Annual Development Impact Fee Report for FY ending 06-30-2022Annual
Development Impact/Mitigation Fee Report
For Fiscal Year Ended June 30, 2022
Prepared by
City of Encinitas
Finance Department
City of Encinitas
Annual Report of Development Impact/Mitigation Fees
For Fiscal Year Ended June 30, 2022
Table of Contents Page
CA Govt Code §
66006(b)(1)
Mitigation Fee Act Reporting Requirements 3
Fee Description 4 (A)
Fee Amount 6 (B)
Fund Balance Activity for Fiscal Year Ended June 30, 2022 8
Fund beginning and ending balance (C)
Amount of the fees collected and interest earned (D)
Interfund transfers or loans (G)
Refunds and administrative reallocations (H)
Public Improvement Project Detail 9
Public improvements funded by development impact fees (E)
Percentage of total cost funded with fees (E)
Approximate date construction will commence (F)
City of Encinitas
Annual Report of Development Impact/Mitigation Fees
For Fiscal Year Ended June 30, 2022
Development Impact Act Reporting Requirements
Under the Mitigation Fee Act
California Government Code Section 66000 et seq.
In California, State legislation sets certain legal and procedural parameters for the charging of development
impact fees. This legislation was passed as AB1600 by the California Legislature and is now codified as California
Government Code Sections (GC §) 66000 through 66008 (“Mitigation Fee Act”). This State law went into effect
on January 1, 1989.
GC § 66006(b) outlines the following annual reporting requirements pertaining to development impact fees:
(1) For each separate account or fund established, the local agency shall, within 180 days after the last day of
each fiscal year, make available to the public the following information for the 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
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 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 (as pursuant to GC § 66001(e)) due to sufficient funds being
collected to complete financing on incomplete public improvements, and the amount of
reallocation of funds made (as pursuant to GC § 66001(f)) due to administrative costs of
refunding unexpended revenues exceeding the amount to be refunded.
GC § 65865(e) also requires that in any development agreement entered into on or after January 1, 2004, the
City shall comply with GC § 66006 with respect to any fee it receives or cost it recovers.
City of Encinitas
Annual Report of Development Impact/Mitigation Fees
For Fiscal Year Ended June 30, 2022
Fee Description
GC § 66006 (b)(1)(A)
The broad purpose of impact fees is to protect public health, safety, and general welfare by providing for
adequate public facilities.
The specific purpose of the fees is to fund construction of certain capital improvements that will be needed to
mitigate the impacts of planned new development on City facilities and to maintain an acceptable level of public
services as the City grows.
Fund # Fund Name Fee Description Code
Recent
Fee Study
231 Park
Development
Fees
The park land in lieu/ impact fees and the park
improvement impact fees will be used to acquire
land and construct park improvements to mitigate
the impacts of new development. The parks being
funded by impact fees are needed to serve
additional population related to new residential
development.
EMC 23.98 DIF 2015
Chapter 3
232 Parkland
Acquisition
Fees
233 Traffic
Mitigation
Fees
The purpose of the City’s traffic mitigation fee is to
provide for the traffic facilities needed to serve new
development. The fees deposited in the traffic
mitigation fee fund are used for the construction
and reconstruction of Circulation Element streets
and traffic facilities. The City’s traffic mitigation fee
follows the RTCIP amount increased annually as
approved by the SANDAG Board.
EMC 23.94
23.94.050
DIF 2000
Section 3
234 Regional
Traffic
Mitigation
Fees
The TransNet Extension Ordinance requires the 18
cities in the San Diego region and the County of San
Diego to collect a Regional Transportation
Congestion Improvement Program (RTCIP) fee from
the private sector for each new housing unit
constructed in its jurisdiction, with certain
exceptions, including low‐income residential units
and accessory dwelling units.
The purpose of this fee is to help ensure that future
development contributes its proportional share of
the funding needed to pay for the impact of new
growth on the Regional Arterial System and related
regional transportation facility improvements as
defined in the most recent Regional Transportation
Plan adopted by SANDAG.
