HomeMy WebLinkAboutCity Council - 2023-62 RESOLUTION NO. 2023-62
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH TO
ACCEPT AND APPROVE THE DEVELOPMENT IMPACT FEE REPORT FOR FISCAL
YEAR ENDING JUNE 30, 2Q23 AND TO MAKE THE FINDINGS AS REQUIRED BY
GOVERNMENT CODE SECTION 66006(b) AND 66001(d)
WHEREAS, City has received and expended reportable development impact fees as
authorized by Government Code Section 66000, et. seq.; and the Huntington Beach Municipal
Code; and
In accordance with Government Code Section 66006(a), the City has established and
maintained separate funds for each development impact fee in a manner to avoid any
commingling of the fees with other revenues and funds for the City, except for temporary
investments, and has expended those fees solely for the purpose for which the fees were
collected; and
Pursuant to Government Code Section 66006(b)(1),the City is required to prepare and
make available to the public within one hundred eighty (180) days after the last day of each
fiscal year, information describing the type of fee in each account or fund,the amount of the fee,
the beginning and ending balance of the account or fund,the amount of the fees collected and
interest earned, and details regarding the use of the fees; and
Pursuant to Government Code Section 66001(d)(1),the City is required, for the fifth
fiscal year following the first deposit into the account or fund, and every five years thereafter,to
make specified findings with respect to that portion of the account or fund that remains
unexpended,whether committed or uncommitted; and
Pursuant to Government Code Section 66001(d)(2),the fifth year findings must be made
in connection with the public information required by Government Code Section 66006(b); and
Pursuant to Government Code Section 66006(b)(2),the City must review the information
made available to the public pursuant to Section 66006 at a regularly scheduled public meeting
occurring not less than 15 days after the information is made public; and
Pursuant to Government Code Section 66001(e), except as otherwise provided by law,
when sufficient funds have been collected, as determined pursuant to Government Code Section
66006(b)(1)(F),to complete financing on an incomplete public improvement identified in
Government Code section 66001(a)(2), and the public,improvements remain incomplete,the
City must identify an appropriate date by which the construction of the public improvements will
be commenced, or must refund to the then current record owner or owners of the lots or units of
the development project or projects on a prorated basis, the unexpended portion of the fee, and
any interest accrued thereon; and
The Development Impact Fee Report for Fiscal Year End June 30, 2023 (the"DIF
Report") attached hereto as Exhibit "A",provides the information required by Government Code
22-12184/296775 1
Resolution No. 2023-62
Section 66006(b)to be made available to the public on an annual basis for the following
development impact fees:
• A Law Enforcement Facilities Development Impact Fee as approved by Ordinance No.
3942, passed on July 2, 2012 and codified in Chapter 17.75 of the Huntington Beach
Municipal Code,to fund the costs of providing police services attributable to new
residential and nonresidential construction
• A Fire Facilities Development Impact Fee as approved by Ordinance No. 3943
Development Impact Fees for Fire Facilities,passed on July 2, 2012 and codified in
Chapter 17.74 of the Huntington Beach Municipal Code,to fund the costs of providing
additional fire suppression/medic facilities, vehicles and specialty equipment attributable
to new residential and nonresidential construction
• A Fair Share Traffic Impact Mitigation Fee as approved by Ordinance No. 3944, passed
on July 2, 2012 and codified in Chapter 17.65 of the Huntington Beach Municipal Code,
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 new developments pay their fair share toward short- and long-term transportation
improvements
• A Library Development Impact Fee as approved by Ordinance No. 3945,passed on July
2, 2012 and codified in Chapter 17.67 of the Huntington Beach Municipal Code, to fund
the costs of expansion of the amount of library space and the number of collection items
attributable to new residential construction
• A Parkland Acquisition and Park Facilities Development Impact Fee, as approved by
Ordinance No. 3946,passed on July 2, 2012 and codified in Chapter 17.76 of the
Huntington Beach Municipal Code,to fund the costs of providing the acquisition,
relocation and expansion of parkland and park facilities development attributable to new
residential and nonresidential construction
• A Sanitary Sewer Facilities Fee,pursuant to Chapter 14.36 of the Huntington Beach
Municipal Code, to fund sewer capacity enhancements to accommodate new
development requiring service from the City sewer system
• A Drainage Facilities Fee,pursuant to Section 14.48.050 of the Huntington Beach
Municipal Code, restricted to use for drainage system enhancements
• An In-Lieu Parking Fee, pursuant to Chapter 231.10 of the Huntington Beach Zoning
Code, to create future parking opportunities and to facilitate vehicular traffic and
pedestrian movement as part of the Downtown Specific Plan
• An Affordable Housing In-Lieu Fee,pursuant to Chapter 230.26 of the Huntington Beach
Zoning Code,to produce housing units affordable to all economic segments of the
community
23-13799/323979 2
Resolution No. 2023-62
The DIF Report was made available to the public on December 4, 2023, more than 15
days prior to the regularly scheduled meeting held on December 19, 2023, of the City Council of
the City of Huntington Beach; and
The City first collected and deposited fees in Fiscal Year 2012-13; and
The City Council now wishes to accept the DIF Report and to make requisite findings
relating to unexpended funds for the five-year period ending with Fiscal Year June 30, 2023.
NOW, THEREFORE, BE IT HEREBY RESOLVED by the City Council of the City of
Huntington Beach,the following:
1. The foregoing recitals and determinations are true and correct.
2. The City has timely made available to the public the requisite information and proposed
findings concerning the development impact fees received, deposited, invested and expended by
the City.
3. The City Council at its regularly scheduled public meeting of December 19, 2023, has
publicly reviewed the following information as contained in the DIF Report and finds that it
complies with Government Code Section 66006(b), establishing the requirements for annual
reporting on development impact fees:
a. A brief description of the type of fee in the account or fund;
b. The amount of the fee;
c. The beginning and ending balance of the account or fund;
d. The amount of the fees collected and interest earned;
e. An identification of each public improvement on which fees were expended and
the amount of expenditures on each improvement including the total percentage
of the cost of the public improvement that was funded with fees;
f. An identification of an approximate date by which the construction of the public
improvement will commence if the local agency determines that sufficient funds
have been collected to complete financing on an incomplete public improvement;
g. A description of each interfund transfer or loan made from the account or fund,
including the public improvement on which the transferred or loaned fees will be
expended, and, in the case of an interfund loan, the date on which the loan will
be repaid and the rate of interest that the account or fund will receive on the loan;
and
h. The amount of any refunds made due to sufficient funds being collected to
complete financing on incomplete public improvements, and the amount of
reallocation of funds made due to administrative costs of refunding unexpended
revenues exceeding the amount to be refunded.
4. The City Council finds that the DIF Report contains the following requisite information
to support making the findings relating to unexpended funds, pursuant to Government Code
Section 66001(d) as of the end of Fiscal Year 2022-23:
23-13799/323979 3
Resolution No. 2023-62
a. Identify the purpose to which the fee is to be put;
b. Demonstrate a reasonable relationship between the fee and the purpose for which
it is charged;
c. Identify all sources and amounts of funding anticipated to complete financing in
incomplete improvements; and
d. Designate the approximate dates on which the anticipated funding is expected to
be deposited into the appropriate account or fund.
5. The City Council finds that all fees, payments, and expenditures have been collected,
deposited, invested and expended in compliance with all applicable provisions of Government
Code Section 66000, et. seq.
6. The City Council finds that no refunds or allocations of fees are required pursuant to
Government Code Section 66001(e).
7. The City Council finds that the City is in compliance with the annual reporting
requirements of Government Code Section 66006(b)(1) for Fiscal Year 2022-23.
8. The City Council finds that the City is in compliance with Government Code Section
66001(d) relative to making required fifth year findings for the period beginning in Fiscal Year
2018-19 and ending Fiscal Year 2022-23.
