields, etc.) Integrated Facilities 154.00 Special Recreation Facilities (Winter Lodge, Gamble Garden, King Plaza) Acres 4.33 Bayland Preserve Capital Improvements Integrated Facilities 1.00 Integrated Facilities 1.00 II. Existing Recreation and Park Facilities EDU Calculation Land Use Type Number of Persons Served Number of Units/Non-Res 1,000 SF [1] Residents per Unit/ Persons Served per 1,000 Non-Res. SF [2] EDUs per Unit/per 1,000 Non-Res SF Total Number of EDUs Single Family 42,392 15,443 2.75 1.00 15,443 Multi-Family 24,992 12,310 2.03 0.74 9,104 Commercial/Industrial (per 1,000 SF)15,860 23,323 0.68 0.25 5,778 Hotel/Motel (per 1,000 SF)183 1,577 0.12 0.04 67 Total 83,426 52,653 NA NA 30,392 III. Existing Facility Standard Facility Units Facility Type Facility Units Quantity per 1,000 Persons Served City Parks Acres 174.10 2.09 Natural Open Space Acres 4,030.00 48.31 Recreation Facilities (Courts, Play Areas, Ball Fields, etc.) Integrated Facilities 154.00 1.85 Special Recreation Facilities (Winter Lodge, Gamble Garden, King Plaza) Acres 4.33 0.05 Bayland Preserve Capital Improvements Integrated Facilities 1.00 0.01 Integrated Facilities 1.00 0.01 IV. Future Recreation and Park Facilities EDU Calculation Land Use Type Number of Persons Served Number of Units/ Non-Res 1,000 SF [1] Residents per Unit/ Persons Served per 1,000 Non-Res. SF [2] EDUs per Unit/ per 1,000 Non-Res SF Total Number of EDUs Single Family 6,911 2,517 2.75 1.00 2,517 Multi-Family 4,074 2,007 2.03 0.74 1,484 Commercial/Industrial (per 1,000 SF)1,644 2,418 0.68 0.25 599 Hotel/Motel (per 1,000 SF)19 164 0.12 0.04 7 Total 12,648 7,106 NA NA 4,608 V. Future Facility Standard Facility Units Facilities Units Funded Facility Type [3] Facility Units per 1,000 Persons Served by Future Development City Parks Acres 2.09 26.39 Natural Open Space Acres 48.31 610.97 Recreation Facilities (Courts, Play Areas, Ball Fields, etc.) Integrated Facilities 1.85 23.35 Special Recreation Facilities (Winter Lodge, Gamble Garden, King Plaza) Acres 0.05 0.66 Bayland Preserve Capital Improvements Integrated Facilities 0.01 0.15 Foothills Park Capital Improvements Integrated Facilities 0.01 0.15 VI. Park and Open Space Summary Cost Data Facility Units Funded Total Facility Cost Facility Type [4]Facility Units by Future Development Land Acquisition per Acre [5]Acres Being Developed Park Development per Acre [6]Planning and Design (per Acre) [7]Administration (5%) [8]for New Development Cost per EDU City Parks Acres 26.39 $5,700,000 26.39 $1,406,530 $84,392 $70,327 $191,657,642 $41,596.37 Natural Open Space Acres 610.97 $57,000 610.97 $40,000 $2,400 $2,000 $61,952,533 $13,445.85 Total $253,610,176 $55,042.23 VII. Parks & Recreation Facility Cost Summary Facility Units Facilities Funded Total Facilities for Facility Type Facility Units Current Development Future Development Buildout Population per 1,000 Persons Served by Future Development Facility Cost Future Development Cost per EDU Recreation Facilities (Courts, Play Areas, Ball Fields, etc.) Integrated Facilities 154 23.35 96,074 1.85 23.35 $663,173 $15,483,308 $3,360.42 Special Recreation Facilities (Winter Lodge, Gamble Garden, King Plaza) Acres 4.33 0.66 96,074 