HomeMy WebLinkAbout2004-04-06; City Council; 17578; Increasing Fees for Sewer Benefit Area HLB# 17,578
ITG. 4/06/04
IEPT. ENG
Adopt Ordinance No. NS-699 adding Section 13.10.080 to the Carlsbad Municipal Code to increase
fees in Sewer Benefit Area H.
"
CITY ATTY.
CITY MGR.
TITLE: ADOPT ORDINANCE NO. NS-699
INCREASING THE FEES FOR
SEWER BENEFIT AREA H
ITEM EXPLANATION:
Ordinance No. NS- 699was introduced and first read at the City Council meeting held on March 9,
2004. The second reading allows the City Council to adopt the ordinance, which would then become
effective in thirty days. The City Clerk will have the ordinance published within fifteen days, if adopted.
FISCAL IMPACT:
See Agenda Bill No. 17,538 on file with the City Clerk
EXHIBITS:
1. Ordinance No. NS-699 adding Section 13.10.080 to the Carlsbad Municipal Code to
increase fees in Sewer Benefit Area H.
2. Resolution No.2004-081 approving the Engineer's Report, declaring the City's intention to increase the fees for Sewer Benefit Area HI and setting the public hearing to consider adoption of increased fee.
3. Engineer's Report entitled, "City of Carlsbad Updated Fee Study Report for Sewer Benefit
Area H", dated January 2004, including the Sewer Benefit Area Boundary Map attached as
Figure 1 to the report.
DEPARTMENT CONTACT: William Plummer, (760) 602-2768, bDlum@ci.carlsbad.ca.us
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E%W/ 61 79
ORDINANCE NO. NS-699
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, ADDING SECTION 13.10.080 TO
THE CARLSBAD MUNICIPAL CODE TO INCREASE FEES IN
SEWER BENEFIT AREA H.
WHEREAS, the City prepared a study entitled "Updated Fee Study Report for Sewer
Benefit Area H", dated January 2004, which updated the Sewer Benefit Area Fees for Sewer
Benefit Area H, the "Engineer's Report"; and
WHEREAS, the Engineer's Report is incorporated as Exhibit "A" to this ordinance; and
WHEREAS, the Engineer's Report estimates the capital costs of construction of sewer
faci I ity imp roveme n ts; and
WHEREAS, fees to implement the construction of those improvements in Sewer Benefit
Area H are set forth in the Engineer's Report; and
WHEREAS, the fees so established do not exceed the reasonable costs of constructing
these facilities and the fees are not levied for general revenue purposes; and
WHEREAS, the Engineer's Report was available for public inspection and review fourteen
(14) days prior to this public meeting; and
WHEREAS, the Finance Director is directed to establish a fund or funds necessary to
2ollect the fees so imposed and to maintain said fund or funds and the interest collected therein
and to authorize expenditures for only those projects, bond payments or other construction
activities set forth in the Engineer's Report. The Finance Director is further directed to make a
?eport, at least annually, and within sixty (60) days of the close of the fiscal year, determining the
Deginning and ending balances for the fiscal year and the fees, interest and other income and
imount of expenditure on each public facility. The fees deposited in the fund or funds shall not be
:ommingled with any other fees or revenue of the City. The Finance Director is further directed to
nake this information available to the public and to report to the City Council not less than fifteen
:15) days after making said information available to the public. The Finance Director shall monitor
hese funds so that, if required, the City Council may make written findings that all or any portion of
he fees remaining unexpended or uncommitted in the fund for five or more years are still
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necessary and needed for the purpose to which the fee is to be expended and demonstrate a
reasonable relationship between that fee and the costs of the improvements.
NOW, THEREFORE, the City Council of the City of Carlsbad, California, does ordain as
follows:
SECTION I: Section 13.10.080 is hereby added to Title 13, Chapter 13.10 of the
Carlsbad Municipal Code to read as follows:
"Section 13.1 0.080
SEWER BENEFIT AREA FEES
"Except as provided, every person who wishes to use the City's sewer facilities in Sewer
Benefit Area H shall pay to the City, prior to the issuance of a building permit, a sewer benefit area
fee of eight hundred eight dollars ($808) per equivalent dwelling unit for sewer benefit area H.
The fee established by this section shall apply to building permits issued thitty (30) days following
adoption of this ordinance for residential developments, and commercial and industrial buildings.
"The sewer benefit area fees shall be adjusted annually effective September 1, by the
annual change to the Engineering News Record Los Angeles Construction Cost Index with a base
year index of April 1, 2004."
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Ordinance No. NS-699 page 2
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EFFECTIVE DATE: This ordinance shall be effective thirty days after its adoption, and the
City Clerk shall certify the adoption of this ordinance and cause it to be published at least once in
a newspaper of general circulation in the City of Carlsbad within 15 days after its adoption.
INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City Council on the
9th dayof March ,2004, and thereafter,
PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad City Council
heldon the 6th dayof April ,2004 by the following vote, to wit:
AYES: Council Members Lewis, Finnila, Kulchin, Hall and Packard
ATTEST:
&i/CLh-k-%= KhdAINE M. WOOD, City Clerk
APPROVED AS TO FORM AND LEGALITY
w7lw RONALD R. BALL, City Attorney
Ordinance No. NS-699 page 3
(SEAL)
4BX 17,538
dTG. 3/09/04
IEPT. ENG
W CITY OF CARLSBAD - AGENDA BILL
TITLE: APPROVE ENGINEER'S REPORT AND
INTRODUCING ORDINANCE NO. NS- 699
tNCREASING THE FEES FOR SEWER BENE
AND SCHEDULE PUBLIC HEARING
RECOMMENDED ACTION:
Adopt Resolution No. 2004-081 approving the Engineer's Report, declaring the City's
intention to increase the fees for Sewer Benefit Area H, and setting the public hearing to consider adoption of increased fee.