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the 19th day of Decemb +23.
ii
ayor
REVIEWE AND APP OVED: APPROVED AS TO ORM:
City Mana r City Attorney
INITIATED AND APPROVED:
Af
Flamm"'
Chi-4j s cial Officer
23-13799/323979 4
Resolution No. 2023-62
EXHIBIT A
DEVELOPMENT IMPACT FEE REPORT
23-13799/323979 5
Development
Impact Fee Report
iifor Fiscal Year End
June 30, 2023
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City of HuntingtOn Beach
Development Impact Fee Report
Fiscal Year Ended
June 30, 2023
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Submitted by
Sunny Han, Chief Financial Officer
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FeoUNN,P;``;,'' Table of Contents
City Council Directory
City Officials Directory II
Transmittal Letter 1
Introduction
Legal Requirements for Development Impact Fee Reporting 2
Description of Development Impact Fees 4
Development Impact Fee Master Fee Schedule - 8.
Development Impact Fee Report
Statement of Revenues, Expenditures and Changes in Fund Balance Summary 12
Financial Summary Report
Parkland Acquisition and Park Facilities Development Impact Fees 13
Police Facilities Development Impact Fees 16
Fire Facilities Development Impact Fees 17
Library Development Impact Fees 18
In-Lieu Parking Fees 19
Affordable Housing In-Lieu Fees 20
Planned Local Drainage Facilities Fund 21
Sanitary Sewer Facilities Fund 22
Fair Share Traffic Impact Mitigation Fee Program • 23
Development Impact Fee Project Identification 24
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Tony Strickland Gracey Van Der Mark
Mayor Mayor Pro Tern
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Rhonda Bolton Pat Burns Dan Kalmick
Council Member Council Member Council Member
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Casey McKeon Natalie Moser
Council Member Council Member
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City Official Directory
Elected Officials
City Attorney Michael Gates
City Clerk Robin Estanislau
City Treasurer Alisa Backstrom
City Manager's Office
City Manager (Interim) Eric Parra
Assistant City Manager Travis Hopkins
Department Directors
Community Development (Acting) Jennifer Villasenor
Community and Library Services Ashley Wysocki
Finance Sunny Han
Fire Scott Haberle
Information Services John Dankha
Human Resources (Interim) Theresa St. Peter
Police Eric Parra
Public Works Chau Vu
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Transmittal Letter
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Development Impact Fee Report
Fiscal Year End June 30, 2023
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`�Q`;:pORYRR4lFp ti CITY OF HUNTINGTON BEACH
. 2000 Main Street,Huntington Beach,CA 92648
:mc :.9 oQ�' FINANCE DEPARTMENT
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December 19,2023
Dear Mayor and Members of the City Council:
The City Council approved the establishment of Development Impact Fees through the enactment of
Government Code Sections 66001 through 66009. Four ordinances have been adopted establishing
development impact fees for Parkland Acquisition and Park Facilities, Police Facilities, Fire Facilities,
and Library. The law requires any local agency that imposes development impact fees to prepare an
annual report providing specific information about those fees. Additionally,three Public Works facilities
improvement fees —Planned Local Drainage, Sanitary Sewer Facilities, and Fair Share Traffic Impact
Mitigation Program—and two Community Development fees—In-Lieu Parking and Affordable Housing
In-Lieu — collected for development projects are also included in the annual compliance report
requirement.
In accordance with the provisions of the California Government Code Section 66006 (b) and 66001 (d),
as amended by Assembly Bill (A) 518 and Senate Bill (SB) 1693, I hereby submit the Development
Impact Fee (DIF) Report for the City of Huntington Beach, California for the fiscal year (FY) ended
June 30, 2023.
DIFs are charged by local governmental agencies in connection with approval of development projects.
The purpose of these fees is to defray all or a portion of the cost of public facilities related to the
development project. The.legal requirements for enactment of a DIF program are set forth in
Government Code 66000-66025 (the "Mitigation Fee Act"), the bulk of which was adopted as 1987's
AB 1600 and thus commonly referred to as "AB 1600 requirements".
DIFs are collected at the time a building permit is issued for mitigating the impacts caused by new
development on the City's infrastructure. Fees are used to finance the acquisition, construction and
improvement of public facilities needed because of this new development. A separate fund has been
established to account for each of the City's adopted DIFs.
State law requires the City prepare and make available to the public the DIF Report within 180 days after
the last day of each fiscal year. The City Council must review the annual report at a regular scheduled
public meeting not less than fifteen days after the information is made available to the public. This report
was filed with the City Clerk's office and available for public review on December 4, 2023.
Sincerely,
Sunny Han
Chief Financial Officer
1
Introduction
1
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Development Impact Fee Report
Fiscal Year End June 30, 2023
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,04
Vec4. .0 4?-1 Introduction
oo
Legal Requirements for Development Impact Fee Reporting
California Government Code Section 66006 (b)
California Government Code Section 66006 (b) defines the specific reporting requirements for local
agencies that impose AB 1600 DIFs on new development. Annually,for each separate fund established
for the collection and expenditure of DIFs, the local agency shall, within 180 days of the close of the
fiscal year, make available to the public the information shown below for the most recent fiscal year.
a) A brief description of the type of fee in the account or fund.
b) The amount of the fee.
c) The beginning and ending balance of the account or fund.
d) The amount of the fees collected and interest earned.
e) An identification of each public improvement on which fees were expended and the amount of
the expenditures on each improvement, including the total percentage of the cost of the public
improvement that was funded with fees.
f) An identification of an approximate date by which the construction of the public improvement
will commence if the local agency determines that sufficient funds have been collected to
complete financing on an incomplete public improvement, as identified in paragraph (2) of
subdivision (a)of Section 66001,and the public improvement remains incomplete.
g) A description of each interfund transfer or loan made from the account or fund, including the
public improvement on which the transferred or loaned fees will be expended, and, in the case
of an interfund loan, the date on which the loan will be repaid, and the rate of interest that the
account or fund will receive on the loan.
h) The amount of refunds made pursuant to subdivision (e)of Section 66001 and any allocations
pursuant to subdivision (f)of Section 66001. .
California Government Code Section 66001 (d) .
For all funds established for the collection and expenditure of DIFs, California Government Code
Section 66001 (d) has additional requirements: For the fifth fiscal year following the first deposit into
the fund and every five years thereafter,the local agency shall make all of the following findings with
respect to that portion of the fund remaining unexpended,whether committed or uncommitted:
a) Identify the purpose to which the fee is to be put.
b) Demonstrate a reasonable relationship between the fee and purpose for which it is charged.
c) Identify all.sources and amounts of funding anticipated to complete financing in incomplete
improvements identified in paragraph (2)of subdivision (a).
d) Designate the approximate dates on which the funding referred to in subparagraph (c) is
expected to be deposited into the appropriate account or fund.
California Government Code Section 66002
The State of California Government Code Section 66002 states that:
a) Any local agency, which levies a 'fee subject to Section 66001, may adopt a capital
improvement plan,which shall indicate the approximate location, size,time of availability, and
estimates of cost for all facilities or improvements to be financed with the fees.
2
IIO�:'�•cawi�a yB s
Introduction
California Government Code Section 66002 (Continued)
b) The capital improvement plan shall be adopted by, and shall be annually updated, by, a
resolution of the governing body of the local agency adopted at a noticed public hearing. Notice
of the hearing shall be given pursuant to Section 65090. In addition, mailed notice shall be
given to any city or county,which may be significantly affected by the capital improvement plan.
This notice shall be given no later than the date the local agency notices the public hearing
pursuant to Section 65090. The information in the notice shall be not less than the information
contained in the notice of public hearingand shall be given by first-class mail or personal
delivery.
c) "Facility"or"improvement,"as used in this section, means any of the following:
1) Public buildings, including schools and related facilities; provided that school facilities
shall not be included if Senate Bill 97 of the 1987-88 Regular Session is enacted and
becomes effective on or before January 1, 1988.
