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HomeMy WebLinkAboutIN- LIEU PARK DEDICATION FEES- 19881111111111.11111111111111111111111111 lill 11 *NEW FILE* IN LIEU PARK DEDICATION FEES=1988 City Council Meeting July 24, 1989 Study Session Agenda Item No. 7 CITY OF NEWPORT BEACH TO: City Council FROM: Planning Department SUBJECT: IN LIEU PARK FEES Background At the City Council Study Session of August 10, 1987, the City Council requested that the Planning Commission study the advisability of expanding the City's in lieu fee requirement for parks to those projects which are not currently required to pay a fee as the result of having processed a subdivision or parcel map. This subject matter originally was brought to the attention of the City Council by Councilmember Hart as the result of the 146 unit senior citizen congregate care facility currently under construction on Superior Avenue near Placentia Avenue. The issue is, had the 146 units in this project been interpreted to be a residential development, as opposed to being treated like a hotel, and had it required a subdivision or parcel map, the developers would have paid a fee to the City of $1,006,578.00 for parks in addition to the $20,578.00 in Property Development Taxes which were collected for parks, fire stations and libraries. Implementation of the Recreation and Open Space Element On February 11, 1985, the City Council adopted the current Recreation and Open Space Element of the General Plan. This plan, in addition to inventorying existing facilities also identified new recreation and open space sites, and contains recommendations for intensification or expansion of existing sites and programs. Also considered, but not adopted as part of the Recreation and Open Space Element, was an Implementation Handbook. This document contains informa- tion on various cost categories associated with the implementation of the Recreation and Open Space Plan as well as funding sources. Funding suggestions include possible revisions to the City's Park Dedication Ordinance and doubling of the Building Excise Tax, as well as taking a look at City tideland and lease revenues, user fees, park bonds, private open space support, SB821 funds, County funds and Coastal Conservancy revenues (see attached). Assembly Bill 1600 AB1600 (Cortese), which went into effect on January Ist of this year, requires the City to establish a reasonable relationship between a development project and the public improvement for which a developer fee is to be charged. This relationship must be established in imposing a fee as a condition of approval of a development project, establishing a new fee or increasing an existing fee. In addition it requires segregation from the general fund and a refund procedure if the funds are not committed, actually spent, or a continuing need justified after five years have expired, I 0 0 TO: City Council - 2. Cigy Council Direction It is the opinion of staff that an ordinance can be prepared which would be similar in concept to the City's Fair Share Traffic Contribution Ordinance. That is, it would be an ordinance which first takes a look at all of the park and recreation sites and facilities to be acquired, built and expanded, and then identifies the method by which they are to come to fruition, be it by outright dedication or by fee, and the source of that fee. The shortfall, if any, would be the new levy to be established by the ordinance. However, it is also the opinion of staff that such task may not be worth the effort required, given the following : 1. The City has recently revised the Land Use Element of the General Plan, resulting in a reduction in population at buildout and a corresponding reduction in projected park land needs. 2. There are very few residential sites remaining where two or more units can be built, which will not require either a subdivision map or a parcel map. 3. Recently- constructed or approved multi -family projects have involved affordable units where in lieu fees have been waived so as to assist in their affordability. 4. Congregate care and senior citizen projects for the elderly have generally been treated as commercial or institutional facilities not covered by the current ordinance. 