HomeMy WebLinkAboutApprove Annual Developer Fee Funds Compliance Reports for th I � C
'{ Dept. ID PW 15-010 Page 1 of 2
Meeting Date:3/16/2015
CITY OF HUNTINGTON BEACH
REQUEST FOR. CITY COUNCIL ACTION
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MEETING DATE: 3/16/2015
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Fred A. Wilson, City Manager
PREPARED BY: Travis K. Hopkins, PE, Director of Public Works
SUBJECT: Approve Annual Developer Fee Funds Compliance Reports for the Planned
Local Drainage Facility Fund, Sanitary Sewer Facilities Fund and the Fair Share
Traffic Impact Mitigation Fee Program
Statement of Issue:
In accordance with the Huntington Beach Municipal Code and the California Government Code, the
City Council must receive annual compliance reports on facilities improvement fees collected for
development projects. The three funds with this requirement include Planned Local Drainage
Facilities, Sanitary Sewer Facilities, and Fair Share Traffic Impact Mitigation Fee Program.
Financial Impact:
Not applicable.
Recommended Action:
A) Approve the Planned Local Drainage Facility Fund Annual Compliance Report for Fiscal Year
2013/14; and,
B) Approve the Sanitary Sewer Facilities Fund Annual Compliance Report for Fiscal Year 2013/14;
and,
C) Approve the Fair Share Traffic Impact Mitigation Fee Program Annual Compliance Report for
Fiscal Year 2013/14.
Alternative Action(s):
Recommend revisions to any of these reports.
Analysis:
Three developer fee compliance reports are presented for approval. Use of the funds is restricted to
making system improvements as outlined in the respective master plans for each of the funds.
Information contained in the reports conforms to the requirements of the Huntington Beach
Municipal Code regarding revenues and expenditures in each fund.
Public Works Commission Action:
The Public Works Commission reviewed each report on February 18, 2015, and recommended
approval by a vote of 6-0-1.
Environmental Status:
Not applicable.
Item 9. - I I 1 -64-
Dept. ID PW 15-010 Page 2 of 2
Meeting Date:3/16/2015
Strategic Plan Goal:
Enhance and maintain infrastructure
Attachment(s):
1) Planned Local Drainage Facility Fund Annual Compliance Report for Fiscal Year 2013/14
2) Sanitary Sewer Facilities Fund Annual Compliance Report for Fiscal Year 2013/14.
3) Fair Share Traffic Impact Mitigation Fee Program Annual Compliance Report for Fiscal Year
2013/14.
HB -65- Item 9. - 2
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®J� CITY OF HUNTINGTON BEACH
g �-- PUBLIC WORKS COMMISSION
REQUEST FOR ACTION
Item No. PW 15-02
SUBMITTED TO: Chairperson and Members of the Commission
SUBMITTED BY: Travis K. Hopkins, PE, Director of Public Works
DATE: February 18, 2015
SUBJECT: Planned Local Drainage Facilities Fund Annual Compliance
Report Fiscal Year 2013114
Statement of Issue: In accordance with Section 14.48 of the Huntington Beach
Municipal Code (HBMC), the Public Works Department is required to prepare an
annual report of the status of the Planned Local Drainage Facility Fund
(Drainage Fund) for the City Council. The process provides an opportunity for
the Public Works Commission to review planned projects, revenues and
expenditures under the program.
Funding Source: No funding is required for this action.
Impact on Future Maintenance Costs: Not applicable.
Recommended Action: Motion to recommend to the City Council the approval
of the Planned Local Drainage Facility Fund Compliance Report for Fiscal Year
2013/14.
Alternative Action(s): Recommend revisions to the report.
Analysis: The Planned Local Drainage Facilities Fund (Drainage Fund) is a
development fee that is restricted to use for drainage system enhancements.
Section 14.48.050 (d) requires the City Council to review the status of
compliance with this Chapter, including the revenues collected and the funds
expended. The following information conforms to the requirements of the HBMC
regarding revenues and expenditures of the Drainage Fund. Although the
reporting requirement became effective with the adoption of the revised
ordinance in September 2006, the Drainage Fund has existed since 1975. The
following information covers Fiscal Year 2013/14.