2) Facilities for the storage,treatment, and distribution of nonagricultural water.
3) Facilities for the collection,treatment, reclamation, and disposal of sewage.
4) Facilities for the collection and disposal of storm waters and for flood control purposes.
5) Facilities for the generation of electricity and the distribution of gas and electricity.
6) Transportation and transit facilities, including but not limited to streets and supporting
improvements, roads, overpasses, bridges, harbors, ports, airports, and related
facilities.
7) Parks and recreation facilities.
8) Any other capital project identified in the capital facilities plan adopted pursuant to
Section 66002.
3
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'y,.. .-^.�__,Q Introduction
CpUNTY ON;,/'
Description of Development Impact Fees
Parkland Acquisition and Park Facilities Development Impact Fees
Background: On June 18, 2012, the City Council approved the introduction of Ordinance No. 3946,
which amended the Huntington Beach Municipal Code (HBMC) by adding Chapter 17.76 relating to
Parkland Acquisition and Park Facilities Development Impact.Fees. The second reading of the
Ordinance was approved on July 2, 2012.
Fee Description: Per HBMC 17.76.090, the funds collected from Parkland Acquisition and Park
Facilities Development Impact Fee shall be used to fund the "costs of providing the acquisition,
relocation and expansion of parkland and park facilities development,attributable to new residential
and nonresidential construction." Therefore, the expenses included in this report represent all costs
associated with the planning, design, and construction stages of an eligible project, including staffing
and professional design consultant costs.
Specifically,the fees may be used as summarized below.
1) The acquisition of additional property for the expansion of parkland and community facilities
development;
2) The construction of new parks and park facilities and community use facilities;
3) The funding of a master pla to identify capital facilities to serve new parkland and park
facilities and community use facilities development;
4) .The cost of financing, projects identified in the City's General Plan, the Master Facilities
Plan included in the Nexus Report, the City's Capital Improvement Plan, the adopted
annual City of Huntington Beach budget, or City Council approved park acquisition and
development projects.
Since the City's CIP generally includes projects and upgrades to existing facilities of$50,000 or more,
all eligible park improvements may not meet the minimum qualifications required to be included in the
City's CIP. However, projects and improvement less than the$50,000 threshold are still eligible park
expenses as long as they are included in the documents referenced in item 4 above of the City's
adopted annual budget. Examples of these types of expenditures include the City's annual park license
fees with Southern California Edison..Since these expenses are included in the City's budget,they are
eligible and included in this report.
•
Police Facilities Development Impact Fees
Background: On June 18, 2012, the City Council approved the introduction of Ordinance No. 3942,
which amended the Huntington Beach Municipal Code (HBMC) by adding Chapter 17.75 relating to
Law Enforcement Facilities Impact Fees. The second reading of the Ordinance was approved on July
2, 2012.
Fee Description:Per HBMC 17.75.090, the funds collected from the Police Facilities Development
Impact Fee shall be used to fund the costs of providing police services attributable to new residential
and nonresidential construction and shall include:
1) The costs of providing the acquisition, construction,furnishing of new buildings;
2) Purchase of new specialty equipment and.vehicles
3) Development of a Master Plan to identify capital facilities;
4
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COUNTY t '•
I
Police Facilities Development Impact Fees (Continued)
4) The cost of financing, projects identified in the City's General Plan, the Master Facilities Plan
included in the Nexus Report, the City's Capital Improvement Plan,or City Council approved
development projects .
Fire Facilities Development Impact Fees
Background: On June 18, 2012, the City Council approved the introduction of Ordinance No. 3942,
which amended the Huntington Beach Municipal Code (HBMC) by adding Chapter 17.74 relating to
Fire Facilities Development Impact Fees. The second reading of the Ordinance was approved on July
2,.2012. .
Fee Description: Per HBMC 17.74.090,the funds collected from the Fire Facilities Development Impact
Fees shall be used to fund the costs of providing additional Fire suppression/medic facilities, vehicles
and specialty equipment attributable to new residential and nonresidential construction and shall
include:
1) The acquisition of additional property for Fire Department facilities;
2) The construction of new facilities for Fire Department services;
3) The furnishing of new buildings or facilities for Fire Department services;
4) The purchase of new specialty equipment and vehicles for Fire Department services;
5) The funding of a Master Plan to identify capital facilities to serve new Fire Department
development; .
6) The cost of financing projects identified in the City's General Plan, the Master Facilities Plan
included in the Nexus Report, the City's Capital Improvement Plan, or City Council approved
development projects.
Library Development Impact Fees
Background: On June 18, 2012, the City Council approved the introduction of Ordinance No. 3945,
which amended the Huntington Beach Municipal Code (HBMC) by.adding Chapter 17.67 relating to
Library Development Impact Fees. The second reading of the Ordinance was approved on July 2,
2012.
Fee Description: Per HBMC 17.67.065,the funds collected from the Library Development Impact Fees
shall be used to fund the costs of expansion of the amount of library space and the number of collection . .
items attributed to the new residential construction and shall include:
•
1) The acquisition of additional property for Library construction;
2) The construction of new facilities for Library services;
3) The furnishing of new buildings or facilities for Library.services;
4) The purchase.of Library collections to expand collections; .
5) The funding of master plan to identify capital facilities;
6) To serve new users and patrons;
7) The cost of financing, projects identified in the City's General Plan, the Master Facilities
Plan included in the Nexus Report, the City's Capital Improvement Plan, or City Council
approved development projects. .
5
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Oyu
Introduction
' �q�'•.`Eo ��
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In-Lieu Parking Fee Program
Fee Description:The In-Lieu Parking Fee Program (In-Lieu Parking Fee) is intended to implement the
goals and objectives of the Downtown Specific Plan by creating parking opportunities and facilitating
vehicular traffic and pedestrian movement.
In accordance with Chapter 231.10 of the Huntington Beach Zoning Code, parking requirements for
private property uses within the Downtown Specific Plan Area may be met by payment of an "in-lieu"
fee for providing parking in a parking facility subject to conditional use permit approval by the Planning
Commission.
In-Lieu Parking funds shall be used only for creating opportunities for additional parking, including, but
not limited to, programs such as valet, re-striping, shuttle, trolley, and other similar programs resulting
in the provision of additional parking or construction of surface or structured parking and associated
design costs in District 1 of the Downtown Specific Plan. These types of projects can be quite expensive
and can involve right-of-way acquisition and property impacts. As such, parking in-lieu funds are
typically accumulated over several fiscal years until sufficient funds are available to undertake these
types of projects.
Affordable Housing In-Lieu Fee Program
Fee Description: The Affordable Housing In-Lieu Fee Program (Affordable Housing In-Lieu Fee) is
intended to implement the goals and objectives of the City of Huntington Beach Zoning &Subdivision
Ordinance Section 230.26 relating to Inclusionary Housing (Inclusionary Housing Ordinance)and is a
tool.used.by the.City to produce housing units affordable to all economic segments of the community.
The Inclusionary Housing Ordinance applies to new residential'projects of three or more units and
requires that a minimum of 10%of all new residential construction be affordable housing units. Housing
developers have multiple options to meet this obligation, including the payment of an in-lieu fee. If the
in-lieu fee option is selected, the fee must be deposited in the City of Huntington Beach's.Affordable
Housing Trust Fund (the"Trust Fund").