Introduce Ordinance No. NS-699 adding Section 13.1 0.080 to the Carlsbad Municipal Code to increase fees in Sewer Benefit Area H.
ITEM EXPLANATION:
The Sewer Benefit Area fee program was initially approved under Resolution No. 90-21 to levy and collect fees following a duly noticed hearing by the City Council on January 15, 1991. The original Engineering Report entitled "Benefit Area Fees for Conveyance System Improvements Update to the December 1987 City of Carlsbad Master Plan of Sewerage," dated August 1990, established benefit areas A through M. These Sewer Benefit Areas were located throughout the City and were used to collect funds for sewer system improvements that were not funded by the City's sewer connection fee program.
This fee update is only applicable to Sewer Benefit Area H, which is tributary to the Vallecitos Interceptor Sewer. The sewer facilities include the construction of an interceptor sewer consisting of numerous pipeline reaches and the Poinsettia Lift Station. The pipeline reaches include a 1Finch diameter gravity flow pipeline in Poinsettia Lane from Alicante Road to a point 1,320 feet east (VBTlA, VBTlC, and VBTlD), a 12-inch diameter forcemain from Poinsettia Lift Station to El Camino Real (VBTlG), a 12-inch diameter and 10-inch diameter gravity flow sewer pipeline in Alicante Road proceeding north 2,256 feet (VBT1 E), an 8-inch diameter gravity flow sewer pipeline in Alicante Road from Poinsettia Lane south to Lapis Road (VBT1 F), and an 8-inch diameter gravity flow sewer pipeline in El Fuerte Street from Poinsettia Lane to La Golondrina Lift Station (VBTlB). The improvements also include right-of-way acquisition costs, engineering, contract administration, construction engineering, construction inspection, and mitigation measures.
The fee amount in Sewer Benefit Area H was established in 1990 to fund the construction of the required sewer facilities described above. The cost to design and construct the pipelines and Poinsettia Lift Station have increased, and the amount of development, in terms of equivalent dwelling units (EDU's), within Sewer Benefit Area H has decreased since the approval of the Sewer Benefit Area fee program. Therefore, it is necessary to update the initial Engineer's Report, and revise the fees in order that sufficient funds are collected to construct all of the identified sewer facilities.
The updated fee program must be approved by a two-thirds vote of the City Council at a duly noticed public meeting at which oral or written presentations can be made. At least 14 days prior to the meeting, staff will mail written notice of the time and place of the meeting to property owners, which is scheduled for April 6, 2004, including a general explanation of the matter to be considered to any interested party who files a written request with the City for mailed notice of the meeting on new or increased fees or service charges. In addition, data indicating the amount of cost, or estimated cost, required to provide the service for which the proposed increased fees are levied and the revenue sources anticipated to provide the service, including General Fund revenues, which is contained in the attached Engineer's Report, shall be available at the office of the City Clerk consistent with Health and Safety Code Section 5471 and Government Code Sections 66013 and
6601 6. The proposed fee updates are exempt from Proposition 21 8 (see California Constitution, Article 13D, Section 6(5)(c)).
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Page 2 of Agenda Bill No. 17,538
Initial 1990
Sewer Benefit Sewer Benefit
With the City Council's two-thirds vote of approval, the modification of the fees for Sewer Benefit Area H will become effective 30 days after adoption of Ordinance No. NS--699
The attached Engineer's Report, dated January 2004, includes a Sewer Benefit Area boundary map on Figure 1 of the report. Sewer Benefit Area H is divided into sewer drainage zones. These drainage zones were created to serve portions of Local Facilities Management Zones (LFMZ) 6, 10, and 18, and all of LFMZ 17. The fee area includes every parcel within the boundaries of Sewer Benefit Area H, which is defined as all parcels in sewer drainage zones 6B, 10A, 10B, 1 OC, 17A, 176 and 188. The Engineer's Report describes the improvements to be funded, provides a detailed estimate of current cost for the improvements, apportions the costs to the properties within Sewer Benefit Area H and establishes a schedule of fees to be collected.
.
Current Recommended
Sewer Benefit Sewer Benefit
Area
H
Area Fee Area Fee Area Fee
$514/EDU $698/EDU $808/EDU
This proposed recommended fee will be adjusted in the future based on changes in the construction
cost index as reported by the Engineering News Record for the Los Angeles area. The fees may also be adjusted in the future based on changes in development, such as density changes resulting
from a general plan amendment or an unexpected increase in construction costs. Adjustments of
this latter type will require approval by a two-thirds vote of the City Council at a duly noticed public meeting, and adoption of a new ordinance.
Existing residences, located within Sewer Benefit Area H are excluded from the payment of the
Sewer Benefit Area fee. If the cost of the improvements constructed by a developer exceeds the fee obligation for the development for which the improvements were constructed, the developer is
eligible for a reimbursement of the difference from the proceeds of the Sewer Benefit Area fee
program. Such reimbursement will occur in accordance with established City policy at the time the reimbursement is requested. One existing reimbursement agreement has been approved by the City
Council with Continental Residential, Inc., on April 14, 2000 to construct the Poinsettia Lift Station,
the forcemain, and a portion of the gravity flow sewer pipelines. It is anticipated that one additional
reimbursement agreement will be prepared for Morrow Development to construct the remaining
gravity flow sewer pipelines.
Property owners within the affected boundary were contacted and presented the Engineer's Report
to obtain input from the property owners regarding Sewer Benefit Area H fee increase.
These include owners of Bressi Ranch Development, Villages of La Costa "The Greens",
and Rancho Carrillo developments. Comments were received in January 2004.