Item 9. - 3 HB -66-
Fiscal Status
The Drainage Fund advanced $250,000 to the Redevelopment Agency for
improvements in 1987. With interest accrual of $603,877, the debt amount is
currently $853,877. As a result, the Fund maintained a negative balance over a
period of ten years until Fiscal Year 12/13, when the fund ended with a positive
balance. In Fiscal Year 2013/14, revenue from developer fees exceeded
expectations and the Drainage Fund ended the year with a positive balance of
$298,093.
On June, 29, 2011 , the State of California enacted AB 1 X26, which dissolves
redevelopment agencies and designates Successor Agencies to "wind-down"
activities of the former redevelopment agencies under supervision of newly
created Oversight Boards. On January, 31 , 2012, the City's Redevelopment
Agency presented an initial draft Recognized Obligation Payment Schedule
(ROPS) to the Successor Agency. In this case, the City has elected to become
the Successor Agency. The debt noted above is included in the list of
obligations; however, no payments are scheduled to the Drainage Fund within
the presented time frame.
Revenues
Revenue for FY 2013/14 from development was $255,196 and interest to the fund
was $678 for total revenue of $255,874.
Expenditures
No expenditures were made in FY 2013/14. Staff will monitor the fund as
revenue is received and assess the need for future drainage projects.
Conformance with Program Goals and Objectives
The Drainage Fund is intended to implement the goals and objectives of the
current Drainage Master Plan. Funds collected and deposited to the fund may
be expended solely for the construction or reimbursement for construction of
drainage facilities. The Fund is in compliance with these requirements.
HB -67- Item 9. - 4
Beginning Balance 10/13 $42,219
Revenue
Developer fees 255,196
Interest earned 678
Total Revenue $ 255,874
Total Expenditures 0
Beginning Balance 10/14 $298,093
Projected revenues 200,000
Budgeted expenditures 0
Estimated Balance 10/15 $498,093
Rate Schedule Fiscal Year 2013/14
Drainage Fees: $13,880 per acre.
Environmental Status: Not applicable
Attachments: None
Item 9. - 5 HB -68-
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% A CITY OF HUNTINGTON BEACH
�- PUBLIC WORKS COMMISSION
REQUEST FOR ACTION
Item No. PW 15-03
SUBMITTED TO: Chairperson and Members of the Commission
SUBMITTED BY: Travis K. Hopkins, PE, Director of Public Works
DATE: February 18, 2015
SUBJECT: Sanitary Sewer Facilities Fund Annual Compliance Report
Fiscal Year 2013/14
Statement of Issue: In accordance with Section 14.36 of the Huntington Beach
Municipal Code (HBMC), the Public Works Department is required to prepare an
annual report of the status of the Sanitary Sewer Facilities Fund (Sanitary Sewer
Fund) for the City Council. The process provides an opportunity for the Public
Works Commission to review planned projects, revenues and expenditures under
the program.
Funding Source: No funding is required for this action.
Impact on Future Maintenance Costs: Not applicable.
Recommended Action: Motion to recommend to the City Council the approval
of the Annual Sanitary Sewer Facilities Fund Compliance Report for Fiscal Year
2013/14.
Alternative Action(s): Recommend revisions to the report.
Analysis: The Sanitary Sewer Fund is a development fee that is restricted to use
for sewer capacity enhancements. The fee is unrelated to the monthly Sewer
Service Charge used for operations and maintenance of the existing sewer
system.
Section 14.36.070 (d) requires the City Council to review the status of
compliance with this Chapter, including the revenues collected and the funds
expended. The following information conforms to the requirements of the HBMC
regarding revenues and expenditures of the Sanitary Sewer Fund. Although this
requirement became effective with the adoption of the revised ordinance in
xB -69- Item 9. - 6
July 2003, the Sewer Facilities Fund has existed since 1988. The following
information covers Fiscal Year 2013/14.