This ordinance was most recently updated in September 2021 to expand the fee to include ownership
projects with more than nine units and rental projects up to 100 units, among other changes. In-lieu
fees paid to fulfill inclusionary housing requirements are placed in the City's Affordable Housing Trust
Fund.•
The ordinance includes several provisions for use of Affordable Housing In-Lieu funds, including the
following:
1) .Constructing residential projects with a minimum 50% of units affordable to very low and
low-income households, with at least 20% of the units available to very low-income
households;
2) Units that obtain Affordable Housing In-Lieu funds must be affordable fora minimum of 55
years for rental units or 45 years for ownership units;
3) City Council has discretion to use Affordable Housing In-Lieu funds for other related costs
such as pre-development 'costs, land or air rights acquisition, rehabilitation, land write
downs, administrative costs, gap financing, or to lower the interest rate of construction
loans or permanent financing.
6
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Affordable Housing In-Lieu Fee Program (Continued)
In accordance with Section 230.26 (G) of the Huntington Beach Municipal Code (HBMC), the
Community Development Department is required to prepare an annual report of the status of the
Affordable Housing Trust Fund for Council including the amount of fees collected, expenditures from
the Affordable Housing Trust Fund,and the degree to which the fees collected are assisting the City to
provide and encourage low-and moderate-income housing.
Sanitary Sewer Facilities Fund
Fee Description: The Sanitary Sewer Facilities Fund (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. In accordance with Section
14.36.070 (d) of the Huntington Beach Municipal Code (HBMC), the Public Works Department is
required to prepare an annual report of the status of the Sewer Fund for the City Council.
The Sewer 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.
Planned Local.Drainage Facilities Fund
Fee Description: The Planned Local Drainage Facilities Fund (Drainage Fund) is a development fee
that is restricted to use for drainage system enhancement. In accordance with Section 14.48.050 (d)
of the Huntington Beach Municipal Code(HBMC),the Public Works Department is required to prepare
an annual report of the status of the Drainage Fund for the City Council.
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.
Fair Share Traffic Impact Mitigation Fee Program
Fee Description:The Fair Share Traffic Impact Mitigation Program(Traffic Impact Fee)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.
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 Traffic Impact Fee for
the City Council.
Uses of Traffic Impact Fee funds are restricted to roadway capacity projects or other projects that affect
the performance of the street system to offset the impacts of traffic generated by new development.
Often,these types of projects are quite expensive and can involve right-of-way acquisition and property
impacts.. Staff has been developing projects to address some key roadway capacity areas in the City
that are also larger scale projects. With expenditures that can be millions of dollars, staff has
recommended that the Traffic Impact Fee fund accumulate a significant balance in order to make
pursuit of those projects financially possible in the future. However, it is important to develop a program
for fund expenditure to ensure the timely use of funds that are collected.under this program.
7
a.NTINGlO
*"'".yi'.'�'d�
s;
9
=ys o Introduction
net's
%NTY
Master Fee Schedule
Development Impact Fees
(per Resolution 2012-23 and amended on 12/17/18 to include ADU DIF)
Law Fire Circulation Systems Public Parkland/
Land Use Enforcement Suppression (Streets, Signals, Library Open Space&
Facilities Facilities Bridges) Facilities Facilities
(No Tract Map)
Detached Dwelling Units (per Unit) $ 362.05 $ 844.11 $ 2,385.00 $ 1,179.72 $ 16,554.73
Attached Dwelling Units (per Unit) $ 746.48 $ 349.85 $ 1,597.00 $ 866.48 $ 12,732.84
Accessory Dwelling Units (per Unit) $ 183.50 $ 86.00 $ 341.00 $ 213.00 $ 3,130.00
Mobile Home Dwelling Units (per Unit) $ 337.64 $ 1,449.23 $ 1,248.00 $ 708.85 $ 10,222.88
Hotel/Motel Lodging Units(per Unit) No Fee No Fee $172/trip $0.041/SF $0.234/SF
Resort Lodging Units (per Unit) No Fee No Fee $172/trip $0.041/SF $0.234/SF
Commercial/Office Uses (per sq. ft.) $ 0.953 $ 0.301 $ 4.175 No Fee $ 0.897
Industrial/Manufacturing Uses (per sq.ft.) $ 0.406 $ 0.0275 $ 1.716 No Fee $ 0.730
In-Lieu Parking Fees
(per Resolution 2010-49, effective October 1, 2022)
Rate
$ 32,158.00 / Parking Space
variable annual
8.08% interest
Note: *only applicable when fee is not paid in lump sum
8
-.,.-_e 1 ; . n
_ s;
- �1 Introduction
FCGUNTY 6p�\/l'I
`-
Master Fee Schedule
Affordable Housing In-Lieu Fees
(effective August 8, 2022)
FEE FEE
AFFORDABLE HOUSING IN-LIEU FEE For Ownership For Rental
Housing* Housing
3 Unit Projects fee x total square feet= $ 2.72 $ 3.84
4 Unit Projects fee x total square feet= $ 3.63 $ 5.12
5 Unit Projects fee x total square feet= $ 4.53 $ 6.40
6 Unit Projects fee x total square feet= $ 5.44 $ 7.68
7 Unit Projects fee x total square feet = $ 6.35 $ 8.96
8 Unit Projects fee x total square feet = $ 7.25 $ 10.24
9 Unit Projects fee x total square feet= $ 8.16 $ 11.52
10 Unit Projects fee x total square feet= $ 9.07 $ 12.80
11 Unit Projects fee x total square feet = $ 9.97 $ 14.08
12 Unit Projects fee x total square feet= $ 10.88 $ 15.36
13 Unit Projects fee x total square feet = $ 11.79 $ 16.64
14 Unit Projects fee x total square feet= $ 12.69 $ 17.92
15 Unit Projects fee x total square feet= $ 13.60 $ 19.20
16 Unit Projects fee x total square feet = $ 14.51 $ 20.48
17 Unit Projects fee x total square feet= $ 15.41 $ 21.76
18 Unit Projects fee x total square feet= $ 16.32 $ 23.04
19 Unit Projects fee x total square feet= $ 17.32 $ 24.32
20 Unit Projects fee x total square feet= $ 18.31 $ 25.60
21 Unit Projects fee x total square feet= $ 19.04 $ 26.88
22 Unit Projects fee x total square feet = $ 19.95 $ 28.16
23 Unit Projects fee x total square feet = $ 20.85 $ 29.44
24 Unit Projects fee x total square feet = $ 21.76 $ 30.72
25 Unit Projects fee x total square feet = $ 22.67 $ 32.00
26 Unit Projects fee x total square feet = $ 23.57 $ 33.28
27 Unit Projects fee x total square feet= $ 24.48 $ 34.56
28 Unit Projects fee x total square feet= $ 25.39 $ 35.84
29 Unit Projects fee x total square feet= $ 26.29 $ 37.12
30+ Unit Projects fee x total square feet= $ 27.20 $ 38.40
Note: *Calculated per square foot of net saleable area (up to 2000 s.f. per unit)
9
TINOlO
yam
o:oe�,� Introduction
COUNTY C�ii'�
Master Fee Schedule
Sewer Connection Fees
(effective July 1, 2022)
Residential
Single Family Dwelling Unit $ 2,594.20
Multiple Family Dwelling Unit $ 2,121.14
Non-Residential (based on water meter size relationship to Equivalent Dwelling Unit, EDU,
Meter Size 8 Type EDU's Charge
3/4" 1 $ 2,947.36
_. 1" 2 $ 5,895.81
1 1/2" 3 $ 8,844.26
2" 5 $ 14,743.34
3" 11 $ 32,434.04
4" Compound 17 $ 50,123.65
4" Domestic & Turbine 33 $ 97,299.94
6" Compound 33 $ 97,299.94
6" Domestic & Turbine 67 $ 208,445.06
8" Domestic 117 $ 344,966.47
10" Domestic 183 $ 536,477.29
Drainage Fee
(effective July 1, 2022)
Rate
$ 14,888.00 /Acre
10
,�NT I NGlO