ENVIRONMENTAL IMPACT:
The Sewer Benefit Area fee program was reviewed under Environmental Impact Assessment
No. 90-04 and a Negative Declaration was issued, finding that no environmental impact will occur as a result of the Sewer Benefit Area fees. Since the initial engineering report, dated August 1990,
the project has been reduced in size because the number of equivalent dwelling units (EDU's) have
been reduced from 4,836 to the updated EDU's of 4,145. This reduction in EDU's has correspondingly reduced the size of some of the pipelines and the Poinsettia Lane Lift Station.
Individual environmental reviews were performed on the various pipeline reaches and Poinsettia Lift
Station as they impacted land development projects, and these projects were approved through
environmental impact reports.
Page 3 of Agenda Bill No. 17; 538
FISCAL IMPACT:
Sewer Benefit Area H will generate that portion of the revenue allocable to the undeveloped
properties within Sewer Benefit Area HI which are needed to reimburse developers for the
oversizing cost of constructing the sewer facilities described in the Updated Fee Study Report.
The total estimated cost of the sewer facilities is $3,257,000. All of the pipeline reaches have
already been or will be constructed by developers except sewer pipeline Reach VBTlB.
The remaining pipeline, Reach VBTl 8, is being removed from Sewer Benefit Area H because it will
not serve any new development, but will be constructed by the City using Sewer Replacement Funds. Approval of the plans and specifications and construction of Reach VBTl B will be submitted
to the City Council for their consideration in the future.
EXHIBITS:
1. Adopt Resolution No. 2004-081 approving the Engineer's Report, declaring the City's intention to increase the fees for Sewer Benefit Area HI and setting the public hearing to consider adoption of increased fee.
2. Introduce Ordinance No. NS-699 adding Section 13.1 0.080 to the Carlsbad Municipal Code to increase fees in Sewer Benefit Area H.
3. Engineer's Report entitled, "City of Carlsbad Updated Fee Study Report for Sewer Benefit
Area H", dated January 2004, including the Sewer Benefit Area Boundary Map attached as
Figure 1 to the report.
DEPARTMENT CONTACT Bill Plummer, (760) 602-2768, bDlum@ci.carlsbad.ca.us
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RESOLUTION NO. 2004-081
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, APPROVING THE ENGINEER'S
REPORT, DECLARING THE CITY'S INTENTION TO INCREASE THE
FEES FOR SEWER BENEFIT AREA HI AND SETTING THE PUBLIC
HEARING TO CONSIDER ADOPTION OF INCREASED FEE.
WHEREAS, the City Council of the City of Carlsbad, California, is considering the update
and modification of the fees authorized to be levied and collected within Sewer Benefit Area H;
and
WHEREAS, the City Council initially imposed Sewer Benefit Area Fees by Resolution No.
91-21 in January 1991; and
WHEREAS, the City Council may update and modify the fees for Sewer Benefit Area H by
a two-thirds approval of an ordinance consistent with Health and Safety Code Section 5471 and
Government Code Sections 6601 3 and 6601 6; and
WHEREAS, any increase in the Sewer Benefit Area H fees which may resultfrom the
update and modification of the existing fees is not subject to Article Xlll D of the California
Constitution; and
WHEREAS, at this time there has also been submitted a Report of the Engineer entitled
'Updated Fee Study Report for Sewer Benefit Area H", dated January 2004, hereinafter referred
to as "Report", said Report generally setting forth the following:
Boundary map of area of benefit;
Description of proposed public improvements;
Updated estimate of cost for said improvements;
Method and apportionment for distribution of costs based upon benefits received
A.
B.
C.
D.
from the proposed public improvements: and
WHEREAS, at this time the City Council of the City of Carlsbad, California, is now ready to
approve the Report as submitted by the Engineer and to consider the proposed update and
nodification of the Sewer Benefit Area H fees.
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NOW THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS:
SECTION 1. That the above recitals are all true and correct.
SECTION 2. That this City Council does hereby declare its intention to proceed to
authorize the update and modification of the fees authorized to be levied and collected within
Sewer Benefit Area HI by adopting Ordinance No. NS-699 for the purpose of financing the
:osts and expenses relating to certain public improvements in Sewer Benefit Area H. A general
lescription of the improvements to be funded is as follows:
This fee update is only applicable to Sewer Benefit Area HI which is tributary to the
Jallecitos Interceptor Sewer. The sewer facilities include the construction of an interceptor sewer
:onsisting of numerous pipeline reaches and the Poinsettia Lift Station. The pipeline reaches
nclude a 12-inch diameter gravity flow pipeline in Poinsettia Lane from Alicante Road to a point
I ,320 feet east (VBT1 A, VBTl C, and VBTl D), a 12-inch diameter forcemain from Poinsettia Lift
Station to El Camino Real (VBT1 G), a 12-inch diameter and 1 0-inch diameter gravity flow pipeline
n Alicante Road north 2,256 feet (VBTlE), and an 8-inch diameter gravity flow pipeline in
llicante Road from Poinsettia Lane south to Lapis Road (VBT1 F). The improvements also include
Ight-of-way acquisition costs, engineering, contract administration, construction engineering,
:onstruction inspection, and mitigation measures.
REPORT
SECTION 3. The Report, titled City of Carlsbad, Updated Fee Study Report for Sewer
3enefit Area H, January 2004, as submitted by the Engineer, is hereby approved and adopted by
his City Council and shall be kept on file in the Office of the City Clerk and remain open for public
nspection.
MAP
SECTION 4. That a map of the Sewer Benefit Area H, showing the boundaries and area
,f benefit to be charged to pay the costs and expenses of the improvements designated as
SEWER BENEFIT AREA H" is included as Figure 1 to the Report, and the same is hereby
ipproved and adopted.
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/I Resolution No. 2004-081 page 2
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COST ESTIMATE
SECTION 5. The cost estimate, as set forth in the Report of the Engineer, reflects the
total updated estimated costs for the improvements, and the method of fee allocation represents a
fair method of allocation of the costs to the area of benefit. The updated estimated cost of the
improvements is $3,257,000.
COST ALLOCATION
SECTlON6. The above fees, as set forth in the Report of the Engineer, shall be
applicable to all property within Sewer Benefit Area H, except for parcels with existing building
permits that are exempt from the fee, and said fees shall be payable as a condition of issuing a
building permit for the property and portions of the property to be developed. The Benefit Area
Fees shall be adjusted annually, effective September 1, according to the change to the
Engineering News Record Los Angeles Construction Cost Index (Index) with a base year index as
of April 1, 2004. The City Council further finds that adjusting the fee annually according to this
ndex most accurately reflects the increased construction costs associated with the improvements
nnd that by using this Index the fees shall not exceed the reasonable future construction costs
nnd the fees will not be used for general revenue purposes.
Resolution No. 2004-081 page 3
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SECTION 7. For any and all information relating to these proceedings, your attention is
directed to the below designated person:
WILLIAM E. PLUMMER DEPUTY CITY ENGINEER
CITY OF CARLSBAD
1635 FARADAY AVENUE
CARLSBAD, CA 92008 TELEPHONE: (760) 602-2768.
At least fourteen (14) days prior to the public meeting to consider approval of the increase
in fees for Sewer Benefit Area H, staff will mail written notice of the time and place of the public
meeting, including a general explanation of the matter to be considered to any interested patty
who files a written request with the City for mailed notice of the meeting on increased fees.
SECTION 8. The public hearing to consider adoption of the Sewer Benefit Area H fee
increase shall be held on April 6,2004 at the Council Chambers of the City of Carlsbad.
PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad City CouryI
held on the 9th dayof March ,2004 by the following vote, to wit:
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AYES: Council Members Lewis, Finnila, Kulchin, Hall, and Packard
4lTEST:
&%%mZ/
WOOD, City Clerk (SEAL)
tl Resolution No. 2004-081 page 4
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ORDINANCE NO. NS-699
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, ADDING SECTION 13.10.080 TO
THE CARLSBAD MUNICIPAL CODE TO INCREASE FEES IN SEWER BENEFIT AREA H.
WHEREAS, the City prepared a study entitled "Updated Fee Study Report for Sewer
3enefit Area H', dated January 2004, which updated the Sewer Benefit Area Fees for Sewer
3enefit Area H, the "Engineer's Report"; and
WHEREAS, the Engineer's Report is incorporated as Exhibit 'A" to this ordinance; and
WHEREAS, the Engineer's Report estimates the capital costs of construction of sewer
'acility improvements: and
WHEREAS, fees to implement the construction of those improvements in Sewer Benefit
kea H are set forth in the Engineer's Report; and
WHEREAS, the fees so established do not exceed the reasonable costs of constructing
:hese facilities and the fees are not levied for general revenue purposes: and
WHEREAS, the Engineer's Report was available for public inspection and review fourteen
:14) days prior to this public meeting; and
WHEREAS, the Finance Director is directed to establish a fund or funds necessary to
:ollect the fees so imposed and to maintain said fund or funds and the interest collected therein
and to authorize expenditures for only those projects, bond payments or other construction
activities set forth in the Engineer's Report. The Finance Director is further directed to make a
sport, at least annually, and within sixiy (60) days of the close of the fiscal year, determining the
3eginning and ending balances for the fiscal year and the fees, interest and other income and
amount of expenditure on each public facility. The fees deposited in the fund or funds shall not be
mmmingled with any other fees or revenue of the City. The Finance Director is further directed to
nake this information available to the public and to report to the City Council not less than fifteen
'1 5) days after making said information available to the public. The Finance Director shall monitor
hese funds so that, if required, the City Council may make written findings that all or any portion of
he fees remaining unexpended or uncommitted in the fund for five or more years are still
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lecessaty and needed for the purpose to which the fee is to be expended and demonstrate a
?easonable relationship between that fee and the costs of the improvements.
NOW, THEREFORE, the City Council of the City of Carlsbad, California, does ordain as
follows:
SECTION I: Section 13.10.080 is hereby added to 'Title 13, Chapter 13.10 of the
Carlsbad Municipal Code to read as follows:
"Section 13.10.080
SEWER BENEFIT AREA FEES
'Except as provided, every person who wishes to use the City's sewer facilities in Sewer
Benefit Area H shall pay to the City, prior to the issuance of a building permit, a sewer benefit area
fee of eight hundred eight dollars ($808) per equivalent dwelling unit for sewer benefit area H. The fee established by this section shall apply to building permits issued thirty (30) days following
adoption of this ordinance for residential developments, and commercial and industrial buildings.
"The sewer benefit area fees shall be adjusted annually effective September 1, by the annual change to the Engineering News Record Los Angeles Construction Cost Index with a base
year index of April 1 , 2004."
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Ordinance No. NS-699 page 2
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EFFECTIVE DATE: This ordinance shall be effective thirty days after its adoption, and the
Sity Clerk shall certify the adoption of this ordinance and cause it to be published at least once in
3 newspaper of general circulation in the City of Carlsbad within 15 days after its adoption.
INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City Council on the
9th dayof Xarch ,2004, and thereafter,
PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad City Council
held on the day of , 2004 by the following vote, to wit:
AYES:
NOES:
ABSENT:
CLAUDE A. LEWIS, Mayor
ATTEST:
LORRAINE M. WOOD, City Clerk (SEAL)
APPROVED AS TO FORM AND LEGALITY
RONALD R. BALL, City Attorney
Ordinance No. NS-699 page 3
CITY OF CARLSBAD
UPDATED FEE STUDY REPORT
FOR
SEWER BENEFIT AREA H
January 2004
CITY OF CARLSBAD
UPDATED FEE STUDY REPORT
FOR
SEWER BENEFIT AREA H
PURPOSE
The purpose of this report is to update the actual cost of sewer improvements,
estimate the amount of future development, and then allocate the proportionate
share of such estimated cost to each future equivalent dwelling unit (EDU) within
the boundary of Sewer Benefit Area H. The sewer improvements include gravity
flow sewer pipelines, a sewage lift station, and a forcemain. Three reaches of the
gravity flow sewer pipelines, the sewage lift station, and the forcemain were
designed and constructed by Continental Residential, Inc., the developer of
Rancho Carrillo (MP 139F). Morrow Development designed two reaches of the
gravity sewer pipelines for the Villages of La Costa “The Greens”, and these,are
now being constructed. A third gravity flow sewer pipeline will be designed and
constructed in the future by the City of Carlsbad. Wastewater generated in Sewer
Benefit Area H is intercepted by the gravity flow sewer pipelines, which then
convey the flow to the sewage lift station referred to as the Poinsettia Lift Station.
The Poinsettia Lift Station then pumps the wastewater flow in the forcemain to
the Vallecitos Interceptor Sewer at El Camino Real.
Subsequent to the approval of the original benefit area fee program, the final cost
to design and construct the sewer facilities described above increased, and the
amount of development within Sewer Benefit Area “H” has decreased. Therefore,
it is necessary to update the fee amount calculated in the initial fee study report
prepared by Wilson Engineering Consulting Engineers titled “Benefit Area Fees
for Conveyance System Improvements Update to the December, 1987 City of
Carlsbad Master Plan of Sewage”, dated August 1990.
PROCESS
The sewer benefit area fee program was originally approved by the City Council
on January 15, 1991. This updated fee study reflects the updated costs for the
sewer facilities and the number of EDU’s that will connect to and use the sewer
facilities. The fee will be collected with the issuance of all future building permits
within Sewer Benefit Area “H”. Rancho Carrillo (MP 139F), Bressi Ranch
MP178A, and Villages of La Costa ‘The Greens” (CT 99-03) were conditioned to
construct the sewer facilities prior to or concurrent with the issuance of building
permits for these development projects. Reimbursements to Continental
Residential, Inc. will be paid by the City for actual costs incurred subject to the
terms and limits described in the City’s agreement with Continental Residential,
Inc., dated April 14, 2000, as further defined in this report. A future
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reimbursement agreement will specify conditions for reimbursement to Morrow
Development. The developer of Bressi Ranch will not be constructing any of the
sewer facilities; and therefore, no reimbursement will occur with that developer.
BACKGROUND
The sewer facilities described herein provide sewer service to portions of the City
of Carlsbad’s Local Facilities Management Zones (LFMZ) 6, 10, and 18 and all of
LFMZ 17. The total number of existing EDU’s is 1,869. The existing units include
11 1 EDU’s in CT 73-29 (LFMZ 6B), 1,678 EDU’s in Rancho Carrillo (LFMZ 18B),
and 80 EDU’s located east of the City of Carlsbad in the Vallecitos Water District.
Although the 80 units are outside the boundary of Sewer Benefit Area “H, their
sewer pipeline connects to the collector sewer system in Rancho Carrillo.
Vallecitos Water District paid Continental Residential, Inc. for capacity rights in
the sewer system. Based on a review of future planned developments in each
LFMZ, obtained from growth projections by the City’s Planning Department, the
total number of additional future EDU’s is estimated at 2,276, which are within
LFMZ 10A, 10B, lOC, 17A, and 17B. The estimated equivalent dwelling units in
each LFMZ are shown in Appendix B. Appendix C includes the calculation to
determine the number of EDU’s for industrial, commercial, and institutional
development, which is used in Appendix B. The combined total of existing plus
future EDU’s is 4,145. Using 220 gallons per EDU, the total number of EDU’s will
generate an average wastewater flow of 0.91 million gallons per day (mgd), and
a peak flow of 2.19 mgd.
The sewer facilities are “developer funded”, except for the sewer pipeline VBT1 B,
which will be designed and constructed by the City of Carlsbad. As a result, the
sewer benefit area fees collected by the City for Sewer Benefit Area ”H” will be
used to reimburse Continental Residential, Inc., developer of Rancho Carrillo,
and Morrow Development, developer of Villages of La Costa “The Greens” for
constructing the sewer facilities. The amount of the reimbursement is
proportionate to the cost share of the sewer facilities constructed by each
developer.
IMPROVEMENTS
The sewer facilities convey all flows to the Vallecitos Interceptor Sewer, at a
location near the intersection of El Camino Real and Cassia Road. The first
segment is a forcemain within an easement listed as pipeline reach VBTlG. The
forcemain extends to a point east of the intersection of Poinsettia Lane and
Alicante Road, which is the location of Poinsettia Lift Station. Poinsettia Lift
Station was previously called North La Costa Lift Station in the original fee study
report. Two gravity sewer pipelines begin at the Poinsettia Lift Station. One
sewer extends westerly along Poinsettia Lane to Alicante Road and then north in
Alicante Road to the north property line of CT 99-03. This pipeline is labeled
reach VBTlE. The other sewer extends east within Poinsettia Lane to the
3
eastern boundary of MP 178A and is labeled reaches VBTlD, VBT1C and
VBTl A. A third gravity sewer pipeline connects to reach VBTl E at Alicante Road
and extends south in Alicante Road to Lapis Road (North). This third pipeline is
labeled VBTl F.
Subsequent to the preparation of the original fee report, pipeline reach VBTlB,
has been eliminated from the sewer benefit area fee program because it will be
designed and constructed by the City to serve 11 1 lots in CT 73-29. CT 73-29 is
located east of Villages of La Costa “The Greens” and within LFMZ 6B. VBTlB
will replace the existing La Golandrina Lift Station, which presently pumps the
wastewater to Leucadia Wastewater District. Funding for Reach VBTlB will be
obtained from the City’s sewer replacement fund.
