HomeMy WebLinkAbout06 - Collection of School FeesCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 6
October 10, 2006
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Administrative Services Department
Dennis C. Danner, Administrative Services Director, (949) 644 -3123,
ddanner@city.newport-beach.ca.us
SUBJECT: Agreement for Collection of School Fees Pursuant to Education
Code Section 17620
UE:
Should the City enter into an Agreement with the Newport-Mesa Unified School District
to allow the City to collect development fees on behalf of the School District?
RECOMMENDATION:
Approve the Agreement to allow the City to collect development fees on behalf of the
Newport-Mesa Unified School District.
DISCUSSION:
Currently the Newport-Mesa Unified School District is permitted to levy and collect
development fees pursuant to Education Code Section 17620. These fees are currently
collected by the School District. As an improvement to customer service, the School
District is desirous of the City to collect these fees on behalf of the School District at the
same time the City levies and collects City development fees. The fees attributable to
the School District will be remitted by the City to the District on a monthly basis. Since
the School District fees will be levied and collected at the same time as City
development fees, the City will not charge an administrative fee to the School District for
the performance of this service. All terms and conditions of the fee collection
arrangement are included in the proposed Agreement.
Environmental Review: None required.
Public Notice: With City Council Agenda
Funding Availability: None Required.
Alternatives: To not adopt the Agreement, thereby precluding the collection of Newport-
Mesa Unified School District development fees by the City on behalf of the School
District.
Prepared and Submitted by:
Dennis C. Danner, Director
Attachment: Agreement
AGREEMENT FOR COLLECTION
OF SCHOOL FEES PURSUANT TO
EDUCATION CODE SECTION 17620
THIS AGREEMENT is entered into this day of , 2006, by and
between the City of Newport Beach ( "City ") and the Newport -Mesa Unified School
District ( "District ").
WITNESSETH:
WHEREAS, District is authorized, pursuant to Education Code Section 17620, to
levy and collect additional development fees; and
WHEREAS, District and City wish to provide for the collection of the fees,
including the payment to City of administrative costs for the collection thereof under
Education Code Section 17620, et seq. and Government Code Section 65995 et seq.;
and
WHEREAS, District desires to enter into an agreement with City for City to collect
and otherwise administer the fees on behalf of District pursuant to Education Code
Section 17620(a)(4).
NOW, THEREFORE, the parties hereto agree as follows:
1. Entire Aareement. This agreement constitutes the entire Agreement
between the parties with respect to any matter referenced herein and supersedes any
and all other prior writings and oral negotiations. This agreement may be modified only
in writing, and signed by the parties in interest at the time of such modification after
approval by each party's respective legislative body. The terms of this Agreement shall
prevail over any inconsistent provision in any other contract document appurtenant
hereto.
2. Term. The term of this Agreement shall not exceed five (5) years, through
and including June 1, 2011.
3. Amount of Fees. District shall provide, in writing, the effective dates and
amounts per square foot of assessable and chargeable space for City to use in
calculating the total fees due at least thirty (30) days prior to the effective date of such
fees.
4. Updates. District shall provide timely updates to any pertinent information
needed by City in the performance of this Agreement.
5. Prior Fees. Where prior school fees have been paid or an alternative
agreement for the payment of school fees has been entered into with District, District
shall instruct City as to the amount and extent credit to be applied to the particular
development project.
6. Calculation. City shall calculate the amount of the fees in compliance with
Education Code Sections 17620 et seq. and Government Code Sections 65995 et seq.
as amended and any other applicable statutes.
7. Time of Collection. City shall collect the fees from the parties upon whom
the fees are imposed at the time of issuance of the building permit AS AUTHORIZED
PURSUANT TO Government Code Section 66007(b).
8. Transmission. Fees collected pursuant to this Agreement shall be
transmitted monthly to the District.
9. Administrative Charge. In consideration of the fee allowed for recovery of
processing and other administrative services provided by City under this Agreement
pursuant to Education Code 17620(a)(5), City shall retain zero percent (0 %) of all fees
collected as a charge for administration and collection of the fees.
10. Disputes. Should any disputes arise concerning the amount or application
of the fee or if any party upon whom the fee has been imposed protests the
establishment or imposition of the fee (in accordance with Government Code Section
66020) for any individual project, the matter shall be referred to District for resolution
and District shall instruct City in writing as to course of action.
11. Waiver.
a. District expressly waives any right, title, interest, claim, action or
recourse that District may have against City for.perceived or actual
miscalculations by City of the fee for each development project calculated by City
staff.
b. Notwithstanding the above, this Agreement shall not be construed
to limit or restrict in any way the rights of City or District from attempting to collect
fees from any developer for any development project when it is believed by
District or City that the fees were improperly calculated.
12. Indemnity. District shall indemnify and defend City against and hold it
harmless from any and all loss, damage and liability for damages, including attorney's
fees and other costs of defense incurred by City as a result of the fees by City
hereunder.
13. Changes in Procedure. In the event District perceives a need for change
in the general procedure used by City staff in assessing the fees, representatives of
District and City shall meet to discuss changes in the procedure. If City and District are
unable to come to an agreement, this contract may be terminated, as set forth below.
14. Termination. Either party may terminate this Agreement by providing
ninety (90) days prior written notice to the other party.
CITY OF NEWPORT BEACH
City Manager
ATTEST:
Deputy City Clerk
APPROVED AS TO FORM:
City Attorney
NEWPORT -MESA
UNIFIED SCHOOL DISTRICT
H. Reed,
Deputy Superintendent, CBO
Business Services
ATTEST:
APPROVED AS TO FORM: