21-1007RESOLUTION NO. 21-1007
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MENIFEE ADOPTING THE ANNUAL ENGINEERING NEWS
RECORD - CONSTRUCTION COST INDEX ADJUSTMENT TO
THE CITYWIDE DEVELOPMENT IMPACT FEES, AND
ESTABLISHING UPDATED DEVELOPMENT IMPACT FEES
FOR DEVELOPMENT WITHIN THE CITY
WHEREAS, Government Code Sections 66000 et seq. (also known as the “Mitigation Fee
Act”) authorizes the legislative body of a city to impose impact fees on development projects for
the purpose of defraying all or a portion of the cost of public facilities related to the development
project; and
WHEREAS, several policies within the City's General Plan require that new development
mitigate its share of the impacts to the natural and built environments and be fiscally neutral so
as to not result in a net economic loss for the City; and
WHEREAS, such General Plan policies include the maintenance of existing quality of life,
maintenance of existing service levels and funding of new facilities, the requirement of new
development to mitigate a fair share of its impacts, and calling for the use of impact fees to fund
needed improvements to serve new development, among other policies; and
WHEREAS, in accordance with those policies, the City adopted an ordinance of the
Municipal Code, in accordance with the provisions of Government Code sections 66000 et seq.
(the “Mitigation Fee Act”), establishing Development Impact Fees (“DIF”); and
WHEREAS, ON December 6, 2017 City Council adopted Resolution 17-656 adopting the
Development Impact Fee calculation and Nexus Report for the City of Menifee, and establishing
new and revised Development Impact Fees for development within the City; and
WHEREAS, the adopted Development Impact Fee Resolution does allow for an annual
adjustment in rates using the Engineering News Record – Construction Cost Index (ENR-CCI);
and
WHEREAS, the current rate adjustment according to the ENR-CCI and recommended by
staff as of July 2020 is 1.29%; and
WHEREAS, the City Council has determined that these fees should be established to
provide for the City's future provision of public facilities and essential services, at least partially
allocable to new development within the City; and
WHEREAS, the relationship between the use of the fees and the type of development is
that the fees will be used to acquire and construct new public facilities to meet the demands of
new development; and
WHEREAS, the relationship between the need for the public facilities and the DIF is that
each new development project will generate demands on public facilities and essential services
and the associated new facilities are needed to provide those services; and
WHEREAS, the relationship between the amount of the fee and the cost of the portion of
facilities attributed to new development is that the amount of fee collected is directly attributable
DocuSign Envelope ID: A426D20F-C5E6-4324-8E15-7346FCB49D14
2
2
4
3
2
9
to the projected number of residents, employees, or individuals to be served by any new
development project; and
WHEREAS, the fees are derived from, are based upon, and do not exceed the costs of
the public facilities necessitated by new development for which the fees are imposed; and
WHEREAS, the fees shall be imposed as a condition of development at building permit
issuance and shall be collected by the City on the date of the final inspection, or the date the
certificate of occupancy is issued, whichever occurs first, unless payment at a different time is
mandated or authorized by Government Code section 66007; and
WHEREAS, notice of a public hearing before the City Council of the City of Menifee
concerning a proposed update of the Development Impact Fees was given, and on March 17,
2021 a duly noticed public hearing regarding the new Development Impact Fee schedule was
held by the City Council of the City of Menifee; and
WHEREAS, the City Council has considered the information and public testimony
presented in the public hearing and in the proposed documents and staff report, all of which are
included in the public record and incorporated herein by reference.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Menifee as
follows:
SECTION 1. The foregoing recitals are true and correct, and incorporated herein by this
reference.
SECTION 2. Findings pursuant to Government Code section 66001. The City Council
finds and determines that the adjusted Development Impact Fees (incorporated herein by
reference) complies with California Government Code section 66001, and as to each of the
proposed fees to be imposed on new development. The City Council also makes the following
findings consistent with the requirements of the Mitigation Fee Act:
1.Purpose of the Fee. The primary policy objective of a public facilities fee program
is to ensure that new development pays the capital costs associated with growth.
The DIF program is designed to support and fund improvements to public facilities
and the purchase of equipment related to the provision of essential services based
on the demands created by new growth and development. The proposed fees will
enable the City to expand its inventory of public facilities as new development
leads to increases in service demands. This report supports the General Plan.
Menifee is forecast to significant growth through this study’s planning horizon of
2040. This growth will create an increase in demand for public services and the
facilities required to deliver them. The fees advance a legitimate City interest by
enabling the City to provide public facilities to new development. By collecting the
fees, the City can provide sufficient facilities and services truly consistent with the
anticipated population.
2.Use of the Fee. The proceeds from the fees will be used to fund expanded facilities
to serve new development. Facilities funded by these fees are designated to be
located within the City’s sphere of influence. Fees addressed in this report have
been identified by the City to be restricted to funding the following facility
categories: law enforcement facilities, fire facilities, circulation facilities, storm
drainage facilities, animal shelter facilities, general government facilities, public
DocuSign Envelope ID: A426D20F-C5E6-4324-8E15-7346FCB49D14
3
2
4
3
2
9
use facilities, parks, open space facilities and nexus analyses. New developments
result in increased demands on the City’s facilities. Any fees collected are not
used to overcome past deficiencies, but rather are used for additional facilities and
services necessary to meet projected future need from new development.