The Sewer Benefit Area H fee program includes only the cost to design and
construct the gravity sewer pipelines, Poinsettia Lift Station, the forcemain and
the appurtenances and right-of-way necessary for those facilities. It does not
finance the cost of roadway improvements, water facilities, recycled water
facilities, sidewalks, landscaping, streetlights, traffic signals, sidewalks, and
franchise utilities. The cost of these other improvements are the responsibility of
adjacent land developers, and if applicable the Carlsbad Municipal Water District
or the City of Carlsbad pursuant to the policy and practice of the City of Carlsbad.
BOUNDARIES OF SEWER BENEFIT AREA H
Sewer Benefit Area “H is divided into sewer drainage zones. These were
created as part of each Local Facilities Management Zone (LFMZ). Each
drainage zone is consistent with its LFMZ. The Sewer Benefit Area Fee is paid
by or will be collected from every parcel within the boundaries of Sewer Benefit
Area “H”, which is defined as all parcels in sewer drainage zones 6B, lOA, lOB,
lOC, 17A, 178, and 18B.
It is noted that the boundaries of LFMZ 10A and 1OC were modified from the
original report. LFMZ 10A has been modified to exclude Lots 2, and 3 in CT 99-
03, and one 3.29-acre lot fronting El Camino Real, which is owned by Paziura
Alfonsa. These three lots cannot connect to the Poinsettia Lift Station through
proposed gravity sewer pipelines. Closer analysis shows that sewer service will
be provided through either a direct connection to the Vallecitos Interceptor Sewer
or a future gravity sewer will need to be constructed to connect these lots to the
Vallecitos Interceptor Sewer west of El Camino Real. LFMZ 1OC was also
modified by deannexing Lots 10, 12, and 17 of CT 99-03 from Carlsbad and
annexing these to Leucadia Wastewater District by the City of Carlsbad under
Resolution No. 2001-219 on July 24, 2001. Appendix A includes a map showing
the final boundaries of Sewer Benefit Area H, and the location of each sewer
facility identified in this report.
4
COST ESTIMATE
An updated cost estimate is included in Appendix D and totals $3,257,000. The
cost includes construction costs, environmental, land acquisition, overhead, and
bonds. The updated cost estimate also includes the cost of engineering design,
management, and inspection during construction as well as the administrative
cost.
METHODOLOGY TO DETERMINE FEE
To determine the updated Sewer Benefit Area “H” fee the cost share for MP
139F must first be deducted from the total project cost. The reason for deducting
the cost share of MP 139F is that no Sewer Benefit Area “H fees were collected
from development within MP 139F. The fees were not collected because
Continental Residential Inc., constructed sewer facilities greater in capacity than
what was required to provide sewer service for MP 139F. Therefore, the updated
fee is based on the total project cost minus the cost share for MP 139F divided
by the future EDU’s. The future EDU’s are totally outside of the boundary of MP
139F. The cost share for MP 139F is based on a ratio of existing EDU’s in MP
139F divided by the total number of existing and future EDU’s in Sewer Benefit
Area “H.
The cost of pipeline reach VBTIB will not be included in the analysis for the
updated Sewer Benefit Area ”H fee. The City will pay for the entire cost of reach
VBTl B through sewer replacement funds. The City is funding VBTl B because
the property owners that will be provided sewer service through reach VBTl B are
already connected to the City’s sewer system and these connections occurred
prior to the formation of Sewer Benefit Area “H thus no additional connection fee
can be assessed. Reach VBTlB is necessary to eliminate an existing temporary
lift station, referred to as La Golandrina Lift Station. The City entered into an
agreement dated August 20, 1981, with Leucadia Wastewater District to abandon
La Golandrina Lift Station, upon completion of the sewer system in Sewer Benefit
Area “H. The City is using La Golandrina Lift Station to temporarily pump
wastewater to the Leucadia Wastewater District sewer system.
Revenue received from Sewer Benefit Area “H” fees will be used to reimburse
two developers for constructing oversized sewer facilities. Continental
Residential, Inc. will be reimbursed the oversizing cost tributary to the Poinsettia
Lift Station, forcemain (VBT1 G), and gravity sewer pipeline reaches VBTI A,
VBTI C, and VBTl D. Morrow Development will also be reimbursed for oversizing
sewer pipeline reaches VBTI E and VBTl F. E.ach developer will be reimbursed
from fees collected based on the ratio of the cost of the sewer facilities
constructed by each developer. The costs for each developer are shown in
Appendix D.
5
SEWER BENEFIT AREA “H” FEE CALCULATION
“ EDU’s
Tributary to
MP 139F
1758
The sewer benefit area fee is based on the total project cost to construct the
sewer facilities identified for Sewer Benefit Area “H” minus the cost share of
those facilities tributary to MP 139F divided by the future EDU’s. The total project
cost is $3,257,000. The cost share for MP139F is determined by the ratio of
existing EDU’s in MP139F divided by the total number of existing and future
EDU’s in Sewer Benefit Area “H”. This calculation is shown in Table 1.
EDU’s in in Sewer of Total Project
Sewer Benefit Benefit Area Cost for area
Area “H” “H” less outside
subarea 66 MP 139 F
2276 4034 2276/4034 x
100%~ 56.42%
TABLE 1
Estimated Cost Share of Sewer Facilities for Development Outside of
Current SBA “H” Fee
$698/EDU
MP 139F and Within Sewer Benefit Area “H”
Total Existina I Total Future 1 Total EDU‘s I Percent Share
Proposed SBA “H” Fee
$1,838,000 / 2,276 EDU’S = $808/EDU
Developer Cost to be
Reimbursed to
Developer (a)
Continental $2,978,500
Cost Share
of Sewer
Benefit Area
“H” outside
MP 139F
56.42% x
$3,257,000 =
$1,838,000
Percent Share Developer Receives of
SBA “H” Fees Collected
$2,978,500 / $3,257,000 x 100 = 91.45 %
The sewer benefit area “H” fee is calculated by dividing the cost share for areas
outside of MP 139F, determined in Table 1, by the future EDU’s. The future
EDU’s are estimated at 2,276 as determined in Appendix 6. The updated sewer
benefit area H” fee is shown in Table 2
Homes, Inc.
