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HomeMy WebLinkAboutResolution No. 02-C1030 0 RESOLUTION NO. 02-c103 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA ADOPTING THE WATER SYSTEM 2002 ANNEXATION FEE. THE CITY COUNCIL OF THE CITY OF AZUSA DOES HEREBY FIND, RESOLVE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. Short Title. This resolution may be referred to as the AWater System 2002 Annexation Fee Resolution@ of the City of Azusa. SECTION 2. Pur ose The purpose of the Resolution is to adopt an updated fee for financing the Water System Master Plan prepared by Psomas Engineers, dated December ,2000, and to establish the methods for calculating the amounts of the Water System Annexation Fee. The Annexation Fee will be applied to properties outside the existing water system service area which can be reasonably served by the water system. SECTION 3. Findings The City Council after review of the report prepared by Civiltec Engineering, Inc. entitled A2002 Water Facility Fee Evaluation," prepared September 16, 2002, the City of Azusa Water Master Plan, other staff reports, and testimony and information received at the public hearing on this matter, approves the Report and makes the following specific findings: A. Based upon a study of the relationship between the land uses permitted by the general plan and zoning ordinance of the City of Azusa and those of the County of Los Angeles and other cities having jurisdiction over a portion of the ultimate water system service area, and growth trends of actual development within the ultimate water system service area, the ultimate water system service area will reach its development capacity by the year 2030; B. Implementation of the Water System Master Plan, as presently designed will require the construction of major improvements to the existing water system. These improvements will result in a water system which has the capacity to accommodate the future water needs that will be generated by anticipated future development; C. Present and future sources of Federal, State, County, Azusa Valley Water Company and City of Azusa Light and Water Department revenues which are available for water system related improvements are inadequate to completely fund implementation of the Water System Master Plan; D. Adequate revenues can be fairly and equitably obtained to fund a portion of the improvements identified in the Water System Master Plan through a fee based on the extent to which the water system service area benefits from the continued maintenance and improvement of the existing water system. The formula establishing each fee is based on upon projected costs for the improvements and projected uses by various types of developments; E. The City of Azusa Water System Master Plan identified a number of capital improvements to the existing water system whose purpose is to improve system reliability, combine the City and AVWC systems for more efficient operation, and replace facilities which have reached the end of their service life. These facilities benefit both the existing service area and future development in the ultimate water system service area. Implementation of the Annexation Fee proposed in the 2002 Water Facility Fee Evaluation will permit new development to Abuy into@ the existing water system, primarily the treatment, storage and transmission facilities, which are used by all customers. The Annexation Fee reflects the proportionate share of the existing system that benefits the future customers in the ultimate water system service area; F. The water system improvements constructed with funds generated by the 0 CITY OF AZUSA RESOLUTION NO. AWater System Development Fee Ordinance@ and this Resolution will specifically benefit the fee contributor by mitigating the adverse impacts such as inadequate water pressure, and storage capacity and inconveniences within the water system that will be created due to future development. Further, the specific benefit a property receives from water system improvements is generally proportional to the fee contributions made; G. The fees required by the Water System Development Fee Ordinance will be used solely to fund improvements that will improve the water system within the water system service area. Such fees shall be deposited in a separate capital facilities account or fund to avoid co -mingling of fees with other revenues and funds of the City. Interest earned from the monies in the capital account or fund shall be deposited in that account or fund