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HomeMy WebLinkAboutResolutions - No. 2021-213RESOLUTION NO. 2021-213 A RESOLUTION OF THE LODI CITY COUNCIL ADOPTING AMENDMENT TO 2012 WASTEWATER MASTER PLAN TO INCLUDE 2018 AMENDMENT TO THE SOUTH WASTEWATER TRUNK LINE MASTER PLAN; AND APPROVING 2021 IMPACT MITIGATION FEE PROGRAM FINAL REPORT AND SCHEDULE OF FEES WHEREAS, in 1991, City Council approved the Impact Mitigation Fee Program (IMFP) that established impact fees in the categories of water, wastewater, storm drainage, streets, police, fire, parks, and general City facilities. An electric utility impact fee was established in 2007; and WHEREAS, on August 15, 2012, City Council approved the updated Impact Mitigation Fee Program Report and the recommended schedule of fees for water, wastewater, storm drainage, transportation, police, fire, parks, electric, general city facilities, and art in public places which assigned the majority of responsibility to new development for the construction of storm drainage pipes and basins and neighborhood parks; and WHEREAS, in 2013, City Council adopted Resolution No. 2013-187 which established a neighborhood parks impact fee and added a second storm drainage zone (and corresponding fee) for new residential developments located west of Lower Sacramento Road; and WHEREAS, in October 2016, Council approved Resolution No. 2016-188 at the recommendation of City staff which eliminated the temporary 60% reduction of fees for low and medium density zoning designations and in -fill projects of more than 10 lots; and WHEREAS, the 2021 Impact Mitigation Fee Program Update includes a Non -Potable Water Impact Fee that was not included in the 2012 Impact Fee Program because the program required new development to construct the non -potable water improvements; and WHEREAS, to determine the Non -Potable Water Impact Fee, staff prepared a Non - Potable Water Study to provide the basis and backup for the fee; and WHEREAS, in 2012, City Council approved Resolution No. 2021-142, thereby approving City of Lodi Master Plans that included the City's Wastewater Master Plan; and WHEREAS, in 2018, the City undertook the preparation of the 2018 Amendment to the South Wastewater Trunk Line Master Plan (SWTL Master Plan) that describes an alternate configuration for wastewater trunk lines in the area south of Harney Lane; and WHEREAS, prior to the approval of the 2012 Wastewater Master Plan, the City Council did adopt the City of Lodi Master Plans Negative Declaration that evaluated the potential impacts associated with implementation of the Wastewater Master Plan; and WHEREAS, the improvements proposed in the SWTL Master Plan will adequately serve planned development south of Harney Lane in a more cost effective manner than proposed in the 2012 Wastewater Master Plan; and WHEREAS, the improvements proposed in the SWTL Master Plan will not serve any areas beyond those areas served by the improvements proposed in the 2012 Wastewater Master Plan; and WHEREAS, the improvements proposed in the SWTL Master Plan will not result in any additional capacity beyond that provided by the improvements in the 2012 Wastewater Master Plan; and WHEREAS, the improvements in the SWTL Master Plan would be located in City street right of way and will eliminate previously planned trunk lines that would be located in agricultural lands and that would have resulted in greater ground disturbance to currently undeveloped lands; and WHEREAS, Section 16152 of the CEQA Guidelines establishes that when a negative declaration has been adopted for a project, no subsequent negative declaration shall be prepared for that project unless the lead agency (City of Lodi) determines one or more of the following exclusions exists: 1. Substantial changes to the project are proposed that involve new significant environmental effects or a substantial increase in the severity of previously identified significant effects; 2. Substantial changes occurred with respect to the circumstances under which the project is undertaken that involve new significant environmental effects or a substantial increase in the severity of previously identified significant effects; 3. New information of substantial importance, which was not known at the time the negative declaration was adopted, shows any of the following: a. The project will have one or more significant effects not discussed in the previous negative declaration; b. Significant effects previously examined will be substantially more severe; C. Mitigation measures or alternatives are identified that would substantially reduce one or more significant effects of the project are found to be feasible and the project proponents decline to adopt the mitigation measures or alternative. WHEREAS, there is no evidence that the exclusions established in Section 15162 of the CEQA Guidelines apply to the amendment to include the improvement of the SWTL Master Plan in the City's 2012 Wastewater Master Plan. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby adopt the Amendment to the 2012 Wastewater Master Plan to include 2018 Amendment to the South Wastewater Trunk Line Master Plan; and BE IT FURTHER RESOLVED that the City Council does hereby approve the 2021 Impact Mitigation Fee Program Final Report and Schedule of Fees, attached hereto as Exhibits 1 and 2. Dated: July 21, 2021 I hereby certify that Resolution No. 2021-213 was passed and adopted by the City Council of the City of Lodi in a regular meeting held July 21, 2021, by the following vote: AYES: COUNCIL MEMBERS — Chandler, Hothi, Khan, Kuehne, and Mayor Nakanishi NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None JENNIF CUSMIR - City Clerk 2021-213 City of Lodi - 2021 IMFP Update Fee Summary Water and Wastewater Fees 5/8 -inch meter $ 1,847.22 $ 2,717.90 3/4 -inch meter $ 2,757.04 $ 4,056.57 1 -inch meter $ 4,604.26 $ 6,774.47 1 1/2 -inch meter $ 9,180.94 $ 13,508.38 2 -inch meter $ 14,695.02 $ 21,621.52 3 -inch meter $ 27,570.39 $ 40,565.70 4 -inch meter $ 45,959.85 $ 67,623.02 6 -inch meter $ 91,892.12 $ 135,205.48 8 -inch meter $ 147,032.91 $ 216,336.88 10 -inch meter $ 211,382.21 $ 311,017.22 Transportation, Police, Fire, Parks, General City Facilities, Art in Public Places and Non -Potable Water Fees Transportation $925.00 $502.37 $502.37 $1,558.90 $1,133.13 $576.09 Police $779.62 $656.52 $547.14 $341.94 $547.14 $182.35 Fire $492.67 $414.88 $345.73 $414.10 $662.56 $220.85 Community Park $4,997.98 $4,208.80 $3,507.58 $526.29 $841.66 $280.39 Neighborhood Park $3,480.16 $2,930.66 $2,442.22 $366.33 $586.13 $195.38 General City Facilities $871.69 $734.05 $611.75 $382.32 $611.75 $203.89 Art in Public Places $98.64 $83.06 $69.22 $43.26 $69.22 $23.07 Non -Potable Water $673.83 $545.96 $461.47 $184.41 $189.37 $78.53 Storm Drainage Fees Drainage - Zone 1 $1,709.32 $854.66 $689.20 $17,947.88 $17,947.88 $19,229.87 N/A Drainage - Zone 2 $5,295.14 $2,647.57 $2,135.00 $55,599.01 $55,599.01 $59,570.36 $39,713.58 Electric Utility Fees - Single Phase Panel 200 amps $ 1,353.57 $ 1,561.81 60 amps N/A $ 284.75 N/A 100 amps N/A $ 474.59 N/A 125 amps N/A $ 593.23 N/A 200 amps N/A $ 949.17 N/A 400 amps N/A $ 1,898.34 N/A 600 amps N/A $ 2,847.51 N/A 200 amps $ 1,353.57 $ 1,561.81 $ 3,123.62 400 amps $ 2,707.14 $ 3,123.62 $ 6,247.24 600 amps $ 4,060.71 $ 4,685.43 $ 9,370.86 800 amps $ 5,414.28 $ 6,247.24 $ 12,494.48 1000 amps $ 6,767.84 N/A $ 15,618.10 1200 amps $ 8,121.41 N/A $ 18,741.72 1600 amps $ 10,828.55 N/A $ 24,988.96 2000 amps $ 13,535.69 N/A $ 31,236.20 2500 amps $ 16,919.61 N/A $ 39,045.25 3000 amps $ 20,303.53 N/A $ 46,854.30 1 Applies only to development west of Highway 99 that benefits from the construction of the wastewater trunk line serving the southern area of the City. 0 1 iii Harris & Associates Exhibit 2 FINAL Impact Mitigation Fee Program Update City of Lodi June 8, 2021 Prepared for: City of Lodi County of San Joaquin, California Prepared by: � Harris &Associates Final Report — June 2021 Summary of Responsibilities Description of Item Prepared By Approved By Development Forecast Assignment of Burden to Land Use Project Cost Estimates Lyman Chang, City of Lodi Alison Bouley, Harris & Associates Storm Drain, Transportation, Wastewater Conveyance, Water Supply, Fire, Police, General Facilities, AIPP, Water and Wastewater Treatment Alison Bouley, Harris & Associates Storm Drain, Transportation, Wastewater Conveyance, Water Supply, Fire, Police, General Facilities, AIPP, Water, Non -Potable Water, Electrical Distribution and Parks l./, -V_ � Charles E. Swimley Jr., City of Lodi ako a Charles E. Swimley Jr., City of Lodi Charles E. Swimley Jr., City of Lodi Description of Item Prepared By Approved By�� Development Impact Fee Estimates CK`y� _(__) Alison Bouley, Harris & Associates Charles E. Swimley Jr., City of Lodi Legal Form Approved for Transmittal to City Council Janice MOdich, City of Lodi - ice Magolich, City of Lodi City of Lodi Impact Mitigation Fee Program City of Lodi Impact Mitigation Fee Program Update Table of Contents June 2021 Page i 1. Executive Summary and Introductory Sections...................................................................... 1 Introduction....................................................................................................................... 1 Purposeof IMFP................................................................................................................ 1 Vacant Land Description.................................................................................................... 2 Summary of Proposed Fees............................................................................................... 3 Fee Adjustment Procedures.............................................................................................. 4 Nexus Requirement Summary.......................................................................................... 4 Lodi Municipal Code Amendments................................................................................... 5 Citycontributions.............................................................................................................. 5 2. Development Assumptions..................................................................................................... 8 Population......................................................................................................................... 8 Land Use Categories and Density Assumptions................................................................ 9 Vacant Land Inventory...................................................................................................... 9 3. Impact Fee Methodology...................................................................................................... 13 DUEFactors..................................................................................................................... 13 CostEstimates................................................................................................................. 14 Mark-Up Assumptions..................................................................................................... 14 Land Acquisition Assumptions........................................................................................ 15 FeeMethodology............................................................................................................ 15 Plan -Based Fee Methodology.......................................................................................... 15 Standard -Based Fee Methodology.................................................................................. 16 Credits and Reimbursement Policies.............................................................................. 18 LandUses......................................................................................................................... 18 4. Water.....................................................................................................................................20 Background...................................................................................................................... 20 Facilitiesand Costs.......................................................................................................... 20 Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page ii Dwelling Unit Equivalents................................................................................................ 21 FeeMethodology............................................................................................................ 22 Surface Water Treatment Component............................................................................ 22 New Water Supply Facilities Component........................................................................ 24 Total Water Impact Mitigation Fee................................................................................. 24 FeeSchedule.................................................................................................................... 25 NexusRequirements....................................................................................................... 25 5. Non -Potable Water ......................................... Background ............................................... Facilities and Costs ................................... Dwelling Unit Equivalents ......................... Fee Methodology ..................................... Fee Schedule ............................................. Nexus Requirements ................................ ................................................................... 27 ................................................................... 27 ................................................................... 27 ................................................................... 28 ................................................................... 29 ................................................................... 30 ................................................................... 30 6. Wastewater........................................................................................................................... 32 Wastewater Treatment Plant.......................................................................................... 32 Background...................................................................................................................... 32 Facilitiesand Costs.......................................................................................................... 32 Dwelling Unit Equivalents................................................................................................ 33 FeeMethodology............................................................................................................ 33 FeeSchedule.................................................................................................................... 35 Nexus Requirements....................................................................................................... 36 South Wastewater Trunk Line......................................................................................... 38 Background...................................................................................................................... 38 Facilitiesand Costs.......................................................................................................... 38 Dwelling Unit Equivalents................................................................................................ 40 FeeMethodology............................................................................................................ 40 FeeZones......................................................................................................................... 41 FeeSchedule.................................................................................................................... 43 Nexus Requirements....................................................................................................... 43 Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page iii 7. Storm Drainage...................................................................................................................... 45 Background...................................................................................................................... 45 Facilitiesand Costs.......................................................................................................... 45 Dwelling Unit Equivalents ................................................................................................ 48 FeeMethodology............................................................................................................ 49 FeeSchedule.................................................................................................................... 50 NexusRequirements....................................................................................................... 51 8. Transportation....................................................................................................................... 53 Background...................................................................................................................... 53 Facilitiesand Costs.......................................................................................................... 53 Dwelling Unit Equivalents................................................................................................ 55 FeeMethodology............................................................................................................ 56 FeeSchedule.................................................................................................................... 56 NexusRequirements....................................................................................................... 57 9. Police......................................................................................................................................59 Background...................................................................................................................... 59 Facilitiesand Costs.......................................................................................................... 59 Level Of Service Standard................................................................................................ 59 Dwelling Unit Equivalents................................................................................................ 60 FeeMethodology............................................................................................................ 60 FeeSchedule.................................................................................................................... 64 Nexus Requirements....................................................................................................... 64 10. Fire......................................................................................................................................... 66 Background...................................................................................................................... 66 Facilitiesand Costs.......................................................................................................... 66 Level of Service Standard................................................................................................ 68 Dwelling Unit Equivalents................................................................................................ 68 FeeMethodology............................................................................................................ 69 FeeSchedule.................................................................................................................... 70 Nexus Requirements....................................................................................................... 71 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page iv 11. Community Parks................................................................................................................... 73 Background...................................................................................................................... 73 Facilitiesand costs........................................................................................................... 73 Level of Service Standard................................................................................................ 74 Dwelling Unit Equivalents................................................................................................ 75 FeeMethodology............................................................................................................ 75 FeeSchedule.................................................................................................................... 76 NexusRequirements....................................................................................................... 77 12. Neighborhood Parks..............................................................................................................79 Background...................................................................................................................... 79 Facilitiesand Costs.......................................................................................................... 79 Dwelling Unit Equivalents................................................................................................ 81 FeeZones......................................................................................................................... 82 FeeMethodology............................................................................................................ 84 FeeSchedule.................................................................................................................... 85 Nexus Requirements....................................................................................................... 85 13. Electric Utility......................................................................................................................... 87 Background...................................................................................................................... 87 Facilitiesand Costs.......................................................................................................... 87 Dwelling Unit Equivalents................................................................................................ 89 FeeMethodology............................................................................................................ 90 FeeSchedule.................................................................................................................... 91 Nexus Requirements....................................................................................................... 93 14. General City Facilities............................................................................................................ 95 Background...................................................................................................................... 95 Facilitiesand Costs.......................................................................................................... 95 Level of Service Standard................................................................................................ 96 Dwelling Unit Equivalents................................................................................................ 97 FeeMethodology............................................................................................................ 98 FeeSchedule.................................................................................................................... 99 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page v Nexus Requirements....................................................................................................... 99 15. Art in Public Places.............................................................................................................. 101 Background.................................................................................................................... 101 Facilitiesand Costs........................................................................................................ 101 Level of Service Standard.............................................................................................. 102 Dwelling Unit Equivalents.............................................................................................. 103 FeeMethodology.......................................................................................................... 104 FeeSchedule.................................................................................................................. 104 Nexus Requirements..................................................................................................... 105 16. Implementation and Administration................................................................................... 107 Implementation............................................................................................................. 107 FeeAdjustments............................................................................................................ 107 Fee Program Administrative Requirements.................................................................. 107 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page vi Tables and Figures Table 1-1: Water and Wastewater Fees......................................................................................... 3 Table 1-2: Transportation, Police, Fire, Parks, General City Facilities, Art in Public Places and Non -Potable Water Fees................................................................................................................. 3 Table 1-3: Storm Drainage Fees...................................................................................................... 3 Table 1-4: South Wastewater Trunk Line Fees............................................................................... 3 Table 1-5: Electric Utility Fees......................................................................................................... 4 Table 1-6: City Contributions.......................................................................................................... 6 Table 2-1: Residential Density Assumptions................................................................................... 8 Table 2-2: Projected Citywide Population Increase........................................................................ 9 Table 2-3: Population Density by Land Use Category..................................................................... 9 Table 2-4: Projected Citywide Non -Residential Development..................................................... 10 Figure 2-1: 2035 Projected Housing Development....................................................................... 11 Figure 2-2: Non -Residential Growth Forecast.............................................................................. 12 Table 3-1: Demand Variable by Fee Component.......................................................................... 13 Table 3-2: Summary of Facilities Costs......................................................................................... 14 Table 3-3: Mark-Up Assumptions................................................................................................. 15 Table 4-1: Surface Water Treatment and Storage Costs.............................................................. 20 Table 4-2: Hydraulic Capacity Factors for Various Meter Sizes .................................................... 21 Table 4-3: Water Dwelling Unit Equivalents of Future Non -Residential Development 1 ............ 22 Table 4-4: Water Dwelling Unit Equivalents of Future Residential Development ....................... 22 Table 4-5: Surface Water Treatment Component Calculation..................................................... 23 Table 4-6: New Water Supply Facilities Component Calculation ................................................. 24 Table 4-7: Proposed Water System Impact Mitigation Fee Summary ......................................... 24 Table 4-8: Proposed Water System Impact Mitigation Fee Schedule .......................................... 25 Table 5-1: Non -Potable Water Distribution Costs........................................................................ 28 Table 5-2: Estimated Non -Potable Water Demand for Various Land Uses .................................. 29 Table 5-3: Non -Potable Water Dwelling Unit Equivalents of Future Non -Residential Development................................................................................................................................. 29 Table 5-4: Proposed Non -Potable Water Impact Mitigation Fee Schedule ................................. 30 Table 6-1: Wastewater Treatment Impact Mitigation Fee Calculation ........................................ 34 Table 6-2: Proposed Wastewater Treatment Plant Impact Mitigation Fee Schedule .................. 35 Figure 6-1: Wastewater Facilities Through 2035.......................................................................... 39 Table 6-3: South Wastewater Trunk Line Costs............................................................................ 40 Table 6-4: Dwelling Unit Equivalents............................................................................................ 40 Table 6-5: South Wastewater Trunk Line Fee Calculation per DUE ............................................. 41 Figure 6-2: Wastewater Fee Zones............................................................................................... 42 Table 6-6: South Wastewater Trunk Line Fee Schedule............................................................... 43 Figure 7-1: Storm Drain Fee Zones............................................................................................... 47 Table 7-1: Zone 1 Cost Summary.................................................................................................. 48 Table 7-3: Storm Drainage Dwelling Unit Equivalents.................................................................. 49 Table 7-4: Storm Drainage Fee per DUE Calculation.................................................................... 50 Table 7-5: Zone 1 Storm Drainage Fees........................................................................................ 51 Table 7-6: Zone 2 Storm Drainage Fees........................................................................................ 51 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page vii Table 8-1: Transportation Cost Summary..................................................................................... 55 Table 8-2: Calculation of Dwelling Unit Equivalent (DUE) Factors ............................................... 56 Table 8-3: Transportation Cost per DUE Calculations.................................................................. 56 Table 8-4: Transportation Fees..................................................................................................... 57 Table 9-1: Police Cost Summary................................................................................................... 59 Table 9-2: Police Facilities Dwelling Unit Equivalents.................................................................. 60 Table 9-3: Police Station Cost to Spread to New Development................................................... 62 Table9-5: Police Fees.................................................................................................................... 64 Table 10-1: Fire Facilities Costs..................................................................................................... 67 Table 10-2: Fire Facilities Dwelling Unit Equivalents.................................................................... 68 Table 10-3: Fire Station Persons Served....................................................................................... 69 Table 10-4: Fire Fee per DUE and per Employee.......................................................................... 70 Table10-5: Fire Fees.....................................................................................................................70 Table 11-1: Community Park Facilities Costs................................................................................ 74 Table 11-2: Park Service Standards............................................................................................... 74 Table 11-3: Community Parks Dwelling Unit Equivalents............................................................ 75 Table 11-4: Community Park Fees per DUE.................................................................................. 76 Table 11-5: Community Park Fees................................................................................................ 76 Figure 12-1: Neighborhood Park Facilities Through 2035............................................................ 80 Table 12-1: Neighborhood Parks Costs......................................................................................... 81 Table 12-2: Neighborhood Park Dwelling Unit Equivalents......................................................... 82 Figure 12-2: Parks Fee Zones........................................................................................................ 