Fiscal Status
Revenues and expenditures are summarized below for the past fiscal year. The
fund balance as of September 30, 2014 was $4,623,376.
Not included in this figure are monies owed the Sanitary Sewer Facilities Fund by
the Huntington Beach Redevelopment Agency. The original advance was
$131,000. With interest accrual of $319,921, the debt amount for the fiscal year
end was $450,921 .
On June, 29, 2011 , the State of California enacted AB1 X26, which dissolves
redevelopment agencies and designates Successor Agencies to "wind-down"
activities of the former redevelopment agencies under supervision of newly
created Oversight Boards. On January, 31, 2012, the City's Redevelopment
Agency presented an initial draft Recognized Obligation Payment Schedule
(ROPS) to the Successor Agency. In this case, the City has elected to become
the Successor Agency. The debt noted above is included in the list of
obligations; however, no payments are scheduled to the Sanitary Sewer
Facilities Fund within the presented time frame.
Revenues
Total revenue for FY 2013/14 was $735,150. Residential and commercial
developer fees contributed $175,757 and $344,306 respectively. Other revenue,
included grants and reimbursements, totaled $183,078. The fund was credited
$32,099 in interest.
Expenditures
Fiscal Year 2013/14
Expenditures for the fund in FY 13/14 included $34,541 in salaries and consultant
charges related to lift station design. A total of $592,292 in was expended
towards the Warner Avenue Gravity Sewer project, $122,292 in salaries and
$470,000 towards construction. Total expenditures in the fund were $626,833.
Fiscal Year 2014/15
Budgeted expenditures for the current fiscal year include $4,975 in
encumbrance rollovers and $410,000 in new funds for lift station design. Total
budgeted expenditures are $414,975.
Conformance with Program Goals and Objectives
Item 9. - 7 HB -70-
The Sanitary Sewer Facilities Fund is intended to implement the goals and
objectives of the current Sewer Master Plan. Funds collected and deposited to
the fund may be expended solely for the construction or reimbursement for
construction of sanitary sewer facilities. The Fund is in compliance with these
requirements.
Environmental Status: Not applicable.
Summary of Revenue and Expenditures
Sanitary Sewer Facilities Fund
Beginning Balance 10/13 $4,515,059
Revenue
Developer fees (residential) 175,757
Developer fees (commercial) 344,306
Other 183,078
Interest earned 32,009
Total Revenue $ 735,150
Expenditures
Design services (34,541)
Warner Avenue Gravity Sewer 592,292
Total Expenditures $ (626,833)
Beginning Balance 10/14 $49623,3 66
Budgeted revenues 400,000
Budgeted expenditures 414,975)
Estimated Balance 10/15 $4,608,401
Rate Structure Fiscal Year 2013/14
CITY-SEWER C®NIVECTIOiV,FEES Effective Oc#berK1, 2013
xB -7 1- Item 9. - 8
Single Family Dwelling Unit $ 2,256
Multiple Family Dwelling Unit 1,845
h.
Non Residential (based"on water meter size relationship t6-Equivalent Dwelling Unit, EDU ) u
,"CVlete`r Seize & Type" EDU's Charged
3/4" 1 $ 2,564
1" 2 $ 5.129
1 '/z" 3 $ 7.693
2" 5 $ 12,824
3" 11 $ 28,212
4" Compound 17 $ 43,599
4" Domestic &Turbine 33 $ 84,634
6" Compound 33 $ 84,634
6" Domestic &Turbine 67 $ 171,830
8" Domestic 117 $ 300,061
10" Domestic 183 $ 466,642
Attachments: None
Item 9. - 9 xB -72-
IL-ATTAC H M ET #3
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®JJ CITY OF HUNTINGTON BEACH
° PUBLIC WORKS COMMISSION
REQUEST FOR ACTION
Item No. PW 15-06
SUBMITTED TO: Chairman and Members of the Commission
SUBMITTED BY: Travis K. Hopkins, PE, Director of Public Works
DATE: February 18, 2015
SUBJECT: Fair Share Traffic Impact Fee Program Annual Report for Fiscal
Year 2013/14
Statement of Issue: In accordance with Section 17.65.130 of the Huntington
Beach Municipal Code (HBMC), the Public Works Department is required to
prepare an annual report of the status of the Fair Share Traffic Impact Fee
Program for the City Council. The process also provides an opportunity for the
Public Works Commission to review revenues and expenditures under the
program.