5. The shortfall to be funded cannot be determined until the willingness of the City Council to explore other sources of revenue, as suggested in the Implementation Handbook, is known. 6. The City Council is currently exploring sites to be acquired through Park Bonds. These sites need to be identified. In conclusion, the staff is prepared to proceed; however, some direction would be helpful. Respectfully submitted, i D. HEWICKER ng Director JDH/kk SSINLIEU.724 Attachment k 8. Funding Sources There are several candidate financing techniques for the funding of recrea- tion and open space acquisition improvement or maintenance and operation. Some techniques have been addressed as specific implementation techniques. Park Dedication Ordinance This ordinance, which is recommended for revision, enables the acceptance of dedicated land or fees in lieu of land in satisfaction of the park land required to serve new residents. It is therefore based upon development of residential Projects. These fees are used both for new projects and are accumulated as in -lieu fees as a means to shift fees among neighborhoods. The funds must be expended to benefit the neighborhood in which they are collected. The park dedication ordinance is intended to provide for the acquisition of required parklands. The funds and land obtained through this mechanism are not intended to provide for parkland maintenance. One drawback to the ordinance is that it cannot require collection for infill projects which do not require a subdivision map and a substantial portion of the City's remain- ing development is small infill projects. The City has adopted the occasional practice of credit from future park dedication requirements, pose such as the acquisition of environmentally It is recommended that the City honor all park date. The structure of the Element revision will credits. granting park creditso or a. to facilitate a public pur- sensitive open space areas. credit commitments made to not necessitate future park The following table depicts the total park dedications due to new develop- ment. The table includes the recommended land dedication - in -lieu fee split proposed. The total 50.1 acres and $4,'724,220 in fees are sufficient to cover demands projected in Chapter 3 for new park development and intensifi- cation projects. 19 POPULATION INCREMENTS/PARK AREA REQUIREMENTS Net2 Popula- increase Net D.U. Subject tiOn Increase Park 3 Fee 4. 6 Net D.U. to Parkl Dedica- Subject to Park Area Require- Equiv. In -Lieu Recommended Require - Service Area Increase tion Dedication ment Fee ments 1 3,483 2,608 5$868 29.3 $13$097,334 25.0 ac. $1,462,606 2 311 47 106 .53 $ 236,914 - ___ 3 693 274 617 3.085 $ 1,379,019 2.7 ac. 45 --- --- --- --- --- --- 5 20 3 7 .035 $ 15,645 6 190 29 65 .325 $ 145,278 7 888 888 1,998 10 $ 4,470,080 12 ac. $8409000 .8 614 96 216 1.o8 $ 482,769 9 1,320 1,233 2,774 13.87 $ 6,200,001 8 ac. $1,857,008 10 736 110 248 1.24 $ 554,290 24 ac i9490606 11 184 184 414 2 1 $ 2.2 ac. $70,000 __g38J717 TOTAL 8,439 5$472 120313 61.57 $27,520,047 50.14 ac. $4,724,220 Only units with subdivision maps are required to provide pack area Or in - lieu fees. Also, some new subdivisions have prepaid in -lieu fees which are being held by the City at present. 2 2.25 persons per household. 3 5 acre/1000 population standard. 4 Assumed value $447,008. 5 Not available. 6 Approximately $385,292 in lieu fees will be collected in excess of these requirements which is recommended to be held should there be unusual increases in costs. 20 City Tideland and Lease Revenues The City receives tideland revenues from the following sources: --residential permits --commercial permits --offshore moorings --Balboa Yacht Basin --One-time commercial permit --Corona del Mar parking lot --Balboa parking lot These revenues are used to maintain and operate tidelands including beach cleanup, moorage administration, and dredging to replenish public beaches. Some projects noted in the specific implementation recommendations could con- stitute appropriate tideland expenditures such as North Star beach, Semeniuk Slough improvements or the Pacific Coast Highway public boat launching area. The City receives revenues from leases.on City property such as Marinapark, Balboa Bay Club, Beacon Bay and others. These funds are used to maintain City leaseholds and 47% of the revenues aria deposited in the Tideland fund with the remainder deposited in the general fund. Private Open Space Support Public grants, individual and corporate contributions and community fund raising are all viable open space funding sources. The City will continue to encourage private donations to its park program and will publicize the oppor- tunity to make such donations. Park Bond The City has considered park bonds approve bonds. There is a gap in I purposes particularly in existing si Newport. A decision not to pursue impact in existing neighborhoods areas. User Fees in the past and has declined thus far to unds for park improvement and acquisition !rvice areas such as Service Area 1 - West a park bond election would have greatest and fully built out -of -City development Existing user fee policies focus on program charges which should be contin- ued. The proposed North Ford facility is a good opportunity to initiate new user fee concepts such as entrance fees for use of major recreational facili- ties such as a swimming pool. Fees charged for private use of community buildings and boat ramps should continue. 21 0 Building Excise Tax The Building Excise Tax is charged on all new structures (including recon- struction) at a rate of $.21 per square foot of enclosed area. Residential and commercial projects are all charged this fee which is collected for park, library and fire equipment funding. The share to parks has been proposed to be fixed at 50% and the overall fee rate has been recommended to be increased consistent with increased costs si.?ce its establishment. Doubling of the fee to $.42 per square foot may be an appropriate rate increase. The following table details the projected fees to be collected through the Building Excise Tax. The $4,163,691 is adequate to meet the $2,566,800 projected obligation detailed in Chapter 3. SB 821 Funds SB 821 Funds are of State origin and are disbursed by the Orange County Transportation Commission (OCTC). They are allocated for bikeway projectso including but not limited to signs, striping, staging areas, bridges and bike lanes. Candidate projects must be a part of an adopted plan. The funds are disbursed annually. 50% of the County's funds are allocated to cities on a population basis. The remaining 50% are discretionary funds granted after a prescribed nomination process and technical evaluation. County Funds - Harbors, Beaches and Parks The County Department of Harbors, Beaches and Parks acquires, maintains and approves regional facilities of regional benefit such as certain beaches and moorages, regional parks and recreational areas such as the Aliso Greenbelt. California Coastal Conservancy This State agency has some funds available on a statewide basis for grants or seed grants (which must be repaid) for recreation, open space, resource or tideland enhancement projects. 22 0 r13 LJ SERVICE AREA SFD 1 47 2 0 3 200 1 4 --- 5 0 6 0 7 44 8 414. 9 300 10 0 11 76 commercial TOTAL 1081 I Not available. Assumed Avg. Sq. Ft . 2500 BUILDING EXCISE TAX REVENUE NEW RESIDENTIAL CONSTRUCTION TOTAL SQ. DUPLEX TRIPLEX .4-PLEX 5+PLEX FOOTAGE 1000 0 0 1479 3,396,500 466 0 100 36 156,000 360 300 0 0 1,598,000 --- 1 --- I --- 1 --- 1 --- 0 0 0 200 200,000 380 0 0 0 684,000 178 266 222 178 1,273,800 76 0 0 o 1,171,800 0 0 408 612 1,851,600 1390 6 0 0 2,511,000 108 0 0 0 384,400 - - 7, 00,000 3958 572 730 2505 $20,427,100 1800 1500 1200 100D EXCISE TAX $ 713,265 32,760 335,580 42,000 143,640 267,498 246,078 388,836 527,310 80,724 $1.512,000 $4,289,691 50% SHARE TO PARK USE S 356,633 16,380 167,790 21,000 71,820 133,749 123,039 194,418 263,655 40,362 S 7562000 $2,144,846 INCREASED FEE (S.42/SF) TO PARKS 713,265 32,760 335 , 580 42,000 143,640 267,498 246,498 388,836 527,310 809724 $1a5122000 $4,289,691 2 THE ORANGE COUNTY REGISTER - February 23, 1988 Newport builders to pay 37% more in park fees The Register NEWPORT BEACH —There's a price to pay for bike trails, green- belts and barbecue pits here, and it's notcheap—$612,833 per acreof parldand. Based on a recent appraisal of