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Home My WebLink About2024-04-23; City Council; ; Park Land Dedication Requirements and Park Land In-lieu FeesCA Review __AF_ Meeting Date: April 23, 2024 To: Mayor and City Council From: Scott Chadwick, City Manager Staff Contact: Kyle Lancaster, Parks & Recreation Director kyle.lancaster@carlsbadca.gov, 442-339-2941 Subject: Park Land Dedication Requirements and Park Land In-lieu Fees Districts: All Recommended Action 1. Hold a public hearing; and 2. Adopt a resolution approving updated park land dedication requirements for residential subdivisions and the phased-in increase of park land in-lieu fees over a three-year period, annually applying approximately one-third of the difference between the existing park land in-lieu fees and the proposed park land in-lieu fees over fiscal years 2024-25, 2025-26 and 2026-27. Executive Summary Carlsbad’s parks contribute to the high quality of life the city is known for, providing access to recreation and a wide range of services and promoting active, healthy lifestyles. In Carlsbad, developers play a crucial role in the city’s park development efforts. As part of the approval process for new residential subdivisions, developers are required to contribute to the creation of parks. This contribution can take the form of dedicating land for city parks or paying park in-lieu fees to support the construction of new city parks or park improvement projects. These measures ensure that the city can enhance its park system to benefit the community. It has been nearly two decades since the city last updated its park land in-lieu fees. Since 2005, the city has experienced growth and changes in property values, and the existing fees no longer accurately reflect the fair market value of undeveloped property in Carlsbad. Staff from the Parks & Recreation Department, Community Development Department, and Finance Department, as well as staff from the City Attorney’s Office and the Real Estate Division, worked with NBS Government Finance Group to prepare the Carlsbad Park Land Dedication and In-lieu Fee Study, provided as Exhibit 2. That study calculates updated park land dedication requirements and fees in-lieu of dedication of park land for residential subdivisions in Carlsbad. April 23, 2024 Item #3 Page 1 of 44 Staff recommend the City Council approve the updated park land dedication requirements for residential subdivisions, and the phased-in increase of fees in-lieu of park land dedication over the next three fiscal years. Carlsbad Municipal Code Section 20.44.040, Standards and formula for dedication of land, states that such park land dedication requirements are to be adjusted as necessary by resolution of the City Council. Explanation & Analysis City plans These updates to the park land dedication requirements are supported by the City Council’s Five- Year Strategic Plan and the Parks & Recreation Department Master Plan. Carlsbad Strategic Plan The City Council approved the 2023-2027 Carlsbad Strategic Plan on Oct. 11, 2022. The Strategic Goals section provides the city’s five priority goals, including that of Organizational Excellence & Fiscal Health: Be a model for efficient and effective local government. Carlsbad Parks & Recreation Department Master Plan The City Council approved the 2023-2030 Carlsbad Parks & Recreation Department Master Plan Update on Sept. 26, 2023. Chapter 9 provides the department’s Strategic Action Plan, including a Parks Strategy to Complete a Parks in-lieu Fee Study and present its findings to the City Council for review and direction. Staff are now presenting the findings of that study to the City Council. Background - Quimby Act implementation In 1975, the State of California introduced the Quimby Act (Government Code Section 66477), which allows local governments like Carlsbad to ensure that residential subdivisions include enough space for parks. This law gives cities the authority to require developers to either set aside land for parks within their residential subdivisions or to pay fees in-lieu of park land dedication to support future park development by the cities. This requirement generally does not apply to apartment complexes. To implement the Quimby Act, the City Council established Chapter 20.44 of the Carlsbad Municipal Code, Dedication of Land for Recreational Facilities. This chapter provides the standards for developers regarding park land dedication or in-lieu fee payments for residential subdivisions. The intent of this chapter is to ensure that for every 1,000 residents, there are three acres of parks and recreational spaces available for use by residents. Developers of residential subdivisions must either dedicate land for parks or pay park land in-lieu fees proportionate to the number of housing units in their subdivisions. The City Council determines whether land dedication, in-lieu fee payments or a combination of both is needed for a particular residential subdivision project. This decision considers factors such as the general plan's park and recreation element, topography and the availability of suitable sites for parks. April 23, 2024 Item #3 Page 2 of 44 Under the Quimby Act, park land dedication and in-lieu fee requirements are based on the ratio of park acres to population in the jurisdiction. • That ratio may not exceed three acres per thousand residents unless the existing ratio is higher and is capped at five acres per thousand residents. • The population added by the subdivision is determined based on the number of dwelling units in the subdivision and the average population per unit. • The population and average number of people per household in the city are determined by the most recent federal census. • The park acreage is to be based on the quantity of acres of neighborhood parks and community parks in the city at the time of that federal census. The land and fees, or the combination of the two, are to be used for the purpose of developing new or rehabilitating existing neighborhood and community parks or recreational facilities to serve the subdivision subject to the requirements. For Carlsbad, the city’s geographic park districts (i.e., Northwest, Northeast, Southeast and Southwest) are considered to be the areas served in this context. The Quimby Act requires that the legislative body – for Carlsbad, the City Council – adopt a general plan or specific plan containing policies and standards for parks and recreational facilities, and that the amount and location of land to be dedicated or the fees to be paid shall bear a reasonable relationship to the use of the parks and recreational facilities by future inhabitants of the subdivision. Carlsbad Park Land Dedication And In-lieu Fee Study The City Council last approved an increase to Carlsbad’s park land in-lieu fees in 2005 (Exhibit 3), and those existing fees no longer accurately reflect the fair market value of undeveloped property in the city. In response, staff recently worked with NBS Government Finance Group to prepare the Carlsbad Park Land Dedication and In-lieu Fee Study, which analyzes the current fair market value of vacant land in Carlsbad and recommends updates to the formula for park land dedication and in-lieu fees for residential subdivision projects. Study area and timeframe The study area is bounded by the city limits of the City of Carlsbad. The timeframe for future development in the study is defined as the period between 2023 and the buildout, or completion of the city’s development potential. Although the city’s General Plan contains estimates of total development, including the number of dwelling units at buildout, those estimates will change in response to updates in the city’s Housing Element, the portion of the General Plan that covers housing. The park land in-lieu fees calculated in the study are based on undeveloped land costs, using actual sales comparisons over a three calendar year period (2020 through 2022, with no comparable sales in 2023). Going forward, staff recommend the undeveloped land costs be reevaluated every three fiscal years. Development types The park land in-lieu fees calculated in the study are to be applied to residential development resulting from residential subdivisions and parcel maps.1 The residential development types 1 A parcel map is a lot split resulting in four or fewer residential lots or a commercial subdivision with access to existing streets. April 23, 2024 Item #3 Page 3 of 44 defined in the study are listed below. Traditionally, in-lieu fees for residential development have been based on unit types such as single-family, multi-family and mobile home units. However, recent amendments to the California Government Code pertaining to impact fees imposed on housing development projects require that fees must be proportional to the square footage of proposed units of the development. The residential development types used in the study are: • Less than 800 square feet • Less than 800 – 1,300 square feet • More than1,300 – 2,000 square feet • More than 2,000 – 2,500 square feet • More than 2,500 square feet Units of development and population per unit In the study, the amount of existing and planned residential development is measured in terms of dwelling units. The Quimby Act requires that park land dedication requirements and fees in- lieu of dedication be based on the ratio of park acres to population at the time of the most recent census. The ratio can be stated in terms of acres per capita. The amount of acreage to be dedicated or in-lieu fees to be paid for a certain type of residential unit depends on the population per unit for that category. Page 2-2, Table 2.1 of the study shows the population per- unit factors estimated for residential unit size categories. Existing and future development Page 2-3, Table 2.2 of the study shows existing development both at the time of the 2020 Census and as of 2023. As noted, however, the Quimby Act requires park land dedication requirements and fees in-lieu of dedication of park land to be based on the ratio of park acres to population at the time of the most recent census. The 2023 data was used only for purposes of calculating the difference from existing development. Its forecast of what development will be when the city is built out is shown on Page 2-3, Table 2.4 of the study. That difference is reflected as added residential development on Page 2-3, Table 2.3 of the study. Park land dedication and in-lieu fees Section 20.44.040 of the Carlsbad Municipal Code bases park land dedication and in-lieu fee acreage requirements for subdivisions on a standard of 3.0 acres per 1,000 population. Section 20.44.080 states, “When a fee is required to be paid in-lieu of land dedication, the amount of the fee shall be based upon the fair market value of the amount of land which would otherwise be required to be dedicated...” That fair market value is to be determined for the four quadrants, or park districts, in Carlsbad by periodic surveys of the value of undeveloped land in the city. A survey conducted by a city-contracted real estate professional estimated the fair market value of undeveloped land in the city at $1,824,148 per acre (Appendix A of the study). That weighted average value of undeveloped land was applied to all four of the park districts. Methodology Section 20.44.040 of the Carlsbad Municipal Code uses the following formula in calculating the number of acres that must be dedicated by a residential subdivision: Population per dwelling unit X 3 acres per 1,000 population X number of units. Although the section does not specify the population per dwelling unit to be used in the formula, just that it should be based on the most April 23, 2024 Item #3 Page 4 of 44 recent federal census, it is common for California cities to use population-per-unit factors based on the types of units contained in the subdivision. Existing level of service Page 3-4, Table 3.1 of the study lists the city’s existing parks and shows both city-owned park acres and improved park acres. It includes some non-city-owned parks on leased land where the city has invested in substantial capital improvements, but it does not include the Terramar Northern Bluff property, nor any of the school district properties for which the city has joint use agreements, because the city has not invested in substantial capital improvements to those properties. The table also does not include the property known as the Zone 5 Park, which is intended to serve non-residential development and is funded from a separate fee program. Park land in-lieu fees calculation Page 3-6, Table 3.3 of the study shows the cost per capita, by park district, that was used to calculate the proposed fees in-lieu of park land dedication for Carlsbad. The calculation is based on the 3.0 acres of park land per 1,000 population (0.003 acres-per-capita) standard multiplied by the estimated cost per acre to acquire undeveloped land in Carlsbad ($1,824,128 per acre). The cost per capita equals $5,472. Pages 3-6 and 3-7, Tables 3.4-3.7 of the study show identical calculations of park land in-lieu fees per dwelling unit by park district and unit-size category. Existing and proposed park land in-lieu fees The existing and proposed park land in-lieu fees are reflected in the chart below. Development type Northeast Park District Northwest Park District Southeast Park District Southwest Park District Existing Mobile home $3,696 $4,934 $3,696 $3,696 Proposed Residential less than 800 square feet $6,020 $6,020 $6,020 $6,020 Existing Attached residential (more than 4 units) $4,635 $6,190 $4,635 $4,635 Proposed Residential 800-1,300 square feet $9,850 $9,850 $9,850 $9,850 Existing Attached residential (4 units or less) $4,804 $6,414 $4,804 $4,804 Proposed Residential more than 1,300-2,000 square feet $13,681 $13,681 $13,681 $13,681 Existing Single-family detached and duplex $5,728 $7,649 $5,728 $5,728 Proposed Residential more than 2,000-2,500 square feet $18,059 $18,059 $18,059 $18,059 Existing Single-family detached and duplex $5,728 $7,649 $5,728 $5,728 Proposed Residential more than 2,500 square feet $20,795 $20,795 $20,795 $20,795 April 23, 2024 Item #3 Page 5 of 44 Park land in-lieu fees of nearby cities As part of the study, NBS Government Finance Group conducted a survey of park land in-lieu fees for parks and recreation facilities in five nearby cities: Encinitas, Escondido, Oceanside, San Marcos and Vista. Of those five cities, only three have adopted ordinances requiring dedication of land or payment of park land in-lieu fees. However, all five cities impose fees for park land and/or park and recreation improvements, as listed in the Fee Comparison Table on Page S-4 of the study. Phasing in proposed park land in-lieu fees Since the park land in-lieu fees have not been increased since 2005, the difference in the existing and the proposed park land in-lieu fees is notable. Because of this, staff are recommending that the City Council approve a phased-in implementation of the proposed increase to the park land in-lieu fees over a three-year period, annually applying approximately one-third of the difference between the existing park land in-lieu fees and the proposed park land in-lieu fees over fiscal years 2024-25, 2025-26 and 2026-27, as detailed in the charts below. NORTHEAST, SOUTHEAST AND SOUTHWEST PARK DISTRICTS Development type Park in- lieu fee FY 2024- 25 1/3 increase FY 2025- 26 2/3 increase FY 2026- 27 3/3 increase Existing Mobile home $3,696 Proposed Residential less than 800 square feet $6,020 $4,471 $5,246 $6,020 Existing Attached residential (more than 4 units) $4,635 Proposed Residential 800-1,300 square feet $9,850 $6,373 $8,111 $9,850 Existing Attached residential (4 units or less) $4,804 Proposed Residential more than 1,300- 2,000 square feet $13,681 $7,763 $10,722 $13,681 Existing Single-family detached and duplex $5,728 Proposed Residential more than 2,000- 2,500 square feet $18,059 $9,838 $13,948 $18,059 Existing Single-family detached and duplex $5,728 Proposed Residential more than 2,500 square feet $20,795 $10,750 $15,772 $20,795 April 23, 2024 Item #3 Page 6 of 44 NORTHWEST PARK DISTRICT Development type Park in- lieu fee FY 2024- 25 1/3 increase FY 2025- 26 2/3 increase FY 2026- 27 3/3 increase Existing Mobile home $4,934 Proposed Residential less than 800 square feet $6,020 $5,296 $5,658 $6,020 Existing Attached residential (more than 4 units) $6,190 Proposed Residential 800-1,300 square feet $9,850 $7,410 $8,630 $9,850 Existing Attached residential (4 units or less) $6,414 Proposed Residential more than 1,300- 2,000 square feet $13,681 $8,836 $11,259 $13,681 Existing Single-family detached and duplex $7,649 Proposed Residential more than 2,000- 2,500 square feet $18,059 $11,119 $14,589 $18,059 Existing Single-family detached and duplex $7,649 Proposed Residential more than 2,500 square feet $20,795 $12,031 $16,413 $20,795 Community Engagement Community engagement regarding the Park Land Dedication and In-lieu Fee Study included: March 15, 2024 • Email sent to local Building Industry Association representative • Email sent to twenty local Industry Advisory Group representatives • Parks & Recreation webpage established with a summary and data links March 16, 2024 • First legal notice of public hearing posted in The San Diego Union-Tribune March 18, 2024 • Staff briefing made at Parks & Recreation Commission meeting March 23, 2024 • Second legal notice of public hearing posted in The San Diego Union-Tribune April 10, 2024 • Presentation made at local Building Industry Association Legislative Subcommittee meeting April 15, 2024 • Second staff briefing made at Parks & Recreation Commission meeting April 23, 2024 Item #3 Page 7 of 44 Fiscal Analysis It is anticipated that most new residential units in Carlsbad will involve subdivisions, and that a large percentage of those subdivisions will be required to pay park land in-lieu fees instead of dedicating land for parks. For the purposes of projecting city revenue from park land in-lieu fees through when the city is built out, staff assumed that 65% of all new residential units would involve residential subdivisions, which would be subject to park land in-lieu fees. Page 3-8, Table 3.8 of the study shows the projected revenue from the proposed park land in-lieu fees through buildout at nearly $85 million. The projected revenue from the existing park land in- lieu fees through buildout is about $33.5 million, about $51.5 million less. Because it was not possible to project the mix of future unit sizes that will be constructed in Carlsbad, the projected revenue from the park land in-lieu fees through buildout was based on added population and the cost per capita to acquire undeveloped land. Next Steps Staff will implement the updated park land dedication requirements for residential subdivisions, and phase in the proposed increase to the park land in-lieu fees over the next three fiscal years. At the end of fiscal year 2026-27, and every three fiscal years thereafter, staff will reevaluate the per acre undeveloped land value and recalculate the park land in-lieu fees as applicable and bring any proposed changes to the City Council for its consideration. Environmental Evaluation In keeping with California Public Resources Code Section 21065, this action does not require environmental review because it does not constitute a project within the meaning of the California Environmental Quality Act in that it has no potential to cause either a direct physical change or a reasonably foreseeable indirect physical change in the environment. Exhibits 1. City Council resolution 2. Park Land Dedication and In-lieu Fee Study, dated March 6, 2024 3. City Council agenda bill, dated June 7, 2005 April 23, 2024 Item #3 Page 8 of 44 RESOLUTION NO. 2024-084 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING UPDATED PARK LAND DEDICATION REQUIREMENTS FOR RESIDENTIAL SUBDIVISIONS AND THE PHASED-IN INCREASE OF PARK LAND IN-LIEU FEES OVER A THREE-YEAR PERIOD, ANNUALLY APPLYING APPROXIMATELY ONE-THIRD OF THE DIFFERENCE BETWEEN THE EXISTING PARK LAND IN-LIEU FEES AND THE PROPOSED PARK LAND IN-LIEU FEES OVER FISCAL YEARS 2024-25, 2025-26 AND 2026-27 WHEREAS, Carlsbad's parks contribute to the high quality of life the city is known for, providing access to recreation and a wide range of services and promoting active, healthy lifestyles; and WHEREAS, the City Council approved the 2023-2027 Carlsbad Strategic Plan on Oct. 11, 2022, and the Strategic Goals section provides five priority goals, including that of "Organizational Excellence & Fiscal Health; Be a model for effective and efficient local government;" and WHEREAS, the City Council approved the 2023-2030 Carlsbad Parks & Recreation Department Master Plan Update on Sept. 26, 2023, and Chapter 9 provides the department's Strategic Action Plan, including a Parks Strategy to: "Complete a Parks in-lieu Fee ... Study and present its findings to the City Council for review and direction;" and WHEREAS, in 1975, the State of California introduced the Quimby Act {Government Code Section 66477), which allows local governments like Carlsbad to ensure that residential subdivisions include enough space for parks; and WHEREAS, this law gives cities the authority to require developers to either set aside land for parks in their residential subdivisions or pay fees to support future park development by the cities; and WHEREAS, to implement the Quimby Act, the City Council Chapter 20.44 of the Carlsbad Municipal Code, Dedication of Land for Recreational Facilities. This chapter provides the standards for developers regarding park land dedication or in-lieu fee payments for residential subdivisions; and WHEREAS, the intent of this chapter of the Municipal Code is to ensure that for every 1,000 residents, there are three acres of parks and recreational spaces; and WHEREAS, developers of residential subdivisions must either dedicate land for parks or pay park land in-lieu fees proportionate to the number of housing units in their subdivisions. The City Council determines whether land dedication, in-lieu fee payments or a combination of both is needed for a particular residential subdivision project; and Exhibit 1 April 23, 2024 Item #3 Page 9 of 44 WHEREAS, under the Quimby Act, park land dedication and in-lieu fee requirements are based on the ratio of park acres to population in the jurisdiction. The population added by the subdivision is determined based on the number of dwelling units in the subdivision and the average population per unit; and WHEREAS, the population and average number of persons per household in the city are determined by the most recent federal census. The park acreage is to be based on the quantity of acres of neighborhood parks and community parks in the city at the time of that federal census; and WHEREAS, the land, fees, or combination thereof are to be used only for the purpose of developing new or rehabilitating existing neighborhood and community parks or recreational facilities to serve the subdivision subject to the requirements. For Carlsbad, the city's geographic park districts (i.e., Northwest, Northeast, Southeast and Southwest) are considered to be the areas served in this context; and WHEREAS, the City Council last approved an increase to Carlsbad's park land in-lieu fees in 2005, and those existing fees no longer accurately reflect the fair market value of undeveloped property in the city. In response, staff worked with NBS Government Finance Group to prepare the Carlsbad Park Land Dedication and In-lieu Fee Study, which analyzes the current fair market value of vacant land in Carlsbad and recommends updates to the formula for park land dedication and in-lieu fees for residential subdivision projects; and WHEREAS, the study area is bounded by the city limits of the City of Carlsbad, and the timeframe for future development in the study is defined as the period between 2023 and the buildout of the city's development potential; and WHEREAS, in addressing the findings of the study, staff are recommending that the City Council approve updated park land dedication requirements for residential subdivisions, and the phased-in increase of park land in-lieu fees over a three-year period, annually applying approximately one-third of the difference between the existing park land in-lieu fees and the proposed park land in-lieu fees over fiscal years 2024-25, 2025-26 and 2026-27, as reflected in Attachment A; and WHEREAS, staff will review the park land dedication requirements annually, including any changes in the latest federal census data; and April 23, 2024 Item #3 Page 10 of 44 WHEREAS, at the end of fiscal year 2026-27, and every three fiscal years thereafter, staff are recommending reevaluation of the per acre undeveloped land value and recalculating the park land in lieu fees as applicable, and bring any proposed changes to the City Council for its consideration; and WHEREAS, the City Planner has determined that in keeping with Public Resources Code Section 21065, this action does not require environmental review because it does not constitute a project within the meaning of the California En vironmental Quality Act in that it has no potential to cause either a direct physical change or a reasonably foreseeable indirect physical change in the environment. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.That the City Council approves the updated park land dedication requirements for residential subdivisions and the phased-in increase of park land in-lieu fees over a three year period, annually applying approximately one-third of the delta between the existing park land in-lieu fees and the proposed park land in-lieu fees over fiscal years 2024-25, 2025-26 and 2026-27, as reflected in Attachment A. 3.That at the end of fiscal year 2026-27, and every three fiscal years thereafter, staff will reevaluate the per acre undeveloped land value and recalculate the park land in-lieu fees as applicable, and bring any proposed changes to the City Council for consideration. PASSED, APPROVED AN D ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 23rd day of April, 2024, by the following vote, to wit: AYES: NAYS: ABSTAIN: ABSENT: BLACKBURN, BHAT-PATEL, ACOSTA, BURKHOLDER, LUN A. NONE. NONE. NONE. SHERRY FREISINGER, City Clerk (SEAL} April 23, 2024 Item #3 Page 11 of 44 ATTACHMENT A CITY OF CARLSBAD PARK LAND DEDICATION AND IN LIEU FEES APRIL 23, 2024 NORTHEAST, SOUTHEAST AND SOUTHWEST PARK DISTRICTS Development type Park in lieu fee FY 2024- 25 1/3 increase FY 2025- 26 2/3 increase FY 2026- 27 3/3 increase Existing Mobile home $3,696 Proposed Residential less than 800 square feet $6,020 $4,471 $5,246 $6,020 Existing Attached residential (more than 4 units) $4,635 Proposed Residential 800-1,300 square feet $9,850 $6,373 $8,111 $9,850 Existing Attached residential (4 units or less) $4,804 Proposed Residential more than 1,300- 2,000 square feet $13,681 $7,763 $10,722 $13,681 Existing Single-family detached and duplex $5,728 Proposed Residential more than 2,000- 2,500 square feet $18,059 $9,838 $13,948 $18,059 Existing Single-family detached and duplex $5,728 Proposed Residential more than 2,500 square feet $20,795 $10,750 $15,772 $20,795 April 23, 2024 Item #3 Page 12 of 44 CITY OF CARLSBAD PARK LAND DEDICATION AND IN LIEU FEES APRIL 23, 2024 NORTHWEST PARK DISTRICT Development type Park in lieu fee FY 2024- 25 1/3 increase FY 2025- 26 2/3 increase FY 2026-27 3/3 increase Existing Mobile home $4,934 Proposed Residential less than 800 square feet $6,020 $5,296 $5,658 $6,020 Existing Attached residential (more than 4 units) $6,190 Proposed Residential 800-1,300 square feet $9,850 $7,410 $8,630 $9,850 Existing Attached residential (4 units or less) $6,414 Proposed Residential more than 1,300- 2,000 square feet $13,681 $8,836 $11,259 $13,681 Existing Single-family detached and duplex $7,649 Proposed Residential more than 2,000- 2,500 square feet $18,059 $11,119 $14,589 $18,059 Existing Single-family detached and duplex $7,649 Proposed Residential more than 2,500 square feet $20,795 $12,031 $16,413 $20,795 April 23, 2024 Item #3 Page 13 of 44 Final Report Park Land Dedication and In-Lieu Fee Study March 6, 2024 nbsgov.com Prepared by: Corporate Headquarters 32605 Temecula Parkway, Suite 100 Temecula, CA 92592 Toll free: 800.676.7516 Exhibit 2 April 23, 2024 Item #3 Page 14 of 44 CITY OF CARLSBAD helping communities fund tomorrow Executive Summary ............................................................................................................. S-1 Organization of the Report ....................................................................................................... S-1 Development Data ................................................................................................................... S-1 Park Land Dedication and In-Lieu Fees..................................................................................... S-2 Proposed Park Land In-Lieu Fees .............................................................................................. S-2 Existing Park Land In-Lieu Fees ................................................................................................. S-3 Comparison of Existing and Proposed Park Land In-Lieu Fees ................................................. S-3 Park Land In-Lieu Fees Charged by Nearby Cities .................................................................... S-4 Chapter 1. Introduction .......................................................................................................1-1 Purpose ..................................................................................................................................... 1-1 The Quimby Act ........................................................................................................................ 1-1 Recent Legislation That May Apply to Park Land In-Lieu Fees ................................................. 1-2 Facilities Addressed in this Study ............................................................................................. 1-2 Chapter 2. Development Data .............................................................................................2-1 Study Area and Time Frame ..................................................................................................... 2-1 Development Types .................................................................................................................. 2-1 Population per Unit .................................................................................................................. 2-2 Existing and Future Population ................................................................................................ 2-2 Growth Potential ...................................................................................................................... 2-4 Chapter 3. Park Land Dedication and In-Lieu Fees ................................................................3-1 Park Land Dedication and In-Lieu Fees..................................................................................... 3-1 Service Areas ............................................................................................................................ 3-1 Methodology ............................................................................................................................ 3-1 Ratio of Park Acres to Population............................................................................................. 3-2 Existing Level of Service ............................................................................................................ 3-2 Fees in Lieu of Park Land Dedication ........................................................................................ 3-5 Park Land In-Lieu Fees per Unit ................................................................................................ 3-6 Projected Revenue ................................................................................................................... 3-8 Updating the Fees .................................................................................................................... 3-8 Chapter 4. Implementation .................................................................................................4-1 Appendices Land Value Survey Appendix A Exhibit 2 April 23, 2024 Item #3 Page 15 of 44 Table of Contents City of Carlsbad Page S-1 Park Land Dedication and In-Lieu Fee Study March 6, 2024 The City of Carlsbad retained NBS Government Finance Group to prepare this study to calculate updated park land dedication requirements and fees in lieu of dedication for residential subdivisions in the City as authorized by the Quimby Act (Government Code Section 66477). The City’s existing requirements for dedication of park land or payment of in-lieu fees are contained in Chapter 20.44 of the Carlsbad Municipal Code. Organization of the Report Chapter 1 of this report provides an overview of the legal requirements for establishing park land dedication and in-lieu fee requirements for residential subdivisions under the Quimby Act. Chapter 2 contains data on population per unit factors and existing and future population estimates that are used in this report. Chapter 3 calculates the acres of park land to be dedicated and the amount of fees in lieu of dedication per new residential unit for several categories of residential development, defined by unit size ranges. Chapter 4 contains recommendations for adopting and implementing park land dedication requirements and in-lieu fees. Development Data Chapter 2 of this report presents data on existing population in Carlsbad and projections of the City’s future population through buildout. Park land dedication and in-lieu requirements are applied on a per-unit basis, depending on estimated population per unit factors for the residential development categories defined in this report. Table 2.1 in Chapter 2 shows the estimated population per unit for each category of residential development. Categories of residential development are defined in this report on the basis of unit size in square feet, whereas the categories used for the City’s existing park land in-lieu fees are based on unit type (e.g., single-family detached or attached units and mobile homes). The reason this report recommends using unit-size categories for park land in-lieu fees is that, after 2022, the Mitigation Fee Act requires that impact fees be based on unit size. While that mandate does not apply to park land in-lieu fees adopted under the Quimby Act, using unit-size categories for the proposed park land in-lieu fees will allow for consistency in the event the City chooses to adopt impact fees for park improvements and recreation facilities in the future. The Quimby Act requires that park land dedication requirements and fees in lieu of dedication must be based on the ratio of park acres to population at the time of the most recent federal census. Consequently, the City’s 2020 population and the acreage of existing parks in 2020 is used in this report to establish the ratio of park acres to Exhibit 2 April 23, 2024 Item #3 Page 16 of 44 Executive Summary Q NBs· City of Carlsbad Page S-2 Park Land Dedication and In-Lieu Fee Study March 6, 2024 population in 2020. Carlsbad’s 2020 census population is shown in Table 2.2 in Chapter 2. Carlsbad’s estimated January 2023 population is also shown in Table 2.2. Table 2.3 in Chapter 2 shows a forecast of added population from 2023 to buildout and Table 2.4 shows a forecast of total forecasted population at buildout. The data in those tables is used to project potential revenue from park land in-lieu fees calculated in this report. Park Land Dedication and In-Lieu Fees Although the City’s 2020 ratio of park acres to population was somewhat less than 3.0 acres per 1,000 population, the Quimby Act specifically allows park land dedication requirements to be based on at least 3.0 acres per 1,000 population (0.003 acres per capita). Therefore, the amount of park acreage to be dedicated for each unit in a residential subdivision is based on the following formula: Acres per unit to be dedicated = 0.003 X population per unit As discussed above, estimated population per unit varies by unit size category, so the acreage per unit to be dedicated, or the amount of the in-lieu fee to be paid, will also vary by unit size category. The City may choose whether a particular subdivision must dedicate land for parks or pay a fee in lieu of dedication or a combination of the two. Fees in lieu of park land dedication are based on the required park acres per unit and the estimated cost per acre to acquire park land in Carlsbad. Proposed Park Land In-Lieu Fees Park land in-lieu fees per unit calculated in this report are shown in Table S.1, on the next page, for each category of residential development defined in this report. The difference among those categories is the estimated population per dwelling unit which is shown in Table 2.1 in Chapter 2. Although park land in-lieu fees are shown for each park district, the fees are identical for all park districts because the same land cost per acre was used for all park districts. Table S.1: Proposed Park Land In-Lieu Fees per Unit Development Type Units 1 NE Park District NW Park District SE Park District SW Park District Residential <800 Square Feet DU 6,020$ 6,020$ 6,020$ 6,020$ Residential 800-1,300 Square Feet DU 9,850$ 9,850$ 9,850$ 9,850$ Residential >1,300-2,000 Square Feet DU 13,681$ 13,681$ 13,681$ 13,681$ Residential >2,000-2,500 Square Feet DU 18,059$ 18,059$ 18,059$ 18,059$ Residential >2,500 Square Feet DU 20,795$ 20,795$ 20,795$ 20,795$ 1 DU = dwelling unit Exhibit 2 April 23, 2024 Item #3 Page 17 of 44 O NBS- City of Carlsbad Page S-3 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Existing Park Land In-Lieu Fees Carlsbad’s existing park land in-lieu fees are shown in Table S.2. As discussed previously, the categories used for the City’s existing park land in-lieu fees are based on unit type rather than unit size. Also, the existing in-lieu fees for the Northwest Park District were based on a higher land cost per acre than the existing in-lieu fees for the other park districts. In this study the same land cost per acre is used for all park districts. Comparison of Existing and Proposed Park Land In-Lieu Fees A direct comparison of existing and proposed park land in-lieu fees is complicated by the fact that the breakdown of development types used for the proposed fees is based on unit size categories while the existing fees are differentiated by unit type. Table S.3 compares the existing and proposed park land in-lieu fee schedules based on the amount of the fees, starting with the lowest fee category then stepping up to the next higher fee category in each schedule. Because there are five categories of proposed fees and only four categories of existing fees, the highest fee category in the existing fee schedule (Single-Family Detached and Duplex) is compared with both of the top two fee categories in the proposed fee schedule. Table S.2: Existing Park Land In-Lieu Fees per Unit Development Type Units 1 NE Park District NW Park District SE Park District SW Park District Mobile Homes DU 3,696$ 4,934$ 3,696$ 3,696$ Attached Residential (more than 4 units)DU 4,635$ 6,190$ 4,635$ 4,635$ Attached Residential (4 units or less)DU 4,804$ 6,414$ 4,804$ 4,804$ Single-Family Detached and Duplex DU 5,728$ 7,649$ 5,728$ 5,728$ 1 DU = dwelling unit Table S.3 : Comparison of Existing and Proposed Park Land In-Lieu Fees Development Type Units 1 NE Park District NW Park District SE Park District SW Park District Existing Mobile Home DU 3,696$ 4,934$ 3,696$ 3,696$ Proposed Residential <800 Square Feet DU 6,020$ 6,020$ 6,020$ 6,020$ Existing Attached Residential (more than 4 units)DU 4,635$ 6,190$ 4,635$ 4,635$ Proposed Residential 800-1,300 Square Feet DU 9,850$ 9,850$ 9,850$ 9,850$ Existing Attached Residential (4 units or less)DU 4,804$ 6,414$ 4,804$ 4,804$ Proposed Residential >1,300-2,000 Square Feet DU 13,681$ 13,681$ 13,681$ 13,681$ Existing Single-Family Detached and Duplex DU 5,728$ 7,649$ 5,728$ 5,728$ Proposed Residential >2,000-2,500 Square Feet DU 18,059$ 18,059$ 18,059$ 18,059$ Existing Single-Family Detached and Duplex DU 5,728$ 7,649$ 5,728$ 5,728$ Proposed Residential >2,500 Square Feet DU 20,795$ 20,795$ 20,795$ 20,795$ 1 DU = dwelling unit Exhibit 2 April 23, 2024 Item #3 Page 18 of 44 O NBS- City of Carlsbad Page S-4 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Park Land In-Lieu Fees Charged by Nearby Cities As part of this study, NBS did a survey of park land in-lieu fees as well as impact fees for park and recreation facilities in five cities near Carlsbad. Those cities are Encinitas, Escondido, Oceanside, San Marcos and Vista. Of those five cities, only three had adopted ordinances