Reso 2005-069 - Laserfiche WebLink

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City of San ~ tdro Park Fact Fee Study Comprehensive Update More thorough documentation reviews and updates should be undertaken if there is evidence of significant changes in demographic assumptions or future facilities planning. It is recommended that a comprehensive update be conducted once every five to seven years. COMPARISON OF PARK IMPACT FEE AND CURRENT CITY FEE IN-LIEU OF PARKLAND DEDICATION The City's Municipal Code currently requires parkland dedication or the payment of a fee in-lieu of parkland dedication. Comparison of the park impact fee developed herein with the City's current pazk in-lieu fee requirements indicates that adoption of the park impact fee would generate greater park impact fee revenues to the City than would current requirements. Estimated fee revenue under both current requirements and the park impact fee requirements calculated herein are presented for hypothetical residential developments in Table 7. As shown, the park impact fee would generate higher fee revenues than the current requirements, for all of the cases presented in the table. This would be the case generally. As shown, the difference in revenues between fee requirements decreases somewhat as home sales price increases, because the current park in-lieu fee is capped at anot-to-exceed amount that depends on home sales price (a not-to-exceed limit on the in-lieu fee of 0.75 percent of sales price). Calculating current in- lieu fee payments as a function of sales price, it is possible to calculate fee revenue for high- priced homes (those around $600,000 and above) that would exceed revenue from the newly developed park impact fee. However, as home prices increase, the density of development decreases and the park in-lieu fee under current requirements would be determined by the value of the land required for park dedication rather than the not-to-exceed limit. As this occurs, it appeazs that the newly developed park impact fee would still generate higher revenue than the current requirement or would result in relatively similar revenue. Hausrath Economics Group 1 j