parkland in Newport Beach, the City Council voted unanim usly Monday to increase developer park fees to $6,984 per apartment, condominium or house. Thus, a de- veloper of 100 homes would con- tribute $698,400 to a city fund for parks acquisition. - The fee was increased 37 percent because of skyrocketing land prices in Newport Beach, city offi- cials said. The city's fee is the high- est of its kind in the county. The council approved the mea- sure without discussion and no de- velopers complained about the in- crease. Newport Beach, along with most cities in the county, requires resi- dential developers to pay fees that go into a fund -for parkland acquisi- tion. The fees help cities meet a state standard of 3 to 5 acres Of parkland for every 1,000 residents. The fees are based on the as- sessed value of parkland in a city. In Newport Beach, the value of parldand steadily has increased from $162,221 per acre,in 1979 to $612,833. The city requires a new appraisal at least every three Museum expansion moves step forward The Register NEWPORT BEACH — A io-acre expansion of the Newport Harbor Art Muse- um moved a step forward Monday when the City Coun- cil gave initial approval to a site at the northwest comer of Coast Highway and Mac- Arthur Boulevard. The council's action came in form of a vote Monday night to amend the general plan. Museum officials still must request a zoning Change and submit development plans before construction can be- gin. The 10-acre site was donat- ed by The Irvine Co. The ex- wfli provide more n space, an auditori- um, a sculpture garden and education centers. years, and adjusts its park fees ac- cordingly. Developers who build subdivi- sions with %or more parcels -have the choice of dedicating land to the city for park development or pay- ing the fee, while smaller develop- ers are required to Pay the fee. Residential developeW fees for parks Fees to pay for new park spare are assessed developers of residential properties only and frequently are based on the number of units to be built. A unit can refer to a rnoUile home, an apartment, a condominium or single4amily residence. Anaheim ...................... $294-$578/unft Brea ........................ $329.$673/unft Buena Park ................... $600/unft* Costa Mesa ................... �474-jl,8101unit Cypress ....................... No set fee* Fountain Valley . : ................. No set fee* Fullerton ........................ $1,3DO/unft Garden Grove ................... $350-$650/unit Huntington Beach .............. $817-$2,395/unft*** Irvine . . . . . . . . . . . . . . . . . . . . . . . . No set fee�* Laguna Beach . . . . . . . . . . . . . . . . . . . . No set fee�" La Habra . . . . . . . . . . . . . . . . . . . . . $2DO-$300/unit La Palma . . . . . . . . . . . . . . . . . . . . . $250-$333/unit Los Alamitos . . . . . . . . . . . . . . . . . . . . $440-$700/unit Newport Beach . . . . . . . . . . . . . . . . . . . . $6,984/unft Orange . . . . . . . . . . . . . . . . . . . . . . $150-$250/unit Placentia . . . . . . . . . . . . . . . . . . . . . $300-$1,558/unit San Clemente . . . . . . . . . . . . . . . . . . . . Not evefli able San Juan Capistrano . . . . . . . . . . . . . . . . . Not available Santa Ana . . . . . . . . . . . . . . . . . . . $1,090-$2,300/unit Seat Beach . . . . . . . . . . . . . . . . . . . . . No set fee�" Stanton . . . . . . . . . . . . . . . . . . . . . . . Not available Tustin . . . . . . . . . . . . . . . . . . . . . . . $25045001unit Villa Park . . . . . . . . . . . . . . . . . . . . . . . . . No fee Westminster . . . . . . . . . . . . . . . . . . . . $150-$7851unit Yorba Linda . . . . . . . . . . . . . . . . . . . . $60D-$825/unh The $600 fee goes into the general fund and is not earmarked only for parks. " The fee Is based on appraised value of a piece of property to be developed. - The fee goes Into a fund for both parks and recreation. **" Large developers must Contribute five acres of land for every 1,000 In population their project is expected to add; for smaller developers, a fee is based on the appraised value of their land. Source: Planning or Parks Departrnent officials In Orange County cities. The FAgMW 40 0 0� ORANGE COAST DAILY PILOT — Pebruary 