requiring dedication of land or payment of in-lieu fees for park land. However, all five cities charge fees for park land and/or park and recreation improvements. The comparison table below shows their current fees. Note: Early in 2023, Oceanside completed a study to update its park fees for developers. However, as of March 6, 2024, the fee schedule posted on the City of Oceanside web site does not reflect the adoption of those new fees. Facility Type Units 1 ENCINITAS 2 (2016) ESCONDIDO 3 (2023) OCEANSIDE 4 (2023) SAN MARCOS 5 (2022) VISTA 6 (2022) Residential - Multi-Family Park Land DU $4,829 $4,431 $4,546 Park Improvements DU $2,644 $6,664 $6,251 $4,000 Trails DU $112 Total $7,585 $6,664 $4,431 $6,251 $8,546 Residential - Single-Family Park Land DU $7,230 $4,431 $4,575 Park Improvements DU $3,959 $6,986 $6,251 $4,025 Trails DU $168 Total $11,357 $6,986 $4,431 $6,251 $8,600 1 DU = dwelling unit 2 Encinitas impact fees effective in 2016; Encinitas park land fees include fees for open space land acquisition 3 Escondido impact fees effective 2021 4 Oceanside impact fees effective 2023 5 San Marcos impact fees effective 2022 6 Vista impact fees effective 2022 City of Carlsbad 2023 Park Land Dedication and In-Lieu Fee Study - Fee Comparison COMPARISON AGENCIES Exhibit 2 April 23, 2024 Item #3 Page 19 of 44 O NBS- City of Carlsbad Page 1-1 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Purpose The purpose of this study is to calculate updated fees in lieu of park land dedication pursuant to the Quimby Act. The Quimby Act The Quimby Act (Government Code Section 66477) authorizes a city or county to require dedication of land, payment of fees in-lieu of dedication, or a combination of both, for park and recreational purposes as a condition of approval of a residential subdivision or parcel map. The city or county must adopt an ordinance that includes definite standards for determining the proportion of the subdivision to be dedicated and the amount of the in-lieu fees to be paid. It is important to note that park land dedication and in-lieu fee requirements authorized by the Quimby Act apply only to projects involving a subdivision or parcel map. These requirements do not apply to projects for apartment complexes. Under the Quimby Act, land dedication and in-lieu fee requirements are based on the ratio of park acres to population in the jurisdiction. That ratio may not exceed three acres per thousand residents unless the existing ratio is higher and is capped at five acres per thousand residents. The population added by the subdivision is determined based on the number of dwelling units in the subdivision and the average population per unit. The population and average number of persons per household in the city or county are to be based on the most recent federal census. Park acreage is to be based on the area of neighborhood and community parks in the city or county at the time of that census. The land, fees, or combination thereof are to be used only for the purpose of developing new or rehabilitating existing neighborhood or community park or recreational facilities to serve the subdivision subject to the requirements. A 2013 amendment to the Quimby Act added a provision that in-lieu fees may be used for the purpose of developing new or rehabilitating existing park or recreational facilities in a neighborhood other than the neighborhood in which the subdivision paying the fees is located if certain conditions are met (see paragraph (a)(3)(B) of Section 66477). “Neighborhood” is not defined in the statute. In this study, the park districts defined by the City of Carlsbad will be considered neighborhoods in that context. The Quimby Act requires that the legislative body adopt a general plan or specific plan containing policies and standards for parks and recreational facilities, and that the amount and location of land to be dedicated or the fees to be paid shall bear a reasonable relationship to the use of the park and recreational facilities by future inhabitants of the subdivision. Only payment of in-lieu fees may be required for subdivisions containing 50 parcels or less, except when a condominium, stock cooperative or community apartment project exceeds 50 dwelling units, then dedication of land may be required. Exhibit 2 April 23, 2024 Item #3 Page 20 of 44 Chapter 1. Introduction Q NBs· City of Carlsbad Page 1-2 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Recent Legislation That May Apply to Park Land In-Lieu Fees Several new laws enacted by the State of California since 2019 to facilitate development of affordable housing will affect the implementation of in-lieu fees calculated in this study. Below are brief overviews of some recently passed legislation. SB 330 – The Housing Crisis Act of 2019. Amendments to existing law contained in SB 330 prohibit the imposition of new approval requirements on a housing development project once a preliminary application has been submitted. That provision applies to increases in impact fees and in-lieu fees, except when the resolution or ordinance establishing the fee authorizes automatic, inflationary adjustments to the fee or exaction. AB 1483 – Housing Data: Collection and Reporting. AB 1483 requires that a city, county or special district must post on its website a current schedule of its fees and exactions, as well as associated nexus studies and annual reports. Updates must be posted within 30 days. Facilities Addressed in this Study This study addresses only requirements for park land dedication and fees in-lieu of park land dedication that are charged by the City in connection with approval of residential subdivisions and parcel maps. The acreage dedication requirements and in-lieu fees calculated in this report are intended to update the requirements of Chapter 20.44 of the Carlsbad Municipal Code. Exhibit 2 April 23, 2024 Item #3 Page 21 of 44 City of Carlsbad Page 2-1 Park Land Dedication and In-Lieu Fee Study March 6, 2024 This chapter presents data on existing and future development that will be used to calculate park land dedication requirements and in-lieu fees authorized by the Quimby Act in this report. Park land dedication requirements and fees in lieu of dedication imposed under the Quimby Act apply only to residential subdivisions and parcel maps. See Chapter 1 for a more extensive discussion of the Quimby Act. Population data used in this chapter are based on information from the U.S. Census Bureau, the City of Carlsbad Community Development Department and other sources as noted in this chapter. Study Area and Time Frame The study area for this study is the area within the City of Carlsbad. The timeframe for future development in this study is defined as the period between 2023 and buildout of the City’s development potential. Development Types The in-lieu fees calculated in this report will be applied to residential development resulting from residential subdivisions and parcel maps. These fees will not be applied to projects for apartment complexes. The residential development types defined in this study are listed below. Traditionally, in-lieu fees for residential development have been based on unit types such as single-family, multi-family and mobile home units. However, recent amendments to the Government Code as it pertains to impact fees imposed on housing development projects require that fees must be proportional to the square footage of proposed units of the development. Although park land in-lieu fees governed by the Quimby Act are not required to be proportional to the square footage of residential units, this report defines residential development categories in terms of square footage so that those categories will be consistent with the categories used by the City of Carlsbad to charge certain types of impact fees. The list of development categories used in this study is shown below. Residential: < 800 Sq. Ft. per Unit Residential: > 800 – 1,300 Sq. Ft. per Unit Residential: > 1,300 – 2,000 Sq. Ft. per Unit Residential: > 2,000 – 2,500 Sq. Ft. per Unit Residential: > 2,500 Sq. Ft. per Unit Exhibit 2 April 23, 2024 Item #3 Page 22 of 44 Chapter 2. Development Data Q NBs· City of Carlsbad Page 2-2 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Population per Unit The Quimby Act requires that park land dedication requirements and fees in lieu of dedication be based on the ratio of park acres to population at the time of the most recent decennial census. That ratio can be stated in terms of acres per capita so, logically, the amount of acreage to be dedicated or in-lieu fees to be paid for a certain type of residential unit depends on the population per unit for that category. Table 2.1 shows population-per-unit factors estimated for residential unit size categories used in this study. The Census Bureau and Department of Finance collect data on population per unit, by unit type (e.g., single-family or multi-family), rather than by unit size. Consequently, we must estimate the population per unit for unit-size categories. Population-per-unit factors shown in Table 2.1 were estimated using data on the distribution of units by number of bedrooms from the American Community Survey (ACS) Table B25041 and were checked against data in ACS Table B25009 showing the distribution of household sizes in Carlsbad. The estimated population per unit for each category is adjusted so that, (1) the population per unit increases with unit size, and (2) the average population per unit and total population remain approximately the same as for the original data. Existing and Future Population Tables 2.2 through 2.4 on the following pages present data on existing and future population in Carlsbad. Table 2.2, on the next page, shows existing population, both at the time of the 2020 Census and as of January 2023. As noted previously, the Quimby Act requires park land dedication requirements and fees in lieu of dedication to be based on the ratio of park acres to population at the time of Table 2.1: Population per Unit by Unit Size Unit Size No. of No. of % of Population Population in Sq Ft 1 Bedrooms Units 2 Units per Unit 3 by Unit Size 4 <800 0-1 5,927 12.4%1.10 6,519 800-1,300 2 12,926 27.1%1.80 23,267 >1,300-2,000 3 15,503 32.5%2.50 38,757 >2,000-2,500 4 9,281 19.4%3.30 30,628 >2,500 5+4,097 8.6%3.80 15,570 Total/Average 47,734 100.0%2.40 114,741 1 Estimated square-feet-per-unit ranges based on number of bedrooms 2 Distribution of units by number of bedrooms from American Community Survey (ACS) Table B25041, 2021 1-Year Estimates, adjusted to 2020 Census units 3 Population per unit used in this study estimated by NBS 4 Population by unit size = number of units X population per unit Exhibit 2 April 23, 2024 Item #3 Page 23 of 44 O NBS- City of Carlsbad Page 2-3 Park Land Dedication and In-Lieu Fee Study March 6, 2024 the most recent decennial census. The 2020 population in Table 2.2 is used to establish that ratio along with the list of 2020 improved park acres in Table 3.1 in the next chapter. The 2023 population in Table 2.2 is used only for purposes of calculating the difference between existing population at the time of this study and forecasted buildout population in Table 2.4. That difference is shown as added population in Table 2.3, which is used to project revenue from in-lieu fees calculated in the next chapter. Table 2.3 shows the projected increase in population in Carlsbad from 2023 to buildout. Added population is not used in the in-lieu fee calculations in this report. It is only used to project potential revenue from those fees. Table 2.4 shows a forecast of buildout population in the City. Table 2.2: Existing Population - 2020 and 2023 Existing Population 1 2020 Census 114,735 January 1, 2023 117,800 1 2020 population from the 2020 Census; 2023 pop- ulation from the July 2023 Draft Supplemental EIR for the Carlsbad Housing Element Implementation and Public Safety Element p. 4.11-6 Table 2.3: Added Population - 2023 to Buildout Added Population 1 Added Population - 2023 to Buildout 23,870 1 Added population to buildout = buildout population from Table 2.4 less existing 2023 population from Table 2.2 Table 2.4: Forecasted Population at Buildout Buildout Population 1 Forecasted Buildout Population 141,670 1 Buildout population from the July 2023 Draft Sup- plemental EIR for the Carlsbad Housing Element Implementation and Public Safety Element Update, p. 4.12-19 Exhibit 2 April 23, 2024 Item #3 Page 24 of 44 O NBS- City of Carlsbad Page 2-4 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Growth Potential The forecasted buildout population shown in Table 2.4 represents an increase of approximately 20% from Carlsbad’s 2023 population. Exhibit 2 April 23, 2024 Item #3 Page 25 of 44 City of Carlsbad Page 3-1 Park Land Dedication and In-Lieu Fee Study March 6, 2024 This chapter calculates park land dedication requirements and fees in lieu of dedication authorized by the Quimby Act. Those requirements would apply only to residential subdivisions and parcel maps and are intended to serve as the basis for possible amendments to Chapter 20.44 of the Carlsbad Municipal Code titled “Dedication of Land for Recreational Facilities.” Park Land Dedication and In-Lieu Fees Residential subdivisions and parcel maps are subject to the Quimby Act (Govt. Code Section 66477) which is part of the Subdivision Map Act. The Quimby Act authorizes cities and counties in California to require subdividers to dedicate land for parks or pay fees in lieu of dedication. The City’s existing Quimby Act ordinance, codified in Chapter 20.44 of the Carlsbad Municipal Code bases park land dedication and in-lieu fee acreage