Loading...
HomeMy WebLinkAbout2024-31 - Adding Chapter 15.43 (Recreation Facilities Improvement Fee) to the Newport Beach Municipal Code Authorizing Collection of Development Impact Fees for Recreation FacilitiesORDINANCE NO. 2024-31 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, ADDING CHAPTER 15.43 (RECREATION FACILITIES IMPROVEMENT FEE) TO THE NEWPORT BEACH MUNICIPAL CODE AUTHORIZING COLLECTION OF DEVELOPMENT IMPACT FEES FOR RECREATION FACILITIES WHEREAS, Section 200 of the City of Newport Beach ("City") Charter vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges, or procedures granted or prescribed by any law of the State of California; WHEREAS, cities may apply fees for proposed developments to cover the cost of public facilities by way of its police power as codified in the California Constitution Article XI Section T WHEREAS, California Government Code Section 66000 et seq. ("Mitigation Fee Act") authorizes the City to collect fees in connection with approval of a development project for the purpose of defraying all or a portion of the cost of public facilities related to the development project; WHEREAS, development impact fees must be supported by a nexus study which calculates the purpose of the fee, the use to which it will be put, the relationship between the fee's use and the development, and establish the need for the fee pursuant to the Mitigation Fee Act; WHEREAS, the Community Development Department commissioned a development impact fee nexus study with Willdan Financial Services; WHEREAS, the City's 6t" Cycle Housing Element projects an increase in the population, residential dwelling units, and employment in Newport Beach; WHEREAS, this future residential and nonresidential growth will create additional demand on the City's infrastructure for recreation facilities; Ordinance No. 2024-31 Page 2 of 4 WHEREAS, the City's current recreational facilities inventory is comprised of various community centers, senior centers, junior lifeguard facility, and harbor facilities to serve the community; WHEREAS, Chapter 15.43 (Recreation Facilities Improvement Fee) authorizes the City to collect development impact fees for recreation facilities to cover the cost of developing additional recreational facilities necessitated by new development, and WHEREAS, a duly noticed public hearing was held by the City Council on November 12, 2024, in the Council Chambers located at 100 Civic Center Drive, Newport Beach, California. A notice of time, place and purpose of the public hearing was given in accordance with California Government Code Section 54950 et seq. ("Ralph M. Brown Act") and the Mitigation Fee Act. Evidence, both written and oral, was presented to, and considered by, the City Council at this public hearing. NOW THEREFORE, the City Council of the City of Newport Beach ordains as follows.. Section 1: Chapter 15.43 (Recreation Facilities Improvement Fee) is hereby added to the Newport Beach Municipal Code as set forth in Exhibit "A," which is attached hereto and incorporated by reference. Section 2: The recitals provided in this ordinance are true and correct and are incorporated into the substantive portion of this ordinance. Section 3: If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this ordinance. The City Council hereby declares that it would have passed this ordinance and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Ordinance No. 2024-31 Page 3 of 4 Section 4: The City Council finds the introduction and adoption of this ordinance is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 5: Except as expressly modified in this ordinance, all other sections, subsections, terms, clauses and phrases set forth in the Newport Beach Municipal Code shall remain unchanged and shall be in full force and effect. Ordinance No. 2024-31 Page 4 of 4 Section 6: The Mayor shall sign and the City Clerk shall attest to the passage of this ordinance. The City Clerk shall cause the ordinance, or a summary thereof, to be published pursuant to City Charter Section 414. This ordinance shall be effective thirty (30) calendar days after its adoption. This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the 12th day of November, 2024, and adopted on the 10th day of December, 2024, by the following vote, to -wit: AYES: Mayor O'Neill Mayor Pro Tern Stapleton, Councilmember Avery, Councilmember Blom Councilmember Grant, Councilmember Kleiman Councilmember Weigand NAYS: ABSENT: WILL O'NEILL, MAYOR APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE AA ON C. HARP, CITY ATTORNEY Attachment: Exhibit A — Chapter 15.43 (Recreation Facilities Improvement Fee) Exhibit A Chapter 15.43 RECREATION FACILITIES IMPROVEMENT FEE Sections: 15.43.010 Purpose. 15.43.020 Definitions. 15.43.030 Established. 15.43.040 Use. 15.43.050 Developer construction. 15.43.060 Adjustments. 15.43.010 Purpose. A. To implement the goals and objectives of the capital improvement program for facilities and equipment of the City of Newport Beach, and to mitigate the impacts to the City's recreational facilities caused by new development in the City, certain public facilities and equipment must be constructed and/or acquired. The public facilities and equipment are specifically identified in the City's capital improvement program for facilities and equipment as adopted by the City Council and as amended from time to time. The list of recreational facilities and equipment may be added to or deleted from the approved program. The City Council has determined that a development impact fee is needed to finance these public improvements and to pay for the development's fair share of the costs of these improvements. B. In establishing the fee described in this chapter, the City Council has found the fee to be consistent with its general plan and, pursuant to Govt. Code Section 65913.2, has considered the effects of the fee with respect to the City's housing needs as established in the Housing Element of the General Plan. 15.43.020 Definitions. In this chapter, unless the context otherwise requires: "Cost of improvements" means all costs related to acquisition, construction, repair and financing, but does not include costs of routine maintenance. "New development" means any residential or nonresidential (nonresidential includes commercial, office, and industrial) construction project except as specifically exempted in this chapter or by resolution establishing the fee. "Recreational facility" means capital improvements related to the buildings, furnishings, vehicles, equipment, software, and similar facilities utilized for recreational purposes. 