0.05 0.66 $6,693,925 $4,394,250 $953.71 Bayland Preserve Capital Improvements Integrated Facilities 1.00 0.15 96,074 0.01 0.15 $25,000,000 $3,790,147 $822.59 Foothills Park Capital Improvements Integrated Facilities 1.00 0.15 96,074 0.01 0.15 $15,000,000 $2,274,088 $493.56 Offsetting Revenues ($5,583,312) ($1,211.77) Total $47,357,098 $20,358,482 $4,418.50 Parks LOS Facilities Fee Total $59,460.73 Notes: [1]Population estimates based on California Dept. of Finance, Demographic Research Unit - Report E-5 January 1, 2020. [2]Persons Served per Unit based on U.S. Census Bureau's American Community Survey (ACS) 2018. [3]Estimates based on current Park inventory as identified within the Palo Alto Parks, Trails, Natural Open Space, and Recreation Master Plan. [4]Estimates based on cost assumptions for Park improvement costs provided by City of Palo Alto. [5]In light of the City's Quimby Fee, Land Acquisition Costs have been excluded from this analysis. [6]Park development costs have been escalated to Fiscal Year 2019 according to the Construction Cost Index (CCI). [7]Planning and Design Costs have been estimated to be approximately 6% of development costs, as seen in other California communities. [8]Administration costs have been estimated at 5% to appropriately reflect City staff's time. APPENDIX A-1 CITY OF PALO ALTO PARK DEVELOPMENT IMPACT FEE CALCULATION Foothills Park Capital Improvements Foothills Park Capital Improvements I. Inventory of Existing Community Center Facilities Facility Facility Units Quantity Cubberley Community Center Square Feet 65,046 Lucie Stern Community Center Square Feet 12,203 Mitchell Park Community Center Square Feet 15,000 Palo Alto Art Center Square Feet 23,000 Junior Museum and Zoo Square Feet 45,071 Improvements, Upgrades, and Renovations Integrated Unit 5 Building Master Plans Integrated Unit 5 II. Existing Community Center Facilities EDU Calculation Land Use Type Number of Persons Served Number of Units/ Non-Res 1,000 SF [1] Residents per Unit/ Persons Served per 1,000 Non-Res. SF [2] EDUs per Unit/ per 1,000 Non-Res SF Total Number of EDUs Single Family 42,392 15,443 2.75 1.00 15,443 Multi-Family 24,992 12,310 2.03 0.74 9,104 Commercial/Industrial (per 1,000 SF)15,860 23,323 0.68 0.25 5,778 Hotel/Motel (per 1,000 SF)183 1,577 0.12 0.04 67 Total 83,426 52,653 NA NA 30,392 III. Existing Facility Standard Facility Units Facility Type Facility Units Quantity per 1,000 Persons Served Cubberley Community Center Square Feet 65,046 779.68 Lucie Stern Community Center Square Feet 12,203 146.27 Mitchell Park Community Center Square Feet 15,000 179.80 Palo Alto Art Center Square Feet 23,000 275.69 Junior Museum and Zoo Square Feet 45,071 540.25 Improvements, Upgrades, and Renovations Integrated Unit 5 0.06 Building Master Plans Integrated Unit 5 0.06 IV. Future Community Center Facilities EDU Calculation Land Use Type Number of Persons Served Number of Units/ Non-Res 1,000 SF [1] Residents per Unit/ Persons Served per 1,000 Non-Res. SF [2] EDUs per Unit/ per 1,000 Non-Res SF Total Number of EDUs Single Family 6,911 2,517 2.75 1.00 2,517 Multi-Family 4,074 2,007 2.03 0.74 1,484 Commercial/Industrial (per 1,000 SF)1,644 2,418 0.68 0.25 599 Hotel/Motel (per 1,000 SF)19 164 0.12 0.04 7 Total 12,648 7,106 NA NA 4,608 V. Future Facility Standard Facility Units Facilities Units Facility Type [3] Facility Units per 1,000 Persons Served Funded by New Development Cubberley Community Center Square Feet 779.68 9,861.36 Lucie Stern Community Center Square Feet 146.27 1,850.05 Mitchell Park Community Center Square Feet 179.80 2,274.09 Palo Alto Art Center Square Feet 275.69 3,486.94 Junior Museum and Zoo Square Feet 540.25 6,833.03 Improvements, Upgrades, and Renovations Integrated Unit 0.06 0.76 Building Master Plans Integrated Unit 0.06 0.76 VI. Community Center Summary Cost Data Facility Units Funded Total Facility Cost forFacility Type [4]Facility Units by Future Development Cost Per Unit Future Development Cost per EDU Cubberley Community Center Square Feet 9,861.36 628.94$ $6,202,249 $1,346.10 Lucie Stern Community Center Square Feet 1,850.05 $629 $1,163,577 $252.54 Mitchell Park Community Center Square Feet 2,274.09 $629 $1,430,276 $310.42 Palo Alto Art Center Square Feet 3,486.94 $629 $2,193,090 $475.98 Junior Museum and Zoo Square Feet 6,833.03 $718 $4,909,057 $1,065.44 Improvements, Upgrades, and Renovations Integrated Unit 0.76 $12,469,894 $9,452,547 $2,051.53 Building Master Plans Integrated Unit 0.76 $171,692 $130,148 $28.25 Total VII. Community Center Facility Cost Summary Facility Units Facilities Funded Total Facilities for Facility Type Facility Units Current Development Future Development Buildout Population per 1,000 Persons Served by Future Development Facility Cost Future Development Cost per EDU Cubberley Community Center Square Feet 65,046 9,861.36 96,074 779.68 9,861.36 $629 $6,202,249 $1,346.10 Lucie Stern Community Center Square Feet 12,203 1,850.05 96,074 146.27 1,850.05 $629 $1,163,577 $252.54 Mitchell Park Community Center Square Feet 15,000 2,274.09 96,074 179.80 2,274.09 $629 $1,430,276 $310.42 Palo Alto Art Center Square Feet 23,000 3,486.94 96,074 275.69 3,486.94 $629 $2,193,090 $475.98 Junior Museum and Zoo Square Feet 45,071 6,833.03 96,074 540.25 6,833.03 $718 $4,909,057 $1,065.44 Improvements, Upgrades, and Renovations Integrated Unit 5 0.76 96,074 0.06 0.76 $12,469,894 $9,452,547 $2,051.53 Building Master Plans Integrated Unit 5 0.76 96,074 0.06 0.76 $171,692 $130,148 $28.25 Offsetting Revenues ($4,261,898) ($924.98) Total $12,644,820 $21,219,046 $4,605.27 Community Center LOS Facilities Fee Total $4,605.27 Notes: [1]Population estimates based on California Dept. of Finance, Demographic Research Unit - Report E-5 January 1, 2020. [2]Persons Served per Unit based on U.S. Census Bureau's American Community Survey (ACS) 2018. [3]Estimates based on current Community Center inventory as identified within the Palo Alto Parks, Trails, Natural Open Space, and Recreation Master Plan. [4]Estimates based on cost assumptions for Community Center improvement costs provided by City of Palo Alto. APPENDIX A-2 CITY OF PALO ALTO COMMUNITY CENTER DEVELOPMENT IMPACT FEE CALCULATION I. Inventory of Existing Library Facilities Facility Facility Units Quantity Children's Library (1276 Harriet)Square Feet 6,043 College Terrace Library (2300 Wellesley)Square Feet 2,392 Downtown Library (270 