requirements for subdivisions on a standard of 3.0 acres per 1,000 population. This analysis also uses a standard of 3.0 acres per 1,000, which is permitted by the Quimby Act, even though the City’s 2020 level of service was somewhat below that level. Chapter 20.44 currently provides that the land cost per acre used to calculate park land in-lieu fees is to be based on the fair market value per acre of the land that would otherwise be dedicated. That fair market value is to be determined for each of four quadrants (aka park districts) 1 in Carlsbad by periodic surveys of the value of undeveloped land in the City. A survey conducted by City staff and a real estate consultant at the time of this study estimated the fair market value of undeveloped land in the City and found that the same value should be applied to all quadrants. Service Areas Park land in-lieu fees calculated in this chapter are intended to apply to all residential subdivisions and parcel maps approved by the City. The fee calculation tables later in this chapter show in-lieu fees by park district, but the fees for all park districts are based on the same ratio of park acres to population and the same land cost per acre, so the in-lieu fees are the same for all park districts. However, it is the City’s policy that the park land in-lieu fees are to be spent in the park district where they were collected. Methodology This chapter calculates park land dedication requirements and in-lieu fees using the method outlined in the Quimby Act. That method bases the park land dedication 1 The interior boundaries of the four quadrants are defined by El Camino Real running generally north and south, and Palomar Airport Road running generally east and west. Exhibit 2 April 23, 2024 Item #3 Page 26 of 44 Chapter 3. Park Land Dedication and In-Lieu Fees O NBS- City of Carlsbad Page 3-2 Park Land Dedication and In-Lieu Fee Study March 6, 2024 requirement on a ratio of park acres to population and the population per unit for a particular type of residential development. The formula contained in Chapter 20.44 of the Carlsbad Municipal Code to be used in calculating the number of acres that must be dedicated by a subdivision is: Population per dwelling unit X 3 acres per 1,000 population X number of units Chapter 20.44 does not specify the population per dwelling unit to be used in that formula, saying only that it should be based on the most recent federal census. It is common practice for California cities to use population-per-unit factors based on the types of units contained in the subdivision. For example, on average, single-family dwelling units house more residents than multi-family units. For the reasons discussed in Chapter 2, this report defines residential development types by unit size ranges. Population-per-unit factors used to calculate park acreage dedication requirements and in-lieu fees for subdivisions vary by unit size. Those factors are shown in Table 2.1 in Chapter 2 and are used in the fee calculation tables in this chapter. Ratio of Park Acres to Population Chapter 20.44 of the Carlsbad Municipal Code sets a standard of 3.0 acres per 1,000 population to be used in calculating park land dedication requirements and fees in lieu of dedication for residential subdivisions. That standard is consistent with the standard adopted in the Open Space, Conservation and Recreation Element of the Carlsbad General Plan (page 4-9). In addition, the Quimby Act provides that fees in lieu of park land dedication may be based on at least 3 acres per 1,000 residents, even if the relevant level of service is lower.2 Consequently, this study uses 3.0 acres per 1,000 population (0.003 acres per capita) to calculate the park land dedication requirement and in-lieu fees for residential subdivisions. Existing Level of Service Table 3.1 on Page 3-4 lists the City’s existing parks and the improved acres of each park as of 2020. The list of parks in Table 3.1 includes some non-city-owned parks on leased land where the City has invested in substantial capital improvements (see the footnotes to Table 3.1). Table 3.1 does not include the Terramar Northern Bluff site, nor any of the school district properties for which the City has Joint Use Agreements, because the City has not provided capital improvements to them. Table 3.1 does not include Zone 5 Park, which is intended to serve non-residential development and is funded from a separate fee program. 2 The Quimby Act sets a maximum level of 5 acres per 1,000 population, but that limit does not come into play in this case. Exhibit 2 April 23, 2024 Item #3 Page 27 of 44 O NBS- City of Carlsbad Page 3-3 Park Land Dedication and In-Lieu Fee Study March 6, 2024 While most of the parks shown in Table 3.1 are listed in a single park district, the acreage of Veteran’s Memorial Park is split equally among the four park districts in the City to signify that it is intended to serve the entire City. Exhibit 2 April 23, 2024 Item #3 Page 28 of 44 City of Carlsbad Page 3-4 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Table 3.1: 2020 Improved Park Acres Park Park Park City-Owned Improved Name Type District Park Acres 1 Park Acres Calavera Hills Community Park Community Park NE 16.81 16.81 Hidden Canyon Community Park Community Park NE 21.98 21.98 Calavera Hills Trailhead Special Use Area NE 0.34 0.34 Carlsbad Skate Park Special Use Area NE 3.38 3.38 Robertson Ranch Park Special Use Area NE 11.18 0.00 Veteran's Memorial Park (25% Share)Community Park NW 23.43 0.00 Subtotal NE Park District 77.12 42.51 Magee Park Community Park NW 2.06 2.06 Holiday Park Community Park NW 5.97 5.97 Laguna Riviera Park Community Park NW 4.20 4.20 Pine Avenue Community Park Community Park NW 8.16 8.16 Hosp Grove Park Community Park NW 27.09 27.09 Maxton Brown Park Special Use Area NW 0.94 0.94 Chase Field Special Use Area NW 2.73 2.73 Car Country Park Special Use Area NW 1.03 1.03 Carlsbad Senior Ctr/Pine Ave Community Ctr Special Use Area NW 3.37 3.37 Harding Community Center Special Use Area NW 0.97 0.97 Harold Smerdu Community Garden Special Use Area NW 1.31 1.31 Monroe Street Pool Special Use Area NW 1.97 1.97 Ocean St Sculpture Park/Tamarack Picnic Area 2 Special Use Area NW 0.00 8.84 Pio Pico Park Special Use Area NW 0.80 0.80 Oak Park Special Use Area NW 0.18 0.18 Cannon Park 3 Special Use Area NW 0.00 1.67 Cannon Lake Park Special Use Area NW 6.82 0.00 Hosp Grove Trailheads Special Use Area NW 7.60 7.60 Buena Vista Reservoir Park Special Use Area NW 3.16 0.00 Veteran's Memorial Park (25% Share)Community Park NW 23.43 0.00 Subtotal NW Park District 101.79 78.89 Alga Norte Park Community Park SE 32.11 32.11 Stagecoach Community Park Community Park SE 28.48 28.48 Leo Carillo Ranch Historic Park Community Park SE 27.38 27.38 La Costa Canyon Community Park Community Park SE 14.68 14.68 El Fuerte Park Special Use Area SE 3.67 3.67 Cadencia Park Special Use Area SE 4.04 4.04 Veteran's Memorial Park (25% Share)Community Park NW 23.43 0.00 Subtotal SE Park District 133.79 110.36 Aviara Community Park Community Park SW 24.28 24.28 Poinsettia Community Park Community Park SW 41.25 41.25 South Carlsbad Coastline Park Community Park SW 60.00 0.00 Veteran's Memorial Park (25% Share)Community Park NW 23.43 0.00 Subtotal SW Park District 148.96 65.53 Total 461.66 297.29 Source: City of Carlsbad Parks and Recreation Department 1 Park land shown in this column is owned by the City 2 Ocean St. Sculpture Park and Tamarack Picnic Area were improved by the City under a permit from the California State Parks Department 3 Cannon Park was improved by the City under a long-term lease from San Diego Gas and Electric Exhibit 2 April 23, 2024 Item #3 Page 29 of 44 O NBS- City of Carlsbad Page 3-5 Park Land Dedication and In-Lieu Fee Study March 6, 2024 As noted previously, the Quimby Act requires that park land dedication requirements and fees in lieu of dedication must be based on the ratio of park acres to population at the time of the most recent federal census, which in this case is the 2020 Census. Table 3.2 calculates the ratio of park acres to population in Carlsbad at the time of the 2020 Census. Fees in Lieu of Park Land Dedication Whether a residential subdivision is required to dedicate land for parks or pay a fee in lieu of dedication or a combination of the two is at the discretion of the City, except for subdivisions of less than 50 lots which, under the Quimby Act, may not be required to dedicate land. Chapter 20.44 of the Carlsbad Municipal Code lists factors the City will consider in determining whether a subdivision will be required to dedicate land or pay fees in lieu of dedication. Table 3.3 calculates the cost per capita, by park district, that will be used to calculate fees in lieu of park land dedication for Carlsbad. That calculation is based on the 3.0 acres per 1,000 population (0.003 acres-per-capita) standard and the estimated cost per acre to acquire park land in Carlsbad. Both factors, and the resulting cost per capita, are identical for all park districts. The list of property sales that were used to establish the land cost per acre is included in Appendix A. The City’s policy is that park land in-lieu fees are spent in the park district in which the fees are collected. Table 3.2: 2020 Level of Service - Park Acres per 1,000 Population 2020 2020 2020 Acres 2020 Acres Park Acres 1 Population 2 per Capita 3 per 1,000 Pop 4 297.29 114,735 0.00259 2.59 1 See Table 3.1 2 See 2020 population in Table 2.2 3 2020 acres per capita = 2020 park acres / 2020 population 4 2020 acres per 1,000 population = 2020 acres per capita X 1,000 Exhibit 2 April 23, 2024 Item #3 Page 30 of 44 O NBS- City of Carlsbad Page 3-6 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Park Land In-Lieu Fees per Unit Tables 3.4 through 3.7 show the calculation of park land in-lieu fees per dwelling unit by park district and unit-size category. Those fees are calculated using per-capita costs from Table 3.3 and population per dwelling unit factors from Table 2.1. Table 3.3: Cost per Capita - Park Land In Lieu Fee Park Acres per Land Cost Cost per District Capita 1 per Acre2 Capita3 NE 0.00300 1,824,148$ 5,472.44$ NW 0.00300 1,824,148$ 5,472.44$ SE 0.00300 1,824,148$ 5,472.44$ SW 0.00300 1,824,148$ 5,472.44$ 1 Acres per capita = 0.003 acres per capita or 3 acres per 1,000 as permitted by the Quimby Act instead of the actual ratio of acres per capita at the time of the 2020 Census (see Table 3.2) 2 Park land acquisition cost per acre based on a 2023 survey of fair market value for undeveloped land in Carlsbad; see Appendix A 3 Cost per capita = acres per capita X land cost per acre Table 3.4: Park Land In-Lieu Fees per Unit - Northeast Park District Development Cost per Population In-Lieu Fee Type Units 1 Capita 2 per Unit 3 per Unit 4 Residential <800 Square Feet DU $5,472.44 1.10 6,019.69$ Residential 800-1,300 Square Feet DU $5,472.44 1.80 9,850.40$ Residential >1,300-2,000 Square Feet DU $5,472.44 2.50 13,681.11$ Residential >2,000-2,500 Square Feet DU $5,472.44 3.30 18,059.07$ Residential >2,500 Square Feet DU $5,472.44 3.80 20,795.29$ 1 Units of development: DU = dwelling unit 2 See Table 3.3 3 See Table 2.1 4 In-lieu fee per unit = cost per capita X population per unit Exhibit 2 April 23, 2024 Item #3 Page 31 of 44 O NBS- City of Carlsbad Page 3-7 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Table 3.5: Park Land In-Lieu Fees per Unit - Northwest Park District Development Cost per Population In-Lieu Fee Type Units 1 Capita 2 per Unit 3 per Unit 4 Residential <800 Square Feet DU $5,472.44 1.10 6,019.69$ Residential 800-1,300 Square Feet DU $5,472.44 1.80 9,850.40$ Residential >1,300-2,000 Square Feet DU $5,472.44 2.50 13,681.11$ Residential >2,000-2,500 Square Feet DU $5,472.44 3.30 18,059.07$ Residential >2,500 Square Feet DU $5,472.44 3.80 20,795.29$ 1 Units of development: DU = dwelling unit 2 See Table 3.3 3 See Table 2.1 4 In-lieu fee per unit = cost per capita X population per unit Table 3.6: Park Land In-Lieu Fees per Unit - Southeast Park District Development Cost per Population In-Lieu Fee Type Units 1 Capita 2 per Unit 3 per Unit 4 Residential <800 Square Feet DU $5,472.44 1.10 6,019.69$ Residential 800-1,300 Square Feet DU $5,472.44 1.80 9,850.40$ Residential >1,300-2,000 Square Feet DU $5,472.44 2.50 13,681.11$ Residential >2,000-2,500 Square Feet DU $5,472.44 3.30 18,059.07$ Residential >2,500 Square Feet DU $5,472.44 3.80 20,795.29$ 1 Units of development: DU = dwelling unit 2 See Table 3.3 3 See Table 2.1 4 In-lieu fee per unit = cost per capita X population per unit Table 3.7: Park Land In-Lieu Fees per Unit - Southwest Park District Development Cost per Population In-Lieu Fee Type Units 1 Capita 2 per Unit 3 per Unit 4 Residential <800 Square Feet DU $5,472.44 1.10 6,019.69$ Residential 800-1,300 Square Feet DU $5,472.44 1.80 9,850.40$ Residential >1,300-2,000 Square Feet DU $5,472.44 2.50 13,681.11$ Residential >2,000-2,500 Square Feet DU $5,472.44 3.30 18,059.07$ Residential >2,500 Square Feet DU $5,472.44 3.80 20,795.29$ 1 Units of development: DU = dwelling unit 2 See Table 3.3 3 See Table 2.1 4 In-lieu fee per unit = cost per capita X population per unit Exhibit 2 April 23, 2024 Item #3 Page 32 of 44 O NBS- City of Carlsbad Page 3-8 Park Land Dedication and In-Lieu Fee Study March 6, 2024 Projected Revenue Table 3.8 shows projected revenue from park land in-lieu fees. Those revenue projections required some assumptions, one of which is that future development in the City will occur as forecasted in Chapter 2. But it is also necessary to make an assumption about the percentage of future residential units that