-=y Introduction
cotivi
Master Fee Schedule
Schedule of Rates for Traffic Impact Fees
(per Resolution 2012-23 and updated May 2021 and May 2023)
Land Use Cost per 1000 sq. it, dwelling unit or other unit
May 2021 May 2023
RESIDENTIAL LAND USES (per Unit)
Detached Dwelling Unit $ 2,624.30 $ 2,943.88 /Unit
Apartment $ 1,843.08 $ 2,067.53 /Unit
Condominium/Townhouse $ 1,607.96 $ 1,803.77 /Unit
Mobile Home Dwelling $ 1,372.83 $ 1,540.01 /Unit
RESORT/TOURIST(per Unit or Entry Door)
Hotel $ 1,812.75 $ 2,033.50 /Room
All Suites Hotel $ 1,084.61 $ 1,216.69 /Room
Motel $ 1,251.48 $ 1,403.88 /Room
INDUSTRIAL (per 1,000 SF)
General Light Industrial $ 2,108.54 $ 2,365.32 /1,000 sf
Heavy Industrial $ 2,040.29 $ 2,288.75 /1,000 sf
Manufacturing $ 932.91 $ 1,046.52 /1,000 sf
Warehousing $ 1,501.77 $ 1,684.65 /1,000 sf
COMMERCIAL (per 1,000 SF)
Office Park $ 2,472.61 $ 2,773.72 /1,000 sf
Research Park $ 1,668.63 $ 1,871.84 /1,000 sf
Business Park $ 3,117.30 $ 3,496.92 /1,000 sf
Bldg. Materials/Lumber Store $ 4,785.94 $ 5,368.77 /1,000 sf
Garden Center $ 3,822.69 $ 4,288.22 /1,000 sf
Movie Theater $ 401.99 $ 450.94 /1,000 sf
Church $ 963.26 $ 1,080.56 /1,000 sf
Medical-Dental Office $ 7,410.25 $ 8,312.66 /1,000 sf
General Office Building $ 2,389.18 $ 2,680.13 /1,000 sf
Shopping Center $ 4,922.47 $ 5,521.93 /1,000 sf
Hospital $ 1,865.83 $ 2,093.05 /1,000 sf
Discount Center $ 10,262.09 $ 11,511.80 /1,000 sf
High-Tumover Restaurant $ 1,448.67 $ 1,625.09 /1,000 sf
Convenience Market $ 7,106.86 $ 7,972.33 /1,000 sf
Office Park $ 2,275.41 $ 2,552.51 /1,000 sf
OTHER(as noted)
Cemetery $ 500.58 $ 561.54 /Acre
Service Station/Market (avg) $ 17,558.57 $ 19,696.84 /Fuel Position
Service Station w/Car Wash $ 16,200.91 $ 18,173.84 /Fuel Position
11
Development Impact
Fee Report
��i�vNTINGT
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�c0UNTY C ' #' •
Development Impact Fee Report
Fiscal Year End June 30, 2023
ri'pNT I NCT
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• Development Impact Fee Report
Statement of Revenues, Expenditures and Changes in Fund Balance
For the Fiscal Year Ended June 30, 2023 *
Development Impact Fees
Parkland
Acquisition In-Lieu Affordable Sewer Drainage Traffic
&Park Police Fire Library Parking Housing Facilities Facilities Impact
Description Facilities Facilities Facilities Facilities Fund In-Lieu Fund Fund Fees
REVENUES
Fees 970,706 824,434 79,133 103,468 56,120 4,930,227 1,318,035 1,003,383 1,515,538
Interest 70,307 38,003 17,248 16,313 117,357 57,578 31,947 59,843
Other Revenue 12,310
Total Revenues 1,041,013 862,437 96,381 119,781 56,120 5,047,584 1,387,923 1,035,330 1,575,381
EXPENDITURES
Expenditures 2,971,362 488,233 1,499 88,860 6,100 1,231,594 393,409 41,428
Total Expenditures 2,971,362 488,233 1,499 88,860 6,100 1,231,594 393,409 41,428
Rev Over/(Under)Exp (1,930,349) 374,204 94,882 30,921 50,020 5,047,584 156,329 641,921 1,533,953
Beginning Fund Balance 5,688,798 1,942,285 1,035,859 989,634 719,230 4,541,690 2,270,713 3,486,824 2,646,630
Ending Fund Balance 3,758,449 2,316,489 1,130,741 1,020,555 769,250 9,589,274 2,427,042 4,128,745 4,180,583
*Note: Unaudited actual
12
Financial Summary
Report
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Development Impact Fee Report
Fiscal Year End June 30, 2023
..................
a '
Financial Summary Report
Parkland Acquisition and Park Facilities Development Impact Fees
The Parkland Acquisition and Park Facilities Development Impact Fee program is intended to implement the
goals, objectives and policies of the City of Huntington Beach General Plans by ensuring that the City's
acquisition, relocation and expansion of parkland and community facilities development are maintained when
new development is constructed within the City limits (HBMC 17.76.020 (B).
Fiscal Status
This report presents the fund information based on the City's preliminary audit for Fiscal Year 2022/23. The
balance for the fund at the beginning of the fiscal year was $5,688,798. During FY 2022/23, the Parkland
Acquisition and Park Facilities Development Impact Fee Fund recognized $970,706 in impact fees paid, as
well as $70,307 in interest and market adjustments for total revenues of$1,041,013.
Expenditures from the fund totaled $2,971,362 including Bluff Top Park improvements ($763,000), Harbour
View Clubhouse Rehabilitation ($738,000), playground equipment and accessibility improvements at
Huntington Central Park—Slater and Booster Park ($682,000), Huntington Central Park Public Art Installation
—"To See Yourself in Nature "($217,000), Huntington Central Park Restrooms —Gothard ($117,000), Edison
Park Reconfiguration design ($100,000), Marina Park conceptual design services ($52,000), Huntington
Central Park Disc Golf Course ($29,000), as well as other various park improvements. The fund balance at
the end of the fiscal year is $3,758,449.
No Parkland Acquisition and Park Facilities Development Impact Fees were loaned and no refunds were made
due to protests during this reporting period.
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 4,026,144 385,395 788,972 440,288 970,706
Interest 495,707 383,539 3,088 62,860 70,307
Total Revenues 4,521,851 768,934 792,060 503,148 1,041,013
EXPENDITURES
Expenditures 1,533,146 2,949,744 3,556,058 5,176,320 2,971,362
Total Expenditures 1,533,146 2,949,744 3,556,058 5,176,320 2,971,362
Rev Over/(Under) Exp 2,988,705 (2,180,810) (2,763,998) (4,673,172) (1,930,349)
Beginning Fund Balance 12,318,073 15,306,778 13,125,968 10,361,970 5,688,798
Ending Fund Balance 15,306,778 13,125,968 10,361,970 5,688,798 3,758,449
Note: *Unaudited actual
13
/0:1:"NGTp'
A f-: Financial Summary Report
.......,
Parkland Acquisition and Park Facilities Development Impact Fees (Continued)
Planned Park Proiects, Studies, and Expenditures
The FY 2023/24 Capital Improvement Program (CIP) includes funding for the following new projects: Seely
Park and Trinidad Park Playground Improvements($236,000)to be completed by June 30, 2023. Continuing
funding is also budgeted for Edison and Carr Park Improvements, tennis court and irrigation renovations at
LeBard Park, as well as Marina Park design services and completion of the Parks Master Plan.
Future Project and Fund Balance
Per HBMC 17.76.090 (A)(5), use of Parkland Acquisition and Park Facilities Development Impact Fee funds
are restricted to projects identified in the City of Huntington Beach General Plan, the Master Facilities Plan
included in the Nexus Report, the City of Huntington Beach Capital Improvement Plan, the adopted annual
City of Huntington Beach budget,or City Council approved park acquisition and development projects. Often,
these types of projects require multiple years to plan and construct due to changing City priorities,community
involvement, and the entitlement process. With expenditures totaling millions of dollars, staff recommends
that the Parkland Acquisition and Park Facilities Development Impact Fee Fund accumulate a significant
balance in order to make pursuit of those projects financially possible in the future. However, it is important
to develop a program for fund expenditure to ensure the timely use of funds that are collected under this
program. Staff also uses Parkland Acquisition and Park Facilities Development Impact Fee funds as a
"matching fund"when pursuing park enhancement projects for grant funding opportunities as available.