Morrow $278,500 $278,500 / $3,257,000 x 100 =
The cost share of the fees collected will be reimbursed to Continental Residential
Inc., and Morrow Development based on a ratio of project cost attributed to each
developer divided by the total project cost. The cost share to each developer is
summarized in Table 3.
6
APPENDIX A
SEWER BENEFIT AREA H
FACILITY LOCATION AND BOUNDARY MAP
7
. . .. . . . . . .-_ _. .. . ~ ... . .. _-
c - L
APPENDIX B
ESITIMATED EQUIVALENT DWELLING UNITS IN
SEWER BENEFIT AREA H
9
: Dwelling Units in Sewer Ber
Industrial/
Estin
LFMZ
6B
1 OA
1 OB
1 oc
17A
17B
!fit Area H
Total
m5Tq-r
CT 99-03
186
Lot Lot 5 I
MP139F 1663 15
.-
Lot 7
CT 02-22
CT02-23
MP 178A
PA- 1
PA-2
PA-3
PA-4
PA-6
I27
75
82
64
PA-5 I
PA-7
PA-8
PA-9
PA-1 1
PA-1 2
PA-1 3
PA-1 4
PA-1 5
VWD (b) Total
99
98
72
10
94
80
2757 46.20
17
14.2
Commercial
72
18.81
206.97
353.63
331.06
21 0.68
72.1 4
8.28
67.96
1341.53
111.00
72.00
17.00
96.00
141.20
75.00
82.00
18.81
206.97
353.63
331.06
64.00
86.00
21 0.68
99.00
98.00
72.00
10.00
94.00
72.1 4
8.28
67.96
1678.00
80.00
41 44.73 ~~
(b) By separate agreement with Vallecitos Water District dated March 24, 2000,
80 EDU’s are connected to the sewer system of Sewer Benefit Area “H”.
10
ZCI ,
APPENDIX C
ESTIMATED EQUIVALENT DWELLING UNITS FOR
FUTURE INDUSTRIAL, COMMERCIAL, AND
INSTITUTIONAL DEVELOPMENT IN
SEWER BENEFIT AREA H
11
- ._ - .. .
Estimated Equivalent Dwelling Units for Industrial, Commercial and
I Total EDU’s I 14.90 (a) The conversion factor for industrial and commercial development is based on the 2003 Sewer
Master plan of 1,150 gpd/lO,OOO square feet of building area for non-residential flows. At 220
gallons per day per EDU the conversion factor is 1,913 square feet of buitding area per EDU.
snackbar, and a peak discharge of 18,000 gallons per week from the swimming pool backwash.
Peak use of the restrooms will equate to 1 EDU per restroom. The poot backwash equates to
2,571 gallons per day. Assuming 220 gallons per EDU the pool backwash is 12 EDU’s. For the
Alga Norte Park the total EDU’s is 5 EDU’s for restrooms plus 12 EDU’s for backwash water or
a total of 17 EDU’s.
EDU, which equates to 14.2 EDU’s.
equates to 12.9 EDU’s.
(b) Lot 5 includes the City’s proposed Alga Norte Park, which will have five restroom facilities, a
(c) Lot 7 is planned for a proposed elementary school site with 850 students at 60 students per
(d) The existing Carrillo Elementary School has 775 students at 60 students per EDU, which
(e) The Carrillo Ranch City Park has two restrooms and a small kitchen, which equates to 2 EDU’s.
12
APPENDIX D
UPDATED PROJECT COST ESTIMATE
13
PROJECT COST ESTIMATE FOR
SEWER BENEFIT AREA H
of Construction Cost)
14
March 16, 2004
TO: City Manager
FROM: Isabelle Paulsene
SUBJECT: City Council Item No. 4
Increase Fees in Sewer Benefit Area “H”
The above item No. 4 was inadvertently placed on the City Council Agenda
scheduled for Tuesday, March 16, 2004.
This ordinance has been noticed and should have been placed on the City
Council Agenda scheduled for Tuesday, April 6,2004.
It is requested that this item be pulled from tonight‘s City Council Agenda.
NOTICE OF PUBLIC HEARING
INCREASING SEWER BENEFIT AREA H FEE
NOTICE IS HEREBY GIVEN that the City Council of the City of Carlsbad will hold a
public hearing at the Council Chambers, 1200 Carlsbad Village Drive, Carlsbad,
California, at 6:OO p.m. on Tuesday, April 6, 2004, to consider the adoption of an
ordinance to increase the Sewer Benefit Area H Fee which will be used to reimburse
developers for constructing sewer facilities in Sewer Benefit Area H. The fee will be
adjusted annually according to the Engineering News Record Los Angeles Construction
Cost Index (ENR-LA-CCI).