EMC
23.94.040.A
SANDAG
Commission
Ordinance
04‐01
City of Encinitas
Annual Report of Development Impact/Mitigation Fees
For Fiscal Year Ended June 30, 2022
Fund # Fund Name Fee Description Code
Recent
Fee Study
235 Open Space
Acquisition
Fees
The open space and trails development impact fees
will be used to pay for additional open space and
trails to mitigate the demand created by new
residential development, or if it is not feasible to
acquire additional open space, the open space fees
may be used to improve access to, or usability of,
existing open space.
DIF 2015
Chapter 4
236 Recreational
Trails Fees
237 Community
Facilities
Fees
Community Facilities Fees are used to mitigate the
cost of improvements needed to meet the
recreational space and facilities—such as the
Encinitas branch library addressed in the 2005
impact fee study. Impact fees to recover new
development’s share of the costs for the branch are
based on per‐capital costs and the population per
dwelling unit.
DIF 2005
Chapter 5
238 Fire
Mitigation
Fees
The purpose of the fire protection impact fees is to
mitigate the impact of all new development on the
need for fire protection facilities and equipment in
the City. Fees will be used to pay for additional fire
protection assets needed to maintain the existing
level of service for fire protection in the City. The
fees are based on the impact of each type of new
development, as measured by its associated
increase in functional population.
EMC 23.92 DIF 2015
Chapter 5
239
Flood Control
Mitigation
Fees
The purpose of the flood control fee is to provide for
flood control facilities needed to serve the
development. Fees are used for the construction of
planned drainage facilities for the removal of surface
and stormwaters from the City of Encinitas, as
shown on the San Diego County Flood Control Plan
adopted in 1977.
The fee is 21 cents per square foot of impervious
surface resulting from the completion of the project.
EMC 23.96
City of EncinitasAnnual Report of Development Impact/Mitigation FeesFor Fiscal Year Ended June 30, 2022Fee AmountGC § 66006 (b)(1)(B)Park Parkland Traffic Regional Arterial Open Space Recreational Community Fire FloodDevDevelopment Acquisition Mitigation System RTCIP Acquisition Trails Facilities Mitigation ControlDevelopment Type Units 1Fund 231 Fund 232 Fund 233 Fund 234 Fund 235 Fund 236 Fund 237 Fund 238 Fund 239Development projects within the City $0.21 per sq ft new impervious surface Residential ‐ Single‐FamilyDU3,959$ 5,371$ 438$ 168$ 571$ 675$ Residential ‐ Multi‐FamilyDU2,644 3,587 293 112 R8‐11 $449 R11‐25 $428451Residential ‐ Mobile Home ParkDU2,518 3,416 279 107 387 429Residential ‐ Accessory Unit 2DUN/A N/A N/A N/A N/A N/AOffice ‐ ProfessionalKSF741CommercialKSF627Industrial ‐ LightKSF184Hotel/ Motel RoomRoom184Traffic Mitigation FeesSingle‐Family Residential x Peak Hour Trips x Traffic Mitigation Fee x Reduction Factor for Pass‐by‐Trips = Total FeeResidential ‐ Single‐FamilyDU $2,635.50 Residential ‐ Low IncomeDU$2,635.50 ExemptResidential ‐ RuralDU$527.10 $2,635.50Residential ‐ OtherDU$2,635.50Other Development ‐ Non Residential Calculated based on EDM 2.13 Attachment A1 Units of development. DU = dwelling unit; KSF = 1,000 square feet of building area; Room = guest room or suite2 Per Council direction on August 19, 2015, impact fees on ADUs were removed from the fee schedules (2015‐10‐21 Item 10C).