Looking forward, other potential uses of the fund balance include continued design services, plans and
specifications, and construction funding for the Edison Park Reconfiguration Improvements pending final
approval of a Master Plan anticipated for 2024. Additionally, it is anticipated that the final'design plans and
specifications for the Marina Park Reconfiguration project would be completed in FY 2024/25, with
construction beginning in FY 2025/26. Finally,continued playground ADA equipment improvements as listed
on the City Council approved Park Playground & Equipment Replacement Priority List and other playground
safety equipment needs are also planned on a continuous basis as funding is available through FY 2024/25
at an estimated cost of.$3.2 million.
14
'!��NTINBr0
;;y�•,;, r,o.::oQ=,�� Financial Summary Report
Parkland Acquisition and Park Facilities Development Impact Fees (Continued)
Summary of Revenue and Expenditures
Parkland Acquisition & Park Facilities Development Impact Fee Fund*
Beginning Balance 7/1/2022 $5,688,798
Revenue
Developer Fees (Residential) 529,671
Developer Fees (Commercial) 441,035
Others, Interest, &Adjustments 70,307
Total Revenue $1,041,013
Expenditures
Various Park Improvements/Monument Signs (5,256)
Park Leases (10,635)
Edison Park Reconfiguration (99,639)
Harbor View Clubhouse Rehabilitation (738,267)
HCP Disc Golf Course (28,800)
LeBard Park Improvements (22,016)
HCP Trail Improvements (8,556)
HCP Restroom Improvements (116,600)
Rodgers Seniors' Center Redevelopment 3,102
Bluff Top Park Improvements (763,305)
Marina Park Reconfiguration (51,545)
Sun View Park Playground Improvements (10,962)
Carr Park Improvements (993)
Booster Park Playground Improvements (221,527)
HCP Slater Playground Improvements (460,226)
HCP Art Installation (217,336)
Pattinson Park Improvements (20,115)
Personnel and Professional Services (198,686)
Total Expenditures $(2,971,362)
Beginning Balance 7/1/2023 $3,758,449
'Figures are rounded to the nearest dollar
Conformance with Program Goals and Objectives
The Park Development 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 17.76. Completion of
the planned projects is in conformance with the goals and objectives of the Park Development Impact Fee
program.
15
/ii.\\, N6Tp;
It Financial Summary Report
�FC�UNTY c,';,,�
Police Facilities Development Impact Fees
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 278,513 178,437 154,900 149,993 824,434
Interest 48,848 49,575 9,948 19,691 38,003
Total Revenues 327,361 228,012 164,848 169,684 862,437
EXPENDITURES
Expenditures 150,336 488,233
Total Expenditures 150,336 488,233
Rev0\er/(Under) Exp 327,361 228,012 164,848 19,348 374,204
Beginning Fund Balance 1,202,716 1,530,077 1,758,089 1,922,937 1,942,285
Ending Fund Balance 1,530,077 1,758,089 1,922,937 1,942,285 2,316,489
Note: 'Unaudited actual
Police Facilities Development Impact Fees of$824,434 and $38,003 in interest/bank adjustments were posted
in FY 2022/23. Expenditures during Fiscal Year 2022/23 totaled $488,233 for PD Communications Center
and Traffic Office reconfigurations.
No Police Facilities Development Impact Fees were loaned and no refunds were made due to protests during
this reporting period.
The Police Facilities Development Impact Fee Fund reports funds being held past the fifth year and first
deposit. These funds are intended for the projects identified in the DIF Project Identification section of this
annual compliance report.
16
�ia�NTINGjO
Financial Summary Report
_COUNTY CP\•,1
Fire Facilities Development Impact Fees
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 156,211 98,953 99,561 64,895 79,133
Interest 25,418 27,274 5,042 9,959 17,248
Total Revenues 181,629 126,227 104,603 74,854 96,381
EXPENDITURES
Expenditures 72,914 1,499
Total Expenditures 72,914 1,499
Rev Over/(Under) Exp 181,629 126,227 104,603 1,940 94,882
Beginning Fund Balance 621,460 803,089 929,316 1,033,919 1,035,859
Ending Fund Balance 803,089 929,316 1,033,919 1,035,859 1,130,741
Note:*Unaudited actual
Fire Facilities Development Impact Fees of$79,133 and $17,248 in interest/bank adjustments were posted in
FY 2022/23. Expenditures totaled $1,499 for costs related to a Fire facilities assessment and a standards of
cover study.
No Fire Facilities Development Impact Fees were loaned and no refunds were made due to protests during
this reporting period.
The Fire Facilities Development Impact Fee Fund reports funds being held past the fifth year and first deposit.
These funds are intended for the projects identified in the DIF Project Identification section of this annual
compliance report.
17
Financial Summary Report
C
'�OOUNTVPS;"
Library Development Impact Fees
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 313,292 128,248 104,298 77,394 103,468
Interest 40,351 36,229 1,084 9,669 16,313
Total Revenues 353,643 164,477 105,382 87,063 119,781
EXPENDITURES
Expenditures 125,856 156,639 349,272 83,528 88,860
Total Expenditures 125,856 156,639 349,272 83,528 88,860
Rev Over/(Under) Exp 227,787 7,838 (243,890) 3,535 30,921
Beginning Fund Balance 994,363 1,222,150 1,229,988 986,099 989,634
Ending Fund Balance 1,222,150 1,229,988 986,098 989,634 1,020,555
Note:*Unaudited actual
Library Development Impact Fees of $103,468 and interest/bank adjustments of $16,313 were posted in
FY 2022/23. Expenditures incurred in FY 2022/23 include professional services charges for the development
of the Library Facilities Master Plan ($7,729)and conceptual design services for the Central Library's Children-
Teen wing ($81,131).
No Library Development Impact Fees were loaned and no refunds were made due to protests during this
reporting period.
18
•0a�NTINGrp�'�
Financial Summary Report
�outirl 0.\>#
In-Lieu Parking Fees
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 67,743 18,336 115,018 65,717 56,120
Interest
Total Revenues 67,743 18,336 115,018 65,717 56,120
EXPENDITURES
Expenditures 5,074 6,100
Total Expenditures 5,074 6,100
RevO\er/(Under) Exp 67,743 18,336 115,018 60,643 50,020
Beginning Fund Balance 457,490 525,233 543,569 658,587 719,230
Ending Fund Balance 525,233 543,569 658,587 719,230 769,250
Note:*Unaudited actual
In-Lieu Parking Fees of$56,120 and interest/bank adjustments of$0 were posted in FY 2022/23. Expenditures
incurred in FY 2022/23 include professional services charges for a parking study($6,100).
No In-Lieu Parking Fees were loaned and no refunds were made due to protests during this reporting period.
The In-Lieu Parking Fee Fund reports funds being held past the fifth year and first deposit. These funds are
intended for the projects identified in the DIF Project Identification section of this annual compliance report.
19
Ioi a�NT N J-0y
Financial Summary Report
F�oU 1; C,,ii
Affordable Housing In-Lieu Fees
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 137,432 2,806,277 224,046 793,846 4,930,227
Interest 14,711 56,093 5,853 31,007 117,357
Other Revenue 54,674 68,852 86,196 2,269,091
Total Revenues 206,817 2,931,222 316,095 3,093,944 5,047,584
EXPENDITURES
Expenditures 100,411 2,265,471 715
Total Expenditures 100,411 2,265,471 715
Rev Over/(Under) Exp 106,406 665,751 315,380 3,093,944 5,047,584
Beginning Fund Balance 360,209 466,615 1,132,366 1,447,746 4,541,690
Ending Fund Balance 466,615 1,132,366 1,447,746 4,541,690 9,589,274
Note:*Unaudited actual
Affordable Housing In-Lieu Fees of$4,930,227 and interest/bank adjustments of$117,357 were posted in FY
2022/23, for total revenues of$5,047,584. The large increase in revenue in FY 2022/23 was due to fees paid
by several large development projects. No expenditures were incurred in FY 2022/23.