Funding Source: No funding is required for the recommended action. All Traffic
Impact Fee funds are maintained in a separate account from other City
operation funds.
Recommended Action: Motion to recommend approval of the 2013/14 Traffic
Impact Fee Annual Report to the City Council.
Alternative Action(s): Recommend revisions to the report elements or request
additional information.
Analysis: The Fair Share Traffic Impact Fee (TIF) program is intended to
implement the goals and objectives of the General Plan by providing revenue
to ensure that the adopted Level of Service standards for arterial roadways and
signalized intersections are maintained when new development is constructed
within the City limits and that these developments pay their fair share towards
short and long term transportation improvements. During the FY 2011/12 fiscal
year, the City Council approved an update of the Fair Share Traffic Impact Fee
including minor revisions to the Municipal Code and the fee structure.
The following sections comprise the annual report.
HB -73- Item 9. - 10
Fiscal Status
This report presents the fund information based on the City's preliminary audit for
Fiscal Year 2013/14. The balance for the fund at the beginning of the fiscal year
was $1,505,123. During FY 2013/14, Traffic Impact Fee fund recognized
$1,570,621 in revenues including the following:
® Impact Fees Paid $1,547,636
• Grants $ 15,120
■ Interest and Miscellaneous $ 7,865
Expenditures from the fund totaled $11,436 in personnel salaries and benefits
related to program and project administration. The fund balance at the end of
the fiscal year was $3,064,308.
Budgeted projects for FY 2013/14 included Atlanta Avenue Widening, Ellis/Main
Traffic Channelization Modifications and Brookhurst/Adams Intersection
Improvements. Funds for the Ellis/Main project were carried forward to FY
2014/15. Funds for Brookhurst/Adams were encumbered and carried forward to
FY 2014/15.
Planned Capital Projects, Studies and Expenditures
The City Council approved new funding for Fiscal Year 2014/15 in the amount of
$50,000 for a study of the potential reconfiguration of the Beach/Ellis/Main Street
intersection to improve traffic flow efficiency and reduce congestion. As noted
above, $177,819 in 2013/14 CIP funds were also carried forward for the project.
Funds in the amount of $78,927 were encumbered in FY 2013/14 for
Brookhurst/Adams Intersection Improvements. These funds were carried forward
to the current fiscal year. Lastly, the FY 2014/15 budget includes $600,000 in TIF
funds for the Atlanta Avenue Widening project.
The City expects to collect traffic impact fees for a few larger projects during
the current fiscal year, depending on actual development scheduling and
approvals. There are a few traffic capacity projects that are being developed
where the some of the current and projected balance could be used including:
® Brookhurst/Adams right-of-way and construction phase
® Warner/Beach right turn lane right-of-way and construction phase
® Beach/Edinger eastbound right turn lane extension right-of-way and
construction
Right-of-way acquisition and construction costs for each of these projects is likely
to be substantial and would require additional revenue sources, such as grants
to fund the complete project. Staff recommends allowing the balance of the
traffic impact fee fund to grow and limit expenditures to high priority efforts in
order to best meet the future funding needs for these projects.
Item 9. - I I HB -74-
Conformance with Program Goals and Objectives
The Traffic Impact Fee Program is intended to implement the goals, objectives
and policies of the City of Huntington Beach General Plan, as stated in the
Municipal Code Chapter 17.65. Completion of the planned projects
implements improvements identified in the Circulation Element of the General
Plan and is in conformance with the goals and objectives of the Fair Share
Traffic Impact Fee program.
xB -75- Item 9. - 12