83 Table 12-3: Neighborhood Parks Fee Calculation per DUE .......................................................... 84 Table 12-4: Neighborhood Parks Fee Schedule............................................................................ 85 Table 13-1 LEU 230KV Intertie Cost Allocation............................................................................. 87 Table 13-2: Electric Utility Costs................................................................................................... 89 Table 13-3: Electric Utility Dwelling Unit Equivalents.................................................................. 90 Table 13-5: Electric Utility DUEs by Maximum Load Capacity...................................................... 92 Table 13-6: Electric Utility Fees..................................................................................................... 92 Table 14-1: General City Facilities Costs....................................................................................... 96 Table 14-2: General City Facilities Dwelling Unit Equivalents...................................................... 97 Table 14-3: General City Facilities Fee per DUE............................................................................ 98 Table 14-4: General City Facilities Fees........................................................................................ 99 Table 15-1: Existing Art in Public Places..................................................................................... 102 Table 15-2: Art in Public Places Dwelling Unit Equivalents........................................................ 104 Table 15-3: Art in Public Places Fee............................................................................................ 104 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 1 1. EXECUTIVE SUMMARY AND INTRODUCTORY SECTIONS INTRODUCTION The City of Lodi (City) is located in the San Joaquin Valley, approximately 10 miles north of Stockton and 35 miles south of Sacramento. Incorporated in 1906, the City has grown to a current population of more than 64,000. Corresponding to this population growth, the San Joaquin Council of Government estimates that there are approximately 26,000 jobs in the City. The City's growth is provided for in both the General Plan and the City's Growth Ordinance (LMC 15.34) that allows for an increase in population of 2% per year. Increased population and employment in the City will lead to increased demand for public infrastructure and services and will ultimately impact infrastructure and the facilities required to provide such services. Where backbone infrastructure and capital facilities are inadequate, permitting development is contrary to the responsibility of local government to protect the public's health, safety, and welfare. Consequently, the City has planned for construction and expansion of backbone infrastructure and capital facilities that will adequately serve current and future development anticipated through 2035. Funding for these facilities will come from several sources, including the City's Impact Mitigation Fee Program (IMFP); federal, state and local programs; developer contributions; and other funding sources. The IMFP Fees discussed in this report will apply to all future growth within the City projected through 2035. PURPOSE OF IMFP As new development occurs within the City, new backbone infrastructure and capital facilities will be required to meet the demands from future development. Backbone infrastructure and capital facilities will be funded through the City's IMFP, which will contain separate fee categories for each type of infrastructure and capital facility not constructed by new development. The IMFP will apply to all future growth anticipated through 2035, except where otherwise noted in this report. The infrastructure and capital facility impact fee categories incorporated in this report include: • Water Fee; • Wastewater Fee; • Non -Potable Water Fee; • Storm Drainage Fee; • Transportation Fee; • Police Fee; • Fire Fee; • General City Facilities Fee; • Community and Neighborhood Park Fee; • Electric Utility Fee; and • Art in Public Places Fee. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 2 In 2012, the City retained a team of consultants, including Harris and Associates, Goodwin Consulting Group, Inc., Fehr & Peers, The Reed Group, and Vallier Design Associates, to assist with the update of the IMFP. The fees in the IMFP were implemented by the Lodi City Council under Resolution 2012-142. This resolution included an approximately 60% reduction of fees for low and medium density zoning designations to financially incentivize the development of new residential housing units. In 2013 the Lodi City Council adopted Resolution 2013-187 which established a neighborhood parks impact fee which is designed to fund neighborhood parks for new residential development west of Lower Sacramento Road and revised the storm drainage portion of the IMFP to create a second storm drainage zone in the area west of Lower Sacramento Road. Previously, the infrastructure funded by both of the newly established fees was required to be built and dedicated by the developers. Subsequently, in October of 2016, the Lodi City Council passed Resolution 2016-188 at the recommendation of City staff which eliminated the approximately 60% reduction of fees for low and medium density zoning designations and in -fill projects of more than ten lots. At this time, Harris and Associates has been retained by the City of Lodi to update the IMFP. This document summarizes the changes made to the fee program and makes the findings required under AB1600. VACANT LAND DESCRIPTION Harris and Associates in conjunction with city staff, reviewed the vacant land within the City and the development assumptions utilized in the 2012 IMFP. Based on this review, Harris confirmed that both the residential and non-residential growth forecasts established in 2012 were accurate and still relevant. These forecasts developed for the 2012 IMFP continue to form the basis for the analysis presented in this report and are a critical assumption in the determination of infrastructure requirements. The land that has developed since 2012 or that has since entered into a development agreement, has generally been removed from the remaining vacant land calculations. In the following sections, we describe in detail how each fee was updated. As forecasted in the 2012 report, development in Lodi was significantly below historical averages from 2012 to 2015. Between 2015 and 2017, an average of 200 residential units were developed annually. Since 2017, development has gradually increased and has returned to the historical average of 240 units per year and is expected to continue through build -out. A total of 3,325 low density residential units, 208 medium density residential units residential units are expected to develop between 2021 and 2035. Non-residential growth was estimated based on vacant land within the City. It is estimated that by 2035 approximately 2 million square feet of industrial space, approximately 600,000 square feet of retail, approximately 530,000 square feet of office, and approximately 68,000 square feet of medical will develop. A more detailed description of this analysis is included in Section 2. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program SUMMARY OF PROPOSED FEES Tables 1-1 through 1-5 summarize the fees for each component in the IMFP. Table 1-1: Water and Wastewater Fees 5/8 -inch meter $ 1,847.22 $ 2,717.90 3/4 -inch meter $ 2,757.04 $ 4,056.57 1 -inch meter $ 4,604.26 $ 6,774.47 1 1/2 -inch meter $ 9,180.94 $ 13,508.38 2 -inch meter $ 14,695.02 $ 21,621.52 3 -inch meter $ 27,570.39 $ 40,565.70 4 -inch meter $ 45,959.85 $ 67,623.02 6 -inch meter $ 91,892.12 $ 135,205.48 8 -inch meter $ 147,032.91 $ 216,336.88 10 -inch meter $ 211,382.21 $ 311,017.22 June 2021 Page 3 Table 1-2: Transportation, Police, Fire, Parks, General City Facilities, Art in Public Places and Non -Potable Water Fees Transportation $925.00 $502.37 $502.37 $1,558.90 $1,133.13 $576.09 Police $779.62 $656.52 $547.14 $341.94 $547.14 $182.35 Fire $492.67 $414.88 $345.73 $414.10 $662.56 $220.85 Community Park $4,997.98 $4,208.80 $3,507.58 $526.29 $841.66 $280.39 Neighborhood Park $3,480.16 $2,930.66 $2,442.22 $366.33 $586.13 $195.38 General City Facilities $871.69 $734.05 $611.75 $382.32 $611.75 $203.89 Art in Public Places $98.64 $83.06 $69.22 $43.26 $69.22 $23.07 Non -Potable Water 5673.83 5545.96 5461.47 5184.41 5189.37 578.53 Table 1-3: Storm Drainage Fees Table 1-4: South Wastewater Trunk Line Fees 1 Applies only to development west of Highway 99 that benefits from the construction of the wastewater trunk line serving the southern area of the City. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 4 Table 1-5: Electric Utility Fees Single Phase Panel 0: Volts 1,353.57 240 Volts 480 Volts 60 amps N/A $ 284.75 N/A 100 amps N/A $ 474.59 N/A 125 amps N/A $ 593.23 N/A 200 amps N/A $ 949.17 N/A 400 amps N/A $ 1,898.34 N/A 600 amps N/A $ 2,847.51 N/A Electric Utility Fees - Three Phase Panel 200 amps $ 1,353.57 $ 1,561.81 $ 3,123.62 400 amps $ 2,707.14 $ 3,123.62 $ 6,247.24 600 amps $ 4,060.71 $ 4,685.43 $ 9,370.86 800 amps $ 5,414.28 $ 6,247.24 $ 12,494.48 1000 amps $ 6,767.84 N/A $ 15,618.10 1200 amps $ 8,121.41 N/A $ 18,741.72 1600 amps $ 10,828.55 N/A $ 24,988.96 2000 amps $ 13,535.69 N/A $ 31,236.20 2500 amps $ 16,919.61 N/A $ 39,045.25 3000 amps S 20.303.53 N/A S 46.854.30 FEE ADJUSTMENT PROCEDURES The fees may be adjusted in future years to reflect revised facility requirements, receipt of funding from alternative sources (i.e., state or federal grants), revised facilities or costs, or changes in demographics or the land use plan. In addition, the fees will be adjusted each year by the Engineering News Record (ENR) 20 -city average Construction Cost Index (CCI). The fee categories summarized in the IMFP may not be applicable to specialized development projects in the City. For example, development of a cemetery, golf course, or stadium would not fall under any of the fee categories in this study. For specialized development projects with the exception of accessory dwelling units (ADU), the City will review the impacts and decide on the applicable fee. An ADU is a second unit on the same lot that is attached or detached from a residential unit. Per Assembly Bill No. 881(AB881) fees cannot be charged for an ADU that is less than 750 square feet. For an ADU that is 750 square feet or larger, an ADU will pay a percentage of the residential fee based on the square footage of the ADU in proportion to the primary dwelling unit. NEXUS REQUIREMENT SUMMARY Assembly Bill (AB) 1600, which was enacted by the State of California in 1987, created Mitigation Fee Act - Section 66000 et seq. of the Government Code. The Mitigation Fee Act requires that all public agencies satisfy the following requirements when establishing, increasing, or imposing a fee as a condition of approval of a development project: 1. Identify the purpose of the fee. 2. Identify the use to which the fee is to be put. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 5 3. Determine how there is a reasonable relationship between: A. The fee's use and the type of development project on which the fee is imposed. B. The need for the public facility and the type of development project on which the fee is imposed. C. The amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. As stated above, the purpose of this IMFP report is to demonstrate that all fee components of the updated IMFP comply with the Mitigation Fee Act. The assumptions, methodologies, facility standards, costs, and cost allocation factors that were used to establish the nexus between the fees and the development on which the fees will be levied are summarized in subsequent sections of this report. LODI MUNICIPAL CODE AMENDMENTS The following section of the Lodi Municipal Code will need to be amended to implement the changes included in the IMFP: 15.64 — Development Impact Mitigation Fees (entire chapter) The changes included in the IMFP leading to the need to amend the Lodi Municipal Code are described below: 1. The Non -Potable Water IMF fee will be a stand-alone fee. 2. Update to refer to the 2021 fee study 3. Neighborhood Park fees collected due to under developed parks will be used per the City's discretion to construct ancillary neighborhood park and trail improvements to accommodate new development. CITY CONTRIBUTIONS As stated previously in the Purpose of the IMFP, the City instituted a fee reduction for all residential land uses in 2012 with Resolution 2012-141. This resolution, lowering fees by approximately 60%, was adopted to incentivize residential development during economic instability as the state and nation recovered from the Great Recession. In October 2016 the City, at the request of City Staff, passed Resolution 2016-188 which eliminated the fee reductions for low density and medium density zoning designations and in -fill projects of more than ten lots. In the approximately 4 years that Resolution 2012-141 was in effect, the City of Lodi experienced a significant inflow of residential development projects. Three of these development projects, Rose Gate, Reynolds Ranch and Van Ruiten Ranch (now referred to as Villa Fiore), were encompassed by developer agreements with the City that entitled the residential units to pay the reduced fees in effect at the time of the agreement. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 6 By reducing the IMFP fees, the City successfully incentivized development during a time of economic hardship. However, the IMFP fees not collected from these development projects cannot be spread to future development, as this would overburden future development. The fees that were not collected, herein described as "Fees Lost", have to be funded from sources outside the IMFP. Based on the residential units that were developed under the reduced fees established by Resolution 2012-141, the total Fees Lost to be funded by other sources is shown in Table 1-6 The City of Lodi is responsible for ensuring that this shortfall is funded through other sources including but not limited to, general fund monies and grants. The City has contributed approximately $6 million (59 percent of the total required contributions) to date through general fund contributions, grant procurement and other sources. A summary of the City's required contributions, contributions to date, and contributions remaining is presented in Table 1-6. Table 1-6: City Contributions Water Treatment i $ 1,748,331.20 $ 1,748,331.20 $ - Water Supply 522,228.80 522,228.80 Wastewater Z 3,091,170.00 3,091,170.00 - Transportation 408, 229.00 408, 229.00 Police 475,975.00 - 475,975.00 Fire 3 - - - Community Park 4 2,461,233.00 881,339.20 1,579,893.80 Neighborhood Park - - - General City Facilities 5 390,647.00 274,509.00 116,138.00 Art in Public Places 50,186.00 - 50,186.00 South Wastewater Trunk Line 398,786.00 - 398,786.00 Non -Potable Water - - - Storm Drainage - - - Electrical Utilities 604,660.00 - 604,660.00 Total $ 10,151,446.00 $ 5,995,349.40 $ 4,156,096.60 lAccounts for the $1.7 million paid from other sources and the approximatey $16 million 2020 Refunding Water Revenue Bonds, Series A. 2Accounts for the $3.7M Wastewater Storage Pond Project apportioned to existing and new development (46.7% based on the allocation of wastewater costs between existing development and additional capacity for new development. See Table 6-1) and remaining $1.3 million has been paid from sources outside the IMFP. 3The City funded the expansion of Fire Station #2 with general fund monies, new developments is reimbursing their fair share of the expansion through the IMFP. 4Accounts for the $881,339.20 Lodi Lake Boat Dock Improvements and DeBenedetti Park Improvements. 5Accounts for the $274,509.00 Children's Section Expansion of the Library. The City of Lodi has reimbursed the IMFP for a portion of the shortfall created by Resolution 2012-141 through general fund contributions, grant funding and other sources. However, the City is required to contribute an additional $4.1 million (41 percent of the total required Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 7 contributions) in order to ensure that all projects described in the IMFP are adequately funded and future development is only paying their fair share. The City will continue to seek other funding sources to compensate for the "Fees Lost" as a result of the fee reduction established by Resolution 2012-141. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 8 2. DEVELOPMENT ASSUMPTIONS POPULATION The City adopted a Growth Ordinance (LMC 15.34) in 1991 that restricts the number of housing units approved by the City to no more than a 2% annual population growth. The Growth Ordinance provides for an additional allocation by residential land use category of approximately 65% Low Density, 10% Medium Density and 25% for High Density. The Growth Ordinance is not seen as a constraint to residential development as the 2005 allocation translated to a maximum of 450 new units, which is well above the anticipated residential development forecast. In addition, unallocated permits are allowed to roll into future years; there were 3,268 unused permits available prior to 2007. Table 2-1 shows the residential density assumptions that were applied in estimating population projections for the IMFP update. These assumptions have not been updated since the 2012 IMFP Nexus Study. Table 2-1: Residential Density Assumptions Population Density, - Land Use Person/Dwelling Unit' DensityLow -• Density 2.40 High Density 2.00 1 Derived from the 2000 census and California Department of Finance, Population Research Unit. The citywide residential forecast in Table 2-2 shows the anticipated population increase from 2020 to 2035 and summarizes the residential units anticipated to develop. This forecast was developed as part of the 2012 IMFP in conjunction with local residential developers and the forecast has held true to the consensus that development would not return to its historical annual levels until 2019. Due to Resolution 2012-141, a number of development projects were locked into the approximately 60% fee reduction. Table 2-2 shows the Dwelling Units included in the IMFP as "New Dwelling Units". Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 9 Table 2-2: Projected Citywide Population Increase --v-opuiation increase Low Density Medium Density High Density Population Dwelling Units n/a Medium Density 8-20 (LDR) (MDR) (HDR) Increase New Dwelling Units 3,325 308 0 10,216 Total Dwelling Units 3,325 308 0 10,216 LAND USE CATEGORIES AND DENSITY ASSUMPTIONS Table 2-3 provides a summary of development densities and site coverages based on the Lodi General Plan. This table includes a summary of expected development densities and site coverage and these assumptions were used during the IMFP update process. Table 2-3: Population Densitv by Land Use Cat Residential' Low Density 2-8 n/a 6 n/a Medium Density 8-20 n/a 15 n/a High Density 15-35 n/a 2S n/a Non-Residentia12 General Commercial n/a 0.6 n/a 0.25 Office n/a 0.6 n/a 0.30 Business Park n/a 1 n/a 0.40 Industrial n/a 0.6 n/a 0.40 Mixed Use Downtown Mixed Use 8-35 3 20 1.0 Mixed Use Corridor 2-35 1.2 20 1.0 Mixed Use Center 8-35 1 20 1.0 1 Residential density expressed in dwelling units per net acre Z Non-residential FAR expressed in terms of gross building sq ft per net acre. 3 IMFP fees on Mixed Use development will be imposed based on the underlying Residential or Non -Residential development that is part of the Mixed Use project. VACANT LAND INVENTORY Figure 2-1 shows the spatial allocation of the residential forecast that was prepared as part of the 2012 IMFP. This forecast examined projects in the pipeline and the available vacant land that would be efficient extensions of development. The phasing for residential land uses was developed with input from the residential development community and the City Manager/Community Development Director. As part of the 2021 IMFP update, Harris and Associates in conjunction with City Staff compared the actual development from 2012 to 2020 to the 2012 forecast and determined that the 2012 assumptions were accurate. Development Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 10 forecasts from the 2012 IMFP have been updated to remove development that occurred between 2012 and 2020 and to account for projects in the development pipeline. Projected non-residential development has been estimated in 5 year increments by the City and is shown in Table 2-4. Table 2-4: Proiected Citywide Non -Residential Development 2020-24 800.00 215.00 275.27 331.00 77.00 1698.27 2025-29 707.00 109.00 90.00 906.00 2030-35 714.00 100.00 814.00 Total 2221.00 215.00 384.27 521.00 77.00 3418.27 1 Includes 100,000 SF of Mixed Use Corridor Major Retail. 2 Includes 70,000 SF of Mixed Use Corridor Office. Figure 2-2 shows the initial phasing and spatial allocation of the non-residential forecast that was prepared during the 2012 IMFP study by examining projects in the pipeline and the available vacant land. The non-residential phasing was developed with input from the City Manager/Community Development Director. Similarly to the residential forecast, the actual development from 2012 to 2020 was compared to the development forecast and it was determined that the 2012 assumptions and forecast were accurate. Development forecasts from the 2012 IMFP have been updated to remove development that occurred between 2012 and 2020 and to account for projects in the development pipeline. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Figure 2-1: 2035 Projected Housing Development June 2021 Page 11 01 RIVER LAKF — R4 = L11 E> oRo sr :• '... RWr. iz L� rr Jim LRNE 57 -� RIM 'Tul ��I= PI • — - [ Lo�1 A c.c.r. — a � 7111'.av sr I1V114h ST 1� x � ll N ff .—Ile KETTLEMAN LN I °7 - ig TE r- Vn:F9c7: N y� y ..�f.r. � Cyt InW — Figure 2-1 2035 PROJECTED HOUSING DEVELOPMENT 0 7e1A 318 V2 MILE COVERAGE AREA MAP O 1000 2000 3000 FEET INDICATES' PROJECTED i; HOUSING DEVELOPMENT DEVELOPMENT PHASE 2 CITY LIMITS (2008) FROM 2022 THRU 2035 ®INDICATES MEDIUM DOWNTOWN MIXED USE DENSITY HOUSING DEVELOPMENT DEVELOPMENT PHASE 3 MIXED USE CORRIDOR I4D UNITS TYP) DEVELOPMENT PHASE 1 ❑ URBAN RESERVE FUTURE PARKS z Lodi IMFP Final Draft Report Harris & Associates rH 0 E City of Lodi June 2021 Impact Mitigation Fee Program Page 13 3. IMPACT FEE METHODOLOGY When impact fees are imposed, a fee report must demonstrate that logical and thorough consideration was applied in determining that the fees correspond to the impacts created by new development. Various findings must be made to ensure that a reasonable relationship exists between the fee and the cost of the facility or portion of the facility attributable to new development on which that impact fee will be levied. DUE FACTORS A Dwelling Equivalent Unit (DUE) is a factor that quantifies the facilities demand of different land use types in terms of their equivalence to a low density residential unit. A low density residential unit is assigned a DUE factor of 1.0 and the DUE factor for each of the other land use categories is determined based on the anticipated demand for each land use category relative to the anticipated demand for a low density residential unit. Demand is measured differently for each component of the IMFP. Demand variables are assigned to future development based on industry practice for each component of the IMFP as shown in Table 3-1. Table 3-1: Demand Variable by Fee Component Water Hydraulic Capacity Factor Non -Potable Water Demand Factor Wastewater Generation Rate Storm Drainage Runoff Coefficient Transporation Trip Generation Police Persons Served Fire Persons Served Parks Persons Served Electric Utility Load Factor (kVA) General City Facilities Persons Served Art in Public Places Persons Served For example, demand for police facilities is based on the potential number of persons served. If a low density residential unit is assumed to have 2.85 persons per household, then a low density residential unit would equal 2.85 persons served and have a DUE of 1.0. A medium density residential unit with an average of 2.40 persons per household would generate 2.40 persons served. By dividing 2.40 by 2.85, a DUE factor of approximately 0.84 is calculated for a medium density residential unit. The number of persons served is derived from a persons per household factor for residential land uses and the number of employees per 1,000 building square feet for non-residential land uses. The persons per household and employees per 1,000 building square feet assumptions are derived from population figures from the Census Bureau and common industry -related employee density averages. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 14 COST ESTIMATES Facility cost estimates for each component of the IMFP have been revised to reflect either recent unit prices or escalated based on the ENR CCI or U.S. Bureau of Labor Statistics Consumer Price Index (CPI). Cost estimates for the components of the non -potable water fee have been developed by City staff. These facility cost estimates have been prepared utilizing current cost data as well as recent bids for similar projects. A summary of the costs for each component included in the IMFP is presented in Table 3-2. Table 3-2: Summary of IMFP Costs wit Iri_1tl11NP111=111 11'/lrrZ!111 11116 Water Treatment $ 71,760,788.00 Water Supply 4,005,536.83 Wastewater Treatment 46,650,507.06 Wastewater Conveyance 4,374,844.30 Non -Potable Water 2,790,990.00 Storm Drainage Zone 1 3,640,856.66 Storm Drainage Zone 2 16,616,161.70 Transportation 6,004,151.25 Police 3,696,161.77 Fire 2,857,654.00 Community Parks 19,303,461.63 Neighborhood Parks 11,428,855.06 Electric Utility 6,554,993.85 General City Facilities 4,132,679.69 Art in Public Places 467,552.91 Notes: IMFP Funding is the total amount required to be collected from new development to complete projects included in the IMFP. IMFP Funding includes fund balances collected to date. Additional facility cost details and funding from other revenue sources are provided in the following sections of this report and are not included in the previous table. MARK-UP ASSUMPTIONS In order to properly capture the City's full cost to design, build, and manage the projects required by new development, it is necessary to include soft costs in preparing the estimates. While the mark-ups can vary widely from one project to the next, the mark-ups shown in Table 3-3 represent average and realistic assumptions and were used in calculating the costs included in this study. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 15 Table 3-3: Mark-Up Assumptions Contingency 20% Design & Environmental 10% Construction Management 5% City Administration & Plan Checking 5% LAND ACQUISITION ASSUMPTIONS For some of the facilities, it will be necessary for the City to purchase land. In these cases, the cost of land acquisition was included in the IMFP and estimated by City Staff at $200,000 per acre. This cost assumes not only land acquisition, but also other costs the City may incur, such as mapping or legal fees. Should a developer dedicate land for a project that includes a land acquisition cost in the program, they would be subject to a credit or a reimbursement at the actual purchase price of the land or the amount assumed in the IMFP, whichever is less. FEE METHODOLOGY There are several methodologies used to determine impact fees for new development. The choice of the methodology to use depends on the type of facility for which an impact fee is being calculated as well as the availability of documentation and research conducted in support of the fee. Following is a discussion of the two methodologies used to calculate the separate impact fee components in this report. PLAN -BASED FEE METHODOLOGY The plan -based fee methodology is used for facilities that must be designed based on multiple considerations, including, but not limited to, future demand projections, geographic location of anticipated growth, and potential development constraints. For example, the need for transportation -related improvements depends specifically on the projected number of trips that must be accommodated. The City must first analyze existing facilities, geographic constraints, and current and required levels of service in order to identify future facility needs. This information is analyzed in conjunction with a projection of the amount and location of future development in order to determine the adequacy of existing facilities and the demand for new improvements. The steps to calculate a component of the IMFP under the plan -based fee methodology include the following: Step 1. Determine the future development, by land use category and location, anticipated within the City through 2035. Step 2. Determine facilities needed to serve anticipated growth and, if necessary, the existing development in the City. Step 3. Estimate the gross cost of facilities needed to serve the current and future City population and determine that portion of the cost for which only future growth will be responsible. Exclude the cost from the fee calculation of any Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program improvements that will cure existing deficiencies. June 2021 Page 16 Step 4. Subtract expected revenues that will be available from alternative funding sources, if any, and any fee fund balances to determine the net facilities cost that will be allocated to future development. Step S. Identify the demand variable (e.g., trips generated, runoff coefficient, persons served, etc.) that will be used to allocate facility costs on a fair -share basis to each future land use category. Step 6. Determine the dwelling unit equivalent factor for each land use category based on the applicable demand variable. Step 7. Calculate the total DUES that will be generated from future development for all land use categories by multiplying each land use type by its DUE factor and taking the sum of the DUES. Step 8. Divide the total cost to spread to new development by the total DUES for all future land uses to determine the cost share attributable to each DUE. Step 9. Multiply the cost share attributable per each DUE by the DUE factor for each land use to determine the cost share attributable to each land use category. This cost share for each land use category is the fee to be paid by new development of that respective land use. The plan -based impact fee calculation methodology was used in this IMFP to calculate the water, non -potable water, wastewater, storm drainage, transportation, police, fire, electrical utility, and general city facilities fee components. STANDARD -BASED FEE METHODOLOGY The standard -based methodology is used when a consistent facility service level standard is to be applied to new development (i.e., per 1,000 residents) regardless of the total future projected development or geographic location of development. The standard to be used in calculating impact fees under this methodology may be based on an existing standard or a preferred standard that may be presented in the General Plan or a master plan. The steps to calculate a component of the IMFP under the standard -based fee methodology include the following: Step 1. Define the required level of service standard (e.g., park acres per 1,000 residents) expressed in terms of residents, employees, or other standard appropriate for the type of facility for which the fee is being calculated. Step 2. Estimate the future growth and the additional facilities required by multiplying the applicable facility service standard by the future growth projection. Step 3. Determine a facility cost based on current costs; reduce the facility cost by Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 17 alternative funding sources, if applicable. Calculate the net cost of the required additional facilities. Step 4. Identify the demand variable (e.g., persons served) that will be used to allocate facility costs on a fair -share basis to each future land use category. Step S. Determine the dwelling unit equivalent factor for each land use category based on the applicable demand variable. Step 6. Calculate the total DUES that will be generated from future development for all land use categories by multiplying each land use type by its DUE factor and taking the sum of the DUES. Step 7. Divide the total cost to spread to new development by the total DUEs for all future land uses to determine the cost share attributable to each DUE. Step 8. Multiply the cost share attributable per each DUE by the DUE factor for each land use to determine the cost share attributable to each land use category. This cost share for each land use category is the fee to be paid by new development of that respective land use. The standard based fee methodology was used to calculate the park and art in public places fee components of the IMFP. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 18 CREDITS AND REIMBURSEMENT POLICIES The City may provide fee credits or reimbursements to developers who dedicate land or construct facilities. Fee credits or reimbursements may be provided up to the cost of the improvement, as shown in the IMFP, subject to annual ENR CCI inflation adjustments, or the actual cost paid by the developer, whichever is lower. For construction cost overruns, only that amount shown in IMFP, subject to periodic inflation adjustments, would be credited or reimbursed. The City will evaluate the appropriate fee credit or reimbursement based on the value of the dedication or improvement. Credits or reimbursements may be repaid based on the priority of the capital improvements, as determined by the City. The City will determine fee credits and reimbursements on a case by case basis and possibly through the use of a development agreement. LAND USES Nearly all development impact fees in this study have been calculated per dwelling unit for residential land uses and per 1,000 square feet of building space for non-residential land use categories. The only exceptions are fees for water, wastewater, storm drainage, and electric utility. Impact fees for water and wastewater are calculated based on meter size, while electric utility fees are calculated based on the capacity of the electric panel. Finally, storm drainage fees are calculated per dwelling unit for residential land uses and per acre for non-residential land use types. The following land use categories are identified for purposes of the IMFP and are consistent with the City's General Plan: Low Density Residential: includes all single family detached residential development at densities of two to eight units per acre. The fee calculations assume future development occurring at an average density of 6.0 units per acre. Medium Density Residential: includes all residential development at densities of eight to 20 units per acre. A variety of housing types are permitted within this land use type, including detached or attached (i.e., townhomes) single family houses and two or three-story multi -family units. The fee calculations assume future development occurring at an average density of 15.0 units per acre. High Density Residential: includes development of townhomes and stacked multi- family housing at densities of 15 to 35 units per acre. The fee calculations assume future development occurring at an average density of 25.0 units per acre. Commercial: includes large and small-scale retail uses. The fee calculations assume a floor -area -ratio of 0.25. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 19 Office/Medical: Includes administrative, financial, professional, business, and medical office uses. The fee calculations assume a floor -area -ratio of 0.30. Industrial: Includes a mix of heavy manufacturing, warehousing, general service, storage, and distribution uses. The fee calculations assume a floor -area -ratio of 0.40. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 20 4. WATER BACKGROUND Expansion of the City's water service is required to serve planned development areas. The existing Lodi Water Master Plan was adopted in 2012. In the fall of 2010, the City issued $38.7 million in water revenue bonds to help fund the construction of the new surface water treatment facilities necessary to treat and distribute water purchased from the WID. The proposed water system fee outlined in the Water Master Plan is intended to reflect new development's cost of the water treatment facility, including financing costs, as well as costs to integrate the surface water supply into the distribution system. Additional supply facilities include a new 1.5 MG water storage tank and an additional groundwater well to help manage peak demands throughout the distribution system. For water fee calculation purposes, all customers (existing and new) will receive a blended water supply of both groundwater and surface water. The water fee calculation reflects the costs associated with this blended water supply. In the spring off 2020, the City refunded the 2010 Series B bond issuance. This refunding resulted in a total debt service savings of approximately $16.8 million. FACILITIES AND COSTS The City has historically used groundwater to meet its water needs. In 2003, the City entered into an agreement with the Woodbridge Irrigation District (WID) to purchase 6,000 AF per year of WID's pre -1914 Mokelumne River water entitlements. Since the 2012 IMFP, the City has completed the construction of the surface water treatment facility. The actual costs of these facilities are being incorporated into the fees at this time. Additional ancillary facilities are still needed to make use of the WID water supply. The surface water treatment facility was designed to pump up to 11.5 mgd of water from the Mokelumne River, treat this water and deliver it to the City's existing water distribution system. The total cost to plan, design, and construct the surface water treatment facility is shown in Table 4-1. Table 4-1: Surface Water Treatment and Storage Costs Project Description Cost in millions Surface Water Treatment Facility Planning and Design Costs $ 3.97 Surface Water Treatment Facility Construction Costs (Including Financing) $ 50.92 Total Surface Water Treatment Facility Costs $ 54.8.3- Lodi . Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 21 Under terms of the agreement with WID, unused water can be banked for future use. The City is able to utilize 7,200 AF annually under the agreement (including banked water spread over the remaining term of the agreement). For purposes of water fee calculations, this 7,200 AF annual supply limit represents the assumed capacity of treatment facilities. City staff has estimated that the existing groundwater supply provides a safe yield of about 2.3 AF per acre per year. With an estimated residential density of 6 dwelling units per acre, the groundwater supply provides 0.38 AF per DUE. With a water supply requirement of 0.62 AF per DUE, new water treatment facilities will be needed to provide 0.24 AF per DUE. DWELLING UNIT EQUIVALENTS Water demand is expressed in dwelling unit equivalents, which is the estimated average annual water demand for a single family home. For purposes of calculating the water fee, a DUE is equal to a water production requirement of 0.62 AF per year, as described in the preceding paragraph. Most single family residential dwellings are (or will be) equipped with a %-inch water meter as the residential standard. The water fee for 1 DUE will establish the fee for each %-inch water meter. For other meter sizes the amount of the water fee will be proportioned relative to the %- inch meter, and based on the hydraulic capacity of each meter size. Table 4-2 summarizes the hydraulic flow capacities and the corresponding hydraulic capacity factors for a variety of meter sizes. If residential fire sprinkler systems are mandated by the Uniform Building Code a 1 inch meter will be required to accommodate hydraulic losses associated with the sprinkler system. For the purposes of the IMFP, a DUE will be based on a % inch meter size. Table 4-2: Hydraulic Capacity Factors for Various Meter Sizes Meter Size Rated Maximum Flow Capacity (gpm)1 Hydraulic Capacity Factor Z 5/8" meter 20 0.67 3/4" meter 30 1.00 1" meter 50 1.67 1 1/2" meter 100 3.33 2" meter 160 5.33 3" meter 300 10.00 4" meter 500 16.67 6" meter 1,000 33.33 8" meter 1,600 53.33 10" meter 2,300 76.67 Notes: 1 From AWWA Manual M6- Water Meters, 3rd Edition, American Waterworks Association, 1986. Z Ratio of rated flow capacity relative to 3/4" meter. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 22 Based on the City's growth projections through 2035 and applying floor -area -ratios, development density estimates, and water demand factors provided by the City, the anticipated future non- residential development is estimated to be equivalent to 686 DUES, as determined in Table 4-3. Table 4-3: Water Dwelling Unit Equivalents of Future Non -Residential Development' Land Use Future Develop. Floor Area Ratio (FAR) Develop. Density Demand Factor Water Demand (tsf) Z (tsf/acre) (gal/ac/day) (gal/tsf) (gpd) Retail 599 0.25 10.89 2,500 230 137,574 Office 598 0.30 13.07 2,500 191 114,402 Business Park - 0.40 17.42 2,500 143 - Industrial 2,221 0.40 17.42 1,000 57 127,468 Multi Use - 0.25 10.89 2,500 230 - 3,418 Total New Non -Residential Water Demand 379,443 gpd Total New Non -Residential Water Demand per vear 425.03 AF/vear Notes: 1 Data provided by the Lodi Department of Public Works. 2 tsf = 1,000 square feet 3 One DUE is equivalent to 0.62 AF per year of water demand. Based on the City's growth projections through 2035, the anticipated residential development is estimated to be equivalent to 3,633 DUEs as shown in Table 4-4. Tal ale 4-4: Water Dwelling Unit Equivalents of Future Residential Developm( Residential Future Units Demand/ Demand/ Demand Density (DUEs) 1 year (AF)/unit year (AF) (gpd) LDR & MDR 3,633 0.62 2,253 2,010,976 Notes: 1 Refer to Table 2-2 nt Combining both residential and non-residential development, the total future development in the City through 2035 is estimated to be 4,286 DUEs. FEE METHODOLOGY SURFACE WATER TREATMENT COMPONENT The total cost of the new surface water treatment facility, including repayment of the 2010 water revenue bonds to finance construction and the savings realized by the 2020 refunding, is about $54.89 million. The capacity of the treatment facility, is 7,200 AF per year. Each DUE requires 0.62 AF of water per year, of which 0.38 AF is to be supplied from groundwater and 0.24 AF from the new WID water treatment facilities. At 0.24 AF per DUE, the water treatment facility can provide needed water for 30,000 DUEs. Therefore, the proportionate share of water treatment facility cost to each DUE is $1,829.66, as presented in Table 4-5. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 4-5: Surface Water Treatment Component Calculation Water Treatment Facility Costs Planning and Design Costs Laboratory Testing Environmental and Design Costs Design Review City Staff Raw Water Intake Pipe Construction Miscellaneous Total Paid from Reserves Construction Costs (financed) Construction Contract (bid amount) Wastewater Connection Fee Site Acquisition (land cost) Testing and Inspection Other Construction Costs Pall Membrane Purchase Engr. Service - Contract Admin. Subtotal Construction Costs Debt Financing 2010A & 2010B Water Revenue Bonds (par) Z Total of Annual Debt Service Payments 3 2020 Series B Refunding ° Total of Annual Debt Service Payments Total Water Trtmt. Costs for IMF Calculation Water Treatment Facility Capacity Firm Capacity Peak Capacity Annual Supply Limit (AF) s Unit Cost of Treatment Capacity Est. Annual Water Supply Rqmt. per DUE 6 Supply Provided by Groundwater per DUE 7 Supply to be Provided by Surface Water per DUE DUES of Surface Water Capacity Notes: Cj Cj Total 64,375 3,021,724 50,000 210,008 577,608 41,648 3,965,363 25,515,343 1,096,383 1,200,000 419,182 1,235,216 3,962,308 742,881 34,171,313 $ 38,665,000 $ 67,795,425 $ (16,870,852) $ 50,924,573 $ 54,889,936 8.0 10.0 7,200 7,624 /AF 0.62 AF 0.38 AF 0.24 AF 30,000 Costs updated to reflect actual costs of the WTP Facilities as the costs included in the 2012 IMFP were estimates. Updated costs provided by the City of Lodi on July 26th 2018. Z From Lodi Public Financing Authority - 2010 Water Revenue Bonds, Series A and Series B, Official Statement, October 19, 2010. 3 Total of all annual principal and interest payments, net of federal subsidy, on the 2010 Series A and Series B bonds. ° Reflects the interest savings realized by the 2020 refunding of the 2010 Series B bonds. 5 From Agreement for Purchase of Water from the Woodbridge Irrigation District by the City of Lodi, May 13, 2003, plus future use of banked supplies. 6 Calculated based on the information below: Average daily water use 500 gpd Average monthly water use 20 CCF Average annual water use 0.56 AF Unaccounted for water loss rate 10% Water treatment capacity rqmt. per DUE 0.62 AF The safe yield of groundwater is estimated at 2.3 AF/ac. Assuming residential density of 6 DU/ac, groundwater can provide about 0.38 AF per DU. 8 Calculated as total water treatment facility expansion costs for new development divided by new DUEs of capacity. June 2021 Page 23 Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 24 NEW WATER SUPPLY FACILITIES COMPONENT New water supply facilities needed to ensure adequate water system pressure and fire flows during peak water use periods include a 1.5 MG water storage tank and one additional groundwater well. These planned new facilities are to be paid for entirely by projected future development. As indicated previously, the projected future new development has been estimated to be 4,286 DUEs. As shown in Table 4-6 dividing the estimated $4 million cost of planned new facilities by 4,319 DUES of new development results in a new water supply facilities component of $927.38 per DUE. Table 4-6: New water Supply Facilities Component Calculation New Water System Facilities Est. Cost 1.5 MG Storage Reservoir (Well 28 Site) 1 $ 3,679,500 Groundwater Well (South of Harney Between Mills & Hutchins) $ 1,226,500 Total Facilities Cost $ 4,906,000 Water Fee Fund Balance $ 378,234.37 City Contributions z $ 522,228.80 Total Facilities Cost to Future Development $ 4,005,536.83 New Development (DUES) 3 4.319 1 Costs were escalated from July 2012 to June 2020 based on the 20 -Cities Engineering News Record Construction Cost Index. Z City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. 3 Includes 3,909 residential units, plus 686 DUES of non-residential development. See Table 4-3 for the calculation of non-residential DUES. TOTAL WATER IMPACT MITIGATION FEE The surface water treatment component of the fees is combined with the new water system facilities component resulting in a total water fee per DUE as summarized in Table 4-7. Table 4-7: Proposed Water System Impact Mitigation Fee Summary Water System IMF Surface Water Treatment Component $ 1,829.66 New Water Facilities Component $ 927.38 Total Water IMF per DUE (3/4" Meter) $ i Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 25 FEE SCHEDULE Table 4-8 presents a complete schedule of proposed water fees based on the size of the water meter. Water fees for each meter size are calculated based on their relative hydraulic capacity compared to a W meter, the typical meter size for a single family residential home. The water fees would apply to all new connections to the City's water system. Table 4-8: Proposed Water System Impact Mitigation Fee Schei Meter Size Hydraulic Capacity Factor Water System IMF 1 5/8" meter 0.67 $ 1,847.22 3/4" meter 1.00 $ 2,757.04 1" meter 1.67 $ 4,604.26 11/2" meter 3.33 $ 9,180.94 2" meter 5.33 $ 14,695.02 3" meter 10.00 $ 27,570.39 4" meter 16.67 $ 45,959.85 6" meter 33.33 $ 91,892.12 8" meter 53.33 $ 147,032.91 10" meter 76.67 $ 211,382.21 Notes: 1 Standard single family meter size is 3/4" (one DUE). Other fee amounts proportioned based on hydraulic capacity of each meter size. Jule NEXUS REQUIREMENTS The water fee component meets the Mitigation Fee Act nexus requirements as described below: Requirement #1: Identify the purpose of the fee. New development creates the need for additional water infrastructure in order to provide adequate water pressure and supply to all new types of development within the City of Lodi. The water portion of the impact fee is used to fund the construction of a new well, a new storage tank and a proportionate share of the treatment capacity. These facilities are summarized in Table 4-5 and Table 4-6. Requirement #2: Identify the use to which the fee will be put. The water portion of the impact fee will be used to construct new water facilities per the City of Lodi Water Master Plan dated August 2012 and to cover the debt service associated with the 2010 Water Treatment Plant Expansion. These facilities are summarized in Table 4-5 and Table 4-6. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 26 Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City of Lodi will generate additional residents and employees who subsequently increase the demand for water consumption. The existing water system is not sufficient to provide adequate water pressure and supply to all new development. The water portion of the impact fee will be used to fund the construction of a new well and storage tank needed to serve new development in the City of Lodi while also distributing the proportionate share of the debt service for the Water Treatment Plant's expansion. The cost of the water facilities is spread to each type of development based on the estimated annual water usage of each meter size as shown in Table 4-8. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new residential and non-residential development will add additional residents and employees who add incremental usage of water in the City of Lodi. In order to maintain adequate water pressure and an adequate supply through the buildout of the City of Lodi, a new well and storage reservoir must be constructed and new development must bear their proportionate share of the treatment plant's capacity expansion costs. Each new development project increases the demand for water supply and pressure proportionally based on the development's estimated water usage and resulting meter size as shown in Table 4-8. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Water system improvements required to serve the City of Lodi at buildout are shown in the City of Lodi Water Master Plan dated August 2012. Cost estimates for these facilities were developed by City Staff and have been updated to reflect the increase in the ENR CCI. Based on these cost estimates and the average water usage of each type of development in terms of DUEs, the cost for the new water system facilities per DUE is determined. This cost is added to the cost per DUE of the Water Treatment Plant Expansion to determine the water system impact fee. This ensures that each type of development is paying for only their fair share of the required water facilities based on their estimated annual water consumption. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 27 5. NON -POTABLE WATER BACKGROUND In 2008 the City adopted a Recycled Water Master Plan. The master plan designated that treated effluent from the White Slough Water Pollution Control Facility (WSWPCF) would be used as a mechanism for fulfilling the projected water demand through 2035. At the time of adoption of the Recycled Water Master Plan in 2008, the infrastructure to deliver recycled water from the WSWPCF to the City's end users had yet to be developed and as an interim solution, the City proposed using the water purchased from the Woodbridge Irrigation District's (WID) surface water to serve non -potable water demand in the City. In conjunction with this, the City began requiring that developers install non -potable water mains servicing their development projects as conditions of approval. A recycled water impact fee was not established as part of the 2012 IMFP because of the developer's requirement to construct the recycled water infrastructure. As development began to pick up and intensify, demand for non -potable water continued to grow. In order to better serve the increased demand, the City conducted a Non -Potable Water Study in September 2018. This study determined that continuing to supply the demand for non - potable water from the WID's surface water is still the most economical option for the City as development installs the distribution network. The proposed non -potable water system fee is intended to reflect the cost of the pump stations and service mains designed to facilitate the distribution of non -potable water to the end user. FACILITIES AND COSTS The City is currently servicing the need for non -potable water with water purchased from the WID as an interim solution to providing recycled water from the WSWPCF. As part of the long term planning presented in the 2018 Non -Potable Water Study, two 1,000 GPM pumping stations, ancillary facilities and approximately 5,740 linear feet of distribution mains are needed to make use of the proposed non -potable water supply. The estimated total cost to plan, design, and construct the recycled water pumping stations and ancillary facilities is shown in Table 5-1. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 5-1: Non -Potable Water Distribution Costs June 2021 Page 28 Pumping Stations Quantity UOM Cost Each Construction Costs Expenditures to Date Remaining Cost Fencing and Gates 600 LF $200 $120,000 $120,000 Asphalt Paving and Concrete 800 SF $10 $8,000 $8,000 Catchbasin and Stormline 2 LS $8,000 $16,000 $16,000 NPW Piping and Valves 2 LS $20,000 $40,000 $40,000 Potable Water Source and Valves 2 LS $30,000 $60,000 $60,000 Intake Structure with Fish Screens 2 LS $40,000 $80,000 $80,000 3 Pumps (2 Duty, 1 Sustaining) 2 LS $125,000 $250,000 $250,000 Inline Filters with Automatic Backwash 2 LS $250,000 $500,000 $500,000 VFD Motors and Controls 2 LS $100,000 $200,000 $200,000 Electrical Connection 2 LS $25,000 $50,000 $50,000 Subtotal Cost for Pumping Stations $1,324,000 $1,324,000 Other Capital Costs Quantity UOM Cost per LF Total Cost 12" NPW (Harney Ln./ Lower Sac. Rd. to 1200 ft East 1,200 LF $200 $240,000 $240,000 Reimburse Harney Lane 10" NPW 3,540 LF $60 $212,400 $212,400 Reimburse Harney Lane Water Valves 2 EA $2,500 $5,000 $5,000 HWY 12 Borning & Connections 200 LF $380 $76,000 $76,000 DeBenedetti Connection 550 LF $200 $110,000 $110,000 WID Boring & Connections 250 LF $400 $100,000 $100,000 Subtotal for Other Capital Costs $743,400 $743,400 Contingency 15% $310,110 $310,110 Engineering and Construction Management 20% $413,480 $413,480 ' Unit costs provided by City staff on May 26th 2021. DWELLING UNIT EQUIVALENTS The use of non -potable water increases the potable water DUE's available in the WTP plant to serve new residences and businesses since irrigation needs will be met with non -potable water instead of using a portion of the City's untreated water supply. Non -potable water in the City is primarily programed to irrigate the City parks and street frontages and therefore the extent to which each land use benefits from the development of the non -potable water system is based on their respective DUE's for parks and transportation. The DUE's for parks and transportation are allocated based on the non -potable water demand between parks and street frontages. Based on the 2018 Non -Potable Water study conducted by the City, parks are programed to utilize a total of approximately 151 million gallons per year of the 169 million gallon a year non - potable water supply which represents approximately 89.4% of the total demand. Based on 2018 Non -Potable Water study, Street frontages are programed to utilize the remaining 10.6% of the demand or 18 million gallons per year of non -potable water demand. Therefore, the DUE factor for non -potable water is calculated by summing the DUES for transportation and parks multiplied by their non -potable water allocation. Table 5-2 summarizes the non -potable water benefits for each land use and the corresponding DUE factors. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 5-2: Non -Potable Water DUES June 2021 Page 29 FEE METHODOLOGY The total cost of the new non -potable water pumping stations and other capital costs completed by the City, including repayment for the pipelines and boring that has already been completed, is approximately $2.8 million. Individual properties such as single-family homes, will not have individual connections to non -potable water, but will proportionally benefit from the availability of additional capacity beyond the 30,000 DUE maximum capacity in the Water Treatment facilities. Therefore, the proportionate share of capital costs will be based on the allocation of non -potable water demand multiplied by the respective DUES for transportation and parks as shown in Table 5-2. These DUE factors are multiplied by the total number of units and building square footage projected to develop through 2035 to determine the total number of DUES. Subsequently the total infrastructure costs are divided by the number of DUEs to determine a cost per DUE. This calculation results in a fair share cost of approximately $673.83 per DUE, as presented in Table 5-3. I aoie 5-s: Ivon-voiame water uwening unit tquivaients OT ruture inion-Kesioeniiai ueveiopmeni Park DUE per Transportation Park Allocation of Non- Transportation Allocation Transportation Land Use Unit DUE per Unit Potable Water of Non -Potable Water DUE Factor Residential Allocation of per Unit Low Density 1.00 1.00 89.34% 10.66% 1.0000 Medium Density 0.84 0.54 89.34% 10.66% 0.8102 High Density 0.70 0.54 89.34% 10.66% 0.6848 Non -Residential 10.66% 1.0000 3,325 per 1,000 SF 308 Retail (Minor & Major) 0.11 1.69 89.34% 10.66% 0.2737 Office/Medical 0.17 1.23 89.34% 10.66% 0.2811 Industrial 0.06 0.62 89.34% 10.66% 0.1166 FEE METHODOLOGY The total cost of the new non -potable water pumping stations and other capital costs completed by the City, including repayment for the pipelines and boring that has already been completed, is approximately $2.8 million. Individual properties such as single-family homes, will not have individual connections to non -potable water, but will proportionally benefit from the availability of additional capacity beyond the 30,000 DUE maximum capacity in the Water Treatment facilities. Therefore, the proportionate share of capital costs will be based on the allocation of non -potable water demand multiplied by the respective DUES for transportation and parks as shown in Table 5-2. These DUE factors are multiplied by the total number of units and building square footage projected to develop through 2035 to determine the total number of DUES. Subsequently the total infrastructure costs are divided by the number of DUEs to determine a cost per DUE. This calculation results in a fair share cost of approximately $673.83 per DUE, as presented in Table 5-3. I aoie 5-s: Ivon-voiame water uwening unit tquivaients OT ruture inion-Kesioeniiai ueveiopmeni ' Park DUE per Unit and per 1,000 SF are calculated in Table 11-3. 2 Transportation DUE per Unit and per 1,000 SF are calculated in Table 8-2. 3 Allocation of Non -Potable Water to Parks is based on the estimated non -potable water usage required to irrigate Parks and Basins. ° Allocation of Non -Potable Water to Transportation is based on the estimated non -potable water usage required to irrigate street frontages. s Non -Potable DUES calculated by taking the sum product of the Transportation DUEs, the Park DUEs and the respective allocation of Non -Potable Water. E.g. (0.84'89.34) + (0.54*10.66) = 0.8102 s Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development Lodi IMFP Final Draft Report Harris & Associates Transportation Park Allocation Allocation of Park DUE per Transportation of Non -Potable Non -Potable Non -Potable Water Residential Units Unit 1 DUE per Unit Z Water' Water ° DUE per Unit s Total DUES Low Density 3,325 1.00 1.00 89.34% 10.66% 1.0000 3,325 Medium Density 308 0.84 0.54 89.34% 10.66% 0.8102 250 High Density 0 0.70 0.54 89.34% 10.66% 0.6848 0 Subtotal 3,633 3,575 Transportation Park Allocation Allocation of Park DUE per Transportation of Non -Potable Non -Potable Non -Potable Water Non -Residential Bldg SF 6 1,000 SF DUE per 1,000 SF Water 3 Water ° DUE per 1,000 SF s Total DUES Retail (Minor & Major) 549,271 0.11 1.69 89.34% 10.66% 0.2737 150 Office/Medical 563,000 0.17 1.23 89.34% 10.66% 0.2810 158 Industrial 2,221,000 0.06 0.62 89.34% 10.66% 0.1165 259 Subtotal 3,333,271 567 Total DUES 4,142 Cost to Spread Cost per DUE $ 2,790,990 $ 673.83 ' Park DUE per Unit and per 1,000 SF are calculated in Table 11-3. 2 Transportation DUE per Unit and per 1,000 SF are calculated in Table 8-2. 3 Allocation of Non -Potable Water to Parks is based on the estimated non -potable water usage required to irrigate Parks and Basins. ° Allocation of Non -Potable Water to Transportation is based on the estimated non -potable water usage required to irrigate street frontages. s Non -Potable DUES calculated by taking the sum product of the Transportation DUEs, the Park DUEs and the respective allocation of Non -Potable Water. E.g. (0.84'89.34) + (0.54*10.66) = 0.8102 s Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 30 FEE SCHEDULE Table 5-4 presents a complete schedule of proposed non -potable water fees based on the DUE for each land use. The non -potable water fees would apply in conjunction with the water fee for all new connections to the City's water system. Table 5-4: Proposed Recycled Water Impact Mitigation Fee Schedule NEXUS REQUIREMENTS The non -potable water fee component meets the Mitigation Fee Act nexus requirements as described below. Requirement #1: Identify the purpose of the fee. New development creates the need for additional non -potable water infrastructure in order to free up treated water supplies for new development. The non -potable water portion of the impact fee is used to fund the construction of new pumping stations and the reimbursement of construction costs for pipes and valves already constructed as a means of increasing the availability of non -potable water and creating a potable water offset. These facilities are summarized in Table 5-1. Requirement #2: Identify the use to which the fee will be put. The non -potable water portion of the impact fee will be used to construct new non -potable water pumping stations and will reimburse the City for construction costs of pipes and valves already constructed per the City of Lodi Non -potable Water Study dated September 2018. These facilities are summarized in Table 5-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City of Lodi will generate additional residents and employees who subsequently increase the demand for water consumption and subsequently water supply. The existing water system is not sufficient to provide adequate water supply and treatment for all new development. The non -potable water portion of the impact fee will be used to fund the Lodi IMFP Final Draft Report Harris & Associates DUE Factor Cost per Residential per Unit Unit Low Density 1.0000 $ 673.83 Medium Density 0.8102 $ 545.96 High Density 0.6848 $ 461.47 DUE Factor Cost per Non -Residential per 1,000 SF 1,000 SF Retail (Minor & Major) 0.2737 $ 184.41 Office/Medical 0.2810 $ 189.37 Industrial 0.1165 $ 78.53 NEXUS REQUIREMENTS The non -potable water fee component meets the Mitigation Fee Act nexus requirements as described below. Requirement #1: Identify the purpose of the fee. New development creates the need for additional non -potable water infrastructure in order to free up treated water supplies for new development. The non -potable water portion of the impact fee is used to fund the construction of new pumping stations and the reimbursement of construction costs for pipes and valves already constructed as a means of increasing the availability of non -potable water and creating a potable water offset. These facilities are summarized in Table 5-1. Requirement #2: Identify the use to which the fee will be put. The non -potable water portion of the impact fee will be used to construct new non -potable water pumping stations and will reimburse the City for construction costs of pipes and valves already constructed per the City of Lodi Non -potable Water Study dated September 2018. These facilities are summarized in Table 5-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City of Lodi will generate additional residents and employees who subsequently increase the demand for water consumption and subsequently water supply. The existing water system is not sufficient to provide adequate water supply and treatment for all new development. The non -potable water portion of the impact fee will be used to fund the Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 31 construction of new pumping stations and reimburse construction costs for pipes and valves that are needed to provide the City with a non -potable water as a means of creating additional water supply. The cost of the non -potable water facilities is spread to each type of development based on the allocation of non -potable water demand between roadway landscaping and parks multiplied by the respective DUEs for transportation and parks as shown in Table 5-2. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new residential and non-residential development will add additional residents and employees who add incremental usage of water in the City of Lodi. In order to maintain adequate water treatment capacity and an adequate supply through the buildout of the City of Lodi, new non -potable water pumping stations and pipes must be constructed to create a potable water offset. Each new development project increases the demand for water supply proportionally based on the type of development's estimated annual water usage as discussed in the previous chapter. The use of non -potable water in the City of Lodi creates additional potable water capacity by freeing up potable water that would otherwise be allocated for landscaping along streetscapes and in City parks. Therefore, new development pays for their fair share of the non -potable water facilities based on their demand for transportation and park facilities as shown on Table 5-3. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Non -potable Water infrastructure required to serve the City of Lodi at buildout are shown in Table 5-1. Cost estimates for these facilities were developed by City Staff. The fee per DUE for the non -potable water system is determined by taking the total non -potable water cost and dividing it by the total potable water offset created by irrigating street frontages and parks with non -potable water. The fee is then spread to new development based on the allocation of non - potable water demand to street frontage and parks multiplied by the respective DUES for transportation and parks as shown in Table 5-3. Utilizing the allocation of non -potable water demand to street frontages and parks multiplied by the respective DUES for transportation and parks ensures that each type of development is paying for only their fair share of the required non -potable water facilities. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 32 6. WASTEWATER WASTEWATER TREATMENT PLANT BACKGROUND The Wastewater fee is based on the City's 2012 Wastewater Master Plan. The proposed wastewater treatment impact mitigation fee is intended to reflect new development's share of wastewater treatment capacity, including financing costs, resulting from the expansion of the wastewater treatment plant from 5.8 to 8.5 MGD through two separate expansion projects. Since the adoption of the IMFP in 2012, the City has refinanced the debt accrued from the wastewater treatment plant expansions. Refinancing of the debt reduced the total debt by approximately $4,880,000 and the savings recognized by this refinancing has been reflected in the IMFP. With the exception of reducing the total cost spread to new development by the refinancing savings and accounting for the capacity subscribed by development since 2012, no other changes are being proposed as part of the fee update and the assumptions and methodologies remain unchanged. FACILITIES AND COSTS In the late 1980s and early 1990s, the City undertook projects to improve the level of treatment and to expand capacity in the White Slough Water Pollution Control Facility from 5.8 mgd to 6.3 mgd. Additional projects to further improve and expand treatment capacity occurred from 2003 to the present. These more recent wastewater improvements increased capacity from 6.3 mgd to 8.5 mgd. The wastewater treatment facility is intended to meet 100 percent of wastewater treatment needs of new development within the City. For purposes of calculating the wastewater fee, the average daily wastewater flow for single family residential accounts is estimated at 200 gallons per day (gpd). On this basis, the increase in wastewater treatment capacity of 2.7 mgd was able to accommodate an additional 13,500 single family dwellings (or DUEs). A portion of the added capacity (from 5.8 mgd to 6.3 mgd) is being used to meet existing demands (i.e., has been subscribed). Wastewater conveyance facilities will be discussed later in this section. Capital costs for wastewater treatment improvements to bring capacity from 5.8 mgd to 8.5 mgd totaled about $57.3 million. Engineering estimates indicated that about 46.7 percent of the cost of wastewater treatment improvements were for the benefit of new development (i.e., new capacity above 5.8 mgd). The projects were financed with debt proceeds from certificates of participation (COPS) issued in 1991, 2003, 2004, and 2007. A portion of the 2007 debt issue was used to refund the 1991 COPS. Refinancings in 2016 and 2017 reduced the total debt service by approximately $4,880,000. Total debt service payments (principal and interest) related to these debt issues after the refinancings totals approximately $123.0 million, with final payments scheduled for FY 37/38. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 33 The proposed wastewater fee covers future development's share of debt service payments. As part of the 2012 IMFP Study, an analysis of debt financing indicated that 45.3 percent of remaining debt service obligation was associated with improvements that benefitted new development. The percentage of remaining debt service obligations allocated to new development remains the same for the purposes of this update. Wastewater conveyance costs will be discussed later in this section. DWELLING UNIT EQUIVALENTS Wastewater demand is expressed in dwelling unit equivalents, which is the estimated average daily wastewater flow for a single family home. For purposes of calculating the wastewater fee, a DUE is equal to 200 gpd, with residential loading factors of 243 milligrams per liter (mg/1) of biochemical oxygen demand (BOD) and 285 mg/I of suspended solids (SS). Most single family residential dwellings are (or will be) equipped with a %-inch water meter, as the residential standard. The wastewater fee for 1 DUE will establish the fee for each %-inch water meter. For other meter sizes the amount of the wastewater fee will be proportioned, relative to the %-inch meter, based on the hydraulic capacity of each meter size. Table 4-2, in the water treatment fee section of the report, summarized the hydraulic flow capacities and the corresponding hydraulic capacity factors for a variety of meter sizes. Wastewater fees would only apply to new water service connections that include corresponding wastewater service. Dedicated irrigation accounts, or other water connections not resulting in wastewater flows, will not be subject to the wastewater fee. FEE METHODOLOGY The purpose of the wastewater fee is to ensure that new development pays a proportionate share of the cost of constructing or expanding wastewater treatment and the ancillary facilities needed to accommodate new wastewater demands within the City. The revenue generated from the wastewater fee will be used to assist the City in making debt service payments related to the 2003, 2004, and 2007 COPS. Debt proceeds were used to finance the construction of wastewater treatment facilities. The wastewater fee has been calculated using what is commonly referred to as an incremental cost methodology. With this methodology, the amount of the fee is based on the cost of capacity in new facilities, in this case expanded wastewater treatment facilities needed to provide treatment capacity for new development anticipated within the City. Analysis of the various improvements made during each phase of improvements indicate that about 46.7 percent of wastewater treatment improvements were related to expanding treatment capacity, rather than upgrading the level of treatment of existing capacity. Analysis of the debt service schedules for each debt issue indicates that 45.3 percent of the debt service payments are related to the expansion portion of improvements. Therefore, wastewater fee revenue can be used to fund 45.3 percent of remaining annual debt service costs. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 34 Total debt service costs for the improvements to bring capacity from 5.8 mgd to 8.5 mgd total about $128.0 million. This cost was reduced by $5.8 million to reflect payment for capacity paid by the area known as Flag City. Total debt service was again reduced by $4.88 million to reflect the interest savings recognized by the City's 2016 and 2017 refinancing of the wastewater COPs. About $55.0 million (46.7 percent) of this adjusted total is related to expanding capacity, rather than upgrading existing capacity. At the time of the 2021 update, 2.7 mgd in increased capacity, 0.40 mgd has already been used (subscribed to) by development in recent years. This leaves about 2.2 mgd of capacity available for future development. Utilizing the reaffirmed 2012 assumptions, at 200 gpd per DUE, about 2,000 DUES of expansion capacity has already been subscribed to, while about 11,500 DUEs remain available for new development. This represents about 85 percent of the expansion capacity. The standard fee for 1 DUE is based on the cost of new treatment facility capacity associated with each unit of new development. To date, $55.0 million has been spent on the new treatment facilities which provides 13,500 DUES of capacity. About 85 percent, or $46.6 million, of the expansion portion of debt service is assigned to the potential future development of 11,500 DUES. This results in the cost of $4,056.57 per DUE for treatment facilities. Details of the calculation of the wastewater fee are presented in Table 6-1. Table 6-1: Wastewater Treatment Impact Mitieation Fee Calculation Wastewater Debt Financing Total Wastewater System Cost Flag City 0.19 MGD Capacity Purchase Initial Debt Financing 2016 and 2017 Refinancing Revised Interest and Financing Costs Total Wastewater Treatment Improvements Expansion from 5.8 to 6.3 mgd Expansion from 6.3 to 8.5 mgd Phase 1 Phase 2 Phase 3 Thickening Dewatering & Storage Total' Wastewater Treatment IMF Calculation WWTP Capacity (mgd) Capacity per DUE (gpd) DUES of Expanded Capacity Growth Share of WWTP DS (6) Notes: $ 70,561,000.00 $ (5,800,000.00) $ 64,761,000.00 $ (4,880,000.00) $ 59,881,000.00 $ 59,881,000.00 WWTP Improv. Costs Upgrade Expansion Upgrade Expansion $ 11,240,000.00 $ 3,082,450.79 $ 8,157,549.21 27.4% 72.6% $ 1,976,000.00 $ 1,464,741.27 $ 511,258.73 74.1% 25.9% 2 $ 11,528,000.00 $ 8,822,000.00 $ 2,706,000.00 76.5% 23.5% $ 27,341,000.00 $ 13,341,000.00 $ 14,003,000.00 48.8% 51.2% $ 1,263,000.00 $ 933,997.50 $ 329,002.50 74.0% 26.0% $ 3,930,000.00 $ 2,906,263.00 $ 1,023,737.00 74.0% 26.0% $ 57,278,000.00 $ 30,550,452.55 $ 26,730,547.45 53.3% 46.7%" Expansion portion of outstanding debt 45.3% s Total Original Expansion Subscribed Available 8.50 5.80 2.70 0.40 2.30 200 200 200 42,500 29,000 13,500 2,000 11,500 $ 117,347,080.32 $ 62,583,441.60 $ 54,763,638.72 $ 8,113,131.66 $ 46,650,507.06 ' Allocation between upgrade and expansion from WSALLOC.xIs worksheet titled Rev.10-97 2. 2 Weighted average allocation to new development for expansion to 8.5 mgd is 40.3 percent. ' A portion of net debt proceeds remain unexplained, assumed to be planning/design or other related costs. 4 This portion of debt service costs is appropriately attributed to expansion of treatment capacity. s About 15.4% of outstanding debt is related to financing of 1991 improvements (.154 x .726 + ,846 x.403 = .453). Wastewater IMF revenue can be used to pay for up to 45.3 percent of remaining debt service. e Growth share of debt service equal to 46.7 percent of total. Total debt service reduced by $5.8 million as prior payment toward 0.19 mgd of capacity (Flag City). Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 35 FEE SCHEDULE Table 6-2 presents a complete schedule of proposed wastewater fees based on the size of the water meter. The wastewater fees apply to all new connections to the City's wastewater system. In instances where new wastewater customers may generate high strength wastewater and/or high flows, at the discretion of the Public Works Director, the appropriate wastewater fee may be calculated using specific estimates of annual flow, as well as BOD and SS loading. The factors to be applied for calculating high strength or high volume commercial and industrial wastewater fees are also included at the bottom of Table 6-2. These special cost factors are based on the overall treatment capacity of 8.5 mgd with a BOD concentration of 330 mg/I and a SS concentration of 340 mg/I. Table 6-2: Proposed Wastewater Treatment Plant Impact Mitigation Fee Sch Mtr. Size Hydr. Cap. Factor Wastewater Treatment IMF 5/8" meter 0.67 $ 2,717.90 3/4" meter 1.00 $ 4,056.57 1" meter 1.67 $ 6,774.47 1 1/2" meter 3.33 $ 13,508.38 2" meter 5.33 $ 21,621.52 3" meter 10.00 $ 40,565.70 4" meter 16.67 $ 67,623.02 6" meter 33.33 $ 135,205.48 8" meter 53.33 $ 216,336.88 10" meter 76.67 $ 311,017.22 High Strength/High Volume Commercial and Industrial Development 1 Charge for Flow $ 13.10 per gpd Charge for BOD Loading $ 2,002 per ppd Charge for SS Loading $ 1,670 per ppd Notes: 1 Applies to high strength and/or high volume commercial and industrial customers, as determined by the Director of Public Works. Formula for calculation is as follows: WW IMF = A x ($13.10 + 0.00000834 x (B x $2,002 + C x $1,670)), where A = Estimated average daily flow rate in gpd B = Estimated average BOD concentration in mg/I C = Estimated average SS concentration in mg/I edule Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 36 NEXUS REQUIREMENTS The Wastewater Treatment Plant fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. New development creates additional wastewater effluent and consequently increases the need for additional wastewater treatment capacity at the WSWPCF. The wastewater treatment portion of the impact fee is used to proportionately fund the debt service accrued during the expansion of the treatment plant capacity to 8.5 mgd. These costs are summarized in Table 6- 1. Requirement #2: Identify the use to which the fee will be put. The wastewater treatment portion of the impact fee will be used to satisfy the required debt service payments accrued in the expansion of the WSWPCF that will serve approximately 11,500 future DUES. These expansion costs are summarized in Table 6-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City of Lodi will generate additional residents and employees who subsequently increase the quantity of wastewater discharge. The wastewater treatment plant was expanded in the early 2000s to ensure sufficient treatment capacity would be available to serve future development. The wastewater portion of the impact fee will be used to fund the debt service related to this expansion of the WSWPCF which will serve approximately 11,500 future DUEs. The total cost of the wastewater treatment plant's expansion allocated to future development is calculated on a DUE basis and spread to each meter size based on a hydraulic capacity factor as shown in Table 6-2. Using the meter size ensures that each new development pays for only their fair share based on their anticipated wastewater generation. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new residential and non-residential development will add additional residents and employees who add incremental usage of the White Slough Water Pollution Control Facility. The City of Lodi expanded the treatment plant in the early 2000s in order to ensure that there was adequate capacity to support future development and new development must bear their proportionate cost of the treatment plant's capacity expansion. Each new development project increases the demand for wastewater treatment. By basing the fee on meter size each development project funds their fair share of the wastewater treatment plant expansion based on their estimated wastewater generation. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 37 Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Wastewater treatment plant expansions that were required to serve the City of Lodi's future development and the related debt service of these expansions are detailed in Table 6-1. Each new development project pays their proportional cost of the wastewater treatment plant's expansion based on the estimated wastewater generation of the development. This methodology ensures that each type of development is paying for only their fair share of the wastewater treatment plant expansion based on their estimated wastewater generation. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 38 SOUTH WASTEWATER TRUNK LINE BACKGROUND For the City's south side to develop, a new trunk line is necessary in order to collect and transport the wastewater flows to the City's existing 42 inch trunk line at Davis Road. In 2008, Phillippi Engineering prepared a South Wastewater Trunk Line (SWTL) Master Plan as part of the Reynolds Ranch Master Plan. This SWTL Master Plan determined that approximately 28,000 linear feet of wastewater mains ranging in size from 12 to 36 inches in diameter would be required. The assumptions and the facilities identified in this Master Plan formed the basis of the 2012 IMFP fee. Since the adoption of the SWTL Master Plan and the 2012 IMFP, the City's wastewater collection system has been updated and the wastewater generation factors have been reduced to reflect the implementation of water conservation efforts and State regulations on water fixtures. City staff prepared an Amendment to the SWTL in 2017 as a mechanism to acknowledge these changes, to update the service area by removing the area west of Lower Sacramento Road, south of Harney Lane and update required infrastructure. Reynold's Ranch has already constructed approximately 2,700 linear feet of 24 inch line along the southern boundary of their property and will receive reimbursement for the amount in excess of their fair share. The South Wastewater Trunk Line only serves the properties in this area; therefore, it has been determined that a special fee will be established for this area. Because the construction of this line requires extensive capital up -front, the City is proposing to amend the Wastewater Master Plan adopted in 2012 to include an alternative SWTL alignment that requires less up front capital to construct. Figure 6-2 shows the area that contributes flows to these new lines. FACILITIES AND COSTS A wastewater model was developed by City staff for the Study Area to model wastewater generation and determine pipe sizing. It was determined that 1,180 linear feet of 14 inch force main, 16,280 linear feet of 24 inch pipe, 100 linear feet of 24 inch pipe in 36 inch casing and 2,700 linear feet of 15 inch pipe will be needed for the project from Highway 99 to connect to the City's existing 42 inch trunk line at Century Boulevard. These facilities are shown in Figure 6-1. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program 9 Figure 6-1: Wastewater Facilities Through 2035 June 2021 Page 39 R RD. r� IdWY. is PINE Si - Figure 6-1 LEGEND WASTEWATER FACILITIES THROUGH 2035 CONSTRUCT IN FEE PROGRAM EXISTING COLLECTION n iA +ra zra ira MALE 4_ FACILITIES SERVE IJP DEVELOPER TO CONSTRUCT EA INFILL DEVELOPMENT 0 '21' 2400 .2600 FFFT — — — EXISTING WASTEWATER NEW FACILITIES REQUIRED TO TRUNK LINE SERVE NEW DEVELOPMENT FUTURE ANALYSIS NEW FACLITIES REQUIRED TO SOUTH WASTEWATER SERVE NEW DEVELOPMENT. TRUNK LINE STUDY AREA FUNDED BY NON -CITY SOURCES BY AGREEMENT city of Lodi 2012 CITY LIMITS PUBLIC WORKS DEPARTMENT GENERAL PLAN LIMITS 0 Harris & Associates Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 40 A summary of the facilities and corresponding costs included in the IMFP is presented in Table 6-3. Table 6-3: South Wastewater Trunk Line Costs South Wastewater Trunk Line Quantity Unit Price Construction Cost' Expenditures to Date Remaining Costs Pump Station 1 $800,000 $1,099,488 $1,099,488 Wastewater Connection Manhole 1 $20,000 $27,487 $27,487 14" Force Main in ex. Street 1,180 $150 $243,262 $243,262 15" Wastewater Pipe 2,700 $105 $389,645 $389,645 24" Wastewater Pipe in ex. Street 1,680 $190 $438,700 $438,700 24" Wastewater Pipe 14,500 $125 $2,491,028 $2,491,028 24" UPRR Crossing in 36" Casing 100 $1,000 $137,436 $137,436 24" WID Crossing 100 $1,000 $137,436 $137,436 Subtotal South Wastewater Trunk Line $4,964,482 -- $4,964,482 Available South Wastewater Sewer Line Fee Fund Revenue $190,851 Citv Contributions' $398,786 ' Construction Cost Estimate derived from the City of Lodi Amendment to the South Wastewater Trunk Line Master Plan dated October 2017. Costs include a 30% markup for contingency, engineering and construction administration. 2 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. The South Wastewater Trunk Line area is shown on Figure 6-2. The fee for these improvements will only apply to this area. DWELLING UNIT EQUIVALENTS For purposes of the South Trunk Line component of the wastewater fees, demand is expressed in dwelling unit equivalents, which is the estimated average daily wastewater flow as compared to a single family home. For purposes of calculating the wastewater fee a DUE is defined to equal 200 gpd. A summary of the DUE factors for each land use type is presented in Table 6-4. I axle b-4: uwening unit tquivalents Land Use DUE Factor Residential per Unit Low Density Residential 1.00 Medium Density Residential 0.8421 High Density Residential 0.7018 Non -Residential per 1,000 SF Retail (Minor & Major) 0.9279 Office/Medical 0.7733 Industrial 0.4143 FEE METHODOLOGY Future development in the South Wastewater Trunk Line Area of the City will create demand for additional wastewater facilities. By allocating facilities costs to each land use category based on its potential wastewater generation, this IMFP ensures that each land use category will fund its fair -share of the required facilities. Consequently, the total South Wastewater Trunk Line cost of approximately $4.4 million is allocated to future development based on the wastewater generation rates for each land use. For purposes of this fee calculation the cost of the pipes is spread amongst the entire development area west of Highway 99 that contributes flows to these facilities rather than 2035 land uses. This is due to the fact that these improvements will serve Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 41 the buildout of this area. Table 6-5 shows the South Wastewater Trunk Line Fee Calculations per DUE. Table 6-5: South Wastewater Trunk Line Fee Calculation per DUE DUE Factor per Gallons DUE Factor per Residential Units 1 Per Day Unit Total DUES Low Density 11713 200 1.0000 1,713 Medium Density 145 168 0.8421 122 High Density 0 140 0.7018 0 Subtotal 1,858 1,001 1,835 1 Includes the projected units benefiting from development of the southern portion of the City. Units and Building Square Footage provided by City Staff. FEE ZONES The Core City area, shown in yellow on Figure 6-2, would pay the Wastewater Treatment Plant (WWTP) fee. The hatched area south of Harney Lane would have to pay the WWTP fee and the South Wastewater Trunk Line fee. The fee zones are shown in Figure 6-2. Lodi IMFP Final Draft Report Harris & Associates DUE Factor per Non -Residential Bldg SF 1 1,000 SF Total DUEs Retail (Minor & Major) 913,922 185 0.9279 848 Office/Medical 197,285 154 0.7733 153 Industrial 0 83 0.4143 0 Subtotal 1,111,207 1,001 Total DUES 2,836 Cost To Spread $ 4,374,844 1 Includes the projected units benefiting from development of the southern portion of the City. Units and Building Square Footage provided by City Staff. FEE ZONES The Core City area, shown in yellow on Figure 6-2, would pay the Wastewater Treatment Plant (WWTP) fee. The hatched area south of Harney Lane would have to pay the WWTP fee and the South Wastewater Trunk Line fee. The fee zones are shown in Figure 6-2. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 42 LEGEND CITY LIMITS Figure 6-2: Wastewater Fee Zones .11 1 -- I u "_j - — r1ARKEY I.N. -� _ GENERAL PLAN LIMITS City of Lodi PUBLIC WORKS DEPARTMENT Figure 5-2 WASTEWATER FEE ZONES 0 Ila V4 _Va 712 MR -E WWTP FEE ONLY IAS' u �rnu anon :;eno rrr7 WWTP FEE AND SOUTH WASTEWATER TRUNK LINE FEE SOUTH WASTEWATER TRUNK LINE STUDY AREA FUTURE ANALYSIS Harris & Associates Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 43 FEE SCHEDULE A summary of the South Wastewater Trunk Line component of the IMFP is presented in Table 6-6. Table 6-6: South Wastewater Trunk Line Fee Schedule NEXUS REQUIREMENTS The South Wastewater Trunk Line fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. New development creates the need for additional wastewater collection facilities in order to provide wastewater collection for all types of new development within the southern section of the City of Lodi. The South Wastewater Trunk Line portion of the impact fee is used to fund the construction of the approximately 20,260 linear feet of wastewater pipe and a new pump station. These costs are summarized in Table 6-3. Requirement #2: Identify the use to which the fee will be put. The South Wastewater Trunk Line portion of the impact fee will be used to fund the construction of approximately 20,260 linear feet of pipe varying in diameter from 14" to 24" and a new pump station. These expansion costs are summarized in Table 6-3. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the southern area of the City of Lodi will generate additional residents and employees who subsequently increase the quantity of wastewater discharge. The South Wastewater Trunk Line pipes are required to convey the wastewater generated in the southern area of the City to the White Slough Water Pollution Control Facility treatment plant. The South Wastewater Trunk Line portion of the impact fee will be used to fund the construction of the necessary 20,260 linear feet of pipelines and a new pump station required to serve this area Lodi IMFP Final Draft Report Harris & Associates Gallons Per DUE Factor Residential Day per Unit Cost Per Unit Low Density 200 1.0000 $ 1,542.85 Medium Density 168 0.8421 $ 1,299.23 High Density 140 0.7018 $ 1,082.77 DUE Factor Cost Per 1,000 Non -Residential per 1,000 SF SF Retail (Minor & Major) 185 0.9279 $ 1,431.61 Office/Medical 154 0.7733 $ 1,193.09 Industrial 83 0.4143 $ 639.20 NEXUS REQUIREMENTS The South Wastewater Trunk Line fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. New development creates the need for additional wastewater collection facilities in order to provide wastewater collection for all types of new development within the southern section of the City of Lodi. The South Wastewater Trunk Line portion of the impact fee is used to fund the construction of the approximately 20,260 linear feet of wastewater pipe and a new pump station. These costs are summarized in Table 6-3. Requirement #2: Identify the use to which the fee will be put. The South Wastewater Trunk Line portion of the impact fee will be used to fund the construction of approximately 20,260 linear feet of pipe varying in diameter from 14" to 24" and a new pump station. These expansion costs are summarized in Table 6-3. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the southern area of the City of Lodi will generate additional residents and employees who subsequently increase the quantity of wastewater discharge. The South Wastewater Trunk Line pipes are required to convey the wastewater generated in the southern area of the City to the White Slough Water Pollution Control Facility treatment plant. The South Wastewater Trunk Line portion of the impact fee will be used to fund the construction of the necessary 20,260 linear feet of pipelines and a new pump station required to serve this area Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 44 shown in Figure 6-2. The cost of the collection infrastructure is spread to each type of development based on a wastewater generation DUE as shown in Table 6-4. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new residential and non-residential development in the southern section of the City will add additional residents and employees who add incremental usage of White Slough Water Pollution Control Facility. In order to facilitate the collection of the wastewater being generated by new development, the South Wastewater Trunk Line must be constructed. Each new development project proportionally increases the demand for wastewater collection based on the type of development's wastewater generation rates. Each development will pay their fair share based on their estimated generation rates. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. The south Wastewater Trunk Line infrastructure is detailed in Table 6-3. Cost estimates for these facilities were developed by the City of Lodi as described in the 2017 Amendment to the SWTL Master Plan and have been updated to reflect the ENR CCI. Based on the wastewater generation rates in gallons per day, a DUE factor is determined and is applied to the total number of units for residential land uses and thousands of square feet for non-residential land uses to determine the total number of DUEs. The total costs of the wastewater facilities required to construct the SWTL is divided by the total number of DUE to determine the cost per DUE. This calculation is shown in Table 6-5. The cost per DUE is then multiplied by the DUE factor for each land use to determine their fair share of the SWTL construction as shown in Table 6-6. This ensures that each type of development is paying for only their fair share of the South Wastewater Trunk Line based on their wastewater generation rates. Only properties that directly utilize the South Wastewater Trunk Line will pay this portion of the wastewater impact fees. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 45 7. STORM DRAINAGE BACKGROUND The City of Lodi is divided into several Storm Drainage Basin areas, referred to as Basins A through K. Each of the basin areas has a series of storm drainage pipes and detention basins that serve the area's drainage needs. In order for new development to occur, new improvements must be made to the City's existing system. In 1963, the City adopted the Lodi Master Plan for the Development of Storm Water Collection and Disposal Facilities for drainage areas A through H. Facilities required to serve areas A through E, G and H have been constructed. In 1990, the planning area was expanded to include Drainage Area I that extends from Kettleman Lane to Harney Lane and from Lower Sacramento Road to the extension of the WID canal. The City prepared a Storm Drainage Master Plan in 2012 that addresses planning areas F, I, K, and L. The terminal drainage for K and L is the WID canal; the terminal drainage for J is the existing master storm drain trunk line located in Century Boulevard. Since the adoption of the Storm Drainage IMFP in 2012 which encompassed the City Core, shown as Zone 1 in Figure 7-1, the City adopted a second storm drainage fee for new development on the west side of the City, shown as Zone 2 in Figure 7-1. This second storm drainage fee adopted in 2013 by Resolution 2013-187, covers areas where developers were previously required to construct the storm drainage infrastructure as part of their development conditions. As part of this update no other changes are being proposed to the storm drainage fee other than an update to the cost of the funded facilities to account for inflation and the removal of the pipes that will be developer constructed from the Zone 2 fees, and the resulting fee calculation. FACILITIES AND COSTS The City completed a storm drainage master plan in 2012. Following is a description of the various areas within the City and the improvements that are required: • Zone 1, as shown on Figure 7-1, consists of the City Core area as well as the area that lies east of Highway 99. Basin and pump station improvements are required to be completed at the C -basin. • Zone 2, as shown on Figure 7-1, is west of Lower Sacramento Road, beyond City limits. New pipes and basins are required to serve future development as shown in the storm drainage master plan. The cost of the basins is included in Table 7-1, the pipes required by the master plan will be developer built. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 46 • If developers in Storm Drainage Zone 2 meet their obligation for constructing all permanent, master planned facilities required by their project, the development will not be subject to the Zone 2 fees. • The remaining areas in the City are expected to develop beyond the 2035 planning horizon used in this IMFP. As a result, these area were not included in the master plan at this time and will be analyzed in future IMFP and master plan updates. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 48 Zone 1 Basin Improvements C -Basin Pump Station C -Basin Total Zone 1 Cost Available SD Fee Fund Revenue Citv Contributions 2 Table 7-1: Zone 1 Cost Summary Zone 1 Construction Cost 1 $2,521,561.35 $1,119,295.31 $3,640,856.66 Expenditures to Date Remaining Costs $2,521,561.35 $1,119,295.31 $3,640,856.66 1 Costs were escalated from July 2012 to June 2020 based on the 20 -Cities Engineering News Record Construction Cost Index (ENR CCI). 2 City contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. No city contributions are required for Zone 1 as Resolution 2012-142 only reduced fees on residential land uses. Zone 2 costs and fees were proposed as conceptual fees in the 2012 IMFP for properties outside the City Limits. On October 16, 2013 Zone 2 fees encompassing an expanded area west of Lower Sacramento Road, north of Harney Lane, and extending to the WID Canal were adopted by City Council. This zone is shown on Figure 7-1. The estimated cost of the storm drainage infrastructure for Zone 2 including the basin, and land are shown in Table 7-2. Pipes previously included in the 2013 Zone 2 fee are removed from the IMFP during this update because this infrastructure will be developer constructed. Table 7-2: Zone 2 Cost Summary Zone 2: F & I -Basin Watershed Areas F -Basin Improvements Construction Cost 2 Expenditures to Date Remaining Costs Basins $9,456,728.85 $9,456,728.85 Subtotal Cost $9,456,728.85 $9,456,728.85 I -Basin Improvements Basins $7,822,044.65 $7,822,044.65 Subtotal Cost $7,822,044.65 $7,822,044.65 Total Zone 2 Cost $17,278,773.50 $17,278,773.50 Available SD Fee Fund Revenue $662,611.80 City Contributions 3 $0.00 Net Storm Drainage Cost Zone 2 $16,616,161.70 1 Costs were escalated from July 2012 to June 2020 based on the 20 -Cities Engineering News Record Construction Cost Index. 2 Costs for F -Basin and I -Basin Improvements updated per the costs of the staff report for agenda item G-01 on October 16, 2013 and have been escalated to June 2020 by the 20 -Cities Engineers News Record Construction Cost Index (ENR CCI). 