No Affordable Housing In-Lieu Fees were loaned and no refunds were made due to protests during this
reporting period.
20
�✓�pNTINGrO
,�l
a •
Financial Summary Report
pUN'V
Planned Local Drainage Facilities Fund
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 429,294 703,122 217,735 963,138 1,003,383
Interest 53,429 74,100 12,285 (197,540) 31,947
Other Revenue (386)
Total Revenues 482,337 777,222 230,020 765,598 1,035,330
EXPENDITURES
Expenditures 26,749 668 393,409
Total Expenditures 26,749 668 393,409
Rev 0ver/(Under) Exp 482,337 777,222 203,271 764,930 641,921
Beginning Fund Balance 1,259,064 1,741,401 2,518,623 2,721,894 3,486,824
Ending Fund Balance 1,741,401 2,518,623 2,721,894 3,486,824 4,128,745
Note:*Unaudited actual
Planned Local Drainage Facilities Fund revenues for FY 2022/23 include$1,003,383 of development fees plus
interest/bank adjustments of$31,947 for a total of$1,035,330. Expenditures in the fund totaled $393,409 for
continued work on flood station forebay improvements ($62,839), repairs of half round grates ($211,418),
repairs to storm drain channels($56,917), and a portion of the construction costs for the McCallen Storm Drain
project($62,235).
No Planned Local Drainage Facilities Fees were loaned and no refunds were made due to protests during this
reporting period.
The Planned Local Drainage Facilities Fund reports funds being held past the fifth year and first deposit. These
funds are intended for the projects identified in the DIF Project Identification section of this annual compliance
report.
21
oil IN Gin
;'per in
yc ,°
Financial Summary Report
_ oQ
FcoUNTY c0-
Sanitary Sewer Facilities Fund
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 215,496 405,790 92,206 366,521 1,318,035
Interest 257,329 188,404 (179,307) 57,578
Other Revenue (2,214) 12,310 12,310 12,310 12,310
Total Revenues 470,611 606,504 104,516 199,524 1,387,923
EXPENDITURES
Expenditures 1,898,104 85,394 2,954,357 2,163,140 1,231,594
Total Expenditures 1,898,104 85,394 2,954,357 2,163,140 1,231,594
Rev Over/(Under) Exp (1,427,493) 521,110 (2,849,841) (1,963,616) 156,329
Beginning Fund Balance 7,990,553 6,563,060 7,084,170 4,234,329 2,270,713
Ending Fund Balance 6,563,060 7,084,170 4,234,329 2,270,713 2,427,042
Note: *Unaudited actual
FY 2022/23 Sanitary Sewer Facilities Fund revenues totaled $1,387,923 and include residential and
commercial developer fees of $1,318,035 and interest/bank adjustments of $57,578. In addition, the City
received$12,310 from the Sunset Beach Sanitary District representing the agency's share for the construction
of Lift Station D.
Expenditures for the fund in FY 2022/23 totaled $1,231,594 and includes ongoing construction costs at
McFadden Lift Station in the amount of $1,213,785, final construction costs at Saybrook Lift station in the
amount of$84,995,and final construction costs at Edgewater Lift Station in the amount of$11,592. A negative
adjustment of ($78,778) was entered for the Slater Lift Station project to account for retention payments
accrued in the prior fiscal year. It should be noted that these projects are also partially funded by the Sewer
Service Fund.
No Sanitary Sewer Facilities Fees were loaned and no refunds were made due to protests during this reporting
period.
22
i
O,F.�N;NCTO,`
:y�•.,,, ;.oQ,� Financial Summary Report
Fair Share Traffic Impact Mitigation Fee Program
For the Fiscal Year Ended June 30, 2023
Last Five Fiscal Years
Description FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23*
REVENUES
Fees 588,763 564,171 225,314 143,409 1,515,538
Interest 150,937 83,723 8,706 19,058 59,843
Other Revenue (1,088) 106 96,987
Total Revenues 738,612 647,894 234,126 259,454 1,575,381
EXPENDITURES
Expenditures 914,922 2,157,222 52,308 534,056 41,428
Total Expenditures 914,922 2,157,222 52,308 534,056 41,428
Rev O er/(Under) Exp (176,310) (1,509,328) 181,818 (274,602) 1,533,953
Beginning Fund Balance 4,425,052 4,248,742 2,739,414 2,921,232 2,646,630
Ending Fund Balance 4,248,742 2,739,414 2,921,232 2,646,630 4,180,583
Note: *Unaudited actual
During FY 2022/23, the Fair Share Traffic Impact Mitigation Fee Fund recognized revenues of$1,515,538 in
impact fees paid plus $59,843 in interest/bank adjustments. Revenues for the fund total $1,575,381.
Expenditures include a negative retention accrual in the amount of ($5,421) for traffic signal modifications at
the intersections of Warner-Graham, Warner-Nichols, and Brookhurst-Indianapolis, design work on Bushard
Fire Station fiber optic line in the amount of $10,190, design work for signage and striping for Goldenwest in
the amount of$23,091, design work on Heil Fire Station traffic signal totaling $4,137, and general traffic signal
repairs of$9,431. Expenditures for the year totaled $41,428.
No Fair Share Traffic Impact Mitigation Fees were loaned and no refunds were made due to protests during
this reporting period.
The Fair Share Traffic Impact Mitigation Fee Fund reports funds being held past the fifth year and first deposit.
These funds are intended for the projects identified in the DIF Project Identification section of this annual
compliance report
23
DevelopmentImpact
Fee Project
Identification
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Development Impact Fee Report
Fiscal Year End June 30, 2023
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�-�DUNTV�pii�
The City's current, Adopted Budget 2023-2024, which includes the Five-Year Capital Improvement Plan
(CIP)2023/24—2027/28 can be found on the City's website at:
https://huntingtonbeachca.gov/files/users/finance/Adopted-Budget-2023-2024.pdf
Funding of Infrastructure
The FY 2023/24—FY 2027/28 CIP identifies all funding sources and amounts for individual projects through
FY 2027/28. The CIP is updated annually to reflect the current City's infrastructure needs. As a CIP is
identified,the project is evaluated to determine the portion of the project that will service existing residents
and businesses versus new development.
Once the determination of use is made,the percentage of use attributed to new development is then funded
by the appropriate development fee based on the type of project. The percentage of use associated with
existing residents or businesses are funded from other appropriate sources. Estimated construction start
dates for projects are adjusted, as needed, to reflect the needs of the community.
CURRENT MAJOR CIP PROJECTS
Parkland Acquisition and Park Facilities Development Impact Fees
New park development projects included in the Capital Improvement Plan for FY 2023/24 include the design
and construction of various park improvements as listed below. Funds are also budgeted for park leases,
professional services, and personnel services.
FY 2023/24
Edison Park Reconfiguration Design Services
This multi-year project includes the reconfiguration of Edison Park to include dual use tennis/pickleball
courts, repurposing of group picnic area, soccer fields,tot lot playground improvements, walkways, parking
lot rehabilitation, turf and irrigation improvements as well as other possible amenities based on the master
planning process currently underway. A total of$300,000 was appropriated in FY 21/22 and $475,000 in
FY 22/23.An additional$1.2 million in non-Park Development Impact Fees has been budgeted in FY 23/24.
Marina Park Conceptual Design Reconfiguration Design Services
This multi-year project includes the preparation of a conceptual master plan and design services to update
the park, including renovation of existing restroom/snack bar building, tennis courts, and potential
repurposing of hardscape areas and other park amenities. A total of$35,000 was budgeted in FY 21/22
and $440,000 in FY 23/24.
Carr Park Improvements
This multi-year project includes conceptual design services, specifications and construction documents for
needed improvements to address ADA compliance needs,the fishing pond infrastructure and new themed
playground equipment. A total of $100,000 was budgeted in FY 21/22 with additional non-Park
Development Impact Fees of$355,000 in FY 22/23.
FY 2024/25
Preliminary projects include additional funding for Edison Park design and construction documents pending
final approval of a master plan, as well as Carr Park improvements. Other preliminary projects include the
continuation of various playground equipment and site turf improvements as needed throughout the city in
order to comply with ADA requirements.
FY 2025/26
Preliminary projects include the continuation of playground equipment rehabilitation at various parks, as
well as future projects as recommended in the Parks & Recreation Master Plan update that is underway.
24
ONTINGTp'
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"rrr;'O'<c% Development Impact Fee Project Identification
��UUNTY CPiil
Police Facilities Development Impact Fees
The Capital Improvement Plan for FY 2023/24 includes$968,000 in carryover funds from FY 2022/23 for
upgrades to the Police Department Training Center ($164,000), relocation and expansion of the
Communications Center ($664,000), and remodel of the Traffic Office to accommodate technological
advancements in policing ($140,000). On September 19, 2023,City Council approved a new project in the
amount of $148,000 to improve the lot adjacent to the Police Department Helipad in preparation for
construction of a new outdoor canine training area and movement training building. Outside of the CIP,the
FY 2023/24 Police Facilities Development Impact Fee Fund Budget includes an allocation of$67,000 for
upfitting a new Crisis Negotiation Team (CNT)van.
The Police Facilities Development Fees are to be used to fund the costs of providing additional police.
services attributable to new residential and nonresidential construction. Eligible costs include the
development of a master plan to identify capital facilities to service new police department development,
the acquisition of land for law enforcement facilities, construction of additional law enforcement facility.
space, and the purchase of additional response vehicles, sworn officer issued equipment and law
enforcement specialty equipment.
Fire Facilities Development Impact Fees .
The Capital Improvement Plan for FY 2023/24 includes $826,000 in carryover funds from FY 2022/23 for
reconfiguration and renovation of Fire.Station#5(Lake)and Fire Station#2(Murdy).This project is needed
for gender accommodation, in addition to better use of space to accommodate personnel and services in
Fire Department facilities. The project includes professional services contracts for assessments.of Fire
Department facilities.
The Fire Facilities Development Fees are eligible for expenditures related to providing additional Fire
suppression and medic facilities, vehicles and equipment associated with residential and nonresidential
construction. .The Master Facilities Plan for the .City of.Huntington Beach, adopted in. October.2011,
identifies the following eligible projects:
Relocate Fire Station#8(Heil)
Construct Station#8(Heil)Apparatus Storage Facility
Construct a Single Bay/Quarters at Station#4(Magnolia)
Acquire an Engine and Ambulance and for Station#4 (Magnolia)
Acquire an Additional Engine for Station#1 (Gothard)
Acquire an Additional Engine for Station#2 (Murdy)
These projects will be evaluated and considered for submission in the FY 2024/25 budget process.
Library Development Impact Fees
The Library Development Impact Fees are eligible for expenditures related to costs for expanded or new
library spaces and the number of collection items attributed to new residential construction. Proposed
use of funds include$350,000 for conceptual design services for the Central Library's Children-Teen wing
included in the City's FY 2022/23 Capital Improvement Program (CIP). It is anticipated that future funds
will be allocated to this project, as well as other library facility rehabilitation and expansion projects as
recommended in the Library.Facilities Master Plan currently underway. .
25
'/ a'NTIN6Tp
,�F Development Impact Fee Project Identification
In-Lieu Parking Fees
In-Lieu Parking Fees are eligible for expenditures that create opportunities for additional parking, including,
but not limited to, programs such as valet, re-striping, shuttle, trolley, and other similar programs resulting
in the provision of additional parking or construction of surface or structured parking andassociated design
costs in District 1 of the Downtown Specific Plan..Staff is currently working on the implementation of various
programs such as downtown valet services, a shuttle program, and/or creation of new rideshare locations.
Once plans for these programs are finalized, staff will return to City Council to appropriate the funds. It is
anticipated that funds for at least one of these programs will be requested during FY 2023/24.
Affordable Housing In-Lieu Fees.
Affordable Housing In-Lieu Fees are intended to produce housing units affordable to all economic segments
of the community. On November 4, 2019, the City Council approved an Acquisition Loan Agreement to
Jamboree Housing Corporation (Jamboree) and provided,$2,100,000 of Affordable Housing Trust Funds
to, help Jamboree acquire the property located at 18431 Beach Boulevard. This permanent supportive
housing project will be comprised of a total of 42 units for seniors (33 extremely low-income units and 9
units at very low income). This project is 100% affordable. Funds in the amount of$1,930,698 have been.
repaid on January 19,2021,with City Council's approval of an Affordable Housing Agreement(AHA). The
remaining $169,302 will be paid back over 55 years at a 3 percent interest rate for a total of$296,339. ,
Planned Local Drainage Facilities Fund
The.Capital Improvement Plan for FY 2023/24 includes $300,000 in carryover funds from FY 2022/23 for
the installation of half round grates at various locations throughout the City,$800,000 in carryover funds for
continued work on storm drain pump station forebay improvements, and $2 million in carryover funds for
Heil Pump Station construction. Additionally, the FY 2023/24 CIP includes $187,000 in new funding for
storm drain pump station forebay improvements and $187,000 for storm drain pump station building
improvements.
The. Five-Year Capital Improvement Plan includes annual expenditures,of $375,000 for the storm drain
pump station building and forebay improvement projects in FY 2024/25 and FY 2025/26.
Sanitary Sewer Facilities Fund
The FY 2023/24 Capital Improvement Plan includes$700,000 in carryover funds from FY 2022/23 for the
rehabilitation/upgrade of Humboldt Sewer Lift Station and new expenditures of$800,000 to construct new
sewer from the Murdy Channel east to Beach Boulevard. The prioritization of future lift stations will be
determined in future fiscal years.
Fair Share Traffic Impact Mitigation Fee Program
The FY 2023/24 Capital Improvement plan includes$496,010 in new projects to be funded from Fair Share
Traffic.Impact Mitigation.Fees.. These projects are for the installation of a new traffic signal at Murdy Fire
Station in the amount of $345,000 to improve safety by enabling the Fire Department to stop traffic on
Gothard Street while egressing the station, and for traffic signal and operational improvements along the
Edinger and Heil Corridors in the amount of$151,010 to enhance traffic and pedestrian safety.
In addition to these new projects, the FY 2023/24 Traffic Impact Fee Fund budget includes$2.1 million in
carryover funds from FY 2022/23 for various traffic signal modification projects including installation of left-
turn arrows,fire station signals,traffic signal fiber optics, and mobility corridor improvements.
•
26
Res. No. 2023-62
STATE OF CALIFORNIA
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, ROBIN ESTANISLAU, the duly elected, qualified City Clerk of the
City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do
hereby certify that the whole number of members of the City Council of the City of
Huntington Beach is seven; that the foregoing resolution was passed and adopted
by the affirmative vote of at least a majority of all the members of said City Council
at a Regular meeting thereof held on December 19, 2023 by the following vote:
AYES: Moser, Bolton, Burns, Van Der Mark, Strickland, McKeon, Kalmick
NOES: None
ABSENT: None
RECUSE: None
�adJy�. ;, R
ok,
City Clerk and ex-officio Clerk of the
City Council of the City of
Huntington Beach, California