15.43.030 Established. A. A recreation facility impact fee is established on issuance of all building permits, for development within the City to pay for the City's buildings, furnishings, vehicles, equipment and similar facilities utilized for recreational purposes as shown in the adopted capital improvement program for facilities and equipment. B. The City Council shall, in a council resolution, set forth the specific amount of the fee, describe the benefit and impact area on which the development fee is imposed, list the specific public improvements to be financed, describe the estimated cost of these facilities, describe the reasonable relationship between this fee and the various types of new developments and set forth time for payment. On an annual basis, the City Council shall review this fee to determine whether the fee amounts are reasonably related to the impacts of developments and whether the described public facilities are still needed. 15.43.040 Use. The revenues raised by payment of this fee shall be placed in a separate and special account and such revenues, along with any interest earnings on that account, shall be used solely to: A. Pay for the City's future facilities described in the resolution enacted pursuant to this chapter, or to reimburse the City for those described or listed facilities constructed by the City with funds advanced by the City from other sources, or B. Reimburse developers who have been required or permitted by this chapter, to install such listed facilities which are oversized with supplemental size, length, or capacity. 15.43.050 Developer construction. A. Whenever a developer is required, as a condition of approval of a development permit, to construct a public facility described in a resolution adopted pursuant to this chapter which facility is determined by the City to have supplemental size, length, or capacity over that needed for the impacts of that development, and when such construction is necessary to ensure efficient and timely construction of the facilities network, a reimbursement agreement with the developer and a credit against the fee, which would otherwise be charged pursuant to the ordinance codified in this chapter on the development project, shall be offered to the developer. B. The reimbursement amount shall not include the portion of the improvement needed to provide services or mitigate the need for the facility or the burdens created by the development. 15.43.060 Adjustments. A. A developer of any new development subject to the fee described in this chapter may apply to the City Council for a reduction or adjustment to that fee, or a waiver of that fee, based upon the absence of any reasonable relationship or nexus between the recreational impacts of that development and either the amount of the fee charged or the type of facilities to be financed. B. A separate application shall be filed for each adjustment request made pursuant to this section. Such application shall be made on a form provided by the City Clerk and shall be filed with the City Clerk not later than: Thirty (30) calendar days prior to the first public hearing on the discretionary permit application for the development project, or 2. If no discretionary permit application is required, within thirty (30) calendar days of filing for a building permit. A building permit for any phase of construction (including grading, demolition, or new construction) shall not be issued until determination of the base fees is final. C. The application shall state in detail the factual basis for the claim of waiver, reduction, or adjustment. The burden of proof shall be on the applicant to establish that the applicant is not subject to the imposition of the full development impact fee(s) pursuant to the applicable development impact fee ordinance and applicable state law. D. The City Council shall consider the application at the public hearing on the permit application or at a separate hearing held within sixty (60) days after the filing of the fee adjustment application, whichever is later. The decision of the City Council shall be final. E. If a reduction, adjustment, or waiver is granted, any change in use within the project shall invalidate the waiver, adjustment or reduction of the fee. STATE OF CALIFORNIA COUNTY OF ORANGE ; ss. CITY OF NEWPORT BEACH } I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the whole number of members of the City Council is seven; that the foregoing ordinance, being Ordinance No. 2024-31 was duly introduced on the 12th day of November, 2024, at a regular meeting, and adopted by the City Council at a regular meeting duly held on the 101h day of December, 2024, and that the same was so passed and adopted by the following vote, to wit: AYES: Mayor Will O'Neill, Mayor Pro Tem Joe Stapleton, Councilmember Brad Avery, Councilmember Noah Blom, Councilmember Robyn Grant, Councilmember Lauren Kleiman, Councilmember Erik Weigand NAYS: None IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of said City this 11th day of December, 2024. Aiilwj-l�� Leilani I. Brown, MM City Clerk City of Newport Beach, California CERTIFICATE OF PUBLICATION STATE OF CALIFORNIA } COUNTY OF ORANGE } ss. CITY OF NEWPORT BEACH } I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that Ordinance No. 2024-31 has been duly and regularly published according to law and the order of the City Council of said City and that same was so published in The Daily Pilot, a newspaper of general circulation on the following dates: Introduced Ordinance: November 16, 2024 Adopted Ordinance: December 14, 2024 fA In witness whereof, I have hereunto subscribed my name this day of December, 2024. PpRT y Leilani I. Brown, MMfC City Clerk V City of Newport Beach, California cgCIF0