will be required to pay fees in lieu of park land dedication. Only developments that involve subdivisions, such as condominium and townhouse developments as well as new single-family lot developments, are required to pay park land in-lieu fees if they do not dedicate land for parks. Developments that do not involve subdivisions, such as apartment projects, are not subject to either dedicating land or paying park land in-lieu fees. The City anticipates that most new residential units in Carlsbad will involve subdivisions. It is also expected that a large percentage of all new residential development in subdivisions will be required to pay in-lieu fees instead of dedicating land for parks. For purposes of projecting revenue from park land in-lieu fees, we will assume 65% as a rough estimate of the percentage of new residential units that will be subject to park land in- lieu fees. Since it is not possible to project the mix of future unit sizes that will be constructed in Carlsbad, revenue from the park land in-lieu fees is projected in Table 3.8 based on added population and the cost per capita to acquire park land. Projected revenue calculated in Table 3.8 is shown in current dollars. Updating the Fees The fee amounts calculated in this chapter are based on the estimated cost per acre for undeveloped land in Carlsbad. That estimated cost should be reviewed annually and updated at least every five years. Chapter 20.44 of the Carlsbad Municipal Code outlines a process by which the land value estimates underlying the park land in-lieu fees can be updated. Table 3.8: Projected Revenue - Park Land In-Lieu Fees Development Added Pop Subject Cost per Projected Type Population 1 to Fees 2 Capita 3 Revenue 4 Residential Subdivisions 23,870 15,516 $5,472.44 $84,910,441 1 See Table 2.3 2 65% of added population assumed to be associated with development subject to to park land in-lieu fees; population subject to the park land in-lieu fees = added population X 0.65; see discussion in text above 3 See Table 3.3 4 Projected revenue = population subject to park land in-lieu fees X cost per capita Exhibit 2 April 23, 2024 Item #3 Page 33 of 44 O NBS- City of Carlsbad Page 4-1 Park Land Dedication and In-Lieu Fee Study March 6, 2024 This chapter of the report contains recommendations for adoption and administration of park land dedication requirements and in-lieu fees calculated in this study. This information was not prepared by an attorney and is not intended as legal advice. Statutory requirements for the adoption and administration of park land in-lieu fees are found in the Quimby Act (Government Code Section 66477). The City of Carlsbad has an existing ordinance governing park land dedication and fees in lieu of dedication (see Chapter 20.44 of the Carlsbad Municipal Code). That ordinance may need to be amended to adopt updated park land in-lieu fees calculated in this report. Chapter 20.44 of the Carlsbad Municipal Code defines the method to be used to determine the amount of land to be dedicated or in-lieu fees to be paid by the developers of a subdivision. Section 20.44.030 provides that park land dedication and in-lieu fee requirements shall be based on standard of three acres per 1,000 population, which is consistent with the requirements of the Quimby Act. The Quimby Act, in subsection 66477(a)(3)(A), requires that dedicated park land and fees in lieu of dedication are to be used only for the purpose of developing new or rehabilitating existing neighborhood or community park or recreational facilities to serve the subdivision for which the land was dedicated, or the fees paid. That requirement is addressed in Section 20.44.090 of the Carlsbad Municipal Code. The Quimby Act, in subsection 66477(a)(3)(B) provides that in-lieu fees may be used in a neighborhood other than the neighborhood in which the subdivision is located if certain requirements are satisfied. The term “neighborhood” is not defined in the statute. Section 20.44.090 of the Carlsbad Municipal Code requires that in-lieu fees be expended for facilities that serve the population within the park quadrant (park district) where the fees are collected. The Quimby Act, in Subsection 66477(a)(5) provides that the amount and location of land to be dedicated or the fees to be paid shall bear a reasonable relationship to the use of the park and recreational facilities by future inhabitants of the subdivision. That provision is addressed in Section 20.44.090 of the Carlsbad Municipal Code. The Quimby Act, in Subsection 66477(a)(9) requires that when a subdivider provides park and recreational improvements, including equipment to the land dedicated, the value of the improvements or equipment, as determined by the city council, shall be a credit against the payment of fees or dedication of land required by the ordinance. That provision is addressed in Section 20.44.130 of the Carlsbad Municipal Code. The Quimby Act, in Subsection 66477(a)(8) provides that requirement to dedicate park land or pay fees in lieu of dedication does not apply to subdivisions of less than five parcels not used for residential purposes. That provision is addressed in Section 20.44.120 of the Carlsbad Municipal Code. Exhibit 2 April 23, 2024 Item #3 Page 34 of 44 Chapter 4. Implementation Q NBs· City of Carlsbad Page 4-2 Park Land Dedication and In-Lieu Fee Study March 6, 2024 The Quimby Act, in paragraph 66477(a)(3)(B)(7) provides that only payment of in-lieu fees, not dedication of park land, may be required for subdivisions of 50 parcels or less, except that when a condominium project, stock cooperative or community apartment project exceeds 50 dwelling units, dedication of land may be required, notwithstanding that the number of parcels may be less than 50. That provision is addressed in Section 20.44.50 of the Carlsbad Municipal Code. The Quimby Act, in subsection 66477(a)(6)(A) requires that the city shall develop a schedule specifying how, when and where it will use the land or fees, or both, to develop park or recreational facilities to serve the residents of the subdivision. Any fees collected shall be committed within five years after the payment of the fees or the issuance of building permits on one-half of the lots created by the subdivision, whichever occurs later. If the fees are not committed within that period, they, without any deductions, shall be distributed to the then record owners of the subdivision in the same proportion that the size of their lots bears to the total area of all lots in the subdivision. That provision is addressed in Section 20.44.100 of the Carlsbad Municipal Code. Exhibit 2 April 23, 2024 Item #3 Page 35 of 44 Prepared by NBS for the City of Carlsbad APPENDIX A Land Value Survey Exhibit 2 April 23, 2024 Item #3 Page 36 of 44 APPENDIX A City of Carlsbad – Land Value Survey Property Address Quadrant City Property Type Secondary Type Land Area (Ac)Sale Price Sale Date Price Per Acre Property Use Twain Ave NW Carlsbad Land Residential 5.32 $5,775,000 11/2/2021 1,085,526$ 570-580 Laguna Dr NW Carlsbad Land Residential 0.75 $5,000,000 1/22/2020 6,703,395$ Lanai Ct NW Carlsbad Land Residential 1.08 $450,000 10/1/2020 416,665$ 330 Chinquapin Ave NW Carlsbad Land Residential 0.44 $2,850,000 11/16/2021 6,418,799$ Custom Luxury Condo Development Opportunity 2690 Roosevelt St NW Carlsbad Land Residential 0.44 $3,850,000 12/21/2021 8,764,359$ Ocean St NW Carlsbad Land Residential 0.08 $1,670,000 2/9/2022 20,543,688$ Vacant Lot for Development 2908-2924 Highland Dr NW Carlsbad Land Residential 1.26 $4,100,000 4/19/2022 3,253,945$ 0 Ponto Dr SW Carlsbad Land Residential 7.00 $4,984,223 9/15/2022 712,032$ Prime Oceanfront Vacant Land Romeria St SE Carlsbad Land Residential 0.72 $2,500,000 3,462,604$ Entitled Apartment Complex Totals>> 17.09 $31,179,223 Note: Weighted average price per acre = total sale price / total land area (acres) = $1,824,148 NBS – Local Government Solu ons 03/06/2024 Page 1 of 1 Web: www.nbsgov.com Toll-Free: 800.676.7516 Exhibit 2 April 23, 2024 Item #3 Page 37 of 44 April 23, 2024 Item #3 Page 38 of 44 . r--. U'"'\ r--. I Cl} z . 0 z (I) t) ~ co ~ •M '"d ~ 0 '"d (I) t) :::, '"d 0 ~ .µ ~ •M r-1 •M t) ~ :::, 0 u U'"'\ 0 I r--. I '° .. z 0 ~ ..J 0 z :::) 0 0 AB# __ 18..:., 1_5_6 __ MTG. 06/07/2005 DEPT. Recreation CITY OF CARLSBAD --AGENDA BILL TITLE: AMENDMENT TO SECTION 20.44.040 OF THE CARLSBAD MUNICIPAL CODE TO REVISE THE POPULATION PER DWELLING UNIT OF THE PARKLAND DEDICATION FORMULA TABLE RECOMMENDED ACTION : 20 DEPT.HD.~=-;..,~ CITY ATTY CITY~ Introduce Ordinance No. NS-757 amending Section 20.44.040 of the Carlsbad Municipal Code revising the population per dwelling unit of the Parkland Dedication Formula Table. ITEM EXPLANATION: As part of the process to review the equity of land values currently associated with the Park-In- Lieu (PIL) Fee, staff has also recognized a need to amend the Parkland Dedication Formula Table outlined under Section 20.44.040 of the Carlsbad Municipal Code. More specifically, the population per dwelling unit should be revised to reflect the most recent U.S. Census information . Accordingly, the information proposed in the ordinance amendment is provided by the San Diego Association of Governments (SanDag) and is based upon the most recent census data available to us at this time, that being the 2000 Federal Census (Exhibit 3). Because the census information has resulted in slight reductions to population levels (with the exception of attached multiple family units), this amendment to population per dwelling unit would, in most instances, reduce the park fee per unit on a proportionate basis depending upon the type of dwelling unit. However, staff is concurrently processing a request through the FY 2005-06 budget review process that will increase the land values associated with parkland acquisition. The proposed increase in land values is supported through actual sales and acquisition experience over the past several years, and through the results of a May 11, 2005 study regarding the City Park-in-Lieu fee structure prepared by The Tagg Company I Randy Tagg, MAI, California Certified General Real Estate Appraiser. As with population levels, land value is also used as a component in the formula to establish park-in-lieu fees. Consequently, if the proposed request to increase PIL Fees associated with rising land values is approved as part of the budget process, the net effect will result in an increase to the park fee per dwelling unit even though the population component of the formula has been reduced. Notwithstanding, the request to the Finance Department to process a Park-In-Lieu Fee increase as part of the FY 2005-06 budget, this ordinance revision is being requested as a separate issue because it specifically requires an amendment to the Carlsbad Municipal Code. The existing population per dwelling unit as compared to the proposed population per dwelling unit is highlighted on the attached ordinance amendment (Exhibit 2). ENVIRONMENTAL IMPACT: This ordinance amendment revises only the population per dwelling unit used as a component in the Parkland Dedication Formula Table outlined in section 20.44.040 of the Carlsbad Municipal Code. These population determinations are based upon information complied from the most recent Federal Census. Amending the population per dwelling unit based on the most recent census information does not constitute a project as defined by C.E.Q.A. and therefore is not subject to environmental review. J Exhibit 3 April 23, 2024 Item #3 Page 39 of 44 AB# 18,156 Page2 FISCAL IMPACT : The matrix below includes the current population as shown in the Municipal Code as well as the proposed population changes provided by SanDag. The existing fees are based upon the current population listed in the Municipal Code, and upon land values of $300,000/ACRE {NE, SW, & SE Quadrants) and $400,000/ACRE {NW Quadrant). The proposed fee is based upon the new population provided by SanDag and a proposed land value increase to $732,000/ACRE (NE, SW, & SE Quadrants) and $977,000/ACRE (NW Quadrant). The proposed land value increase, and subsequent PIL fee increase is concurrently being addressed as part of the FY 2005-06 budget process. Finally, the matrix identifies in parenthesis what the increase to the Park-In-Lieu Fee per unit would be, based upon the proposed population and land value changes. NE,SE,SW NE,SE,SW NW NW CURRENT PROPOSED EXISTING PROPOSED EXISTING PROPOSED POPULATION POPULATION FEE PER UNIT FEE PER UNIT FEE PER UNIT FEE PER UNIT BASED ON BASEDON BASED ON BA.SEDON $300,000/AC $731,000/A.C S400,000/AC $977,000/A.C Slngle-Famlly 2.71 2.61 $2,436 $5,718 $3,251 $7,649 Detached & (+$3,192) (+$4,398) Duplex (0-lot line or attached wall) Attached 2.20 2.19 $1,977 $4,804 $2,639 $6,414 Single Family (+$1,817) (+$3,755) (4 units or less) Attached 2.03 1.11 $1,825 U,636 $2,435 $6,190 Multiple (+$1,811) (+$3,755) Famlly(more than 4 units) Mobile Homes 1.74 1.68 $1,564 $3,696 $2,087 $4,934 (+$1,131) (+$1,847) EXHIBITS: 1. Ordinance No. NS-757 2. Strike out/Amended section 20.44.040 Carlsbad Municipal Code 3. Persons per occupied housing unit, by type of unit, 2000 U.S. Census - S A N D A G April 23, 2024 Item #3 Page 40 of 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 EXHIBIT l ORDINANCE NO. NS-757 ------- AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA TO AMEND SECTION 20.44.040 OF THE CARLSBAD MUNICIPAL CODE TO REVISE THE POPULATION PER DWELLING UNIT OF THE PARKLAND DEDICATION FORMULA TABLE WHEREAS, the City of Carlsbad City Council recognizes a need to amend the Parkland Dedication Formula Table as currently outlined in the Municipal Code; and