1. Public Hearing – Proposed Amendment to Schedule of Taxes, Fees & Charges to Increase RIF by 5% & Amendment to PMC 4.17 to Add New Pocket Park Classification
September 22, 2014

2. Recommendations
Find proposed amendments exempt from environmental review pursuant to State CEQA
Following public hearing, adopt resolution to increase RIF by 5%
Establish transition criteria to determine which projects current RIF will apply – any project which has submitted complete set of plans for building permits & paid all plan check fees prior to effective date of resolution

3. Recommendations
Maintain current language in PMC which allows RIF to be used for park acquisition, construction & installation
Direct City Attorney to prepare ordinance amending 4.17 of PMC to add new pocket park classification

4. Recreation & Parks Commission Recommendations
March 4, Commission endorsed:
5% increase to current RIF
Maintain current language in PMC which allows for RIF to be used for park acquisition, construction & installation
Sept 9, 2014 – Commission supported Department of Public Works recommendation:
Add new park classification for pocket parks to Section 4.17 of PMC
Staff asked to return with a Green Space Gaps Map showing residential development locations generating RIF.

5. RIF History 1988 – RIF created with fee amount $650/unit
2002 – RIF increased from $756 to $1,604/unit
2003 – RIF increased from $1,604 to $3,659/unit
2004 – RIF increased to $19,743/unit
2005 – Changed methodology to # of bedrooms
$14,588 studio to $27,003 five bedrooms
1988 – 2003 fee was based on land value of RS-2 zoned property (Civil Defense Center property in Eaton Canyon). During this time it was a flat rate per unit
The fee was nominal during this time period and did not generate enough revenue to build projects or address the needs of our parks
2003 increase based on an a new appraisal of the RS-2 zoned property. Also that year exempted affordable housing units from increase changed methodology from just RS-2 zoned property to land value of a variety of land sale transactions.
2004 Nexus Study. Council chose to phase it in; year one $10,977 & year two $19,743 per unit
Also in 2005 fee was approved to increase annually by CIP
Council appointed a six members of the community to a RIF Committee: they were to look at ways to incentivize affordable housing
Laura Olhasso, Pasadena-Foothills Association of Realtors; Tim Alderson, _____; Mark Persico, Rec & Parks Commission; Joel Bryant, developer; Mildrid Hawkins, ___; Ed Eyerman, Sares Regis Group

6. Impact
Since 2005 City collected $19.4 million RIF which has been used to make dramatic improvements in Pasadena’s park infrastructure
Since 2005, nearly $19.4 million generated and we’ve been able to do some amazing things in our parks
1st Picture – Central Park Playground
2nd Picture – Brookside Park Reece’s Retreat
3rd Picture – Synthetic Turf at Robinson Park
4th Picture – Renovation of Softball field at Villa Parke

7. New Parks & Acreage since 2005
New Parks – Since Acres
Annandale Canyon
Desiderio Park
Linda Vista School Park
Madison Elementary
Subtotal – New Parks
Added Acreage to Existing Parks – Since Acres
Robinson Park
Hahamongna Watershed Park Annex
Subtotal – Existing Parks
Total – Increase Park Acreage 63.96
With the fees collected, in addition to the numerous improvements to the parks, almost 64 acres of parkland has been added.
Note: RIF used to help purchase Annandale ($2 million) and rent on Linda Vista School ($60,000/year)
Additional Acreage Since 2005
New Parks:
Annandale Canyon
Santa Monica Mountains Conservancy Grant $ 2,500,000
Benefit Assessment District $ 1,364,000
Prop A (Parks) $ 500,000
RIF $ 2,000,000
Santa Monica Conservancy $ 100,000
TOTAL = $ 6,464,000
RIF $ 270,000 on 3/24/2014 for purchase of three additional parcels
Desiderio Park
Public Benefit Conveyance No Charge 1/13/2013 National Park Service approved transfer of property to City
Linda Vista School Park
RIF $ 60,000 FY 2012 Yearly lease payment to School District for use of property
General Fund $ 120,000 FY 2013 & FY 2014 Yearly lease payment to School District for use of property
Madison Elementary No Charge Joint Use Agreement with school district
Added Acreage to Existing Parks:
Hahamongna Annex
Charter Capital Fund $ 1,236,000 on 3/21/ Purchased acres from MWD
Robinson Park (former Highland Plastics Property) General Fund $ 3,948,750 on 12/11/ Loan was paid back with General Fund for purchase of 2.5 acres at 965 Fair Oaks Ave

8. Jan 2014 Nexus Study Update Specifically, consultant was asked to:
Nexus study update: review & analyze existing RIF & validate or calculate fees based on current residential land values
Develop & recommend a distribution methodology to balance City’s ability to fund CIP projects & acquire new parkland & open space
Compare park impact fees of 12 cities
As you can see, this is a major increase. It should looked at in the context of all development-related fees.
We do know that at the existing levels, the RIF has not adversely impacted residential development
Rather than recommend the maximum allowable amounts which represent a 41.6% increase, the City Manager would like a study done of all development fees to see the impact of totality

9. Jan 2014 Nexus Study Update Update calculated 41.6% RIF increase
In context of all development-related fees, such an increase could negatively impact residential & economic development
Economic Development Division hired outside consultant to conduct comprehensive study of all development-related fees in City
Final report will be presented to Economic Development & Technology Committee
Fall 2014
As you can see, this is a major increase. It should looked at in the context of all development-related fees.
We do know that at the existing levels, the RIF has not adversely impacted residential development
Rather than recommend the maximum allowable amounts which represent a 41.6% increase, the City Manager would like a study done of all development fees to see the impact of totality

10. Recommended 5% Fee Increase
Bedrooms
Current Fee ($)
per Unit
Rec. Fee ($)
Studio
16,709
17,544 1
17,633
18,515 2
19,584
20,563 3
22,521
23,647 4
27,363
28,732
5 or more
30,929
32,475
Affordable housing; skilled nursing facility; student housing
866
909
Increase RIF by 5% until comprehensive study of development-related fees is completed

11. Pocket Park Classification
Expand Section of PMC to include this pocket park definition:
Small urban outdoor spaces, usually less than one acre in size that are open to general public
Public outdoor spaces may include amenities such as seating areas, plazas, rest areas, landmarks & public art installations
Typically found in urbanized areas of City
Primarily serve immediate local population

12. Other Recreation & Parks Commission Actions
May 6, 2014 Meeting:
Staff presented information to Commission on Green Space Gaps Map & location of residential development
Commission requested further review of current RIF allocation & development of distribution method to provide more flexibility in spending RIF regardless of district origin
July 8, 2014 Meeting:
Staff recommended eliminating park district boundaries to provide most flexibility
Commission voted to not support staff’s recommendation
Info requested from March 4th Meeting was the Green Space Gaps Map showing residential development locations generating RIF.

13. Questions
Questions?