3 City contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. No city contributions are required for Zone 1 as Resolution 2012-142 only reduced fees on residential land uses. DWELLING UNIT EQUIVALENTS Storm Drainage costs are allocated based on run-off coefficients. A dwelling equivalent unit is based on the amount of run-off that an acre of each land use produces in relation to an acre of Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 49 low density residential development. A summary of the DUE factors for each land use type is presented in the Table 7-3 below. Storm Drainage fees for non-residential will be collected on a per acre basis rather than a per 1,000 SF basis as other fees are. This is due to the fact that run- off coefficients are more directly linked to acreage. Table 7-3: Storm Drainage Dwelling Unit Equivalents Land Use Runoff Coefficient DUE Factor DUE Equivalent Residential per Acre per Unit ' per Unit 2 Low Density 0.40 1.00 0.1667 1.00 Medium Density 0.50 1.25 0.0833 0.50 High Density 0.50 1.25 0.0500 0.30 Non -Residential per Acre per Unit per Unit Retail (Minor & Major) 0.70 1.75 n/a n/a Office/Medical 0.70 1.75 n/a n/a Industrial 0.75 1.88 n/a n/a DUE Factors per Unit is calculated by dividing the DUE Factor per acre by the number of units assumed per acre. 2 DUE Equivalent per Unit is calculated for each land use based on its relationship to a Low Density unit (i.e. Medium Density is (0.08/0.17) FEE METHODOLOGY The purpose of the storm drainage fee is to ensure that new development pays a proportionate share of the cost of constructing facilities to accommodate drainage demands of new construction within the City. For purposes of the storm drainage IMFP, demand is measured by applying run-off coefficient factors which establishes the fair share of storm drainage facilities for each land use. Using zones to allocate costs for storm drainage infrastructure ensures that new development is only paying towards the improvements that they in fact use. The first step to ensuring that new development is only paying for their fair share of storm drainage infrastructure is to determine a cost per DUE by applying the DUE factors, shown in Table 7-3, to the number of acres of each land use remaining to develop Applying the DUE factors to the remaining land use yields the total number of DUES remaining in each zone. The cost per DUE is determined by dividing the total project cost for each zone less the fund balance, shown in Table 7-1 and Table 7-2, by the remaining DUES. These calculations are shown in Table 7-4. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 7-4: Storm Drainage Fee per DUE Calculation June 2021 Page 50 ' Includes anticipated development through 2035 within Sheds C and H (i.e., remaining infill and east of State Route 99). 2 Land Uses are representative of the buildout conditions of Zone 2 and includes land expected to develop beyond 2035. FEE SCHEDULE The fees are calculated by taking the cost per DUE and multiplying it by the DUES per acre. For residential land uses, the fee per unit is determined by dividing the cost per acre by the average density for each respective land use. The fee for each land use is calculated below. A summary of the storm drainage component of the IMFP for Zone 1 is presented in Table 7-5. Fees for Zone 2 are shown in Table 7-6. Lodi IMFP Final Draft Report Harris & Associates Zone 1 Residential Z Units Residential 1 Units Acres DUE per Acre Total DUES per Acre Low Density 0 0.00 1.0000 0.00 Medium Density 0 0.00 1.2500 0.00 High Density 0 0.00 1.2500 0.00 Subtotal 0 0.00 Non -Residential Z 0.00 Non -Residential 1 DUE per Acre Acres DUE per Acre Total DUES per Acre Retail (Minor & Major) N/A 25.63 1.7500 45.00 Office/Medical N/A 0.80 1.7500 1.00 Industrial N/A 164.58 1.8750 309.00 Subtotal 1.2500 191.01 Subtotal 355.00 Total DUEs 124.00 Total DUES 355.00 Cost to Spread 523.00 Cost to Spread $3,640,856.66 ' Includes anticipated development through 2035 within Sheds C and H (i.e., remaining infill and east of State Route 99). 2 Land Uses are representative of the buildout conditions of Zone 2 and includes land expected to develop beyond 2035. FEE SCHEDULE The fees are calculated by taking the cost per DUE and multiplying it by the DUES per acre. For residential land uses, the fee per unit is determined by dividing the cost per acre by the average density for each respective land use. The fee for each land use is calculated below. A summary of the storm drainage component of the IMFP for Zone 1 is presented in Table 7-5. Fees for Zone 2 are shown in Table 7-6. Lodi IMFP Final Draft Report Harris & Associates Zone 2: F -Basin & I -Basin Cost Allocation Residential Z Units Acres DUE per Acre Total DUEs per Acre Low Density 1,297 216.19 1.0000 217.00 Medium Density 1,608 107.17 1.2500 134.00 High Density 711 28.44 1.6800 48.00 Subtotal 3,616 351.79 399.00 Non -Residential Z Acres DUE per Acre Total DUES per Acre Retail (Minor & Major) 8.49 1.7500 15.00 Office/Medical 38.35 1.7500 67.00 Industrial 0.00 1.8750 0.00 Institutional 33.78 1.2500 42.00 Subtotal 80.62 124.00 Total DUES 523.00 Cost to Spread $16,616,161.70 ' Includes anticipated development through 2035 within Sheds C and H (i.e., remaining infill and east of State Route 99). 2 Land Uses are representative of the buildout conditions of Zone 2 and includes land expected to develop beyond 2035. FEE SCHEDULE The fees are calculated by taking the cost per DUE and multiplying it by the DUES per acre. For residential land uses, the fee per unit is determined by dividing the cost per acre by the average density for each respective land use. The fee for each land use is calculated below. A summary of the storm drainage component of the IMFP for Zone 1 is presented in Table 7-5. Fees for Zone 2 are shown in Table 7-6. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 51 Table 7-5: Zone 1 Storm Drainage Fees 1 QUIC /-V. LLMC L JLVI 111 L/I dll IC36C rCCZ, Zone 2: F -Basin & I -Basin Cost Allocation Residential DUE per Acre Zone 1 Cost Per Acre Average Density Residential DUE per Acre 1.0000 Cost Per Acre Average Density 6.00 Cost Per Unit Low Density 1.0000 $ 10,255.93 6.00 $ 1,709.32 Medium Density 1.2500 $ 12,819.91 15.00 $ 854.66 High Density 1.6800 $ 17,229.96 25.00 $ 689.20 Non -Residential DUE per Acre $ Cost Per Acre Average Density Cost Per 1,000 SF Retail (Minor & Major) 1.7500 $ 17,947.88 N/A N/A N/A Office/Medical 1.7500 $ 17,947.88 N/A N/A N/A Industrial 1.8750 $ 19,229.87 N/A N/A N/A 1 QUIC /-V. LLMC L JLVI 111 L/I dll IC36C rCCZ, Zone 2: F -Basin & I -Basin Cost Allocation Residential DUE per Acre Cost Per Acre Average Density Cost Per Unit Low Density 1.0000 $ 31,770.86 6.00 $ 5,295.14 Medium Density 1.2500 $ 39,713.58 15.00 $ 2,647.57 High Density 1.6800 $ 53,375.04 25.00 $ 2,135.00 Non -Residential DUE per Acre Cost Per Acre Average Density Cost Per 1,000 SF Retail (Minor & Major) 1.7500 $ 55,599.01 N/A N/A Office/Medical 1.7500 $ 55,599.01 N/A N/A Industrial 1.8750 $ 59,570.36 N/A N/A Institutional 1.2500 $ 39,713.58 N/A N/A NEXUS REQUIREMENTS The storm drainage fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the storm drainage portion of the Impact Fee is to provide for the collection and conveyance of storm water within the identified City drainage basins. New development increases the quantity of impervious area and generates the need for storm drainage facilities to convey the storm drainage into the City's system. The storm drainage portion of the Impact Fee will be used to build new pump stations and detention basins necessary to mitigate the impacts of new development. Requirement #2: Identify the use to which the fee will be put. The storm drainage portion of the Impact Fee will be used to construct new storm drainage facilities including pump stations and detention basins required to serve new development in the City in drainage zone 1 and 2 as identified in the Storm Drainage Master Plan. These improvements are necessary to mitigate the increased storm water run-off that is generated when new development occurs. The improvements that will be funded with the fees are shown in Table 7-1 and Table 7-2. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 52 Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City will increase the quantity of impervious area which generates additional storm water runoff and the associated need for additional storm drainage facilities. The storm drainage portion of the Impact Fee will fund pump stations and detention basins as defined in the Storm Drainage Master Plan and shown in Table 7-1 and Table 7-2. Each type of development will fund their fair share of the new facilities in their drainage shed based on their respective runoff coefficient. New development outside these areas will be responsible for constructing their own storm drainage facilities. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new development in the City generates additional runoff as defined in the Storm Drainage Master Plan. This increased runoff generates the need for additional storm drainage infrastructure such as pump stations to convey runoff to detention basins. Each development requires a proportionate increase in storm drainage infrastructure based on the runoff coefficient for that respective type of development. The runoff generated by new development in drainage zones 1 and 2 creates the need for the projects identified in Table 7-1 and Table 7-2. Each development will fund their fair share of the infrastructure in their zone based on the increase in impervious area generated by the development. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. The City has been divided into fourteen storm drainage planning areas. Drainage facilities have been designed for each planning area based on how the drainage flows into each planning area and the cost of the drainage facilities within each planning area have been identified. For the purpose of this impact mitigation fee program, these basins have been consolidated into Zone 1 with the exception of the F and I Basins which have been consolidated into Zone 2. Based on the relative amount of impervious surface area associated with a given type of development, a runoff coefficient is applied and used to determine the DUES on a per acre basis for each land use. This is then used to determine the cost share per DUE for each zone. After calculating the cost share per DUE, the fee for each type of development is calculated as shown in Table 7-5 and Table 7-6. By utilizing the impervious area that each type of development generates to spread the cost of the required infrastructure, this ensures that each development pays their fair share of the project costs. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 53 8. TRANSPORTATION BACKGROUND To measure and describe the operational status of the local roadway network, transportation engineers and planners commonly use a grading system called level of service (LOS). Level of service is a description of a facility's operation, ranging from LOS A (indicating free-flow traffic conditions with little or no delay) to LOS F (representing over -saturated conditions where traffic flows exceed design capacity, resulting in long queues and delays). The City's 2010 General Plan contains policy direction about what constitutes acceptable operations on the City's street network. The policy states, "[fjor purposes of design review and environmental assessment, apply a standard of Level of Service E ... on all streets in the City's jurisdiction. The objective of this performance standard is to acknowledge that some level of traffic congestion during the peak hour is acceptable and indicative of an economically vibrant and active area, and that infrastructure design decisions should be based on the conditions that predominate during most of each day." The baseline analysis conducted for the 2010 General Plan Update evaluated more than 100 roadway segments and 11 major intersections throughout the City and calculated the LOS at each location (this effort was documented in the Lodi General Plan Update Working Paper #1: Land Use, Transportation, Environment and Infrastructure, 2007). Of all the locations studied in 2010, the only locations found to operate at LOS F, and thus operating outside of the standards set in the 2010 General Plan, were the segments of Kettleman Lane between Tienda Drive and Cherokee Lane. As will be discussed later in this section, none of the capital improvement projects included in the IMFP are located along these segments of Kettleman Lane, so the IMFP projects are not affected by the operations results presented in the General Plan baseline analysis. The South Hutchins Street Annexation Project Traffic Impact Analysis (2009) evaluated 19 study intersections throughout the southern part of Lodi, and found that all of the intersections operated at LOS D or better during both the morning and afternoon peak hours. The 2012 IMFP analysis determined that there were no existing deficiencies that would affect the nexus determination. The 2021 IMFP uses the methodology established in 2012 and merely updates the project costs and resulting fees. FACILITIES AND COSTS The primary future deficiency is anticipated to occur along Harney Lane, which is currently a two- lane road but which would need to be widened to four lanes in order to accommodate the demand from the new development that is anticipated in the southern and western areas of the City. Harney Lane is immediately adjacent to major new development areas, and the widening is only needed to serve those new areas; therefore, it is reasonable for the full cost of the Harney Lane improvements to be included in the IMFP. Since the 2012 IMFP, development has been Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 54 steadily occurring along the southern area of the City and this project remains a necessary improvement to maintain an acceptable LOS. Additional future improvements identified in the 2012 IMFP included Guild Avenue and Victor Road, due to the addition of more industrial development in the area east of SR 99. The capital improvement project list for the IMFP, therefore, includes the widening of Victor Road from two to four lanes between SR 99 and Guild Avenue, addition of a median on West Lane south of Harney, the ultimate median construction on Harney from just west of Lower Sacramento Road to South Hutchins Street, interim widening improvements on Harney from Lower Sacramento Road to Mills Avenue, and a re -striping of Guild Avenue to provide four travel lanes between Lodi Avenue and Auto Center Drive. Along with these roadway improvements, the intersection of Victor Road and Guild Avenue should be signalized. These improvements are adjacent to major areas of future development and are needed to serve the traffic generated by those new uses, so it is reasonable for the full cost of the improvements to be included in the IMFP. As part of the 2012 IMFP, City staff also identified more localized improvements that were included in the IMFP capital improvement list. Based on intersection projects that had been identified in previous capital improvement programs, staff designated five intersections where installation of traffic signals are needed: Mills Avenue/Elm Street, Turner Road/California Street, Turner Road/Sacramento Street, Cherokee Lane/Elm Street, and Guild Avenue/Victor Road. Because these are local intersections that are not adjacent to major new development areas, it was determined that the IMFP should cover only a portion of these project costs, proportional to the amount of traffic passing through these intersections that were expected to be generated by new development. These fair -share percentages were calculated using the results of the 2035 traffic model. The projects and identified fair share obligations identified in 2012 remain unchanged in the 2021 IMFP. The costs of the projects included in the IMFP are summarized in Table 8-1. It should be noted that it is assumed that the full cost of the UPRR grade separation on Harney Lane will be funded through a variety of outside funding sources such as STIP, Measure K, etc. Should assumptions change and outside funding not be secured, additional funding will be required from the IMFP. Following the adoption of the 2012 IMFP, the City began collection of the transportation impact fee. As of 2020, the transportation IMFP had an approximately $1.1 million fund balance to be applied to the CIP projects detailed in Table 8-1. The City is actively funding transportation projects as they become necessary. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 55 Table 8-1: Transportation Cost Summary Outside Funding Expenditures to Net Cost Included Traffic Signals Total Project Cost Sources 1 Date in Fee Program Mills Ave and Elm St $422,880.00 $338,304.00 $84,576.00 Turner Rd and California St $422,880.00 $338,304.00 $84,576.00 Turner Rd and Sacramento St $422,880.00 $296,016.00 $126,864.00 Cherokee Ln and Elm St $422,880.00 $296,016.00 $126,864.00 Guild Ave and Victor Rd $829,902.00 $35,484.00 $794,418.00 Subtotal $2,521,422.00 $1,268,640.00 $35,484.00 $1,217,298.00 Outside Funding Net Cost Included Roadway Improvements Total Project Cost Sources 1 in Fee Program Guild Ave and Victor Rd (Striping 2 to 4 lanes) $53,230.10 $53,230.10 Victor Rd (4 lanes, SR99 to Guild) $7,224,085.00 $4,329,545.00 $2,894,540.00 West Lane (1/2 miles) $697,142.60 $697,142.60 Harney Lane 2 $32,276,145.00 $29,663,700.00 $2,612,445.00 Subtotal $40,250,602.70 $33,993,245.00 -- $6,257,357.70 Total Cost of Traffic Signal and Roadway Improvements $7,474,655.70 Transportation Fund Balance $1,062,275.45 City Contributions 3 $408,229.00 1 Includes RTIF, RSTP, SJCOG, and Measure K funding. Z Lower Sacramento Road to Highway 99 including Highway 99 and Harney Lane Interchange. 3 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. DWELLING UNIT EQUIVALENTS Dwelling Unit Equivalent factors are a common way of normalizing the effects of different types of land use on a set of public facilities. Many transportation impact fee programs use DUE factors to account for the relative burden on the transportation system caused by different types of development. DUE factors commonly include an accounting of trip generation rates and percentages of pass -by trips attributable to different land uses, and sometimes include a representation of average trip lengths or other characteristics. For purposes of this evaluation, trip generation rates and pass -by trip percentages were used to develop DUE factors for each land use type. The City of Lodi travel demand model contains trip generation rates for several land use categories and has been calibrated to reflect local conditions. Table 8-2 shows the PM peak hour trip generation rate for each land use category based on the Lodi model, as well as the percentage of new trips attributable to each category from a commonly -accepted reference document on this subject. These figures are multiplied together to determine the number of new trips per unit of development (per dwelling unit for residential uses, and per thousand square feet for non-residential uses). The single-family residential rate is then set to 1.0 and all other rates are normalized to that level, so the factors can be used to calculate each land use category's proportional contribution toward the capital improvement project costs. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 8-2: Calculation of Dwelling Unit Equivalent (DUE) Factors June 2021 Page 56 1 DU = dwel I i ng unit Z Lodi Travel Demand Forecasting Model and ITE Trip Generation, 8th Edition 3 SANDAG Brief Guide of Vehicular Traffic Generation rates, April 2002 Source: Fehr & Peers, 2012 FEE METHODOLOGY Future development in the City will create the need for roadway improvement. For the purposes of this evaluation, trip generation rates and pass -by trip percentages were used to develop DUE factors for each land use type. These DUE factors were then applied to the future development land uses through 2035 to determine the total number of DUES. A cost per DUE is calculated by dividing the total project cost by the total number of DUES. This calculation is shown in Table 8- 3. The DUE factors for each land use is multiplied by the cost per DUE to allocate costs to each land use type as shown in Table 8-4. Table 8-3: Transportation Cost per DUE Calculations PM Peak Hour New Tri ps per Bldg SF 1 1,000 SF Total DUES Trip Rate 2 New Tri ps3 Unit DUE per Land Use Unit 1 (A) (B) (A -B) Unit Low Density DU 1.16 100% 1.16 1.0000 Medium Density DU 0.63 100% 0.63 0.5431 High Density DU 0.63 100% 0.63 0.5431 Commercial /Retail 1,000 SF 3.91 50% 1.96 1.6853 Office 1,000 SF 2.03 70% 1.42 1.2250 Industrial 1,000 SF 0.85 85% 0.72 0.6228 1 DU = dwel I i ng unit Z Lodi Travel Demand Forecasting Model and ITE Trip Generation, 8th Edition 3 SANDAG Brief Guide of Vehicular Traffic Generation rates, April 2002 Source: Fehr & Peers, 2012 FEE METHODOLOGY Future development in the City will create the need for roadway improvement. For the purposes of this evaluation, trip generation rates and pass -by trip percentages were used to develop DUE factors for each land use type. These DUE factors were then applied to the future development land uses through 2035 to determine the total number of DUES. A cost per DUE is calculated by dividing the total project cost by the total number of DUES. This calculation is shown in Table 8- 3. The DUE factors for each land use is multiplied by the cost per DUE to allocate costs to each land use type as shown in Table 8-4. Table 8-3: Transportation Cost per DUE Calculations ' Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development Z PM Peak Hour Trip Rate and New Trips percentage derived from the 2012 City of Lodi Traffic Study conducted by Fehr & Peers. FEE SCHEDULE A summary of the transportation component of the IMFP is presented in the Table 8-4. Lodi IMFP Final Draft Report Harris & Associates PM Peak Hour Trip Generation Bldg SF 1 1,000 SF Total DUES Retail (Minor & Major) Trip Rate Z New Trips Z Factors DUE per 563,000 2.03 70% Residential Units (a) (b) (a*b) Unit Total DUES Low Density 3,325 1.16 100% 1.16 1.0000 3,325 Medium Density 308 0.63 100% 0.63 0.5431 167 High Density 0 0.63 100% 0.63 0.5431 0 Subtotal 3,633 3,492 ' Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development Z PM Peak Hour Trip Rate and New Trips percentage derived from the 2012 City of Lodi Traffic Study conducted by Fehr & Peers. FEE SCHEDULE A summary of the transportation component of the IMFP is presented in the Table 8-4. Lodi IMFP Final Draft Report Harris & Associates DUE per Non -Residential Bldg SF 1 1,000 SF Total DUES Retail (Minor & Major) 549,271 3.91 50% 1.96 1.6853 926 Office/Medical 563,000 2.03 70% 1.42 1.2250 690 Industrial 2,221,000 0.85 85% 0.72 0.6228 1,383 Subtotal 3,333,271 2,999 Total DUES 6,491 Cost to Spread $ 6,004,151.25 ' Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development Z PM Peak Hour Trip Rate and New Trips percentage derived from the 2012 City of Lodi Traffic Study conducted by Fehr & Peers. FEE SCHEDULE A summary of the transportation component of the IMFP is presented in the Table 8-4. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 57 Table 8-4: Transportation Fees NEXUS REQUIREMENTS The Traffic fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the Traffic portion of the Impact Fee is to provide improvements to major roadway facilities needed to accommodate and mitigate the traffic impacts created by new development within the City as identified by the Public Works Department and by the 2035 Traffic Model. Requirement #2: Identify the use to which the fee will be put. The Traffic portion of the Impact Fee is to be used for the expansion of roadway facilities, intersections and signalization as identified by the City Public Works Department and the 2035 Traffic Model. These infrastructure improvements are identified in Table 8-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the City will generate additional vehicular trips and the need for increased roadway capacity in order to maintain a LOS E on all portions of the roadway system. The traffic portion of the Impact Fee will be used to expand roadway capacity as well as improve and signalize intersections to facilitate the necessary traffic flow to maintain a LOS E. Each development pays their fair share of the traffic mitigation measures based on the PM peak trips generated by each type of development. By utilizing the PM peak trips, this ensures that each type of development pays their fair share of the identified project costs. Lodi IMP Final Draft Report Harris & Associates Trip Generation Residential Factors DUE per Unit Cost per Unit Low Density 1.16 1.0000 $ 925.00 Medium Density 0.63 0.5431 $ 502.37 High Density 0.63 0.5431 $ 502.37 Non -Residential DUE per 1,000 SF Cost per 1,000 SF Retail (Minor & Major) 1.96 1.6853 $ 1,558.90 Office/Medical 1.42 1.2250 $ 1,133.13 Industrial 0.72 0.6228 $ 576.09 NEXUS REQUIREMENTS The Traffic fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the Traffic portion of the Impact Fee is to provide improvements to major roadway facilities needed to accommodate and mitigate the traffic impacts created by new development within the City as identified by the Public Works Department and by the 2035 Traffic Model. Requirement #2: Identify the use to which the fee will be put. The Traffic portion of the Impact Fee is to be used for the expansion of roadway facilities, intersections and signalization as identified by the City Public Works Department and the 2035 Traffic Model. These infrastructure improvements are identified in Table 8-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the City will generate additional vehicular trips and the need for increased roadway capacity in order to maintain a LOS E on all portions of the roadway system. The traffic portion of the Impact Fee will be used to expand roadway capacity as well as improve and signalize intersections to facilitate the necessary traffic flow to maintain a LOS E. Each development pays their fair share of the traffic mitigation measures based on the PM peak trips generated by each type of development. By utilizing the PM peak trips, this ensures that each type of development pays their fair share of the identified project costs. Lodi IMP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 58 Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new development project generates additional trips and adds to the incremental need for roadway capacity improvements identified in the 2035 Traffic Model. If a minimum LOS of E is to be maintained, the roadway system must be expanded as new development occurs. Roadway improvement projects required to maintain a LOS E are identified in Table 8-1. The traffic portion of the Impact Fee for each type of development is determined based on the PM Peak trips that each type of development is expected to generate as shown in Table 8-2. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Roadway improvements required to serve the new development within the City were identified to ensure a LOS of E is maintained. Cost estimates for these improvements were developed by City Staff and have been updated to reflect the ENR CCI and recent bids. These costs are summarized in Table 8-1. Trip generation rates are applied to each type of development within the City as shown in Table 8-2. This trip generation rate determines the number of trips each type of development will generate within the City and ensures that each type of development is paying for only their fair share of the required roadway improvements. This methodology is then used to determine the cost share per DUE as calculated in Table 8-3. The traffic fees for each new development equals the share of the facilities attributable to each development based on the new trips being generated as shown in Table 8-4. The traffic portion of the impact fee only funds the costs associated with new development's increased traffic share to maintain a LOS of E as identified in the 2010 General Plan. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 59 9. POLICE BACKGROUND The Lodi Police Department has organized the City into three districts - the Central District, Heritage District, and Sunset District - and five patrol beats. The department protects and serves the City through crime prevention, investigation, and other public safety services. The department has several specialized units, including investigations, narcotics, gang intelligence, drug suppression, crime prevention, K-9, special weapons and tactics, and traffic units. FACILITIES AND COSTS The police station is located at 215 West Elm Street and includes 56,000 square feet of building space. Based on a 2012 building capacity review conducted by the police department, the police station can accommodate enough additional officers and personnel to serve approximately 92,000 residents. Since 2012, there has not been an expansion of the City of Lodi Police Station and the assumption that the existing building can serve approximately 92,000 residents remains unchanged. The police station was financed with a portion of the proceeds from the 2002 Public Improvement Financing Project, which issued $26.7 million in Certificates of Participation (COPs). Approximately $14.3 million of the aggregate bond amount was used to construct the police station. The total cost related to the police station portion of the COPs equals approximately $27.0 million and includes COP principal and interest costs. However, only a portion of the total cost of the police facilities is attributable to future development. A summary of the facilities and corresponding costs that are included in the IMFP is presented in Table 9-1. More detailed information, including the allocation of Police Station Costs to future development, is shown in Table 9-4. Table 9-1: Police Cost Summary Project Fee Funded Cost Police Station Costs $ 4,062,387 (Future Development's share only) Vehicle Costs $ 537,784 Police Fee Fund Balance $ 428,034 City Contributions 1 $ 475,975 1 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. LEVEL OF SERVICE STANDARD The City's fiscal year 2011/12 budget included funding for 106 police officers; this included 71 sworn and 35 non -sworn officers. Based on the number of officers in 2012, a police service standard of 1.70 officers per 1,000 residents was established. The building capacity review conducted bythe police department revealed that the existing police station could accommodate approximately 50 additional police personnel. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 60 Based on the City's established level of service and the police station capacity review, in 2012, the police station was estimated to serve an additional 29,412 future residents. The IMFP incorporates development through year 2035; development projections assume the City would grow by an additional 13,128 residents between 2012 and 2035. Consequently, the police station has excess capacity to accommodate sufficient officers to serve an additional 16,284 residents beyond the 2035 horizon of the IMFP. DWELLING UNIT EQUIVALENTS Police facility costs are allocated based on residents and employees since it is reasoned that residential and non-residential developments benefit from these facilities. Consequently, a persons served figure is used in the cost allocation calculation for police facilities. The persons served factor is defined as the residential population plus 50% of employees. The exact relationship in terms of service demand required by residents and employees is difficult to measure, but it is a generally understood that employees utilize less police services than residents. As a result, a resident is equal to 1.0 persons served and an employee is assumed to equal 0.5 persons served. The persons served for a residential unit is equal to the average persons per household. The persons served per 1,000 square feet of non-residential building space is equal to one half the average number of employees assumed for that building type. The DUE for the police fee is based on the persons served and is a factor that quantifies different land use types in terms of their equivalence to a low density residential unit. A low density residential unit is assigned a DUE factor of 1.0 and the DUE factor for each of the other land use categories is determined based on the anticipated number of persons served for each land use category relative to the number of persons served for a low density residential unit. A summary of the DUE factors for each land use type is presented in Table 9-2. Table 9-2: Police Facilities Dwelling Unit Equivalents FEE METHODOLOGY Because the police station has the capacity to service the City's residents beyond 2035, police station costs are allocated to existing development in the City, future development through 2035, and future development beyond 2035, based on the estimated total persons served for each development period. Based on this methodology, existing development as of 2012 was Lodi IMFP Final Draft Report Harris & Associates Persons per Resident -to -Employee Household/ Employees Ratio =1.0 : 0.5 Land Use (per 1,000 SF) Persons Served DUE Factor Residential per Unit Low Density 2.85 2.85 1.0000 Medium Density 2.40 2.40 0.8421 High Density 2.00 2.00 0.7018 Non -Residential per 1,000 SF Retail (Minor&Major) 2.50 1.25 0.4386 Office/Medical 4.00 2.00 0.7018 Industrial 1.33 0.67 0.2339 FEE METHODOLOGY Because the police station has the capacity to service the City's residents beyond 2035, police station costs are allocated to existing development in the City, future development through 2035, and future development beyond 2035, based on the estimated total persons served for each development period. Based on this methodology, existing development as of 2012 was Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 61 responsible for approximately 66% of the cost of the police station; this portion of the cost must be funded with revenues other than future development impact fees. New development is responsible for the remaining 34% of the total cost. As shown in Table 9-3, approximately 19% of the total cost is allocated to development beyond 2035 and 15% is allocated to development through 2035. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 62 Table 9-3: Police Station Cost to Spread to New Development Police Station Capacity Allocation' (2011 thru 2035) Remaining Capacity for Additional Police Personnel (2012) 50 Existing Sworn and Non -Sworn Personnel (2012) 13,128 Sworn 71 Non -Sworn 35 Total 106 Sworn and Non -Sworn Personnel per 1,000 Residents (2012) 1.70 New Residents (beyond 2012 population) Served by Future Police Personnel 29,412 New Residents thru 2035 13,128 New Residents Beyond 2035 16,284 1 Capacity allocations were developed during the 2012 fee study and the percentage of costs attributable to new development have remained consistent. Z Assumes a proportional growth in the employee resident -equivalent population beyond 2035. 