HomeMy WebLinkAboutStaff Report 7385
City of Palo Alto (ID # 7385)
City Council Staff Report
Report Type: Informational Report Meeting Date: 12/12/2016
City of Palo Alto Page 1
Summary Title: Annual Report Development Impact Fees - Early Memo
Title: Annual Report Development Impact Fees - Early Memo
From: City Manager
Lead Department: Administrative Services
Executive Summary
The Annual Status Report on Development Impact Fees provides specific information about
development impact fees imposed by the City. The schedule prepared in accordance with
Government Code Section 66006 (AB1600) must be made available to the public at least 15
days before the Council meeting at which it is considered and within 180 days of the close of
the fiscal year. Since the report is scheduled on the City Council Agenda of February 6, 2017, it
is being included in this early packet to allow time for public review. Additional information will
be available in the February 6, 2017 report.
Attachments:
Attachment A: FY16 Development Impact Fees (XLS)
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Stanford Research Park/San Antonio/West
FUND El Camino Fund Bayshore Fund
Purpose and Authority Traffic impact fees imposed on new Traffic impact fees imposed on new
for Collection nonresidential development in the nonresidential development in the
Stanford Research Park/El Camino San Antonio/West Bayshore Areas
Real CS zone to fund improvements to fund capacity improvements at
at eight identified intersections.four identified intersections.
PAMC Ch. 16.45 PAMC Ch. 16.46
Amount of the Fee $11.94 per square foot $2.46 per square foot
Fund Balance July 1, 2015 $3,183,028 $865,227
Activity in 2015-16
Revenues
Fees Collected 0 0
Interest Earnings 60,220 16,373
Unrealized Gain/Loss Investments 36,275 9,619
--------------------------------------------------------------------------------------------------------------------
Total Revenues $96,495 $25,992
--------------------------------------------------------------------------------------------------------------------
Total Expenditures 0 0
--------------------------------------------------------------------------------------------------------------------
Ending Balance June 30, 2016 $3,279,523 $891,219
Other Commitments/AppropriationsReserve for unrealized gain on
investments (55,874)(14,656)--------------------------------------------------------------------------------------------------------------------
Net Funds Available $3,223,649 $876,563
Unexpended balance at next finding
date (FY 2017-18)$2,343,008 $823,819
USE OF FEES:USE OF FEES:
No expenditures have been made from
this fund in Fiscal Year 2016.
No expenditures have been made from this
fund in Fiscal Year 2016.
Page 1 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Commercial Housing University Avenue Parking
FUND In-Lieu Fund In-Lieu Fund
Purpose and Authority Fees imposed on large commercial Fees collected from non-residential
for Collection and industrial development to development within the University Ave.
contribute to programs that increase Parking Assessment District in lieu of
the City's low income and moderate-providing the required number of
income housing stock.parking spaces.
PAMC Ch.16.47 PAMC Ch 16.57
Amount of the Fee $19.85 per square foot $65,475 per space
Fund Balance July 1, 2015 $14,642,107 $4,963,059
Activity in 2015-16
Revenues
Fees Collected 48,156
Prior year fees refunded (209,616)
Sale of Property 78,651
Interest Earnings 244,973 81,572
Unrealized Gain/Loss Investments 121,424 54,653
Operating Transfers
Transfer from Housing In-Lieu Fund 375,000
Transfer from SUMC 1,720,488
--------------------------------------------------------------------------------------------------------------------
Total Revenues 2,588,692 (73,391)
Expenditures
Planning (500)
Other Contract Services (2,777)
Transfer to Capital Projects (1,300,000)
Reclassify prior year expense to loan 500,000
--------------------------------------------------------------------------------------------------------------------
Total Expenditures 496,723 (1,300,000)
--------------------------------------------------------------------------------------------------------------------
Ending Balance June 30, 2016 $17,727,522 $3,589,668
Other Commitments/Appropriations
Reserve for Notes Receivable
include:$1,290,000 for 2811 Alma, and
$4,137,254 for 801 Alma.(5,427,254)
Reserve for Buena Vista (7,700,000)
Reserve for Encumbrance (12,278)
Reserve for unrealized gain on
investments (171,287)(75,110)
--------------------------------------------------------------------------------------------------------------------Net Funds Available $4,416,704 $3,514,558
Page 2 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Unexpended balance at next finding
date (FY 2017-18)7,263,289 $0
USE OF FEES:USE OF FEES:
Expenditures of funds have been made in
Fiscal Year 2016 for $3K housing nexus
study. The $500K previously reported as
expenditure for 801 Alma St. in fiscal year
2006 was reclassified to notes receivable.
