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HomeMy WebLinkAboutOrd. 1609-2020 (20-755)City of South San Francisco P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA City Council Ordinance: ORD 1609-2020 File Number: 20-755 Enactment Number: ORD 1609-2020 ORDINANCE ADOPTING A CHILDCARE IMPACT FEE FOR THE CITY OF SOUTH SAN FRANCISCO. WHEREAS, the City Council previously adopted and has kept in effect a Childcare Impact Fee ("Fee") under the authority of Sections 66000 et seq. of the California Government Code ("Mitigation Fee Act") that applies to residential and non-residential development projects in the City; and WHEREAS, the Fee was enacted at chapter 20.310 of the South San Francisco Municipal Code; and WHEREAS, in August 2020 a study was prepared for the City by the Matrix Consulting Group, entitled Development Impact Fee Study, to analyze the current relationship between new development in the City, the childcare services needed to serve that growth, and the estimated costs of those facilities to provide those childcare services, and to analyze new development's fair share of childcare infrastructure costs ("Nexus Study"); and WHEREAS, the Nexus Study estimates that the City will need to create 2,138 additional childcare spaces by 2040 to maintain current childcare services standards in the City and estimates that 1,069 of these needed spaces are expected to be met by traditional childcare facilities funded by the Fee; and WHEREAS, the Nexus Study further estimates that the total projected cost for to create these additional 1,069 childcare spaces is $43.5 million; and WHEREAS, City wishes to update the Fee to better implement the goals contained in the Nexus Study to maintain existing service levels; and WHEREAS, the City will adopt a separate resolution to set the Fee at rates consistent with the Nexus Study and this Ordinance; and WHEREAS, the City Council also wishes to create uniformity in the manner in which development impact fees are codified in the South San Francisco Municipal Code and adjusted periodically (consistent with their enabling legislation and nexus studies) by resolution; and WHEREAS, the existing provisions of the Fee in chapter 20.310 of the Municipal Code vary from this uniform model and procedure for development impact fees, and thus must be amended; and City of South San Francisco Page 1 File Number: 20-755 Enactment Number: ORD 1609-2020 WHEREAS, such development impact fees are not a "tax" as defined in Section 1, paragraph (e) of Article XIIIC of the California Constitution ("Proposition 26") because such Fees and charges are imposed for a specific benefit conferred or privilege granted directly to the payor that is not provided to those not charged, and which does not exceed the reasonable cost to the local government of providing the service or product, and/or such Fees and charges are imposed for a specific government service or product provided directly to the payor that is not provided to those not charged, and which does not exceed the reasonable cost to the local government of providing the service or product, and/or such Fees and charges are imposed for the reasonable regulatory costs to a local government for issuing licenses and permits, performing investigations, inspections and audits, enforcing agricultural marketing orders and the administrative enforcement and adjudication thereof, and/or such fees and charges are imposed as a condition of property development; and WHEREAS, in accordance with Section 66019 of the Mitigation Fee Act, at least fourteen (14) days prior to the public hearing at which this Ordinance was introduced, notice of the time and place of the hearing was mailed to interested parties who filed written requests with the City for mailed notice of meetings on new or increased fees or service charges; and WHEREAS, ten (10) days advance notice of the public hearing at which this Ordinance was introduced was given by publication in accordance with Government Code Section 6062a; and WHEREAS, in accordance with Section 66016 of the Mitigation Fee Act, at least ten (10) days prior to the public hearing at which this Ordinance was introduced, the Nexus Study was made available to the public for review; and WHEREAS, the action taken by this Ordinance has no potential for physical effects on the environment because it involves an adoption of certain fees and/or charges imposed by the City, does not commit the City to any specific project, and said fees and/or charges are applicable to future development projects and/or activities, each of which future projects and/or activities will be fully evaluated in full compliance with the California Environmental Quality Act ("CEQA") when sufficient physical details regarding said projects and/or activities are available to permit meaningful CEQA review (See CEQA Guidelines, Section 15004(b)(1)). Therefore, approval of the Fee and/or charges is not a "project" for purposes of CEQA, pursuant to CEQA Guidelines, Section 15378(b)(4); and, even if considered a "project" under CEQA, is exempt from CEQA review pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that approval of the Fee and/or charges may have a significant effect on the environment. NOW, THEREFORE, the City Council of the City of South San Francisco does hereby ORDAIN as follows: SECTION 1. Findings The City Council finds that the foregoing recitals are true and correct and are incorporated into the Ordinance by this reference. City of South San Francisco Page 2 File Number: 20-755 Enactment Number: ORD 1609-2020 SECTION 2. Amendment of Chapter 20.310 The City Council hereby amends Chapter 20.310 ("Childcare Fee") of Title 20 of the South San Francisco Municipal Code to read as follows: Chapter 20.310 20.310.010 Purpose. 20.310.020 Childcare Fee established. 20.310.030 Use of fee revenues. 20.310.040 Appeals. 20.310.010 Purpose. The purpose of this chapter is to impose a fee on new development based on the projected need for new or expanded childcare facilities in amounts necessary to fund the new spaces to mitigate the increased demand for childcare generated by such development. 20.310.020 Childcare fee established. A. A Childcare Fee is established to pay for new childcare spaces in the City, including spaces created by constructing new facilities, expanding existing facilities, or occupying leased commercial space, whether the facilities are operated by a private entity or governmental organization. B. The City Council shall, in a resolution adopted after a duly noticed public hearing, set forth the amount of the fee, describe the need for the fee, list the types of childcare facilities to be financed, describe the estimated cost of these facilities, describe the reasonable relationship between the fee and the various types of future development, and set forth time for calculation and payment of the fee. 20.310.030 Use of fee revenues. Childcare Fee revenue shall be used only for the purposes outlined in this chapter and by resolution, consistent with the purposes of the Fee. 20.310.040 Appeals. A developer may appeal the amount of the Childcare Fee due in writing to the City Manager with supporting documentation. The City Manager shall consider the appeal and shall make a decision on the appeal. The decision of the City Manager shall be final. City of South San Francisco Page 3 File Number. 20-755 Enactment Number., ORD 1609-2020 SECTION 3. Severability. If any section, subsection, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed the Ordinance, and each and every section, subsection, sentence, clause or phrase not declared invalid or unconstitutional without regard to whether any portion of this Ordinance would be subsequently declared invalid or unconstitutional. SECTION 4. Publication and Effective Date Pursuant to the provisions of Government Code Section 36933, a summary of this Ordinance shall be prepared by the City Attorney. At least five (5) days prior to the Council meeting at which this Ordinance is scheduled to be adopted, the City Clerk shall (1) publish the Summary, and (2) post in the City Clerk's Office a certified copy of this Ordinance. Within fifteen (15) days after the adoption of this Ordinance, the City Clerk shall (1) publish the summary, and (2) post in the City Clerk's Office a certified copy of the full text of this Ordinance along with the names of those City Council members voting for and against this Ordinance or otherwise voting. This Ordinance shall become effective thirty (30) days from and after its adoption. Introduced at a regular meeting of the City Council of the City of South San Francisco held the 23rd day of September 2020. At a meeting of the City Council on 10/14/2020, a motion was made by Mark Addiego, seconded by Buenaflor Nicolas, that this Ordinance be adopted. The motion passed. Yes: 5 Mayor Garbarino, Vice Mayor Addiego, Councilmember Nagales, Councilmember Nicolas, and Councilmember Matsumoto Attest by ",— Risa Govea Acosta, City Clerk Ric and Garbarino, Mayor City of South San Francisco Page 4