3Assumes an additional 15.0 sworn officers are required to serve future development through 2035. ° Vehicle costs escalated from July 2012 to April 2020 costs by the Consumer Price Index. 5 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. In addition to providing funding for the police station, the IMFP will also provide funding for various police vehicles, including marked patrol cars, unmarked/administration cars, traffic cars, Lodi IMFP Final Draft Report Harris & Associates IMFP Remaining Capacity Existing 2011 (2011 thru 2035) (Beyond 2035) Z Total Capacity Resident Population 62,473 13,128 16,284 91,885 Employee Resident -Equivalent Population 12,926 4,025 4,993 21,945 Persons Served 75,399 17,153 21,277 113,829 % of Total 66% 15% 19% 100% Police Station Costs Police Station portion of 2002 COP - Principal $14,320,000 Police Station portion of 2002 COP - Interest $12,637,838 Total Debt Service $26,957,838 %Attributable to Existing Development 66% Debt Service Allocated to Existing Development $17,856,530.62 %Attributable to Future Development Beyond 2035 19% Debt Service Allocated to Future Development Beyond 2035 $5,038,920.63 %Attributable to Future Development thru 2035 15% Debt Service Allocated to Future Development thru 2035 $4,062,386.75 Police Vehicle Costs Current # of Vehicles / Future Average $ / Total Vehicle Type Vehicles Sworn Officer Vehicles a Vehicle a Cost Marked Patrol 24 0.34 5.1 $48,917 $248,029.46 Unmarked/Administration 21 0.30 4.4 $39,907 $177,053.12 Traffic 9 0.13 1.9 $22,506 $42,792.60 Partners/Crime Prevention 5 0.07 1.1 $30,823 $32,559.87 Code Enforcement 3 0.04 0.6 $33,592 $21,290.55 Animal Control 2 0.03 0.4 $38,004 $16,058.00 Total Vehicle Cost Allocated to Future Development thru 2035 $537,783.60 Subtotal Cost Allocated to Future Development thru 2035 $4,600,170.35 Police Fee Fund Balance $428,033.58 City Contributions 5 $475,975.00 1 Capacity allocations were developed during the 2012 fee study and the percentage of costs attributable to new development have remained consistent. Z Assumes a proportional growth in the employee resident -equivalent population beyond 2035. 3Assumes an additional 15.0 sworn officers are required to serve future development through 2035. ° Vehicle costs escalated from July 2012 to April 2020 costs by the Consumer Price Index. 5 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. In addition to providing funding for the police station, the IMFP will also provide funding for various police vehicles, including marked patrol cars, unmarked/administration cars, traffic cars, Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 63 partners/crime prevention cars, code enforcement cars, and animal control cars to serve new residents. Based on the City's 2012 vehicles per sworn officer standard for each vehicle type, the total cost for vehicles needed to serve development through 2035 is approximately $0.54 million. The total cost allocated to future development included in the IMFP for the police station and vehicles is $4.6 million. The City currently has a police mitigation fee fund balance of approximately $430,000 and is required to contribute approximately $476,000 to the police mitigation fee as a result of the fee reduction adopted by Resolution 2012-142. Based on the existing fund balance and the required city contributions, the cost to spread to new development is reduced by $904,000 to approximately $3.7 million as shown in Table 9-3. The total cost allocated to future development through 2035 is spread based on the number of persons served in terms of DUES. Based on development projections through 2035, the Lodi Police Department will be required to serve approximately 4,741 additional DUES. Dividing the total cost allocated to future development through 2035 by the total number of DUES results in a Police Mitigation Fee of $779.62. These calculations are illustrated in Table 9-4. Table 9-4: Police Fees per DUE Residents per Persons Served Residential Units Unit per Unit DUES per Unit Total DUEs Low Density 3,325 2.85 2.85 1.0000 3,325 Medium Density 308 2.40 2.40 0.8421 260 High Density 0 2.00 2.00 0.7018 0 Subtotal 3,633 3,585 Non- Employees per Persons Served DUES per 1,000 Residential Bldg SF 1 1,000 SF Z per 1,000 SF Z SF Total DUES Retail (Minor & Major) 549,271 2.50 1.25 0.4386 241 Office/Medical 563,000 4.00 2.00 0.7018 395 Industrial 21221,000 1.33 0.67 0.2339 520 Subtotal 3,333,271 1,156 Total DUES 4,741 Cost to Spread $ 3,696,162 ' Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development 2 Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 64 FEE SCHEDULE The fees are calculated by taking the cost per DUE and applying it to the DUES per unit for each land use. The fee for each land use is calculated below. A summary of the police fees is presented in Table 9-5. Table 9-5: Police Fees Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). NEXUS REQUIREMENTS The police fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the Police portion of the Impact Fee is to provide necessary police facilities and equipment needed to maintain the established level of service and mitigate the impacts created by the increased population and employees as a result of new development within the City. Requirement #2: Identify the use to which the fee will be put. The Police portion of the Impact Fee is to be used to fund the debt service related to the construction of the police station and the procurement of various police vehicles, including marked patrol cars, unmarked/administration cars, traffic cars, partners/crime prevention cars, code enforcement cars, and animal control cars. These facilities and equipment are identified in Table 9-3. Lodi IMFP Final Draft Report Harris & Associates Residents per Persons Served Residential Unit per Unit DUES per Unit Cost per Unit Low Density 2.85 2.85 1.0000 $ 779.62 Medium Density 2.40 2.40 0.8421 $ 656.52 High Density 2.00 2.00 0.7018 $ 547.14 Non- Employees per Persons Served DUEs per 1,000 Residential 1,000 SF per 1,000 SF 1 SF Cost per 1,000 SF Retail (Minor & Major) 2.50 1.25 0.4386 $ 341.94 Office/Medical 4.00 2.00 0.7018 $ 547.14 Industrial 1.33 0.67 0.2339 $ 182.35 Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). NEXUS REQUIREMENTS The police fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the Police portion of the Impact Fee is to provide necessary police facilities and equipment needed to maintain the established level of service and mitigate the impacts created by the increased population and employees as a result of new development within the City. Requirement #2: Identify the use to which the fee will be put. The Police portion of the Impact Fee is to be used to fund the debt service related to the construction of the police station and the procurement of various police vehicles, including marked patrol cars, unmarked/administration cars, traffic cars, partners/crime prevention cars, code enforcement cars, and animal control cars. These facilities and equipment are identified in Table 9-3. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 65 Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the City will incrementally add to the population and employees of the City and subsequently the need for additional police facilities and equipment required to maintain the established existing level of service of 1.7 officers per 1,000 persons served. The police portion of the Impact Fee will be used to fund the debt service attributed to the construction of the police station and the procurement of additional police vehicles, including marked patrol cars, unmarked/administration cars, traffic cars, partners/crime prevention cars, code enforcement cars and animal control cars. Each development pays their fair share of the police impact fees based on the number of persons served that are added to the City by each type of development. By utilizing the DUES based on the number of persons served, this ensures that each type of development pays their fair share of the identified project costs. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new development project adds additional residents and employees and adds to the incremental need for additional police facilities and equipment. If a level of service of 1.7 officers per 1,000 persons served is to be maintained, the police facilities and equipment must be expanded as new development occurs. Police facilities and equipment required to support maintaining the existing level of service is identified in Table 9-3. The police portion of the Impact Fee for each type of development is determined based on the number of persons served that the type of development will add to the City this DUE calculation is shown in Table 9-2. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Police facilities and equipment required to serve the new development within the City were identified to ensure the existing level of service of 1.7 officers per 1,000 persons served is maintained. DUE factors are applied to each type of development within the City based on the number of persons served as shown in Table 9-2. The police fee for each type of development is calculated by taking the cost per DUE and applying it to the DUES per unit for each land use. This calculation ensures that each type of development is paying for only their fair share of the required police improvements and is shown in Table 9-5. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 66 10. FIRE BACKGROUND The Fire Department provides a wide range of emergency and non -emergency services, including fire suppression, emergency medical services, hazardous materials response, technical rescue, fire prevention, public education, and related safety services. The City has an Insurance Services Office (ISO) rating of Class 3, which indicates that the Fire Department is strategically placed throughout the City and has adequate personnel, equipment, and expertise to serve the current population. FACILITIES AND COSTS The Fire Department provides fire protection services to the City from four fire stations: Fire Station 1 is located in Lodi's downtown area; Fire Station 2 is located on the eastside of the City; Fire Station 3 is located in the southwest quadrant of the City; and Station 4 is in the northwest quadrant of the City. Combined, the City's fire stations are valued at approximately $14.7 million. In 2001, the City borrowed approximately $1.6 million from the water fee fund to construct Fire Station 4. As of 2021, the fire fee fund has repaid approximately $1.1 million of the inter -fund loan to -date, resulting in an outstanding balance of approximately $ 550,000. In addition to the City's four fire stations, Lodi's Fire Department requires various vehicles and equipment valued at approximately $7.6 million. Through extensive planning and preemptive expansion, Lodi's Fire Department has prepositioned itself and is capable to serve new development through 2035 and operates with resources that are valued at approximately $24 million. Based on the number of persons served, new development's fair share of the City's existing fire facilities infrastructure is approximately $4 million. In 2012 the department reviewed the anticipated locations of future development through 2035 and determined that it could continue to serve the entire City with existing Fire Stations 1, 3, and 4 and by relocating and expanding Fire Station 2. Fire Station 2 was relocated from its previous site to the intersection of Cherokee Lane and Oak Street in 2016; the station was expanded from 6,200 to 9,830 square feet at a cost of approximately $1.8 million Due to the fact that additional facilities are not required to serve buildout of the City, in 2012 it was determined that new development would fund the outstanding Loan Balance as well as the fire station number 2 expansion cost. The total of these facilities was approximately $2.9M which was less than new development's fair share of the existing facilities. A summary of the facilities and corresponding costs included in the IMFP is presented in Table 10-1. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Development Assumptions 1 Resident Population Employee Resident -Equivalent Population z Total Persons Served of Total Fire Station Costs Table 10-1: Fire Facilities Costs Existing 2011 Future (thru 2035) 62,473 13,128 12,926 4,025 75,399 17,153 81% 19% Fire Station Sq. Ft. Station #1 10,910 Station #2 ° 9,830 Station #3 5,300 Station #4 7,110 Subtotal 1 Fire Vehicle Costs 1 Vehicles and Equipment Costs Total Units Type I Engine 6 Tillered Quint Truck 2 Straight Quint Truck 0 Mobile Command Vehicle 1 HazMat Response Unit 1 Type IV Engine 1 Command Vehicle 3 Staff Vehicle 2 Portable Air Supply Trailer 1 Subtotal Total Estimated Replacement Cost %Attributable to Future Development Total Replacement Cost Attributable to Future Development Remaining Fire Costs Outstanding Loan Balance to Water Fee Fund 6 Station #2 Expansion Cost ( [Future SF (9,830) - existing SF (6,200)] x $495/ SF ) Station #2 Expansion Cost Financing Subtotal Fire Fee Fund Balance 6 Cost per Sq. Ft. 3 $506 $506 $506 $506 Cost per Unit 5 $536,630 $1,563,000 $926,925 $432,565 $370,770 $185,385 $67,975 $37,077 $37,077 June 2021 Page 67 Total Existing & Future 75,601 16,951 92,552 100% Estimated Replacement Cost $5,520,460.00 $4,973,980.00 $2,681,800.00 $3,597,660.00 $16,773,900.00 Estimated Replacement Cost $3,219,780.00 $3,126,000.00 $0.00 $432,565.00 $370,770.00 $185,385.00 $203,923.50 $74,154.00 $37,077.00 $7,649,654.50 $24,423,554.50 19% $4,526,596.08 $548,678.61 $1,796,850.00 $511,500.00 $2,857,028.61 ($625.39) 1 Capacity allocations were developed during the 2012 fee study and the percentage of costs attributable to new development have remained consistent. Z Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). 3 Fire Station costs per square foot were adjusted to reflect the actual cost of Fire Station #2's relocation and expansion and subsequently escalated by the 20 -Cities Engineering News Record Building Cost Index from January 2015 to June 2020. ° Station #2 was relocated to the existing site and was expanded from its current 6,200 SF to 9,830 SF. Expansion SF is less than the planned 10,500 SF due to budgetary constraints. 5 Unit costs for both a Type I Engine and a Tillered Quint Truck provided by Lodi Fire Chief Gene Stoddart. All unit costs updated by the Consumer Price Index to April 2020 dollars. 6 Fund balance currently has a $548,678.61 loan from the Water fund which is included in the fund balance. The fund balance also includes the interest accrued since 2015. Interest prior to 2015 was waived by the Lodi City Council on July 17, 2019. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 68 LEVEL OF SERVICE STANDARD Lodi's four fire stations provide adequate fire protection services to all areas within the City limits. In 2006, the most recent year of data availability, the department met a response time criteria of 6 minutes for 90% of all calls. The department reviewed the anticipated location of future development in the City through 2035 and based on that review, determined that the existing four stations, along with the 2016 relocation and expansion of Station 2, would continue to provide adequate service coverage to existing and future development. DWELLING UNIT EQUIVALENTS Fire facility costs are allocated based on residents and employees since it is reasoned that residential and non-residential developments both benefit from these facilities. For residential land uses, the persons served equals the residential population; for non-residential land uses, the persons served is equal to 50% of the number of employees. The exact relationship in terms of service demand required by residents and employees is difficult to measure, but it is a commonly understood that non-residential development utilizes less fire services than does residential development. As a result, a resident is equal to 1.0 persons served and an employee is assumed to equal 0.5 persons served. In order to quantify different land use types in terms of their equivalence to a low density residential unit, a DUE factor is determined for each land use type and is based on the number of persons served. A summary of the DUE factors for each land use type is presented in the following table. Table 10-2: Fire Facilities Dwelling Unit Equivalents Land Use Persons per Household Persons Served DUE Factor Residential per Unit Low Density 2.85 2.85 1.0000 Medium Density 2.40 2.40 0.8421 High Density 2.00 2.00 0.7018 Non -Residential Employees per 1,000 SF per 1,000 SF Retail (Minor & Major) 2.50 1.25 0.4386 Office/Medical 4.00 2.00 0.7018 Industrial 1.33 0.67 0.2333 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 69 FEE METHODOLOGY As discussed in this chapter in 2012, the City determined that it could serve future development through 2035 with existing Fire Stations 1, 3, and 4 and by relocating and expanding Fire Station 2. Consequently, the replacement value of existing fire stations and vehicles, plus the 2016 Station #2 expansion construction costs, are allocated to existing and future development based on the 2011 and future (i.e., through 2035) persons served within the City. A summary of the 2011 and future (i.e., through 2035) persons served, as well as the cost allocation, is presented in Table 10-3. Table 10-3: Fire Station Persons Served Development Assumptions 1 Existing 2011 Future (thru 2035) Total Existing & Future Resident Population 62,473 13,128 75,601 Employee Resident -Equivalent Population Z 12,926 4,025 16,951 Total Persons Served 75,399 17,153 92,552 % of Total 81% 19% 100% 1 Capactity allocations were developed during the 2012 fee study and the percentage of costs attributable to new development have remained consistent. Z Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). Based on the number of persons served, existing development was allocated approximately 81% of fire facilities and vehicle costs and future development through 2035 was allocated the remaining 19%. The total cost attributable to future development for fire facilities and vehicles is $4.5 million. This amount represents future development's fair share of all fire facilities in the City at 2035 and is the maximum amount that could be allocated to future development. The maximum amount that could be allocated to future development (i.e., $4.5 million) was more than the remaining unfunded facilities costs through 2035 (i.e., $2.8 million), therefore, in the 2012 fee study, it was determined that the cost of the remaining unfunded facilities would be incorporated in the calculation of the fire fee. The remaining unfunded facilities costs through 2035 include the outstanding amount borrowed from the water fund to finance the construction of Fire Station 4 and the construction costs for the expansion of Fire Station 2. In calculating the fire fees, the remaining cost is first allocated between future residential and non-residential development based on calls for service. Department records show that approximately 62.8% of the documented calls are attributable to residential development and the remaining 37.2% are attributable to non-residential development. These percentages were used to allocate the remaining million cost between future residential and non-residential development on a per DUE basis as shown in Table 10-4. A persons served methodology was then applied to determine the fire fee for each land use class within residential and non- residential development. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Residents per Employees per Persons Served June 2021 Page 70 Table 10-4: Fire Fee per DUE and per Employee Bldg SF Z Land Use Assumptions 1 per 1,000 SF DUE per 1,000 SF Total DUES Retail (Minor & Major) 549,271 2.50 Remaining Average Calls Total Projected Percent Allocation 563,000 4.00 Acreage thru 0.7018 395 1 Cost Allocation 1.33 0.67 Per Acre Calls for Service Total Non -Residential DUES 3,333,271 Persons Served 2035 1,156 Cost to Spread 1,000 SF Residential 574.7 1.19 682.66 61.8% $1,766,218.58 Non -Residential 228.3 1.85 421.85 38.2% $1,091,435.42 Total 803.0 $ 1,104.51 100.0% $2,857,654.00 0.67 0.2339 Residents per Persons Served Residential Units 2 Unit per Unit DUE per Unit Total DUES Low Density 3,325 2.85 2.85 1.0000 3,325 Medium Density 308 2.40 2.40 0.8421 260 High Density 0 2.00 2.00 0.7018 0 Total Residential DUES 3,633 3,585 Cost to Spread $ 1,766,218.58 Percentage allocation of calls for service based on call data for fire service and existing land uses from the 2012 IMFP Study. 2 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on fire facilities FEE SCHEDULE The fees are calculated by taking the cost per Residential DUE or Cost per Employee and applying it to the DUES per unit or Employees per 1,000 square feet for each land use, the fee for each land use is calculated below. A summary of the fire fees are presented in Table 10-5: Table 10-5: Fire Fees Residents per Employees per Persons Served Non -Residential Bldg SF Z 1,000 SF per 1,000 SF DUE per 1,000 SF Total DUES Retail (Minor & Major) 549,271 2.50 1.25 0.4386 241 Office/Medical 563,000 4.00 2.00 0.7018 395 Industrial 2,221,000 1.33 0.67 0.2339 520 Total Non -Residential DUES 3,333,271 Persons Served 1,156 Cost to Spread 1,000 SF per 1,000 SF DUE per 1,000 SF Cost $ 1,091,435.42 Percentage allocation of calls for service based on call data for fire service and existing land uses from the 2012 IMFP Study. 2 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on fire facilities FEE SCHEDULE The fees are calculated by taking the cost per Residential DUE or Cost per Employee and applying it to the DUES per unit or Employees per 1,000 square feet for each land use, the fee for each land use is calculated below. A summary of the fire fees are presented in Table 10-5: Table 10-5: Fire Fees Lodi IMFP Final Draft Report Harris & Associates Residents per Persons Served Residential Unit per Unit DUE per Unit Cost per Unit Low Density 2.85 2.85 1.0000 $ 492.67 Medium Density 2.40 2.40 0.8421 $ 414.88 High Density 2.00 2.00 0.7018 $ 345.73 Employees per Persons Served Non -Residential 1,000 SF per 1,000 SF DUE per 1,000 SF Cost per 1,000 SF Retail (Minor & Major) 2.50 1.25 0.4386 $ 414.10 Office/Medical 4.00 2.00 0.7018 $ 662.56 Industrial 1.33 0.67 0.2339 $ 220.85 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 71 NEXUS REQUIREMENTS The fire fee meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the Fire portion of the Impact Fee is to provide necessary fire facilities and equipment needed to maintain the established level of service and mitigate the impacts created by the increased population as a result of new development within the City. Requirement #2: Identify the use to which the fee will be put. The Fire portion of the Impact Fee is to be used to fund the expansion of Fire Station #2 and to reimburse the City for Fire Station #4. These costs are identified in Table 10-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the City will incrementally add to the population and number of employees in the City and subsequently the need for additional fire facilities and equipment required based on the number of persons served and the projected calls for service for each land use. The fire portion of the Impact Fee will be used to fund the expansion of Fire Station #2 and to reimburse the City for Fire Station #4. Each development pays their fair share of the fire impact fees based on the number of new residents or employees each new development generates as well as the average calls per acre for residential when compared to non-residential as shown in Table 10-4. By utilizing the number of persons served and the allocation of costs based on the average calls for service, this ensures that each type of development pays their fair share of the identified project costs. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new development project adds additional residents and employees and adds to the incremental need for additional fire facilities and equipment. If a 6 minute response time to 90% of service calls is to be maintained, the fire facilities must be expanded as new development occurs. Fire facilities required to support maintaining the existing level of service are identified in Table 10-1. The fire portion of the IMFP for each type of development is determined based on the number of persons served and the projected number of calls for service the type of development will add to the City of Lodi. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 72 Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Fire facilities required to serve the new development within the City of Lodi were identified to ensure the existing level of service of a 6 minute response time to 90% of service calls is to be maintained. Each new development pays a fee to fund new fire facilities based on the number of persons served added by each type of development within the City of Lodi and the average number of calls for service generated by each type of development as shown in Table 10-4 this ensures that each type of development is paying for only their fair share of the required fire improvements. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 73 11. COMMUNITY PARKS BACKGROUND The City maintains 278 acres of parks and dual use drainage basins; 184 acres of this total are parkland. The City's parks system includes twenty three developed parks that offer a variety of ball fields, picnic and play areas, and other amenities. Lodi Lake is the City's regional park, through which the Mokelumne River traverses, providing the City's residents with an assortment of outdoor activities. FACILITIES AND COSTS As a component of the 2012 IMFP study Vallier Design Associates (VDA), reviewed the City's existing park facilities to determine the type of parks and amenities that would supplement the City's existing community and regional park facilities. VDA, along with City staff, determined that improvements to DeBenedetti Park, Pixley Park, and Lodi Lake Park would be needed to serve future development. The proposed improvements for each park are as follows: • DeBenedetti Park is a 49 acre master planned community park off of Century Boulevard that is being constructed in phases. The first 35 -acre phase is complete, with the exception of lighting, leaving 14 acres to be constructed at a cost of $13.6 million. Park improvements consist of soccer, baseball and softball fields, a football field, restrooms, a concessions building, picnic and play areas, parking, and a storm water basin. • Pixley Park is a 27 acre park planned for multiple sports fields. The cost of the park construction is $6 million. The park will include softball fields, picnic structures, restrooms, and a storm water basin. • Lodi Lake Park is a 101 acre regional park on the northern edge of the City that will be expanded by 7 acres at a cost of $3.8 million. The expansion will add a group picnic area including a kitchen, shade/picnic structures, restrooms, pathways, parking, and a bocce ball court. The 2012 cost estimates for these improvements were updated by the ENR CCI. A summary of the facilities, and corresponding community and regional park costs, included in the IMFP is presented in Table 11-1. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Acres in Fee June 2021 Page 74 Table 11-1: Community Park Facilities Costs Net Acres Included Park Facility Population to Serve Regional Space Special Use Area in Fee Program DeBenedetti Park Residents % of Total Existing Residents (2012) 1 8.0 62,473 83% Future Residents thru 2035 2.5 13,128 17% Total Residents Lodi Lake 75,601 100% City -Wide Park Facilities (Costs Allocated to Future Development Only) - 8.0 Total 59.0 16.0 Acres / 1,000 22.0 10.5 Park Facility Type Cost Allocation 59.0 Total Acres $23,527,671.15 Residents $22,670,811.15 Park Fee Fund Balance Community 1.80 23.63 Regional 0.80 City Contributions z 10.50 Natural Open Space 2.10 27.57 Special Use Area 0.80 10.50 Total Acres 5.50 72.20 Acres Included in Fee Program ' Existing residents from 2012 used in order to maintain the calculated level of service of parkland in acres per 1,000 residents. 2 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. LEVEL OF SERVICE STANDARD The City's 2010 General Plan identifies a park service standard of 8.0 acres of parks and drainage basins per 1,000 residents. Table 11-2 provides a breakdown of the City's General Plan standard for each type of park. Table 11-2: Park Service Standards Park Type Neighborhood Community Regional Natural Open Space Special Use Areas General Plan Standard (Acres per 1,000 Residents) 2.5 Acres 1.8 Acres 0.8 Acres 2.1 Acres 0.8 Acres Lodi IMFP Final Draft Report Harris & Associates Acres in Fee Natural Open Net Acres Included Park Facility Total Acres Community Regional Space Special Use Area in Fee Program DeBenedetti Park 24.0 16.0 -- -- 8.0 24.0 Pixley Park 27.0 -- 2.5 22.0 2.5 27.0 Lodi Lake 8.0 -- 8.0 -- - 8.0 Total 59.0 16.0 10.5 22.0 10.5 59.0 Cost Allocation 59.0 $23,527,671.15 $22,670,811.15 ' Existing residents from 2012 used in order to maintain the calculated level of service of parkland in acres per 1,000 residents. 2 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. LEVEL OF SERVICE STANDARD The City's 2010 General Plan identifies a park service standard of 8.0 acres of parks and drainage basins per 1,000 residents. Table 11-2 provides a breakdown of the City's General Plan standard for each type of park. Table 11-2: Park Service Standards Park Type Neighborhood Community Regional Natural Open Space Special Use Areas General Plan Standard (Acres per 1,000 Residents) 2.5 Acres 1.8 Acres 0.8 Acres 2.1 Acres 0.8 Acres Lodi IMFP Final Draft Report Harris & Associates Acres in Fee % Included in Fee Expenditures to Park Facility Program Total Acres Program Total Cost Date Remaining Costs DeBenedetti Park 24.0 24.0 100.0% $13,657,243.75 $781,860.00 $12,875,383.75 Pixley Park 27.0 27.0 100.0% $6,066,353.12 $6,066,353.12 Lodi Lake 8.0 8.0 100.0% $3,804,074.28 $75,000.00 $3,729,074.28 Total 59.0 59.0 $23,527,671.15 $22,670,811.15 Park Fee Fund Balance $906,116.52 City Contributions z $2,461,233.00 ' Existing residents from 2012 used in order to maintain the calculated level of service of parkland in acres per 1,000 residents. 2 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. LEVEL OF SERVICE STANDARD The City's 2010 General Plan identifies a park service standard of 8.0 acres of parks and drainage basins per 1,000 residents. Table 11-2 provides a breakdown of the City's General Plan standard for each type of park. Table 11-2: Park Service Standards Park Type Neighborhood Community Regional Natural Open Space Special Use Areas General Plan Standard (Acres per 1,000 Residents) 2.5 Acres 1.8 Acres 0.8 Acres 2.1 Acres 0.8 Acres Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 75 DWELLING UNIT EQUIVALENTS Community and Regional Park costs are allocated based on residents and employees since it is reasoned that residential and non-residential developments both benefit from these facilities. Consequently, a persons served figure is used to estimate future impacts to park facilities. The number of persons served is defined as the residential population plus approximately 12 percent of all employees. The relationship in terms of service demand required by residents and employees is estimated based on the potential amount of time that a resident or employee can utilize park facilities. For example, a resident can utilize park facilities an average of 12 hours per day seven days a week for a total of 84 hours and an employee can utilize park facilities an average of about two hours per day five days a week for a total of 10 hours per week. In other words, the employee has the potential to use the park approximately 0.12 of the time that a resident can (10 - 84 = 0.12). A dwelling unit equivalent, based on the number of persons served, quantifies the impact from different land use types in terms of their equivalence to a low density residential unit. A low density residential unit is assigned a DUE factor of 1.0 and the DUE factor for each of the other land use categories is determined based on the persons served for each land use category relative to the persons served for a low density residential unit. A summary of the DUE factors for each land use type is presented in Table 11-3. No changes are being proposed from the 2012 assumptions. Table 11-3: Community Parks Dwelling Unit Equivalents FEE METHODOLOGY Future development in the City will create demand for community and regional park facilities. For purposes of the community park component of the IMFP, demand is measured by applying the parks service standard identified in the General Plan to the future number of residents in the City. By allocating facilities costs to each land use category based on its potential demand for park facilities as shown in Table 11-4, this IMFP ensures that each land use category will fund its fair -share of the required facilities. Consequently, the total community park cost of $19.3 million is allocated to future development based on the number of persons served. Lodi IMFP Final Draft Report Harris & Associates Persons per Household/ Resident -to -Employee Employees Ratio =1.0 : 0.12 Land Use (per 1,000 SF) Persons Served DUE Factor Residential per Unit Low Density 2.85 2.85 1.0000 Medium Density 2.40 2.40 0.8421 High Density 2.00 2.00 0.7018 Non -Residential per 1, 000 SF Retail (Minor& Major) 2.50 0.30 0.1053 Office/Medical 4.00 0.48 0.1684 Industrial 1.33 0.16 0.0561 FEE METHODOLOGY Future development in the City will create demand for community and regional park facilities. For purposes of the community park component of the IMFP, demand is measured by applying the parks service standard identified in the General Plan to the future number of residents in the City. By allocating facilities costs to each land use category based on its potential demand for park facilities as shown in Table 11-4, this IMFP ensures that each land use category will fund its fair -share of the required facilities. Consequently, the total community park cost of $19.3 million is allocated to future development based on the number of persons served. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program 1,000 SF 549,271 June 2021 Page 76 563,000 Table 11-4: Community Park Fees per DUE 2,221,000 1.33 3,333,271 Residents per User Equivalents Cost per Unit Residential Units 1 Unit per Unit DUEs per Unit Total DUES Low Density 3,325 2.85 2.85 1.0000 3,325 Medium Density 308 2.40 2.40 0.8421 260 High Density 0 2.00 2.00 0.7018 0 Subtotal 3,633 3,585 Non - Residential Retail (Minor & Major) Office/Medical Industrial Subtotal Total DUES Cost to Spread Employees per Bldg SF 1 1,000 SF 549,271 2.50 563,000 4.00 2,221,000 1.33 3,333,271 DUES per Unit User Equivalents DUE per 1,000 per 1,000 SF Z SF 0.30 0.1053 0.48 0.1684 0.16 0.0561 Total DUEs 58 95 125 277 3,862 $ 19,303,461.63 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on park facilities. Z Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approximately 0.12 residents (10/84 = 0.12) in terms of potential park utilization. FEE SCHEDULE The fees are calculated by taking the cost per DUE and applying it to the DUES per unit or DUE per 1,000 square feet for each land use, the fee for each land use is calculated below. A summary of the park component of the IMFP is presented in Table 11-5. Table 11-5: Community Park Fees 1 Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approx. 0.12 residents (10/84 = 0.12) in terms of potential park utilization. Lodi IMFP Final Draft Report Harris & Associates Residents per User Equivalents Residential Unit per Unit DUES per Unit Cost per Unit Low Density 2.85 2.85 1.0000 $ 4,997.98 Medium Density 2.40 2.40 0.8421 $ 4,208.80 High Density 2.00 2.00 0.7018 $ 3,507.58 Non- Employees per User Equivalents DUE per 1,000 Residential 1,000 SF per 1,000 SF 1 SF Cost per 1,000 SF Retail (Minor & Major) 2.50 0.30 0.1053 $ 526.29 Office/Medical 4.00 0.48 0.1684 $ 841.66 Industrial 1.33 0.16 0.0561 $ 280.39 1 Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approx. 0.12 residents (10/84 = 0.12) in terms of potential park utilization. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 77 NEXUS REQUIREMENTS The community park fee meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the community park portion of the Impact Fee is to provide necessary park facilities needed to maintain the established level of service of 5.5 total acres of community, regional, open space and special area parkland per 1,000 persons served within the City. Requirement #2: Identify the use to which the fee will be put. The community park portion of the Impact Fee is to be used to fund the construction and expansion of the City's park system, including community parks, regional parks, open space and special use areas. These facilities are identified in Table 11-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the City will incrementally add to the population and employees of the City and subsequently the need for additional community park facilities based on the number of residents and employees generated by each land use. The community park portion of the IMFP will be used to fund the construction and expansion of the City's park system, including community parks, regional parks, open space and special use areas. By utilizing the number of residents and employee equivalents being added to the City, this ensures that each type of development pays their fair share of the identified project costs. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new development project adds additional residents and employees which adds to the incremental need for additional community park facilities. If a level of service of 5.5 total acres per 1,000 residents and employee equivalents is to be maintained, the City's community parks system must be expanded as new development occurs. Community park facilities required to support maintaining the existing level of service are identified in Table 11-1. The community park portion of the IMFP for each type of development is determined based on the number of residents and employee equivalents that each type of development will add to the City as shown in Table 11-5. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 78 Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Community park facilities required to serve new development within the City were identified to ensure the existing level of service of 5.5 acres per 1,000 residents and employees is maintained. Cost estimates for these improvements were developed by VDA in 2012 in conjunction with City Staff and have been updated to reflect the ENR CCI. The number of persons served by parks for each type of development within the City of Lodi is shown in Table 11-3. This number of persons served determines the rate at which new development will utilize parks within the City of Lodi and is used to allocate the costs to each development type this ensures that each type of development is paying for only their fair share of the required community park improvements as shown in Table 11-5. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 79 12. NEIGHBORHOOD PARKS BACKGROUND In order to maintain the established level of service within the City, new neighborhood parks are needed to support development on the western side of Lower Sacramento Road. In the 2012 Parks IMFP Update, VDA evaluated the City's Park facilities, however neighborhood parks were excluded from this study because it was anticipated that constructing neighborhood parks would be the responsibility of the developers. Since the adoption of the IMFP program in 2012, the City passed Resolution 2013-184 which amended the parks IMFP to include neighborhood parks. The Neighborhood Parks included in the 2013 update only serve the area that is bounded by Lower Sacramento Road on the east, Woodbridge Irrigation District canal on the North, Harney Lane on the south and one half mile west of lower Sacramento Road on the west. As such, a special fee will be established for these areas for the purpose of constructing the neighborhood parks necessary to retain the City's established level of service of 2.5 acres of neighborhood parks per 1,000 residents. Figure 12-1 shows the area that is subject to the Neighborhood Parks IMF. Developers in other areas of the City will be required to build and dedicate neighborhood parks. FACILITIES AND COSTS Neighborhood Park facilities and cost estimates were established as part of the Southwest Gateway and Westside Development Agreements. It was determined that eight neighborhood parks would be required to maintain the established level of service. Five of these neighborhood parks are to be collocated with storm drainage basins and three will be stand-alone parks. The developers of the Rose Gate subdivision constructed Park A as part of their development agreement. Only the remaining seven parks "B" through "H" are included in the Neighborhood Parks IMF Calculations. These facilities are shown in the neighborhood parks fee zone shown in Figure 12-1. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Figure 12-1: Neighborhood Park Facilities Through 2035 CITY OF LODI PARKS PUBLIC WORKS DEPARTMENT FEE ZONES June 2021 Page 80 Legend 2018 City Limils _ Future Basin Future Park General Plan Limits Developer Constructed Zone Neighborhood Park Fee Zone j City Wide Zone Lodi IMFP Final Draft Report nk 1 in = 3,500 ft 613V2o1 a GAESRI MapsWarks%Parks Fee Zones Legend.mrd Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 81 A summary of the facilities and corresponding costs included in the IMFP is presented in Table 12-1. Table 12-1: Neighborhood Parks Costs Park Cost Estimate 1 Park A 2 $ Park B $ 1,158,514.31 Park C $ 3,413,700.33 Park D $ 695,348.80 Park E $ 2,549,434.92 Park F $ 695,348.80 Park G $ 1,910,419.23 Park H $ 1,071,956.18 Subtotal Costs $ 11,494,722.57 Park Fee Fund Balance $65,867.51 1 Costs were escalated from July 2013 to June 2020 based on the 20 -Cities Engineering News Record Construction Cost Index (ENR CCI). Z Park A was constructed during Rose Gate Phase I and as such there no required City Contributions as the park was constructed in lieu of the payment of fees. The Neighborhood Parks area is shown on Figure 12-1. The fee for these improvements will only apply to this area. Other Developments will be required to build and dedicate their neighborhood parks. DWELLING UNIT EQUIVALENTS For purposes of the Neighborhood Parks component of the Parks fees, Park costs are allocated based on residents and employees since it is reasoned that residential and non-residential developments both benefit from these facilities. Consequently, a persons served figure is used to estimate future impacts to park facilities. The number of persons served is defined as the residential population plus approximately 12 percent of all employees. The relationship in terms of service demand required by residents and employees is estimated based on the potential amount of time that a resident or employee can utilize park facilities. For example, a resident can utilize park facilities an average of 12 hours per day seven days a week for a total of 84 hours and an employee can utilize park facilities an average of about two hours per day five days a week for a total of 10 hours per week. In other words, the employee has the potential to use the park approximately 0.12 of the time that a resident can (10 - 84 = 0.12). A dwelling unit equivalent, based on the number of persons served, quantifies the impact from different land use types in terms of their equivalence to a low density residential unit. A low density residential unit is assigned a DUE factor of 1.0 and the DUE factor for each of the other land use categories is determined based on the persons served for each land use category relative to the persons served for a low density residential unit. A summary of the DUE factors for each land use type is presented in Table 12-2. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 12-2: Neighborhood Park Dwelling Unit Equivalents Land Use Residential Low Density Medium Density High Density Non -Residential Retai I (Mi nor & Major) Office/Medical Industrial Persons per Household/ Employees (per 1,000 SF) 2.85 2.40 2.00 2.50 4.00 1.33 Resident -to -Employee Ratio =1.0 : 0.12 Persons Served DUE Factor per Unit 2.85 1.0000 2.40 0.8421 2.00 0.7018 per 1, 000 SF 0.30 0.1053 0.48 0.1684 0.16 0.0561 June 2021 Page 82 FEE ZONES The fee zones are shown in Figure 12-2. The Core City area, shown in yellow on Figure 12-2, would pay the Community Parks fee. The areas in yellow with a crosshatch would pay the Community Parks fee and the Neighborhood Parks special area fee. For the Neighborhood Parks fee area, the developer may elect to construct the Neighborhood Park facilities and by doing so would only be subject to the Community Parks fee. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Figure 12-2: Parks Fee Zones W1, -� o G LAKE i = A TURNER RD 0 FRO Wp[�I� - -• -� PINe ST a LODI.ti6E' TOKAY ST VINE ST ? KETTLEMAN LN OE NTIJRY BLV➢ 3 � U j o � w r N [=j d d FEE ZONES LEGEND D v8 — 3!81+2 MILE O 1200 2400 360o FEET CITY LIMITS F-1 CITY WIDE ZONE ® NEIGHBORHOOD PARK FEE ZONE OR — GENERAL PLAN ® DEVELOPER DEVELOPER LIMITS CONSTRUCTED CONSTRUCTED City of Lodi PUBLIC WORKS DEPARTMENT Lodi IMFP Final Draft Report June 2021 Page 83 NHarris & Associates Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 84 FEE METHODOLOGY Future development in the Neighborhood Parks special fee area will create demand for neighborhood park facilities. For purposes of the neighborhood park component of the IMFP, demand is measured by applying the parks service standard identified in the General Plan to the future number of residents in the City. By allocating facilities costs to each land use category based on its potential demand for neighborhood park facilities as shown in Table 12-3, this IMFP ensures that each land use category will fund its fair -share of the required facilities. Consequently, the total park cost of $11.4 million is allocated to future development based on the number of persons served. Table 12-3: Neighborhood Parks Fee Calculation per DUE 1 Units and building square footage derived from the October 16, 2013 Public Hearing to Consider Resolution Approving Storm Drainage and Parks Impact Migitagion Fee Program Schedule of Fees Agenda Item which is representative of the buildout conditions of the area in which Neighborhood Park fees are collected. Units have been adjusted to account for the development in the neighborhood parks zone since October 16, 2013. 2Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approximately 0.12 residents (10/84 = 0.12) in terms of potential park utilization. Lodi IMFP Final Draft Report Harris & Associates Average Residents User Equivalents DUES per DUE per Residential Units 1 per Unit per Unit Unit Total DUEs Low Density 1,297 2.85 2.85 1.0000 1,297 Medium Density 1,620 2.40 2.40 0.8421 1,364 High Density 711 2.00 2.00 0.7018 499 Subtotal 3,628 0.16 0.0561 0 3,160 1 Units and building square footage derived from the October 16, 2013 Public Hearing to Consider Resolution Approving Storm Drainage and Parks Impact Migitagion Fee Program Schedule of Fees Agenda Item which is representative of the buildout conditions of the area in which Neighborhood Park fees are collected. Units have been adjusted to account for the development in the neighborhood parks zone since October 16, 2013. 2Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approximately 0.12 residents (10/84 = 0.12) in terms of potential park utilization. Lodi IMFP Final Draft Report Harris & Associates Average Employees User Equivalents DUE per Non -Residential Acres F.A.R. Bldg SF 1 per 1,000 SF per 1,000 SF Z 1,000 SF Total DUES Retail (Minor & Major) 34.52 0.25 375,923 2.50 0.30 0.1053 40 Office/Medical 38.35 0.3 501,158 4.00 0.48 0.1684 84 Industrial 0 0.4 0 1.33 0.16 0.0561 0 Subtotal 877,081 124 Total DUES 3,284 Cost to Spread $ 11,428,855.0 1 Units and building square footage derived from the October 16, 2013 Public Hearing to Consider Resolution Approving Storm Drainage and Parks Impact Migitagion Fee Program Schedule of Fees Agenda Item which is representative of the buildout conditions of the area in which Neighborhood Park fees are collected. Units have been adjusted to account for the development in the neighborhood parks zone since October 16, 2013. 2Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approximately 0.12 residents (10/84 = 0.12) in terms of potential park utilization. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 85 FEE SCHEDULE The fees are calculated by taking the cost per DUE and applying it to the DUEs per unit or DUE per 1,000 square feet for each land use, the fee for each land use is calculated below. A summary of the Neighborhood Parks component of the IMFP is presented in Table 12-4. Table 12-4: Neighborhood Parks Fee Schedule 1Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approx. 0.12 residents (10/84 = 0.12) in terms of potential park utilization. NEXUS REQUIREMENTS The Neighborhood Parks fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the neighborhood park portion of the Impact Fee is to provide necessary neighborhood park facilities needed to maintain the established level of service of 2.5 acres of neighborhood parkland per 1,000 residents and employees within the City of Lodi. Requirement #2: Identify the use to which the fee will be put. The neighborhood park portion of the Impact Fee is to be used to fund the construction of seven neighborhood parks. These facilities are summarized in Table 12-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the western portion of the City, shown in Figure 12-1, will incrementally add to the population of the City = and subsequently the need for additional neighborhood park facilities based on the number of residents and employees generated by each land use. The neighborhood park portion of the IMFP will be used to fund the construction of the seven neighborhood parks within the special fee area. By utilizing Lodi IMFP Final Draft Report Harris & Associates Residents per Residential Unit User Equivalents per Unit DUES per Unit Cost per Unit Low Density 2.85 2.85 1.0000 $ 3,480.16 Medium Density 2.40 2.40 0.8421 $ 2,930.66 High Density 2.00 2.00 0.7018 $ 2,442.22 Employees per User Equivalents per Cost per 1,000 Non -Residential 1,000 SF 1,000 SF 1 DUE per 1,000 SF SF Retail (Minor & Major) 2.50 0.30 0.1053 $ 366.33 Office/Medical 4.00 0.48 0.1684 $ 586.13 Industrial 1.33 0.16 0.0561 $ 195.38 1Assumes a resident can utilize park facilities an average of 12 hours per day 7 days a week (84 hours) and an employee can utilize park facilities an average of 2 hours per day 5 days a week (10 hours); this translates to 1.0 employee equaling approx. 0.12 residents (10/84 = 0.12) in terms of potential park utilization. NEXUS REQUIREMENTS The Neighborhood Parks fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the neighborhood park portion of the Impact Fee is to provide necessary neighborhood park facilities needed to maintain the established level of service of 2.5 acres of neighborhood parkland per 1,000 residents and employees within the City of Lodi. Requirement #2: Identify the use to which the fee will be put. The neighborhood park portion of the Impact Fee is to be used to fund the construction of seven neighborhood parks. These facilities are summarized in Table 12-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the western portion of the City, shown in Figure 12-1, will incrementally add to the population of the City = and subsequently the need for additional neighborhood park facilities based on the number of residents and employees generated by each land use. The neighborhood park portion of the IMFP will be used to fund the construction of the seven neighborhood parks within the special fee area. By utilizing Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 86 the number of residents and employee equivalents being added to the existing population, this ensures that each type of development pays their fair share of the identified project costs. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new development project adds additional residents and employees which adds to the incremental need for additional neighborhood park facilities. If a level of service of 2.5 acres of neighborhood parks per 1,000 resident equivalents is to be maintained, additional neighborhood parks must be constructed as new development occurs. Neighborhood park facilities required to support maintaining the existing level of service are identified in Table 12-1. The neighborhood park portion of the IMFP is determined based on the number of residents and employee equivalents that each the type of development will add to the City as shown in Table 12-2. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Neighborhood park facilities required to serve new development within the neighborhood park special fee area were identified to ensure the existing level of service of 2.5 acres of neighborhood parks per 1,000 residents and employees is maintained. Cost estimates for these improvements were developed by City Staff and have been updated to reflect the ENR CCI. The number of persons served by parks for each type of development within the City is shown in Table 12-2. This number of persons served determines the rate at which new development will utilize parks within the City and is used to allocate the costs to each development type this ensures that each type of development is paying for only their fair share of the required neighborhood park improvements as shown in Table 12-4. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 87 13. ELECTRIC UTILITY BACKGROUND When Lodi incorporated in 1906, a privately owned company provided electricity to the City. However, operation of the power utility transferred to the City in 1910. As the City grows, demand for electricity from new residential and non-residential development will also grow creating a need for new and upgraded electrical facilities and equipment. The electric utility component of the IMFP will ensure that funding will be available for electric utility projects that will serve future development in the City. FACILITIES AND COSTS As part of the 2012 IMFP, Lodi Electric Utility Department (LEU) staff evaluated load growth associated with new development and determined that new facilities will be required to meet the additional demand for electricity. These assumptions remain the same from the 2012 IMFP aside from the 2017 addition of the 230KV intertie system designed to increase the electrical systems capacity and reliability. New facilities include the following: 1. Distribution Reinforcements — to change the operational configuration of the system by switching, upgrading and extending existing feeders 2. Feeder Additions — adding feeders to existing substations 3. Added Bank at Industrial — adding a transformer and feeder(s) at Industrial Substation 4. Reynolds Ranch Phase 1 Line Extension 5. East Side Overhead Phase 1 Line Extension 6. Future Underground North Line Extension 7. 230KV Intertie System LEU has been implementing a Distribution Capacity Plan to enhance the capacity of the electrical distribution system by modifying and reinforcing the distribution system to meet projected loads since 2012. This is being done by using peak load data to determine which feeders have excess capacity and then moving the excess load to lightly loaded feeders. In 2017 as part of this effort to enhance the capacity and strengthen the distribution system, LEU determined that a new 230KV intertie system would be required and the transformer upscaling from 150 MVA to 200 MVA included in this project would directly serve future development. LEU staff in conjunction with Fortune Electric and Delta Star estimate that the cost of the 150 MVA and 200 MVA transformers is approximately $3.3 million and $3.7 million respectively. The IMFP incorporates development through year 2035; development projections assume the peak capacity would be subscribed by an additional 36,494 KW between 2021 and 2035. Consequently, the 230KV intertie system has excess capacity to serve an additional 56,105 KW beyond the 2035 horizon of the IMFP. The allocation of the transformer upscaling costs to new development is shown in Table 13-1. Table 13-1 LEU 230KV Intertie Cost Allocation Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Electrical Utility 230 KV Intertie Capacity Allocation Low Density Medium Density High Density Subtotal Retail (Minor & Major) Office/Medical Industrial Subtotal Total Total Load Capacity w/ 230 KV Intertie (KW) Current Development Capacity (KW) Total Capacity for Future Development Capacity Required for Development Through 2035 (KW) %Attributable to Future Development through 2035 Capacity Available for Future Development Beyond 2035 (KW) %Attributable to Future Development Beyond 2035 Electrical Utility 230KV Intertie Costs 150MVA Transformer 1 Total Cost for Non -Expanded System Transformers 200MVA Transformer Z Total Cost for the Expanded 230KV Project Transformers Costs allocated to Future Development %Attributable to Future Development through 2035 Cost Allocated to Future Development through 2035 %Attributable to Future Development Beyond 2035 Cost Allocated to Future Development Bevond 2035 June 2021 Page 88 Development Load through Through 2035 2035 (KW) 3,325 16,625 308 1,233 0 0 3,633 17,858 599,271 4,195 598,000 4,186 2,221,000 8,884 17,265 35,123 240,000 151,988 88,012 35,123 52,889 Quantity Unit Cost Total 2 $1,667,200 $3,334,400 $3,334,400 2 $1,875,600 $3,751,200 $3,751,200 $416,800 $166,720.00 $250,080.00 1 150MVA Transformers would be required to upgrade the existing distribution system under the current load. Cost estimate provided by the Lodi Electric in conjunction with Fortune Electric and Delta Star and escalated via CPI. z 200MVA Transformers are required to increase the peak load capacity to 230KV. Cost estimate provided by Lodi Electric in conjunction with Fortune Electric and Delta Star and escalated via CPI. A summary of the facilities, and corresponding costs, included in the IMFP is presented in Table 13-2. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 89 Table 13-2: Electric Utility Costs Facilities Distribution Reinforcements Feeder Additions Added Bank at Industrial Reynolds Ranch Phase 1 Line Extension East Side Overhead Phase 1 Line Extension Future Underground North Line Extension 1272 Feeder Ext for SW Dev. 230 KV Intertie System Subtotal Costs Allocated to Future Development Electrical Fee Fund Balance Citv Contributions 1 $1,023,169.00 $1,107,274.96 $4,200,000.00 $649,665.00 $259,085.00 $390,000.00 $250,000.00 $166,720.00 $8,045,913.96 $886,260.11 604, 660.00 1 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. DWELLING UNIT EQUIVALENTS LEU facilities costs are allocated based on estimated demand for electricity from residential and non-residential land uses. Demand is measured in 1,000 volt-ampere (kVA) increments, and represents the average transformer load per residential unit and 1,000 square feet of non- residential building space. A DUE, based on the average transformer load, is a factor that quantifies impacts from different land use types in terms of their equivalence to a low density residential unit. A low density residential unit is assigned a DUE factor of 1.0 and the DUE factor for each of the other land use categories is determined based on the average load factor (kVA) for each land use category relative to the kVA load generated by a low density residential unit. The DUE calculations are used to calculate the fee per kVA. The electric utility fee will be determined by actual panel size. A summary of the DUE factors for each land use type is presented in Table 13-3. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 90 Table 13-3: Electric Utility Dwelling Unit Equivalents FEE METHODOLOGY The total $6.5 million electric utility cost is allocated to future development based on the demand for electricity from each land use category. Applying the DUE factors from the prior section to future development within the City through 2035 results in 6,906 DUES. By dividing the $6.5 million cost by the 6,906 DUES, the cost per DUE is $949.17. Similar to water and wastewater fees that are based on meter size, the electric utility fee is based on the load capacity of the electric panel. Consequently, the electric fee for a residential unit that requires a 200 amp panel, which is the typical panel capacity for a home in Lodi, is $949.17. The fee for each panel load capacity is calculated in terms of its load capacity relative to the 200 amp panel. Accordingly, a 200 amp panel is assigned a DUE factor of 1.0 and a fee of $949.17. The DUE factor for each of the other panel sizes is determined based on the maximum load permitted for each panel type relative to the maximum load for a single phase 200 amp panel. These calculations are shown in greater detail in Table 13-4 below. Lodi IMFP Final Draft Report Harris & Associates Average Load Factor Land Use (kVA) DUE Factor Residential Low Density 5.00 1.0000 Medium Density 4.00 0.8000 High Density 3.00 0.6000 Non -Residential Retail (Minor & Major) 7.00 1.4000 Office/Medical 7.00 1.4000 Industrial 4.00 0.8000 FEE METHODOLOGY The total $6.5 million electric utility cost is allocated to future development based on the demand for electricity from each land use category. Applying the DUE factors from the prior section to future development within the City through 2035 results in 6,906 DUES. By dividing the $6.5 million cost by the 6,906 DUES, the cost per DUE is $949.17. Similar to water and wastewater fees that are based on meter size, the electric utility fee is based on the load capacity of the electric panel. Consequently, the electric fee for a residential unit that requires a 200 amp panel, which is the typical panel capacity for a home in Lodi, is $949.17. The fee for each panel load capacity is calculated in terms of its load capacity relative to the 200 amp panel. Accordingly, a 200 amp panel is assigned a DUE factor of 1.0 and a fee of $949.17. The DUE factor for each of the other panel sizes is determined based on the maximum load permitted for each panel type relative to the maximum load for a single phase 200 amp panel. These calculations are shown in greater detail in Table 13-4 below. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Average Load Factor June 2021 Page 91 Table 13-4: Electric Utility Fee Calculation per DUE Bldg SF 1 per 1,000 SF (kVA) Z DUES per 1,000 SF Average Load Factor Retail (Minor & Major) 549,271 Residential Units 1 per Unit (kVA) Z DUES per Unit Total DUES Low Density 3,325 5.00 1.0000 3,325 Medium Density 308 4.00 0.8000 247 High Density 0 3.00 0.6000 0 Subtotal 3,633 6,906 Cost to Spread 3,572 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on electrical utilities. Z Based on average transformer loading data provided by LEU. FEE SCHEDULE Electric utility fees will be determined based on the load capacity of the electric panel that is installed. The load capacities for each panel size and the relationship to a 200 amp panel are shown in Table 13-5. Lodi IMFP Final Draft Report Harris & Associates Average Load Factor Non -Residential Bldg SF 1 per 1,000 SF (kVA) Z DUES per 1,000 SF Total DUES Retail (Minor & Major) 549,271 7.00 1.4000 769 Office/Medical 563,000 7.00 1.4000 788 Industrial 2,221,000 4.00 0.8000 1,777 Subtotal 3,333,271 3,334 Total DUES 6,906 Cost to Spread $6,554,993.85 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on electrical utilities. Z Based on average transformer loading data provided by LEU. FEE SCHEDULE Electric utility fees will be determined based on the load capacity of the electric panel that is installed. The load capacities for each panel size and the relationship to a 200 amp panel are shown in Table 13-5. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 92 Table 13-5: Electric Utility DUES by Maximum Load Capacity A summary of the electric utility fees is presented in Table 13-6. These fees are calculated based on the relationship to a 200 amp single phase panel. Table 13-6: Electric Utilitv Fees 60 amps Full Load KVA $ Single Phase Panel N/A DUES N/A @ 240 Volts 474.59 60 amps 12 0.3000 100 amps 19 0.5000 125 amps 24 0.6250 200 amps 38 1.0000 400 amps 77 2.0000 600 amps 115 3.0000 A summary of the electric utility fees is presented in Table 13-6. These fees are calculated based on the relationship to a 200 amp single phase panel. Table 13-6: Electric Utilitv Fees 60 amps Full Load KVA $ Full Load KVA N/A Full Load KVA N/A Three Phase Panel 474.59 DUEs 125 amps DUES $ DUES N/A @ 208 Volts N/A @ 240 Volts 949.17 @ 480 Volts 400 amps 200 amps 55 1.4261 63 1.6454 126 3.2909 400 amps 110 2.8521 126 3.2909 253 6.5818 600 amps 164 4.2782 190 4.9363 379 9.8727 800 amps 219 5.7042 253 6.5818 505 13.1636 1000 amps 274 7.1303 N/A N/A 632 16.4545 1200 amps 329 8.5563 N/A N/A 758 19.7454 1600 amps 438 11.4084 N/A N/A 1,011 26.3272 2000 amps 548 14.2606 N/A N/A 1,264 32.9090 2500 amps 685 17.8257 N/A N/A 1,580 41.1362 3000 amps 821 21.3908 N/A N/A 1,896 49.3634 A summary of the electric utility fees is presented in Table 13-6. These fees are calculated based on the relationship to a 200 amp single phase panel. Table 13-6: Electric Utilitv Fees 60 amps N/A $ 284.75 N/A 100 amps N/A $ 474.59 N/A 125 amps N/A $ 593.23 N/A 200 amps N/A $ 949.17 N/A 400 amps N/A $ 1,898.34 N/A 600 amps N/A $ 2,847.51 N/A 200 amps $ 1,353.57 $ 1,561.81 $ 3,123.62 400 amps $ 2,707.14 $ 3,123.62 $ 6,247.24 600 amps $ 4,060.71 $ 4,685.43 $ 9,370.86 800 amps $ 5,414.28 $ 6,247.24 $ 12,494.48 1000 amps $ 6,767.84 N/A $ 15,618.10 1200 amps $ 8,121.41 N/A $ 18,741.72 1600 amps $ 10,828.55 N/A $ 24,988.96 2000 amps $ 13,535.69 N/A $ 31,236.20 2500 amps $ 16,919.61 N/A $ 39,045.25 3000 amps $ 20,303.53 N/A $ 46,854.30 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 93 A single-phase 200 amp panel is typically required for a single family residential unit; therefore, the estimated electric utility fee for a single family unit is $949.17. However, fees for all land uses will be determined based on actual panel size needed. NEXUS REQUIREMENTS The electric utility fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the Electrical portion of the IMFP is to provide improvements to the electrical system needed to accommodate and mitigate the additional electrical load created by new development within the City as identified by the City of Lodi Distribution Capacity Plan. Requirement #2: Identify the use to which the fee will be put. The Electric portion of the IMFP is to be used for the expansion of electrical distribution facilities and feeder additions as identified by the City of Lodi Distribution Capacity Plan. These infrastructure improvements are identified in Table 13-2. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. The development of new residential and non-residential land uses in the City will require electrical service and increases the need for additional electrical infrastructure in order to serve new development. The electric portion of the IMFP will be used to expand electrical distribution required to serve new development. Each development pays their fair share of the electric infrastructure based on the average load factor generated by each type of development. By utilizing the average load factor, this ensures that each type of development pays their fair share of the identified project costs. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 94 Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new development project generates additional load on the electrical system and adds to the incremental need for electrical distribution improvements identified in the Distribution Capacity Plan. In order to provide sufficient electrical service to new development, the electrical distribution system must be expanded. Electrical Distribution improvement projects required to provide electrical distribution to new development are identified in Table 13-2. The electric portion of the IMFP for each type of development is determined based on the load that each type of development is expected to generate. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Electrical distribution improvements required to serve the new development within the City were identified in the Distribution Capacity Plan. Cost estimates for these improvements were developed by Lodi Electric and have been updated to reflect the ENR CCI and recent bids. The electrical fee is based on the actual panel size new development installs and the fee for each panel load capacity is calculated in terms of its load capacity relative to a 200 amp panel as shown in Table 13-5. To calculate the fee for a 200 amp panel, average load factors are applied to each type of development within the City as shown in Table 13-3. This average load factor determines the average load in terms of kilovolts ampere (KVA) that each type of development will require within the City and ensures that each type of development is paying for only their fair share of the required electrical improvements. The electric fees collected from new development will equal the cost of the portion of the facilities attributable to new development. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 95 14. GENERAL CITY FACILITIES BACKGROUND As new development occurs within the City, additional city facilities will be required to meet the service demands from future development. In 1991 when the City's original Development Impact Fee Study was adopted, the capital improvement plan for the general city facilities fee included a city hall addition, library expansion, land acquisition, vehicles and equipment, fee program monitoring costs, and the cost of updating the General Plan. The general city facilities capital improvement plan was updated for the 2012 IMFP and is summarized below. FACILITIES AND COSTS The general cityfacilities capital improvement plan and subsequentlythe 2012 IMFP included the following projects: existing public safety building remodel; library expansion; and the costs of updates of the General Plan and the IMFP. In 2015, the City completed the public safety building remodel at a cost of approximately $2.8 million and the cost of this remodel is used in the calculation of the general city facilities fee. The future general plan update is estimated to cost $2.5 million. However, only a portion of the public safety building remodel and the general plan update is attributable to future development, as discussed in the Fee Methodology section of this chapter. In 2012, the additional library building space needed to serve future development out to 2035 was estimated to equal approximately 5,900 square feet based on a General Plan standard of 0.45 square feet per capita. The cost of this library space expansion is calculated on a square foot basis and has been escalated by the ENR CCI. Since the adoption of the 2012 IMFP, the City has expanded the library to include a children's area. This expansion was funded by the general fund and the total cost of approximately $275,500 is subtracted from the required city contributions as a result of the 60% fee reduction adopted in 2012. In addition to the expansion of the library building, new development is solely responsible for future updates to the IMFP. The costs of these future updates have been escalated by the Consumer Price Index. A summary of the facilities and the costs included in the IMFP is presented in Table 14-1. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 14-1: General City Facilities Costs Development Assumptions Resident Population Employee Resident -Equivalent Population' Total Persons Served % of Total Costs Allocated to Existing and Future Development Project Existing Public Safety Building Remodel z General Plan 3 Total Cost %Attributable to Existing Development Cost Attributable to Existing Development %Attributable to Future Development Cost Attributable to Future Development Costs Allocated to Future Development Only Library General Plan Standard (Sq Ft per capita) Future Residents Total Sq Ft Required to Serve Future Residents Cost per Sq Ft ° Subtotal Library Cost Attributable to Future Development Subtotal Cost Attributable to Future Development Fee Program Updates s Total Cost Attributable to Future Development General City Facilities Fee Fund Balance Citv Contributions 6 June 2021 Page 96 Estimated Cost $2,866,433 $2,471,800 $5,338,233 81% $4,323,968.73 19% $1,014,264.27 0.45 13,128 5,907.60 $484.71 $2,863,472.80 $3,877,737.07 $926,925.00 $4,804,662.07 $281,335.38 $390,647.00 1Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). 2Actual public safety building remodel costs provided by city staff. 3 General plan costs escalated based on the Consumer Price Index from July 2012 to June 2020. °Assumes construction of a new library facility and does not include land acquisition costs; costs have been escalated by the 20 -Cities Engineering News Record Building Cost Index from to July 2012 to June 2020. 5Total estimated cost to update the fee program at 5 -year intervals for a total of 4 updates, from 2020 through 2035. 6 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. LEVEL OF SERVICE STANDARD City staff has reviewed the City's general city facility needs associated with future development through 2035 and has determined the facilities and items to incorporate in the IMFP. The IMFP provides funding for only future development's share of costs associated with the existing public safety building remodel and future General Plan updates. Furthermore, the IMFP includes the cost of library space that is required to serve only future development. Based on the City's General Plan standard of 0.45 square feet of library building space per resident and an estimated 13,128 future residents, approximately 5,900 square feet of new library space will be needed by 2035. Lodi IMFP Final Draft Report Harris & Associates Future Total Existing & Existing 2011 (thru 2035) Future 62,473 13,128 75,601 12,926 4,025 16,952 75,399 17,153 92,553 81% 19% 100% Estimated Cost $2,866,433 $2,471,800 $5,338,233 81% $4,323,968.73 19% $1,014,264.27 0.45 13,128 5,907.60 $484.71 $2,863,472.80 $3,877,737.07 $926,925.00 $4,804,662.07 $281,335.38 $390,647.00 1Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). 2Actual public safety building remodel costs provided by city staff. 3 General plan costs escalated based on the Consumer Price Index from July 2012 to June 2020. °Assumes construction of a new library facility and does not include land acquisition costs; costs have been escalated by the 20 -Cities Engineering News Record Building Cost Index from to July 2012 to June 2020. 5Total estimated cost to update the fee program at 5 -year intervals for a total of 4 updates, from 2020 through 2035. 6 City Contributions is the cumulative amount of fees lost as a result of the fee reduction adopted by Resolution 2012-142. LEVEL OF SERVICE STANDARD City staff has reviewed the City's general city facility needs associated with future development through 2035 and has determined the facilities and items to incorporate in the IMFP. The IMFP provides funding for only future development's share of costs associated with the existing public safety building remodel and future General Plan updates. Furthermore, the IMFP includes the cost of library space that is required to serve only future development. Based on the City's General Plan standard of 0.45 square feet of library building space per resident and an estimated 13,128 future residents, approximately 5,900 square feet of new library space will be needed by 2035. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program June 2021 Page 97 DWELLING UNIT EQUIVALENTS General city facility costs are allocated based on residents and employees since it is reasoned that residential and non-residential developments both benefit from these facilities. A persons served figure is used in the cost allocation calculation for general city facilities costs. The persons served factor is defined as the residential population plus 50% of employees. A dwelling equivalent unit is based on the persons served and is a factor that quantifies different land use types in terms of their equivalence to a low density residential unit. A summary of the DUE factors for each land use type is presented in Table 14-2. No changes to the Dwelling Unit Equivalent factors are being proposed from the 2012 IMFP. ante 14-1: General City Facilities uwelling Unit tgUlValents Lodi IMFP Final Draft Report Harris & Associates Persons per Household/ Resident -to -Employee Employees Ratio =1.0 : 0.5 Land Use (per 1,000 SF) Persons Served DUE Factor Residential per Unit Low Density 2.85 2.85 1.0000 Medium Density 2.40 2.40 0.8421 High Density 2.00 2.00 0.7018 Non -Residential per 1,000SF Retail (Minor & Major) 2.50 1.25 0.4386 Office/Medical 4.00 2.00 0.7018 Industrial 1.33 0.67 0.2339 Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 98 FEE METHODOLOGY As discussed in the 2012 report, because the public safety building remodel and General Plan update benefit both existing and future development, these costs are allocated to existing development and future development through 2035, based on the estimated total persons served for each development period. As discussed in previous sections, the number of persons served is equal the residential population plus 50% of the employee population. Based on this methodology and the City's population and number of employees in 2012, it was determined that existing development would be responsible for approximately 81% of the remodel and General Plan costs and must fund its share of the cost with revenues other than future development impact fees. Future development was determined to be responsible for the remaining 19% of the total cost, and therefore, this portion of the cost is included in the IMFP. No changes to the allocation of costs between existing and future development are being proposed as part of the fee update. In addition to providing funding for future development's fair -share of the remodel and General Plan costs, the IMFP will provide full funding for the expansion of the library facilities as well as the cost of updating the IMFP. Since the library expansion and the IMFP updates will primarily benefit future development, the full cost of these items is included in the IMFP and allocated to future development only. Allocation of the total costs allocated to future development of is calculated on a DUE basis by dividing the approximately $4.1 million dollars of total General City Facilities costs attributable to future development identified in Table 14-1 by the total number of DUES projected to develop by through 2035. This calculation is shown in Table 14-3. Table 14-3: General City Facilities Fee per DUE Industrial 2,221,000 1.33 0.67 0.2339 520 Subtotal 3,333,271 1,156 Total DUEs 4,741 Cost to Spread $ 4,132,679.69 Total Cost per DUE $ 871.69 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on general city facilities. Lodi IMFP Final Draft Report Harris & Associates Residents per Persons Served Residential Units 1 Unit per Unit DUES per Unit Total DUES Low Density 3,325 2.85 2.85 1.0000 3,325 Medium Density 308 2.40 2.40 0.8421 260 High Density 0 2.00 2.00 0.7018 0 Subtotal 3,633 3,585 Employees per Persons Served Non -Residential Bldg SF 1 1,000 SF per 1,000 SF DUES per 1,000 SF Total DUEs Retail (Minor & Major) 549,271 2.50 1.25 0.4386 241 Office/Medical 563,000 4.00 2.00 0.7018 395 Industrial 2,221,000 1.33 0.67 0.2339 520 Subtotal 3,333,271 1,156 Total DUEs 4,741 Cost to Spread $ 4,132,679.69 Total Cost per DUE $ 871.69 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on general city facilities. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 99 FEE SCHEDULE The fees are calculated by taking the cost per DUE and applying it to the DUES per unit or DUE per 1,000 square feet for each land use, the fee for each land use is calculated below. A summary of the general city facilities fees is presented in Table 14-4. Table 14-4: General City Facilities Fees 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on general city facilities. NEXUS REQUIREMENTS The general city facilities fee meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the General City Facilities portion of the IMFP is to fund General City Facilities costs, including remodeling of the existing public safety building, library expansion, general plan updates and IMFP updates. Requirement #2: Identify the use to which the fee will be put. The General City Facilities portion of the IMFP is to be used to fund General City Facilities costs, including remodeling of the existing public safety building, general plan, library expansion, and fee program updates. These infrastructure improvements are identified in Table 14-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City will generate additional residents and employees who subsequently increase the demand for general city facilities. The existing city facilities are not sufficient to provide or maintain the existing level of service for all new development. The General City Facilities Fee of the impact fee will be used to fund General City Facilities costs, including remodeling of the existing public safety building, general plan update, library Lodi IMFP Final Draft Report Harris & Associates Residents per Persons Served Residential Unit per Unit DUES per Unit Cost per Unit Low Density 2.85 2.85 1.0000 $ 871.69 Medium Density 2.40 2.40 0.8421 $ 734.05 High Density 2.00 2.00 0.7018 $ 611.75 Employees per Persons Served Non -Residential 1,000 SF per 1,000 SF DUEs per 1,000 SF Cost per 1,000 SF Retail (Minor & Major) 2.50 1.25 0.4386 $ 382.32 Office/Medical 4.00 2.00 0.7018 $ 611.75 Industrial 1.33 0.67 0.2339 $ 203.89 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on general city facilities. NEXUS REQUIREMENTS The general city facilities fee meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the General City Facilities portion of the IMFP is to fund General City Facilities costs, including remodeling of the existing public safety building, library expansion, general plan updates and IMFP updates. Requirement #2: Identify the use to which the fee will be put. The General City Facilities portion of the IMFP is to be used to fund General City Facilities costs, including remodeling of the existing public safety building, general plan, library expansion, and fee program updates. These infrastructure improvements are identified in Table 14-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City will generate additional residents and employees who subsequently increase the demand for general city facilities. The existing city facilities are not sufficient to provide or maintain the existing level of service for all new development. The General City Facilities Fee of the impact fee will be used to fund General City Facilities costs, including remodeling of the existing public safety building, general plan update, library Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 100 expansion, and fee program updates. The cost of the general facilities improvements is spread to each type of development based on number of persons served for each land use as shown in Table 14-2. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new residential and non-residential development will add additional residents and employees who add incremental usage of general public facilities in the City. In order to maintain the existing level of service per resident, additional general city facilities must be constructed. Each new development project increases the demand for general facilities proportionally based on the number of persons to be served generated by each type of development. Each land use will pay a fee based on the number of persons or employees generated by that that type of development as shown in Table 14-2. Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. General facility improvements required to serve new development within the City are shown in Table 14-1. The General Facilities Fee is based on the number of persons served generated by each type of development in terms of DUES. This calculation takes the total cost of the general facility improvements and divides bythe total number of DUES of new development to determine a cost per DUE. This cost per DUE is then allocated to each land use using the number of persons served as shown in Table 14-4. Allocating costs by the number of persons served ensures that new development is only funds their fair share of the general facility infrastructure. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 101 15. ART IN PUBLIC PLACES BACKGROUND The City adopted a Public Art Policy in 2001 that established a public art requirement for public projects. The policy requires the public art fund to pay for art in public places. The art in public places fee of the IMFP establishes a public art funding standard based on the estimated value of the existing public art in the City. FACILITIES AND COSTS Public art pieces are located throughout the City, from the Veterans Memorial Plaza near City Hall to murals scattered throughout the City's downtown area. In all, approximately 25 public art pieces are located throughout the City. City Staff estimated the value for all 25 public art pieces totals approximately $2.7 million in 2020 dollars. Additionally, the City has collected approximately $119,000 to procure future public art installations throughout the City. When combined, the estimated value for all public art pieces in the City and the funds readily available to procure additional public art established the existing level of service for Art in Public Places. Table 15-1 identifies this existing level of service standard on a per capita basis. Lodi IMFP Final Draft Report Harris & Associates City of Lodi Impact Mitigation Fee Program Table 15-1: Existing Art in Public Places June 2021 Page 102 Art in Public Places Replacement Costs Estimated Existing Art Location Replacement Cost 1. Water Tower Main Street $64,830.89 2. Better Days Pergola Lodi Avenue $106,287.40 3. Grape Wall of Lodi Wall @ Westgate $49,436.00 4. Japantown Murals Main Street $35,841.10 5. PALS Mural Kettleman Lane $70,464.84 6. Sacramento Street Mural Sacramento Street $56,851.40 7. Celebrate Harvest bronze sculpture School Street $189,092.70 8. Cranes Train Depot $37,077.00 9. Bus Stop Loel Center $18,538.50 10. Sculpture Exhibit (rentals) School Street $37,077.00 11. Art Purchase -Transit Clock Tower Train Depot $6,179.50 12. Mosaics Lodi Avenue $3,089.75 13. Van Buskirk Park Pleasant Avenue $5,781.54 14. Veterans Memorial Plaza Veterans Memorial Plaze $556,155.00 15. Lodi Avenue Gateway Lodi Avenue $166,846.50 16. Crane Mosaic Lodi Public Library $24,718.00 17. Segale Murals Sacramento Street & Japantown $92,692.50 18. Recognition Plaques Various $3,911.39 19. Wall Dog Murals (10) Various $123,590.00 20. School Street Gateway Arch School Street $964,002.00 21. Library Bike Rack Library $3,440.40 22. River Friendly Bench Project Various $6,056.50 23. Bicycle Rack initiative Various $15,807.47 24. Heritage School Watershed Mosaic Heritage School $2,119.78 25. Seward Johnson Atelier - $27,523.20 Subtotal Replacement Cost $2,667,410.35 Art in Public Places Fee Fund Balance 1 $119,408.04 Total $2,786,818.39 Existing Persons Served 2 80,521 1 Fund Balance added to the replacement cost because this represents a portion of the costs per existing person served that has yet to be purchased and installed. z Existing Persons Served is calculated based on the 2017 resident population and includes approximately 50% of employees. LEVEL OF SERVICE STANDARD The City's estimated value of existing public art totals approximately $2.7 million. This cost translates into a service standard of approximately $34 per person served in the City as shown in Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 103 Table 15-1. Applying the $34 per person served funding standard to 13,509 persons served through 2035 will produce an estimated $467,553 by 2035 to fund additional public art in the City. At this time, the City has not identified specific art pieces for future purchase; however, these will be determined as fee revenue becomes available. DWELLING UNIT EQUIVALENTS Public art costs are allocated based on residents and employees since it is reasoned that residential and non-residential developments benefit from art in public places. A persons served figure is used to estimate future impacts related to art in public places. The persons served factor is defined as the residential population plus 50% of employees. The exact relationship, in terms of benefit received from the art pieces, between residents and employees is difficult to measure. However, if benefit is estimated based on the potential to view and enjoy public art, then it is generally understood that a resident has much more time to view and enjoy public art than an employee. For residential land uses, the persons served equals the persons per household factor; for non-residential land uses, the persons served is equal to 50% of the number of employees per 1,000 square feet of building space. A DUE based on persons served quantifies the impact of different land use types in terms of their equivalence to a low density residential unit. A low density residential unit is assigned a DUE factor of 1.0 and the DUE factor for each of the other land use categories is determined based on the number of persons served for each land use category relative to the number of persons served for a low density residential unit. A summary of the DUE factors for each land use type is presented in Table 15-2. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 104 Table 15-2: Art in Public Places Dwelling Unit Equivalents Land Use Residential Low Density Medium Density High Density Non -Residential Retail (Minor& Major) Office/Medical Industrial Persons per Household/ Employees (per 1,000 SF) 2.85 2.40 2.00 2.50 4.00 1.33 Resident -to -Employee Ratio =1.0 : 0.5 Persons Served DUE Fa per Unit 2.85 1.0000 2.40 0.8421 2.00 0.7018 per 1, 000 SF Units' 1.25 0.4386 2.00 0.7018 0.67 0.2339 FEE METHODOLOGY The art in public places fee uses a standard -based fee methodology, which applies a consistent facility service level standard ($34.61 per person served) to future development regardless of the amount of projected development. Residential fees are calculated by multiplying the cost per person served by the person per household factor for each type of residential unit. For example, a Low Density Unit is assumed to have an average of 2.85 persons per household; therefore, the resulting Art in Public Places fee equals $98.64 ($34.61 x 2.85). FEE SCHEDULE The fees are calculated by taking the cost per person served and applying it to the number of persons served per unit or persons served per 1,000 square feet for each land use, the fee for each land use is calculated below. A summary of the art in public places fee is presented in Table 15-3. Table 15-3: Art in Public Places Fee 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on art in public places. Z Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). Lodi IMFP Final Draft Report Harris & Associates Residents per Persons Served Total Persons Cost per Person Residential Units' Unit per Unit Served Served Total Costs Fee per Unit Low Density 3,325 2.85 2.85 9,476 $34.61 $327,973 $98.64 Medium Density 308 2.40 2.40 740 $34.61 $25,600 $83.06 High Density 0 2.00 2.00 0 $34.61 $0 $69.22 Subtotal 3,633 10,216 $353,573 Employees per Persons Served Total Persons Cost per Non -Residential Bldg SF' 1,000 SF per 1,000 SF z Served Persons Served Total Costs per 1,000 SF Retail (Minor & Major) 549,271 2.50 1.25 687 $34.61 $23,763 $43.26 Office/Medical 563,000 4.00 2.00 1,126 $34.61 $38,971 $69.22 ndustrial 2,221,000 1.33 0.67 1,481 $34.61 $51,246 $23.07 Subtotal Total 3,333,271 3,293 0• $113,980 1 Excludes 50% of future development within the multi -use corridors. It is assumed that 50% of future development will replace existing development and therefore will not increase demand on art in public places. Z Assumes a resident -to -employee ratio of 1.0 : 0.5 (i.e., 1.0 employee equaling 0.5 residents). Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 105 NEXUS REQUIREMENTS The art in public places fee component meets the Mitigation Fee Act nexus requirements, as described below. Requirement #1: Identify the purpose of the fee. The purpose of the Art in Public places portion of the IMFP is to fund art exhibits in public locations for the enjoyment of all residents and employees of the City. Requirement #2: Identify the use to which the fee will be put. The Art in Public Places portion of the IMFP is to be used to fund art exhibits in public locations for the enjoyment of all residents and employees of the City. Examples of these art installations are shown in Table 15-1. Fees will be collected to maintain the existing level of service of $34.60 of public are per person served as shown in Table 15-1. Requirement #3: Determine how there is a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. New development within the City will generate additional residents and employees who subsequently increase the demand for art installations in public places. The existing art in public places is not sufficient to maintain the existing level of service of $34.60 of art per persons served for new development. The art in public places portion of the IMFP will be used to fund new art installation in public places. The cost of the art in public places is spread to each type of development based on DUE factor related to the number of persons served of each land use as shown in Table 15-2. Requirement #4: Determine how there is a reasonable relationship between the need for the public facility and the type of development project on which the fee is imposed. Each new residential and non-residential development will add additional residents and employees who add incrementally to the need for art in public places. In order to maintain the existing level of service of $34.60 of art per persons served, additional art installations must be developed in public places. Each new development project increases the demand for public art proportionally based on the number of persons to be served generated by each type of development. By calculating the fees based on the number of persons served, this ensures that each type of development pays their fair share of the identified project costs. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 106 Requirement #5: Determine how there is a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. Typical art in public places required to serve new development within the City are shown in Table 15-1. Cost estimates and replacement costs for these facilities were developed by city staff and have been updated to reflect the CPI. The total valuation of the existing public art is added to the AIPP fund balance and subsequently divided by the existing population to determine the current level of service of $34.60. Based on the number of persons served by each type of development in terms of DUEs, the required contributions to art in public places is determined as shown in Table 15-3. Allocating the costs of art in public places on a cost per persons served basis ensures that each type of development is paying for only their fair share of maintaining the level of service for art in public places. Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 107 16. IMPLEMENTATION AND ADMINISTRATION IMPLEMENTATION According to the California Government Code, prior to levying a new fee or increasing an existing fee, an agency must hold at least one open and public meeting. At least ten days prior to this meeting, the agency must make data on infrastructure costs and funding sources available to the public. Notice of the time and place of the meeting and a general explanation of the matter are to be published in accordance with Section 6062a of the Government Code, which states that publication of notice shall occur for ten days in a newspaper regularly published once a week or more. The new or increased fees shall be effective no earlier than 60 days following the final action on the adoption or increase of the fees. FEE ADJUSTMENTS The fees may be adjusted in future years to reflect revised facility standards, receipt of funding from alternative sources (i.e., state or federal grants), revised facilities or costs, or changes in demographics or the land use plan. In addition to such adjustments, the fees will be inflated each year by the ENR 20 -city average construction cost index. The fee categories summarized in this IMFP report may not be applicable to specialized development projects in the City. For example, development of a cemetery, golf course, or stadium would not fall under any of the fee categories in this study. For specialized development projects, the City will review the impacts and decide on an applicable ad hoc fee. FEE PROGRAM ADMINISTRATIVE REQUIREMENTS The Government Code requires the City to report every year and every fifth year certain financial information regarding the fees. The City must make available within 180 days after the last day of each fiscal year the following information from the prior fiscal year: 1. A brief description of the type of fee in the account or fund 2. The amount of the fee 3. The beginning and ending balance in the account or fund 4. The amount of the fee collected and the interest earned 5. An identification of each public improvement for which fees were expended and the amount of expenditures 6. An identification of an approximate date by which time construction on the improvement will commence if it is determined that sufficient funds exist to complete the project 7. A description of each interfund transfer or loan made from the account and when it will be repaid 8. Identification of any refunds made once it is determined that sufficient monies have been collected to fund all fee related projects Lodi IMFP Final Draft Report Harris & Associates City of Lodi June 2021 Impact Mitigation Fee Program Page 108 The City must make this information available for public review and must also present it at the next regularly scheduled public meeting not less than 15 days after this information is made available to the public. For the fifth fiscal year following the first deposit into the account or fund, and every five years thereafter, the City must make the following findings with respect to any remaining funds in the fee account, regardless of whether those funds are committed or uncommitted: 1. Identify the purpose to which the fee is to be put. 2. Demonstrate a reasonable relationship between the fee and the purpose for which it is charged. 3. Identify all sources and amounts of funding anticipated to complete financing any incomplete improvements. 4. Designate the approximate dates on which funding in item (3) above is expected to be deposited into the fee account. As with the annual disclosure, the five year report must be made public within 180 days after the end of the City's fiscal year and must be reviewed at the next regularly scheduled public meeting. The City must make these findings; otherwise, the law requires that the City refund the money on a prorated basis to the then current record owners of the development project. FEE REPORTING Assembly Bill No. 1843 which became effective January 1, 2020 requires that Cities make the following information available on their website. This must be completed by January 1, 2021. The following information must be provided: 1. A current schedule of fees, exactions, and affordability requirements imposed by the city, county, or special district, including any dependent special districts, of the city or county applicable to a proposed housing development project, which shall be presented in a manner that clearly identifies the fees, exactions, and affordability requirements that apply to each parcel. 2. All zoning ordinances and development standards, which shall specify the zoning, design, and development standards that apply to each parcel. 3. The list of information required to be compiled pursuant to Section 65940. 4. The current and five previous annual fee reports or the current and five previous annual financial reports, that were required pursuant to subdivision. 5. An archive of impact fee nexus studies, cost of service studies, or equivalent, conducted by the city, county, or special district on or after January 1, 2018. Any updates to the above information must be available within 30 days. Lodi IMFP Final Draft Report Harris & Associates