The $7.7 million Reserve for Buena Vista
is included for unexpended balance
calculation purposes because this was
only set aside by council motion.
Expenditures of funds have been made in
Fiscal Year 2016 for $1.3M to PE-15007
(New Downtown Parking Garage).
Page 3 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Residential & Non-Residential Housing Residential & Non-Residential Housing
Community Facilities Community Facilities
FUND Parks Community Centers
Purpose and Authority Fees imposed on new residential and Fees imposed on new residential and
for Collection non-residential development approved non-residential development approved
after Jan 28, 2002 for Parks. after Jan 28, 2002 for Community Centers.
PAMC Ch. 16.58 PAMC Ch. 16.58
Amount of the Fee Residential: Single family
$11,465/residence (or $17,120/residence
larger than 3,000 sq ft); Multi-family
$7,505/unit (or $3,794/unit smaller than or
equal to 900 sq ft)
Residential: Single family $2,972/residence
(or $4,450/residence larger than 3,000 sq ft);
Multi-family $1,956/unit (or $987/unit smaller
than or equal to 900 sq ft)
Nonresidential: Commercial/industrial
$4,869 per 1,000 sq ft; Hotel/Motel $2,202
per 1,000 sq ft
Nonresidential: Commercial/industrial $275
per 1,000 sq ft; Hotel/Motel $124 per 1,000
sq ft
Fund Balance July 1, 2015 $3,830,075 $5,222,588
Activity in 2015-16
Revenues
Fees Collected 62,771 428,903
Interest Earnings 73,349 105,611
Unrealized Gain/Loss 46,961 64,277
--------------------------------------------------------------------------------------------------------------------
Total Revenues $183,081 $598,791
--------------------------------------------------------------------------------------------------------------------
Total Expenditures 0 0
--------------------------------------------------------------------------------------------------------------------
Ending Balance June 30, 2016 $4,013,156 $5,821,379
Other Commitments/Appropriations
Reserve for unrealized gain on investments (66,866)(94,345)--------------------------------------------------------------------------------------------------------------------Net Funds Available $3,946,290 $5,727,034
Unexpended balance at next finding
date (FY 2016-17)446,005 $843,809
USE OF FEES:USE OF FEES:
No expenditure of funds have been made
from this Fund in Fiscal Year 2016.
No expenditure of funds have been made
from this Fund in Fiscal Year 2016.
Page 4 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Residential & Non-Residential Housing Residential Housing
Community Facilities In-Lieu Fund
FUND Libraries
Purpose and Authority Fees imposed on new residential and Fees collected from residential
for Collection non-residential development approved developments of three or more units in
after Jan 28, 2002 for Libraries. lieu of providing the required below-
PAMC Ch. 16.58 market rate unit(s) to low and moderate
income households.
PA Comprehensive Plan and
PAMC Chapter 18
Amount of the Fee Residential: Single family
$1,038/residence (or $1,545/residence
larger than 3,000 sq ft); Multi-family
$620/unit (or $341/unit smaller than or
equal to 900 sq ft)Varies
Nonresidential: Commercial/industrial
$262 per 1,000 sq ft or fraction thereof;
Hotel/Motel $110 per 1,000 sq ft or
fraction thereof
Fund Balance July 1, 2015 $803,697 $17,620,964
Activity in 2015-16
Revenues
Fees Collected 142,591 2,035,025
Monroe Litigation Settlement 2,801,474
Webster Wood Property Rental 5,650
Interest Earnings 17,481 382,924
Unrealized Gain/Loss Investments 11,060 148,702
--------------------------------------------------------------------------------------------------------------------
Total Revenues $171,132 $5,373,775
Expenditures
Legal (36,730)
Housing Program Expense (147,698)
Interest Expense (7,106)
Principal Retired (135,060)
Transfer to SUMC (720,220)
Transfer to Housing Commerical (375,000)
--------------------------------------------------------------------------------------------------------------------
Total Expenditures 0 (1,421,814)
--------------------------------------------------------------------------------------------------------------------
Ending Balance June 30, 2016 $974,829 $21,572,925
Other Commitments/Appropriations
Page 5 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Reserve for Reappropriations (375,000)
Reserve for Encumbrances (65,937)
Reserve for Buena Vista (6,800,000)Reserve for unrealized gain on
investments (15,572)(195,102)
Reserve for Notes Receivable include
$375,000 for 3053 Emerson, $3,804,850
for Tree House Apts, $68,033 for Oak
Manor, $747,734 for Sheridan Apts.,
$2,285,026 for 801 Alma, $1,000,000 for
Palo Alto Housing Project, $600,000 for
2811-2825 Alma St., and $203,561 for
Colorado Park Housing.(9,084,204)
--------------------------------------------------------------------------------------------------------------------Net Funds Available $959,257 $5,052,683
Unexpended balance at next finding
date (FY 2016-17-Residential & Non
Residential Housing Communities
Facilities Libraries, FY2017-18-
Residential Housing In-Lieu)$541,529 $2,316,406
USE OF FEES:USE OF FEES:
No expenditure of funds have been made
from this Fund in Fiscal Year 2016.
Expenditures in Fiscal Year 2016 include
$148K to Palo Alto Housing Corp for BMR
fees, $135K for Oak Manor Apts. loan
forgiveness, $37K for legal fees, and $720K
and $375K return of funds to SUMC and
Housing Commercial, respectively. The $6.8
million Reserve for Buena Vista is included
for unexpended balance calculation
purposes because this was only set aside
by council motion
Page 6 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Parkland Dedication Charleston-Arastradero Corridor
Pedestrian and Bicyclist Safety
FUND
Purpose and Authority Fees on parkland dedication imposed Fees collected from new development and
for Collection on new residential and non-residential re-development within the Charleston-
development Arastradero Corridor to provide for pedest-
Govt Code Sec.66477 (Quimby Act) rian and bicyclist safety improvements.
PAMC Ch. 16.60
Amount of the Fee Single Family: $58,812 per unit; Multi-
Family: $40,103 per unit. This applies
only to residential projects that require a
subdivision or pacel map. Land
dedications is required for subdivisions
resulting in more than 50 parcels.
Parkland Dedication Fee -Land: Single
Family: 531 sq. ft, per unit; Multi-Family:
366 sq. ft. per unit. When parkland
dedication applies, park impact fees do
not apply.
Residential: $1,256 per unit; Commercial:
$0.37 per sq ft
Fund Balance July 1, 2015 $2,553,156 $254,690
Activity in 2015-16
Revenues
Fees Collected 624,270 1,225
Interest Earnings 51,478 4,268
Unrealized Gain/Loss 34,929 357
--------------------------------------------------------------------------------------------------------------------
Total Revenues $710,677 $5,850
Expenditures
Operating Transfer to Capital Projects
Fund 0 (250,000)
--------------------------------------------------------------------------------------------------------------------
Total Expenditures 0 (250,000)
--------------------------------------------------------------------------------------------------------------------
Ending Balance June 30, 2016 $3,263,832 $10,540
Other Commitments/ReappropriationsReserve for unrealized gain on
investments (49,462)(1,832)
--------------------------------------------------------------------------------------------------------------------Net Funds Available $3,214,370 $8,708
Unexpended balance at next finding
date (FY 2016-17-Parkland Dedication,
FY2017-18-Charleston)$757,744 $0
USE OF FEES:USE OF FEES:
No expenditure of funds have been made
from this Fund in Fiscal Year 2016.
Expenditure have been made in Fiscal Year
2016 for $250K to PL-13011 (Charleston
Arastadero).
Page 7 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
New Public Safety Facilities General Government Facilities
FUND
Purpose and Authority Fees imposed on residential and Fees imposed on residential and non-
for Collection non-residential development to fund residential development to fund facilities
police and fire facilities (including fire associated with municipal administration.
apparatus and vehicles)
PAMC Ch. 16.58
Amount of the Fee Residential: Single family $996 per unit;
Multi-family $797 per unit
Residential: Single family $1,255 per unit;
Multi-family $1,004 per unit
Nonresidential: Commercial $557 per
1,000 sq ft. or fraction thereof; Industrial
$186 per 1,000 sq. ft. or fraction thereof;
Hotel/Motel $743 per 1,000 sq ft or
fraction thereof
Nonresidential: Commercial $702 per 1,000
sq ft. or fraction thereof; Industrial $234 per
1,000 sq. ft. or fraction thereof; Hotel/Motel
$937 per 1,000 sq ft or fraction thereof
Fund Balance July 1, 2015 $1,596 $2,011
Activity in 2015-16
Revenues
Fees Collected 19,139 24,105
Interest Earnings 248 314
--------------------------------------------------------------------------------------------------------------------
Total Revenues $19,387 $24,419
--------------------------------------------------------------------------------------------------------------------
Total Expenditures 0 0
--------------------------------------------------------------------------------------------------------------------
Ending Balance June 30, 2016 $20,983 $26,430
Other Commitments/Reappropriations
--------------------------------------------------------------------------------------------------------------------Net Funds Available $20,983 $26,430
Unexpended balance at next finding
date FY 2019-20 $1,596 $2,011
USE OF FEES:USE OF FEES:
No expenditure of funds have been made
from this Fund in Fiscal Year 2016.
No expenditure of funds have been made
from this Fund in Fiscal Year 2016.
Page 8 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
Citywide Transportation
FUND
Purpose and Authority Transportation impact fees imposed
for Collection on new development in all parts of the City to fund congestion reduction
projects.
PAMC Ch. 16.59
Amount of the Fee $3,439 per net new PM peak hour trip
Fund Balance July 1, 2015 $2,460,395
Activity in 2015-16
Revenues
Fees Collected 482,832
Interest Earnings 54,426
Unrealized Gain/Loss Investments 28,085 --------------------------------------------------------
Total Revenues $565,343
--------------------------------------------------------
Total Expenditures 0 --------------------------------------------------------
Ending Balance June 30, 2016 $3,025,738
Other Commitments/Reappropriations
Reserve for unrealized gain on
investments (46,715)--------------------------------------------------------
Net Funds Available $2,979,023
Unexpended balance at next finding
date (FY 2017-18)$1,216,124
USE OF FEES:
No expenditure of funds have been made
from this Fund in Fiscal Year 2016.
Page 9 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
(INFORMATION ONLY)
Public Art Fund
FUND
Purpose and Authority
for collection Fees imposed on new commercial
develoments (including mixed use
projects), including new construction,
remodels, additions and reconstruction
that (i) have a floor area of 10,000 square
feet or more, and (ii) have a construction
value of $200,000, or more, exclusive of
costs for architecture, design, engineering,
and required studies; and all new
residential projects of five or more units to
fund public art for private developments.
PAMC Ch. 16.61
Amount of the Fee 1% of first $105.21 million construction
valuation and .9% of construction
valuation for valuation in excess of
$105.21 million
Fund Balance July 1, 2015 $154,716
Activity in 2015-16
Revenues
Fees Collected 141,206
Interest Earnings 8,812
Unrealized Gain/Loss Investments 4,866
Operating Transfer from General Fund 107,000
--------------------------------------------------------
Total Revenues $261,884
Expenditures
Salaries and benefits (135,051)
--------------------------------------------------------
Total Expenditures (135,051)
--------------------------------------------------------
Ending Balance June 30, 2016 $281,548
Reserve for unrealized gain on
investments (6,412)
--------------------------------------------------------Net Funds Available $275,136
This fund is not subject to AB1600
requirements and is listed only for
information purposes
Page 10 of 11
Attachment A
City of Palo Alto
Annual Report on Development Impact Fees
for Period Ending June 30, 2016
(INFORMATION ONLY)
FUND Water and Wastewater Collection
Purpose and Authority Capacity fees charged to developers that
for Collection are adding load to the water and sewer
systems effective July 1, 2005.
California Government Code Sect 66000
Amount of the Fee Water Capacity Fees: 5/8 in., 3/4 in E-
Meter. $5,000, 1 in. E-Meter $9,400, 1 1/2
in. E-Meter $18,850, 2 in. E-Meter
$56,250 , 4 in. Compound Meter by est.
$125/FU (min. 5,000 FU) , 6 in.
Compound Meter by est. $125/FU (min.
7,000 FU)
Fire Service Capacity Fees: 2 in. $750, 4
in. $9,000, 6 in. $22,530, 8 in. $43,080,
10in. $69,510
Sewer Capacity Charges: 4 in. connection
with 5/8 in Water Meter (WM) $5,250, 4 in
connection. with 1-in WM $15,750, 4 or 6
in. connection with 1-1/2 in WM $31,668,
6 in. connection with 2 in. WM $94,500, 6
in. and larger connection with 4 in. or
larger WM by est. at $210/FU
Activity in 2015-16
Capacity Fees Collected
Water $641,283
Wastewater Collection 288,206
Total $929,489
USE OF FEES:
The fees are used exclusively for water
and sewer system improvements
Page 11 of 11