If you challenge the Sewer Benefit Area H Fee in court, you may be limited to raising
only those issues you or someone else raised at the public hearing described in this
notice or in written correspondence delivered to the City of Carlsbad, Attn: City Clerk,
1200 Carlsbad Village Drive, Carlsbad, CA 92008, at or prior to the public hearing.
Applicant: City of Carlsbad
CARLSBAD CITY COUNCIL
Fee Update ForSewer Benefit Area H
BackgroundSewer Benefit Area Fee Program!!Originally Approved Originally Approved --January 15, 1991January 15, 1991!!Program based on improvements and costs in Program based on improvements and costs in 1987 Sewer Master Plan1987 Sewer Master Plan!!Established Benefit Areas A through MEstablished Benefit Areas A through M!!Purpose: To collect funds to construct four Purpose: To collect funds to construct four interceptor sewer systemsinterceptor sewer systems!!Fee in each benefit area is distinct and paid on Fee in each benefit area is distinct and paid on each building permit each building permit !!Fee Basis Fee Basis --Dollars per Equivalent dwelling unit Dollars per Equivalent dwelling unit ($/EDU)($/EDU)
REACH LOCATION COST Poinsettia Lift StationPoinsettia Lane near Alicante Road 1,464,500$ Forcemain Lift Station to El Camino Real 343,700$ VBT1 A,C & DPoinsettia Lane (Lift Station to Rancho Carrillo) 460,900$ VBT1 E & F Alicante Road 239,000$ Design & OverheadNA 601,400$ Total Cost$3,257,000ESTIMATED PROJECT COST
Purpose of Fee Update !!Reflect changes in number of EDU’sReflect changes in number of EDU’s4,962 EDU (1991)4,962 EDU (1991)4,145 EDU (2004)4,145 EDU (2004)!!Reflect changes in Cost of FacilitiesReflect changes in Cost of Facilities$2.4 million (1991)$2.4 million (1991)$3.2 million (2004)$3.2 million (2004)!!Reflect changes in service areaReflect changes in service area1. Deannexed Lots 10,12 & 17 of CT 991. Deannexed Lots 10,12 & 17 of CT 99--03 on03 on77--2424--01 to Leucadia Wastewater District01 to Leucadia Wastewater District2. Deleting Lots 2 & 3 of CT 992. Deleting Lots 2 & 3 of CT 99--03 (16.5 acres) & 03 (16.5 acres) & property owned by Paziura Alfonsa (3.3 acres)property owned by Paziura Alfonsa (3.3 acres)
Engineer’s Report for SBA Fee Update!!Prepared Engineers Report Prepared Engineers Report --January 2004 January 2004 !!Updated EDU’s based on Growth Projections by Updated EDU’s based on Growth Projections by City Planning DepartmentCity Planning Department!!Updated description of Interceptor Sewer System Updated description of Interceptor Sewer System Improvements (i.e. changes in pipe size, alignment Improvements (i.e. changes in pipe size, alignment and length, pump capacities) and length, pump capacities) !!Updated Cost of FacilitiesUpdated Cost of Facilities!!Calculated Updated Fee using original 1991 Calculated Updated Fee using original 1991 methodologymethodology
Methodology to Determine FeeFirst, determine cost share of the improvements First, determine cost share of the improvements attributable to areas outside of Rancho Carrillo attributable to areas outside of Rancho Carrillo (MP 139F) . These are the undeveloped (MP 139F) . These are the undeveloped properties in Sewer Benefit Area H.properties in Sewer Benefit Area H.Second, divide resulting cost share of Second, divide resulting cost share of improvements for undeveloped properties by improvements for undeveloped properties by future EDU’s in Sewer Benefit Area Hfuture EDU’s in Sewer Benefit Area H
Cost Share for Area Outside Rancho Carrillo (MP 139F)56.42% x 56.42% x $3,257,000 $3,257,000 = = $1,838,000$1,838,0002276/4034 2276/4034 x 100% = x 100% = 56.42%56.42%403440342276227617581758Cost Share of Cost Share of Sewer Benefit Sewer Benefit Area “H” Area “H” outside outside MP 139FMP 139FPercent Percent Share of Share of Total Project Total Project Cost for Area Cost for Area outside MP outside MP 139F139FTotal EDU’s Total EDU’s in Sewer in Sewer Benefit Area Benefit Area “H” less “H” less CT 73CT 73--2929((subareasubarea6B)6B)Total Total Future Future EDU’s in EDU’s in Sewer Sewer Benefit Benefit Area “H”Area “H”Total Existing Total Existing EDU’s EDU’s Tributary to Tributary to MP 139FMP 139F((subarea subarea 18B)18B)
Comparison of Existing and Proposed Fee$1,838,000/2,276 future EDU’s $1,838,000/2,276 future EDU’s = = $808/EDU$808/EDU$698/EDU$698/EDUProposed SBA “H” FeeProposed SBA “H” FeeCurrent Current SBA “H” SBA “H” FeeFee
Questions?
Sewer Benefit Area H Service Area!!Location: South of Palomar Airport Road, east of Location: South of Palomar Airport Road, east of El Camino Real to City limits and North of Alga El Camino Real to City limits and North of Alga RoadRoad!!44--Land Developments served: Land Developments served: 1.1.Rancho Carrillo Rancho Carrillo ––1758 EDU1758 EDU2.2.Bressi Ranch Bressi Ranch --1793 EDU1793 EDU3.3.Villages of La Costa Villages of La Costa ––The Greens The Greens ––483 EDU483 EDU4.4.CT 73CT 73--29 29 ––111 EDU111 EDU
SEWER DRAINAGE ZONES LOCATION EDU's 6B CT 73-29 11110A Villages of La Costa CT 99-03 Lots 1, 5, and 6 18510B Villages of La Costa CT 99-03 Lot 7 14110C Villages of La Costa CT 02-22 &CT 02-23 157 17A Bressi Ranch MP 178A: PA 1, 2, 3, 4, 6 &10 1,060 17B Bressi Ranch MP 178A: PA 5, 7,8, 9, 11, 12, 13,14 732 18B Rancho Carrillo 1,758 TOTAL 4,145 ESTIMATE OF EDU'S PER SEWER DRAINAGE ZONE
Sewer ImprovementsFacilities:Facilities:!!6 6 ––gravity flow sewer pipeline reachesgravity flow sewer pipeline reaches!!1 1 --forcemainforcemain!!Poinsettia Sewer Lift Station Poinsettia Sewer Lift Station