WHEREAS, the population per dwelling unit is a component of the Parkland Dedication Formula; and WHEREAS, the population per dwelling unit contained here in reflects the most current information available to the City of Carlsbad at this time by the San Diego Association of Governments with respect to the population per dwelling units within Carlsbad. NOW, THEREFORE, the City Council of the City of Carlsbad, California does ordain as follows: SECTION I: That section 20.44.040 of the Carlsbad Municipal Code is amended to read as follows: 20.44.040 Standards and formula for dedication of land. If the City Council determines that a park or recreational facility is to be located in whole or in part within the proposed subdivision to serve the immediate and future needs of the residents of the subdivision, the subdivider shall, at the time of the filing of the final or parcel map, dedicate land for such facility pursuant to the following standards and formula: The formula for determining acreage to be dedicated shall be as follows: Average No. of Persons 3 park acres per per dwelling unit (based on I 000 population most recent federal census) X Total dwelling units The following table of population density is to be followed: Park Land Dedication Formula Table Types of Dwellings Acreage Density/DU Single-family detached and 2.61 Duplex (0 lot line or attached wall) Attached single-family (4 units 2,19 or less attached) Attached multiple-family (more 2.11 than 4 units) Mobile homes 1.68 Acreage/DU 3 Acres Std. (in square feet) 341 286 276 220 April 23, 2024 Item #3 Page 41 of 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 The total number of dwelling units shall be the number permitted by the City on the property in the subdivision at the time the final map or parcel map is filed for approval; provided, however, that except for subdivisions which consist of the conversion of existing buildings or mobile home parks into condominiums or other planned developments, any existing residential unit or units, whether or not the unit or units will be replaced, shall be subtracted from the total. 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 fifteen days after its adoption. INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City Council on the __ 7_th __ day of __ J_u_n_e _ _, 2005, and thereafter PASSED, AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad on the ___ day of _____ __, 2005 by the following vote, to wit: AYES: NOES: ABSENT: APPROVED AS TO FORM AND LEGALITY RONALD R. BALL, City Attorney -2- CLAUDE A. LEWIS, Mayor ATTEST: LORRAINE M. WOOD, City Clerk (SEAL) April 23, 2024 Item #3 Page 42 of 44 1 2 3 4 5 6 7 8 9 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 STRIKE OUT/AMENDED VERSION ORDINANCE NO. ------ EXHIBIT2 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA TO AMEND SECTION 20.44.040 OF THE CARLSBAD MUNICIPAL CODE TO REVISE THE POPULATION PER DWELLING UNIT OF THE PARKLAND DEDICATION FORMULA TABLE WHEREAS, the City of Carlsbad City Council recognizes a need to amend the Parkland Dedication Formula Table as currently outlined in the Municipal Code; and WHEREAS, the population per dwelling unit is a component of the Parkland Dedication Formula; and WHEREAS, the population per dwelling unit contained here in reflects the most current information available to the City of Carlsbad at this time by the San Diego Association of Governments with respect to the population per dwelling units within Carlsbad. NOW, THEREFORE, the City Council of the City of Carlsbad, California does ordain as follows: SECTION I: That section 20.44.040 of the Carlsbad Municipal Code is amended to read as follows: 20.44.040 Standards and formula for dedication of land. If the City Council determines that a park or recreational facility is to be located in whole or in part within the proposed subdivision to serve the immediate and future needs of the residents of the subdivision, the subdivider shall, at the time of the filing of the final or parcel map, dedicate land for such facility pursuant to the following standards and formula: The formula for determining acreage to be dedicated shall be as follows: Average No. of Persons 3 park acres per per dwelling unit (based on l 000 population most recent federal census) X Total dwelling units The following table of population density is to be followed: Park Land Dedication Formula Table Types of Dwellings Acreage Density/DU Single-family detached and ~ 2.61 Duplex (0 lot line or attached wall) Attached single-family (4 units ~ 2.19 or less attached) Attached multiple-family (more .m 2.11 than 4 units) Mobile homes -1-.+4 1.68 Acreage/DU 3 Acres Std. (in square feet) 3e4.14341 ~286 W.a&276 ~220 April 23, 2024 Item #3 Page 43 of 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 The total number of dwelling units shall be the number permitted by the City on the property in the subdivision at the time the final map or parcel map is filed for approval; provided, however, that except for subdivisions which consist of the conversion of existing buildings or mobile home parks into condominiums or other planned developments, any existing residential unit or units, whether or not the unit or units will be replaced, shall be subtracted from the total. 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 fifteen days after its adoption. INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City Council on the ____ day of ____ _, 2005, and thereafter PASSED, AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad on the ___ day of _____ ~ 2005 by the following vote, to wit: AYES: NOES: ABSENT: APPROVED AS TO FORM AND LEGALITY RONALD R. BALL, City Attorney PCRESONO. -2- CLAUDE A. LEWIS, Mayor ATTEST: LORRAINE M. WOOD, City Clerk (SEAL) April 23, 2024 Item #3 Page 44 of 44 Penson Per occupied Housing Unit by Type of Unit City of carlsbad Type of Unit Single famlly1 2to4 units 5 or more units Mobile home Other Total 1 Alt.ached and detached Census2000 Population In 0ccupied Housing Units 57,884 4,215 13,099 2,010 8 n,214 Numberot 0ccupled Housing Units 22,140 1,927 6,213 1,200 8 31,488 Persons per Uni Z81 2.19 2.11 1.88 1.00 2.45 Total populallon of Cartsbad {including group quarl81S) = n,998 SOufce: U.S. Census Buteau. Census 2000 8F3. Compled by SANDAG May 2005. EXHIBIT 3 7 1 Ana Alarcon From:Adrian Luna <Adrian@biasandiego.org> Sent:Monday, April 22, 2024 1:04 PM To:City Clerk; Keith Blackburn Subject:BIA San Diego Comment Letter: 4/23 City Council Mtg. Agenda Item #3 Attachments:BIA San Diego Comment Letter_Carlsbad Park Land In Lieu Fees.pdf Good Afternoon Mayor Blackburn, Please see the comment letter attached from the Building Industry Association of San Diego County in regards to tomorrow’s Carlsbad City Council meeting, agenda item #3: Park Land Dedication requirements & Park Land In-Lieu Fees. Thank you, Adrian Luna Legislative Aide, Government Affairs Building Industry Association of San Diego 9201 Spectrum Center Blvd. #110 San Diego, CA 92123 858-514-7019 Direct 858-552-1445 Fax adrian@biasandiego.org www.biasandiego.org CAUTION: Do not open attachments or click on links unless you recognize the sender and know the content is safe. All Receive - Agenda Item #____ For the Information of the: CITY COUNCIL Date: ______ CA____ CC____ CM____ ACM____ DCM (3)____ 3 4/22/24 x x x x x l!IICllll'III • .. ·-- BUILDING INDUSTRY ASSOCIATION -----or SAN OIEGO COUNTY AFFILIATES California Building Industry Association National Association of Home Builders April 22, 2024 The Honorable Keith Blackbum Mayor, City of Carlsbad 1200 Carlsbad Village Drive Carlsbad, CA 92008 Re: Proposed Park Land In-Lieu Fees Dear Mayor Blackburn, On behalf of the Building Association of San Diego County (BIA) I'd like to thank staff for their efforts in being proactive in reaching out to the BJA to present on the City of Carlsbad's (City) Park In-Lieu Fee proposal scheduled to be heard at the April 23rd City Council meeting. We appreciate the time staff spent to review the proposal with our members and answer questions. We understand the importance of maintaining and enhancing parks and recreational facilities for the benefit ofresidents and visitors alike. While the BIA does not oppose the proposed fee increases, we would like to provide the following comments based on our review of the proposal: 1. We understand and appreciate the fact the City has not increased the Park Fee in nearly two decades. Because of this, the proposed fee schedule includes a substantial increase as well as a change in methodology in how the fee will be applied to residential development. Based on the City's 2023 General Plan and Housing Element Annual Progress Report, the City has only issued 1,008 permits toward its Regional Housing Needs Assessment allocation of3,873 units. Any additional regulations and/or costs adopted by the City may prevent the City from achieving its goals, and addressing the City's housing shortage. We recommend that the City monitor the impact of the fee increase on an annual basis as additional fees simply increase the cost to produce housing and hinder development. These increased costs would inevitably be passed on to homebuyers, renters, and consumers, exacerbating the already challenging affordability crisis in our region. 2. If the City Council does move forward in adopting the proposed fees, we suppor.t the three- year phase in of the increase as recommended by staff. Given current market conditions and the difficulties in acquiring financing, a quick and sudden increase in fees will have a harmful effect on housing production. As mentioned previously, annual monitoring of housing permits will allow the Council to be informed about the impacts of additional fees. This will also be important as the City is proposing a three-year cycle of review of these fees. Following review of the first three years of activity, we would caution that should the amount ofrevenue generated not meet expectations, the City does not arbitrarily take that as a need to raise fees. Again, we thank staff for working with our organization in a proactive manner. We hope that we are able to continue partnering with the City to address the lack of housing in our region. Sincerely, Lori Holt Pfeiler President & CEO BUILDINO INDUSTRY ASSOCIATION OF SAN DIEOO COUNTY 9201 Spectrum Center Blvd., Suite 110, San Diego, CA 92723-7407 P: (858) 450-1221 / www.biasandiego.org TO: CITY CLERK AFFIDAVIT OF MAILING NOTICE OF PUBLIC HEARING DATE OF PUBLl~=ING: 'i / ;2 3/2c:Q '/ suBJEcT: ~< La J .,_ Qo k ±ee... LOCATION : ~00 Carlsbad Village Drive, Carlsbad, CA 92008 D Other: ------------------ • DATE POSTED TO CITY WEBSITE 3/J '-f /J '1 DATE NOTICES MAILED TO PROPERTY OWNERS: ---------- NUMBER. MAILED: ----- I declare under penalty of perjury under the laws.of the State of California that I am employed by the City of Carlsbad and the foregoing is true and correct. DEPARTMENT: ~ CLERK'S OFFICE □OTHER _______ _ Signature Date ------------------------------------------------------------7----------------- SENT TO FOR PUBLICATION VIA E-MAIL TO: ~ Union Tribune on .:3 / '-f/;J'f D Coa.st News on· ___ _ PUBLICATION DATE: Union Tribune 2} l Lp a_rJJ 3/cJ;!;}d«/- Coast News --------------- I declare under penalty of perjury under the laws of the State of California that I am employed by the City of Carlsbad and the foregoing is true and correct. DEPARTMENT: ~ CLERK'S OFFICE □ OTHER _______ _ Signature Date Attachments: 1) Mailing Labels 2) Notice w/ attachments Wit &n Jit.90 Union~arrihunt PROOF of PUBLICATION STATE OF CALIFORNIA County of San Diego The Undersigned, declares under penalty of perjury under the laws of the State of California: That he/she is the resident of the County of San Diego. That he/she is and at all times herein mentioned was a citizen of the United States, over the age of twenty-one years, and that he/she is not a party to, nor interested in the above-entitled matter; that he/she is Chief Clerk for the publisher of The San Diego Union-Tribune a newspaper of general circulation, printed and published daily in the City of San Diego, County of San Diego, and which newspaper is published for the dissemination of local news and intelligence of a general character, and which newspaper at all the times herein mentioned had and still has a bona fide subscription list of paying subscribers, and which newspaper has been established, printed and published at regular intervals in the said City of San Diego, County of San Diego, for a period exceeding one year next preceding the date of publication of the notice hereinafter referred to, and which newspaper is not devoted to nor published for the interests, entertainment or instruction of a particular class, profession, trade, calling, race, or denomination, or any number of same; that the notice of which the annexed is a printed copy, has been published in said newspaper in accordance with the instruction of the person(s) requesting publication, and not in any supplement thereof on the following dates, to wit: March 16 & 23, 2024 I certify under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Dated in the City of San Diego, California on this 25th of March 2024 Order JD: 11655704 San Diego Union-Tribune Legal Advertising (i) NOTICE OF PUBLIC HEARING NOTICE IS HERESY GIVEN to 11ou, because rour interest may be affeded, lhcrl the City Cooncil o the City of Carlsbad will hold a PtJbllc hearing al lhe Clly Council Chamber, 1200 Ca rlsbad Village Drive, Cad,;bod, Calif0m1a, at S i;,.m . ,on Tuesday, April 2':3, 201A, to consider opproving a resolution amending the Pork Land In Lieu Fee. The resolution is more particularly descr ibed as.: A RESOLUTION OF THE CITY COUNCIL OF THE ~~Tl c~-~i"~5l t2~mCfN'-:!t,~lJite AMENDING Those persons wishing to speak on 1his proi;,osal ore cordially invited lo attend the public heorin_g. Copies of the staff report will be available on and ofter April 19, 2024. The Cttv of Carls.bod Pork Land Oedicalion and In Lieu Fee Study Morch 6, 2024, con be viewed at www .co r ls bad ca. govJdepartmen!