23, 1988 Ne wport boos ts na A ded! ca H on fees By GREG KLERKX raised the cost of in-Iiiii park dedi- to a city staff report. Therefore, a percent since that year and 278 , Wilt. Daily FRIM St." , cation fees in the city. developer planning 100 units would percent since the first appraisal in 1 Whaf s flat and green and costs The increase in park dedication shell out $689.400 in fees forparkland 1979. $612.833? fees was approved without comment. acquisition. The city's per -acre parkland cost is 10 If s an acre ofparkland in the city of What it means to developers is that The council's vote increased the now the highest in Orange County. Newport Beach, following a City they wil; pay approximately $6,894 cost of parkland for the first time Parkland is appraised with the Council vote Monday night that per house in parkland fees, according since 1984. representing ajumD of 37 (Please see PARK/A2� PARKLANDUFFEES RAISED IN NEWPORT.** FromAl . I - assunlpti�n that the highest use of the Tile value of city parkland is re - property is for residential develop- assessed every few years. ment with 10 units per acre. A 1977 The fees are placed in a city fund citN ordinance mandated that five that is used to purchase parkland ades of parkland are required for throughout the city - each 1,000 people expected to live in a proposed subdivision. Developers are required to dedi- cate land and/or payan in4ieu fee for the acquisition of parkland. If a proposed subdivision contains 50 parcels or more, thedevelopermay dedicate land or pay a fee. If the subdivision contains less than 50 parcels, the developer must pay the fee equal to the parkland required. LOS ANGELES TIMES - February 24, 1988 Newport Beach Parklandfees Charged Developers Are Raised' The City Council has approved a-37% Increase In builders' fees to create city parks to balance new development. the increase, from $5,029 to $6,894 per house or dwelling unit to be built, represents the increased value of park- land within the city, officials said. The resolution, which takes effect immedi- ately, was passed without comment from developers. The increase was based on a higher "median market" value of city parklands in a recent appraisal by the firm of Charles P. Wadsworth, M:AI, of Newport Beach, city officials said. Since the city's first appraisal in 1979, the firm deter- mined that the value of parklands has increased from $447,000 per acre to $612;833. City Manager Robert L. Wynn said the increase would have little Impact on developers. "They [developers] pass it on to the customer," he said. "But we argue that it also increases the'value of the land. If you have a park nearby for your kids to play on, then that's a good thing." In 1977, the council began requiring a ratio of five acres of parkland for each 1,ODO people expected to reside in a proposed subdivision and charging park fees to ensure that the land could be purchased. 0 0 E CITY OF NEWPORT BEACJH PLANNING DEPARTMENT 23 February 1988 TO: Planning Staff FROM: Bret B. Bernard, Associate'Planner SUBJECT: In -Lieu Park Dedication Fees On 22 February 1988, the City Council adopted Resolution No. 88-12 establishing $612,833 as the cost per acre to be used in assessing "in -lieu park dedication fees" pursuant to Chapter 19.50 of the Newport Beach Municipal Code. The current appraisal of Eastbluff Park, completed on 23 November 1987 by the firm of Charles P. Wadsworth, M.A.I., assumes the highest and best use of the property is for residential development at a density of ten dwelling units per acre. It establishes a value of $8,500,000 for the park -site; which represents an increase in value of 37.1% since the last appraisal, completed 11 June 1984. As used in assessing "in - lieu park fees" for residential subdivisions, this value will result in approximately $6,894 per dwelling unit. C:\WP\88PRKDED.MEM COUNCIL MEMBERS A 06 11% . , A d*Y OF NEWPORT BLOCH February 22, 1988 MINUTES Plan so as to change the land use designation from "Two -Family Residential" to "Retail and Service Commercial." Also to be considered is a request of staff to expand the area of consideration to include %he arty located at 3008 West Zro'Boulevard, the single re4ining residentially -designated a i r te fronting on West Balboa B ,1\ e oule rd in the subject block; and request of se the Land U e Plan a -ad the Land Use Plan land use desi and Service C "Multi -Family 5th Street - A Gen Group to amend ement of the General cal Coastal Program, a :n to change the s t at on from "Retail t m m er al" to The City Manager referenced \he property at the Northwest Corner of We\t Balboa Boulevard and 15th Street, and Nd ised v that the owner of the site [The en at Group] has requested it be delete from this General Plan Amendment. Motiones I I I x1 I I I I In view of the foregoing f, t motion was All Ay made to approve the staf a recommendation with the deletion of the abave-mentioned site. Motion x All Ayes I I I GPA 88-1 6. Proeo IDPeark In -Lieu ped resolution establishing - - do $612,833 as the cost Per acre to be­use�d -tn Fee in assessing in-fi-elFVari dicat,�on (68) 'fe—es,was prrie�sented wfih—i-4—poA_ the Planning epartment. JL _ _ __ Sid_SoffeK,,, 900 ArboK_S-t.Ke-eLt,-,C­osta— Mesa,__ address.e4­the qqprt!Zi1—aud apologized as he had reqjjestE�d removal �d '6'�­tli�� —agenda—item from the Consent Cabenida-�� fn —erro7r. Motion was made to aAdopt-Resolution No. Res 88-12 88=1.2, Letter from Mr. and Mrs. Caryl Oranges, PB&R Cmsu/ and letter signed by Mr. and Mrs. K. P. Sdwlk Ocean Wallace and John K. Lake, concerned over Blvd I e proposed sidewalk on the park area (62) rc ' P in e vicinity of 2901 Ocean Boulevard, Cor Coron del Mar, was presented. John LakeX,2919 Ocean Boulevard, addressed t N Council and advised that he had no �adrawing of the t so'�' proposed pathwa and questioned its exact location. Volume 42 - Page y I � COUNCIL MEMBERS \�A A A\X Motion All Ayes Motion All Ayes Mot ion All Ayes x &A ISTY OF NEWPORT SWCH WYE H. 2. February 22, 1988 The City Manager advised that the proposed project is being considered by the Parks, Beaches and Recreation Commission� and that a hearing will be held on the matter in the near future. advised that he would see to it that Lake was notified of said hearing. was made to refer the subject i to the Parkso Beaches and :ion Commission for review. FOR ADOPTION: ORDINANCE NO. 88-31 being, MINUTES AN\ORDINANCE OF THE CITY COUNCIL OF TH HE\CITY OF NEWPORT BEACH SrQNATING ON -STREET PARKING METER NEAIN CANNERY VILLAGE, was presentNd for second reading, with report dateA February 8, 1988, from Public Works&Traffic Engineering. The City Manadkr advised that the parking rate f r the meters in the subject area wo ld be set at 2U per hour. N Motion was made 88-3. Proposed ORDINANCE adopt Ordinance No. AN ORDINANCE OF1 THE CITY OF NEWP ESTABLISHING THE SPECIAL PARKING SPECIFYING THE U METER REVENUES F DISTRICT, 88-3 Mtr Zns/ tery Vlg 88-4, bein U:C* rd 88-4 Cannery Vlg ,E CITY CO IL OF Spel Pkg X 13EACH ist/Rvnu ANNtRY VILLAGE 1(63) IRICT AND 'OF ALL PARKING 0 1 M WITHIN THE was presented for second 1�ading, with report dated February 8 ' � 8 from Public Works/Traffic EnsineT Ing. Sid Soffer, 900 Arbor Street Costa Mesa, addressed the Cc a uncil \ expressed his concerns with a ard to the subject ordinance. Motion was made to adopt Ordinan No. 88-4. Volume 42 - Page 68 -If 10 0 0 0 RESOLUTION No. 88-12 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEA, ESTABLISHING THE IN -LIEU PARK DEDICATION FEE PURSUANT TO SECTION 19.50.070 OF THE NEWPORT BEACH MUNICIPAL CODE AND RESCINDING RESOLUTION NO. 84-50. WHEREAS, Chapter 19.50 of the Newport Beach Municipal Code establishes a standard of three to five acres of parkland for each 1,000 population expected to reside in a proposed subdivision; and WHEREAS, in subdivisions containing less than 50 parcels the subdivider must pay in -lieu fees equal to the value of the parkland required for dedication; and WHEREAS, the City has retained a qualified appraiser to update and establish the median park value per acre to be used in computing in -lieu fees; and WHEREAS, the appraiser has placed a value of $612,833 per acre as the median value per acre of City -owned parkland to be used in assessing in - lieu park fees for residential subdivision; and WHEREAS, Resolution 84-50 previously establishes said fee, which Resolution is to be superseded and rescinded hereby; and