Forest Ave.)Square Feet 9,046 Mitchell Library (3700 Middlefield)Square Feet 41,000 Rinconada Library (1213 Newell)Square Feet 29,608 Furniture, Fixtures & Equipment Integrated Unit 5 Volumes Volumes 485,157 Technology Upgrades Integrated Unit 5 II. Existing Library Facilities EDU Calculation Land Use Type Number of Persons Served Number of Units/ Non-Res 1,000 SF [1] Residents per Unit/ Persons Served per 1,000 Non-Res. SF [2]EDUs per Unit Total Number of EDUs Single Family 42,392 15,443 2.75 1.00 15,443 Multi-Family 24,992 12,310 2.03 0.74 9,104 Commercial/Industrial (per 1,000 SF)15,860 23,323 0.68 0.25 5,778 Hotel/Motel (per 1,000 SF)183 1,577 0.12 0.04 67 Total 83,426 52,653 NA NA 30,392 III. Existing Facility Standard Existing Impact Fee Schedule (from Fiscal Year 2020 Adopted Schedule):Facility Units Facility Type Facility Units Quantity per 1,000 Persons Served Children's Library (1276 Harriet)Square Feet 6,043 72.44 College Terrace Library (2300 Wellesley)Square Feet 2,392 28.67 Downtown Library (270 Forest Ave.)Square Feet 9,046 108.43 Mitchell Library (3700 Middlefield)Square Feet 41,000 491.45 Rinconada Library (1213 Newell)Square Feet 29,608 354.90 Furniture, Fixtures & Equipment Integrated Unit 5 0.06 Volumes Volumes 485,157 5,815.39 Technology Upgrades Integrated Unit 5 0.06 IV. Future Library Facilities EDU Calculation Land Use Type Number of Persons Served Number of Units/Non-Res 1,000 SF [1] Residents per Unit/Persons Served per 1,000 Non-Res. SF [2]EDUs per Unit Total Number of EDUs Single Family 6,911 2,517 2.75 1.00 2,517 Multi-Family 4,074 2,007 2.03 0.74 1,484 Commercial/Industrial (per 1,000 SF)1,644 2,418 0.68 0.25 599 Hotel/Motel (per 1,000 SF)19 164 0.12 0.04 7 Total 12,648 7,106 NA NA 4,608 V. Future Facility Standard Facility Units Facilities Units Facility Type [3] Facility Units per 1,000 Persons Served Funded by New Development Children's Library (1276 Harriet)Square Feet 72.44 916.15 College Terrace Library (2300 Wellesley)Square Feet 28.67 362.64 Downtown Library (270 Forest Ave.)Square Feet 108.43 1,371.43 Mitchell Library (3700 Middlefield)Square Feet 491.45 6,215.84 Rinconada Library (1213 Newell)Square Feet 354.90 4,488.75 Furniture, Fixtures & Equipment Integrated Unit 0.06 0.76 Volumes Volumes 5,815.39 73,552.66 Technology Upgrades Integrated Unit 0.06 0.76 VI. Library Summary Cost Data Facility Units Total Facility CostFacility Type [4]Facility Units Funded by Future Development Cost Per Unit for New Development Cost per EDU Children's Library (1276 Harriet)Square Feet 916.15 $629 $576,211 $125.06 College Terrace Library (2300 Wellesley)Square Feet 362.64 $629 $228,081 $49.50 Downtown Library (270 Forest Ave.)Square Feet 1,371.43 $629 $862,552 $187.20 Mitchell Library (3700 Middlefield)Square Feet 6,215.84 $629 $3,909,421 $848.48 Rinconada Library (1213 Newell)Square Feet 4,488.75 $629 $2,823,174 $612.73 Furniture, Fixtures & Equipment Integrated Unit 0.76 $500,000 $379,015 $82.26 Volumes Volumes 73,552.66 $50 $3,677,633 $798.17 Technology Upgrades Integrated Unit 0.76 $500,000 $379,015 $82.26 Total VII. Library Facility Cost Summary Facility Units Facilities Funded Total Facilities Facility Type Facility Units Current