3.Relationship Between the Fee’s Use and the Type of Development Project on
Which the Fee is Imposed. The City will restrict fee revenue to the acquisition of
land, construction of facilities and buildings, and purchase of related equipment,
furnishings, vehicles, and services used to serve new development. Facilities
funded by the fees are expected to provide a citywide network of facilities
accessible to the additional residents and workers associated with new
development. Under the Mitigation Fee Act, fees are not intended to fund planned
facilities needed to correct existing deficiencies. Thus, a reasonable relationship
can be shown between the use of fee revenue and the new development
classifications that will pay the fees.
4.Relationship Between the Need for the Facility and the Type of Project. Facility
need is based on a facility standard that represents the demand generated by new
development for those facilities. For each facility category, demand is measured
by a single facility standard that can be applied across land use types to ensure a
reasonable relationship to the type of development. For most facility categories
service population standards are calculated based upon the number of residents
associated with residential development and the number of workers associated
with non-residential development. To calculate a single, per capita standard, one
worker is weighted less than one resident based on an analysis of the relative use
demand between residential and non-residential development. The standards
used to identify growth needs are also used to determine if planned facilities will
partially serve the existing service population by correcting existing deficiencies.
This approach ensures that new development will only be responsible for its fair
share of planned facilities, and that the fees will not unfairly burden new
development with the cost of facilities associated with serving the existing service
population.
5.Relationship Between the Amount of the Fee and the Cost of the Facility or Portion
of the Facility Attributed to the Project. All fees are calculated based on dwelling
units or building square feet. Occupant density assumptions ensure a reasonable
relationship between the size of a development project, the increase in service
population associated with the project, and the amount of the fee. The reasonable
relationship between each facilities fee for a specific new development project and
the cost of the facilities attributable to that project is based on the estimated new
development growth the project will accommodate. Fees for a specific project are
based on the project’s size. Larger new development projects can result in a higher
service population resulting in higher fee revenue than smaller projects in the same
land use classification. Thus, the fees ensure a reasonable relationship between
a specific new development project and the cost of the facilities attributable to that
project.
DocuSign Envelope ID: A426D20F-C5E6-4324-8E15-7346FCB49D14
4
2
4
3
2
9
SECTION 3. The fees outlined in Chapter 8.02 of the Menifee Municipal Code establishing
DIF to be paid as a condition of development, issued at building permits, for each category shall
be as follows:
Land Use Law Enf.Fire Circulation
MDP
South
Storm
Drainage
Animal
Shelter
General
Govt.
Public
Use
Facilities
Parks -
Land
Imp.
Parks -
Imp.
Master
Planning
and
Nexus
Analyses
Library
Facilities
Total
Maximum
Justified
Residential Fee Per
Dwelling Unit
Single Family Unit 234$ 622$ 4,730$ 2,316$ 150$ 1,034$ 156$ 218$ 670$ 23$ 67$ 10,219$
Multi-Family Unit 171$ 458$ 3,303$ 1,274$ 110$ 762$ 114$ 161$ 493$ 17$ 49$ 6,913$
Accessory Dwelling
Unit 122$ 324$ 1,902$ 1,274$ 78$ 539$ 81$ 114$ 348$ 12$ 34$ 4,830$
Senior/Assisted
Living 90$ 242$ 1,825$ 1,274$ 58$ 403$ 60$ 85$ 260$ 9$ 26$ 4,333$
Nonresidential Fee
Per 1,000 Sq. Ft.
Commercial /
Retail 59$ 434$ 7,836$ 1,644$ 125$ 265$ -$ -$ -$ 5$ -$ 10,367$
Commercial /
Service / Office 78$ 567$ 6,023$ 578$ 162$ 346$ -$ -$ -$ 6$ -$ 7,761$
Industrial /
Business Park 29$ 211$ 3,992$ 949$ 60$ 129$ -$ -$ -$ 2$ -$ 5,372$
MDP SOUTH STORM DRAIN AREA
Land Use Law Enf.Fire Circulation
Encanto
Dr. Storm
Drainage
Animal
Shelter
General
Govt.
Public
Use
Facilities
Parks -
Land
Imp.
Parks -
Imp.
Master
Planning
and
Nexus
Analyses
Library
Facilities
Total
Maximum
Justified
Residential Fee Per
Dwelling Unit
Single Family Unit 234$ 622$ 4,730$ 1,049$ 150$ 1,034$ 156$ 218$ 670$ 23$ 67$ 8,953$
Multi-Family Unit 171$ 458$ 3,303$ 577$ 110$ 762$ 114$ 161$ 493$ 17$ 49$ 6,216$
Accessory Dwelling
Unit 122$ 324$ 1,902$ 577$ 78$ 539$ 81$ 114$ 348$ 12$ 34$ 4,133$
Senior/Assisted
Living 90$ 242$ 1,825$ 577$ 58$ 403$ 60$ 85$ 260$ 9$ 26$ 3,636$
Nonresidential Fee
Per 1,000 Sq. Ft.