WHEREAS, the City Council has reviewed the appraisal report and determines said amount to be appropriate, NOW, THEREFORE, BE IT RESOLVED the the City Council of the City of Newport Beach does hereby establish the amount of $612,833 as the cost per acre to be used in assessing the in -lieu park dedication fees pursuant to Chapter 19.50 of the Newport Beach Municipal Code. BE IT FURTHER RESOLVED that said cost per acre shall be reviewed' and adjusted, if necessary, at least every three years from the date of adoption of this Resolution to keep current with property appreciation. rescinded. BE IT FURTHER RESOLVED that Resolution No. 84-50 be and hereby is ADOPTED this 22nd dav of February . 1988. C\BBB\INLIEU.PRK I k1l] A FROM: SUBJECT Suggested Acti City Council Meeting February 22, 1988 Agenda Item No. F-2(a) CITY OF NEWPORT BEACH City Council Planning Department In -Lieu Park Dedication Fees - Revised Eastbluff Park Apprais Report regarding the updated appraisal of Eastbluff Park and the -adoption of a resolution certifying the cost per acre to be used in assessing in -lieu park dedication fees. If desired, adopt Resolution No. _ establishing $612,833 as the cost per acre to be used in assessing in -lieu park dedication fees. Backgroun On May 23, 1977, the City Council adopted the Park Dedication Ordinance which established..a standard " of five acres of parkland for each 1,000 population expected to reside in a proposed subdivision. Subsequently, in August 1983, the City C�uncil- amended the Park Dedication Ordinance to be consistent with California State law, and revis - e ' d the standard to three to five acres of parkland for each 1,000 population expected to reside in a proposed subdivision. If the subdivision contains fifty parcels or more, the subdivider may dedicate land and/or pay an in -lieu fee equal to the total park requirement. If the subdivision contains less than fifty parcels, the subdivider, must pay an in -lieu fee equal to the value of the parkland required for dedication. The value of the parkland is defined as the "median fair market value per acre" of parks in the City. Past Appraisals On December 20, 1978, the City Council authorized the firm of Charles P. Wadsworth, M.A.I., to perform an appraisal of Eastbluff Park to establish the median park value per acre to be used in computing in -lieu fees. The appraisal, completed in March 1979, established a value of $2,250,000 for the 13.87 acre parcel. The value was equivalent to $162,221 per acre which was subsequently established by the City Council as the value to be used in administering the City's Park Dedication regulations (Resolution No. 9542, adopted April 23, 1979). Resolution No. 9542 provided that the cost per acre be reviewed and ad- justed, if necessary, every three years. Therefore, the next review would not have occurred until the Spring of 1982. However, because of the rapid and dramatic escalation in real estate prides over the following two years, 0 0 TO: City Council - 3. Respectfully submitted, PLANNING DEPARTMTKNT JAMES D. HEWD By BRE B. I As ociate I BBB:jm C\CCSR\INLIEU, Attachments fc 1. East 2. Resc tior 0 0 TO: City Council - 3. Respectfully submitted, PIANMG DEPARTHENT JAMES D. HEWICKER, Director By B�j B.AEROM A oc iate Planner BBB: j m C\CCSR\INLIEU.PRK Attachments for City C, 1. Eastbluff Pa: 2. Resolution N tion Fee, an, CITY OF NEWPORT BEACH DEMAND FOR PAYMENT Date February 9, 1988 Demand of: Charles P. Wadsworth, M.A.I. Address: 567 San Nicolas Drive, Suite 106 Newport Beach, California 92660 In the amount of $ 3,500.00 ITEM OF EXPENDITURE BUDGET # AMOUNT Professional services rendered re appraisal of Eastbluff Park Site 022716000 Approved For Payment: TOTAL $3,500.00 Au (ited jand Approved: Departhent Head Finance Director January 25, 1988 TO: CHARLES P. WADSWORTH, X.A.I. MEMBCR, AMCRICAN INSTITUTE OF R"L ESTATE APPRAISERS S67 SAN NICOLAS DRIVE. SUITE 106 NEWPORT BEACH, CALIFORNIA 926GO 4714) 720-190S City of Newport Beach 3300 Newport Boulevard Newport Beachp California 92663 ATTENTION: Mr. Bret B. Bernard Assistant Planner Appraisal of Eastbluff Park Site FOR: APPRAISAL SERVICES $3r500 rzx".D. DAN. JIPR'00� K.,j W %d� i li i vrfvi EINIT Plan NO.: ozztlevoo