~po rlits-recreation. If vou have any Questions, please contact Kyle Lancaster, Parks & Recreation Director, al (442) 339-2941 or kyle.1oncaster@carlsbodca.gov. The meeting can be viewed on line at hit ps://www.corlsbodca.gov/cit v -hal t/meetings-agendas or on the city's cable channel. ln addition, written comments may be submitted to 1he City Council al or prior to 1he hearing via U.S. Moil to the attention of Office of the City Clerk, 1200 Carls.bad VIiiage Drive, Carlsbad, CA 92008, or via email to clerk@corlsbadca.gov. If you chollenge the Pork Land In Lieu Fee in court, you may be limited to raising only those issues you or someone else raised al 1he public hearing descr ibed in lhis notice or in written corresPOndence delivered to the Clfy of Carlsbad, Attn: Clty Clerk's Office, 1200 Carlsbad Village Drive, Corlsbad, CA 92008, at or prior to the PObllc hearing, PUBLISH: SATUROAY,MARCH 16, 2024 CITY OF c!~l ~:ft't',~AcRcfJiN~C024 (SOUTI 16SS70d) Advertising Order Confirmation ~00£__ ~ 0011655704-01 3 X 75 LI External Ad Number 0 \lP NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN to vou, because vour Interest may be affected, that the City Council of the City of Carlsbad will hold a public hearing at the City ~g~~~d,c~gm~~la, 1 :0s p<:=::::I~~'tue~~~~\p~1~I~: 2024, to consider approving a resolution amending the Park Land In Lieu Fee. The resolution Is more particularly described as: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AMENDING THE CITY'S PARK LAND IN LIEU FEE Those persons wishing to speak on this prop05al are cordially invited to attend the public hearing. Copies af the staff repart will be available on and after April 19, 2024. The Citv of Carlsbad Park Land Dedication and In Lieu Fee Study, March 6, 2024, can be viewed at www. ca rlsbadca. gov/departments/parks-recreation. If you hove any questions, please contact Kyle Lancaster, Parks & Recreation Director, at (442) 339· 2941 or kyle.lancaster@corlsbadco.gov. The meeting can be viewed onllne at h It PS: //WWW .co rls bad co' gov/cl t Y·ha I I/meeting S· agendas or on the city's cable channel. In addition, written comments may be submitted to the City Council at or prior to the hearing via U.S. Moil to the attention of Office of the Citv Clerk, 1200 Carlsbad VIiiage Drive, Carlsbad, CA 92008, or via email to clerk@carlsbadco.gov. If vou challenge the Pork Land In Lieu Fee In court, you may be limited to raising only those Issues vou 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's Office, 1200 Carlsbad Village Drive, Carlsbad, CA 92008, at or prior to the public hearing, PUBLISH: SATURDAY, MARCH 16, 2024 SATURDAY, MARCH 23, 2024 CITY OF CARLSBAD CITY COUNCIL (SDUTl 1655704) ~ San Diego Union Tribune Requested Placement Legals CLS Order Charges: fil!1!2.U!ll $980.00 Production Color ~ Legal Liner Requested Position City Nolices -1076-- Ad Attributes Released tor Publication Run Dates 03/16/24. 03/23/24 Production Method AdBooker 03/14/24 10:42: 13AM Page2 Production Notes # Inserts 2 Payment Amount 0,00 l A~rtising Order Confirmation I Ad Order Number 0011655704 ~u,rentOue@ eady ~ CITY OF CARLSBAD-CITY CLERK Customer Account 5292074 Customer Address 1200 CARLSBAD VILLAGE DR CARLSBAD, CA 92008-1989 Invoice Tex( Pubhc Heanng Park Land In Lieu Fee Payor Customer CITY OF CARLSBAD-CITY CLERK Payor Account 5292074 Pavor Address 1200 CARLSBAD VILLAGE DR CARLSBAD, CA 92008-198 rear sheets 1 ~ 0 ~B~Jin.,,d..,.B,.ox~------"M"'•~te~n~·a"'ls~------.P~ro~mo-.... 11~w-____ _ PQNumber ~ Tamara McMinn Customer Fax 7607206917 03114/24 10:42:13AM Page 1 Customer EMsil tammy.mcminn@car1sbadca.gov Special Pricing Advertising Order Confirmation 03/14/24 10:42:13AM Page 3 If this confirmation includes an advertising proof, please check yoor proof carefully for errors, spelling. and/or typos. Errors not marked on the returned proof are not subject to credit or refunds. Please note: To meet our printer's deadline, we must have your proof returned by the published deadline, and as indicated by your sales rep. Please note: If you pay by bank card. yoor card statement will show the merchant as "SoCal Newspaper Group". NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN to you, because your interest may be affected, that the City Council of the City of Carlsbad will hold a public hearing at the City Council Chamber, 1200 Carlsbad Village Drive, Carlsbad, California, at 5 p.m. on Tuesday, April 23, 2024, to consider approving a resolution amending the Park Land In Lieu Fee. The resolution is more particularly described as: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AMENDING THE CITY'S PARK LAND IN LIEU FEE Those persons wishing to speak on this proposal are cordially invited to attend the public hearing. Copies of the staff report will be available on and after April 19, 2024. The City of Carlsbad Park Land Dedication and In Lieu Fee Study, March 6, 2024, can be viewed at www.carlsbadca.gov/departments/parks-recreation. If you have any questions, please contact Kyle Lancaster, Parks & Recreation Director, at (442) 339-2941 or kvle.lancaster@carlsbadca.gov. The meeting can be viewed on line at https://www.carlsbadca.gov/citv-hall/meetings-agendas or on the city's cable channel. In addition, written comments may be submitted to the City Council at or prior to the hearing via U.S. Mail to the attention of Office of the City Clerk, 1200 Carlsbad Village Drive, Carlsbad, CA 92008, or via email to clerk@carlsbadca .gov. If you challenge the Park Land In Lieu 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 co rrespondence delivered to the City of Carlsbad, Attn: City Clerk's Office, 1200 Carlsbad Village Drive, Carlsbad, CA 92008, at or prior to the public hearing. PUBLISH: SATURDAY, MARCH 16, 2024 SATURDAY, MARCH 23, 2024 CITY OF CARLSBAD CITY COUNCIL Park Land Dedication and In-Lieu Fee Study Kyle Lancaster, Parks & Recreation Director Nicole Kissam, NBS Government Finance Group Joseph Colgan, Colgan Consulting Parks & Recreation Department April 23, 2024 1 ( City of Carlsbad TODAY’S PRESENTATION •City plan references and study background •Park land dedication and in-lieu fee •Aspects of the Quimby Act •Carlsbad Municipal Code Chapter 20.44 •Carlsbad park land in-lieu fee calculation •Proposed park land in-lieu fee and phasing •Community engagement •Next steps 2 ITEM NO.3 – PARK LAND DEDICATION { City of Carlsbad 2023-27 STRATEGIC PLAN •Strategic Goals section details five goals, including: •Organizational Excellence & Fiscal Health Be a model for effective and efficient local government Maintain the city’s fiscal health and sustainability 3 ITEM NO.3 – PARK LAND DEDICATION 2023-30 PARKS & REC MASTER PLAN •Chapter 9 provides the department’s Strategic Action Plan Parks Strategies, Short Term, 0-3 Years section includes: Complete a Parks In-Lieu Fee…Study and present its findings to the City Council for review and direction 4 ITEM NO.3 – PARK LAND DEDICATION {city of Carlsbad California 2023 -2030 PARKS & RECREATION DEPARTMENT MASTER PLAN UPDATE BACKGROUND ON STUDY •Carlsbad’s Park land in-lieu fees were last increased in 2005 Growth has occurred and fees no longer accurately reflect the fair market value of undeveloped property in the city 5 ITEM NO.3 – PARK LAND DEDICATION BACKGROUND ON STUDY •City recently retained NBS Government Finance Group to prepare a Park Land Dedication and In-Lieu Fee Study Calculated the updated park land dedication requirements and the fees to be paid in lieu of dedication of park land 6 ITEM NO.3 – PARK LAND DEDICATION PARK LAND DEDICATION & IN-LIEU FEE •Authorized by Quimby Act (Government Code 66477) •Applies only to residential subdivisions •Requires dedication of land for parks or fees paid in lieu 7 ITEM NO.3 – PARK LAND DEDICATION QUIMBY ACT – ACRES TO POPULATION •Park land dedication is based on park acres per 1,000 pop. •Requirement is in accordance with the existing ratio of park acres per population as of the last Census – i.e., 2020 With a minimum of 3.0 acres per 1,000 (0.003 ac. per capita) And a Maximum of 5.0 acres per 1,000 (0.005 ac. per capita) 8 ITEM NO.3 – PARK LAND DEDICATION QUIMBY ACT – PARK LAND IN-LIEU FEE •In lieu fee per unit based on acres per capita, undeveloped land value per acre, and population per unit •Cities may apply a citywide estimated undeveloped land value for all in-lieu fees 9 ITEM NO.3 – PARK LAND DEDICATION QUIMBY ACT – KEY TAKEAWAYS •Flexibility: In lieu fees may be used to construct parks, but may also be used to improve or rehabilitate existing parks •Park land in lieu fees are not impact fees; the city can impose other fees on residential subdivisions 10 ITEM NO.3 – PARK LAND DEDICATION CARLSBAD MUNI CODE CH. 20.44 •Acreage of undeveloped land required = population per dwelling unit x 3 ac. per 1,000 population x number of units •In-lieu fee = ac. required x undeveloped land cost per ac. •Undeveloped land cost based on fair market value survey 11 ITEM NO.3 – PARK LAND DEDICATION CARLSBAD IN LIEU FEE CALCULATION •Apply minimum Quimby Act standard of 3 ac. per 1,000 population (.003 per capita) •Weighted avg. land value per ac. survey = $1,824,148 per ac. .003 ac. per capita, x $1,824,148 per ac. = $5,472.44 per capita 12 ITEM NO.3 – PARK LAND DEDICATION PROPOSED IN-LIEU FEE PER UNIT Residential Unit Size Units Cost per Capita Population per Unit In-Lieu Fee Per Unit <800 s.f.DU $5,472 1.10 $6,020 800 – 1,300 s.f.DU $5,472 1.80 $9,850 >1,300 – 2,000 s.f.DU $5,472 2.50 $13,681 >2,000 – 2,500 s.f.DU $5,472 3.30 $18,059 >2,500 s.f.DU $5,472 3.80 $20,795 13 ITEM NO.3 – PARK LAND DEDICATION EXISTING TO PROPOSED IN-LIEU FEES COMPARISON Residential Development Type Units NE Park District NW Park District SE Park District SW Park District Mobile Homes DU $3,696 $4,934 $3,696 $3,696 <800 s.f.DU $6,020 $6,020 $6,020 $6,020 Attached Residential (> 4 units)DU $4,635 $6,190 $4,635 $4,635 800 – 1,300 s.f.DU $9,850 $9,850 $9,850 $9,850 Attached Residential (4 units or less)DU $4,804 $6,414 $4,804 $4,804 >1,300 – 2,000 s.f.DU $13,681 $13,681 $13,681 $13,681 Single-Family Detached and Duplex DU $5,728 $7,649 $5,728 $5,728 >2,000 – 2,500 s.f.DU $18,059 $18,059 $18,059 $18,059 Single-Family Detached and Duplex DU $5,728 $7,649 $5,728 $5,728 >2,500 s.f.DU $20,795 $20,795 $20,795 $20,79514 EXISTING TO PROPOSED IN-LIEU FEES COMPARISON – THREE YEAR PHASE-IN NORTHWEST PARK DISTRICT Development type Park in-lieu fee 1/3 increase FY 2024-25 2/3 increase FY 2025-26 3/3 increase FY 2026-27 Existing Mobile home $4,934 Proposed Residential <800 sq ft $6,020 $5,296 $5,658 $6,020 Existing Attached residential (more than 4 units) $6,190 Proposed Residential 800 – 1,300 sq ft $9,850 $7,410 $8,630 $9,850 Existing Attached residential (4 units or less) $6,414 Proposed Residential >1,300 – 2,000 sq ft $13,681 $8,836 $11,259 $13,681 Existing Single-family detached and duplex $7,649 Proposed Residential >2,000 – 2,500 sq ft $18,059 $11,119 $14,589 $18,059 Existing Single-family detached and duplex $7,649 Proposed Residential >2,500 sq ft $20,795 $12,031 $16,413 $20,795 NORTHEAST, SOUTHEAST AND SOUTHWEST PARK DISTRICTS Development type Park in-lieu fee 1/3 increase FY 2024-25 2/3 increase FY 2025-26 3/3 increase FY 2026-27 Existing Mobile home $3,696 Proposed Residential <800 sq ft $6,020 $4,471 $5,246 $6,020 Existing Attached residential (more than 4 units) $4,635 Proposed Residential 800 – 1,300 sq ft $9,850 $6,373 $8,111 $9,850 Existing Attached residential (4 units or less) $4,804 Proposed Residential >1,300 – 2,000 sq ft $13,681 $7,763 $10,722 $13,681 Existing Single-family detached and duplex $5,728 Proposed Residential >2,000 – 2,500 sq ft $18,059 $9,838 $13,948 $18,059 Existing Single-family detached and duplex $5,728 Proposed Residential >2,500 sq ft $20,795 $10,750 $15,772 $20,795 15 COMMUNITY ENGAGEMENT March 15 - Email sent to local Building Industry Association (BIA) representative - Email sent to twenty local Industry Advisory Group representatives - Parks & Recreation webpage established with a summary and data links March 18 - Staff briefing provided at Parks & Recreation Commission Meeting April 10 - Staff presentation made at local BIA Legislative Subcommittee Meeting April 15 - Staff presentation made at Parks & Recreation Commission Meeting 16 ITEM NO.3 – PARK LAND DEDICATION NEXT STEPS •Presuming approval of phasing in the increase over the next three fiscal years (i.e., 2024-25, 2025-26 and 2026-27): At the end of fiscal year 2026-27, and every three fiscal years thereafter, staff will reevaluate the per acre undeveloped land cost and recalculate the park land in-lieu fees as applicable Bring any proposed changes to City Council for consideration 17 ITEM NO.3 – PARK LAND DEDICATION RECOMMENDED ACTION 1. Hold a public hearing 18 ITEM NO.3 – PARK LAND DEDICATION RECOMMENDED ACTION 2.Adopt a resolution approving updated park land dedication requirements for residential subdivisions and the phased-in increase of park land in-lieu fees over a three-year period, annually applying approximately one-third of the difference between the existing park land in-lieu fees and the proposed park land in-lieu fees over fiscal years 2024-25, 2025-26 and 2026-27 19 ITEM NO.3 – PARK LAND DEDICATION QUESTIONS AND COMMENTS 20 Thank you ITEM NO.3 – PARK LAND DEDICATION { City of Carlsbad