Commercial /
Retail 59$ 434$ 7,836$ 745$ 125$ 265$ -$ -$ -$ 5$ -$ 9,468$
Commercial /
Service / Office 78$ 567$ 6,023$ 262$ 162$ 346$ -$ -$ -$ 6$ -$ 7,445$
Industrial /
Business Park 29$ 211$ 3,992$ 430$ 60$ 129$ -$ -$ -$ 2$ -$ 4,853$
ENCANTO DRIVE STORM DRAIN AREA
DocuSign Envelope ID: A426D20F-C5E6-4324-8E15-7346FCB49D14
5
2
4
3
2
9
Land Use Law Enf.Fire Circulation
Outisde
Both
Storm
Drainage
Animal
Shelter
General
Govt.
Public
Use
Facilities
Parks -
Land
Imp.
Parks -
Imp.
Master
Planning
and
Nexus
Analyses
Library
Facilities
Total
Maximum
Justified
Residential Fee Per
Dwelling Unit
Single Family Unit 234$ 622$ 4,730$ -$ 150$ 1,034$ 156$ 218$ 670$ 23$ 67$ 7,904$
Multi-Family Unit 171$ 458$ 3,303$ -$ 110$ 762$ 114$ 161$ 493$ 17$ 49$ 5,639$
Accessory Dwelling
Unit 122$ 324$ 1,902$ -$ 78$ 539$ 81$ 114$ 348$ 12$ 34$ 3,555$
Senior/Assisted
Living 90$ 242$ 1,825$ -$ 58$ 403$ 60$ 85$ 260$ 9$ 26$ 3,059$
Nonresidential Fee
Per 1,000 Sq. Ft.
Commercial /
Retail 59$ 434$ 7,836$ -$ 125$ 265$ -$ -$ -$ 5$ -$ 8,723$
Commercial /
Service / Office 78$ 567$ 6,023$ -$ 162$ 346$ -$ -$ -$ 6$ -$ 7,183$
Industrial /
Business Park 29$ 211$ 3,992$ -$ 60$ 129$ -$ -$ -$ 2$ -$ 4,422$
OUTSIDE BOTH MDP SOUTH AND ENCANTO DR. STORM DRAIN AREAS
SECTION 4. Each year annually thereafter, DIF shall be adjusted based on the
Engineering News Record- Construction Cost Index (ENR-CCI) which measures the annual
changes in general construction costs so that the fees will continue to generate sufficient funds
to construct the facilities needed to serve new development. The Director of Finance shall
compute the percentage difference between the ENR-CCI on July 1 of each year and the ENR-
CCI for the previous July 1. The Director of Finance shall then adjust by such percentage the fees
established and imposed by this Resolution. The adjusted amounts shall be rounded to the
nearest dollar, and shall be submitted to the City Council for consideration. Upon adoption by the
City Council, the adjusted amounts shall become effective on the following January 1. These
amounts shall constitute the fees authorized by Chapter 8.02 of the Menifee Municipal Code and
established and imposed by this Resolution. Should the ENR-CCI be revised or discontinued, the
Director of Finance shall use the revised index or a comparable index, as approved by the City
Council, for determining fluctuations in the cost of development.
SECTION 5. All previous City Resolutions inconsistent with this Resolution are repealed
to the extent inconsistent herewith.
SECTION 6. The actions taken in Sections 3, 4 and 5 of this Resolution, which adopt an
adjustment of fees or charges upon development projects, and which apply to the filing, accepting,
reviewing, approving, or issuing of an application, permit, or entitlement to use, have been
enacted in accordance with the notice and public hearing procedures specified in Government
Code section 66016, and shall, exceeding the requirements of California Government Code
section 66017(a), become effective May 16, 2021, but not implemented until July 1, 2021.
DocuSign Envelope ID: A426D20F-C5E6-4324-8E15-7346FCB49D14
6
2
4
3
2
9
PASSED, APPROVED AND ADOPTED this 17th day of March, 2021.
______________________________
Bill Zimmerman, Mayor
Attest:
_______________________________
Sarah A. Manwaring, City Clerk
Approved as to form:
______________________________
Jeffrey T. Melching, City Attorney
DocuSign Envelope ID: A426D20F-C5E6-4324-8E15-7346FCB49D14
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss
CITY OF MENIFEE )
I, Sarah A. Manwaring, City Clerk of the City of Menifee, do hereby certify that the
foregoing Resolution No. 21-1007 was duly adopted by the City Council of the City of
Menifee at a meeting thereof held on the 17th day of March 2021 by the following vote:
Ayes: Deines, Karwin, Liesemeyer, Sobek, Zimmerman
Noes: None
Absent: None
Abstain: None
_______________________________
Sarah A. Manwaring, City Clerk
DocuSign Envelope ID: A426D20F-C5E6-4324-8E15-7346FCB49D14