and shall be expended only for the purpose for which the fees were originally collected. H. Payment of the fees or charges, notwithstanding any other provision of law, is not required until the date of final inspection, or the date the certificate of occupancy is issued, whichever occurs first, [provided that utility service fees may be collected at the time and application for utility service is received]. If the residential development contains more than one dwelling, the City of Azusa Light and Water Department may determine how the fees or charges shall be paid pursuant to any manner authorized by section 53077.5 of the Government Code. I. In accordance with Government Code Section 66001, the facts and evidence presented establish that there is a reasonable relationship between (1) the need for the public facilities described in the Water System Master Plan and the impacts from the types of development listed in Section 7 for which the corresponding fees are charged, and (2) the fee=s use for which the fee is charged. These relationships are more thoroughly described in the report entitled A2002 Water Facility Fee Evaluation," and the October 7, 2002, Staff Memorandum which is adopted and established by this Resolution. SECTION 4. Definitions. For the purposes of this Resolution, the following terms shall be defined as follows: A. Development Project shall mean the construction of residential, commercial, industrial or other buildings and structures, and the addition of floor space to existing non-residential buildings and structures. Development Project shall also mean any change of use of property which requires a building permit and which will require additional water service above which can be reasonably associated with the current use of the property or any other project involving the issuance of a permit for construction or reconstruction. B. Water System Improvements shall mean those improvements necessary to implement the Water System Master Plan and shall include but not be limited to: construction of new reservoirs, new transmission and distribution lines, installation of new booster pumps and telemetry and control devices. C. Water System Master Plan shall mean the systematic program for upgrading the water system to be phased over the succeeding eighteen years from the effective date of this Resolution. D. Maximum Buildout shall mean the anticipated maximum amount of future development permitted by the General Plan and Zoning Ordinance in the City of Azusa or those of the County of Los Angeles or other city having jurisdiction over a portion of the service area of the water system and shall be expressed in terms of the number of undeveloped units permitted within each land use zoning category. 0 0 CITY OF AZUSA RESOLUTION NO. E. Water System Service Area shall mean the service area of the City of Azusa Light and Water Department and the service area of the Azusa Valley Water Company. F. Water System shall mean the water system of the City of Azusa Light and Water Department and the water system of the Azusa Valley Water Company. The water system consists generally of piping, pumping facilities, reservoirs and treatment facilities. G. Ultimate Water System Service Area shall mean the properties outside the existing water system service area which can be reasonably served by the water system. SECTION 5. Costs of the Water System Master Plan The cost of implementing the 2000 Water System Master Plan is estimated to be $39,916,962.05. The Water System Annexation Fee will fund only facilities or portions of facilities which directly benefit the existing service area. These facilities generally replace existing obsolete facilities, or are required to combine the City water system and the Azusa Valley Water Company water system. These facilities are identified in the report entitled A2002 Water Facility Fee Evaluation@. The portion of the estimated costs to be funded by the Water System Annexation Fee is $7,001,364.00. SECTION 6. Establishment of the Amount of the Water System Annexation Fee. The amount of the Water System Annexation Fee as provided for by the Water System Development Fee Ordinance@ shall be as follows for each type of development: Residential a. Single family residential = $3,450.13/ acre; $575.02/DU b. Multi -family residential= $5,892.92/ acre; $368.31/DU Commercial/Industrial/ Park/School a. Commercial =$2,644.26/ acre; $0.26/SF b. Industrial = $2,845.73/ acre; $0.11/SF C. Park = $1,019.93/ acre; $1,019.93/ACRE d. School= $2,228.73/acre; $2,228.73/ACRE Water System Annexation Fees for developments not described above shall be designated by reference to either the most similar and current land use designation, or an existing project similar to the proposed development found to be relevant for comparison purposes by the Director of Utilities. SECTION 7. Severability. If any section, subsection, sentence, clause, phrase or portion of this Chapter is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of the Chapter. The City Council hereby declares that it would have adopted this Chapter and each section, subsection, sentence, clause, phrase, or portion thereof, irrespective if the fact than any one or more sections, subsections, phrases, or portions be declared invalid or unconstitutional. SECTION 8. The City Clerk shall certify to the adoption of this Resolution and shall cause this Resolution and its certification to be entered in the Book of Resolutions of the Council of the City. r1 S D PP V his 7th day of Mayor 0 October CITY OF AZUSA RESOLUTION NO. 2002 I hereby certify that the foregoing Resolution was duly adopted by the City Council of the Citv of Azusa at a regular meeting thereof, held on the 7th day of October 2002 by the following vote of the Council: AYES:COUNCIL MEMBERS: NOES: COUNCIL MEMBERS HARDISON, STANFORD, ROCHA, CHAGNON, MADRID NONE ASSENT: COUNCIL MEMBERS: NONE Confidential • CITY OF AZUSA • Light and Water Department Annexation Fee far Monrovia Nursery MONROVIA NURSERY TEST Annexation Fee Calculation PRESSURE ZONE 1300 Land Use Category Area of Proposed Annual Water Duty Development Acre - foot Usage Annexation Totals Acres per Acre Acre feet Fee / Acre Residential Single Family 7 2.74 19.18 $ 3,450.13 $ 24,150.89 Residential Multi -Family 0 4.68 0.00 $ 5,892.92 $ - Commercial - Low 0 2.10 0.00 $ 2,644.26 $ - Industrial 0 2.26 0.00 $ 2,845.73 $ School 0 1.77 0.00 $ 2,228.73 $ - Park 16.9 0.81 13.69 $ 1,019.93 $ 17,236.78 Total 23.9 32.87 $ 41387.67 PRESSURE ZONE 1023 Land Use Category Area of Proposed Annual Water Duty Development Acre - foot Usage Annexation Totals Acres per Acre Acre feet Fee / Acre Residential Single Family 76.7 2.74 210.16 S 3,450.13 $ 264,624.74 Residential Multi -Family 12.3 4.68 57.56 S 5,892.92 $ 72,482.89 Commercial - Low 0 2.10 0.00 S 2,644.26 $ - Industrial 0 2.26 0.00 S 2,845.73 $ School 0 1.77 0.00 S 2,228.73 $ - Park 76.2 0.81 61_72 S 1,019.93 $ 77,718.52 Total 165.2 329.44 $ 414,826.14 PRESSURE ZONE 830 Land Use Category Area of Proposed Annual Water Duty Development Acre - foot Usage Annexation Totals Acres per Acre Acre feet Fee / Acre Residential Single Family 0 2.74 0.00 $ 3,450.13 S - Residential Multi -Family 38.9 4.68 182.05 $ 5,892.92 S 229234.49 Commercial - Low 0 2.10 0.00 $ 2,644.26 S - Industrial 0 2.26 0.00 $ 2,845.73 S School 8.7 1.77 15.40 $ 2,228.73 S 19,389.97 Park 15.2 0.81 12_31 $ 1,019.93 $ 15,502.91 Total 62.8 209.76 S 264.127.36 TOTAL ANNEXATION FEE $ 720,341.17 Annexation Fee 2002.xts Prepared by C/VfLTEC engineering, inc. 10/2/2002 Page 2 Confidential City of Azusa - Light and Water Department Water System Annexation Fee Estimated Construction Cost = F,ngineering News Record L.A. Cost Index= Cost Index Percent Increase Existing Demand (AF) Future Demand (AF) Ratio to Existing Customers Ratio to Future Customers CITY OF AZUSA Light and Water Department Calculation ofAnneration Fee Structure Dec -00 Aug -02 $ 22,729,513.99 $ 23,848,521.38 7068 7416 n/a 4.92% 16815 Based upon 18% (water loss) reduction of water production from 1987 to 1999 (Table 4-2 2000 WMP) 23803 Based upon Table 4-6 of 2000 WMP 70.64% 29.36% • Amount to Existing Customers $ 16,84215237 Amount to Future Customers S 2001364.00 Annexation costs to new customers � 1 L.J 2002 Fee Calculation Land Use Category Residential Single Family Residential Multi -Family Commercial - Low Industrial School Park Total Annexation Fee 2002.xls Area of Proposed Annual Water Duty Development Acre - foot Usage Annexation Totals Fee per Acres per Acre Acre feet Fee / Acre Unit Unit Basis 620 2.74 1698.80 $ 3,450.13 $ 27139,078.70 $ 575.02 DU 6 units/ac 38 4.68 177.84 $ 5,892.92 $ 223.930.87 $ 368.31 DU 16 units/ac 958 2.10 2011.80 $ 2,644.26 $ 2,533,199.04 $ 0.26 SF 10,000 SF units 667 2.26 1507.42 $ 2,845-73 $ 1,898,098.67 $ 0A 1 SP 25000 SF units 8.7 1.77 15.40 S 2,228.73 S 19,389.97 $ 2,228.73 ACRE Acres 184 0.81 149.04 $ 1,019.93 $ 187 666.76 $ 1,019.93 ACRE Acres 2475.7 5560.30 $ 7,00 1 -364.00 Prepared by C/VILTEC engineering, inc. 10/2/2002 Page 1