City of Encinitas
Annual Report of Development Impact/Mitigation Fees
For Fiscal Year Ended June 30, 2022
Traffic Mitigation Fees
City of EncinitasAnnual Report of Development Impact/Mitigation FeesFor Fiscal Year Ended June 30, 2022Fund Balance ActivityGC § 66006 (b)(1)Park Parkland Traffic Regional Arterial Open Space Recreational Community Fire FloodDevelopment Acquisition Mitigation System RTCIP Acquisition Trails Facilities Mitigation ControlRequired Information Fund 231Fund 232Fund 233Fund 234Fund 235Fund 236Fund 237Fund 238Fund 239Total(C)Beginning Fund Balance July 1, 2021446,061$ 378,953$ 4,266,587$ 297,437$ 316,435$ 94,574$ ‐$ ‐$ 362,484$ 6,162,531$ (D)Fees Collected137,306233,190125,589 89,720 15,197 5,824 20,578 195,183 135,958 958,544(H)Fees Refunded‐ (D)Interest Earned includes change in FMV(14,704) (19,665) (123,568) (11,444) (6,205) (2,942)‐ 4 (18,321) (196,847)Total Revenues 122,602 213,525 2,020 78,276 8,992 2,882 20,578 195,187 117,636761,698(E)Capital Expenditures on Public Improvement Projects(116,435) (6,083) (169,539) (18,025) (118,111) ‐ ‐ ‐ 79,553 (348,639) (G) General Fund Transfers Out‐ (G) Debt Service Transfer Out‐ ‐ ‐ ‐ ‐ ‐ (20,578) a(195,187) b‐ (215,765) (C)Ending Fund Balance June 30, 2022452,228$ 586,396$ 4,099,068$ 357,688$ 207,316$ 97,456$ ‐$ ‐$ 559,673$ 6,359,825$ Adjustments(C) Adjusted Ending Fund Balance June 30, 2022 452,228 586,3964,099,068357,688 207,31697,456‐ ‐ 559,673 6,359,825Current Unspent Committed Funds in Approved Public Improvement Projects0 (3,913) (4,020,449) (329,346) (130,635) (94,335)‐ ‐ (181,596) (4,760,273)Uncommitted fund balance June 30, 2022 * 452,228$ 582,483$ 78,620$ 28,342$ 76,681$ 3,121$ ‐$ ‐$ 378,077$ 1,599,552$ (G)Interfund transfers made in FY 2021‐22:ab *Note: Column totals may not sum due to rounding.Transfer from the Fire Mitigation Fund to the General Fund for the repayment of an interfund loan on the construction of Fire Stations 2 and 5.Transfer from the Community Facilities Fund to the General Fund for the repayment of an interfund loan for the construction of the Encinitas Library.
City of EncinitasAnnual Report of Development Impact/Mitigation FeesFor Fiscal Year Ended June 30, 2022Public Improvement Project DetailGC § 66006 (b)(1) E, FPROJECT > MITIGATION FUNDFY22 Project ExpendituresAmount Funded by Impact FeesAmount Funded by Other Sources% of Cost Funded by FeesCD17B ‐ 5YR HABITAT‐BIOLOGICAL & MONITORING13,692 13,692 ‐ 100%239 ‐ FLOOD CONTROL FEE13,692 #DIV/0!CP14A ‐ OLYMPUS PARK245,156 240,629 4,527 98%231 ‐ PARK IMPROVEMENT FEE116,435 #DIV/0!232 ‐ PARKLAND ACQUISITION FEE6,083 #DIV/0!235 ‐ OPEN SPACE ACQUISITION FEES118,111 #DIV/0!CS02G ‐ TRAFFIC SIGNAL MODIFICATIONS18,025 18,025 ‐ 100%233 ‐ TRAFFIC MITIGATION FEE‐ #DIV/0!234 ‐ REGIONAL TRAFFIC MITIGATION FE18,025 #DIV/0!CS19E ‐ SANTA FE DR CORRIDOR IMPROVEMENTS389,169 169,539 219,630 44%233 ‐ TRAFFIC MITIGATION FEE169,539 #DIV/0!CS21B ‐ N. VULCAN AVE TEMP PARKING PHASE II(18,058) (93,245) 75,187 239 ‐ FLOOD CONTROL FEE (93,245) #DIV/0!NCTD reimbursement received FY22 for FY21 expendituresGrand Total647,983 348,639 299,344 54%The projects listed above represent recently completed and/or active (in‐progress) uses of impact fee funds in Fiscal Year 2021‐22 to complete current capital improvement projects. The City has also identified public improvement projects that have sufficient impact fee funds available to complete, including approximate dates (fiscal year) of construction in the City’s Capital Improvement Plan as adopted by City Council. Outside of these two sources of information, the City has not determined that sufficient funds have been collected to complete financing of any other incomplete public improvements.