Development Future Development Buildout Population per 1,000 Persons Served by New Development Facility Cost for New Development Cost per EDU Children's Library (1276 Harriet)Square Feet 6,043 916.15 96,074 72.44 916.15 $629 $576,211 $125.06 College Terrace Library (2300 Wellesley)Square Feet 2,392 362.64 96,074 28.67 362.64 $629 $228,081 $49.50 Downtown Library (270 Forest Ave.)Square Feet 9,046 1,371.43 96,074 108.43 1,371.43 $629 $862,552 $187.20 Mitchell Library (3700 Middlefield)Square Feet 41,000 6,215.84 96,074 491.45 6,215.84 $629 $3,909,421 $848.48 Rinconada Library (1213 Newell)Square Feet 29,608 4,488.75 96,074 354.90 4,488.75 $629 $2,823,174 $612.73 Furniture, Fixtures & Equipment Integrated Unit 5 0.76 96,074 0.06 0.76 $500,000 $379,015 $82.26 Volumes Volumes 485,157 73,552.66 96,074 5815.39 73,552.66 $50 $3,677,633 $798.17 Technology Upgrades Integrated Unit 5 0.76 96,074 0.06 0.76 $500,000 $379,015 $82.26 Offsetting Revenues ($214,779.00)($46.61) Total $1,003,195 $12,620,322 $2,739.05 Library Facilities Fee Total $2,739.05 Notes: [1]Population estimates based on California Dept. of Finance, Demographic Research Unit - Report E-5 January 1, 2020. [2]Persons Served per Unit based on U.S. Census Bureau's American Community Survey (ACS) 2018. [3]Estimates based on current Library inventory as identified within the Palo Alto Parks, Trails, Natural Open Space, and Recreation Master Plan. [4]Estimates based on cost assumptions for Library improvement costs provided by City of Palo Alto. APPENDIX A-3 CITY OF PALO ALTO LIBRARY DEVELOPMENT IMPACT FEE CALCULATION Service Factor (Residents and Employees) Residents per Unit** Number of Persons Served per EDUs per Unit Estimated Number of Units Land Use Type Persons Served*1,000 Non-Res. SF / per 1,000 Non-Res. SF / Non-Res. SF Total EDUs Single Family 42,392 2.75 1.00 15,443 15,443 Multi-Family 24,992 2.03 0.74 12,310 9,104 Commercial/Industrial (per 1,000 SF)15,860 0.68 0.25 23,322,578 5,778 Hotel/Motel (per 1,000 SF)183 0.12 0.04 1,577,422 67 Total 83,426 30,392 * Source: David Taussig & Associates; U.S. Census Bureau (ACS); City of Palo Alto Comprehensive Plan Update. ** Persons Served = Residents plus 50% of Employees, customary industry practice designed to capture the reduced levels of service demanded by employees. Subject to change. Service Factor (Future Residents and Employees) Residents per Unit** Number of Persons Served per EDUs per Unit Estimated Number of Units Land Use Type Persons Served*1,000 Non-Res. SF / per 1,000 Non-Res. SF / Non-Res. SF Total EDUs Single Family 6,911 2.75 1.00 2,517 2,517 Multi-Family 4,074 2.03 0.74 2,007 1,484 Commercial/Industrial (per 1,000 SF)1,644 0.68 0.25 2,417,876 599 Hotel/Motel (per 1,000 SF)19 0.12 0.04 163,533 7 Total 12,648 4,608 * Source: David Taussig & Associates; California Dept. of Finance, Demographic Research Unit - Report E-5 May 1, 2020. ** Persons Served = Residents plus 50% of Employees, customary industry practice designed to capture the reduced levels of service demanded by employees. Subject to change. Future EDU Calculation (FY 2040) APPENDIX A-4 Existing EDU Calculation (FY 2020) CITY OF PALO ALTO EDU & EBU CALCULATION YEAR TO BUILD-OUT (2040)